Breaking: House Republicans Win Obamacare Lawsuit – Could End Some Federal Subsidies

Federal Subsidies for Obamacare Recipients Could End After Judge Rules for House GOP

A federal judge has just ruled that federal funding of some Obamacare subsidies has been improperly executed, potentially putting millions of low-income Americans who rely on them at risk. U.S. District Court Judge Rosemary M. Collyer, a George W. Bush appointee, stayed her ruling pending appeal, and has allowed the program to continue uninterrupted, for now.

The lawsuit, House v. Burwell, was brought by now former Speaker John Boehner, as Democrats labeled it politically-motivated. 

Politico reports that even if the ruling holds, while devastating for millions of people, “it would not be a fatal blow to the future of the president’s signature domestic policy achievement.”

The cost-sharing program was authorized by Congress, but never funded it.

“Congress authorized reduced cost sharing but did not appropriate monies for it, in the FY 2014 budget or since. Congress is the only source for such an appropriation, and no public money can be spent without one,” Judge Collyer ruled.

Vox has an extensive explanation of how the subsidy program works

A Republican controlled Congress is unlikely to fund the program going forward, and a Republican president will never sign a bill that does, leaving millions of people in the lurch.

 

Image by LaDawna Howard via Flickr and a CC license