HOUSE TAKES LEGAL ACTION AGAINST OBAMACARE BAILOUT FOLLOWING WARNING FROM CONGRESSMAN PITTENGER

CHARLOTTE - The U.S. House of Representatives has filed an amicus brief outlining why the Obama Administration's attempt to settle Obamacare "risk corridor" lawsuits subverts the law and U.S. Constitution.

This action follows a letter written by Congressman Pittenger to Health and Human Services Secretary Sylvia Burwell in September, emphasizing the full commitment of Congress to stop any potential backdoor bailout for insurance companies who lost money on Obamacare.

Congressman Pittenger's warning letter was co-signed by 45 Members of Congress, including 3 Committee Chairs and 22 Subcommittee Chairs.

"Taxpayers should not be held liable because President Obama's health care law was disastrous and not financially sustainable," said Congressman Robert Pittenger (NC-09). "Congress twice passed a law preventing taxpayer bailouts of insurance companies, and President Obama twice signed that law. This latest backdoor attempt to use taxpayer money to bailout President Obama's health care idea is unlawful and unbelievably brazen."

The Obamacare risk corridor program was intended to be budget neutral, with profitable insurance companies paying a government-mandated fee to compensate losses by other insurance companies. Fees paid into the program fell woefully short of reimbursement requests.

Insurers have now sued for full reimbursement, and the Obama Administration in September signaled its intent to settle these lawsuits in what amounts to a backdoor taxpayer bailout.

Read the Obama Administration memo here: http://go.cms.gov/2e7i8UN

Read Congressman Pittenger's full letter to Secretary Burwell here: http://bit.ly/2dBTpY9

Read the U.S. House of Representatives amicus brief here: http://bit.ly/2dSVggO

Read this original document at: https://pittenger.house.gov/media-center/press-releases/house-acts-following-pittenger-warning-on-obamacare-bailouts