147 ppaca oct 1 2013 notice
2
Kelley Baker Karen Haase Steve Williams Bobby Truhe [email protected] [email protected] [email protected] [email protected] @KarenHaase @SteveisEsteban @btruhe REQUIRED PPACA ("OBAMACARE") OCTOBER 1 NOTICE Both the Patient Protection and Affordable Care Act ("PPACA"), and the Fair Labor Standards Act ("FLSA") now require employers to give written notice to their employees about the employer's health plan. This requirement applies to public school districts just like it applies to any other employer. First things first: although the IRS has announced that it will not be enforcing the employer mandate, all schools must still mail this notice to their employees on or before October 1, 2013. Blue Cross/Blue Shield, through the Educators Health Alliance, sent a reminder to all EHA participants with a link to the model notice proposed by the Federal Department of Labor. We recommend using this form, because it will meet the notice requirements imposed by the federal regulations. You can access the model notice form by following this link: http://www.dol.gov/ebsa/pdf/FLSAwithplans.pdf The notice contains 3 pages. We recommend discarding the 3rd page, which is optional. The first 2 pages of the notice are relatively simple, but the second page checkboxes discussing "eligible" participants and "eligible" dependents requires careful consideration. Keep in mind that "eligible" means that the employee has the option to enroll in the district's coverage; it does not mean that the district pays for the coverage (in addition to the 50% employer contribution required by EHA). In other words, any employee that can enroll in the district's plan regardless of how much they would be required to pay is an "eligible" employee. However, if your district does not allow an employee or group of employees to enroll, they are not "eligible." Generally speaking, most districts allow all "eligible" employees to enroll their dependents, regardless of whether the district pays for all dependent coverage or only pays for a single coverage. Thus, most districts will have spouse and children as "eligible dependents." We recommend sending this notice to all employees, including substitute teachers and community member coaches or extracurricular sponsors. We also recommend sending the notice via first-class mail, which is the simplest way to send it and one of only 2 permissible methods of delivery under the regulations. Be sure to keep a log of recipients, too.
-
Upload
ksb-school-law -
Category
Documents
-
view
212 -
download
0
description
Â
Transcript of 147 ppaca oct 1 2013 notice
Kelley Baker Karen Haase Steve Williams Bobby Truhe [email protected] [email protected] [email protected] [email protected] @KarenHaase @SteveisEsteban @btruhe
REQUIRED PPACA ("OBAMACARE") OCTOBER 1 NOTICE
Both the Patient Protection and Affordable Care Act ("PPACA"), and the Fair Labor Standards Act ("FLSA") now require employers to give written notice to their employees about the employer's health plan. This requirement applies to public school districts just like it applies to any other employer.
First things first: although the IRS has announced that it will not be enforcing the employer mandate, all schools must still mail this notice to their employees on or before October 1, 2013.
Blue Cross/Blue Shield, through the Educators Health Alliance, sent a reminder to all EHA participants with a link to the model notice proposed by the Federal Department of Labor. We recommend using this form, because it will meet the notice requirements imposed by the federal regulations. You can access the model notice form by following this link: http://www.dol.gov/ebsa/pdf/FLSAwithplans.pdf
The notice contains 3 pages. We recommend discarding the 3rd page, which is
optional. The first 2 pages of the notice are relatively simple, but the second page checkboxes discussing "eligible" participants and "eligible" dependents requires careful consideration. Keep in mind that "eligible" means that the employee has the option to enroll in the district's coverage; it does not mean that the district pays for the coverage (in addition to the 50% employer contribution required by EHA). In other words, any employee that can enroll in the district's plan regardless of how much they would be required to pay is an "eligible" employee. However, if your district does not allow an employee or group of employees to enroll, they are not "eligible."
Generally speaking, most districts allow all "eligible" employees to enroll their
dependents, regardless of whether the district pays for all dependent coverage or only pays for a single coverage. Thus, most districts will have spouse and children as "eligible dependents."
We recommend sending this notice to all employees, including substitute teachers and
community member coaches or extracurricular sponsors. We also recommend sending the notice via first-class mail, which is the simplest way to send it and one of only 2 permissible methods of delivery under the regulations. Be sure to keep a log of recipients, too.
Finally, districts must give this notice to all new employees after the October 1, 2013 deadline. We recommend adding this notice to your new employee packet which goes to all new employees with documents such as the I-9.
While the notice seems relatively simple, we have assisted many districts in preparing it to ensure that it provides the clarity required by the federal regulations. If you have questions about the notice, or if you would like assistance in preparing it, feel free to contact your school district's attorney or Kelley, Karen, Steve, or Bobby.
I:\3\7613\E-mail Updates\147 PPACA Oct 1 2013 Notice.docx
