For Immediate Release
December 8, 2006
Contact: Josh Moenning
(402) 438-1598
Washington D.C. - As part of legislation to extend certain tax relief and healthcare provisions, the House of Representatives tonight adopted portions of an initiative sponsored by Congressman Jeff Fortenberry regarding Health Savings Accounts (HSA).
'Health Savings Accounts help families and small businesses better manage healthcare costs,' Fortenberry said. 'HSAs also have helped many previously uninsured persons find a new healthcare option. I am very pleased my colleagues have acted on this initiative to enhance their usability.'
In 2005 Fortenberry introduced legislation to allow the roll-over of portions of an existing individual retirement account (such as an IRA) to a Health Savings Account. This roll-over would not subject the retirement account funds to the penalty normally assessed for early withdrawal. The funds would then become accessible to pay for healthcare on an as needed basis.
'I thank Congressman Fortenberry for his essential involvement in promoting his Health Savings Account (HSA) initiative which will allow individuals to roll-over retirement funds into the plans,' said Congressman Bill Thomas of California, Chairman of the House Ways and Means Committee. 'His change enhances participation in HSAs and gives families and individuals essential control over their health care costs. The Tax Relief and Health Care Act has been strengthened by Congressman Fortenberry's continuation in pursuing market based affordable options. He has produced the blueprint for tomorrow's health care.'
Other provisions of the Tax Relief and Health Care Act address the extension of tax relief and healthcare provisions and the expansion of veterans' healthcare programs and services.
'The package offers continued tax relief to working families and small businesses, promotes renewable energy, improves the Medicare program, and expands veterans' healthcare services,' Fortenberry said. 'These provisions are important to Nebraskans.'
The Tax Relief and Health Care Act extends otherwise expiring measures including the research and development tax credit, the wind and biomass electricity tax credit, the ethanol tariff, the deduction for qualified tuition and fees, and the deduction for teachers' out-of-pocket expenses.
As a result of this legislation, Medicare patients needing physical, occupational, and speech therapy treatment which exceeds the annual cap on therapy services may continue to apply for supplemental therapy. Additionally, the bill blocks a reduction in Medicare physician reimbursement rates. This action will promote the continued participation of physicians in the program and protect patients' access to services.
The veterans' healthcare legislation enhances mental healthcare, readjustment counseling, and rural healthcare services. It also authorizes funding for new healthcare centers. In addition, it increases access to education benefits for families of disabled veterans and authorizes new guidelines to give preference to veteran-owned small businesses seeking to work with the Department of Veterans Affairs.
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