HR5498-119

What This Bill Does

This bill creates a small-business outreach requirement for individual coverage health reimbursement arrangements, known as ICHRAs. The Small Business Administration must disseminate information developed by appropriate federal agencies to small business concerns through Small Business Development Centers and SBA district offices.

The SBA must also include ICHRA information in its outreach and communications, including social media, press releases, and publication on the SBA website. Appropriate federal agencies include Treasury, HHS, Labor, and any other agency the SBA Administrator determines is appropriate. The bill does not create a new health plan or subsidy; it makes SBA a distribution channel for federal information about ICHRAs.

Who Benefits and How

Small business owners benefit from more accessible information about using ICHRAs as an employee health-benefit option. Small Business Development Centers benefit from federal materials they can use in counseling and training. SBA district offices benefit from a defined outreach topic for employer health coverage education. Treasury, HHS, and Labor benefit because their ICHRA guidance reaches small businesses through SBA channels. Employees of small businesses may benefit if more employers understand and adopt individual coverage HRAs. Health insurance brokers and benefits advisers may benefit from increased employer interest in ICHRA arrangements.

Who Bears the Burden and How

SBA outreach staff must distribute ICHRA materials through district offices, SBDCs, social media, press releases, and the SBA website. Small Business Development Center counselors must learn enough about the federal materials to answer employer questions or refer them appropriately. Treasury, HHS, and Labor staff must coordinate information that SBA can disseminate. Small business owners still bear the work of evaluating whether ICHRAs fit their workforce, budget, and compliance obligations. Benefits advisers may need to explain interactions with individual market coverage and employer reimbursement rules.

Key Provisions

• Requires SBA to disseminate federal ICHRA information to small business concerns.
• Uses Small Business Development Centers and SBA district offices as outreach channels.
• Requires SBA to include ICHRA information in social media, press releases, and website communications.
• Defines appropriate federal agencies to include Treasury, HHS, and Labor.
• Uses existing Small Business Act definitions for small business concerns and Small Business Development Centers.