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New Medicaid Expansion Bill Introduced
New Medicaid Expansion Bill Introduced
Legislation
was introduced this week to expand Medicaid coverage for Michigan citizens. The
proposal called for by Governor Snyder and built into his budget proposal is
100% funded by federal dollars and would add over 400,000 newly eligible people
to the program.
The
legislation provides individuals with income up to 133 percent of the federal
poverty level the choice of obtaining Medicaid coverage or private health
insurance. The program would be
available to qualified nondisabled adults between 21 and 65 years of age;
however, recipients would be prospectively limited to 48 months of coverage.
House
Bill 4714 requires the Michigan Department of Community Health (MDCH) to
seek a waiver for the federal government to fully fund the expansion program.
Under the Patient Protection and Affordable Care Act, the federal government would fully
fund the Medicaid expansion from 2014-2017, but states would be required to pay
for 10 percent of it by 2020. House Bill 4714 stipulates the state would opt
out of the program if it is no longer 100 percent federally funded.
The bill would
also create health savings accounts requiring recipients to contribute up to 5
percent of their annual income to their coverage through co-pays, deductibles, premiums,
etc. Additionally, recipients would be ensured access to primary and preventive
care, incentives for healthy behavior would be created, the use of telemedicine
would be required, and abuse and fraud initiatives would be instituted.
House Bill
4714, introduced by Rep. Matt Lori (R-Constantine), was referred to the House
Committee on Michigan Competitiveness. It
is important to note that this legislation is vastly different from Gov.
Snyder’s Medicaid expansion proposal announced in February. Thus, the
Administration and legislative leaders will need to work together over the next
few weeks to finalize a Medicaid expansion proposal.
Meanwhile,
the Senate Republican Caucus spent a considerable amount of time on Thursday
discussing the MDCH budget and Medicaid reform at its retreat. Senate Majority
Leader Randy Richardville indicated the MDCH budget will be reported out by the
full Appropriations Committee next week and sent to the floor for debate and
final passage.
First Bills in Transportation Package Advance in House
The House
Transportation and Infrastructure Committee passed two bills this week that
could ultimately be included in a package that addresses Gov. Snyder’s request
for nearly $1.2 billion in new transportation funding. The bills passed along
party-line votes, with all of the Republicans supporting the legislation.
House
Bills 4571 and 4572
would impose a new 4 percent wholesale tax on aviation fuel and exempt aviation
fuel from state sales tax. The committee also deliberated on House
Bill 4677 which would allocate a portion of the aviation sales tax revenue
to the Comprehensive Transportation Fund (CTF). Additionally, the bill would redirect
a portion of the CTF revenue to the School Aid Fund in an effort to address the
funding shortfall caused by passage of House Bill 4572. In the end, the
committee did not take action on 4677. House Bills 4571 and 4572 now head to the
full House for consideration.
Meanwhile,
the Senate Infrastructure and
Modernization Committee met to discuss the current road funding formula and options
to revamp how the state will fund infrastructure projects in the future. The Senate committee did not advance any
proposals during the meeting.
State Senate Pass Bills Amending Liquor Control Act
The state
Senate passed two bills amending the Michigan Liquor Control Act to allow wine
tastings at farmers markets and the refilling and selling of growlers
(resealable container).
Senate
Bills 79 and 279
would allow a qualified small vintner to conduct wine tastings and to sell wine
at a farmer’s market. The Liquor Control Commission would issue an annual
farmer’s market permit to wine makers that do not manufacture more
than 5,000 gallons of wine annually.
Only one farmer’s
market permit would be issued in a county where the qualified wine
maker is located and no winery could hold more than five permits at one time.
Additionally,
Senate
Bill 27 was advanced. Under the provisions of this legislation, eligible
merchants would be permitted to sell and refill any growler filled with beer
for off-premises consumption, as long as the liquid capacity is one gallon or
less. After passage by the state Senate,
both bills were referred to the House Committee on Regulatory Reform.
Electric Regulation Laws Reviewed and Polled
The House
Energy & Technology Committee continued deliberations on whether Michigan
residents can choose their electric provider. In particular, discussions
surrounded the laws requiring the Michigan Public Service Commission’s to limit
electric provider choice at 10 percent.
Committee Chair Aric Nesbitt (R-Lawton) noted the importance of discussing
this issue globally as utilities are currently working toward meeting new renewable energy and energy efficiency
requirements by 2015.
On a related
note, the Michigan Jobs and Energy Coalition released a poll last week
indicating that only 2 percent of Michigan voters felt that the regulation of
electric utilities was a priority for state lawmakers to address. Additionally, the poll revealed that keeping
electric prices predictable and affordable was more important to respondents than
market deregulation or accessing market based pricing.
U.S. Senate Passes Internet Sales Tax Collections Legislation
The U.S.
Senate passed legislation last week that could end sales tax free, online
purchases. The
legislation, called the Marketplace
Fairness Act, would require online retailers to collect sales
taxes from customers and send them back to state and local governments. Under current law, sales tax can only
be collected from retailers that have a physical presence in a state. States would be required to provide
software that would calculate the taxes. The bill does not apply to businesses with annual online sales less than $1
million.
The
Marketplace Fairness Act now heads to the U.S. House for consideration where it
faces an uncertain future. President Obama has indicated he would sign the
legislation if passed by both Chambers.
May 3rd Survey Results
In the May
3rd edition of PAAdvisory, readers were asked now that U.S. Representative Gary Peters (D-Bloomfield) has
officially announced his candidacy for the U.S. Senate, speculation has
picked-up regarding his potential replacement. Who do you think will be the
Democratic nominee to replace Mr. Peters in the U.S. House 14th Michigan
District?
43
percent of respondents answered former U.S. Representative Hansen Clark, and 29
percent answered current House Democratic Floor Leader Rudy Hobbs
(D-Southfield). State Senator Vincent Gregory (D-Southfield) picked-up 14
percent of respondents, as did “other.”
PAAdvisory Briefs
Ananich Wins State Senate Seat
On Tuesday, State
Representative Jim Ananich easily won the special election in the 27th
Senate District. The seat was vacated when former Sen. John Gleason won the
Genesee County Clerk /Register of Deeds position in November. While the
election results have not been officially certified, it is likely that Mr.
Ananich will be sworn into the Michigan Senate on Tuesday. Ananich’s win has
left a vacancy in the 49th House District, meaning Gov. Snyder will
need to schedule a special election to fill that seat.
Rep. Rogers Endorsed for FBI Director
An
organization representing more than 12,000 active and retired FBI agents called
on President Obama to nominate Rep. Mike Rogers as director of the bureau. Rogers left the FBI in 1994 after serving more than five
years as a special agent in Chicago focusing on organized crime. He is in his
seventh term in Congress and is currently the Chair of the House Permanent
Select Committee on Intelligence. In addition to this endorsement, Rep. Rogers
has been mentioned as a candidate to replace retiring US Sen. Carl Levin.
Gov. Snyder Declares
Flood-Related Disaster in 19 Counties and 2 Cities
Gov. Snyder
declared a flood-related disaster for 19 counties and two cities, including
Grand Rapids and Comstock Park. The affected counties include Baraga, Barry,
Benzie, Genesee, Gogebic, Gratiot, Houghton, Ionia, Kent, Keweenaw, Marquette,
Mecosta, Midland, Muskegon, Newaygo, Ontonagon, Osceola, Ottawa and Saginaw.
The Governor also requested the Federal Emergency Management Agency assist
state officials in assessing the damages to homeowners and businesses. This
step will support ongoing recovery efforts and to ensure all avenues of
assistances are being pursued.
Mark Schauer
Receives Endorsements
Democratic momentum appears to be building for former Congressman
Mark Schauer (D-Battle Creek) to challenge Gov. Snyder next year. Former
Congressman Bart Stupak (D-Menominee) and State Board of Education President John
Austin both announced their support for Schauer last week. Schauer is currently
exploring a campaign for governor and is likely to make an announcement in the
near future. Both Mr. Stupak and Mr. Austin have been mentioned as possible
candidates. The field now appears to be clearing for a Snyder vs. Schauer race
in 2014.
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