Employee Benefits Security Administration (ebsa)
The American Recovery and Reinvestment Act of 2009 (ARRA), as amended, provides for premium reductions for health benefits under the Consolidated Omnibus Budget Reconciliation Act of 1985, commonly called COBRA. Eligible individuals pay only 35 percent of their COBRA premiums and the remaining 65 percent is reimbursed to the coverage provider through a tax credit. To qualify, individuals must experience a COBRA qualifying event that is the involuntary termination of a covered employee's employment.
Section 3001(a)(5) of the American Recovery and Reinvestment Act of 2009, Public Law 111-5 Stat. 123 allows individuals who have been denied COBRA premium assistance by their ERISA-covered group health plans to seek expedited review of the denials from the Secretary of Labor. The Act further directs the Secretary to (1) develop and issues models notices to be used by group health plans to notify terminating employees of their rights under COBRA and potential right to the premium assistance; (2) Conduct an aggressive outreach and education effort to educate plan participants and plan administrators about these new provisions and (3) to establish a process for the individuals who have been denied the COBRA Premium Assistance to seek the Secretaryâ₏™s expedited review. The Secretary is required to make a determination of an individualâ₏™s eligibility within 15 business days after receiving an application for review. The Employee Benefits Security Administration has been delegated the responsibility and authority for making these determinations and has established an adjudication process to review these applications.
General information about this opportunity
Last Known Status
Deleted 01/15/2013 (Archived.)
Program Number
17.151
Federal Agency/Office
Agency: Department of Labor
Office: Employee Benefits Security Administration
Type(s) of Assistance Offered
Insurance
Program Accomplishments
Not Applicable.
Authorization
American Recovery and Reinvestment Act of 2009, Public Law 111-5 Stat. 123, Section 3001(5). Section 3001(a)(5) of the American Recovery and Reinvestment Act of 2009, Public Law 111-5 Stat. 123 , Section 3001, Public Law 111-5.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
None.
Beneficiary Eligibility
None.
Credentials/Documentation
Applicants must complete the Application to the Department of Labor for Expedited Review of Denial of COBRA Premium Reduction and submit relevant documentation. This program is excluded from coverage under OMB Circular No. A-87.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.
Application Procedure
This program is excluded from coverage under OMB Circular No. A-102. This program is excluded from coverage under OMB Circular No. A-110. Applications may be mailed to Department of Labor, EBSA, Attn: COBRA Appeals, PO Box 78038, Washington, DC. 20013-8038 or filed electronically at http://www.dol.gov/ebsa/COBRA.
Award Procedure
Not applicable.
Deadlines
Not Applicable.
Approval/Disapproval Decision Time
From 1 to 15 days.
Appeals
Not Applicable.
Renewals
Not Applicable.
How are proposals selected?
Not Applicable.
How may assistance be used?
Individuals denied the COBRA Premium Assistance made available under the American Recovery and Reinvestment Act may seek an expedited review of that denial by the Secretary of Labor. Individuals denied COBRA Premium Assistance Assistance made available under the American Recovery and Reinvestment Act may seek an expedited review of that denial by the Secretary of Labor.
What are the requirements after being awarded this opportunity?
Reporting
No reports are required.
Auditing
No audits are required for this program.
Records
Not applicable.
Other Assistance Considerations
Formula and Matching Requirements
This program has no statutory formula.
This program has no matching requirements.
This program does not have MOE requirements.
Length and Time Phasing of Assistance
Not applicable. See the following for information on how assistance is awarded/released: No information provided.
Who do I contact about this opportunity?
Regional or Local Office
None.
Headquarters Office
Teresa Thomas/DOL/EBSA 200 Constitution Ave., NW
Room N5623, Washington, District of Columbia 20210 Phone: 1-866-444-3272
Website Address
http://www.dol.gov/ebsa/cobra
Financial Information
Account Identification
16-1700-0-1-601 - TAFS: 169/0/1700.
Obligations
(Insurance) FY 09 $2,004,535; FY 10 $4,000,000; FY 11 Estimate Not Available
Range and Average of Financial Assistance
Not applicable.
Regulations, Guidelines and Literature
Copies of the final regulations, proposed regulations, and other directives are available from the national office or on EBSA's website at www.dol.gov/ebsa.COBRA. Certain audio-visual materials also are available for hearing-impaired audiences. EBSA publishes a variety of free publications directed to employers and participants which can be obtained from its website and its publication hotline at 1-866 444-EBSA (3272)
Examples of Funded Projects
Not Applicable.