In the current debate on health care reform, nonprofit employers run the risk of being excluded from reform package provisions that could ease the burden of high health care costs on employers and their workers.

Earlier in October, the Senate Finance Committee approved health care bills that do provide help to nonprofit employers. The Senate provision extends eligibility for small business tax credits to tax-exempt employers by permitting nonprofits to apply modified credits to certain payroll taxes.

In the House, the comprehensive health reform bill that just passed does not extend eligibility to nonprofit organizations.  More than forty house members, including local US Rep. Joe Sestak, signed a letter urging House leaders to include nonprofit employers in relief provisions for small businesses.   When the Senate passes their health care reform bill, it is possible that help for nonprofit could appear in “conference” – where the House and Senate versions of health care reform are compromised before the President signs the legislation into law.

Health care coverage has long been an issue for our sector. Dance companies, with few exceptions, have been hard pressed to provide adequate health insurance to their employees.  The costs of premiums continue to rise for 2010 as much as 15-40%. Employer contributions by arts organizations can vary as much as 14% for smaller organizations up to 70% for larger organizations. This still falls way below the national average for all employers, which averaged around 84%.

Bottom line, the arts sector is once again at risk and left to fend for itself. Once again, just as with the arts tax, you need to be sure our voice is heard by contacting your US Senators and Congressional Representatives to be sure this is addressed.