House of Representatives Week in Review: May 27th - May 29th

Hello Friends,

Below please find an update on legislation passed by the House of Representatives this week.  I hope you’ll feel free to contact me (517.373.0826; andyschor@house.mi.gov) if you have questions or thoughts about any of the below bills. 

Thank you! 

Andy Schor

State Representative

68th District

Licensing fees for community planners

SB 494 (Caswell), Passed: 94-16

Next: Returned to the Senate

Senate Bill 494 amends the State License Fee Act to repeal the section of the Act that deals with licensing fees for community planners. SB 494 is tie-barred with House Bill 4377 (Kelly). HB 4377 amends the Occupational code to repeal the licensing requirements for community planners.

Remove licensing fees for ocularists

SB 607 (Kahn), Passed: 104-6

Next: Returned to the Senate

Senate Bill 607 (Kahn) amends the State License Fee Act to remove the licensing fee section relating to ocularists in Michigan. The H-1 substitute tie-barred SB 607 to HB 4392.

Delphi Package: Create Private Employer Group Self-Insurers Security Fund

HB 5478(Graves), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5478 is part of the Delphi Package (HBs 5478-90). This bill would create, beginning on January 1, 2019, the Private Employer Group Self-Insurers Security Fund (PEGSISF). The PEGSISF would be responsible for the claims made against SIGs or their members, if the SIG is otherwise unable to pay. This bill is tie-barred to HBs 5479-80, and HB 5483.

SIFU Liability and PEGSISF Assessments

HB 5479(Graves), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5479 is part of the Delphi Package (HBs 5478-90). Currently, the Self Insurer Security Fund (SISF) pays claims when a self-insured company files for bankruptcy and fails to pay claims itself. Under this bill, the PEGSISF will assume the liability for any claims made against PEGSISF members after its creation in 2019. This is regardless of whether the claim was first filed before or after the PEGSISF’s creation. Additionally, rather than an annual assessment, the PEGSISF’s members will only be assessed when the Director determines that one of the SIGs that make it up has gone bankrupt. The assessment will be proportional of the total paid losses of each SIG paid in the prior year to cover the costs of benefits incurred.

Permits WCA trustees to authorize payments from PEGSISF

HB 5480 (Graves), Passed 109-1

Next: Sent to the Senate for consideration

HB 5480 is part of the Delphi Package (HBs 5478-90). This bill creates a new section in the Act that specifically gives the WCA trustees the authority to authorize payments from the PEGSISF.

This bill is tie-barred to HBs 5478-79, and 5483.

PEGSISF Technical Change

HB 5481(Graves), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5481 is part of the Delphi Package (HBs 5478-90). This bill makes a technical change in the Act to include a reference to PEGSISF in Section 356, which deals with automatic benefit increases after being on disability for over two years.

PEGSISF Technical Change

HB 5482 (Graves), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5482 is part of the Delphi Package (HBs 5478-90). This bill makes a technical change in the Act to include a reference to PEGSISF in Section 391(7). Section 391 addresses when self-insurers and insurers alike are entitled to reimbursement from the compensation supplement fund. This bill is tie-barred to HBs 5478-5480, and 5483.

PEGSISF assessment amount

HB 5483 (SANTANA), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5483 is part of the Delphi Package (HBs 5478-90). This bill states that, if the Director determines that a SIG member of the PEGSISF will be unable to pay its obligations, the director may assess the PEGSISF members an amount “necessary to secure payment of benefits for which [PEGSISF] may be responsible” including overhead and administrative expenses. The assessment will be proportional of the total paid losses of each SIG paid in the prior year to cover the costs of benefits incurred. The bill is tie-barred to HBs 5478-80.

PEGSISF technical change

HB 5484 (SANTANA), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5484 is part of the Delphi Package (HBs 5478-90). This bill makes a technical change to Section 515, which states that the Attorney General represents the PEGSISF as needed. The bill is tie-barred to HBs 5478-80, and 5483.

PEGSISF technical change

HB 5485 (SANTANA), Passed: 109-1

Next: Sent to the Senate for consideration

HB 5485 is part of the Delphi Package (HBs 5478-90). This bill makes a technical change to Section 553. The bill is tie-barred to HBs 5478-80, and 5483.

PEGSISF technical change

HB 5486 (SANTANA), Passed: 109-1

Next: Sent to the Senate for consideration

This bill makes a technical change to Section 561, which states that any self insurer must agree to, in the event of insolvency, to disclose its financial records to the SISF or the PEGSISF as needed to defend the fund. The bill is tie-barred to HBs 5478-80, and 5483.

Delphi Additional 1% Assessment on Self-Insured Employers

HB 5487 (H-1) (PHELPS), Passed: 107-3

Next: Sent to the Senate for consideration

This bill states that the SISF assessment, beginning in 2015 on, shall be calculated exclusively on claims payments and administrative expenses of the SISF for the immediately preceding year and the estimate of future liability for the current year. Additionally, from January 1, 2015 through December 31, 2018, the assessment is increased by 1% (4% total), if the extra 1% is used exclusively for the Delphi employees at issue in this package. For assessment payments that are unpaid after 90 days, interest begins accruing in the same manner as interest on a money judgment in a civil action. For assessments that are unpaid after

181 days, a penalty of 1% per month for each month thereafter is assessed. However, if a carrier’s delinquent assessment and any applicable interest and penalties total $25 or less for all funds in a single assessment year, the department may waive the assessments, interest, and penalties.

PEGSISF technical change

HB 5488 (KOSOWSKI), Passed: 109-1

Next: Sent to the Senate for consideration

This bill makes a technical change to Section 555, which states that reimbursement, under the Chapter, is not available to any carrier that is currently delinquent in paying any assessment. The bill is tie-barred to HBs 5489 and 5490.

Authorization of Disbursement to Delphi Employees

HB 5489 (H-1) (Jacobsen), Passed: 110-0

Next: Sent to the Senate for consideration

HB 5489 authorizes the trustees of the SISF to make payments to the claimants that are disabled employees or a dependent of “any employer that was granted authority by the workers’ compensation agency pursuant to Section 418.611(1)(a) to operate as a self-insurer for the first time in May 1999, and filed for bankruptcy in 2005.” The bill also states that, should the courts decide that an insurance company is responsible for these payments, as touched on in the background section above, the SEFI would be compensated for any payments that it had made to these employees. The H-1 substitute also adds a subsection (6), which states that if an unexpended balance from the appropriation remains, the Director may reimburse the general fund. The bill is tie-barred to HB 5487.

PEGSISF technical change

HB 5490 (Foster), Passed: 109-1

Next: Sent to the Senate for consideration

This bill makes a technical change to Section 541. The bill also states that the PEGSISF has the same rights under this act as an employer or carrier. This change is being made at the request of LARA and has implications related to Delphi, but not exclusive to Delphi. LARA asserts that this change ensures that the SISF has the ability to defend and pay claims as other payers (employers and carriers). Currently, even though the SISF can be a party to a claim, it does not have the right to defend or challenge a claim in the same manner as other payers. This results in higher costs to administer the fund. It will lead to decreased fights over medical exams and coordination of benefits. The bill is tie-barred to HB 5489.

Create foster parent bill of rights

HB 4649 (Cotter), Passed: 110-0

HB 4650 (Glardon), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 4649 (Cotter) amends the Foster Care and Adoption Services Act to include a list of rights that each foster parent is to be ensured by the Department of Human Services (DHS).  House Bill 4650 (Glardon) would include the Resource Families Bill of Rights Law under areas in which the Children's Ombudsman can investigate alleged violations.

Close WBW loophole

SB 114 (GREGORY), Passed: 98-12

Next: Returned to the Senate

SB 114 would close what is commonly referred to as the "WPW loophole" by revising assessments of certain commercial rental property by removing the ability to adjust taxable values upwards or downwards based on changes in occupancy.

Amend Insurance Code to exempt some travel insurance sellers

SB 418 (Hune), Passed: 107-3

Next: Returned to the Senate

The bill would amend the Insurance Code to exempt a person who sold travel insurance only in conjunction with and incidental to planned travel from the requirement to obtain an insurance provider license. The bill specifies that travel insurance would not include major medical plans that provide comprehensive medical protection for travelers with trips lasting six months or longer, such as those working overseas as expatriates or military personnel being deployed.

Reestablish the State Survey and Remonumentation Commission

SB 472 (H-2) (Walker), Passed: 110-0

Next: Returned to the Senate

Senate Bill 472 (H-2) reestablishes the State Survey and Remonumentation Commission as a seven-member Commission; makes various changes to the county plans required to be submitted and implemented; requires the Department of Licensing and Regulatory Affairs (LARA) to promulgate rules; adds definitions of “original public land survey corner,” “property controlling corner,” and “protracted public land survey corner;” and makes various changes to the grant program administered for these plans.

Reinstate Use Tax for Medicaid managed care and amend HICA rate

SB 893 (S-3) (Kahn), Passed: 86-24

SB 913 (Khan), Passed: 110-0

Next: Returned to the Senate

SB 893 would amend the Use Tax Act to reinstate the Use Tax for Medicaid managed care organizations. The bill is tie-barred to SB 913, which would amend the Health Insurance Claims Assessment Act by reducing the rate from 1% to 0.75%.

Require life support vehicles be equipped with opioid antagonists

HB 5404 (Crawford), Passed: 109-1

Next: Sent to the Senate for consideration

House Bill 5404 (Crawford) amends several sections of the Michigan Public Health Code to require a medical control authority to develop and adopt protocols to ensure that each life support vehicle that is dispatched and responding to provide emergency medical care is equipped with opioid antagonists. The bill further requires that each emergency services personnel is properly trained to administer opioid antagonists. The protocols would have to be developed and adopted within six (6) months of the effective date of the bill.

Protections for prescribing/dispensing/administering opioid antagonists

HB 5405 (Forlini), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5405 (Forlini) adds two new sections to the Michigan Public Health Code. One section would provide that a person who complies with the proposed new provisions on prescribing and dispensing an opioid antagonist would not be in violation of any of the controlled substance provisions under the Code.

The second proposed new section would provide protection from criminal liability and professional licensing sanctioning for a person who acts in good faith and with reasonable care in administering an opioid antagonist to an individual who he or she believes is suffering an opioid related overdose.

Civil liability protection for opioid antagonist administrator

HB 5406 (Forlini), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5406 (Forlini) amends Public Act 17 of 1963 (Good Samaritan Law) to provide civil liability protection for individuals who, in good faith, believe that another individual is suffering the immediate effects of an opioid-related overdose and who administer an opioid antagonist to that individual. The liability protection would not apply if the conduct of the individual administering the opioid antagonist constitutes willful or wanton misconduct.

Allow prescriber to issue opioid antagonist prescriptions to certain individuals

HB 5407 (Forlini), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5407 (Forlini) amends several sections of the Michigan Public Health Code to allow a prescriber to issue a prescription for and a dispensing prescriber or pharmacist to dispense an opioid antagonist to any of the following: (1) an individual patient at risk of experiencing an opioid-related overdose; (2) a family member, friend, or other individual in a position to assist a person at risk of experiencing an opioid-related overdose; or (3) a person other than an individual who meets certain requirements.

Allow hunting from a personal assistive mobility device

HB 5361 (H-1) (SMILEY), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5361 (H-1) is a bill to allow small game hunting from a personal assistive mobility device. A personal assistive mobility device is defined as "any device, including, but not limited to, one that is battery-powered, that is designed solely for use by an individual with mobility impairment for locomotion and is considered an extension of the individual.”

Exempt mothers breastfeeding in public from being charged with indecent exposure

HB 5591 (Price), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5591 (Price) would exempt mothers who breast feed in public from being charged with indecent exposure.

Exempt mothers breastfeeding in public from being charged with disorderly conduct

HB 5591 (Lyons), Passed: 110-0

Next: Sent to the Senate for consideration

House Bill 5592 (Lyons) would exempt mothers who breast feed in public from being charged with indecent or obscene conduct under the disorderly person statute.

Includes unlawful imprisonment as a predicate offense for first degree murder 

SB 409 (Jones), Passed: 104-6

Next: Returned to the Senate

Senate Bill 409 (Jones) adds murder committed in the course of unlawful imprisonment (or attempt thereof) to the list of offenses that would be considered first degree murder, for which the penalty is life in prison without any chance of parole.

Increase minimum wage

SB 934 (Richardville), Passed: 76-34

Next: Returned to the Senate

This bill would repeal Michigan’s Minimum Wage Law of 1964 and replace it with the Workforce Opportunity Wage Act, which will result in increasing the minimum wage to $9.25 by 2018.

Lift lifeguard requirement for certain health and wellness center pools

HB 5247 (Nesbitt), Passed: 108-0

Next: Sent to the Senate for consideration

The bill amends the Public Health Code to exempt certain hospital-owned health and wellness center pools from a lifeguard requirement.

Designate portion of M-57 as “Joseph Prentler Memorial Highway”

HB 5543 (Outman), Passed: 108-0

Next: Sent to the Senate for consideration

House Bill 4985 designates M-57 within Montcalm County as the “Joseph Prentler Memorial Highway.” As with all designations under the Memorial Highway Act, private contributions are required for the placement and maintenance of the signs marking the designation.