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Obamacare subsidies battle heading to the Supreme Court

Supreme courtIn case you missed it yesterday, be sure to check out this article by NC Policy Watch’s Sharon McCloskey about North Carolina’s support for the provision of subsidies to low-income residents purchasing Obamacare.

Last week, Attorney General Roy Cooper signed on to a brief, on behalf of North Carolina, supporting these subsidies for low-income enrollees on the federal exchange.

In a number of lawsuits filed in federal courts, ACA opponents have argued that the law as written limits those subsidies to those who purchase on a state exchange and not, as interpreted by the Internal Revenue Service, to purchasers on either a state or federal exchange.

That interpretation would exclude North Carolinians, as well as the residents of the 33 other states in which governors opted to join the federal exchange rather than construct one of their own, from receiving the aid.

The lawsuit has been through several appeals and will now be heard by the U.S. Supreme Court on March 4th.

Twenty-two other states also signed the brief and collectively argue that a challenge to the subsidies should be rejected because they weren’t informed that residents of their state would be harmed if the state chose to use the federal exchange.

Most experts agree that a decision limiting subsidies to purchasers on state exchanges would cripple Obamacare.

The non-partisan Urban Institute projects that in 2016, the loss of subsidies in the 34 states using the federal exchange would deprive more than 9.3 million Americans of almost $29 billion in financial assistance — an average of $3,090 per eligible person — and increase the number of uninsured by about 8.2 million people nationally.

To read the full article, visit Policy Watch’s main page here.

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