Bipartisan group of lawmakers releases principles to extend and reform Affordable Care Act tax credits

WASHINGTON, D.C. — On Monday, November 3, Representatives Josh Gottheimer (D-NJ), Don Bacon (R-NE), Tom Suozzi (D-NY), and Jeff Hurd (R-CO) announced a bipartisan statement of principles aimed at lowering health care costs and reforming the Affordable Care Act’s (ACA) enhanced premium tax credits (APTCs).

The proposal calls for a temporary two-year extension of the enhanced tax credits, the implementation of income caps, and new safeguards to prevent fraud and improper payments.

In a joint statement, Gottheimer, Bacon, Suozzi, and Hurd said:

“Congress is gridlocked, and too many Americans have lost faith that we can work together. But here’s the truth: Democrats and Republicans can sit down, listen to one another, and find common ground, especially when it comes to lowering health care costs.

We may not agree on every ideal outcome, but we’ve identified a fair, reasonable path forward on the future of the Affordable Care Act’s Enhanced Premium Tax Credits. Compromise isn’t rocket science, and it shouldn’t be treated like a weakness.

Our hope is that this shared statement of principles will inspire bipartisan collaboration across Washington and help get Congress back to work for the American people.”

The lawmakers’ principles for the proposal include:

• A two-year temporary extension of the enhanced premium tax credits.
• An income cap phased out between $200,000 and $400,000.
• Reforms to strengthen oversight and prevent improper APTC payments.
• Measures to prevent “ghost beneficiaries,” requiring ACA marketplaces to verify eligibility using the Death Master File.
• A “preponderance of evidence” standard to determine whether brokers and agents can continue operating within ACA marketplaces.
• Enhanced notification requirements so recipients understand the value of APTCs they receive from the federal government.

The bipartisan group said the framework is designed to build consensus and ensure continued access to affordable health coverage while promoting accountability and transparency in the ACA marketplace.