Congress Debates Association Health Plans
Under legislation passed by the U.S. House of Representatives and awaiting debate in a Senate committee, trade associations will be able to offer their members association health plans (AHPs). AHPs allow smaller businesses to band together to negotiate for the favorable health-insurance rates larger groups often enjoy.

The bill (H. Res. 283/S.545) grants AHPs exemption from some state regulations of health-insurance providers (an exemption already granted to plans offered by labor unions and corporations), but establishes rules of its own governing participation, nondiscrimination and plan documents, as well as other guidelines.

Small-business groups generally support the bills. For instance, the National Federation of Independent Business has been urging its members to contact their Senators to urge the bill’s passage. According to a position paper, NFIB believes: “Through an AHP, small business owners and employees would benefit from the same economies of scale, purchasing clout and administrative efficiencies that their big business counterparts already enjoy. The AHP would result in lower health care costs and new coverage options for the working uninsured, whose only current choices are the high-priced, over-regulated plans that may exist in their individual states.”

On the other hand, some consumer and health-insurer groups oppose the plans. The Coalition to Protect Your HealthCare, for example, warns AHPs can lead to higher premiums, unpaid medical bills, rejected claims and poor management. The site lists hundreds of allies in its opposition, including labor unions, governors’ associations, chambers of commerce and health-care providers and insurance companies.

The Senate bill currently is in committee, and hasn’t been scheduled for a vote as of press time.

To learn more about the bills, visit thomas.loc.gov and search by bill number.

SBA Helps With Paperwork
The U.S. Small Business Administration (SBA), in cooperation with the Office of Management and Budget (OMB), has compiled a list of resources to assist small businesses in complying with the 2002 Paperwork Relief Act.

This comprehensive list offers resources sorted by Cabinet and non-Cabinet departments, including regulatory guides, text of rules and a contact person within each agency who can help small business owners and managers comply with the regulations.

“The latest OMB estimates are that it takes businesses and citizens approximately 8.2 billion hours and $320 billion annually to collect and submit data to the federal government,” says SBA administrator Hector Barreto in a press release. “This takes resources away from starting and expanding small businesses, from creating new products and services and from hiring new employees.”

Barreto praises the new resource list as “breaking down more barriers to small business productivity.”

In The States
2003 Fiscal Year Brings New Laws

In many states, the new year begins not on Jan. 1, but in July. The beginning of a new fiscal year traditionally brings new state laws, and this year is no exception. Some of the laws that will affect building service contractors include:

• Gas-tax increases. As states struggle to balance their budgets, several have turned their attention to gasoline taxes. For instance, BSCs in Maine and Washington state will be paying an extra 2.6 cents per gallon; those in Washington state will be adding a nickel per gallon to their bill.

•Workers in Hawaii who receive health insurance will now get equal benefits for mental and physical illnesses. Small businesses in Connecticut can offer their employees medical savings accounts when regular insurance is too expensive.

• Florida has become the latest state to ban workplace smoking, including in restaurants. New York City enacted a similar ban earlier this year. However, BSCs who clean bars and restaurants might still have to pick up cigarette butts — smokers are congregating outside the establishments, leading to noise and litter complaints.

• The state of Indiana now requires those who send “spam” (unsolicited e-mail) to label their messages as advertisements or adult-oriented material, as circumstances warrant.

• If contractors in California turn on their computers and discover a hacker has paid them a visit, they must tell their customers that their security was breached.

For more information about new state laws, visit your state government’s Web site or contact your legislator’s office.




POSTED ON: 7/1/2003