Updates About Legislature

Last week, the Michigan Senate passed a bipartisan bill package offering relief for Michiganders with medical debt. SB 449, SB 450, and SB 451, championed by Senators Sarah Anthony (D-Lansing) and Jonathan Lindsey (R-Coldwater), passed with substantial support across both political caucuses. The bills would require hospitals to implements financial assistance plans for managing a patient’s medical debt and would change rules that currently allow for what critics say is aggressive debt collection.

Two related bills introduced by Anthony and Lindsey also passed unanimously last week. SB 701 and SB 702 would provide protections for patients by establishing maximum interest rates for medical debt and removing excessive late fees on medical debt for a minimum of 90 days after a patient receives their final invoice. The bills would also prohibit debt collectors and healthcare facilities from having a patient arrested, garnishing their wages, or foreclosing on their home as a means of collecting medical debt.

All five bills were subsequently referred to the House Health Policy committee.

On Wednesday, an eight bill package (SB 691 – 698) that would make significant changes to the state’s current election and campaign finance laws passed out of the Senate with support from Senate Democrats and Republicans. The bill that would have the most impact is SB 691 introduced by Senator Sam Singh (D-East Lansing), which would move the current August primary up to May and would allow for February primaries.

Also included in the bill package is SB 697, sponsored by Senator Dayna Polehanki (D-Livonia), which lowers the number of petition signatures needed for statewide candidates. Singh bill SB 698 creates a single, set schedule for campaign finance reports with four filings each year. The remaining bills make updates to align the law with the changes proposed in SB 691.

If passed by the House, the changes would take effect in 2028. Currently, Michigan is one of nineteen states that hold their primary election in August or later. The bills still have a long journey ahead, including testimony and votes in the House Election Integrity Committee, final passage from the House, and signing off by the Governor before becoming law.

Following the recently announced executive recommendations, House Republican Appropriation Subcommittee chairs were given budget targets for Fiscal Year 2027. Although House Appropriations Committee Chairwoman Ann Bollin (R-Brighton) did not outline specific numbers, she did share that the highest budget threshold goal is lower than what we saw in the previous budget. House Republicans say they plan to address the projected $800 million January CREC shortfall without raising taxes. Representative Bollin said GOP priorities for the upcoming budget include strengthening Michigan’s businesses and improving the education system, while cutting spending where possible. Republicans also signaled they will push back against any proposals that increase taxes.

Prior to this report, Republican House Speaker Matt Hall (Richland) announced a new 6% sales tax proposal on select services that is projected to garner $4.73 billion for the state. His proposal applies to certain services usually popular with tourists and wealthier residents. Among the services included in the tax proposal are country club memberships, travel agencies, newspaper publishing, performing arts, political advertising, environmental consulting, and recreational activities such as skiing and golf. Speaker Hall stated that his proposal is not aimed at working class families and instead targets out of state visitors.

The proposal is intended to offset Hall’s proposed property tax cuts that currently generate about $5 billion in revenue. Overall, his tax plan would result in approximately a $270 million net tax cut.