President Trump has taken a major step in what Senate Majority Leader Mitch McConnell, R-Ky., either couldn’t or wouldn’t do, and that is to bury Obamacare. During the Obama administration, it was proven that the law wouldn’t work because it would bankrupt the insurance companies, so Obama broke the law and the Constitution and began paying out money not allocated by the House to the insurance companies in order to offset those losses.
The cost of Obama’s illegal actions is now $7 billion a year. Well, now that Trump has done away with those payments the taxpayers save $7 billion a year. That money was used to subsidize low wage earners and others by lowering the cost of Obamacare. But, hey, wasn’t Obamacare supposed to drastically reduce the cost of health insurance by $2,500? I believe that’s what Obama and the Democrats kept telling us.
The funny thing is that liberals are saying they will sue Trump over ending the program that was entirely illegal to begin with. This is the same thing they are doing over DACA and other immigration programs that Obama illegally implemented. I wish one of these judges would throw the cases out on the grounds that the programs were illegal and set up a Supreme Court challenge and end this once and for all. It could also force the Senate to pass real healthcare reform.
According to The Daily Caller:
The Trump administration announced Thursday night that it will cease making payments to a subsidy that helps low to moderate income individuals purchase Obamacare health insurance plans.
The U.S. government cannot lawfully continue making the cost-sharing reduction payments (CSRs) that help prop up the Affordable Care Act, the White House announced in a statement. President Donald Trump’s decision to nix CSRs comes after several months of flirting with the idea.
“The bailout of insurance companies through these unlawful payments is yet another example of how the previous administration abused taxpayer dollars and skirted the law to prop up a broken system,” the White House said in a statement announcing the decision. “Congress needs to repeal and replace the disastrous Obamacare law and provide real relief to the American people.”
Trump has considered eliminating the CSRs on several occasions, but decided to pull back while an impending lawsuit filed against the president’s predecessor in 2014 made its way through the courts. Lawmakers filed suit against the Obama administration at the time, claiming that it was illegally reimbursing marketplace insurers for CSRs.
Former House Speaker John Boehner and other Republican leaders argued that CSRs require congressional approval. Congress had never explicitly appropriated the funds for those payments, they argued, which made the administration’s actions unconstitutional.
After nearly two years of deliberation, a federal district court concluded the House’s claim had legal standing, and allowed the case to move forward in May 2016.
Democrats will fight for single payer but that would be a total disaster. Both Vermont and California tried to implement those programs in their states and decided they were too costly. In California, the cost was estimated to be $400 billion a year. California’s state budget is only $120 billion a year. Even if they quadrupled every tax and every fee in the state, they couldn’t cover the costs. Nationally, we would have to spend trillions of dollars every year to pay for such a plan.
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