Preserving Freedom and Choice in Health Care Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preserving Freedom and Choice in 
Health Care Act''.

SEC. 2. REPEALING THE INDIVIDUAL MANDATE.

    Sections 1501 and 1502 and subsections (a), (b), (c), and (d) of 
section 10106 of the Patient Protection and Affordable Care Act (and 
the amendments made by such sections and subsections) are repealed and 
the Internal Revenue Code of 1986 shall be applied and administered as 
if such provisions and amendments had never been enacted.

SEC. 3. REPEALING THE EMPLOYER MANDATE.

    Sections 1513 and 1514 and subsections (e), (f), and (g) of section 
10106 of the Patient Protection and Affordable Care Act (and the 
amendments made by such sections and subsections) are repealed and the 
Internal Revenue Code of 1986 shall be applied and administered as if 
such provisions and amendments had never been enacted.

SEC. 4. MODIFICATIONS TO PREMIUM ASSISTANCE CREDIT.

    (a) Extension of Credit for Certain Individuals Not Enrolled 
Through State Exchanges.--Paragraph (3) of section 36B(b) of the 
Internal Revenue Code of 1986 is amended by adding at the end the 
following new subparagraph:
                    ``(F) Special rule for individuals enrolled through 
                a federal exchange.--In the case of any applicable 
                taxpayer who is not eligible for the credit allowed 
                under subsection (a) (determined without regard to this 
                subparagraph) solely as a result of a determination by 
                the Supreme Court of the United States in the case of 
                King v. Burwell (2015), paragraph (2)(A) shall be 
                applied to months beginning before September 2017, by 
                substituting `enrolled in through an Exchange 
                established under the Patient Protection and Affordable 
                Care Act' for `enrolled in through an Exchange 
                established by the State under 1311 of the Patient 
                Protection and Affordable Care Act'.''.
    (b) Denial of Credit for Individuals Not Previously Enrolled.--
Subsection (b) of section 36B of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new paragraph:
            ``(4) Limitation for individuals not previously enrolled.--
        The premium assistance credit amount shall be zero with respect 
        to any qualified health plan unless such plan covers an 
        individual described in paragraph (2)(A) who was enrolled in a 
        qualified health plan through an Exchange established under the 
        Patient Protection and Affordable Care Act before the date of 
        the enactment of this paragraph.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to months beginning after December 31, 2013.

SEC. 5. FREEDOM TO MAINTAIN EXISTING COVERAGE.

    (a) In General.--Part 2 of subtitle C of title I of the Patient 
Protection and Affordable Care Act (42 U.S.C. 18011 et seq.) is amended 
by striking section 1251 and inserting the following:

``SEC. 1251. FREEDOM TO MAINTAIN EXISTING COVERAGE.

    ``(a) No Changes to Existing Coverage.--
            ``(1) In general.--Nothing in this Act (or an amendment 
        made by this Act) shall be construed to require that an 
        individual terminate coverage under a group health plan or 
        health insurance coverage in which such individual was enrolled 
        during any part of the period beginning on the date of 
        enactment of this Act and ending on December 31, 2017.
            ``(2) Continuation of coverage.--With respect to a group 
        health plan or health insurance coverage in which an individual 
        was enrolled during any part of the period beginning on the 
        date of enactment of this Act and ending on December 31, 2017, 
        this subtitle and subtitle A (and the amendments made by such 
        subtitles) shall not apply to such plan or coverage, regardless 
        of whether the individual renews such coverage.
    ``(b) Allowance for Family Members To Join Current Coverage.--With 
respect to a group health plan or health insurance coverage in which an 
individual was enrolled during any part of the period beginning on the 
date of enactment of this Act and ending on December 31, 2017, and 
which is renewed, family members of such individual shall be permitted 
to enroll in such plan or coverage if such enrollment is permitted 
under the terms of the plan in effect as of such date of enrollment.
    ``(c) Allowance for New Employees To Join Current Plan.--A group 
health plan that provides coverage during any part of the period 
beginning on the date of enactment of this Act and ending on December 
31, 2017, may provide for the enrolling of new employees (and their 
families) in such plan, and this subtitle and subtitle A (and the 
amendments made by such subtitles) shall not apply with respect to such 
plan and such new employees (and their families).
    ``(d) Effect on Collective Bargaining Agreements.--In the case of 
health insurance coverage maintained pursuant to one or more collective 
bargaining agreements between employee representatives and one or more 
employers that was ratified before December 31, 2017, the provisions of 
this subtitle and subtitle A (and the amendments made by such 
subtitles) shall not apply until the date on which the last of the 
collective bargaining agreements relating to the coverage terminates. 
Any coverage amendment made pursuant to a collective bargaining 
agreement relating to the coverage which amends the coverage solely to 
conform to any requirement added by this subtitle or subtitle A (or 
amendments) shall not be treated as a termination of such collective 
bargaining agreement.
    ``(e) Definition.--In this title, the term `grandfathered health 
plan' means any group health plan or health insurance coverage to which 
this section applies.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect as if included in the Patient Protection and Affordable 
Care Act (Public Law 111-148).

SEC. 6. ESSENTIAL HEALTH BENEFITS.

    (a) In General.--Subsections (a) and (b) of section 1302 of the 
Patient Protection and Affordable Care Act (42 U.S.C. 18022) are 
amended to read as follows:
    ``(a) Essential Health Benefits Package.--In this title, the term 
`essential health benefits package' means, with respect to any health 
plan, coverage that provide for benefits and cost sharing as required 
in the States in which such plan is offered.
    ``(b) Essential Health Benefits.--Essential health benefits shall 
be defined to include those required by the State in which a health 
plan is offered.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect as if included in the Patient Protection and Affordable 
Care Act (Public Law 111-148).

Summary: Preserving Freedom and Choice in Health Care Act This bill amends the Patient Protection and Affordable Care Act (PPACA) and the Internal Revenue Code to repeal the requirements for individuals to maintain minimum essential coverage and for large employers to pay penalties if a full-time employee: (1) must wait longer than 60 days to enroll in an employer-sponsored health plan, or (2) receives a premium assistance tax credit or reduced cost-sharing. Coverage reporting requirements for providers and large employers are also repealed. Individuals enrolled in a health plan purchased through the federal health insurance exchange at the time of enactment of this Act who are ineligible for a premium assistance tax credit solely as a result of a determination by the Supreme Court in King v. Burwell are eligible for the tax credit. This applies to coverage months beginning after December 2013 and before September 2017. Group health coverage in which an individual was enrolled during any part of the period beginning on the date of enactment of PPACA and ending on December 31, 2017, is a grandfathered health plan under PPACA and is exempt from some coverage requirements. Essential health benefits are defined by states. This amendment takes effect as if included in PPACA.