CHEYENNE, Wyo. — Representatives of several Indian tribes say they support legislation introduced by congressional Republicans that would exempt tribes nationwide from being classified as large employers under the federal Affordable Care Act — a designation that requires tribes to pay higher insurance costs or face federal penalties.
Supporters say requiring tribes to provide group insurance for tribal employees serves to shift the costs of implementing the Affordable Care Act from the federal government to the tribes. People who register for individual coverage under the act may qualify for federal tax credits, but that option’s not available to those who work for designated large employers.
Although Republicans have been struggling unsuccessfully to overturn the entire Affordable Care Act for years, the current effort to address the tribal large-employer requirement is remarkable so far for garnering significant Indian support.
In Montana alone, sponsors say they have the support of Crow, Blackfeet and Fort Peck Reservation’s Assiniboine and Sioux tribes. Those supporters say that federal penalties for failure to comply would reduce money available for essential tribal services.
The requirement for tribes that employ more than 50 employees to offer group insurance took effect Jan. 1. Individual Indians aren’t subject to tax penalties, as many other citizens are, if they fail to get individual coverage.
The Rosebud Sioux Tribe in Rosebud, South Dakota, also issued a statement this week in support of the bill, saying they, too, can’t afford to comply with the federal law.
“It is a United States treaty obligation to provide health care for members of the Rosebud Sioux Tribe,” Tribal President William Kindle and Treasurer Byron Wright stated.
Bill sponsor Sen. Steve Daines, R-Montana, issued a statement this week saying such unreasonable fines have the potential to kill reservation jobs and further cripple tribes’ economies.
