Spencer’s Benefits NetNews – July 13, 2018

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Featured This Week

New Reports

  • Analysis: ACA employer mandate, 6/18 (550.-1)

    (Read Intelliconnect) »

  • Analysis: Explanation of Form M-1, 6/18 (606.1.-13)

    (Read Intelliconnect) »

  • Analysis: FMLA and Sec. 125 plans, 6/18 (351.-43)

    (Read Intelliconnect) »

  • Analysis: Sample COBRA notice forms, 6/18 (329.3.-17)

    (Read Intelliconnect) »

  • News

    CMS puts risk adjustment payments on hold awaiting resolution of litigation

    A ruling issued by the U.S District Court for the District of New Mexico invalidating CMS’ use of the statewide average premium in the risk adjustment transfer formula established under Sec. 1343 of the Patient Protection and Affordable Care Act (ACA) for the 2014 to 2018 benefit years, prevents CMS from making further collections or payments under the risk adjustment program, including amounts for the 2017 benefit year until the litigation is resolved. In light of the current status of litigation, CMS will not collect or pay the specified amounts. In addition, it will inform stakeholders of updates to the status of collections or payments in the future as appropriate, CMS announced. In light of a contrary decision, the government moved the New Mexico district court to reconsider its decision. On June 21, 2018, a hearing was held on CMS’s motion for reconsideration. CMS is currently awaiting the court’s ruling.

            (Read Intelliconnect) »

    Louisiana enacts mandated benefit provisions

    Effective January 1, 2019, in Louisiana, minimum coverage of mammography examinations under a health insurance plan must include digital breast tomosynthesis, which is a radiologic procedure that involves the acquisition of projection images over the stationary breast to produce cross-sectional digital three-dimensional images of the breast.

            (Read Intelliconnect) »

    Supreme Court rules stock options exempt from tax under RRTA as compensation

    Nonqualified stock options paid to railroad employees for services rendered are not taxable compensation for purposes of the payroll contributions due under the Railroad Retirement Tax Act of 1937, according to the United States Supreme Court. Writing for a divided 5-4 Court, Justice Neil Gorsuch explained that stock options are not a medium of exchange and do not qualify as “money remuneration,” as that term was ordinarily understood at the time the statute was enacted. In dissent, Justice Breyer suggested that the majority’s constricted view of remuneration was “trapped in monetary time warp, limited to those forms of money commonly used in the 1930’s.”

            (Read Intelliconnect) »

    Industry groups comment on mental health guidance

    The ERISA Industry Committee (ERIC) and the American Benefits Council have filed comments with the Departments of Health and Human Services, Labor, and Treasury on mental health parity compliance. In April, the Departments released frequently asked questions, disclosure forms, a self-compliance took, fact sheet, and report to Congress related to requirements under the Mental Health Parity and Addiction Equity Act (MHPAEA) and the 21st Century Cures Act.

            (Read Intelliconnect) »

    Fifth Circuit closes its books on vacated ‘fiduciary’ rule

    The Fifth Circuit has closed its books on the now defeated Obama-era “fiduciary” rule that required retirement investment advisors to put the interests of their clients above their own financial gain. The Department of Labor chose not to defend that rule after the Fifth Circuit Court of Appeals vacated it earlier this year.

            (Read Intelliconnect) »