Compliance Update: President Trump Issues Executive Order on the ACA
Shortly after taking office on Friday, President Trump issued an Executive Order aimed at minimizing the economic and regulatory burdens of the Affordable Care Act ("ACA").
In addition to making it clear that the Trump administration seeks the prompt repeal of the ACA, the executive order specifically calls upon agencies to interpret regulations as loosely as allowed to lessen the financial burden on individuals, insurers, health care providers and others.
The executive order must be implemented in a manner consistent with applicable law, including the Administrative Procedure Act, which requires extended review of and public comment on any federal rules which may be proposed as a result of the executive order.
What Should an Employer Do Now?
At this point, nothing has changed.
While the order is symbolic of change ahead, it has no immediate effect on employers and all ACA requirements remain in effect, including penalties for noncompliance.Therefore, it is crucial that employers continue to fulfill obligations set forth in the ACA, including the employer mandate and reporting responsibilities under ACA Sections 6055 and 6056.
More information, including the full text of the Executive Order can be found here.
Please do not hesitate to reach out to Dannielle O'Toole, Manager - Compliance and Client Solutions, with any questions or concerns.
Disclaimer: The information contained in this message is for general informational purposes only and does not constitute legal advice.