--- title: "ACA & Collective Bargaining: What public sector employers need to know" description: "ACA and Collective Bargaining: What school districts and other public sector organizations need to know" --- # ACA & Collective Bargaining: What public sector employers need to know - Home - [Employee Benefit News for School, City and County Employers](https://blog.nisbenefits.com) - ACA & Collective Bargaining: What public sector employers need to know [ Steve Smith ](https://blog.nisbenefits.com/author/steve-smith) 04/08/2013 [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news) [0 Comments ](https://blog.nisbenefits.com/aca-and-collective-bargaining-what-school-districts-and-other-public-sector-organizations-need-to-know-2#postComment) 1 Minutes Many group Health Insurance plans subject to collective bargaining agreements are grandfathered under Affordable Care Act (ACA). **What does “grandfathered” mean? **Your plan is considered a “grandfathered plan” if was in place as of March 23, 2010 (the date of enactment of the ACA) and certain changes have not been made. If your plan is grandfathered, it means that it is subject only to certain provisions of the Affordable Care Act and not subject to other provisions.  **List of ACA Mandates that apply to grandfathered group Health Insurance plans** - Prohibition of preexisting condition exclusion or other discrimination based on health status - Prohibition on excessive waiting periods - No lifetime or annual limits - Prohibition on rescissions - Extension of dependent coverage until age 26 - Development and utilization of uniform explanation of coverage documents and standardized definitions - Bringing down cost of health care coverage (for insured coverage) - Pay-or-Play Penalties **Maintaining grandfathered status **The law includes a special rule for fully insured collectively bargained plans that allow a change in insurers during the collective bargaining agreement. However, if you make any substantial changes to your plan design, you will lose your grandfathered status and are subject to the same rules as other health plans. **When does the plan lose grandfathered status? **Fully-insured health plans will be able to maintain their grandfathered status until their agreement terminates. As the agreements come up for renewal or are renegotiated, collectively bargained health plans will be subject to the same rules as non-collectively bargained plans.   **Next Steps **The bulk of the ACA rules are effective on the first day of the health plan year following January 1, 2014. If you have not yet begun preparations for the new requirements, it’s a good idea to start now. A thorough review should be completed to determine when contracts renew and what changes, if any, must be made to ensure compliance with the ACA. For help determining if you plan is grandfathered, download our [Compliance Checklist for Determining Grandfathered Status](http://www.nisbenefits.com/states-embrace-health-insurance-exchange/). For more information on grandfathered plans including what is permitted and what is prohibited, download our [Overview of Grandfathered Plans](http://www.nisbenefits.com/states-embrace-health-insurance-exchange/).  Links to actual legislation: [http://www.irs.gov/irb/2010-29_IRB/ar08.html#d0e503](http://www.irs.gov/irb/2010-29_IRB/ar08.html#d0e503) [http://www.law.cornell.edu/cfr/text/29/2590.715-1251](http://www.law.cornell.edu/cfr/text/29/2590.715-1251)     --- #### Tag: [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news) #### Share: - [Follow us on Facebook ](http://www.facebook.com/share.php?u=https://blog.nisbenefits.com/aca-and-collective-bargaining-what-school-districts-and-other-public-sector-organizations-need-to-know-2) - [Follow us on Twitter ](https://twitter.com/intent/tweet?url=https://blog.nisbenefits.com/aca-and-collective-bargaining-what-school-districts-and-other-public-sector-organizations-need-to-know-2&text=ACA%20&%20Collective%20Bargaining:%20What%20public%20sector%20employers%20need%20to%20know) - [Follow us on Linkedin ](http://www.linkedin.com/shareArticle?mini=true&url=https://blog.nisbenefits.com/aca-and-collective-bargaining-what-school-districts-and-other-public-sector-organizations-need-to-know-2) - [Follow us on Pinterest ](http://pinterest.com/pin/create/button/?url=https://blog.nisbenefits.com/aca-and-collective-bargaining-what-school-districts-and-other-public-sector-organizations-need-to-know-2&text=ACA%20&%20Collective%20Bargaining:%20What%20public%20sector%20employers%20need%20to%20knowdescription=Many%20group%20Health%20Insurance%20plans%20subject%20to%20collective%20bargaining%20agreements%20are%20grandfathered%20under%20Affordable%20Care%20Act%20(ACA).%20What%20does%20“grandfathered”[...]&media=) --- [#### ACA legislation endures delays ##### Previous Post ](https://blog.nisbenefits.com/aca-legislation-endures-delays) [#### U.S. grants $54 million to health exchange navigators ##### Next Post ](https://blog.nisbenefits.com/u-s-grants-54-million-to-health-exchange-navigators) ### Leave a Reply This is a search field with an auto-suggest feature attached. - There are no suggestions because the search field is empty. ### Category - [Legislative News (1149)](https://blog.nisbenefits.com/topic/aca-other-legislative-news) - [Health Insurance Solutions (504)](https://blog.nisbenefits.com/topic/health-insurance-solutions) - [COVID-19 (209)](https://blog.nisbenefits.com/topic/covid-19) - [Ancillary Benefits (175)](https://blog.nisbenefits.com/topic/ancillary-benefits) - [Mental Health (122)](https://blog.nisbenefits.com/topic/mental-health) ### Popular Posts [ Steve Smith ](https://blog.nisbenefits.com/author/steve-smith) 02/16/2024 [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions) [ Understanding Embedded vs. Nonembedded Deductibles ](https://blog.nisbenefits.com/understanding-embedded-nonembedded-deductibles) [ Erin Woulfe ](https://blog.nisbenefits.com/author/erin-woulfe) 02/09/2026 [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions), [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news) [ IRS Releases 2027 Health Plan Cost-sharing Limits ](https://blog.nisbenefits.com/2027-health-plan-cost-sharing-limits) [ Valerie Ortiz ](https://blog.nisbenefits.com/author/valerie-ortiz) 02/17/2026 [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions), [ The Administrator's Corner](https://blog.nisbenefits.com/topic/the-administrators-corner) [ 4 Employee Wellness Trends You Can’t Ignore in 2026 ](https://blog.nisbenefits.com/2026-employee-wellness-trends) [ Dina Lubben ](https://blog.nisbenefits.com/author/dina-lubben) 11/14/2025 [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions), [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news) [ Trump Administration Unveils Plan to Make GLP-1 Drugs Affordable ](https://blog.nisbenefits.com/trump-administration-plan-glp1-drugs-affordable) --- ## Related Posts [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions), [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news), [ The Administrator's Corner](https://blog.nisbenefits.com/topic/the-administrators-corner) [ Valerie Ortiz ](https://blog.nisbenefits.com/author/valerie-ortiz) 07 July, 2026 #### [New CMS Report: Healthcare Spending Trends Through 2034](https://blog.nisbenefits.com/healthcare-spending-trends-through-2034) New projections from the U.S. Centers for Medicare and Medicaid Services (CMS) Office of the… [Read More](https://blog.nisbenefits.com/healthcare-spending-trends-through-2034) [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news), [ The Administrator's Corner](https://blog.nisbenefits.com/topic/the-administrators-corner), [ Mental Health](https://blog.nisbenefits.com/topic/mental-health) [ Steve Smith ](https://blog.nisbenefits.com/author/steve-smith) 06 July, 2026 #### [New HHS Rule Expands Catastrophic Coverage Access](https://blog.nisbenefits.com/new-hhs-rule-expands-catastrophic-coverage-access) The U.S. Department of Health and Human Services’ (HHS) Notice of Benefit and Payment Parameters… [Read More](https://blog.nisbenefits.com/new-hhs-rule-expands-catastrophic-coverage-access) [ Health Insurance Solutions](https://blog.nisbenefits.com/topic/health-insurance-solutions), [ Legislative News](https://blog.nisbenefits.com/topic/aca-other-legislative-news) [ Mari Wagner ](https://blog.nisbenefits.com/author/mari-wagner) 25 June, 2026 #### [Federal Court Blocks Key ACA Exchange Restrictions](https://blog.nisbenefits.com/federal-court-blocks-key-aca-exchange-restrictions) A recent federal court ruling blocked stricter ACA Marketplace eligibility and enrollment… [Read More](https://blog.nisbenefits.com/federal-court-blocks-key-aca-exchange-restrictions)