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Senate Republicans Embrace Trump's Call to Replace Obamacare

US lawmakers are working through the weekend for the first time since the federal closure began over a month ago, but expectations for a cross-party deal on how to end the impasse appeared to recede as GOP senators proposed a plan toxic to Democrats: eliminating the ACA, known as Obamacare.

Growing Consequences of Federal Closure

The impact on Americans from the lengthiest shutdown of the US government in history deepened on Saturday, as government employees went without pay, airlines were forced to cancel flights and Supplemental Nutrition Assistance Program benefits have been postponed for forty-two million Americans.

Trump's Plan from Florida Resort

As weekend session got started, GOP senators embraced a proposal made on online platforms early Saturday by Donald Trump from his golf course in West Palm Beach, for subsidies to be substituted by HSA-style accounts.

"I am recommending to Senate Republicans that the Hundreds of Billions of Dollars currently being sent to money sucking Insurance Companies in order to save the ineffective Healthcare provided by ObamaCare, BE SENT DIRECTLY TO THE PEOPLE SO THAT THEY CAN PURCHASE THEIR OWN, MUCH BETTER, HEALTHCARE," Trump posted.

Republican Endorsement

Multiple Republican senators welcomed the plan, which is comparable with a replacement for Obamacare put forward in 2017.

"We're going to replace this failing program with something that is actually better for the patient," one senator said.

Another senator commended Trump's proposal on online platforms, and stood next to a large print of Trump's post as he addressed on the Senate floor.

"I'm writing the bill right now," a third senator wrote in response to Trump's suggestion. "We must stop taxpayer money from going to insurance companies and instead give it directly to Americans in HSA-style accounts and let them buy the health care they want."

Opposition Response

Democratic lawmakers expressed alarmed reactions to Trump's plan.

"In other words, Donald Trump's 'concept of a plan' for health care is another cynical attempt to repeal Obamacare," one Democratic senator commented. "This is the same unsuccessful Republican plan that's been defeated by the public and Congress."

Another senator reacted to the censure of insurance companies by posting: "Well, Trump and the Republicans can't stand how the big, bad insurance companies are ripping-off Americans. Really? Then I applaud your support for universal healthcare."

Continuing Negotiations

The Senate adjourned without reaching a solution, but Senate Republican leaders have indicated an openness to an emerging proposal from a small group of centrist lawmakers to end the shutdown in return for a later vote on the Obamacare subsidies.

One Democratic senator, who is leading the negotiations among centrists, said that Democrats "require another path forward" after Republicans turned down an offer to restart the government and continue the subsidies for a year.

Another leading Democratic lawmaker continued in maintaining that Republicans should accept a one-year extension of the subsidies before negotiating the future of the subsidies.

"Inaction is irresponsible because people will go bankrupt, people will lose insurance, people will get more ill," the senator said in a Senate address. "That is what will happen if this Congress fails to act."

Partisan Dynamics

Not one of the Republican senators seemed to address the fact that consumers would still need to buy plans from the same carriers, or that Republican lawmakers need the backing of several Democrats to restart the government, and the concept of eliminating and substituting Obamacare with HSAs is improbable to earn a solitary Democratic vote.

Several analysts indicated that the core of such a plan would remove the ACA's mandate that insurance companies cover patients with pre-existing conditions.

After his resort visit, Trump returned to his private club and doubled down on his demand that Republicans stop seeking compromise and try instead to eliminate and overhaul Obamacare with a version of the proposal that failed to garner enough support in 2017.

The writer

William Brown

A certified financial planner with over 12 years of experience in investment analysis and personal wealth optimization strategies.

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