Perry says ‘Let Covid-era Obamacare subsidies expire’

In an opinion piece in Newsweek, Rep. Scott Perry (R-10) called for Congress to let the expanded Affordable Care Act (ACA) subsidies that were passed during the COVID pandemic expire.

Originally designed to soften the economic blow under the American Rescue Plan (ARPA), legislators in the 119th Congress are now debating with the idea of making the subsidies permanent.

Perry says “that would be a colossal mistake.”

He blamed former President Joe Biden, saying “millions of higher-income Americans who never needed there taxpayer-funded subsidies suddenly qualified for government assistance, and insurance companies reaped the benefits.” Perry also noted that no Republicans voted for ARPA, the Inflation Reduction Act, nor the enhanced subsidies.

The central Pennsylvania Republican said that renewing the subsidies would not only be costly and inflationary, but also “counterproductive to true health care reform.”

Most Republicans want to pass a “clean” resolution to extend the federal spending deadline; this type of bill would keep the government running at current spending levels and allow added time for more debate about proposed federal spending changes.

Perry, a former chair of the Freedom Caucus, has consistently opposed many federal spending measures, citing the rising national debt.

“Supporters warn that “premiums will go up if Congress doesn’t act.” The truth is, if we extend these subsidies again, premiums won’t go down, but the national debt will go up. Once that borrowing train leaves the station, it doesn’t slow down, and we all know we’re not solving the health care affordability crisis — we’re just hiding it on the government (that is, the taxpayer’s) credit card.”

However, Perry also voted for President Donald Trump’s “One Big Beautiful Bill” which is estimated by the nonpartisan Congressional Budget Office to hike deficits by more than $4 trillion over the next decade. He defended his vote by arguing that Washington is “often about compromise” and that supporting the bill was necessary to secure the extension of the 2017 tax cuts.

The seven-term congressman also says that Americans are becoming more reliant on government coverage every year and that making the subsidies permanent, “will harden Obamacare’s grip on our health care system and make much-needed meaningful reform impossible.”

Perry calls on Congress to focus on patients rather than the government, “encouraging doctors to work directly with patients instead of insurance companies through direct primary care arrangements, (and) allowing for health coverage that moves with employees when they transition from job to job.

“Health care reform should be about freedom, choice, and conscience — not more subsidies, more debt, and more government control.”

For a family of three with a combined household income of $75,000, the expiration of the tax credits would increase the cost of a silver plan by $259 per month or $3,105 per year, according to KFF, the leading health policy organization in the country.

Perry signed the opinion piece, along with National Taxpayers Union President Pete Sepp and U.S. Reps. Andrew Clyde (R-Ga.), Keith Self (R-Texas), Marlin Stuzman (R-Ind.), and Chairman Andy Harris (R-Md.) of the House Freedom Caucus.

“This is stunningly bad politics and devastatingly cruel policy, even for Scott Perry,” said Democratic Congressional Campaign Committee (DCCC) spokesperson Eli Cousin. “He wants to jack up health care costs for Central Pennsylvanians and throw people off their insurance altogether. Perry has now put his plan to raise costs and strip health care access in writing – and his own words will be a major reason why he will lose his seat next November.”

Pennsylvania Gov. Josh Shapiro has also been critical of Perry and Republicans in the U.S. Congress.

“Pennsylvania can’t backfill this. We can’t fix this for them,” Shapiro said, referring to the federal legislators who approved of Trump’s bill. “They are taking billions of dollars away from Pennsylvania, and we can’t make up for that. This is our sad, new reality … and the consequences hang on them.”

Perry faces a Republican primary challenge from Karen Dalton, a former attorney with the Pennsylvania State Republican caucus, and two Democrats – former broadcast journalist Janelle Stelson, Dauphin County Commissioner Justin Douglas, and William Lillich. Also running as an independent is Isabelle Harman.

“As prices of everything continue to go up and people struggle to make ends meet, Rep. Scott Perry claims stopping healthcare costs from rising for Central Pennsylvanians is “a colossal mistake,” said Stelson. “His plan could force Pennsylvanians to pay up to 300 percent more on their premium. That would be devastating and is unacceptable. The only “colossal mistake” is that Scott Perry continues to represent us.”

Steve Ulrich is the managing editor of PoliticsPA, where this article first appeared.