I
106TH CONGRESS
2D SESSION
H. R. 3528
To provide health benefits for workers and their families.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 24, 2000
Mr. PALLONE introduced the following bill; which was referred to the Com-
mittee on Education and the Workforce, and in addition to the Commit-
tees on Commerce, Ways and Means, Government Reform, and Armed
Services, for a period to be subsequently determined by the Speaker, in
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned
A BILL
To provide health benefits for workers and their families.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Health Care for Work-
ing Families Act of 2000’’.
SEC. 2. FINDINGS.
Congress finds that—
(1) every industrialized country in the world ex-
cept the United States guarantees the fundamental
right to health care to all its citizens;
(2) 44,000,000 Americans are without health
insurance coverage;
(3) the number of uninsured Americans is
growing every year;
(4) the vast majority of uninsured Americans
are workers or dependents of workers;
(5) for more than half a century, Congress has
enacted laws to ensure that work is appropriately re-
warded, including laws establishing a minimum wage
and a 40 hour work week, laws ensuring safe and
healthy working conditions, and laws requiring em-
ployers to contribute to the cost of retirement secu-
rity through Social Security and Medicare; and
(6) as the United States approaches the 21st
century, it is time to enact requirements guaran-
teeing that jobs carry with them affordable, ade-
quate health insurance benefits.
SEC. 3. HEALTH BENEFITS FOR EMPLOYEES AND THEIR
FAMILIES.
(a) IN GENERAL.—The Fair Labor Standards Act of
1938 (29 U.S.C. 201 et seq.) is amended by adding at
the end thereof the following new title:
‘‘TITLE 
II—HEALTH 
BENEFITS
FOR EMPLOYEES AND THEIR
FAMILIES
‘‘SEC. 201. HEALTH BENEFITS.
‘‘(a) OFFER TO ENROLL.—
‘‘(1) IN GENERAL.—Each large employer, in ac-
cordance with this title, shall offer to each of its em-
ployees the opportunity to enroll in a qualifying
health benefit plan that provides coverage for the
employee and the family of the employee.
‘‘(2) QUALIFYING
HEALTH
BENEFIT
PLAN.—
For purposes of this title, the term ‘qualifying
health benefit plan’ means a plan that provides ben-
efits for health care items and services that are
actuarily equivalent or greater in value than the ben-
efits offered as of January 1, 2000, under the Blue
Cross/Blue Shield Standard Plan provided under the
Federal Employees Health Benefit Program under
chapter 89 of title 5, United States Code, and that
meets the requirements of title XXVII of the Public
Health Service Act applicable to the plan.
‘‘(b) CONTRIBUTION AND WITHHOLDING.—
‘‘(1) IN GENERAL.—Each large employer, in ac-
cordance with this title, shall—
‘‘(A) contribute to the cost of any quali-
fying health benefit plan offered to its employ-
ees under subsection (a); and
‘‘(B) withhold from the wages of an em-
ployee, the employee share of the premium as-
sessed for coverage under the qualifying health
benefit plan.
‘‘(2) REQUIRED
CONTRIBUTION.—Except as
provided in paragraphs (3) and (4), the portion of
the total premium to be paid by a large employer
under paragraph (1)(A) shall not be less than the
portion of the total premium that the Federal Gov-
ernment contributes under the Blue Cross/Blue
Shield Standard Plan provided under the Federal
Employees Health Benefit Program under chapter
89 of title 5, United States Code.
‘‘(3) PART-TIME EMPLOYEES.—With respect to
an employee who works less than 30 hours per week,
the employer contribution required under paragraph
(2) shall be equal to the product of—
‘‘(A) the contribution required under para-
graph (2); and
‘‘(B) the ratio of number of hours worked
by the employee in a typical week to 30 hours.
‘‘(4) LIMITATION.—No employer contribution
shall be required under this subsection with respect
to an employee who works less than 10 hours per
week.
‘‘(c) EMPLOYEE OBLIGATION UNDER CERTAIN PRO-
GRAMS.—
‘‘(1) IN
GENERAL.—With respect to an em-
ployee covered under a Federal health insurance pro-
gram (as defined in paragraph (3)), such employee
shall accept an offer of health insurance coverage
under subsection (a) and agree to the appropriate
payroll withholdings under subsection (b)(1)(B) for
such coverage or provide for the payment of the em-
ployee share of premiums under paragraph (2), ex-
cept that this subsection shall not apply—
‘‘(A) with respect to an employee who is
otherwise covered under an employment-based
qualified health benefit plan; or
‘‘(B) with respect to the coverage of a fam-
ily member of an employee if the employee does
not elect coverage for such family member and
the family member is otherwise covered under
an employment-based qualified health benefit
plan.
plan must begin not later than 30 days after the day on
which the employee first performs an hour of service as
an employee of that employer.
‘‘(b) WITHHOLDING PERMITTED.—No provision of
State law shall prevent an employer of an employee en-
rolled under a qualifying health benefit plan established
under this title from withholding the amount of any pre-
mium due by the employee from the payroll of the em-
ployee.
‘‘SEC. 203. ENFORCEMENT.
‘‘(a) CIVIL MONEY PENALTY AGAINST PRIVATE EM-
PLOYERS.—The provisions of section 502—
‘‘(1) relating to the commencement of civil ac-
tions by the Secretary under subsection (a) of such
section;
‘‘(2) relating to civil money penalties under sub-
section (c)(2) of such section; and
‘‘(3) relating to the procedures for assessing,
collecting and the judicial review of such civil money
penalties;
shall apply with respect to any large employer that does
not comply with this title.
‘‘(b) INJUNCTIVE RELIEF.—The provisions of section
17 shall apply with respect to violations of this title.
‘‘SEC. 204. PREEMPTION.
‘‘Nothing in this title shall be construed to prevent
a State from establishing, implementing, or continuing in
effect standards and requirements relating to employer
provided health insurance coverage unless such standards
and requirements prevent the application of the require-
ments of this title.
‘‘SEC. 205. DEFINITION AND EFFECTIVE DATE.
‘‘(a) DEFINITION.—In this title the terms ‘family’
and ‘family member’ mean, with respect to an employee,
the spouse and children (including adopted children) of
the employee.
‘‘(b) EFFECTIVE DATE.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), this title shall apply with respect to em-
ployers on January 1, 2001.
‘‘(2) COLLECTIVE BARGAINING AGREEMENTS.—
This title shall apply with respect to employees cov-
ered under a collective bargaining agreement on the
first day of the first plan year beginning after the
date of enactment of this Act, or January 1, 2001,
whichever occurs later.’’.
(b) CONFORMING AMENDMENTS.—
(1) The Fair Labor Standards Act of 1938 is
amended by striking out the first section and insert-
ing in lieu thereof the following:
‘‘SECTION 1. SHORT TITLE.
‘‘This Act may be cited as the ‘Fair Labor Standards
Act of 1938’.
‘‘TITLE I—WAGES AND HOURS’’.
(2) The Fair Labor Standards Act of 1938 is
amended by striking out ‘‘this Act’’ each place it oc-
curs and inserting in lieu thereof ‘‘this title’’.
(3) Section 17 of the Fair Labor Standards Act
of 1938 (29 U.S.C. 217) is amended by inserting
‘‘or violations of title II’’ before the period.
SEC. 4. AMENDMENT TO PUBLIC HEALTH SERVICE ACT.
Title II of the Public Health Service Act (42 U.S.C.
202 et seq.) is amended by adding at the end the fol-
lowing:
‘‘SEC. 247. REQUIREMENT FOR HEALTH INSURANCE COV-
ERAGE.
‘‘A health insurance issuer (as defined in section
2791(a)) that offers health insurance coverage (as defined
in section 2791(a)) to an employer on behalf of the em-
ployees of such employer shall ensure that such coverage
complies with the requirements of title II of the Fair
Labor Standards Act of 1938.’’.
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