Headline Roundup: House Budget Reaction

The MHA received a host of media coverage from across the state during the week of Aug. 25 after the MHA issued a media statement reacting to the state budget bill passed Aug. 26 by the Michigan House of Representatives.

House Bill 4706 would institute several harmful changes to hospital funding, which could result in more than 20,000 job losses in Michigan hospitals. The statement from MHA CEO Brian Peters expressed the MHA’s strong opposition to this version of the state budget, expressing the harmful consequences it would bring and the need for a state budget that protects existing hospital funding.

Friday, Aug. 29

Thursday, Aug. 28

Wednesday, Aug. 27

Tuesday, Aug. 26

Members with any questions regarding media requests should contact John Karasinski at the MHA.

House Budget Includes Harmful Hospital Funding Cuts

The Michigan House of Representatives voted 59-45 on Aug. 26 for a state budget that includes harmful cuts to hospital funding and healthcare measures.

This proposed budget includes:

  • New language placing $2.5 billion of hospital provider-tax funded payments in contingency, requiring unnecessary administrative and legislative actions that could jeopardize timely hospital payments.
  • Elimination of at least $100 million of funding from the Specialty Network Access Fee (SNAF), which provides reimbursement to support physicians caring for patients with Medicaid coverage.
  • Elimination of $10 million to support the Maternal Levels of Care verification for birthing hospitals.
  • No funding to support providers who have not been reimbursed by the Michigan Department of Corrections contractor Wellpath.

Furthermore, Michigan hospitals already stand to lose more than $6 billion over the next 10 years due to federal budget cuts. Further reducing funding that supports delivering healthcare services and the nurses, physicians and other staff employed by hospitals harms Michigan and its more than 10 million residents.

The MHA will continue to oppose all threats to hospital funding and work with the state legislature to advocate for a real budget by Sept. 30 that supports healthcare and the hospital workforce who serve Michigan communities.

Following the vote, the MHA issued a media statement from MHA CEO Brian Peters and an action alert encouraging members to contact legislators to protect hospital funding in Michigan.

Members with additional questions should contact the MHA advocacy team.

IMLC Moves Through Committee & Executive Budget Recommendation Presented

Several noteworthy healthcare issues saw attention the week of Feb. 3 by state lawmakers and policymakers, including the Interstate Medical Licensure Compact (IMLC) moving through the Senate Health Policy Committee, a reintroduction of the Momnibus bill package and Gov. Whitmer presenting her executive budget recommendation.

The Senate Health Policy Committee heard testimony and voted unanimously in support of Senate Bill (SB) 60 on Feb. 5. SB 60 removes 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. With the compact set to expire on March 28, the MHA is working quickly with legislators to re-introduce and pass this important legislation to maintain the agreement.

Also, the Michigan Senate reintroduced the Momnibus, a group of bills designed to improve health outcomes and accountability in prenatal and maternal healthcare during the week of Feb. 3. The legislation includes SBs 2939, which focus on addressing access barriers, improving access to care and ensuring better patient outcomes for all birthing individuals, particularly those from African American and Brown communities.

The Momnibus makes several changes aimed at improving maternal healthcare, including creating opportunities for patients to directly engage in their treatment experience, implementing policies that support patient rights and provide coverage for certain perinatal and gynecological services. The bills also expand midwifery services, improve data transparency about maternal health outcomes and protect patient rights related to pregnancy and childbirth.

The bills have been referred to respective Senate committees. The MHA worked closely with the bill sponsors to improve access to maternal care and support SBs 29, 30, 31, 36, 38 and 39.

The final and major highlight of the week was the executive budget recommendation released by Gov. Whitmer and Budget Director Jen Flood on Feb. 5 for fiscal year 2026. The governor’s budget expands on essential funding for Medicaid, behavioral health services and substance use disorder prevention and treatment programs. The expansion of Medicaid funding allows more elderly and disabled beneficiaries to meet eligibility requirements without having to spend down their own assets to do so. In addition, it includes continued funding and resources dedicated to maternal and infant health.

MHA CEO Brian Peters released a media statement in support of the executive budget recommendation, applauding Gov. Whitmer’s commitment to being a healthcare champion.

Members with questions may contact Adam Carlson at the MHA.