Healthcare Funding Protected in New State Budget Signed by Gov. Whitmer

The Michigan Legislature’s newly passed state budget, which protects all existing healthcare funding, was signed into law Oct. 7 by Gov. Whitmer.

Public Act 22 of 2025, sponsored by Rep. Ann Bollin (R-Brighton), includes the following:

  • Full funding for Medicaid and the Healthy Michigan Plan.
    • Complete recognition of hospital provider taxes and the ability to access those funds without additional legislative action or red tape.
  • Restoration of Specialty Network Access Fee (SNAF) funding.
  • Continued support for the rural and obstetric (OB) stabilization pools.
  • Preserved funding to support Maternal Levels of Care verification.
  • Restoration of funding for the Michigan Clinical Consultation and Care (MC3) program.

This funding reinforces support for Michigan hospitals, healthcare workers and patients. Full funding for Medicaid means maintained access to healthcare for all patients across communities, especially in rural and underserved areas. Furthermore, SNAF supports physician reimbursements for those providing care in vulnerable communities, while rural and OB stabilization pools ensure funding for rural areas and for labor and delivery services. Lastly, Maternal Levels of Care and MC3 funding were both sustained, safeguarding hospitals’ ability to collaborate among facilities and providers to guarantee women receive risk-appropriate maternal care as well as provide access to important pediatric behavioral health services in Michigan.

The MHA worked diligently with legislators over the last several weeks on the budget and applauds the efforts of Gov. Whitmer, Senate Majority Leader Winnie Brinks and Speaker of the House Matt Hall to pass a bipartisan budget that preserves healthcare funding for hospitals, providers and patients.

MHA CEO Brian Peters is quoted in the press release published by Gov. Whitmer following the signing. Members may refer to the MHA-supported budget corrections summary for more details.

Members with questions about the state budget should contact the MHA Advocacy team.

Michigan Legislature Passes State Budget, Preserves Healthcare Funding

The Michigan House of Representatives and Michigan Senate passed a state budget protecting all existing healthcare funding on Oct. 3.

House Bill (HB) 4706, sponsored by Rep. Ann Bollin (R-Brighton), passed by both chambers, includes the following:

  • Full funding for Medicaid and the Healthy Michigan Plan.
    • Complete recognition of hospital provider taxes and the ability to access those funds without additional legislative action or red tape.
  • Restoration of Specialty Network Access Fee (SNAF) funding.
  • Continued support for the rural and OB stabilization pools.
  • Preserved funding to support Maternal Levels of Care verification.
  • Restoration of funding for the Michigan Clinical Consultation and Care (MC3) program.

This funding reinforces support for Michigan hospitals, healthcare workers and patients. Full funding for Medicaid means maintained access to healthcare for all patients across communities, especially in rural and underserved areas. Furthermore, SNAF supports physician reimbursements for those providing care in vulnerable communities, while rural and OB stabilization pools ensure funding for rural areas and for labor and delivery services. Lastly, Maternal Levels of Care and MC3 funding were both sustained, safeguarding hospitals’ ability to collaborate among facilities and providers to guarantee women receive risk-appropriate maternal care as well as provide access to important pediatric behavioral health services in Michigan.

The MHA worked diligently with state lawmakers over the last several weeks to ensure this state budget protected hospitals, providers and patients, which led to the MHA’s full support of the finalized version of HB 4706. Following its passage, HB 4706 will now be sent to the Governor’s desk for her signature and its enactment into law.

The MHA published a media statement celebrating the budget, which was picked up by Gongwer and Michigan Advance.

Members with questions about the state budget should contact the MHA Advocacy Team.