ACA Lit. Case Study

Question 1

NFIB v. Sebelius (2012) (J. Roberts) Individual Mandate N&P?

Answer 1

N&P
Mandate is not essential to Congress’s power to regulate other aspects of health care

Not consistent w/ enumerated powers, distinguished from Raich, which had commerce clause

Question 2

Sebelius (2012) (Roberts)

Individual Mandate Commerce Power

Answer 2

can’t force someone to engage in commerce

Gov’t argues that this address cost-shifting problem – failure of some people to purchase health insurance has substantial effect on interstate commerce by raising insurance costs for those who do have it

Court rejects this: compels people to act, compels people not participating in commerce to start participating

Question 3

Sebelius (2012) (Roberts)

Individual Mandate Tax power

Answer 3

Drexel’s 3-element test – (1) tax imposed burden; (2) punitive or incentive; (3) who administers?

tax is cheaper than purchasing insurance so not coercive or penalty, just incentive; administered by IRS

Question 4

Sebelius Medicaid expansion provision

Answer 4

Holding: Unconstitutional b/c unduly coercive, but severable

Spending power analysis: Congress can require conditions for states to meet to get federal $, BUT can’t commandeer the states or be unduly coercive (10th amendment)
This is “gun to the head” of states.