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Retirement plan reform legislation before congress
Retirement Plan Reform Legislation Before Congress Legislation has been introduced in Congress to further restrict the formulation of retirement plans by professionals. Under the provisions of H R 6140, partnerships composed of incorporated professionals will be required to include support personnel in the same plan with the incorporated professionals. This legislation, aimed specifically at physicians, is the result of Internal Revenue Service complaints that the current retirement statute is being abused. The IRS claims that professionals will incorporate individually, then form a partnership and hire support staff through the partnership. This arrangement enables the professionals to provide substantial retirement plans for themselves while at the same time excluding their employees from comparable coverage. According to the IRS, this arrangement violates the antidiscrimination provisions of the E m ployee Retirement Income Security Act of 1974 (ERISA). O n this point, however, taxpayers have twice beaten the IRS in court. These defeats have led to introduction of the bill to tighten the alleged loophole. Some have predicted that no action will be taken on the measure this year, but rather the legislation was introduced as a "red flag" to w a r n physicians and other professionals that this type of discriminatory treatment of support personnel will not be tolerated. While the IRS m a y be well intentioned in seeking to prevent discrimination in pension plan coverage, a number of other issues are included in the scope of the legislation.
As drafted, the legislation could be interpreted to require that emergency physicians w h o use the billing service of the hospital in which they practice be included in the pension plan of that hospital. Also, the legislation stipulates not only that support personnel must be afforded adequate pension coverage, but also that all employees of a partnership, partners included, come under the
provisions of a single master pension plan. Many think provisions seem excessive and go beyond the stated int e n t of the bill. ACEP will continue to monitor the legislation to ensure t h a t the position of emergency physicians is clearly delineated, and not u n i n t e n t i o n a l l y included in a congressional "broad-brush" remedy to this problem.
Dr. Baker Becomes STEM President F r a n k J. Baker, II, MD, acceded to the presidency of the Society of T e a c h e r s of E m e r g e n c y M e d i c i n e (STEM) at the group's annual business meeting in Tucson April 19. Dr. Baker, of Chicago, succeeded Harvey W. M e i s l i n , MD, of Los Angeles. C h o s e n by a c c l a m a t i o n as presi d e n t - e l e c t was J o h n R. L u m p k i n , MD, also of Chicago. Vera Morkovin, MD, of Chicago, was reelected secr e t a r y / t r e a s u r e r , and Mary Ann Cooper, MD, of Louisville, Kentucky, was chosen Board member at large. In further action at the meeting, a motion was passed to investigate a combined m e m b e r s h i p a p p l i c a t i o n process for ACEP, the Emergency Medicine Residents' Association (EMRA), and STEM to simplify joint memberships; the Board voted to relocate the STEM office to Dallas; and the Board expressed formal interest in being represented on the emergency medicine residency review committee of the Liaison Committee on G r a d u a t e M e d i c a l E d u c a t i o n when it is established and in being a cosponsor of Annals.
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Frank J. Baker, H, MD
Plans were discussed for a repeat of the "Friends of Emergency Medicine" dinner for medical schoo] deans and other Washington VIPs at the a n n u a l fall meeting of the Association of American Medical Colleges in W a s h i n g t o n , a n d STEM m e m b e r s w e r e e n c o u r a g e d to r e f e r to Dr. Baker names of those who should be invited. The a n n u a l b u s i n e s s m e e t i n g followed a workshop entitled "The Lecture Is Dead, Long Live the Lecture," which allowed participants to videotape t h e i r own pre- and postworkshop lecture presentations.
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Consultation on group organization, c o n t r a c t s , c o n t r a c t n e g o t i a t i o n s fee schedules, and independent billing. Our expertise and advice is based on 1 7 years' experience specializing in m a n a g e m e n t of e m e r g e n c y group practices. Call toll free 8 0 0 - 5 2 1 - 6 8 2 8 . In Michigan 8 0 0 - 5 7 2 - 9 6 0 2 o r in 3 1 3 a r e a code 8 7 9 - 6 3 0 0 . Or send us this ad f o r m o r e information. BRAULT, STRAUCHMAN ~ ASSOCIATES, INC. One Northfield Plaza, Troy, Michigan 4 8 0 9 8
name, name of hospital or practice_ address city _ _ _ state
82
Ann Emerg Med
phone (
)
zip
9:7 ( J u l y ) 1980
As drafted, the legislation could be interpreted to require that emergency physicians w h o use the billing service of the hospital in which they practice be included in the pension plan of that hospital. Also, the legislation stipulates not only that support personnel must be afforded adequate pension coverage, but also that all employees of a partnership, partners included, come under the
provisions of a single master pension plan. Many think provisions seem excessive and go beyond the stated int e n t of the bill. ACEP will continue to monitor the legislation to ensure t h a t the position of emergency physicians is clearly delineated, and not u n i n t e n t i o n a l l y included in a congressional "broad-brush" remedy to this problem.
Dr. Baker Becomes STEM President F r a n k J. Baker, II, MD, acceded to the presidency of the Society of T e a c h e r s of E m e r g e n c y M e d i c i n e (STEM) at the group's annual business meeting in Tucson April 19. Dr. Baker, of Chicago, succeeded Harvey W. M e i s l i n , MD, of Los Angeles. C h o s e n by a c c l a m a t i o n as presi d e n t - e l e c t was J o h n R. L u m p k i n , MD, also of Chicago. Vera Morkovin, MD, of Chicago, was reelected secr e t a r y / t r e a s u r e r , and Mary Ann Cooper, MD, of Louisville, Kentucky, was chosen Board member at large. In further action at the meeting, a motion was passed to investigate a combined m e m b e r s h i p a p p l i c a t i o n process for ACEP, the Emergency Medicine Residents' Association (EMRA), and STEM to simplify joint memberships; the Board voted to relocate the STEM office to Dallas; and the Board expressed formal interest in being represented on the emergency medicine residency review committee of the Liaison Committee on G r a d u a t e M e d i c a l E d u c a t i o n when it is established and in being a cosponsor of Annals.
~i~:~!,~,~V~
Frank J. Baker, H, MD
Plans were discussed for a repeat of the "Friends of Emergency Medicine" dinner for medical schoo] deans and other Washington VIPs at the a n n u a l fall meeting of the Association of American Medical Colleges in W a s h i n g t o n , a n d STEM m e m b e r s w e r e e n c o u r a g e d to r e f e r to Dr. Baker names of those who should be invited. The a n n u a l b u s i n e s s m e e t i n g followed a workshop entitled "The Lecture Is Dead, Long Live the Lecture," which allowed participants to videotape t h e i r own pre- and postworkshop lecture presentations.
~, ~:~ o _.:~
Consultation on group organization, c o n t r a c t s , c o n t r a c t n e g o t i a t i o n s fee schedules, and independent billing. Our expertise and advice is based on 1 7 years' experience specializing in m a n a g e m e n t of e m e r g e n c y group practices. Call toll free 8 0 0 - 5 2 1 - 6 8 2 8 . In Michigan 8 0 0 - 5 7 2 - 9 6 0 2 o r in 3 1 3 a r e a code 8 7 9 - 6 3 0 0 . Or send us this ad f o r m o r e information. BRAULT, STRAUCHMAN ~ ASSOCIATES, INC. One Northfield Plaza, Troy, Michigan 4 8 0 9 8
name, name of hospital or practice_ address city _ _ _ state
82
Ann Emerg Med
phone (
)
zip
9:7 ( J u l y ) 1980