New York, California Threaten to Sue over Healthcare Subsidies

In order to prevent the ending of ObamaCare subsidies that President Donald Trump announced on Thursday, attorneys general from New York and California may decide to sue the Trump administration.

According to Attorney General Eric Schneiderman from New York, a substantial number of families depend on these subsidies, criticizing Trump’s move which he considers to be “unacceptable.”

“Again and again, President Trump has threatened to cut off these subsidies to undermine our healthcare system and force Congress to the negotiating table,” Schneiderman said. He added that the president is using New York families as “political pawns” in his attempt to put an end to the Affordable Care Act, which is something Schneiderman will not allow.

He also said that this summer their coalition of states had been allowed by the courts to defend “these vital subsidies and the affordable healthcare” provided by them to countless families all around the country. As a result attorneys general from both states are prepared to sue should President Trump decide to cut off the payments insurers who sell ObamaCare coverage receive.

Similarly, California Attorney General Xavier Becerra pointed out he would take legal actions against the Trump administration in an effort to preserve these healthcare subsidies.

This is by far the president’s most vigorous move to date in an attempt to pull apart ObamaCare, after several failed attempts at repealing the law. On more than one occasion, Trump has said he would cut off these payments, known as cost sharing reduction subsidies, noting that the administration cannot make these payments worth $7 billion. However, even Republicans who oppose these payments have urged Trump to continue making them in order not to destabilize the ObamaCare market, at least for the time being.

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