Several key healthcare bills, including mandatory nurse overtime, assisted outpatient treatment (AOT), Certificate of Need (CON) and site-neutral payment policies, saw action in the legislature during the week of March 16.
The Senate Regulatory Affairs Committee advanced Senate Bills (SB) 296 and 297, sponsored by Sen. Stephanie Chang (D-Detroit) and Sen. Ed McBroom (R-Vulcan), to the full Senate floor. This legislation would prohibit mandatory hospital overtime in certain circumstances. The MHA does not support legislation that curtails hospital leaders’ decision-making authority and supports empowering local healthcare professionals to make decisions that best serve patients and reflect clinical expertise. An amendment was adopted in committee to delay the implementation of the bills until June 2027. The MHA continues to work with lawmakers and healthcare stakeholders to ensure care teams have the tools they need and that Michiganders maintain access to timely, high-quality care.
HB 5709, introduced by Rep. John Roth (R-Interlochen), would remove the requirement for certain imaging services to obtain a CON before establishing at an outpatient center. CON laws helps control healthcare costs, improve quality by integrating specialized services and ensure better access to care in rural and underserved areas. The MHA opposes this bill and is concerned that it will drive up healthcare costs and create service delivery gaps.
HB 5770, sponsored by Rep. Curt VanderWall (R-Ludington), was also introduced in the House March 19. The bill would prohibit the collection of facility fees from hospital outpatient departments. Facility fees help offset hospitals’ operational costs, including 24/7 emergency and trauma care. Non-hospital outpatient centers treat fewer Medicaid patients, take less severe cases, are not always open and face fewer regulatory requirements. The MHA opposes the bill and “site-neutral” policies that do not recognize the costs of maintaining access to care and the unique patient populations served by hospitals.
The MHA encourages members to contact their lawmakers to oppose changes to facility fees that could jeopardize patient access to care.
In addition, HB 4412–4414 would update assisted outpatient treatment processes and expand access to care for patients. This legislation emphasizes early intervention and effective pathways to treatment in the mental and behavioral health space. The bills, supported by the MHA, passed the full House chamber on March 18 and now head to the Senate for further consideration.
Members with questions may contact the MHA advocacy team.
