[House Hearing, 113 Congress]
[From the U.S. Government Publishing Office]




 
   OVERSIGHT OF IRS' LEGAL BASIS FOR EXPANDING OBAMACARE'S TAXES AND 
                               SUBSIDIES

=======================================================================

                                HEARING

                               before the

                     SUBCOMMITTEE ON ENERGY POLICY,
                      HEALTH CARE AND ENTITLEMENTS

                                 of the

                         COMMITTEE ON OVERSIGHT
                         AND GOVERNMENT REFORM

                        HOUSE OF REPRESENTATIVES

                    ONE HUNDRED THIRTEENTH CONGRESS

                             FIRST SESSION

                               __________

                             JULY 31, 2013

                               __________

                           Serial No. 113-61

                               __________

Printed for the use of the Committee on Oversight and Government Reform


         Available via the World Wide Web: http://www.fdsys.gov
                      http://www.house.gov/reform



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              COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM

                 DARRELL E. ISSA, California, Chairman
JOHN L. MICA, Florida                ELIJAH E. CUMMINGS, Maryland, 
MICHAEL R. TURNER, Ohio                  Ranking Minority Member
JOHN J. DUNCAN, JR., Tennessee       CAROLYN B. MALONEY, New York
PATRICK T. McHENRY, North Carolina   ELEANOR HOLMES NORTON, District of 
JIM JORDAN, Ohio                         Columbia
JASON CHAFFETZ, Utah                 JOHN F. TIERNEY, Massachusetts
TIM WALBERG, Michigan                WM. LACY CLAY, Missouri
JAMES LANKFORD, Oklahoma             STEPHEN F. LYNCH, Massachusetts
JUSTIN AMASH, Michigan               JIM COOPER, Tennessee
PAUL A. GOSAR, Arizona               GERALD E. CONNOLLY, Virginia
PATRICK MEEHAN, Pennsylvania         JACKIE SPEIER, California
SCOTT DesJARLAIS, Tennessee          MATTHEW A. CARTWRIGHT, 
TREY GOWDY, South Carolina               Pennsylvania
BLAKE FARENTHOLD, Texas              MARK POCAN, Wisconsin
DOC HASTINGS, Washington             TAMMY DUCKWORTH, Illinois
CYNTHIA M. LUMMIS, Wyoming           ROBIN L. KELLY, Illinois
ROB WOODALL, Georgia                 DANNY K. DAVIS, Illinois
THOMAS MASSIE, Kentucky              PETER WELCH, Vermont
DOUG COLLINS, Georgia                TONY CARDENAS, California
MARK MEADOWS, North Carolina         STEVEN A. HORSFORD, Nevada
KERRY L. BENTIVOLIO, Michigan        MICHELLE LUJAN GRISHAM, New Mexico
RON DeSANTIS, Florida

                   Lawrence J. Brady, Staff Director
                John D. Cuaderes, Deputy Staff Director
                    Stephen Castor, General Counsel
                       Linda A. Good, Chief Clerk
                 David Rapallo, Minority Staff Director

      Subcommittee on Energy Policy, Health Care and Entitlements

                   JAMES LANKFORD, Oklahoma, Chairman
PATRICK T. McHENRY, North Carolina   JACKIE SPEIER, California, Ranking 
PAUL GOSAR, Arizona                      Minority Member
JIM JORDAN, Ohio                     ELEANOR HOLMES NORTON, District of 
JASON CHAFFETZ, Utah                     Columbia
TIM WALBERG, Michigan                JIM COOPER, Tennessee
PATRICK MEEHAN, Pennsylvania         MATTHEW CARTWRIGHT, Pennsylvania
SCOTT DesJARLAIS, Tennessee          TAMMY DUCKWORTH, Illinois
BLAKE FARENTHOLD, Texas              DANNY K. DAVIS, Illinois
DOC HASTINGS, Washington             TONY CARDENAS, California
ROB WOODALL, Georgia                 STEVEN A. HORSFORD, Nevada
THOMAS MASSIE, Kentucky              MICHELLE LUJAN GRISHAM, New Mexico


                            C O N T E N T S

                              ----------                              
                                                                   Page
Hearing held on July 31, 2013....................................     1

                               WITNESSES

The Hon. E. Scott Pruitt, Attorney General, State of Oklahoma
    Oral Statement...............................................     4
    Written Statement............................................     7
Mr. Charles Willey, MD, CEO, Innovare Health Advocates Inc.
    Oral Statement...............................................    12
    Written Statement............................................    14
Mr. Simon Lazarus, Senior Counsel, Constitutional Accountability 
  Center
    Oral Statement...............................................    17
    Written Statement............................................    20
Mr. Jonathan Adler, Professor of Law, Case Western Reserve 
  University
    Oral Statement...............................................    31
    Written Statement............................................    33
Ms. Emily S. McMahon, Deputy Assistant Secretary for Tax Policy, 
  U.S. Department of The Treasury
    Oral Statement...............................................    66
    Written Statement............................................    68

                                APPENDIX

The Honorable James Lankford, a Member of Congress from the State 
  of Oklahoma, Opening Statement.................................    96
A letter to Chairman Darrell E. Issa in Response to a Request for 
  Info. about CBO's March 20, 2010 Cost Estimate for H.R. 4872...    99
The Honorable Jackie Speier, a Member of Congress from the State 
  of California, Opening Statement...............................   100
Legal Analysis of Availability of Premium Tax Credits in State 
  and Federally Created Exhanges Pursuant to the Affordable Care 
  Act from Jennifer Staman and Todd Garvey, Legislative Attorneys   103
Health Insurance Exchanges: Legal Issues.........................   113
House, Senate View Health Exchanges Differently by Julie Rovner..   150
The Hon. Lloyd Doggett, a Member of Congress from the State of 
  Texas: Settling for Second-Rate Health Care Doesn't Serve 
  Texans.........................................................   153
A Letter to Chairman Issa from Alastair M. Fitzpayne, Asst. 
  Secretary for Legislative Affairs, Dept of the Treasury........   155
Post Hearing Questions for Emily McMahon.........................   159



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