I 
115TH CONGRESS 
1ST SESSION H. R. 1589 
To amend the Internal Revenue Code of 1986 to adjust the phaseout of 
the health insurance tax credit for geographic variations in the cost-of-living. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 16, 2017 
Mr. THOMPSON of California (for himself and Ms. ESHOO) introduced the 
following bill; which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to adjust 
the phaseout of the health insurance tax credit for geo-
graphic variations in the cost-of-living. 
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 ‘‘Fair Access to Health 
Care Act of 2017’’. 
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SEC. 2. PHASEOUT OF HEALTH INSURANCE TAX CREDIT 
ADJUSTED TO TAKE INTO ACCOUNT GEO-
GRAPHIC VARIATION IN THE COST-OF-LIV-
ING. 
(a) IN GENERAL.—Section 36B(b) of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following new paragraph: 
‘‘(4) GEOGRAPHIC ADJUSTMENT FOR COST-OF- 
LIVING.— 
‘‘(A) IN GENERAL.—In the case of a tax-
payer whose principal place of residence for any 
taxable year is located in a high cost area, there 
shall be substituted ‘the specified percentage’ 
for ‘400 percent’ in paragraph (3)(A)(i) and in 
subsections (c)(1)(A) and (f)(2)(B). 
‘‘(B) HIGH COST AREA.—For purposes of 
this paragraph, the term ‘high cost area’ means 
any metropolitan statistical area or non-metro-
politan area the SPM for which exceeds the na-
tional average SPM. 
‘‘(C) SPECIFIED PERCENTAGE.—For pur-
poses of this paragraph, the term ‘specified per-
centage’ means, with respect to a taxpayer 
whose principal place of residence for any tax-
able year is located in a high cost area, the 
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product of 400 percent and the SPM adjust-
ment for such area. 
‘‘(D) SPM.—For purposes of this para-
graph— 
‘‘(i) IN GENERAL.—The term ‘SPM’ 
means, with respect to each calendar year, 
the Supplemental Poverty Measure as de-
termined by the Bureau of the Census. 
‘‘(ii) NATIONAL AVERAGE SPM.—The 
national average SPM shall be determined 
without regard to Alaska and Hawaii. 
‘‘(iii) DETERMINATION FOR TAXABLE 
YEAR
BASED
ON
PRECEDING
CALENDAR 
YEAR.—SPM with respect to any taxable 
year shall be determined on the basis of 
the calendar year preceding the calendar 
year in which the taxable year begins. 
‘‘(E) SPM ADJUSTMENT.—For purposes of 
this paragraph, the term ‘SPM adjustment’ 
means, with respect to a high cost area for a 
calendar year, the SPM adjustment as deter-
mined by the Bureau of the Census. 
‘‘(F) ALTERNATIVE MEASURE OF COST-OF- 
LIVING.—If the Secretary determines that an-
other measure of cost-of-living is more appro-
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priate than the SPM for purposes of this para-
graph, the Secretary shall use such measure in 
lieu of the SPM.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
December 31, 2016. 
Æ 
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