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Court revives challenge to Arizona Medicaid plan

PHOENIX -- The Arizona Court of Appeals has revived a lawsuit challenging Gov. Jan Brewer's expansion of the state's Medicaid insurance plan for the poor.

The court ruled Tuesday that lawmakers have the right to sue over a hospital assessment that funds the expansion. Republicans in the House and Senate sued last year over the assessment, arguing that it is essentially a tax that required a two-thirds majority vote to pass. Only a bare majority passed the expansion.

A Maricopa County judge in February dismissed the case, saying lawmakers did not have the right to sue. The judge said it is the legislature itself that decided if a supermajority vote is needed.

The appeals court rejected that decision and sent the case back to Judge Katherine Cooper for more action.

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