Republicans Finally Sue Over Obamacare — And There’s Even a Surprise Included

Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.


House Republicans finally filed their long-awaited lawsuit against President Obama today, and it actually contained a surprise:

The suit also challenges what it says is President Obama’s unlawful giveaway of roughly $175 billion to insurance companies under the law. According to the Congressional Budget Office, the administration will pay that amount to the companies over the next 10 years, though the funds have not been appropriated by Congress. The lawsuit argues that it is an unlawful transfer of funds.

….If the lawsuit is successful, poor people would not lose their health care, because the insurance companies would still be required to provide coverage — but without the help of the government subsidy, the companies might be forced to raise costs elsewhere. The subsidies reduce the co-payments, deductibles and other out-of-pocket costs that consumers incur when they go to doctors and hospitals.

Long story short, it turns out there are two parts to the suit. The first part challenges Obama’s delay of the employer mandate, and it’s entirely symbolic. After all, it’s only a delay. Even if Republicans win, by the time the case makes it all the way through the court system it will be moot. The delay will be over by then and the employer mandate will be in place.

But this second part is unexpected. Republicans are arguing that a provision of the law called Cost Sharing Reduction wasn’t automatically funded, as were most parts of the law. The law authorizes CSR, but no appropriation was ever made, so it’s illegal to actually pay out these funds.

Do they have a case? This is a brand new allegation, so I don’t think anyone has yet had a chance to look into it. But if I had to guess, I’d say it’s probably about as specious as every other allegation against Obamacare. Unfortunately, though, that doesn’t mean the Supreme Court won’t uphold it. You never know these days. In the meantime, conservatives are likely to be dizzy with excitement over the whole thing since (a) it involves a clear constitutional question about appropriating funds, and (b) it would hurt poor people. That’s quite a twofer.

Of course, the suit still has to survive challenges to Congress’ standing to sue in the first place, and that might kill it before any court even begins to judge the merits of the case. Wait and see.

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with the Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with the Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate