House of Representatives Passes Healthcare Reform Legislation

The U.S. House of Representatives narrowly passed its Obamacare "repeal and replace" legislation on May 4. The legislation effectively eliminates the employer and employee mandates; replaces Obamacare’s with tiered tax credits (increasing with age); allows states to apply for waivers to define their own essential health benefit requirements; expands the limits for Health Savings Account; discontinues Medicaid expansion in 2020; and repeals most of Obamacare’s taxes. The legislation also would delay implementation of the Cadillac Tax by five years, from 2020 to 2025, and it preserves the tax exclusion for employer sponsored insurance.
More
 

The U.S. House of Representatives narrowly passed its Obamacare "repeal and replace" legislation known as the American Health Care Act by a 217 to 213 vote on May 4. The legislation effectively eliminates the employer and employee mandates; replaces Obamacare’s with tiered tax credits (increasing with age); allows states to apply for waivers to define their own essential health benefit requirements; expands the limits for Health Savings Account; discontinues Medicaid expansion in 2020; and repeals most of Obamacare’s taxes. The legislation also would delay implementation of the Cadillac Tax by five years, from 2020 to 2025, and it preserves the tax exclusion for employer sponsored insurance.

Twenty Republicans and all Democrats voted against the AHCA, which now will be considered by the U.S. Senate where its fate is far from clear.

There are several changes likely to be made to the package in the Senate, but the chamber’s ability to amend the legislation will be hampered by its own reconciliation rules, which will limit the bill to provisions that have a fiscal impact. These limitations allow the Senate to bypass its normal 60-vote threshold and pass the measure by a simple majority vote.

Republicans have a 52-seat majority and will only be able to lose two votes from their caucus. Democrats are expected to unite against the measure. Rumored changes to the package in the Senate could include increased subsidies, more money for high risk pools, and changes to Medicaid expansion provisions.

Subscribe to Updates

NATSO provides a breadth of information created to strengthen travel plazas’ ability to meet the needs of the travelling public in an age of disruption. This includes knowledge filled blog posts, articles and publications. If you would like to receive a digest of blog post and articles directly in your inbox, please provide your name, email and the frequency of the updates you want to receive the email digest.