The legislation would extend enhanced Affordable Care Act subsidies for one year to prevent premium hikes for thousands of New Mexicans.

Organ Mountain News report

WASHINGTON - U.S. Rep. Gabe Vasquez has co-sponsored the Bipartisan Premium Tax Credit Extension Act, a measure aimed at extending enhanced federal health insurance subsidies set to expire at the end of 2025.

Under current law, the Affordable Care Act’s enhanced premium tax credits are scheduled to lapse at year’s end, which could increase premiums for more than 17,000 residents of New Mexico’s 2nd Congressional District who buy coverage through the ACA marketplace. Without congressional action, the average family’s monthly health insurance costs could rise by about $600, according to Vasquez’s office.

New Mexico lawmakers recently approved an emergency measure to temporarily offset premium increases, but state officials have said the plan would draw money from other priorities such as education, housing and public safety.

The proposed federal legislation would extend the enhanced tax credits for one year, keeping federal support in place while Congress debates a longer-term approach. Vasquez said the extension would allow the state to maintain its own resources for other programs.

“This bill shows that Republicans and Democrats can come together to keep investing in the health of our citizens,” Vasquez said in a written statement. “New Mexico should not have to foot the bill when Congress fails to act.”

Vasquez’s office said he has met with health care providers and patients across southern New Mexico who raised concerns about potential premium hikes and rural hospital stability. He is also a co-sponsor of the Protecting Health Care and Lowering Costs Act, which would make the tax credits permanent.