Longest shutdown ends without deal on Obamacare subsidies, paving way for January shock

The country’s longest lockdown on record has just ended, but the problems behind it remain far from resolved.

Rep. Rosa DeLauro, D-Conn., the top Democrat on the House Appropriations Committee, said she believes little will have changed by the time the government must reevaluate its spending needs on Jan. 30.

“I have a feeling we would probably be in the same place on January 30 as we are today,” DeLauro said.

Asked if that meant he was considering another government shutdown, Sen. Raphael Warnock, Democrat of Georgia, declined to answer.

“I remain focused on health care reform,” Warnock said.

LONGEST GOVERNMENT SHUTDOWN IN HISTORY NEARLY LIKELY ENDED AS HOUSE MOVES FUNDING BILL

House Minority Leader Hakeem Jeffries, D-N.Y., joined by Rep. Rosa DeLauro, D-Connecticut, and other Democrats, speaks following a meeting of Democratic leaders at the U.S. Capitol in Washington on April 8, 2025. (Andrew Harnik/Getty Images)

Key Democratic demands that went unmet during the 43-day shutdown standoff — coupled with a surge to fund the government for the remainder of 2026 — appear poised to keep the possibility of another shutdown open for now.

During the shutdown, Democrats had hoped to secure an extension of Obamacare tax credits during the COVID era, which eased the burden of rising premiums but also significantly increased the program’s costs.

In 2021, the government expanded federal assistance to help Obamacare policyholders pay their premiums in emergency response to the global pandemic. While these tax credits expire at the end of the year, Democrats fear that millions of policyholders could find themselves paying significantly higher premiums overnight if the subsidies are allowed to disappear.

According to According to findings from the Committee for a Responsible Federal Budget, a nonpartisan fiscal policy research group, continuing the appropriations increase could cost more than $30 billion a year.

Now that the government has reopened without any concessions on subsidies, many Democrats remain skeptical that Republican lawmakers are willing to tackle these issues now or work toward an overhaul of health care costs.

“I find it hard to believe they’re taking this seriously,” Sen. Wyden, D-Ore., said of Republican plans for subsidy reform. “You have to play hardball with the insurance companies. You have to have teeth. So call me a skeptic, but if they are, we can have a conversation.”

Senate enters temporary truce to end record shutdown, but battle looms in January

Sen. Ron Wyden, D-Ore., leaves a Senate Democratic meeting at the U.S. Capitol in Washington on October 3, 2025. (Kevin Dietsch/Getty Images)

Rep. Alexandria Ocasio-Cortez, D-N.Y., also said she didn’t know what would change by January. She believes, however, that the political gravity of the situation will be very different if the problem is not resolved.

“Well, I think what’s going to happen is that between now and January, a lot of health insurance premiums are going to kick in,” she said. “And my biggest concern is that come January, millions of people could become uninsured because their health insurance has been kicked out or excluded.”

“And so, to me, this is a matter of life and death for tens of thousands of Americans.”

The findings from the Kaiser Family Foundation, a health policy think tank, indicate that more than 90% of Obamacare enrollees will use the enhanced credits in 2025 – the vast majority of the 24 million program members.

In addition to unresolved tensions over Obamacare subsidies during the COVID era, Democrats also noted that there is a long way to go before Congress sets aside its 2026 spending needs.

DeLauro explained that the majority of the country’s financing problems remain unresolved. The bill that ended the shutdown also passed three of the nation’s 12 annual spending bills: the Legislature, Agriculture and Military Construction, and Veterans Affairs. This leaves the majority of the work undone.

“There are nine bills left,” DeLauro said. “The bills that were introduced were nothing more than unilaterally partisan bills. So they will have to be negotiated. We have two parties here, two sides. In the past we have had serious negotiations. And that is what we have to do. And this is not happening.”

‘THE PANDEMIC IS OVER’: GOP, DEM SENATORS SPAR ON CAMERA ON OBAMACARE’S COST SUBSIDIES

House Appropriations Committee Ranking Member Rosa DeLauro, D-Conn., speaks with reporters following a House Democratic Caucus meeting at the Capitol September 29, 2025 in Washington. (Chip Somodevilla/Getty Images)

Although the three bills passed earlier this week eliminate the possibility of a full shutdown in January, Congress could still trigger a partial shutdown if lawmakers fail to reach consensus on what to do regarding the rest of the nation’s spending legislation.

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The House and Senate adjourned for the weekend. Lawmakers will return to Washington, D.C., next week.