Congressional GOP Embrace Trump's Call to Replace Obamacare

American senators are meeting during the weekend for the initial time since the federal closure began more than a month ago, but hopes for a cross-party deal on how to end the standoff appeared to diminish as GOP senators floated a proposal unacceptable to Democrats: eliminating the ACA, known as Obamacare.

Growing Impact of Government Shutdown

The effect on Americans from the lengthiest closure of the US government in history worsened on Saturday, as federal workers went without pay, airlines were forced to ground planes and SNAP benefits have been postponed for forty-two million Americans.

President's Proposal from Florida Resort

As Saturday's session got started, Republican senators welcomed a proposal made on social media early Saturday by Donald Trump from his resort in West Palm Beach, for subsidies to be substituted by health savings accounts.

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

Republican Support

Multiple Republican senators praised the proposal, which is comparable with a replacement for Obamacare proposed in 2017.

"We will replace this failing program with something that is truly better for the patient," one senator said.

Another senator commended Trump's suggestion on online platforms, and displayed a giant blow-up of Trump's post as he addressed on the Senate floor.

"I am drafting the bill right now," a third senator wrote in response to Trump's proposal. "We must stop taxpayer money from going to carriers and instead give it straight to Americans in HSA-style accounts and let them buy the health care they want."

Opposition Response

Democratic senators expressed concerned responses to Trump's proposal.

"Essentially, Donald Trump's 'proposal' for health care is yet another calculated attempt to eliminate Obamacare," one Democratic senator stated. "It's the same unsuccessful Republican plan that's been rejected by the public and Congress."

Another senator responded to the criticism of carriers by posting: "Well, Trump and the Republicans can't stand how the large insurance companies are overcharging Americans. Seriously? In that case I welcome your support for universal healthcare."

Continuing Negotiations

The Senate adjourned without finding a solution, but Senate Republican leaders have signaled an openness to an developing proposal from a handful of moderate Democrats to terminate the shutdown in return for a later vote on the ACA payments.

One Democratic senator, who is leading the talks among moderates, said that Democrats "need another way ahead" after Republicans turned down an proposal to restart the government and extend the payments for a year.

Another leading Democratic senator persisted in maintaining that Republicans should accept a 12-month continuation of the subsidies before discussing the long-term of the subsidies.

"Doing nothing is irresponsible because people will go into debt, people will become uninsured, people will get sicker," the senator said in a floor speech. "That's what will happen if this Congress fails to act."

Political Situation

Not one of the Republican senators seemed to address the fact that patients would still need to buy plans from the same insurance companies, or that Republican legislators need the support of several Democrats to reopen the government, and the concept of repealing and substituting Obamacare with HSAs is unlikely to earn a solitary Democratic vote.

Several analysts indicated that the essence of such a plan would eliminate the ACA's mandate that carriers cover individuals with existing health issues.

After his golf outing, Trump went back to his residence and reiterated on his demand that Republicans stop seeking agreement and try instead to repeal and replace Obamacare with a iteration of the proposal that failed to secure enough support in 2017.

Wendy Jones
Wendy Jones

Financial analyst with 12 years of experience in UK markets, specializing in personal wealth management.