Senate Passes 340B Hospital Protections & IMLC Clears House

The Michigan Senate passed legislation that protects 340B hospitals with bipartisan support while the Michigan House of Representations voted through legislation that removes the sunset on the Interstate Medical Licensure Compact (IMLC) during the week of March 3.

Following successful reporting from the Senate Oversight Committee, the full Senate took swift action on Senate Bill (SB) 94, sponsored by Sen. Sam Singh (D-East Lansing). The MHA-supported legislation passed the Senate 33-3, with overwhelming bipartisan support, on March 6, reflecting the Senate’s commitment to protecting access to care and the 340B program. The Senate paired this legislation with SB 95, sponsored by Sen. Jonathan Lindsey (R-Allen), which requires hospital compliance with federal cost transparency laws.

SB 94 safeguards the 340B program in Michigan, ensuring cost savings and preserving access to affordable healthcare services in both urban and rural Michigan communities. Further, this legislation adds first of its kind pharmaceutical manufacturer transparency requirements, making Michigan’s legislation the strongest in the nation.

The legislation will now be sent to the House of Representatives for further action. The MHA continues to advocate for the 340B program and support Michigan hospitals’ efforts to expand access to quality, community-based care. Members are encouraged to use the MHA 340B Action Alert to contact their lawmakers in support of this legislation.

In addition, House Bill (HB) 4032, sponsored by Rep. Rylee Linting (R-Grosse Ile), passed the full House 106-1 on March 6. The legislation eliminates the sunset on the interstate medical licensure compact, which streamlines the licensing process and allows physicians licensed in one state to practice in multiple, participating states.

By removing additional licensing requirements for physicians seeking to practice across state lines, patients experience increased access to care, especially in rural and underserved areas, by physicians included in the compact. States involved in the compact can share disciplinary and investigative information through the state medical board to strengthen public protection for patients and the program. Michigan’s participation in the compact is currently set to expire March 28, 2025. The MHA supports this legislation and is working quickly with lawmakers to move it through the legislative process before the compact’s current expiration date.

Members with questions may contact Elizabeth Kutter at the MHA.

Senate Introduces 340B Hospital Protections; MHA Testifies on IMLC

The Senate introduced MHA-driven legislation protecting the 340B program and the House Health Policy Committee heard testimony on the Interstate Medical Licensure Compact (IMLC) legislation during the week of Feb. 17.

The Senate introduced Senate Bill (SB) 94, sponsored by Sen. Sam Singh (D-East Lansing), on Feb. 20. This legislation ensures protections from drug manufacturer overreach for hospitals and community health clinics participating in the 340B program in Michigan. The bill is vital for hospitals that serve vulnerable populations, helping them stretch scarce resources to care for more patients. SB 94 safeguards the program, ensuring cost savings and preserving access to affordable healthcare services in both urban and rural Michigan communities. Further, this legislation adds first-of-its-kind pharmaceutical manufacturer transparency requirements, making Michigan’s legislation the strongest in the nation.

The Senate paired SB 94 with SB 95, sponsored by Sen. Jonathan Lindsey (R-Allen), which requires hospital compliance with federal cost transparency laws. The MHA continues to advocate for the 340B program and support Michigan hospitals’ efforts to expand access to quality, community-based care. Members are encouraged to contact their lawmakers in support of this legislation.

In addition, the House Health Policy Committee heard testimony on House Bill (HB) 4032, introduced by Rep. Rylee Linting (R-Grosse Ile), during the committee’s first meeting of the new session. Adam Carlson, senior vice president, Advocacy, MHA, testified in support of the legislation to eliminate the sunset on the interstate medical licensure compact, which streamlines the licensing process and allows physicians licensed in one state to practice in multiple, participating states.

By removing additional licensing requirements for physicians seeking to practice across state lines, patients experience increased access to care, especially in rural and underserved areas, by physicians included in the compact. States involved in the compact can share disciplinary and investigative information through the state medical board to strengthen public protection for patients and the program. Michigan’s participation in the compact is currently set to expire March 28, 2025. The MHA supports this legislation and is working quickly with legislators to move it through the legislative process before the compact’s current expiration date.

Members with questions may contact Adam Carlson at the MHA.

Important Healthcare Workforce Bills Reintroduced & Committee Assignments Announced

Important healthcare workforce bills related to the interstate medical licensure compact and prohibitions on non-compete agreements were reintroduced from the past legislative session by the Michigan Legislature during the week of Jan. 27. In addition, committee assignments were announced for the Michigan House of Representations.

House Bill 4032, sponsored by Rep. Rylee Linting (R-Grosse Ile), was introduced and referred to the Health Policy Committee. This legislation is a re-introduction from last term to eliminate the sunset on the interstate medical licensure compact, which streamlines the licensing process and allows physicians licensed in one state to practice in multiple, participating states.

By removing additional licensing requirements for physicians seeking to practice across state lines, patients experience increased access to care, especially in rural and underserved areas, by physicians included in the compact. In addition, states involved in the compact can share disciplinary and investigative information through the state medical board to strengthen public protection for patients and the program itself. Michigan’s participation in the compact is currently set to expire on March 28, 2025. The MHA supports this legislation and is working quickly with legislators to move it through the legislative process before the compact’s current expiration date.

Also, House Bill 4040 was reintroduced by Rep. Denise Mentzer (D-Mount Clemens) to prohibit employers from requiring employees agree to certain noncompete agreements. The bill has been referred to the Committee on Economic Competitiveness. The MHA is opposed to this legislation.

Another key legislative update from the week was the announcement of full House committee assignments. There are 18 Standing Committees this term, with notable committees including Appropriations, Education and Workforce, Health Policy, Insurance, Oversight and Regulatory Reform.

New to this term are the subcommittees on Oversight and traditional MDHHS appropriations. Both committees now include specific subcommittees addressing items like public health, while the Appropriations subcommittee is divided into three separate subcommittees on Human Services, Medicaid and Behavioral Health, and Public Health. Finally, there is a newly created Select Committee on Protecting Michigan Employees and Small Businesses. The MHA looks forward to working with legislators serving on these committees to best represent MHA members during the 2025-2026 legislative term.

Members with questions may contact Adam Carlson at the MHA.