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Fair Share Health Care Act

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Maryland Senate Bill 790, known as the Fair Share Health Care Act, also nicknamed the "Wal-Mart Bill", was a legislative act passed in the state of Maryland in 2005. The act would have required for-profit employers with more than 1,000 workers in the state of Maryland to spend at least 8% of their payroll on employee health benefits or make a contribution to the state's insurance program for the poor. Non-profit employers were required to do the same, but with a lower, 6% benchmark.

The Maryland legislature initially passed the bill on April 5, 2005.[1] Though its supporters contended that it did not single out Wal-Mart, Wal-Mart was the only private, for-profit employer in the state that would have been affected.

The bill was vetoed by then-Governor Robert L. Ehrlich[2] On January 12, 2006, the Senate decided to override Ehrlich's veto, thereby passing the act into law.[3][4]

On July 18, 2006, a federal judge struck down the law as preempted by ERISA. On January 17, 2007, the United States Court of Appeals for the Fourth Circuit upheld the decision.[5]

Similar measures

While the Maryland bill drew the most national media attention, similar measures were considered in other states but also failed.

In 2006, such a bill was vetoed by the governor of Colorado.[6]

In the same year, a version of the bill that would have required companies with 500,000,000 or more employees to spend 9% of their payroll on health care benefits was defeated[7]

References

  1. ^ Wagner, John; Barbaro, Michael (April 6, 2005). "Md. Passes Rules on Wal-Mart Insurance". The Washington Post. p. A01.{{cite news}}: CS1 maint: multiple names: authors list (link)
  2. ^ Armour, Stephanie (January 13, 2006). "Maryland first to OK 'Wal-Mart bill'". USA Today.
  3. ^ Wagner, John (January 13, 2006). "Md. Legislature Overrides Veto on Wal-Mart Bill". The Washington Post.
  4. ^ Coulter, Michael (March 2006). "Md. Enacts 'Wal-Mart' Bill". The Heartland Institute.
  5. ^ Barbaro, Michael (January 18, 2007). "Appeals Court Rules for Wal-Mart in Maryland Health Care Case". New York Times.
  6. ^ [1][dead link]
  7. ^ Thomas, Ralph (February 15, 2006). "Wal-Mart bill likely dead; unions upset with Chopp". Seattle Times.