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.

Hospitals Defend Healthcare Access in House Government Operations Committee

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

Michigan hospitals made clear in testimony this morning in the House Government Operations Committee that House Bills 6116–6119 would act as an accelerant toward the affordability crisis and harm healthcare access throughout the state. If enacted, these bills will increase costs and threaten access to care by forcing service cuts, workforce reductions and hospital closures, especially in rural communities.

Michigan hospitals are already under severe financial strain, with nearly a quarter operating at a loss and several at risk of closing. This legislation would double the number of hospitals operating in the red to a total of 54. Existing cuts to Medicaid reimbursement and reductions in enrollment are already projected to slash more than $6.5 billion from hospitals in the next six years. Adding duplicative government price controls and administrative burdens will only intensify these challenges, while removing an additional $2.3 billion from Michigan hospitals every year. This translates into an estimated loss of 21,600 hospital jobs, including 9,000 fewer than expected registered nurses.

The shareholders of Michigan hospitals are their communities. Reinvestment is measured in quality and access. We urge lawmakers to reject House Bills 6116–6119 and prioritize working with providers on solutions that lower costs without putting patient care and local economies at risk.

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 Expands Medicaid Coverage for Pharmacist-Provided Services

The Michigan Department of Health and Human Services (MDHHS) recently issued Medicaid Policy Bulletin MMP 26-20, expanding coverage for pharmacist-provided services effective July 1, 2026, pending approval of a state plan amendment by the Centers for Medicare & Medicaid Services. The policy applies to Medicaid, the Healthy Michigan Plan, MIChild, Plan First and several additional Medicaid programs.

The policy aligns Medicaid coverage with Michigan’s expanded pharmacist scope of practice and allows qualified Medicaid-enrolled pharmacists to provide and bill for additional services, including:

  • Ordering and administering immunizations.
  • Ordering and administering certain laboratory tests such as COVID-19 and influenza.
  • Prescribing antiviral treatments based on test results.
  • Counseling on and prescribing self-administered hormonal contraceptives.

Pharmacists must meet enrollment, training and documentation requirements established by MDHHS.

According to MDHHS, the policy is intended to increase access to preventive and diagnostic services, support timely treatment of common conditions and improve access to care for Medicaid beneficiaries. Members are encouraged to review the bulletin for enrollment, billing and reimbursement requirements.

Members with questions may contact Lenise Freeman at the MHA.

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.

Coverage is Care at Trinity Health Michigan

Chiquita Berg, MD, MBA, FACOG, vice president, Community Health & Well-Being, Trinity Health Michigan.

Significant changes to Medicaid are expected to take effect in 2027, bringing new requirements and processes that could increase the risk of coverage loss for eligible individuals if systems are not prepared. While many details are still emerging, one thing is already clear: 2026 will be a critical year for hospitals and health systems to prepare patients and their own organizations for what’s ahead.

Hospitals serve as trusted access points for care and information, especially for Medicaid populations. As changes approach, hospitals across the state are preparing to assist their patients and communities. Trinity Health Michigan is implementing the Coverage is Care approach, a patient-centered initiative designed to help people better understand upcoming Medicaid changes, connect to trusted information and resources, and stay connected to coverage and care.

To echo Shannon Striebich, president and CEO of Trinity Health Michigan, Coverage is Care reflects Trinity Health Michigan’s commitment to preparing early, acting thoughtfully and doing everything we can to help patients stay connected to coverage and care. As Medicaid changes approach, health systems have an important responsibility to reduce confusion, strengthen support and work alongside community partners to protect access for the people we serve.

The Medicaid changes anticipated for 2027 include more frequent eligibility checks, new administrative requirements and adjustments that could make it easier for coverage to lapse due to missed paperwork or misunderstandings – even among people who remain eligible.

The stakes are high. Coverage disruptions can lead to delayed care, worsening health conditions, increased uncompensated care, and greater strain on the healthcare ecosystem. Preparation in 2026 can help reduce reactive problem-solving in 2027.

Trinity Health Michigan’s Coverage is Care approach is designed to help eligible people stay covered and connected to care by making Medicaid changes easier to understand, reinforcing trusted information and helping people know where to turn for support before avoidable barriers lead to coverage loss. Working alongside community partners, the approach aims to reduce confusion and strengthen access to care as 2027 changes approach.

Core Elements of Trinity Health Michigan’s Coverage is Care Approach

Early Awareness

Coverage is Care was built on the idea that earlier awareness matters. Helping people understand that changes are coming — before paperwork is missed or coverage is interrupted — can reduce preventable disruption.

Clear Guidance

The approach emphasizes clear, trusted information, so patients and community members better understand what may be changing, why it matters and where to go for reliable next steps.

Support When Barriers Arise

Some individuals may need more than information alone. Coverage is Care is intended to help people connect to support when barriers such as confusion, literacy, language, technology access or life circumstances make the process harder to navigate.

Community Partnerships

Trinity Health Michigan is also working alongside community partners as trusted messengers to help broaden awareness, reinforce shared information and strengthen community access points for guidance and support.

Strong partnerships expand reach, particularly for patients who may not regularly engage with healthcare.

2026 can be structured as a year for hospitals and health systems to build internal systems and partnerships, pilot workflows and outreach strategies, refine approaches based on real-world experience and prepare for broader implementation ahead of 2027. This phased approach allows hospitals to adapt as additional state and federal guidance becomes available.

Even with all this preparation, many aspects of the Medicaid changes remain uncertain. Investing in strategies like Trinity Health Michigan’s Coverage is Care approach can help hospitals protect patients, preserve access to care and position their organizations for a smoother transition in 2027, no matter how the details evolve.

For more information about Coverage is Care, contact the Trinity Health team.

MHA members will continue to receive further updates from the association as information is released by the Michigan Department of Health and Human Services (MDHHS) and the federal government. The MHA is collaborating with multiple stakeholders, including member hospitals, MDHHS and Protect MI Care coalition members in efforts to deploy consistent messaging to patients across the state. Members with questions about pending Medicaid changes may contact the MHA Advocacy Team.

Protect MI Care Coalition Toolkit Available to Hospitals

The Protect MI Care coalition recently shared a toolkit of resources to help coalition partners make their voices heard in support of maintaining state funding for the Michigan Medicaid program.

MHA members are encouraged to use and customize the resources to help provide consistent messaging to Medicaid beneficiaries and to communicate the value of the Michigan Medicaid program.

Included in the toolkit are ready-to-use talking points and social media posts on protecting Medicaid coverage, access and affordability. In addition, there are tools to help the coalition collect and share real stories from Michiganders.

This work also supports the MHA’s on-going state budget advocacy with the Michigan Legislature. The MHA has been a coalition partner since the group’s inception last year.

Members with questions about Protect MI Care may contact the MHA advocacy team.