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Massachusetts to use Commonwealth Care Trust Fund to backfill expired ACA credits, pledges $250 million for 270,000 enrollees

Office of the Governor · January 8, 2026
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Summary

Governor Healy announced the state will draw on the Commonwealth Care Trust Fund to provide about $250 million in 2026 to replace expired federal enhanced premium tax credits, helping roughly 270,000 Connector Care enrollees for one year; officials urged Congress to restore the credits and detailed eligibility and enrollment steps.

Governor Healy announced that Massachusetts will use money from the Commonwealth Care Trust Fund to replace expired federal enhanced premium tax credits for 2026, directing about $250,000,000 to help roughly 270,000 Connector Care enrollees keep health coverage for the year.

Healy said the move responds to "congressional inaction" and a failure by the federal administration to extend the enhanced Affordable Care Act tax credits, which she said has left many people facing "double and triple digit increases" in insurance costs. "There are approximately 270,000 Massachusetts residents who will be helped," she said, adding that some people had already received notices of premium increases "as much as $25,000 this year." Healy framed the state step as temporary and urged Congress and the president to restore the federal credits.

Audrey Morse Gasteyer, executive director of the Massachusetts Health Connector, said Connector Care combines federal tax…

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