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.

Media Coverage Includes Focus on 340B, Tariffs & Medicaid

Elizabeth Kutter

The MHA received media coverage the week of March 3 on the Michigan Senate passing legislation that protects the 340B program, the potential impact of tariffs on hospitals and healthcare costs, as well as a radio appearance discussing potential federal Medicaid funding cuts.

Michigan Public aired a story March 6 following the broad bi-partisan passage of Senate Bills 94 and 95 by the full chamber. Senate Bill 94 would safeguard the 340B program, ensuring cost savings and preserves access to affordable healthcare services in both urban and rural Michigan communities. Further, this legislation adds first of its kind drug manufacturer transparency requirements, making Michigan’s legislation the strongest in the nation.

Elizabeth KutterElizabeth Kutter, senior director, government and political affairs, MHA, was interviewed by Michigan Public for the story.

“You have to be an entity that proves their eligibility in the program, which by default means that you are serving patients who are extremely vulnerable,” said Kutter. “You’re serving kids. You’re serving cancer patients. You’re serving people who, if your hospital closes or if healthcare access becomes limited, suddenly you’re seeing a very serious hospital desert for patients.”

Gongwer and MIRS also covered the passage of the bills.

In addition, Crain’s Detroit Business published an article March 3 looking at the impact of potential tariffs on a variety of Michigan industries, including healthcare. MHA CEO Brian Peters is quoted in the story addressing the impact to hospitals.

“Implementing tariffs on Canada, Mexico and China without exceptions for medications and medical supplies could jeopardize the availability and further increase the prices of already-expensive vital medications and health care devices Michigan hospitals need to provide appropriate patient care,” said Peters. “Tariffs will particularly exacerbate existing pharmaceutical shortages. China is responsible for providing a significant number of cardiac and oncology drugs, as well as active pharmaceutical ingredients needed to produce prescription drugs domestically. Many healthcare supplies are also produced in China and the United States does not have existing capacity to meet an increased demand for product.”

Peters also appeared on WJR 760AM March 3 to discuss the impact of potential federal Medicaid funding cuts on Michigan hospitals.

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

Senate Passes Momnibus Bill Package

The Michigan Senate passed the Momnibus, a group of bills designed to improve equity and accountability in prenatal and maternal healthcare during the week of Dec. 2. The legislation includes Senate Bills 818823, 825 and House Bill 5826, which focus on addressing systemic barriers, improving access to care and ensuring better patient outcomes for all birthing individuals, particularly those from Black 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 providing funding to train more doulas to work in underserved areas. The bills also expand midwifery services, improve data transparency about maternal health outcomes and protect patient rights related to pregnancy and childbirth.

The bills will now move to the Michigan House of Representatives for further consideration. The MHA worked closely with the bill sponsors to improve access to maternal care and supported Senate Bills 818, 819, 820, and 825 as well as House Bill 5826. We will continue to report on further action on this legislation.

Members with questions may contact Lauren LaPine at the MHA.