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Grassley says GOP may consider extending ACA subsidies

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November 25th, 2025 by Ric Hanson

(Radio Iowa) – Iowa Senator Chuck Grassley says when health care goes up for discussion next month, it’s possible an extension of the Affordable Care Act tax credits will be on the table. The just-ended 43-day federal government shutdown was centered around extending the A-C-A subsidies, which Republicans — including Grassley — opposed. Now, reports say President Trump was considering the proposal of a two-year extension, but Grassley’s unconvinced.

“I think that we heard the same rumor you heard yesterday and we’ve heard that it was not a correct rumor,” Grassley says. “So the second week of December, the United States Senate has set that week aside to debate that very issue.” Some Democrats agreed to end the government shutdown in exchange for a promise from Republicans to take up the health care discussion and vote during December. The subsidies are scheduled to run out on New Year’s Eve and could mean millions face significantly higher premiums. Grassley says he’s willing to consider options.

“We Republicans will have alternatives,” Grassley says, “that could include some extension of the subsidy, but only with real reforms to the Obamacare healthcare issue.” Grassley says there’s “great dissatisfaction” with how health insurance premiums have skyrocketed under the A-C-A. “When it was passed, it was supposed to reduce the cost of health care by $2,500,” Grassley says. “We’ve seen it go up $5,000 since then, and so the estimates of 2010 were off by $7,500.”

Reports say President Trump was originally going to roll out a framework on Monday to extend the A-C-A. There is now -no- timeline for that announcement. The tax credits that are set to expire December 31st are helping some 22-million Americans to lower their health care costs through the A-C-A marketplace.