Industry News

On July 3, 2019, the Kaiser Family Foundation (KFF) prepared an issue brief, Explaining Texas v. U.S.: A Guide to the 5th Circuit Appeal in the Case Challenging the ACA.  In December 2018, U.S. District Judge Reed O’Connor invalidated the entire ACA after finding that the individual mandate was unconstitutional. 

The outcome of the legal challenge of the ACA in the case, Texas v. U.S., may have significant consequences for the nation’s health system.  Several ACA provisions would be eliminated, including protections for individuals with pre-existing conditions, subsidies to make individual health insurance more affordable, expanded eligibility for Medicaid, coverage of young adults up to age 26 under their parents’ insurance policies, coverage of preventive care with no patient cost-sharing, closing the doughnut hole under Medicare’s drug benefit, and a number of tax increases to fund the new benefits.

The issue brief explains key questions related to the Texas v. U.S. appeal, including: 1) Who is challenging the ACA?; 2) What is the federal government’s position, and how has it changed over time?; 3) Who is defending the law?; and 4) What issues will the 5^th Circuit Court consider?

Oral arguments were held on July 9, 2019 in the U.S. Court of Appeals for the 5^th Circuit. The arguments addressed the merits of the District Court’s decision and whether the appellants have standing to bring the appeal.

The brief is available here.