Senator Ron Johnson, R-Wis., stated Thursday that Senate Republicans were correct to reject Democrats’ efforts to extend enhanced Obamacare subsidies, warning that continuing such programs would effectively endorse tens of billions in waste and abuse annually.
Johnson spoke hours after Republican senators defeated a bill to extend the subsidies, with the measure failing 51-48. Four Republicans voted with Democrats in the vote.
Johnson emphasized that Republicans held firm despite intense political pressure, Democratic “lies,” and media support for extending the expanded Affordable Care Act subsidies—programs initially boosted under pandemic-era spending legislation.
He praised Senator Rick Scott of Florida for steering internal GOP discussions and bringing experts to detail what he described as widespread fraud within the ACA exchange system.
“It’s actually good news,” Johnson told host Chris Salcedo. “I give Sen. Rick Scott a great deal of credit using his steering committee lunch, bringing healthcare experts, just talking about all the fraud.”
Johnson cited a recent Government Accountability Office investigation that tested enrollment by attempting to register fictitious applicants for federally subsidized Obamacare plans.
The findings were described as shocking even to longtime critics of the ACA. According to Johnson, the GAO report revealed 23 out of 24 fraudulent applicants were successfully enrolled and 18 continued receiving subsidies as of September 2025.
“The GAO report was extremely helpful,” Johnson stated. “They signed up 24 fraudulent—or tried to sign up 24 fraudulent—enrollees in Obamacare, and 23 were signed up, with 18 still getting subsidies as of September 2025.”
Johnson argued the investigation underscores Republican claims about the ACA’s subsidy structure being vulnerable to widespread abuse and federal agencies failing to implement basic verification safeguards.
“Again, it’s massive fraud,” he said. “Anybody voting to extend those enhanced subsidies would be extending about $27 billion in annual fraud.”
While Democrats contend expanded subsidies are necessary for affordability among millions purchasing insurance on exchanges, Johnson maintained the debate must address systemic vulnerabilities—flaws that could cost taxpayers tens of billions yearly if uncorrected.
“Give the GOP credit,” Johnson added. “As much political pressure as there was, as much as Democrats were lying and as much as media outlets supported them, we simply cannot vote to perpetuate that fraud.”
