Supreme Court Agrees to Hear ACA Challenges - November 15, 2011

On Nov. 14, the U.S. Supreme Court agreed to hear the challenges to the Affordable Care Act (ACA). The Court will combine the petitions filed by the 26 states, the National Federation of Independent Business, and the Justice Department to settle several of the issues in the law that are being challenged. The Court will allow at least 5.5 hours of oral argument to discuss these issues, including the constitutionality of the individual mandate and the law’s Medicaid expansion – which the states have (thus far unsuccessfully) claimed is unlawful coercion by the federal government, as it forces states to either expand or drop out of the Medicaid program completely. The justices will also consider whether the Anti-Injunction Act, which requires a tax to be assessed and collected before it can be legally challenged, bars the court from hearing this case until a penalty for violation of the individual mandate is actually imposed. The justices also will have to decide whether all or only some of the ACA should be struck down if the individual mandate is found to be unconstitutional. Oral arguments are expected to be held in late winter, and a decision is likely in June. While challengers start preparing for these arguments, lower courts are still hearing challenges to the provisions in the ACA. On Nov. 8, the D.C. Circuit Court of Appeals, the fourth appeals panel to hear arguments, upheld the individual mandate in the ACA. NAPH joined in hospital industry amicus briefs urging the Supreme Court to review the 11th Circuit decision and asking the D.C. Circuit to uphold the mandate. We will continue to support the government’s efforts to defend the law as the litigation progresses.