Westerman files insurance penalty bill

Two Arkansas legislators say they want to shield businesses from federal penalties if their operations don't fully comply with the nation's health-care law.

House Majority Leader Bruce Westerman, R-Hot Springs, introduced a bill Monday that would grant a state tax credit to businesses that don't comply with certain requirements under the Affordable Care Act. Republican state Sen. Bart Hester of Cave Springs co-sponsored the measure.

The Legislature opened its 2014 session Monday. A key issue is whether to continue a plan to use federal dollars to provide insurance for poor people. Business groups say if the "private option" doesn't continue, some companies will be forced to pay federal penalties for failing to provide insurance.

Under Westerman's bill, the state would grant a tax credit to businesses to cover federal penalties.

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