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First, a fact. Obamacare’s legislative text reads that tax subsidies administered by the IRS to help Americans pay for health insurance they are federally mandated to purchase reads that those tax subsidies will only apply to people who purchase coverage from insurance exchanges “established by the State.” An exchange “established by the State” refers to state-run health insurance exchanges, established in ACA section 1311, as opposed to federally-run exchanges, established in ACA section 1321. The legislative language is pretty clear.
What ACA proponents want to say is that this just amounts to a “drafting error.” Congress, of course, intended for the subsidies to apply to the exchanges run by the federal government; they just made a mistake.
It seems odd that we’d be able to divine the “intent” of the general will of 535 people, but some have now fallen back to asking if there was even a single legislator who thought that tax subsidies wouldn’t apply to federal exchanges.
This is a good question, because it’s unlikely that any legislator thought that would have been a good idea. But this gets to the heart of the problem with ACA: many legislators didn’t know what they were crafting and voting on.
In the era of ACA’s crafting, Republicans repeatedly brought up the point that legislators couldn’t read the bill, because the legislative text hadn’t been written. The Senate Finance Committee voted on what’s called “conceptual langauge,” but did anticipate that some states would not set up their own exchanges. Democrats also insisted that the “conceptual language” was enough to actually understand and vote on the law.
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