On March 18, 2013, NSBA filed a comprehensive response to the IRS’s proposed rules implementing ACA to apprise the agency of the “unanticipated impact certain provisions of the proposed rule may have as public school districts across the country wrestle with questions” ranging from calculation of service hours to the so-called “large employer” determinations.
NSBA Executive Director, Thomas J. Gentzel said, “We are pleased that the IRS has heard our concerns about the need for clarification on the Affordable Care Act before the rules becomes final to minimize any adverse impact on the nation’s schools and students’ educational outcomes.”
In its comments to the IRS, NSBA raised concerns about the challenges the proposed rules would have on school employment arrangements such as long vs. short term teaching substitutes with consecutive assignment, independent contractors, additional extra-curricular duty providers, re-hired retired employees, and even pay for school board members.
NSBA General Counsel, Francisco M. Negrón, Jr. added, “We believe the IRS has made a prudent choice with regard to implantation of the Affordable Care Act. School districts are in particularly challenging situation as employers, because of the unique part-time and full-time employment configurations they utilize. We look forward to further clarification from the IRS that will help school districts effectively navigate this new legal framework.”