Fifth Circuit Scraps Lower Court Ruling That Exempted States From ACA Fee

The Fifth Circuit Court in a unanimous decision Friday (July 31) reversed a lower court’s ruling that found the United States violated the non-delegation doctrine by requiring states account for the Affordable Care Act’s insurance fee when setting their Medicaid managed care capitated rates. The appeals court also vacated U.S. District Judge Reed O’Connor’s order demanding IRS reimburse the six plaintiff states $840 million to cover the fee. At issue is the ACA’s controversial fee on most health insurance insurers,...