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Federal judge rules Obamacare is being funded unconstitutionally

Published: May 13, 2016
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Source: LA Times

House Republicans won Round 2 in a potentially historic lawsuit Thursday when a federal judge declared the Obama administration was unconstitutionally spending money to subsidize health insurers without obtaining an appropriation from Congress.

Last year, U.S. District Court Judge Rosemary Collyer broke new ground by ruling the GOP-controlled House of  Representatives had legal standing to sue the president over how he was enforcing his signature healthcare law.

On Thursday, she ruled the administration is violating a provision of the law by paying promised reimbursements to health insurers who provide coverage at reduced costs to low-income Americans.

The judge's ruling, while a setback for the administration, was put on hold immediately and stands a good chance of being overturned on appeal.

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