The Senate originally released their healthcare legislation,
called the Better Care Reconciliation Act of 2017 (BCRA), on June 22nd in response to the House of Representatives’ version, called the American Health Care Act (AHCA), which was passed by the House on May 4th. On July 13, 2017 the Senate released another updated Discussion Draft of the BCRA in hopes of gaining enough support by swing vote senators to pass the BCRA by a simple majority vote through the budget reconciliation process. The July 13 Discussion Draft largely mirrors the previous draft BCRA. Its primary revisions are unlikely to have a significant impact on employer-sponsored group health plan coverage but include allowing people to use health savings accounts (HSAs) to pay for individual marketplace coverage when premiums exceed tax credits and maintaining the 3.8% net investment income tax and 0.9% Medicare payroll tax on high-wage earners. Employers should maintain Affordable Care Act compliance as the legislative process continues. This Legal Alert features a comparison chart of the current ACA, House AHCA, and updated Senate Discussion Draft of the BCRA.
For more information, click HERE to read this important legal alert.