Revision of definition of small employer under health insurance market provisions

(a)

PPACA amendments

Section 1304(b) of the Patient Protection and Affordable Care Act (42 U.S.C. 18024(b)) is amended— (1)in paragraph (1), by striking 101 and inserting 51; (2)in paragraph (2), by striking 100 and inserting 50; and (3)by amending paragraph (3) to read as follows:

(3)

State option to extend definition of small employer

Notwithstanding paragraphs (1) and (2), nothing in this section shall prevent a State from applying this subsection by treating as a small employer, with respect to a calendar year and a plan year, an employer who employed an average of at least 1 but not more than 100 employees on business days during the preceding calendar year and who employs at least 1 employee on the first day of the plan year.

(b)

PHSA amendments

Section 2791(e) of the Public Health Service Act (42 U.S.C. 300gg–91(e)) is amended— (1)in paragraph (2), by striking 101 and inserting 51; (2)in paragraph (4), by striking 100 and inserting 50; and (3)by adding at the end the following new paragraph:

(7)

State option to extend definition of small employer

Notwithstanding paragraphs (2) and (4), nothing in this section shall prevent a State from applying this subsection by treating as a small employer, with respect to a calendar year and a plan year, an employer who employed an average of at least 1 but not more than 100 employees on business days during the preceding calendar year and who employs at least 1 employee on the first day of the plan year.

(c)

Deposit of savings into Medicare Improvement Fund

Section 1898(b)(1) of the Social Security Act (42 U.S.C. 1395iii(b)(1)) is amended by striking $0 and inserting $205,000,000.