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Public Consulting Group Research

On Monday, 11/14/11, the U.S. Supreme Court agreed to take on the legal issues concerning the Affordable Care Act (ACA) by considering the split decisions of various Courts of Appeal. The significance afforded by the Justices to the issues to be decided is reflected by the Court’s announcement that it would allot 5 and 1/2 hours for oral argument rather than the usual 1.

The central issue before the Court is the constitutionality of the mandate provision, requiring virtually all Americans to purchase health care insurance beginning in 2014 or face a penalty. Supporters of the mandate argue that the mandate is constitutional under the Commerce Clause of the U.S. Constitution, which gives the Federal Government the power to regulate multistate economic activity. Opponents say the law violates the Clause because the decision not to buy health insurance is economic inactivity, and therefore not behavior subject to government regulation. 

In addition to the mandate, the Supreme Court agreed to consider whether the entire law would or would not stand, if the mandate is found to be unconstitutional.  The Court could also decide that the case is premature, since the penalty provisions would not be applied until 2015. The Court also agreed to consider whether the law’s expansion of the Medicaid program is constitutional.

Both the Obama Administration as well as the opponents of the ACA welcomed the Court’s decision to take up the health care law.  Oral argument is scheduled in March, with a decision expected next June, with obvious political implications.

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