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Administration delays ACA employer penalty

July 3, 2013

The Department of the Treasury late yesterday announced it will postpone for one year the requirement that businesses cover their workers under the Patient Protection and Affordable Care Act. “The administration is announcing that it will provide an additional year before the ACA mandatory employer and insurer reporting requirements begin,” the department said, noting additional guidance will follow within a week. In a statement, AHA President and CEO Rich Umbdenstock said, “While the administration has already recognized that some of the Medicaid and Medicare Disproportionate Share Hospital programs cuts should be delayed because the level of coverage envisioned in the ACA is not being met, this announcement clearly shows the need to eliminate the cuts for two years. As the administration continues to recommend adjustments to the law, this should be a key consideration. A growing number of congressmen, led by Rep. John Lewis (D-GA), agree with this solution. We will continue to work with Congress and the administration on the implementation of the law to make sure that the coverage needs for the uninsured are met.”