This commentary originally appeared in the Austin American-Statesman on January 27, 2015.
A vital challenge to Obamacare will be heard in the Supreme Court this spring. This case is mainly about the states that surprised the White House by opting out of setting up state insurance exchanges, and Texas will be front and center.
The case is also about inconvenient reality and whether the White House rewrote the health care law when it learned that a problematic number of states were refusing to accept the role planned for them in the health care overhaul. The entire scheme relied upon states volunteering to establish exchanges in return for premium subsidies for qualified subscribers. Texas was one of the first states to refuse. Then-Gov. Rick Perry described the plan as treating “states like subcontractors through which the federal government can control the insurance markets.”
Lugo is senior fellow at the Center for Tenth Amendment Action at the Texas Public Policy Foundation.