Tag: Certificate of Need

Medical Debt Bills Advance, House Hears Behavioral Health Testimony

Member News

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) 5254–5255 and 6071–6073, 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 5943–5944, 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 5728–5738, 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 4703–4704, 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.

State House Minority Leader Addresses Legislative Policy Panel

Member News
Rep. Ranjeev Puri (D-Canton) during the MHA Legislative Policy Panel at the MHA Capitol Advocacy Center.

State House Minority Leader Ranjeev Puri (D-Canton) addressed the MHA Legislative Policy Panel May 13 at the MHA Capitol Advocacy Center, providing the panel with a legislative and political update and sharing his commitment to protecting access to care for Michiganders. During the meeting, the panel developed recommendations for the MHA Board of Trustees on legislative initiatives affecting Michigan hospitals.

MHA Capitol Advocacy Center staff provided updates on healthcare activity at the federal and state levels. Adam Carlson, senior vice president, advocacy, MHA, shared additional details on the state budget, including timelines and current proposals.

Taylor Alpert, director, government relations, MHA, presented Senate Bill (SB) 910, which would establish a commission to review the cost of legislatively mandated healthcare coverage.

Elizabeth Kutter, vice president and deputy general counsel, MHA, provided presentations on federal legislation related to 340B rebate program exemptions and SB 914, which could require insurers to recognize patient prescription drug payments toward deductibles and annual out-of-pocket maximums.

The panel also received an update on Certificate of Need legislation.

The panel recommended that the MHA support legislation establishing a process to review government mandates on health insurers and providers.

For more information on the MHA Legislative Policy Panel, contact Adam Carlson at the MHA.

Senate Approves Fiscal Year 2026-2027 Budget, Organ Donor Tax Credit Legislation Advances

Member News

Several healthcare-related measures, including the full Senate budget and legislation on tax credits for organ donation, saw action during the week of April 27. 

The Senate advanced its full budget proposal under Senate Bill (SB) 878, sponsored by Sen. Sarah Anthony (D-Lansing). The bill contains the Michigan Department of Health and Human Services budget from SB 857. Key highlights of the bill include: 

  • Full funding for Medicaid. 
  • Recognition of hospital provider taxes and the ability to access those funds without additional legislative action or administrative barriers. 
  • Specialty Network Access Fee funding. 
  • Support for rural and obstetrics stabilization pools. 
  • Funding for Maternal Levels of Care verification. 

Unlike the governor’s executive recommendation and the House proposal, the Senate plan does not include unspecified Medicaid savings. Instead, it identifies funding through caseload adjustment savings, Most Favored Nation drug pricing savings and other efficiencies. The bill has now been referred to the House Appropriations Committee for further review and comparison, with the proposed House budget and the governor’s executive recommendation. The MHA will continue working with lawmakers to ensure the final product maintains support for hospitals, providers and patients. 

Further, the House Finance Committee heard testimony on SB 301. Sponsored by Sen. Joe Bellino (R-Monroe), the MHA-supported legislation would provide a tax credit to employers whose employees take time off to serve as living organ donors. The bill awaits a vote from the committee before moving to the full House chamber. 

The House Rules Committee considered and passed HB 5281, sponsored by Rep. Mike Harris (R-Waterford), which would put guardrails around third-party funded litigation. Currently, private equity and other investors can secretively fund litigation against hospitals and other entities. This legislation would place limitations on those investments and increase transparency in the process. The MHA-supported bill now goes to the full House for consideration. 

The House Health Policy Committee discussed HB 5709, sponsored by Rep. John Roth (R-Interlochen), which would remove certain imaging services from the Certificate of Need (CON) program. The MHA submitted a letter of opposition to the bill, which would erode Michigan’s strong CON program. The committee did not take a vote on the legislation.