The health care law provides subsidies to help low-income people cover some of their out-of-pocket costs. Last year, the administration said those subsidies were taking a 7 percent cut because of the sequester, which imposed across-the-board reductions in federal spending.
But now, the White House has changed its mind. It removed the cost-sharing subsidies from its list of programs that are subject to the sequester, eliminating the 7 percent cut for 2015.
The Center for a Responsible Federal Budget, which noticed the change, said the reversal would likely restore about $560 million to the subsidies—and require $560 million in cuts to other programs to make up for it.
The cost-sharing subsidies are expected to total $8 billion this year and $156 billion over the next decade.
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