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March 2007

Bill in the works to OK association health plans

Senate Finance Committee Chair Max Baucus (D-Mont.) is working on new legislation that would permit small businesses to jointly negotiate health plan rates and also give them tax incentives for offering employees coverage, according to a Democratic aide to the committee, CongressDaily reports.

CongressDaily also reports the proposal is in the early stages of development.

According to the aide, Baucus’ legislation will attract more Democratic support than a bill by Sen. Michael Enzi (R-Wyo.), former chair and current ranking member of the Senate Health, Education, Labor and Pensions Committee.

In May 2006, the Senate blocked Enzi’s bill, which received criticism because it would have waived state coverage requirements.

Source: California HealthCare Foundation, www.CaliforniaHealthline.org

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