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Ayotte Backs Legislation to Repeal Obamacare Provisions that Hurt Small Businesses

Bill would repeal Health Insurance Tax, employer mandate provisions of health care law

Oct 7, 2011

WASHINGTON, D.C. - Continuing her efforts to provide New Hampshire's small business owners with relief from the burdensome mandates in President Obama's health care law, Senator Kelly Ayotte (R-NH), is cosponsoring legislation that would repeal some of the law's costliest and most onerous provisions.  The Small Business Health Relief Act (S. 1049), introduced by Sen. Jon Kyl (R-AZ), would repeal the Health Insurance Tax, one of the largest tax increases contained in the health care law, and the employer mandate that requires small businesses to purchase insurance for employees.

"Business owners across New Hampshire have told me that the tax increases and burdensome mandates that were enacted as part of Obamacare are driving up their health care costs and discouraging them from hiring new workers," said Ayotte. "I'm committed to fully repealing the health care law, and this legislation is an important step toward eliminating some of its most egregious provisions."

The Small Business Health Relief Act would:

  • Repeal the Health Insurance Tax (HIT): HIT represents a tax increase of $87 billion on American families and businesses, and will affect nearly 90 percent of the nation's small businesses. According to the Joint Committee on Taxation, repealing the HIT could "decrease the average family premium in 2016 by $350 to $400."
  • Eliminate employer mandate: The employer mandate provision requires small businesses to buy insurance and dictates how much they must purchase. This provision forces employers to spend money they don't have, reduces flexibility and choice, and raises employer costs. According to one study, nearly 1/3 of employers said their company is likely to stop offering health insurance to employees in 2014 when the provision kicks in.
  • Lift restrictions on Flexible Spending Accounts: Obamacare caps annual contributions to consumer-driven health plans at $2,500, effectively limiting the amount of money that consumers are able to save and set aside for health expenses and potentially forcing consumers to pay more out of pocket costs. S. 1049 would repeal this cap.

This legislation is supported by the U.S. Chamber of Commerce and the National Federation of Independent Business.


Please Contact Kelly at One of Her Offices

Manchester Office
1200 Elm Street, Suite 2
Manchester, NH 03101-2503
Phone: 603-622-7979
Fax: 603-622-0422
Map: Get Directions
Nashua Office
144 Main Street
Nashua, NH 03060
Phone: 603-880-3335
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North Country Office
19 Pleasant Street, Suite 13B
Berlin, NH 03570
Phone: 603-752-7702
Fax: 603-752-7704
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Portsmouth Office
14 Manchester Square, Ste 140
Portsmouth, NH 03801
Phone: 603-436-7161
Map: Get Directions

D.C. Office
144 Russell Senate Office Building
Washington, D.C. 20510
Phone: 202-224-3324
Fax: 202-224-4952