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Treasury Department Accused of Making Obamacare Payments to Insurers Without Approval from Congress
Independent Journal Review ^ | 03/02/2015 | Chris Enloe

Posted on 03/02/2015 7:15:20 PM PST by E. Pluribus Unum

Image credit: Twitter

The U.S. Treasury Department recently made billions of dollars in payments to insurance companies without the approval of Congress.

On February 3rd, Congressman Paul Ryan, the chairman of the House Ways and Means Committee, sent a letter to Secretary of the Treasury, Jack Lew, asking why the Center for Medicare and Medicaid made $2.7 billion in payments to insurance companies that compensate them for the “cost-sharing subsides” outlined in the Affordable Care Act.

The point of contention is that Congress, specifically the Ways and Means Committee, never approved the payments to be made; a provision that must be followed according to The Constitution:

“Congress has never appropriated any funds to permit the administration to make any Section 1402 Offset Program payments to insurance companies.”

To make “free” health-care possible, Obamacare forces insurers to cap their costs, including co-payments and deductibles, for certain low-income people. In exchange, insurance companies that eat some of those costs, will receive compensation from the government.

Secretary Lew’s answer to Ryan’s inquiry referred the congressman to a lawsuit carried out by Speaker John Boehner, on behalf of the entire House, last November:

“As you know, The House of Representatives has filed a lawsuit against the Department of the Treasury and the Department of Health and Human Services asking the court to end these cost sharing reduction payments. Your letters relate to matters that are the subject of the House lawsuit. For matters raised in this litigation, we refer you to the Department of Justice.”

The Department of Justice disagrees with Boehner, according to the Washington Examiner:

“In a brief filed on Jan. 26, DOJ lawyers wrote that the Boehner lawsuit was incorrect in saying that the payments required annual appropriation. ‘The cost sharing reduction payments are being made as part of a mandatory payment program that Congress has fully appropriated’ the brief read.”

Rick Moran at American Thinker believes the Department of Justice has a fundamental misunderstanding of how programs like this are funded:

“[Even] a second grader knows that only Congress can appropriate funds.”



TOPICS: News/Current Events
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1 posted on 03/02/2015 7:15:20 PM PST by E. Pluribus Unum
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To: E. Pluribus Unum

Can Congress Sue the Health Insurance Providers to recover this money?


2 posted on 03/02/2015 7:19:02 PM PST by dila813
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To: E. Pluribus Unum

“[Even] a second grader knows that only Congress can appropriate funds.”

These are Democrats. Democrats don’t give a crap about the Constitutionality of anything, because the Constitution isn’t their Constitution. The Constitution belongs to the Democrat’s opposition, therefore it’s invalid, means nothing.


3 posted on 03/02/2015 7:19:41 PM PST by rockinqsranch ((Dems, Libs, Socialists, call 'em what you will. They ALL have fairies livin' in their trees.))
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To: E. Pluribus Unum

Don’t worry about it. Obama did an executive Order making it OK! He just has to put it on paper, if anyone kicks.

And he’s doing another one raising taxes. So just lay back, close your eyes and think about England.
Like Congress.


4 posted on 03/02/2015 7:20:28 PM PST by tumblindice (America's founding fathers: all armed conservatives.)
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To: E. Pluribus Unum

When Obama says JUMP , they say , How Much


5 posted on 03/02/2015 7:20:36 PM PST by molson209 (Blank)
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To: dila813

Just defund the whole damn thing! But Bonehead and McDumbo don’t have the testicles to do it. They are complicit in the destruction of the republic. Idiots nonpareil.


6 posted on 03/02/2015 7:24:37 PM PST by Fungi (Evolution is piece by piece over billions of years. At what point did a precursor become a human?)
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To: E. Pluribus Unum

We all need to accept that congress doesn’t matter anymore. There is a dictator in the white house. I’m not saying accept it and let it go. I’m saying we need to get it through our heads that things have changed.


7 posted on 03/02/2015 7:39:25 PM PST by VerySadAmerican (Obama voters are my enemy. And so are RINO voters.)
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To: E. Pluribus Unum

Obama and his Administration just does not care anymore! Catch us if you can!


8 posted on 03/02/2015 8:17:18 PM PST by Red_Devil 232 ((VietVet - USMC All Ready On The Right? All Ready On The Left? All Ready On The Firing Line!))
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To: E. Pluribus Unum

Accused? No, they flat out spent money never appropriated. That unconstitutional and illegal. Who is going to jail?


9 posted on 03/02/2015 8:54:18 PM PST by Uncle Miltie
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To: Uncle Miltie
My contention is, is it really money if it is just printed for the government by the Federal Reserve Bank?

Money is typically earned by labor or investments not just printed by a friendly banker.

And are the payments just the Fed trying to keep the economy moving along? More money in the hands of the insurers means more yacht building and private jets, etc, you know, trickle down.

10 posted on 03/03/2015 2:53:12 AM PST by urbanpovertylawcenter (the law and poverty collide in an urban setting and sparks fly)
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To: VerySadAmerican

Funny thing about bureaucracies, they seem to be able to do whatever they want and are stopped by no one. That’s why they were created in the first place and have multiplied until the whole country is being run by them.
Unless Congress actually defunds the bureaucracy and shuts it down there really is nothing Congress can/will do.


11 posted on 03/03/2015 5:53:54 AM PST by sheana
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To: dila813

“Can Congress Sue the Health Insurance Providers to recover this money?”

No, the remedy in the Constitution is Impeachment and Conviction of executive officials.


12 posted on 03/03/2015 8:07:57 AM PST by ReaganGeneration2
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