Legislative Update Senate consideration of health care reform legislation entered a third week of debate. A compromise on the public plan option between moderate and liberal Democrats whereby private insurers would offer national plans administered by the Office of Personnel Management (OPM)and Medicare fell apart.
The planwould have been expanded to cover 55-64 year olds. Several senators expressed reservations about expanding Medicare, given cost concerns and low provider reimbursement rates, although it appears the OPM-administered national health plans idea will be retained.
In another development Senator Ben Nelson (NE) announced on Saturday that he resolved his difference with the language centered on abortion and is now prepared to vote in favor of the bill. That was the last major hurdle the Democrats needed to overcome to get the 60 votes necessary for cloture.
The Senate is scheduled to vote on passage of this legislation at 8:00 AM on Thursday (Christmas Eve).
President Barack Obama signed legislation into law on Dec. 19, 2009, extending for six months a federal subsidy to help unemployed workers acquire health insurance through their former employers health care coverage guaranteed by the Consolidated Omnibus Reconciliation Act, better known as COBRA.
Following are the key changes to the COBRA subsidy program:
Extends the duration of the COBRA premium subsidy payments from nine to 15 months.
Extends the eligibility date for the program from Dec. 31, 2009 to the end of February 2010.
According to the law, workers who are laid off from their jobs on or before Feb. 28 can qualify to receive the subsidy payments.
COBRA beneficiaries whose nine month subsidy has run out will receiveanadditional six months of subsidy and will have a second opportunity to elect COBRA coverage.
In addition, the legislation allows for a retroactive payment for those assistance-eligible individuals whose subsidy period expired on November 30, 2009 and who failed to pay their December premium. This bill was viewed as a must pass piece of legislation, so this comes as no surprise.
If you have any questions in regard to these matters contact me at (330) 572-8049 or .
About the Author
Jim Krosky is a manager in the firms human resources consulting practice, under its affiliate, BCG Resources, Inc. His specialized expertise gives our clients customized, cost-effective solutions to human resource-related projects and issues. With over 13 years of related experience, Jims extensive HR background includes work as an HR manager in both the manufacturing and construction industries. Jim holds the SPHR (Senior Professional in Human Resources) certification and earned a BSBA in Management from The University of Akron. He is an active member of the national and local chapters of the Society for Human Resource Management (SHRM) and is chairman of the Governmental Affairs Committee for Akron SHRM and is also a member of the Business Development Committee with the Medina Chamber.
