The federal government will close early Wednesday Wednesday, largely due to a debate between Republicans and Democrats for improved Obamacare subsidies and if some immigrants should obtain these financial advantages.
Follow the CNBC live blog for government -closing updates.
Republicans say that Democrats want to give health care to “illegal immigrants”.
Democrats, in turn, say it is a lie.
Democrats say they are only trying to restore the health care coverage options that were available for immigrants with a “legitimate presence” in the United States before these options were eliminated by this year of the “Big Beautiful” Tax Bill this year of President Donald Trump.
“They want illegal extraterrestrials to come to our country and get massive health care at the cost of all the others, and we don’t have it,” Trump told journalists on Tuesday.
“And that’s … The first reason they want to hit is to get health care for illegal immigrants,” said Trump.
House president Mike Johnson, R-La., Said CNBC Squawk Box on Tuesday, they want to restore advantages funded by taxpayers, advantages funded by American taxpayers, illegal foreigners. “”
“We don’t do that,” added Johnson.
Democrats say that Republicans use rhetoric on immigrants to distract because millions of Americans could see much higher health insurance premiums if the measures are not taken soon.
At the orientation of the dispute, higher tax credits are improved available for the health plans of the affordable and eligible them.
These often generous subsidies, on which millions of Americans have relied since 2021, were implemented during the COVVI-19 pandemic.
Tax credits reduce the cost of health insurance premiums paid by individuals and families who buy health plans on Obamacare exchanges and widen the pool of eligible beneficiaries.
“Improved tax credits have both increased the amount of financial aid already eligible on the ACA markets received as well as average income with income above 400% of the federal directives of federal poverty, recently eligible for premium tax credits”, researchers from the KFF KFF KFF research group in a document published on Tuesday.
The vast majority of people who have received these improved credits are American citizens, registrations at Plan ACA have been coupled from 11 million to more than 24 million since stimulated tax credits have taken.
But before Trump’s tax bill became a law, a fraction of the beneficiaries was immigrants legally present in the United States
Republican legislators in early September highlighted an analysis of the Congressional Budget Office, which said it showed that “1.2 million Illegal or non-citizen immigrants … which will no longer receive subsidies in Obamacare “following the Trump bill.
Credits should expire at the end of 2025.
Democrats insist that any short -term resolution to keep the federal government open at least seven other weeks includes an extension of subsidies. They do not want to wait to negotiate their extension before once the Stopgap financing resolution is adopted.
The chief of the Hakeem Jeffries room minority, DN.Y., during an interview “Squawk Box”, said: “Federal law prohibits the use of dollars of taxpayers to provide medical coverage to undocumented persons.”
“This is the law, and there is nothing in anything we have proposed who tries to change this law,” he said.
But democrats want to restore tax credits for “legally present” immigrants.
These immigrants include people with temporary protection status because of their pretension to be refugees or receive asylum for persecution and other threats in their country of origin.
Some Republicans, in addition to opposing the restoration of tax credits for immigrants from a legal presence, also argue that the extension of bonuses for all Americans would be too expensive for the federal government.
“It will cost hundreds of billions of dollars. I cannot afford it,” said representative Andy Harris, R-MD., Told NBC News in July.
“It was a policy of the time cocovated. Newsflash to America: Covid is over.”
The extension of subsidies for a decade would cost around $ 350 billion, according to the Budget Office Non -partisan of Congress.