# 119-s-2875: CHOICE Act

119-s-2875, CHOICE Act, is a 119th Congress bill sponsored by Sen. Sheehy, Tim [R-MT] (R-MT); status introduced; PRIA reads it as touching household money (as of 2026-06-11).

- Canonical: https://policyrisk.com/legislation/119-s-2875
- As of: 2026-06-11
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-2875
- Congress: 119
- Title: CHOICE Act
- Status: introduced
- Introduced: 2025-09-18
- Sponsor: Sen. Sheehy, Tim [R-MT] (R-MT)
- Cosponsors: 4
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-06-11

## Summary

**CHOICE arrangement** would create a new employer-funded health reimbursement arrangement that coordinates with individual-market insurance and Medicare. It would set who can get the benefit, require employers to verify coverage and claims, and add a new W-2 reporting line. - Workers and families: Employers could reimburse medical care up to a fixed dollar cap only while the worker is enrolled in individual coverage or Medicare, and reimbursements would cover expenses only during the period of that coverage. This takes effect for plan years beginning after December 31, 2025. - Employers: Must offer CHOICE to all employees in defined classes on the same terms, follow substantiation procedures for enrollment and claims, and provide a written notice at least 60 days before the plan year. Employers may increase maximum reimbursements for additional dependents or by age but not above 300% of the lowest maximum. - Market and regulators: CHOICE arrangements would be treated as meeting certain Public Health Service Act market and coverage requirements and regulators must adjust current HRA rules and reporting to align with the new option.

## Cosponsors (4)

- Sen. Blackburn, Marsha [R-TN] (R-TN), 2025-11-18T00:00:00.000Z
- Sen. Banks, Jim [R-IN] (R-IN), 2025-11-19T00:00:00.000Z
- Sen. Marshall, Roger [R-KS] (R-KS), 2025-11-20T00:00:00.000Z
- Sen. Cramer, Kevin [R-ND] (R-ND), 2026-06-09T00:00:00.000Z

## Provisions PRIA read

- Tax credit for CHOICE employers: benefit, high. If enacted, eligible employers (not applicable large employers) could claim a two-year tax credit for creating a CHOICE arrangement beginning in taxable years after December 31, 2025. In the first year the credit would be $100 per enrolled employee for each month the employee is enrolled (up to $1,…
- New employer-funded HRA for individuals: benefit, medium. If enacted, employers could offer a new employer-funded health reimbursement arrangement (a CHOICE arrangement) starting for plan years after December 31, 2025. The employer would pay or reimburse medical care only while you (and any dependents) are enrolled in eligible individual market coverage (…

## Related bills

- 119-s-4744: Take Care of America’s Veterans Act
- 119-s-4952: Protecting American Taxpayers Act
- 119-s-292: Educational Choice for Children Act of 2025
- 119-s-3752: SAVE America Act
- 119-s-1552: Living Donor Protection Act of 2025
- 119-s-401: Fair Access to Banking Act

## Sources
- [119-s-2875 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/2875)

## Related
- [119-s-4744: Take Care of America’s Veterans Act](https://policyrisk.com/legislation/119-s-4744)
- [119-s-4952: Protecting American Taxpayers Act](https://policyrisk.com/legislation/119-s-4952)
- [119-s-292: Educational Choice for Children Act of 2025](https://policyrisk.com/legislation/119-s-292)
- [119-s-3752: SAVE America Act](https://policyrisk.com/legislation/119-s-3752)
- [119-s-1552: Living Donor Protection Act of 2025](https://policyrisk.com/legislation/119-s-1552)
- [119-s-401: Fair Access to Banking Act](https://policyrisk.com/legislation/119-s-401)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-2875 (as of 2026-06-11).