Sending Office: Honorable James B. Renacci
With all small employers do to keep their businesses running, the last thing they need is confusion stemming from regulations and the tax code. The complex rules implementing the Affordable Care Act’s (ACA) shared responsibility provision, also known as
the employer mandate, exemplify the difficulty imposed on small businesses. 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 a florist in California struggling to provide health insurance for her family and employees 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” only begins to illustrate the confusing morass employers must deal with on a daily basis. 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. H.R. 3956 – The Simplifying Technical Aspects Regarding Seasonality Act of 2017,
the STARS Act, will provide one clear definition of seasonal employment rather than multiple definitions applied to different aspects of the ACA’s employer mandate. 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 Mark Galay in Congressman Jim Renacci’s office at
firstname.lastname@example.org or Stephen Holland in Congressman Kurt Schrader’s office at
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