Delay of employer penalties will cost gov’t $10B
By RICARDO ALONSO-ZALDIVAR Associated Press July 30, 2013 2:20PM
Updated: July 30, 2013 4:57PM
WASHINGTON (AP) — The nonpartisan budget scorekeeper for Congress says the Obama administration’s recent decision to delay a health law requirement for larger employers to offer coverage will cost the government $10 billion in fines that won’t be collected.
But the Congressional Budget Office says that’s a relatively small amount.
As a result of the employer delay and other last-minute changes, the CBO said Tuesday that cost of expanding coverage for the uninsured will rise to $1.375 billion from 2014-2023, an increase of less than 1 percent from its previous estimate in May.
Foes of “Obamacare” say the delay in the employer requirement is a sign that implementation of the law is in serious trouble.
CBO said fewer than half million people would have to forgo coverage as a consequence.