Mayors, doctor groups sue over Trump's efforts to restrict Obamacare
enrollment
[July 02, 2025]
By AMANDA SEITZ
WASHINGTON (AP) — New Trump administration rules that give millions of
people a shorter timeframe to sign up for the Affordable Care Act's
health care coverage are facing a legal challenge from Democratic mayors
around the country.
The rules, rolled out last month, reverse a Biden-era effort to expand
access to the Affordable Care Act's health insurance, commonly called
“Obamacare” or the ACA. The previous Democratic administration expanded
the enrollment window for the coverage, which led to record enrollment.
The Department of Health and Human Services rolled out a series of new
restrictions for Obamacare late last month, just as Congress was
weighing a major bill that will decrease enrollment in the health care
program that Republican President Donald Trump has scorned for years. As
many as 2 million people — nearly 10% — are expected to lose coverage
from the health department's new rules.
The mayors of Baltimore, Chicago and Columbus, Ohio sued the federal
health department on Tuesday over the rules, saying they will result in
more uninsured residents and overburden city services.
“Cloaked in the pretense of government efficiency and fraud prevention,
the 2025 Rule creates numerous barriers to affordable insurance
coverage, negating the purpose of the ACA to extend affordable health
coverage to all Americans, and instead increasing the population of
underinsured and uninsured Americans,” the filing alleges.
Two liberal advocacy groups — Doctors for America and Main Street
Alliance — joined in on the complaint.
The federal health department announced a series of changes late last
month to the ACA. It will shorten the enrollment period for the federal
marketplace by a month, limiting it to Nov. 1 to Dec. 15 in 2026. Income
verification checks will become more stringent and a $5 fee will be
tacked on for some people who automatically re-enroll in a free plan.
Insurers will also be able to deny coverage to people who have not paid
their premiums on past plans. The rules also bar roughly 100,000
immigrants who were brought to the U.S. as children from signing up for
the coverage.
[to top of second column]
|
Health and Human Services Secretary Robert F. Kennedy Jr. speaks
during a MAHA bill signing at Pennington BMRC, Friday, June 27,
2025, in Baton Rouge, La. (Javier Gallegos/The Advocate via AP)
 The new rules “safeguard the future
of the marketplace,” and will lower premiums for those who remain in
the program, HHS spokesman Andrew Nixon said in a statement.
“The rule closes loopholes, strengthens oversight, and ensures
taxpayer subsidies go to those who are truly eligible—that’s not
controversial, it’s common sense,” Nixon said.
But the three mayors argue that the polices were introduced without
an adequate public comment period on the policies.
“This unlawful rule will force families off their health insurance
and raise costs on millions of Americans. This does nothing to help
people and instead harms Americans’ health and safety across our
country,” said Skye Perryman, the president of Democracy Forward,
which is representing the coalition of plaintiffs in the lawsuit.
The lawsuit does not challenge the Trump administration’s
restriction on immigrants signing up for the coverage.
The Biden administration saw gains in Obamacare enrollment as a
major success of the Democratic president's term, noting that a
record 24 million people signed up for the coverage, thanks to
generous tax breaks offered through the 2022 Inflation Reduction
Act.
But the program has been a target of Trump, who has said it is
riddled with problems that make the coverage unaffordable for many
without large subsidies. Enrollment in the program dipped during his
first term in office.
All contents © copyright 2025 Associated Press. All rights reserved
 |
