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Court Sides with Republicans on Affordable Care Act Provision
HealthPayer Intelligence

Once again, the Patient Protection and Affordable Care Act is receiving criticism from the Republican-led House of Representatives. House Republicans had filed a lawsuit claiming that the Obama administration does not have the authority to provide cost-sharing reductions for low-income individuals who purchase health plans on the insurance exchange.

The American Hospital Association (AHA) reported last week that a federal district court judge agreed with the House Republicans and ruled against the government’s authority to reimburse cost-sharing reductions in House v. Burwell. These tax subsidies are essential for ensuring that the individual mandate and goal of greater healthcare coverage continues. The subsidy program does have the opportunity to continue appealing the Court’s ruling.