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How The Supreme Court Could Still Save Obamacare (Page Two)

Evan McMurry
PoliticOlogy

You're on page two of PoliticOlogy's fingers-crossed arguments for the ACA's survival tomorrow morning. Click here to return to the previous page.

Also, be sure to check out PoliticOlogy's Guide To Faking Your Way Through A SCOTUS/Obamacare Convo, so you don't sound like a doofus tomorrow morning.


2. John Roberts And The Individual Mandate As A Tax: Obamacare Is Upheld 5-4

One version of the limiting principle making the rounds is what I'll call the "Mandate As A Tax." Under this theory, the individual mandate is not an instance of the government compelling you to buy a product—buy health care or else—but saying you have a choice: buy health care, or pay a modest tax that keeps the health care system going, cuz you know you're gonna need it eventually, leech. While the constitutionality behind government compulsion in commerce is up for debate, Congress' ability to levy a tax is not. (Note that the Obama administration did not want it called a tax when the thing was being debated, for political reasons.) 

This takes the punitive aspect of the mandate away, as you'll be in compliance with the law whether you buy health insurance or pay the fine, and it operates as a limiting principle: the government cannot compel citizens to buy products, but it can levy taxes when the issue is one of national signficance, as health care is—without a national pool, the system would break down—but broccoli is not. 

Here's Walter Dellinger's version:

The law’s challengers have responded that the mandate is a binding requirement that makes anyone who goes without insurance a lawbreaker. Here is where the court could give a theoretical victory to the challengers: By saying that if you did read the law that way—as its text seems to suggest—as making lawbreakers out of those who don’t acquire health insurance, it would be unconstitutional. But we don’t read it that way, the court could say. We read it as nothing more than an incentive to purchase coverage. No one is compelled to make a purchase from a private party because they can choose, instead, to pay a relatively modest penalty that never exceeds 2.5 percent. This makes the decision about whether or not to have insurance a genuine choice, not a compulsion.

At this point, a compromise-prone majority would have a couple of choices. The first would be to accept Solicitor General Donald Verrilli’s astute suggestion that the court avoid the constitutional issue by reading the law as giving a real choice to citizens: Have insurance or pay a modest penalty. Either way is compliance, not lawbreaking, the solicitor general says. Or the court could decide the text does not permit that reading but the Constitution compels it. The provision stating that everyone must obtain coverage or be a lawbreaker is unconstitutional, but the linked provision imposing modest financial incentives to have coverage is acceptable and can stand. (I advanced this thought at a recent session of the American Constitution Society and soon learned that I was not the first or only person to make this suggestion. See, for example the similar thoughts of Joey Fishkin and Jonathan Cohn.)

So a compulsory mandate would be unconstitutional but a financial incentive that leaves the choice to the individual would be OK. The practical effect would be to uphold all the operative provisions of the Affordable Care Act, while firmly planting a liberty flag that would limit future Congresses.

I think John Roberts would be especially amenable to this, as he has been Mr. I-Like-Narrow-Rulings (Except-When-I-Don't). If the Court is truly concerned about the ACA's fundamental alteration of the individual's relationship to society, this is probably the most conservative ruling the Court could hand down while preserving the law, i.e., preserving health care reform. If Roberts doesn't want to b the Chief Justice who prsided over the greatest rejection of congressional legislation in three generations, here's his out. 

It goes without saying that this ruling would be extremely unpopular with conservatives, who would find themselves with a health care law they hate, a huge new tax, and a Court ruling that reeks of semanticism. It would, however, be a gift to conservative candidates, who would undoubtedly characterize it as the largest tax increase in the history of taxes and increases. But hey, at least you'd have health care.

Next: The argument for a 6-3 ruling (ha).

 

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Follow on Ology: Evan McMurry |  PoliticOlogy

Follow on Twitter: @evanmcmurry  |  @OlogyPolitics

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