HHS Secretary Sylvia Mathews Burwell has sent a letter to Congress stating the Obama administration does not have a contingency plan if the U.S. Supreme Court blocks subsidies in states that did not establish their own health insurance marketplaces, according to a report from The Hill.
On March 4, the Supreme Court will hear King v. Burwell — a case challenging the PPACA subsidies. Although Ms. Burwell had previously declined to comment on whether HHS had a backup plan, she has now said she doesn't know of an option that could repair the damage a decision striking down the subsidies would cause.
"We know of no administrative actions that could, and therefore we have no plans that would, undo the massive damage to our healthcare system that would be caused by an adverse decision," Ms. Burwell wrote, according to The Hill.
The Obama administration may not have a plan, but governors from across the country are preparing for the possibility of the subsidies being blocked.
More articles on health insurance subsidies:
HCA, insurance groups and others weigh in on PPACA subsidies
Most Americans want subsidies to survive in all states
Republicans will not support preserving subsidies