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Senate Republicans Reject Democratic Offer to Extend Health Care Subsidies as Shutdown Nears 40 Days
The U.S. Senate remained deadlocked on Friday as the government shutdown approached its 40th day, with Senate Republicans rejecting a Democratic proposal to reopen the government and extend expiring health care subsidies for one year.
Senate Majority Leader John Thune dismissed the offer from Democratic Leader Chuck Schumer, calling it a “nonstarter.” The proposal, made during a tense session on the Senate floor, sought to end the shutdown and provide temporary relief for millions relying on Affordable Care Act subsidies.
Schumer’s plan represented a scaled-back version of an earlier Democratic effort to make the health care tax credits permanent and reverse recent Medicaid cuts enacted under President Donald Trump’s “One Big Beautiful Bill Act.” The new proposal called for simultaneous votes to reopen the government, extend the subsidies for one year, and form a bipartisan committee to review Republican demands for changes to the Affordable Care Act.
“All Republicans have to do is say yes,” Schumer said during his remarks. But GOP leaders quickly rejected the plan. Thune reiterated that Republicans would not engage in negotiations over health care while the government remains closed.
“That’s what we’re going to negotiate once the government opens up,” Thune said. He added that Democrats’ offer suggested they were “feeling the heat” as the shutdown drags on but maintained that it “doesn’t get anywhere close to what we need to do here.”
Republican senators met later on Friday to discuss next steps but failed to reach an agreement. “We’re back to square one,” said Senator John Kennedy of Louisiana, noting that he could not predict when the shutdown would end.
As the stalemate continued, pressure mounted on both parties to act. The shutdown, the longest in U.S. history, has left hundreds of thousands of federal workers without pay and disrupted vital services. Airlines have canceled more than 1,000 flights due to staffing shortages, and food aid programs for millions have been delayed.
A bipartisan group of senators has been in talks for weeks about advancing a package of funding bills that would restore payments for key government operations, including food assistance, veterans’ programs, and the legislative branch. The tentative plan would extend funding for other federal agencies into December or January, but Democrats say it falls short without a guarantee to extend Affordable Care Act subsidies.
Republican leaders need five Democratic votes to pass a measure to reopen the government. The group of Democratic moderates involved in the talks has fluctuated between 10 and 12 senators.
“Unfortunately, Republicans made it clear they will not go along with Senator Schumer’s offer,” said Senator Jeanne Shaheen after a meeting with fellow moderates. “We need another path forward, and we’re working on it.”
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Iran Says Hormuz Can Reopen Within Seven Days as Oil Exports Come Under Pressure
Iran’s military said it retained full control of the Strait of Hormuz on Monday, while Foreign Minister Abbas Araghchi said the strategic waterway could be fully reopened within seven days if Tehran’s conditions were met and hostile measures against the country were lifted.
The statements came as Iran faced growing economic pressure, with the rial falling to record lows, Oil Minister Mohsen Paknejad resigning and the United States claiming that Tehran had not loaded any crude onto tankers during September.
Brigadier General Aziz Jafari, commander of Iran’s Khatam al-Anbiya Joint Air Defence Headquarters, said all movements through the Strait remained under the control of the Iranian armed forces despite changes in US tactics.
“All movements (in Hormuz) are under the control of the armed forces of the Islamic Republic,” Jafari said.
US Treasury Secretary Scott Bessent said on Thursday that Iran had not loaded crude oil onto tankers during September, arguing that the Trump administration was targeting Tehran’s main source of revenue.
Iranian President Masoud Pezeshkian acknowledged in August that restrictions were disrupting oil exports, saying the country had previously been able to sell oil but was now unable to do so at the same level.
Paknejad’s resignation was officially attributed to family and personal matters. However, his departure came amid speculation about the impact of reduced oil exports on government finances. Before his resignation was announced, Paknejad said in a video carried by Iranian media that revenue from oil already sold would be collected and that the process would continue.
The acting oil minister has pledged to maximise production and maintain exports through new strategies.
Despite pressure on Iranian exports, oil shipments from other parts of the region remained high. Ship-tracking company Kpler estimated crude exports from the region excluding Iran at between 19.5 million and 22.5 million barrels per day during the final week of September, compared with a pre-war regional average of about 18 million barrels per day.
Iran’s currency has also come under severe pressure. The euro rose above 300,000 tomans on the informal market, while the US dollar reached 270,000 tomans, more than double its level of about 135,000 tomans at the beginning of the year. One toman is equal to 10 rials.
The UK Maritime Trade Operations agency reported at least one attack each day in the Strait of Hormuz or the Gulf of Aden since October 2.
Araghchi told foreign ambassadors in Tehran that the conflict could not be resolved militarily and called for negotiations based on fairness. He warned that any renewed military confrontation would trigger a stronger Iranian response.
Parliament Speaker Mohammad Bagher Ghalibaf said Tehran had received US proposals through intermediaries but rejected what he described as one-sided demands.
He said the Strait would remain closed until Iran’s seven conditions, based on the Islamabad memorandum, were met.
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