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Senate narrowly votes to approve Heller-sponsored ‘Cadillac tax’ amendment; Cortez Masto 1 of 2 Democrats in support

Megan Messerly
Megan Messerly
Riley Snyder
Riley Snyder
CongressHealth Care
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Nevada Sen. Dean Heller’s proposal to repeal the so-called Cadillac tax on high-cost, employer-sponsored health insurance was approved in a narrow vote of the Senate Thursday night, the first measure to succeed in three days of debate over the future of the Affordable Care Act.

The amendment, which passed the Senate in a 52-48 vote, piggybacked on efforts by Heller and Democratic Sen. Martin Heinrich from New Mexico earlier this year to delay the implementation of the Cadillac tax until 2020. The Affordable Care Act created the 40 percent surcharge on certain employer-based health premiums above certain thresholds but delayed implementation of the tax until 2018.

“This is an issue that’s well endorsed,” Heller said just before the vote. “We have the endorsement of organized labor, chambers of commerce, local and state governments, small business organizations.”

Nevada Sen. Catherine Cortez Masto and Heinrich were the only two Democrats to vote in favor of the measure. Before the vote, Senate Minority Leader Chuck Schumer framed the Cadillac tax as being inextricably linked to Republicans’ overall attempts to repeal the Affordable Care Act.

“First on the issue before us, most Democrats, the vast majority are for repealing the Cadillac tax. We’re not for many of the other provisions that are being put forward,” Schumer said. “This requires the two to be tied together. We’re for repealing the Cadillac tax but not harming the health care of millions of Americans.”

Heller said that 1.3 million in Nevadans are covered by an employer-sponsored health insurance plan, from public employees in Carson City and service industry workers on the Las Vegas Strip to small business owners and retirees. The Cadillac tax repeal is backed by both the Culinary Workers Local 226 and Bartenders Local 165, which represent 57,000 workers in Las Vegas and Reno.

“Hardly anyone in Nevada will be shielded from the devastating effects of this Cadillac tax,” Heller said earlier in the day, introducing the amendment.

In 2015, the Senate voted 90-10 in support of including an amendment to repeal the Cadillac tax as part of a larger effort to repeal key provisions of the Affordable Care Act in 2015. President Barack Obama ultimately vetoed that bill after the Republican-controlled Congress passed it.

Another amendment to the health care bill proposed by Heller on Wednesday expressing symbolic support for Medicaid expansion failed overwhelmingly in a 10-90 vote.

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