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COBRA Administrators Must Prepare and Send Final Rescue Plan Act Subsidy Notices by September 15th

By Mark Williams, Timothy S. Klimpl & Romania Morley on September 7, 2021
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Plan administrators have until September 15, 2021 to distribute notices of the approaching end of the COBRA subsidy period under the American Rescue Plan Act (“Rescue Plan Act”), which by law expires after September 30, 2021.

As we previously discussed in March and April of this year, the Rescue Plan Act requires that Assistance Eligible Individuals receive a Notice of Expiration of Period of Premium Assistance between 15 and 45 days before the end of their subsidized COBRA under the Rescue Plan Act.  With the conclusion of the subsidy program on September 30th just around the corner, this means that September 15th is the latest possible day that a plan administrator may distribute the Expiration Notice to individuals receiving the subsidy through the end of the month.

A copy of the model notice from the U.S. Department of Labor (“DOL”), which administrators can use to fill in the applicable information and send to eligible individuals, can be found here.

If you have questions about the approaching end of the COBRA subsidy period on September 30th, or completing the model notice published by the DOL, please contact a member of Carmody’s Labor & Employment group.

This information is for educational purposes only to provide general information and a general understanding of the law. It does not constitute legal advice and does not establish any attorney-client relationship.

Photo of Mark Williams Mark Williams

Mark F. Williams‘ practice includes all aspects of employee benefits, including both tax and ERISA issues that arise in connection with employee benefit plans for both large and small clients. Mark advises employers on the design of their qualified pension plans, including 401(k)…

Mark F. Williams‘ practice includes all aspects of employee benefits, including both tax and ERISA issues that arise in connection with employee benefit plans for both large and small clients. Mark advises employers on the design of their qualified pension plans, including 401(k) and 403(b) plans.  Mark also designs and drafts nonqualified deferred compensation plans, such as Supplemental Executive Retirement Plans, and assures compliance with IRC Section 409A, which governs nonqualified arrangements.  Mark has also advised employers on compliance with the Affordable Care Act. Additionally, Mark has experience in structuring golden parachute, change in control arrangements, and deferred compensation arrangements for non-profits.

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Romania Morley

Romania Jawahir is a non-lawyer member of the firm’s Labor and Employment group. She is pursuing an MBA with a concentration in Human Resources Management at the University of Connecticut and preparing for the SHRM-CP exam. Romania is also a member of the…

Romania Jawahir is a non-lawyer member of the firm’s Labor and Employment group. She is pursuing an MBA with a concentration in Human Resources Management at the University of Connecticut and preparing for the SHRM-CP exam. Romania is also a member of the firm’s Diversity, Equity & Inclusion Team.

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  • Posted in:
    Employment & Labor
  • Blog:
    Carmody @ Work
  • Organization:
    Carmody Torrance Sandak & Hennessey LLP
  • Article: View Original Source

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