Heller amendment passes Senate 90-10
Sen. Dean Heller’s amendment to repeal the so-called Cadillac Tax won approval form the U.S. Senate on Thursday by a 90-10 vote.
The Cadillac Tax is a provision in the Affordable Care Act that requires generous health care plans to pay a 40 percent tax on premiums paid that exceed ACA threshholds.
Heller, R-Nev., said that tax would cause up to 151 million workers in the nation to lose the health insurance they like including 1.3 million Nevada workers.
Opponents of the tax argue it would just cause employers to reduce the benefits they now provide to avoid paying the tax.
Many of those covered by those “rich” health plans are public employees of the state and local governments or Nevada school districts.
Some Southern Nevada workers who are members of strong unions also would find themselves affected by the Cadillac Tax.
A similar proposal is working its way through the House of Representatives.
The tax was included in the ACA as a way of generating the revenue to cover the cost of health care subsidies given to low income people so they can afford health benefits but some economists have argued because businesses would simply change existing plan benefits, it wouldn’t produce anywhere near the amount of tax revenue projected.