tuesday, 30 january of 2018

New York and Minnesota sue Trump administration over cuts to health care funding

New York and Minnesota filed a lawsuit on Friday in the US District Court for the Southern District of New York to block the Trump administration from cutting off federal funding to state programs that provide health care to low-income people.

In December the US Department of Health and Human Services informed both states that, due to Congress not appropriating funds, about 25 percent of federal funding would be cut from New York's plan and Minnesota would be cut completely.

Both states allege that HHS is cutting federal funding without "adequate justification and in disregard of lawful procedure", which is legally required to be provided under the Affordable Care Act. Accordingly, both states allege that HHS is violating the Administrative Procedure Act by "failing to follow the clear procedures set forth in the APA for making such significant administrative payment decisions."

According to a statement by New York Attorney General Eric Schneiderman, about $1 billion in state funding for health programs, created under the ACA were cut. New York and Minnesota operate a Basic Health Program, which provides heath insurance for low-income residents; the decision to cut funding affects about 700,000 people. The New York and Minnesota BHPs are reliant on federal funding to operate.

New York and Minnesota are the only states to operate BHPs.

They are seeking for the court to annul HHS decisions and compel it to restore the funding.

(Published by Jurist - January 29, 2018)

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