Six states, including Wisconsin, sue Obama administration over Affordable Care Act
MADISON— Six states have filed a new lawsuit against the Obama administration over the Affordable Care Act.
The complaint that Texas, Wisconsin, Kansas, Louisiana, Indiana and Nebraska filed Wednesday in the Northern District of Texas takes issue with the Health Insurance Providers Fee assessed to health insurers to cover federal subsidies.
The lawsuit says nothing in the Affordable Care Act’s language provided clear notice that states would have to pay the fee.
The suit seeks an injunction against the federal rules that say states are responsible for the fee. It also asks for states to be refunded for what they’ve already paid.
The suit says the fee is projected to allow the federal government to collect between $13 billion and $15 billion from states over the next decade.
Below is a statement from Governor Scott Walker on Wisconsin joining this lawsuit:
Once again, we are taking action to protect Wisconsin taxpayers from the adverse effects the Obama Administration’s Affordable Care Act has on our citizens. If left unchallenged, the Health Insurance Providers Fee will force states to pay between $13-15 billion in payments over the next decade. This lawsuit is meant to ensure Wisconsinites are not left paying this unconstitutional and coercive tax, which could result in a loss of millions of dollars to Wisconsin’s Medicaid program.