Thursday, December 24, 2009

The legislative process takes a holiday break

The Senate passed HR 3590, its leadership's health care reform bill, this morning by a 60 to 39 party line vote. The Senate will take a break until Janaury 19.

The Washington Post reports that rather than use a conference committee, the House and Senate leadership are expected to negotiate amendments to the Senate bill. The amended Senate bill will be presented first to the House and then the Senate.

The Post also reports that the President expects that the 40% excise tax will be included in the final bill. Also Speaker Pelosi has expressed her approval for the compromise approach under which OPM would negotiate multi state plans that would be included in the health insurance exchanges.

Yesterday, OPM released a message about the recent statutory extension of the COBRA / TCC subsidy. The defense appropriations act extended the Program deadline to February 28, 2010 and expanded the subsidy period from nine to fifteen months. OPM's message notes that the defense appropriations act changed the subsidy eligibility rules such that only the involuntary termination of employment must occur before March 1, 2010. Previously, the law required that the termination and COBRA / TCC enrollment had to occur by the statutory deadline. This meant that the statutory deadline was advanced 31 days for FEHB purposes due to the 31 day automaticextension for conversion available to involuntary terminees. The Labor Department has posted a fact sheet on the statutory changes to the subsidy program.

Happy Holidays.

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