Fifth Circuit declines to rehear case over ACA charges

The Fifth Circuit Court docket of Appeals won’t rethink its choice to reverse a ruling that will have awarded almost $500 million to states in a lawsuit over the ACA’s insurance coverage supplier charges.

The court docket voted 11-5 to not rethink its choice.

The availability required that states—on behalf of their Medicaid Managed Care Organizations—pay the payment to the federal authorities.

Six states together with Texas sued, arguing the requirement was illegal and that states had been exempt from the charges.

A decrease court docket decide in Texas had sided with the states, awarding them $479 million to be paid again by the federal authorities.

However the Fifth Circuit Court docket of Appeals overturned that ruling final yr, and final week rejected a plea from the states to rethink the choice.

The payment was repealed by Congress in 2021.

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