How the ACA will Impact Your Nonprofit, Compiled by Utah Nonprofit Association

We know that many nonprofit leaders are wondering what their obligations are under the Affordable Care Act. UNA, in partnership with the National Council of Nonprofits, has gathered clear and concise information that will help you understand your obligations.

Note that all employers must notify their employees of options by October 1 –links to sample notices are included below.

FAQs about the Affordable Care Act and Charitable Nonprofits

Myth: The Affordable Care Act will require our nonprofit to provide health insurance coverage for our employees.

Reality: While the Affordable Care Act (“ACA”) has changed the way everyone will access health insurance coverage, charitable nonprofits (as with all employers) still have a choice whether or not to offer health insurance coverage to employees.

The ACA does not mandate that employers provide insurance coverage for employees. However, board members and staff leaders of charitable nonprofits – even those without employees – still need to understand how the ACA will affect the nonprofit workplace.

Nonprofits without employees: Individuals served by your nonprofit may have questions about the Affordable Care Act and how to access health insurance and changes to Medicaid. Your nonprofit can serve as a resource and refer those with questions to the federal government:

• Insurance finder
• Learn more about how the Affordable Care Act will affect citizens in Utah
• HealthCare.gov has information on the new marketplace with information for businesses and individuals. 
• The Department of Health and Human Services has a toolkit for faith based and community organizations to help you get the word out.

All nonprofits can share information about insurance coverage:

• Insurance Finder (Healthcare.gov)
• The Health Care Law Helps the Whole Family (Infographic)
• Key Features of the Affordable Care Act (Infographic)

Give notice! All nonprofits with staff have an obligation under the ACA to let their employees know about the options available to their employees to access health insurance. As the nation gets used to a new system of health insurance delivery, lawmakers wanted to make sure that all Americans know that they are eligible to access health insurance through the Marketplace. So, one of the ACA’s provisions requires ALL EMPLOYERS to inform all employees of the options available to them for accessing health insurance. This means that nonprofit employers must provide NOTICE to existing employees by October 1, 2013 -- and notice to all newly-hired employees starting October 1, 2013. You can find sample notices in English and Spanish at:

• Fact Sheet on the Notice requirement (National Council of Nonprofits)
• Model Notice for employers who offer a health plan to some or all employees | en español
• Model Notice for employers who do not offer a health plan | en español

A refund may be available: Is your small nonprofit (under 25 employees) eligible for a refund on the premiums it has paid for health insurance for employees? Learn about the Small Business Health Care Tax Credit

• One pager on the Small Business Health Care Tax Credit (National Council of Nonprofits)

For larger employers, even more changes will be effective starting in 2015: Employers with 50+ full time equivalents that do NOT offer health insurance coverage to their employees will be subject to penalties under the “shared employer responsibility” provisions of the ACA. To help your nonprofit and board members understand how the ACA will impact your nonprofit, the National Council of Nonprofits has developed these website resources:

• Key provisions of the ACA and how they affect charitable nonprofits, small and large.
• Frequently asked questions about how the ACA affects charitable nonprofits.

If you are in need of more resources please don't hesitate to contact us.