Accessibility Tools

Skip to main content

WILL OBAMACARE LAST?

Written on .

There is an important case pending before the Fifth Circuit U.S. Court of Appeals, dealing with whether ObamaCare will survive or instead be declared unconstitutional.  Last December, a Texas federal judge invalidated the entire law, after Congress in 2017 passed a law that reduced the penalty provisions to employees for being uninsured to $0.  It is argued that this leaves the ACA as a stand-alone command to buy an insurance product that the federal government deems suitable, but it does not raise any revenue, and thus cannot be considered the "tax" aspect that was necessary to sustain its constitutionality under an earlier Supreme Court ruling.  Two of the three judges on the appeals court indicated that they were dubious that without the mandatory provisions the law would be constitutional.  Even if portions of the law should be invalidated, however, other unrelated portions may remain, and in any event the issue is likely to eventually go back to the U.S. Supreme Court.

In a related development, the Administration announced on 6/13/19 a plan to let employees use special pre-tax health arrangements known as HRAs, which are funded by employers with pre-tax dollars, to buy individual insurance, including policies that do not comply with the ACA provisions.  The starting date for the plan is January 2020.  While the plan may expand coverage to another one million people previously uninsured, critics say the approach may encourage consumers to pull out of the ACA insurance pool.

Related Content

Get Email Updates

Receive newsletters and alerts directly in your email inbox. Sign up below.

Recent Content

heat visual
The U.S. Occupational Safety and Health Administration (OSHA) announced that it is moving forward on a public hearing over the Biden-Era he…
racial equality, printed, typewriter
In an extremely important development, on April 23, 2025, President Trump issued an executive order declaring:  “It is the policy of the Un…
checkmark
E-Verify+ is a new tool that streamlines the employment eligibility verification process for employers and new hires. 
colored paint patterns
Guidance from the United States Department of Justice (DOJ) and the Equal Employment Opportunity Commission (EEOC) issued on March 19, 2025…
clouds, birds migrating
In a recent survey, 55% of responding employers ranked the scrutiny of Diversity, Equity and Inclusion (DEI) programs as a top issue, while…
arrest
The New York Times reported on Thursday, June 12, 2025, that a senior official with Immigration and Customs Enforcement (ICE) directed inve…