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Another ObamaCare Glitch (Congress' legal mistake haunts the administration)
WSJ ^ | NOVEMBER 16, 2011 | JONATHAN H. ADLER & MICHAEL F. CANNON

Posted on 11/16/2011 10:07:43 AM PST by Qbert

Even if ObamaCare survives Supreme Court scrutiny next spring, its trials will be far from over. That's because the law has a major glitch that threatens its basic functioning. It's so problematic, in fact, that the Obama administration is now brazenly trying to rewrite the law without involving Congress.

The Patient Protection and Affordable Care Act offers "premium assistance"—tax credits and subsidies—to households purchasing coverage through new health-insurance exchanges. This assistance was designed to hide a portion of the law's cost to individuals by reducing the premium hikes that individuals will face after ObamaCare goes into effect in 2014. (If consumers face the law's full cost, support for repeal will grow.)

The law encourages states to create health-insurance exchanges, but it permits Washington to create them if states decline. So far, only 17 states have passed legislation to create an exchange.

This is where the glitch comes in: ObamaCare authorizes premium assistance in state-run exchanges (Section 1311) but not federal ones (Section 1321). In other words, states that refuse to create an exchange can block much of ObamaCare's spending and practically force Congress to reopen the law for revisions.

The Obama administration wants to avoid that legislative debacle, so this summer it proposed an IRS rule to offer premium assistance in all exchanges "whether established under section 1311 or 1321." On Nov. 17 the IRS will hold a public hearing on that proposal. According to a Treasury Department spokeswoman, the administration is "confident" that offering premium assistance where Congress has not authorized it "is consistent with the intent of the law and our ability to interpret and implement it."

Such confidence is misplaced. The text of the law is perfectly clear. And without congressional authorization, the IRS lacks the power to dispense tax credits or spend money.

(Excerpt) Read more at online.wsj.com ...


TOPICS: Government; News/Current Events
KEYWORDS: dictatorship; exchanges; obamacare; premiumhikes

1 posted on 11/16/2011 10:07:46 AM PST by Qbert
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To: Qbert

Legislate in haste..repeal at leisure..


2 posted on 11/16/2011 10:09:58 AM PST by ken5050 (Perry/Gingrich 2012!!)
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To: Qbert

Jail time! This administration needs jail time!


3 posted on 11/16/2011 10:10:45 AM PST by Bitsy
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To: Qbert

Pfffft... laws! This is the Obama administration, the one they were waiting for!

They don’t pay any attention to the constitution. Obama does what he wants, and the media puppets remain silent.


4 posted on 11/16/2011 10:13:42 AM PST by brownsfan (Aldous Huxley and Mike Judge were right.)
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To: Qbert
I love it when a plan comes together. Such genius. Such wisdom. Sarcasm off. What idiots.
5 posted on 11/16/2011 10:13:50 AM PST by onighost29
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To: Qbert

Boyoboy...doesn’t this bunch of arrogant twits, left-wing policy wonks, assorted socialists, wanker hangers-on, dewy-eyed media cheerleaders and pushy, know-it-all legislators who are all responsible for this problem nightmare legislation deserve this BIG time?


6 posted on 11/16/2011 10:16:26 AM PST by Pharmboy (Democrats lie because they must...)
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To: ken5050

Anybody here expect congress to stop him? Not gonna happen with a crybaby drunk and a smiling moron and a deal maker as the so called republican leadership in the house and senate.


7 posted on 11/16/2011 10:20:49 AM PST by Breto (never accept the premise)
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To: Qbert
...Obama administration is now brazenly trying to rewrite the law without involving Congress...

Did someone burn our Constitution without telling anyone?

8 posted on 11/16/2011 10:23:11 AM PST by Oldeconomybuyer (The problem with socialism is that you eventually run out of other people's money.)
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To: Pharmboy

” ...doesn’t this bunch of arrogant twits, left-wing policy wonks, assorted socialists, wanker hangers-on, dewy-eyed media cheerleaders and pushy, know-it-all legislators who are all responsible for this problem nightmare legislation deserve this BIG time? “

They might deserve it, but we sure don’t...

We have not beenat all well served by our “gotta pass it to find out what’s in it”, “Constitution - you’ve got to be kidding!!”, representatives....


9 posted on 11/16/2011 10:23:44 AM PST by Uncle Ike (Rope is cheap, and there are lots of trees...)
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To: Qbert

Well, they certainly followed Nancy’s advice, pass it to see what’s in it.


10 posted on 11/16/2011 10:26:12 AM PST by Moonman62 (The US has become a government with a country, rather than a country with a government.)
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To: Qbert
"We have to pass the law to find out what's in it"

And we are still finding out what is in it.

There is no reason for any democRat to be re-elected.

11 posted on 11/16/2011 10:27:46 AM PST by FatherofFive (Islam is evil and must be eradicated)
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To: Qbert

—the IRS lacks the power to dispense tax credits or spend money.—

From what I understand, the IRS is like the police department. They don’t write the laws. They just enforce them.


12 posted on 11/16/2011 10:28:37 AM PST by cuban leaf (Were doomed! Details at eleven.)
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To: Uncle Ike

Sorry if I wasn’t clear—I meant that they deserved the present PROBLEMS their sloppiness and haste caused.


13 posted on 11/16/2011 10:31:16 AM PST by Pharmboy (Democrats lie because they must...)
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To: Breto

Unfortunately true.

They need to be primaried.


14 posted on 11/16/2011 10:34:17 AM PST by Qbert ("The best defense against usurpatory government is an assertive citizenry" - William F. Buckley, Jr.)
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To: Bitsy

I have a dream of seeing both adults living in the WH being escourted out both in handcuffs.


15 posted on 11/16/2011 10:36:45 AM PST by chris_bdba
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To: cuban leaf

” the IRS is like the police department. They don’t write the laws. They just enforce them. “

Not quite - the IRS is a FEDERAL AGENCY, charged with promulgating and enforcing regulations to implement legislation passed by Congress...

So far so good —

But, the fly in the ointment is that the fashion in Congressional legislation (especially tax legislation) is to be so vague and full of internal contradictions (hence - “gotta pass it to find out what’s in it”..) that the FEDERAL AGENCIES have virutal carte-blanche to make law as they go along, without those pesky burdens of accountability, oversight, due process, or, in many cases, judicial remedy....

Granted, most FEDERAL AGENCIES now incorporate their own policing arms, (I heard, a while ago, that HUD has a large SWAT Team) but those entities share in the relatively immune umbrella of their parent outfits, rather than the rather more stringent constraints imposed, however unevenly, on their traditional Law Enforcement bretheren....


16 posted on 11/16/2011 10:44:47 AM PST by Uncle Ike (Rope is cheap, and there are lots of trees...)
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To: Qbert
Congressional authorization?

We don't need no stinking Congressional authorization!

17 posted on 11/16/2011 10:45:18 AM PST by AU72
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To: Breto
Anybody here expect congress to stop him?

Exactly. As Mark Levin said the other day, we now live in a post-constitutional era.

18 posted on 11/16/2011 10:55:25 AM PST by blasater1960 (Deut 30, Psalm 111...the Torah and the Law, is attainable past, present and forever.)
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To: Qbert

The PPACA is one of the biggest cluster%#@$s in the history of the world.


19 posted on 11/16/2011 10:56:35 AM PST by Psycho_Bunny (Public employee unions are the barbarian hordes of our time.)
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To: chris_bdba

I have a dream of seeing both adults living in the WH being escourted out both in handcuffs

It would be justice for a change!


20 posted on 11/16/2011 11:06:53 AM PST by Bitsy
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To: Oldeconomybuyer

“Did someone burn our Constitution without telling anyone?”

Yes. You can thank two burners, McCaskill and Coburn, for SR 511 which made it possible for Obama to be nominated.


21 posted on 11/16/2011 11:09:12 AM PST by charlie72
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