Federal judge rules Obamacare is being funded unconstitutionally

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www.latimes.com

A federal judge ruled for House Republicans on Thursday in their suit against President Obama and declared his administration is unconstitutionally spending money to reimburse health insurers without obtaining an appropriation fromCongress.

The judge's ruling, though a setback for the administration, was put on hold immediately and stands a good chance of being overturned on appeal.

But the 38-page opinion highlights the repeated complaint from Republicans that Obama and his administration have ignored constitutional limits on their authority.

The Constitution says "No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law," said Judge Rosemary Collyer, yet the administration has continued to pay billions to insurers for their extra cost of providing coverage for low-income Americans.

"Paying out Sec. 1402 reimbursements without an appropriation thus violates the Constitution," she wrote. "Congress is the only source for such an appropriation, and no public money can be spent without one."

House Republicans sued Obama under then-Speaker John Boehner and claimed the president had violated the law by delaying the enforcement of several provisions of the Affordable Care Act. But lawyers later focused on the reimbursements for health insurers that received little attention before. They said these payment would come to $175 billion over a decade.

In their defense, administration lawyers said the suit should be dismissed because the House had no legal standing to sue. And they argued the reimbursements were authorized by law.

The House argues that Congress never specifically appropriated that money and has denied an administration request for it, but that the administration is spending the money anyway.

Collyer issued an order stopping further reimbursements, but delayed its implementation while the case is appealed.

Collyer is a George W. Bush appointee nominated in 2002.

This post was updated with a staff-written account replacing wire service reporting.

This was first posted at 10:20 a.m. 

COMMENTS

Donald Trump Releases Seven Point Healthcare Reform Plan Repealing Obamacare

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by ALEX SWOYER3 Mar 2016Washington, DC1093

GOP frontrunner Donald Trump is out with a plan to repeal and replace Obamacare.

After repealing Obamacare, the real estate mogul proposes to tear down barriers so health insurance can be sold across state lines. Trump’s health insurance plan would also make individual premium payments tax deductible. Additionally, his plan would eliminate Obamacare’s individual mandate.

Trump’s plan says reform must start with Congress repealing Obamacare.

Any reform effort must begin with Congress. Since Obamacare became law, conservative Republicans have been offering reforms that can be delivered individually or as part of more comprehensive reform efforts. In the remaining sections of this policy paper, several reforms will be offered that should be considered by Congress so that on the first day of the Trump Administration, we can start the process of restoring faith in government and economic liberty to the people.

He lists seven points of action:

Congress must act. Our elected representatives in the House and Senate must:

Completely repeal Obamacare. Our elected representatives must eliminate the individual mandate.

 No person should be required to buy insurance unless he or she wants to.

Modify existing law that inhibits the sale of health insurance across state lines. As long as the plan purchased complies with state requirements, any vendor ought to be able to offer insurance in any state. By allowing full competition in this market, insurance costs will go down and consumer satisfaction will go up.

Allow individuals to fully deduct health insurance premium payments from their tax returns under the current tax system. Businesses are allowed to take these deductions so why wouldn’t Congress allow individuals the same exemptions?

 As we allow the free market to provide insurance coverage opportunities to companies and individuals, we must also make sure that no one slips through the cracks simply because they cannot afford insurance. We must review basic options for Medicaid and work with states to ensure that those who want healthcare coverage can have it.

Allow individuals to use Health Savings Accounts (HSAs). Contributions into HSAs should be tax-free and should be allowed to accumulate. These accounts would become part of the estate of the individual and could be passed on to heirs without fear of any death penalty. These plans should be particularly attractive to young people who are healthy and can afford high-deductible insurance plans. These funds can be used by any member of a family without penalty. The flexibility and security provided by HSAs will be of great benefit to all who participate.Require price transparency from all healthcare providers, especially doctors and healthcare organizations like clinics and hospitals. Individuals should be able to shop to find the best prices for procedures, exams or any other medical-related procedure.

Block-grant Medicaid to the states. Nearly every state already offers benefits beyond what is required in the current Medicaid structure. The state governments know their people best and can manage the administration of Medicaid far better without federal overhead. States will have the incentives to seek out and eliminate fraud, waste and abuse to preserve our precious resources

.Remove barriers to entry into free markets for drug providers that offer safe, reliable and cheaper products. Congress will need the courage to step away from the special interests and do what is right for America. Though the pharmaceutical industry is in the private sector, drug companies provide a public service. Allowing consumers access to imported, safe and dependable drugs from overseas will bring more options to consumers.

Trump also references illegal immigration in is health care plan, saying, “Providing healthcare to illegal immigrants costs us some $11 billion annually. If we were to simply enforce the current immigration laws and restrict the unbridled granting of visas to this country, we could relieve healthcare cost pressures on state and local governments.”

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