Obamacare Chief: There Is No Plan B If SCOTUS Kills Subsidies

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February 24, 2015 4:08 p.m.

The Obamacare chief told Congress on Tuesday that the Obama administration has “no plans” that would mitigate the damage of a potential Supreme Court decision invalidating health insurance subsidies on the federal health insurance exchange.

“We know of no administrative actions that could, and therefore we have no plans that would, undo the massive damage to our health care system that would be caused by an adverse decision,” Health & Human Services Secretary Sylvia Mathews Burwell wrote in a letter dated Tuesday to Republicans who inquired about HHS’s contingency plans.

Burwell said the administration is “confident we will prevail” in Court, but warned that a ruling against the government would mean millions of Americans lose their health insurance, causing disproportionately sick coverage pools and higher costs.

Senate Finance Chair Orrin Hatch (R-UT) said the Obama administration’s letter “confirms how the misguided law is unworkable for the American people.”

In a statement, he said he’s “committed to working with my Republican colleagues on how Congress can respond to help those hurt by Obamacare’s broken promises, including those in a post King v. Burwell world.”

The case is King v. Burwell. Oral arguments are set for March 4, and a decision is expected by the end of June.

Burwell King
Letter

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