Federal court overturns lower court ruling, allowing DACA recipients access to Obamacare despite state opposition and past assurances.
At a Glance
- Federal appeals court upholds Biden administration’s authority to extend Obamacare to DACA recipients
- 18 states oppose the decision, citing potential increased financial burdens for taxpayers
- Decision contradicts past assurances that Obamacare would not cover undocumented immigrants
- Enrollment numbers for ACA are lower than last year, with new rule allowing “Dreamers” to enroll
- Cost estimates suggest enrolling DACA recipients could cost taxpayers $300 million to $2.8 billion annually
Federal Court Overturns Blockage of DACA Recipients’ Obamacare Access
In a significant turn of events, a federal appeals court has affirmed the Biden administration’s authority to extend Obamacare coverage to Deferred Action for Childhood Arrivals (DACA) recipients. This decision overturns a lower court’s blocking of the move, allowing DACA participants, who receive “temporary” protection from deportation, to seek coverage through the Affordable Care Act (ACA) nationwide. The ruling has sparked controversy and opposition from 18 states, which argue that including these immigrants could lead to increased financial burdens for taxpayers.
The U.S. Court of Appeals for the Eighth Circuit granted a stay on the District Court’s order, effectively allowing DACA recipients to enroll in Obamacare. This decision presents a stark divergence from past assurances that the ACA would not cover undocumented immigrants, as indicated by former President Obama. The case, titled Kansas v. United States, No. 1:24-cv-00150, in the U.S. District Court of the District of North Dakota, continues to be a subject of ongoing federal court proceedings.
A federal judge sided with Florida and 18 other states that challenged a Biden administration rule to allow Dreamers to access the Affordable Care Act, but an appeals court has issued a stay.https://t.co/rj3Yjo6e8q pic.twitter.com/dug7rdwCbI
— WUSF (@wusf) December 19, 2024
Enrollment Numbers and Cost Implications
While this ruling opens doors for DACA recipients, it’s important to note that overall ACA enrollment numbers are lagging. New enrollments under the Affordable Care Act are projected to be a million less than last year’s record numbers. Enrollment on healthcare.gov is lower than last year, with new enrollments at 730,000 compared to 1.5 million the previous year. The Centers for Medicare & Medicaid Services has extended the enrollment deadline to December 18 for coverage starting January 1, and January 15 for coverage starting February 1.
The federal government estimates that around 100,000 uninsured DACA recipients might sign up for coverage, with 2,700 already enrolled in the states that filed the suit. However, the financial implications of this decision are significant. Cost estimates suggest that enrolling these DACA recipients in Obamacare could cost American taxpayers approximately $300 million annually, with other estimates suggesting a potential $2.8 billion annual financial burden.
State Opposition and Legal Challenges
The decision to allow DACA recipients access to Obamacare has faced strong opposition from 18 states. These states, including Alabama, Arkansas, Florida, Idaho, Indiana, Iowa, Kansas, Kentucky, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, Texas, and Virginia, argue that the rule will cause administrative burdens and encourage more people to stay in the U.S. without permanent legal status.
The original case was filed in North Dakota, with the District Court initially ruling in favor of the 19 states challenging the Dreamers directive. District Judge Daniel Traynor had issued a preliminary injunction to prevent the Biden administration from implementing this rule while the case was under review. However, the recent appeals court decision has overturned this blockage.
Historical Context and Policy Shift
This recent development marks a significant shift from previous policies and assurances. In 2012, President Obama had assured Americans that illegal aliens would not be eligible for Obamacare, a statement that was publicly challenged by Rep. Joe Wilson. The DACA program itself was initially created by former President Obama via executive order, protecting over a million illegal aliens from deportation.
In May of this year, President Biden and Vice President Harris announced a rule to allow some DACA recipients to access Obamacare, considering them “lawfully present” for ACA enrollment purposes. This move has reignited debates about immigration policy, healthcare access, and the financial implications of extending government benefits to non-citizens.
