Serious New Problem Found in Obamacare Law: Only State Run Exchanges Can Offer Subsidies

Conservativerefocus ^ | October 26, 2013 | Barry Secrest

[NYer]

Although we've heard of many problems coming to light, this particular problem could unravel the entire ACA plan ---and it's written into the law of the land.

Pay very close attention to this one--the law, as written, cannot be changed without Congressional approval. The Federal subsidies are the only way the coverage becomes affordable except that 36 states are not offering a state run exchange.

[epluribus_2]

Or ignore it. See immigration laws.

[Mr. K]

They are talking as if they know what they saying

Oracle is NOT the problem it has been a sound database platform for decades, and they should jump all over anyone who talks like this

This is a perfect example of the know-nothing press talking out of their ass and people believing it.

As a software engineer, I see this entire description as idiocy, with some of the industry buzz-words thrown in to try to sound knowledgeable.

“Waterfall” methodology is not some quaint old-timey software development process, it is a normal function of design development. It is the same process you and I use in everyday life to make decisions- first you start with all the cars you like to buy, then you whittle it down to several good picks, then you narrow that down to good deals in your area, then you buy one...

I expect Obama and his cronies to start saying “waterfall” as a bad word and outlawing “waterfall” use as if that was the problem, and not their incompetence. Same with Oracle, who is looking at being set up to take a fall- and I hope they fight back hard.

[epluribus_2]

Waterfall methods have been identified for years as being incapable of reacting to changes needed once the original plan becomes old and dusty. Reality tends to destroy most project plans at some point and this encourages hiding the truth from stakeholders and pressing on when everyone knows they are heading for the iceberg. Not every time but I feel most of the time. Federal traceability requirements practically eliminate opportunities to be agile or opportunistic in heading off disasters. Oracle can be OK. Often it is not. Not a bad tech by itself but its full of complexity. This translates to time, money and more complex designs.

[Liz]

Thanks for the input-—so, what’s your take? O/Care headed for tech oblivion?

[Stingray]

“Apparently no one noticed this when the long and complicated bill worked its way through the House and Senate.”

How could they when no one read it?

“The states have now split evenly, as 25 of them have opted to take the extra money from Washington and expand their Medicaid coverage, and 25 have refused. As a result, the law’s aim to provide free healthcare for those who are poor will go forward in only half of the nation.”

And if this law stands as illegally amended by the IRS, you’re going to see a mass migration of the poor from one half of these states to the other, thus bankrupting half the states in the nation because of the burden placed on social services.

Yep: Obama’s destruction of the country is proceeding way ahead of schedule.

“If the federal government cannot offer these subsidies in the 36 states without exchanges, it cannot enforce the mandate to have insurance, lawyers say.”

Checkmate.

You can’t have a federal law that applies to only a third of the states.

[bagman]

This flaw is hardly news - it’s been noted for several years.

[grania]

I can't see this as a situation we play for political gain. The political gain is already there if we nominate candidates who have been solid in wanting to never have Obamacare and are passionate about constitutional conservatism.

There shouldn't be a mandate, and people who don't choose to get Obamacare should be able to have policies they want. There should be an OPTION which is available without rejection for medical reasons, but only for catastrophic diseases, and it should have a high deductible.

The important thing now is to stop the pain being inflicted every day that a mandate is in place. It's destroying people's lives and the quality and availability of medical care. Delaying the mandate is not a bad idea...the anger about it will just intensify, and getting rid of the mandate will become permanent.

[Whenifhow]

George will mentions this issue at the beginning of this video.
http://video.foxnews.com/v/2773621692001/panel-plus-1027/

[ExTexasRedhead]

DC staffers sent packing in 2014 via We The People voting out their gravy train bosses won’t get squat to subsidize their DeathCare?

[Mack the knife]

Apparently no one noticed this when the long and complicated bill worked its way through the House and Senate

That statement is spin and not true. The possibility was noticed, so ACA included some extortion to prevent it.

A part of ACA mandated that, if a State did not set up a State Exchange and expand Medicaid, all Medicaid funds would be withheld. This guarenteed that States would set up Exchanges. Then, if one person working for a company got a subsidy, the employer had to pay a fine.

But the Supreme Court 7-2 decision said that the FedGov couldn't withhold all Medicare funds to punish states that didn't set up the Exchanges. That is what created the "glitch".

But critics of the law have seized on the glitch. They have filed four lawsuits that urge judges to rule the Obama administration must abide by the strict wording of the law, even if doing so dismantles it in nearly two-thirds of the states.

Imagine that -- the IRS may have to abide by the strict wording of the law.

Note to Democrats: this is why any law affecting millions of citizens should have the support of at least some Republicans; else any flaws in the law will produce the death of the law by a thousand cuts.