To amend title 5, United States Code, to establish a national health program administered by the Office of Personnel Management to offer Federal employee health benefits plans to individuals who are not Federal employees, and for other purposes.

Summary: Access to Insurance for all Americans Act - Directs the Office of Personnel Management (OPM) to administer a health insurance program for non-federal employees and to apply to such program the provisions governing the federal employee health insurance program to the greatest extent practicable.

Requires OPM, for each calendar year, to enter into a contract with one or more carriers to make health benefits plans available to eligible individuals. Allows any individual to enroll in such a plan unless the individual: (1) is enrolled or eligible to enroll for coverage under a public health insurance program (including Medicaid or Medicare) or under the federal employee health insurance program; or (2) is a member of the uniformed services.

Allows rates and premiums for such a plan to differ among geographic regions. Makes such premiums tax deductible.

Provides that no government contribution shall be made for any individual enrolled in such a plan. Directs OPM to ensure that covered individuals are in a risk pool separate from that maintained for federal employees.



Requires the Director of OPM to submit a comprehensive plan to Congress that provides for the orderly implementation of the amendments made by this Act, including a schedule of actions to be taken to provide for that implementation.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Access to Insurance for all 
Americans Act''.

SEC. 2. EXTENSION OF FEDERAL EMPLOYEE HEALTH INSURANCE.

    (a) In General.--Subpart G of part III of title 5, United States 
Code, is amended--
            (1) by redesignating chapters 89A and 89B as chapters 89B 
        and 89C, respectively; and
            (2) by inserting after chapter 89 the following:

       ``CHAPTER 89A--HEALTH INSURANCE FOR NON-FEDERAL EMPLOYEES

``SEC. 8921. DEFINITIONS.

    ``In this chapter--
            ``(1) the terms defined under section 8901 shall have the 
        meanings given such terms under that section; and
            ``(2) the term `Office' means the Office of Personnel 
        Management.

``SEC. 8922. HEALTH INSURANCE FOR NON-FEDERAL EMPLOYEES.

    ``(a) The Office shall administer a health insurance program for 
non-Federal employees in accordance with this chapter.
    ``(b) Except as provided under this chapter, the Office shall 
prescribe regulations to apply the provisions of chapter 89 to the 
greatest extent practicable to eligible individuals covered under this 
chapter.

``SEC. 8923. CONTRACT REQUIREMENT.

    ``(a) For each calendar year, the Office shall enter into a 
contract with 1 or more carriers to make available 1 or more health 
benefits plans (subject to the provisions of this chapter) to eligible 
individuals under this chapter.
    ``(b) In carrying out this section, the Office may require 1 or 
more carriers to enter into a contract described in subsection (a), as 
a condition of entering into a contract under section 8902.

``SEC. 8924. ELIGIBILITY OF NON-FEDERAL EMPLOYEES.

    ``(a) Except as provided under subsection (b), any individual may 
enroll in a health benefits plan under this section.
    ``(b) An individual may not enroll in a health benefits plan under 
this chapter if the individual--
            ``(1) is enrolled or eligible to enroll for coverage under 
        a public health insurance program, including--
                    ``(A) title XVIII of the Social Security Act;
                    ``(B) a State plan under title XIX of the Social 
                Security Act;
                    ``(C) a State plan under title XX of the Social 
                Security Act; or
                    ``(D) any other program determined by the Office;
            ``(2) is enrolled or eligible to enroll in a plan under 
        chapter 89; or
            ``(3) is a member of the uniformed services as defined 
        under section 101(a)(5) of title 10.

``SEC. 8925. ALTERNATIVE CONDITIONS TO FEDERAL EMPLOYEE HEALTH BENEFITS 
              PLANS.

    ``(a) Rates charged and premiums paid for a health benefits plan 
under this chapter may differ between or among geographic regions.
    ``(b) No Government contribution shall be made for any individual 
under this chapter.
    ``(c) In the administration of this chapter, the Office shall 
ensure that individuals covered under this chapter shall be in a risk 
pool that is separate from the risk pool maintained for individuals 
covered under chapter 89.''.
    (b) Technical and Conforming Amendments.--
            (1) Contract requirement under chapter 89.--Section 8902 of 
        title 5, United States Code, is amended by adding after 
        subsection (o) the following:
    ``(p) Any contract under this chapter may include, at the 
discretion of the Office, a provision that the carrier shall enter into 
a contract to provide 1 or more health benefits plans as described 
under chapter 89A.''.
            (2) Table of chapters.--The table of chapters for part III 
        of title 5, United States Code, is amended--
                    (A) by redesignating the items relating to chapters 
                89A and 89B as chapters 89B and 89C, respectively; and
                    (B) by inserting after the item relating to chapter 
                89 the following:

``89A. Health Insurance for Non-Federal Employees...........    8921''.

SEC. 3. DEDUCTION FOR PREMIUMS PAID BY FEHBP NON-EMPLOYEE ENROLLEES.

    (a) In General.--Part VII of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to additional itemized 
deductions) is amended by redesignating section 224 as section 225 and 
by inserting after section 223 the following new section:

``SEC. 224. PREMIUMS PAID FOR FEHBP COVERAGE.

    ``(a) In General.--In the case of an individual, there shall be 
allowed as a deduction an amount equal to the amount paid as premiums 
during the taxable year for coverage for the taxpayer, his spouse, and 
dependents under health insurance provided pursuant to chapter 89A of 
title 5, United States Code.
    ``(b) Special Rules.--
            ``(1) Coordination with medical deduction, etc.--Any amount 
        paid by a taxpayer for insurance to which subsection (a) 
        applies shall not be taken into account in computing the amount 
        allowable to the taxpayer as a deduction under section 162(l) 
        or 213(a). Any amount taken into account in determining the 
        credit allowed under section 35 shall not be taken into account 
        for purposes of this section.
            ``(2) Deduction not allowed for self-employment tax 
        purposes.--The deduction allowable by reason of this section 
        shall not be taken into account in determining an individual's 
        net earnings from self-employment (within the meaning of 
        section 1402(a)) for purposes of chapter 2.''.
    (b) Deduction Allowed in Computing Adjusted Gross Income.--
Subsection (a) of section 62 of such Code is amended by inserting 
before the last sentence the following new paragraph:
            ``(22) Premiums paid for fehbp coverage.--The deduction 
        allowed by section 224.''.
    (c) Clerical Amendment.--The table of sections for part VII of 
subchapter B of chapter 1 of such Code is amended by redesignating the 
item relating to section 224 as an item relating to section 225 and 
inserting before such item the following new item:

``Sec. 224. Premiums paid for FEHBP coverage.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.

SEC. 4. PLAN FOR EXTENSION OF FEDERAL EMPLOYEE HEALTH BENEFITS PROGRAM.

    Not later than 6 months after the date of enactment of this Act and 
after consultation with appropriate experts, representatives of 
affected individuals, and Federal officers, the Director of the Office 
of Personnel Management shall submit a comprehensive plan to Congress 
that--
            (1) provides for the orderly implementation of the 
        amendments made by this Act; and
            (2) includes a schedule of actions to be taken to provide 
        for that implementation.