Ways and Means Markup: SBE Council Letter of Support for Key Health Coverage Reform Bills

VIENNA, Virginia, June 8 (TNStalk) -- The Small Business and Entrepreneurship Council issued the following letter on June 7, 2023, by President and CEO Karen Kerrigan:

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To: The Honorable Jason Smith, Chairman, House Ways and Means Committee, U.S. House of Representatives, Washington, D.C. 20515

The Honorable Richard Neal, Ranking Member, Ways and Means Committee, U.S. House of Representatives, Washington, D.C. 20515

Dear Chairman Smith and Ranking Member Neal:

Policies that relieve unnecessary burdens and improve affordable access to health care and coverage, and ones that deliver certainty and flexibility are appreciated by small business owners and their employees during this challenging economic period. Therefore, the Small Business & Entrepreneurship Council (SBE Council) is pleased to support several bills that the Ways and Means Committee will consider.

The "Telehealth Expansion Act of 2023" (H.R. 1843) makes permanent CARES-Act policy that allows employers and health plans to provide coverage for telehealth services on a pre-deductible basis. While born out of crisis and necessity during COVID-19, telehealth has significantly expanded health care access and mental health services. H.R. 1843 would ensure that millions of Americans with a high-deductible health plan and those with employer-sponsored coverage do not lose access to this pre-deductible coverage. Telehealth offers convenience, flexibility and cost savings for individuals, families, workers and business owners alike, while ensuring that those who lack transportation, experience mobility issues, or reside in areas lacking doctors or providers have access to health care services.

The "Chronic Disease Flexible Coverage Act" (H.R. 3800) codifies Internal Revenue Service guidance relating to treatment of certain services and items for chronic conditions as meeting the preventive care deductible safe harbor for purposes of high deductible health plans in connection with health savings accounts. Codifying this guidance promotes certainty and clarity for plans and administrators, and for people with chronic conditions.

The "Paperwork Burden Reduction Act" (H.R. 3797) will relieve small businesses from outdated requirements to mail health-coverage related paperwork - specifically forms 1095-B and 1095-C - to employees to prove compliance with the individual healthcare mandate under the Affordable Care Act. The individual mandate was repealed in 2017, and took effect in 2019. The bill allows for online access to these forms for employees who request or need them.

The "Employer Reporting Improvement Act" (H.R. 3801) allows for electronic reporting of health plan information and creates limits on application of employer penalties. This will promote efficiency and reduce administrative costs in our health care system, which is needed in many other areas to generate accumulative cost reduction.

The "Small Business Flexibility Act" (H.R. 3798) requires the U.S. Treasury Department to educate employers about the availability of tax-advantaged flexible health insurance benefits. The initial focus of this outreach would be targeted to small businesses. Various coverage options - such as ICHRAs, QSHRAs, and the Small Employer Health Insurance Credit - could experience a significant uptake in usage if more small business owners learned about them. While SBE Council supports a variety of practical reforms within these options to enhance their usage among small businesses (as noted in my Ways and Means testimony on March 23, 2023), boosting educational efforts is an important step in providing small businesses more information about the affordable coverage choices that are available to them.

The "Custom Health Option and Individual Care Expense Arrangement Act" (H.R. 3799) amends the Internal Revenue Code of 1986 to provide for health reimbursement arrangements integrated with individual health insurance coverage (with certain modifications). Codification will serve to promote usage and adoption, while clarifying the statute governing this option for coverage.

SBE Council appreciates your leadership, and the work of committee members, in advancing important reforms that reduce cost and administrative burdens while promoting efficiencies and choices. We look forward to committee action on these bills, and our collaborative work on other important reforms that are needed to improve choice, affordability and access to health coverage for America's small businesses and their dedicated employees.

Sincerely,

Karen Kerrigan, President & CEO

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Original text here: https://sbecouncil.org/2023/06/07/ways-and-means-markup-sbe-council-letter-of-support-for-key-health-coverage-reform-bills/