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NASE Supports Changes to FSA's in H.R. 436

The National Association for the Self-Employed argued Congress to act on legislation to change rules pertaining to Flexible Savings Accounts and Health Savings Accounts.  Legislation addressing Flexible Savings Accounts was included in a package of bills included in H.R. 436 (Protect Medical Innovation of 2011).  All three measures are supported by the NASE).

Letter of Support for HR 436 (6-7-2012)


June 7, 2012

Dear Speaker Boehner and Minority Leader Pelosi:

Representing the country’s largest, oldest and most-respected small business associations, which have spent more than a decade working to improve access to and affordability of private health insurance, the Small Business Coalition for Affordable Healthcare (the Coalition) supports the passage of H.R. 436, the Health Care Cost Reduction Act of 2012, which would repeal harmful tax increases in the Patient Protection and Affordable Care Act and assist small businesses and their employees with the chronic problem of rising healthcare costs.
Specifically, the bill would repeal the new 2.3 percent tax on medical devices. 

According to the Centers for Medicare and Medicaid Services Office of the Actuary, this tax will be passed through to consumers in the form of higher health insurance premiums. Repealing this tax will prevent adding to the increased health care costs of small businesses and their employees. Additionally, the legislation would repeal the prohibition on using tax-preferred funds from Health Savings Accounts and Flexible Spending Arrangements to purchase over-the-counter medications. This prohibition, which began in 2011, drives up health care costs because it forces individuals to seek out more expensive prescription medication and/or visit physician offices for routine medical care that could have been treated with more affordable treatment options.

The Coalition appreciates the House of Representatives’ continued attention to the negative impact of rising healthcare costs on small business and looks forward to continuing to work with Members of Congress as this important effort continues to unfold. Specifically, the Coalition encourages the House to add to the positive step being taken today with a floor vote on H.R. 1744, the American Job Protection Act, which would repeal the employer mandate, another provision that discourages economic growth and job creation.


American Farm Bureau Federation ®
American Foundry Society
American Hotel & Lodging Association
American Rental Association
American Supply Association
Associated Builders and Contractors
Automotive Aftermarket Industry Association
American Veterinary Medical Association
Farm Equipment Manufacturers Association
International Housewares Association
Motor & Equipment Manufacturers Association
National Association for the Self Employed
National Association of Wholesaler-Distributors
National Club Association
National Federation of Independent Business
National Restaurant Association
National Retail Federation
National Roofing Contractors Association
National Tooling Machining Association
NPES The Association for Suppliers of Printing, Publishing and Converting Technologies
Petroleum Marketers Association of America
Precision Machined Products Association
Precision Metalforming Association
Printing Industries of America
Service Station Dealers of America and Allied Trades
Small Business & Entrepreneurship Council
Specialty Equipment Market Association
Textile Rental Services Association
Tire Industry Association
U.S. Chamber of Commerce
Western Growers

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