Once again, the Affordable Care Act (ACA) has a target on its back. Yesterday, the House passed a bill to stave off “sequestration” and the looming specter of a government shut-down on March 27. The bill slashed funding to the ACA’s health insurance exchanges along with other domestic programs.
The bill proposed cuts to domestic programs including health insurance exchanges of up to 11 percent but spared defense spending and veterans programs. The bill will now be considered by the Senate where Republicans, led by Senator Cruz (R-TX), will offer an amendment that would strip all funding from the ACA. This measure is unlikely to pass the Democrat controlled Senate; however, it sends a strong message that the battle over Obamacare wages on. This proposed cut would not be the first that health care exchanges have faced. As part of the fiscal cliff deal, 90 percent of the funding for health insurance exchange start-up loans was slashed.
The Republican controlled House is using its “purse string power” to continue the fight against the ACA, and is sending a strong message to the Obama Administration and the Democrat led Senate that they cannot retire their boxing gloves yet.© 2013 BARNES & THORNBURG LLP