The state argued that federal healthcare officials cut the funding as a way to coerce Florida into dropping its refusal to expand Obamacare for the working poor in Florida.
"The president, once again, is overstepping his authority, this time by trying to force Florida to expand Medicaid through the Affordable Care Act," Florida Attorney General Pam Bondi said in a statement announcing the lawsuit.
"The federal government is trying to do precisely what the U.S. Supreme Court held that the Constitution prohibits it from doing: forcing states to expand Medicaid by threatening to cut off funding for unrelated programs," she added.
In 2012, the U.S. Supreme Court upheld Obama's signature healthcare law but ruled that each state could decide on the law's expansion of eligibility for Medicaid.
Bondi argued it was unconstitutional for the Obama administration to now try to use the Low Income Pool (LIP) as a "bargaining chip" to force Florida to accept the Medicaid expansion. Read More