New Health Bill to Single out Small Construction Firms?

The Wall Street Journal reported on December 23, 2009 that construction firms are being singled out in the latest Senate version of the health-care bill. This version requires construction companies with five or more employees AND a payroll of $250,000 or more, to provide health insurance for employees, or pay a $750 fine per employee, per year, if the employees receive tax credits. This compares to other companies that have 50 or more employees. According to the article, the Associated Builders and Contractors state that 95% of its members already provide employees with coverage. The National Electrical Contractors Association was quoted as supporting the provision.

This is a provision that small construction companies need to watch. Final votes will follow the House-Senate conference negotiations.

This summary is not intended to be legal advice. You should consult an attorney in regard to your particular situation.