House Republicans were issued a big win Thursday in their fight against the Affordable Care Act.
In a lawsuit challenging the Obama administration's implementation of the ACA, House Republicans argued that the administration overstepped its powers when it began paying health insurance companies billions of dollars to reduce co-payments for lower-income people.
On Tuesday, a federal judge sided with the House GOP, ruling that the Obama administration has been improperly funding cost-sharing subsidies under the health reform law. In her opinion, U.S. District Court Judge Rosemary M. Collyer wrote that although Congress authorized the subsidy program under the ACA, it never actually provided money for it, according to Politico.
"Congress is the only source of such an appropriation, and no public money can be spent without one," Judge Collyer wrote.
The ruling, if it stands, could push insurance costs higher and serve a financial setback to millions of low-income Americans, according to the report. The cost-sharing subsidies are currently available to people with incomes between the federal poverty level and 250 percent FPL, according to Politico.
House Ways and Means Committee Chairman Kevin Brady (R-Texas) was pleased with the ruling. "This decision is a critical step in protecting Congress's power of the purse from an administration that has repeatedly ignored fundamental principle of our Republic: the separation of powers," he said.
The Obama administration is expected to immediately appeal the decision, and the cost-sharing program will be allowed to continue pending appeal.
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