03/13/2008
Ohio House begins hearings on healthcare reform bill; NFIB and member testify in support of tax credit
NFIB/Ohio Legislative Director Ty Pine and NFIB member Jeff Davis, owner of Scioto Landscaping, testified this week in support of a tax credit for the purchase of health insurance, a provision of House Bill 456 sponsored by Rep. Jim Raussen.
The bill includes a number of healthcare reform-related provisions, but specifically provides some relief to self-employed business owners and their employees by creating a $1,000 tax credit for the purchase of health insurance. Eligibility is limited to individuals and business owners who do not have access employer-sponsored health insurance and whose spouse does not have health insurance.
Pine outlined NFIB/Ohio's support for private-market solutions to the current healthcare crisis, and support for innovative solutions like the tax credit to encourage more individuals and the self employed to purchase health insurance. He also outlined and discussed NFIB's national principles on healthcare reform. Read Pine's testimony.
NFIB member Jeff Davis discussed his company's approach to health insurance and his struggle to contain costs on a year-to-year basis. Read Davis's testimony.
NFIB/Ohio will be working on this provision and other provisions of HB 456 to provide greater options and more affordability to small businesses in the state struggling to afford health insurance.
Ohio House passes regulatory reform bill
The Ohio House this week voted unanimously, 94-0, in support of House Bill 285, legislation to provide important regulatory protections to Ohio's small employers. Introduced by state Rep. Ross McGregor (NFIB member), House Bill 285 provides a one-time waiver of fines and civil penalties associated with paperwork violations for small business owners. While the bill still requires the business owner to complete and submit the required paperwork, it prohibits state agencies from charging excessive fines and penalties for first-time offenses.
NFIB worked with Rep. McGregor to introduce and gather bi-partisan support for the bill.
"As Ohio seeks to add jobs and strengthen its economy, a great way to start is by creating a culture of cooperation with the small businesses that have been creating all of the net new jobs in Ohio for the past five years," said Kyle Jackson, NFIB/Ohio Assistant Legislative Director. "Rep. McGregor's bill does that by encouraging a more productive partnership between government and small businesses. This legislation is a big step toward making Ohio a better place to own, operate and grow a business."
The bill now moves to the Ohio Senate where the Senate State Government and Local Government and Veterans Affairs Committee will hold hearings on the bill.
Ohio Senate passes sales tax bill; NFIB testifies in support
After numerous pieces of legislation and a lot of wrangling at the state and national level, the Ohio Senate this week approved legislation to help protect Ohio's small retailers from previous attempts to complicate the calculation and collection of sales taxes.
House Bill 429, introduced by Rep. Bob Gibbs (NFIB member), provides for the return to origin-based sales tax calculations, also referred to as "point-of-sale." Previously, Ohio had been on a path toward requiring retailers to know, charge, and remit sales taxes based upon the point of delivery for in and out-of-state transactions. This requirement would have proven costly and cumbersome for retailers as Ohio has 91 sales tax jurisdictions, each with the ability to charge their own rate above and beyond the state sales tax rate.
The legislation also allows for monetary reimbursements for employers that had been mandated by the state to switch over or voluntarily moved to a "destination-based" system for figuring sales taxes on intrastate sales. Retailers can apply on July 1, 2009 for a $600 reimbursement for voluntary switches and up to $1,000 for mandatory switches.
NFIB Legislative Director Ty Pine provided testimony in support of the measure. Read his testimony.
The bill passed the Senate unanimously with a 33-0 vote. The bill now heads back to the Ohio House for a concurrence vote.
NFIB launches national healthcare reform effort: "Solutions Start Here"
NFIB has launched Solutions Start Here, an aggressive healthcare reform campaign to urge policymakers to deliver real and meaningful healthcare reform for small business. Kicking off the campaign, NFIB sent a letter to the presidential candidates challenging them to develop reform proposals that support the backbone of the U.S. economy--small businesses. To get involved with Solutions Start Here, visit www.FixedForAmerica.com.
History
More than 15 years ago, comprehensive reform was introduced that did not adequately consider the unique situation of small businesses. Finding real solutions requires the cooperation of diverse, bipartisan groups willing to work together for change. Over the past decade, insurance premiums have continued to increase each year, jumping 129 percent in the last eight years. Today, small business owners, a voting bloc larger than soccer moms and NASCAR dads, are insisting that action be taken to address their healthcare crisis.
For comprehensive healthcare reform to become a reality, the unique needs of small business must be fully addressed. To help guide lawmakers in this effort, NFIB developed their Small Business Principles for Healthcare Reform as a framework for future healthcare reform.
Small Business Principles
Our current system of health insurance and health care is financially unsustainable and threatens the health and financial security of the American people. Small business owners and their employees are especially vulnerable to the weaknesses of our current system. NFIB supports policy reforms to balance the competing goals of access to quality care, affordability, and predictability and consumer choice. The resulting healthcare system would be:
- Universal: All Americans should have access to quality care and protection against catastrophic costs. A government safety net should enable the neediest to obtain coverage. This does not mean a government-run, single-payer system.
- Private: To the greatest extent possible, Americans should receive their health insurance and healthcare through the private sector. Care must be taken to minimize the extent to which governmental safety nets crowd out private insurance and care.
- Affordable: Healthcare costs to individuals, providers, governments and businesses must be reasonable, predictable and controllable.
- Unbiased: Healthcare and tax laws should not push Americans into employer-provided or government-provided insurance programs and hobble the market for individually purchased policies. Small employers should be treated the same as large employers, who can already pool across state lines. A healthcare system built on employer mandates or on play-or-pay taxes is unacceptable.
- Competitive: Consumers should have many choices among insurers and providers. Policymakers must alleviate the limitations that state boundaries and treatment mandates place on competitiveness.
- Portable: Americans should be able to move throughout the United States and change jobs without losing their health insurance.
- Transparent: Information technology should enable all parties to access accurate, user-friendly information on costs, quality and outcomes. Providers must be able to obtain relatively complete medical histories of patients. At the same time, patients' privacy must be guarded zealously. The private sector must play a vital role in developing the new technologies.
- Efficient: Healthcare policy should encourage an appropriate level of spending on healthcare. Laws, regulations and insurance arrangements should direct healthcare spending to those goods and services that will maximize health. Adequate risk pools throughout the healthcare system are vital to accomplishing these goals.
- Evidence-based: The healthcare system must encourage consumers and providers to accumulate evidence and to use that evidence to improve health. Appropriate treatment choices and better wellness and preventive care should be key outcomes.
- Realistic: Healthcare reform should proceed as rapidly as possible, but not so quickly that firms and individuals cannot adjust prudently. It is important to ensure that no one's quality of care suffers as we move to provide coverage for all Americans.
NFIB/Ohio staff:
Executive Director Roger Geiger
Legislative Director Ty Pine
Asst. Legislative Director Kyle Jackson
Member Support Manager Andy Patterson
Member Benefits Manager Chris Ferruso
Communications Director Mandy Minick
Executive Asst. Wanda Holycross
Administrative Asst. Connie Wehrkamp
