From: The Honorable James B. Renacci
Bill: H.R. 863
Protect Small Businesses, Cosponsor the STARS Act
As if the tax code is not complicated enough, the federal government continues to make it even more difficult for small employers to comply with the Affordable Care Act’s (ACA) shared responsibility provisions, also known as the employer mandate. Largely
designed with traditional jobs in mind, the ACA’s employer provisions fail to account for the exceptional circumstances of employers with highly seasonal workforces. Though the Treasury Department attempted to remedy these issues through regulation, the resulting
rules are confusing and create unnecessary obstacles to compliance for small, seasonal employers.
The unintended consequences are beginning to take their toll. From the ski resort owner in New Hampshire who is planning to shorten his operating season next year to the Ohio city receiving nuisance complaints because it does not have the staff to maintain
vacant property, countless real-life examples demonstrate that the complex rules governing seasonal employment cause uncertainty and unnecessary disruptions to both public and private operations. The fact that an employer can hire an individual who, at the
same time, is considered a “seasonal worker” but not a “seasonal employee” is absurd. This underscores a significant risk for inadvertent non-compliance for small seasonal employers without sophisticated human resource departments. Therefore, it is important
to harmonize these two definitions to reduce confusion amongst small employers.
Small businesses are the backbone of the American economy and Congress must find ways to ensure these businesses are not negatively affected by the laws we pass in Washington. The Simplifying Technical Aspects Regarding Seasonality Act of 2015, the STARS
Act, will provide one clear definition of seasonal employment rather than multiple definitions applied to different aspects of the ACA’s employer provisions. The STARS Act adopts provisions of Treasury’s final rule on the employer mandate, while aligning and
simplifying the methods by which seasonal employers must comply.
If you have any questions or would like to become a cosponsor, please contact either Megan Beveridge in Congressman Jim Renacci’s office at
firstname.lastname@example.org or Stephen Holland in Congressman Kurt Schrader’s office at