Medical Debt Bills Advance, House Hears Behavioral Health Testimony

Several healthcare-related bills advanced in the Michigan Legislature during the week of June 22, including legislation addressing medical debt collections and behavioral health screenings.

The Michigan House voted in support of House Bills (HBs) 52545255 and 60716073, which would codify hospital financial assistance programs (FAPs), establish reporting requirements for FAP benefits and prohibit medical debt from being reported to credit bureaus. The legislation would also modify medical debt collection practices, including restrictions on the sale of medical debt and limits on interest charges. The bills have been referred to the Senate for further consideration. The MHA has not taken a position on this legislation.

The House Rules Committee took testimony on HB 6022, sponsored by Rep. Curtis VanderWall (R-Ludington). This legislation amends the Mental Health Code to allow contracted Medicaid Health Plans (MHPs) to operate pre-admission screening units to evaluate individuals needing mental or behavioral health services. Currently, pre-admission screening units may only be operated by Community Mental Health Services Programs (CMHSPs). The bill requires CMHSPs to complete a pre-admission screening assessment for Medicaid beneficiaries seeking mental or behavioral health services within three hours. If the CMHSP or MHP does not complete the assessment within that timeframe, clinically qualified hospital personnel may complete the screening.

This provision was recommended by the MHA Behavioral Health Integration Council. The MHA developed an infographic for lawmakers that illustrates the challenges Medicaid beneficiaries face when presenting to emergency departments (EDs) during a behavioral health crisis. The legislation seeks to improve access to care for Medicaid beneficiaries while reducing ED boarding times. The MHA supports this legislation and looks forward to further action by the legislature.

The committee also advanced HB 4864, which would change the definition of elevated blood lead levels for lead abatement purposes. The bill seeks to prevent adverse health outcomes in children caused by lead poisoning.

The House Health Policy Committee also approved and referred HBs 59435944, sponsored by Reps. Steve Frisbie (R-Battle Creek) and Amos O’Neal (D-Saginaw). The bills would establish a licensure framework for behavioral health transportation services in Michigan and require Medicaid coverage for those services. HB 5943 has been referred to the House Rules Committee, while HB 5944 was referred to the full chamber. HBs 57285738, which would relieve hospitals of administratively burdensome and duplicative requirements for substance use disorder program licensure, were approved by the committee and referred to the House floor. Senate Bills (SB) 590 and 591 were also approved by the committee and moved to the House floor. The bills strengthen the state’s Good Samaritan Law to protect all individuals who act in good faith when applying bleeding control techniques in emergency situations. The MHA supports HBs 5943-5944, HBs 5728-5738 and SBs 590-591.

The House Health Policy Committee also advanced HB 5903, sponsored by Rep. Matthew Bierlein (R-Vassar). The bill would provide psychiatric hospitals and inpatient psychiatric units with statutory authority to temporarily use a licensed inpatient psychiatric bed for either an adult or a minor. In doing so, the facility must remain compliant with safety, staffing and treatment requirements. This bill codifies operational flexibilities that help sites more effectively manage demand for psychiatric beds without triggering a certificate of need (CON) review. Although the committee adopted a substitute for the bill, the MHA continues to have concerns about provisions that would circumvent CON review and oversight.

The Michigan Senate voted unanimously in support of SB 1011, sponsored by Sen. Kevin Hertel (D-St. Clair Shores). The bill would create a small-business health pool, allowing employers with 500 or fewer employees to establish state-regulated multiple-employer welfare arrangements that provide health coverage for eligible employees and self-employed individuals. The Michigan House also supported HBs 47034704, sponsored by Rep. Jennifer Wortz (R-Quincy). These bills require insurers and Medicaid to cover group prenatal services. The MHA-backed bills now head to their respective chambers for further consideration.

Members with questions may contact the MHA advocacy team.

House Health Policy Hears Testimony on Behavioral Health Transport Legislation

Legislation addressing behavioral health transport received testimony in the House Health Policy Committee during the week of June 15, while other key healthcare bills advanced in the legislature.

Kyle Hoffmaster, director of patient access, Pine Rest Christian Mental Health Services, testifies before the House Health Policy Committee in support of legislation establishing a licensure framework for behavioral health transportation services in Michigan.

House Bills (HB) 59435944, sponsored by Reps. Steve Frisbie (R-Battle Creek) and Amos O’Neal (D-Saginaw), received a hearing before the House Health Policy Committee. The bills would establish a licensure framework for behavioral health transportation services in Michigan and require Medicaid coverage for those services. Kyle Hoffmaster, director of patient access, Pine Rest Christian Mental Health Services, testified on behalf of hospitals and discussed how behavioral health transport services reduce patient wait times and provide a safe, secure alternative for transporting individuals experiencing a behavioral health crisis. Kelsey Ostergren, senior director, health policy, MHA, also testified before the committee and emphasized that the legislation would expand access to care, while generating significant Medicaid savings. The MHA looks forward to the House Health Policy Committee advancing this legislation.

The House Health Policy Committee also considered HBs 57285738, which would relieve hospitals of administratively burdensome and duplicative requirements for substance use disorder program licensure. The MHA supports this legislation. The committee also voted unanimously to advance several bipartisan bills addressing medical debt. HBs 52545255 and 60716073, along with Senate Bills (SB) 449451 and SBs 701702, are companion measures that would codify hospital financial assistance programs (FAPs), establish reporting requirements for FAP benefits and prohibit medical debt from being reported to credit bureaus. The legislation would also modify medical debt collection practices, including restrictions on the sale of medical debt and limits on interest charges. These bills have now been referred to the House floor for further consideration.

The House Rules Committee voted to advance HB 4864, sponsored by Rep. Julie Rogers (D-Kalamazoo), which would revise the definition of elevated blood lead levels for lead abatement purposes. The Senate Health Policy Committee also approved SB 1011, sponsored by Sen. Kevin Hertel (D-St. Clair Shores). The bill would create a small-business health pool, allowing employers with 500 or fewer employees to establish state-regulated multiple-employer welfare arrangements that provide health coverage for eligible employees and self-employed individuals.

Lastly, the Michigan Senate passed SBs 973978, led by Sen. Kevin Hertel (D-St. Clair Shores), which would create a state-based health insurance exchange in Michigan. The bills would allow the Department of Insurance and Financial Services to seek a federal waiver to establish the exchange and maintain contracts with participating health plans. The MHA supports HB 4864, SB 1011 and SBs 973-977.

Members with questions may contact the MHA advocacy team.

Media Recap: Coverage Highlights Medicaid, Behavioral Health Transportation

MHA CEO Brian Peters discusses the importance of Medicaid for Michigan residents during an AARP-sponsored segment.

MHA CEO Brian Peters recently appeared in an AARP-sponsored segment that aired in the Grand Rapids and Lansing markets to discuss the importance of Medicaid for Michigan residents. Peters highlighted concerns that changes outlined in H.R. 1 would create new barriers to coverage, including Medicaid work requirements set to take effect Jan. 1, 2027. He also stressed the importance of protecting Medicaid as Michigan hospitals prepare to absorb an estimated $6 billion reduction in federal funding over the next decade.

The MHA also received coverage in MIRS on June 8 for its role in helping craft bipartisan legislation that would allow Medicaid coverage of behavioral health transportation using specialized vehicles. The legislation would provide a safer, more appropriate alternative to ambulance transport while reducing costs and preserving emergency resources.

Members with questions regarding media requests should contact Elise Gonzales at the MHA.

Behavioral Health Screening Legislation Advances

The House Health Policy Committee advanced legislation addressing preadmission screening assessments for behavioral health patients, as other healthcare bills advanced in the legislature during the week of June 8.

The House Health Policy Committee voted in support of House Bill (HB) 6022, sponsored by Rep. Curtis VanderWall (R-Ludington). The legislation would amend the Mental Health Code to allow contracted Medicaid health plans (MHPs) to operate preadmission screening units to evaluate individuals seeking mental or behavioral health services. Currently, preadmission screening units may only be operated by Community Mental Health Services Programs (CMHSPs). The bill requires CMHSPs to complete a preadmission screening assessment for Medicaid beneficiaries seeking mental or behavioral health services within three hours. If the CMHSP or MHP does not complete the assessment within that timeframe, qualified hospital personnel could complete the screening.

The provision was recommended by the MHA Behavioral Health Integration Council. The MHA developed an infographic for lawmakers illustrating the challenges Medicaid beneficiaries face when presenting to emergency departments (EDs) during a behavioral health crisis. The legislation seeks to improve access to care for Medicaid beneficiaries and reduce ED boarding times. The MHA-supported legislation has been referred to the House Rules Committee for further consideration.

The committee also took testimony on HB 5985, sponsored by Rep. Tom Kunse (R-Clare). The bill would add pharmacists practicing in eligible areas into the Michigan Essential Health Provider recruitment program for student loan repayment assistance. Offering loan-repayment incentives helps attract and retain pharmacists, thereby reducing provider shortages in rural and underserved areas. The MHA supports this legislation.

The Senate Health Policy Committee voted to support Senate Bills (SBs) 973977, sponsored by Sen. Kevin Hertel (D-St. Clair Shores), which would create a state-based health insurance exchange in Michigan. The bills would allow the Department of Insurance and Financial Services to seek a federal waiver to establish a state-based exchange and maintain contracts with participating health plans. The committee also heard testimony on SB 1011. The bill would create a small-business health pool, allowing employers with 500 or fewer employees to establish state-regulated multiple-employer welfare arrangements that provide health coverage for eligible employees and self-employed individuals. The MHA supports SBs 973-978 and SB 1011.

The Michigan House approved SB 301 on June 11. Sponsored by Sen. Joe Bellino (R-Monroe), the MHA-supported legislation would provide tax credits to employers whose employees take time off to serve as living organ donors. The bill now awaits the governor’s signature. Lastly, Reps. Karl Bohnak (R-Deerton), Steve Frisbie (R-Battle Creek) and Kathy Schmaltz (R-Jackson) introduced HBs 60716073 to address medical debt in Michigan. The MHA is reviewing this legislation.

Members with questions may contact the MHA advocacy team.

House Judiciary Hears Testimony on Violence Against Healthcare Workers Legislation

Legislation addressing violence against healthcare workers heard testimony in the House Judiciary Committee during the week of June 1, while other MHA-backed bills saw action in the legislature.

House Bills (HB) 45324534, which aim to reduce violence against healthcare workers, were up for testimony in the House Judiciary Committee. The bills, sponsored by Reps. Natalie Price (D-Berkley), Matthew Bierlein (R-Vassar) and Phil Green (R-Watertown Township), strengthen penalties for individuals who engage in violent behavior toward staff and volunteers working in healthcare settings.

Carrie Mull, administrative director, inpatient clinical operations, Trinity Health, Grand Rapids, providing testimony for HB 4534.

Carrie Mull, administrative director, inpatient clinical operations, Trinity Health, Grand Rapids, testified on behalf of hospitals and healthcare providers, highlighting real-life examples of workplace violence and emphasizing that, if enacted, this legislation would improve the safety and well-being of healthcare workers and volunteers. In addition to strengthening penalties for violence against healthcare workers, the bills create an assisted outpatient treatment pathway for those who have engaged in violent behavior in a healthcare setting, but are also experiencing mental and behavioral health issues. By creating this alternative pathway, individuals experiencing behavioral health-related conditions can receive adequate care and support through a court-mediated process.

The Senate Health Policy Committee heard testimony on Senate Bills (SBs) 973978, led by Sen. Kevin Hertel (D-St. Clair Shores), which create a state-based health insurance exchange in Michigan. The bills would allow the Department of Insurance and Financial Services to apply to the federal government for a waiver to establish a state-based exchange and to maintain contracts with health plans for the exchange. The MHA currently supports SBs 973-978.

In addition, the House Health Policy Committee took testimony on HB 6022, sponsored by Rep. Curtis VanderWall (R-Ludington). This legislation amends the Mental Health Code to allow contracted Medicaid Health Plans (MHPs) to operate pre-admission screening units to evaluate individuals needing mental or behavioral health services. Currently, pre-admission screening units may only be operated by Community Mental Health Services Programs (CMHSPs). The bill requires CMHSPs to complete a pre-admission screening assessment for Medicaid beneficiaries seeking mental or behavioral health services within three hours. If the CMHSP or MHP does not complete the assessment within that timeframe, clinically qualified hospital personnel may complete the screening.

This provision was recommended by the MHA Behavioral Health Integration Council. The MHA developed an infographic for lawmakers that illustrates the challenges Medicaid beneficiaries face when presenting to emergency departments (EDs) during a behavioral health crisis. This legislation seeks to improve access to care for Medicaid beneficiaries and decrease ED boarding times.  The MHA supports this legislation and looks forward to further action by the legislature.

The committee also voted in support of HBs 48644865, which would change the definition of elevated blood lead levels for lead abatement purposes and require testing baby food for heavy metals before distribution, respectively. These bills are focused on preventing adverse health outcomes in children from lead or other toxic element poisoning. Also, the House Insurance Committee voted in support of HBs 47034704, sponsored by Rep. Jennifer Wortz (R-Quincy). These bills require insurers and Medicaid to cover group prenatal services. The MHA supports HBs 4864-4865 and HBs 4703-4704.

Members with questions may contact the MHA advocacy team.

MDHHS Finalizes Specialty Behavioral Health Services Location Policy

The Michigan Department of Health and Human Services (MDHHS) recently finalized Medicaid Policy Bulletin MMP 26-17, effective July 1, 2026, which clarifies reimbursement requirements for specialty behavioral health services provided through Prepaid Inpatient Health Plans in home, community and residential settings. The policy applies to Medicaid and the Healthy Michigan Plan.

The final policy encourages mental health and intellectual and developmental disability services to be provided in integrated community settings, including an individual’s home, when appropriate. The bulletin also clarifies coverage requirements for substance use disorder residential treatment services, nursing facilities, child-caring institutions and children’s therapeutic group homes. For children and youth, services should be provided in the least restrictive setting appropriate to their needs.

The final policy includes several changes from the proposed policy, including:

  • New requirements related to the coordination of Early and Periodic Screening, Diagnostic and Treatment services for children residing in child-caring institutions.
  • Additional clarification regarding services available to children with intellectual and developmental disabilities.
  • Removal of a proposed section addressing Medicaid coverage in Institutions for Mental Diseases (IMDs).

The MHA submitted comments requesting clarification regarding covered services in nursing facilities, IMD coverage policies and reimbursement for services provided to children in child-caring institutions. While the final bulletin provides additional clarification, it does not address all the questions raised by the MHA.

Members impacted by specialty behavioral health service delivery and reimbursement requirements are encouraged to review the bulletin.

Members with questions may contact Lenise Freeman at the MHA.

MDHHS Accepting Applications for Opioid Treatment Access Internship Stipend Program

The Michigan Department of Health and Human Services (MDHHS) is accepting applications through June 15 for the Michigan Opioid Treatment Access Internship Program, which provides financial support to students completing unpaid internships that prepare them for careers in substance use disorder (SUD) treatment.

Eligible students pursuing degrees in social work, professional counseling, marriage and family therapy, nursing or physician assistant studies may receive stipends of up to $20,000, depending on internship requirements. Participants must commit to providing SUD services to Michigan residents after graduation.

MDHHS has allocated $3.5 million for the program, which is funded through the Michigan Opioid Healing and Recovery Fund and could support up to 350 students. Additional eligibility requirements and application materials are available on the MDHHS website.

Members are encouraged to share this opportunity with eligible students and interns pursuing careers in substance use disorder treatment.

Members with questions may contact Lenise Freeman at the MHA.

Hospitals Help: Pine Rest Launches First-of-its-Kind Pediatric Psychiatric Urgent Care

Pine Rest’s Pediatric Psychiatric Urgent Care is located in Grand Rapids, MI.

Hospitals are there in life’s most critical moments, supporting people at all walks of life and expanding access to care beyond the bedside. For children and families experiencing behavioral health crises, timely care can make a lifesaving difference.

To expand access to specialized mental health services for children and adolescents, the teams at Pine Rest Christian Mental Health Services recently opened a first-of-its-kind Pediatric Psychiatric Urgent Care Center.

The center, which is open Monday through Thursday from noon to 6 p.m., provides same-day assessments and short-term stabilization for children and teens ages 6-17 who are experiencing acute behavioral health crises. The Pine Rest team also connect families with the appropriate resources to avoid emergency room visits.

“Behavioral health challenges among children and teens have increased dramatically in recent years, and families across Michigan are struggling to find timely access to appropriate care,” said Mark Eastburg, PhD, president and CEO, Pine Rest Christian Mental Health Services. “The Pediatric Center of Behavioral Health represents a significant step forward in addressing that need. By bringing together inpatient care, urgent psychiatric services and specialized programming in one location, we are helping ensure that children and families can get the support they need when they need it most.”

Since opening in early 2026, the center has supported an average of 12 children and families each day, providing immediate access to care for those experiencing urgent behavioral health needs. It’s projected that approximately 5,000 kids will be treated per year.

The building was intentionally designed to meet the unique needs of children and adolescents, with specialized programming and spaces for young patients and their families. By bringing together urgent psychiatric services, inpatient care and outpatient support in one location, Pine Rest is helping families navigate behavioral health challenges with faster access to coordinated, age-appropriate care.

Pine Rest is also working to expand specialized care for children experiencing eating disorders, substance use disorder and neurodevelopmental conditions while enhancing access to telepsychiatry services for rural and underserved communities across Michigan.

Visit the Pine Rest website to learn more about how their teams are helping children and families across Michigan access timely, specialized behavioral healthcare services.

Those with questions or content ideas for the Hospitals Help series may contact Lucy Ciaramitaro at the MHA.

Media Recap: Behavioral Health and Drug Manufacturer Pressures

Common Ground published a story April 28 detailing Michigan’s behavioral health landscape. Lauren LaPine-Ray, DrPH, MPH, vice president, policy & rural health, was cited throughout the article highlighting growing concern about emergency department (ED) boarding. LaPine-Ray notes that hospitals are increasingly serving as the default entry point for patients experiencing mental health crises due to gaps in the behavioral health system. She shared the staggering number of patients – more than 155 – in Michigan emergency departments each day waiting for behavioral health services.

MHA CEO Brian Peters pushed back on a Michigan Health Purchasers Coalition report that falsely represents the federal 340B drug discount program in an article published by MIRS April 29.

Peters highlights the report’s flawed methodology and urges the coalition’s members to engage with Michigan hospitals on solutions that address the real drivers behind rising healthcare costs like the prices set by drug manufacturers.

Members with questions regarding media requests should contact Elise Gonzales at the MHA.

Senate Introduces Legislation on Behavioral Health Transport Vehicles

Michigan’s behavioral health system has long faced a critical transportation gap — and the MHA is supporting efforts to close it.

The Michigan Legislature introduced two bills last week that represent a significant step forward for patients in crisis and the hospitals caring for them. Senate Bill (SB) 928 would create a licensure structure for Behavioral Health Transport (BHT) vehicles, while SB 927 would establish a reimbursement mechanism for their services.

The Problem

Michigan currently has two categories of medical transport: Non-Emergency Medical Transport (NEMT), designed for predictable, scheduled trips such as outpatient appointments; and Emergency Medical Transport (EMT) via ambulance, designed for acute physical health emergencies. Neither of these options is well-suited for individuals experiencing a behavioral health crisis.

Patients in crisis cannot schedule their need for transport in advance — as NEMT requires — yet more than 99% do not require the level of medical intervention an ambulance provides. Michigan has seen a 65.5% increase in transports for patients in a mental health crisis over the past five years, placing increased strain on fragile Emergency Medical Services (EMS) systems.

The consequences are real. Hospitals report patients waiting 48–72 hours for transport to psychiatric beds, with confirmed placements lost because transport could not be arranged in time. EMS providers are being pulled away from the high-acuity medical emergencies their training and equipment are designed for – and because BHT services have been operating under different licenses, they have not been able to secure Medicaid reimbursement.

What BHT Offers

BHT vehicles are built for patients in crisis, featuring a number of safety features for both the patient and the driver. BHT units operate with consistent availability and pick-up can typically be arranged within hours of a request. Early adopters cite a strong preference for BHT over ambulance transport, reporting a calmer environment, reduced stigma and greater dignity for individuals in crisis.

The Legislative Solution

SB 928 creates a licensure structure for BHT vehicles, establishing the regulatory foundation needed to define and recognize this new category of certified transport. SB 927 builds on that foundation by creating a reimbursement mechanism, enabling BHT providers enrolled with the MDHHS to bill for services and ending the current dynamic in which hospitals are financially penalized for choosing the safer, more appropriate option.

For more information or to share feedback on these bills, members should contact the MHA Advocacy Team.