LANSING – On Monday evening, House Republicans introduced legislation that seeks to repeal and replace the Affordable Care Act (ACA). The single most important thing to remember, at least at this moment in time, is that until the Affordable Care Act is not the law of the land, it is the law of the land. All of the requirements, regulations and penalties still apply until the U.S. House of Representatives and the U.S. Senate agree on final language, affirmatively vote on repeal and send new legislation to the President which he then signs. That won’t be easy and it will take some time.
As SBAM reviews the legislation, we do that through the lens of the small business community. Over the next weeks and months, there will be much written on the provisions – good, bad and indifferent. Our goal is to help you understand what provisions will impact your business, as well as how and when things may play out.
The package of bills was released by the Energy and Commerce Committee and the Ways and Means Committee. Between now and 2020, the intent is to phase out the Affordable Care Act and phase in the replacement. Combined, the bills are designed to end the employer and the individual mandates by reducing the penalties for non-compliance to zero. Additionally, they will repeal the litany of taxes installed to pay for the Affordable Care Act including the tax on health insurance premiums, medical device tax, tanning tax, Medicare Part D tax, etc. The current method of premium and out-of-pocket subsidies would be replaced with a new form of subsidy for people purchasing coverage in the individual market based upon age with an income cap. The Small Business Tax Credit would end as well. Given that very few small businesses took advantage of this, it most likely won’t be missed by many. The “metal tiers” that resulted in Platinum, Gold, Silver and Bronze level plan designs and essential minimum coverage would also go away.
To read the rest of this story by SBAM’s Scott Lyon, click on https://www.sbam.org/Resources/tabid/97/ArtMID/2980/ArticleID/2758/Health-Care-Reform-What-is-going-on-with-repeal-and-replace.aspx
