News You Can Use: Baucus plan limits FSAs, expands employers’ W2 requirements

All summer, I’ve felt like Vladimir and Estragon, waiting for my version of Godot – a working health care reform proposal from the Senate. Finally, as summer turns to fall, Sen. Max Baucus (D-Mont.) released yesterday his plan to makeover the nation’s health care system.

The bill is just as long and bloated as the now famous (infamous?) H.R. 3200, so I admit I haven’t read the whole thing. But a few pertinent notes for you, HR pros:

* Pay or play. all employers with more than 50 workers that do not offer coverage will have to reimburse the government for each full-time employee who receives a health care affordability tax credit in the proposed health insurance exchange. The payment must be equal to 100% of the average exchange subsidy up to a cap of $400 per total number of employees, whether they are receiving a tax credit or not.

* Limits on FSAs. The proposal would limit the amount of contributions to health flexible spending accounts to $2,000 per year, beginning in 2013.

* More detailed W2 reporting. The bill calls for businesses to disclose the value of benefits provided by the employer for each worker’s health insurance coverage on the employee’s annual Form W-2.

Read more reporting and analysis from EBN here.