With all the talk about repealing and replacing Obamacare, and now with the second round of talks fizzling, Trump is facing a major embarrassment. But he could end the monstrosity tomorrow if he wanted…

In the United States, Congress determines how Federal money is spent. Specifically, the House of Representatives has what is usually referred to as the “power of the purse.” The Constitution authorizes the House to raise revenue through levying taxes and borrowing money (Article I, Section 8).

Article I, Section 9, then gives Congress the sole authority for directing how that money is spent. “No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law.” Which means, that money can only be spent as directed by the bills that originate in Congress. When signed by the President, they become law.

The President cannot spend money — draw it from the Treasury — on causes that are not authorized by the law.

The Obama Administration, as it turns out, was doing just that in order to keep Obamacare afloat. Infowars ran several articles documenting this fraud:

WASHINGTON, D.C. – A careful analysis of the Treasury Department’s “Agency Financial Report for Fiscal Year 2013” provides evidence the Obama administration stole from Fannie and Freddie investors to fund Obamacare.

Guided by a CPA, who worked for two years for a major U.S. accounting firm as an outside auditor for Freddie Mac, Infowars.com has documented in the Treasury Department’s 2013 financial reports how the Obama administration diverted into Obamacare billions of dollars that Treasury confiscated from Freddie and Fannie earnings.

SIDE-STEPPING CONGRESS

Why should something like this even need to be done? What omission in the Obamacare law made this necessary? Again, a recent article at Infowars explains:

The point is Congress never funded any taxpayer funds to pay the low-income insurance subsidies that are at the heart of making the ACA work.

What is at issue is Section 1402 of the ACA – a section written to provide federal subsidies to insurance companies for insurance purchased on state insurance exchanges to cover the difference between the capped maximum a low-income purchaser could be expected to pay and the amount the insurance cost.
Without funds provided by Congress to pay the low-income insurance subsidies under 1402, Obamacare collapses almost immediately.

No insurance company can long afford to provide low-income health insurance at a discount, unless the federal government pays the difference between what the insurance truly costs and the limited amount low-income purchasers can pay.

The Obama administration took investor funds — approximately $260 billion — out of Freddie and Fannie Mae to fund Obamacare subsidies. The Obamacare law did not authorize this maneuver. The House of Representatives uncovered this Constitutional violation and sued the Obama administration in 2014.

In May of 2016, a US District Judge ruled in favor of the House of Representatives. Infowars reports that “Paying out Section 1402 reimbursements without an appropriation thus violates the Constitution,” Judge Collyer concluded.

TRUMP ADMINISTRATION INTERNALLY CONFLICTED

Obama’s Justice Department appealed this decision. In the meantime, it continued funding the subsidies. Now, Obama’s Justice Department has become Trump’s Justice Department.

Trump’s administration is a case of the right hand not knowing what the left hand is doing. His internal machinery is working against itself.

He can stop this. He could simply direct his Justice Department to accept the court’s decision and stop pursuing the appeal. Obamacare would then implode because the insurance companies would be forced to absorb the difference. They would abandon the market faster than they are now. Costs would skyrocket. Obamacare would enter its final death spiral.

The liberals would go into Twitter-spasms.

The President needs to know about this. He needs to be urged to abandon Obama-era policies. Trump must stop fighting Obama’s battles if he intends to fulfill his campaign promises.

If you think Trump needs to honor the Judge’s decision, then share this article and help get the word out.