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Friday, October 9, 2026
Fortune Collective

Senate GOP Back Trump's Call to Overhaul Obamacare

American senators are meeting during the weekend for the initial time since the federal closure began over a month ago, but hopes for a cross-party deal on how to end the standoff appeared to diminish as GOP senators proposed a plan toxic to Democrats: scrapping the ACA, called Obamacare.

Growing Consequences of Government Shutdown

The effect on US citizens from the longest closure of the US government in history worsened on Saturday, as government employees went unpaid, carriers were forced to cancel flights and SNAP benefits have been postponed for 42 million Americans.

Trump's Plan from Florida Resort

As Saturday's session got under way, Republican senators embraced a suggestion made on social media early Saturday by Donald Trump from his resort in West Palm Beach, for government payments to be substituted by health savings accounts.

"I am recommending to Senate Republicans that the Hundreds of Billions of Dollars currently being sent to profit-driven Insurance Companies in order to save the ineffective Healthcare provided by ObamaCare, BE SENT DIRECTLY TO THE PEOPLE SO THAT THEY CAN PURCHASE THEIR OWN, MUCH BETTER, HEALTHCARE," Trump posted.

GOP Support

Multiple Republican senators welcomed the proposal, which is comparable with a replacement for Obamacare put forward in 2017.

"We will replace this broken system with something that is actually better for the consumer," one senator said.

Another senator commended Trump's suggestion on online platforms, and stood next to a large print of Trump's post as he addressed on the Senate floor.

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

Democratic Reaction

Democratic lawmakers expressed concerned reactions to Trump's plan.

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

Another lawmaker responded to the criticism of carriers by posting: "Oh, Trump and the Republicans can't stand how the large insurance companies are ripping-off Americans. Really? In that case I welcome your support for Medicare for All."

Ongoing Negotiations

The Senate went into recess without reaching a solution, but Senate Republican leaders have indicated an willingness to an developing proposal from a handful of moderate Democrats to end the shutdown in exchange for a later vote on the ACA subsidies.

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

Another leading Democratic senator persisted in arguing that Republicans should agree to a one-year extension of the payments before negotiating the future of the subsidies.

"Inaction is irresponsible because citizens will go bankrupt, people will lose insurance, people will get more ill," the senator stated in a floor speech. "That's what will happen if this Congress does nothing."

Political Situation

None of the Republican senators seemed to address the fact that patients would still need to buy coverage from the same insurance companies, or that Republican lawmakers need the support of eight Democrats to restart the government, and the concept of eliminating and substituting Obamacare with HSAs is unlikely to earn a solitary Democratic vote.

Several analysts suggested that the core of such a plan would remove the ACA's mandate that carriers cover patients with pre-existing conditions.

After his resort visit, Trump went back to his private club and reiterated on his insistence that Republicans stop seeking agreement and try instead to repeal and replace Obamacare with a version of the proposal that was unsuccessful to garner enough support in 2017.

HS
Written by

Hannah Sims

Elara Vance is a business strategist with over 15 years of experience advising startups and Fortune 500 companies on growth and innovation.

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