NAM VP commented on Baucus legislation.
Press Release Summary:
Jay Timmons commended health reform legislation proposed by Senator Max Baucus, who made efforts to protect and maintain the Employee Retirement Income Security Act (ERISA). While there are concerns about provisions to limit Flexible Spending Accounts as well as the imposition of excise tax on health insurance plans, NAM encourages members to consider provisions that reduce costs for manufacturers and their employees while improving access to quality care.
Original Press Release:
NAM Comment on Baucus Legislation
Manufacturers Group Will Work For Cost Reductions
WASHINGTON, D.C., September 18, 2009 - The National Association of Manufacturers (NAM) Executive Vice President Jay Timmons today issued the following statement in response to health reform legislation proposed by Senator Max Baucus (D-MT), Chairman of the Senate Finance Committee:
The NAM commends Senator Baucus for his efforts to protect and maintain the Employee Retirement Income Security Act (ERISA) with his health care proposal.
As the Senate Finance Committee works to accept amendments to Senator Baucus' health care proposal, the NAM is encouraging members to consider provisions that reduce costs for manufacturers and their employees while improving access to quality care.
Specifically, the NAM has serious concerns about the current proposal to impose an excise tax on health insurance plans that is included in the bill. We believe that the tax would put a greater burden on manufacturers with older workforces as well as small manufacturers whose plans are more expensive because they have smaller risk pools. Further, because the tax is indexed to inflation instead of medical costs, we believe that as time goes by, more and more manufacturers will be hit by this tax.
The NAM also has concerns that provisions to limit Flexible Spending Accounts will jeopardize flexible design benefits that have empowered employees to manage their health expenses while improving their access to affordable coverage. Increased industry fees and new corporate reporting requirements are additional proposals that will add costs and make it more difficult for employers to continue providing health coverage for their employees.
We are working with members of Senate Finance Committee to address these issues and we are hopeful our concerns will be taken into account as amendments are submitted for markup.
The National Association of Manufacturers is the nation's largest industrial trade association, representing small and large manufacturers in every industrial sector and in all 50 states. Headquartered in Washington, D.C., the NAM has 11 additional offices across the country. Visit the NAM's web site at www.nam.org for more information about manufacturing and the economy.
