EPIC REVISIONS

House Bill 4179

Sponsor:  Rep. Scott Shackleton

House Bill 4670

Sponsor:  Rep. Stephen Ehardt

Committee:  Health Policy

Complete to 11-26-03

A SUMMARY OF HOUSE BILL 4179 AS INTRODUCED 2-11-03 AND HOUSE BILL 4670 AS INTRODUCED 5-13-03

         Public Act 499 of 2000 replaced the senior prescription drug tax credit and the Michigan Emergency Pharmaceutical Program for Seniors (MEPPS) with the Elder Prescription Insurance Coverage program (EPIC).  The EPIC program provides prescription drug coverage, including related supplies, to eligible seniors.  House Bills 4179 and 4670 would each amend the same section of the Elder Prescription Insurance Coverage Act (MCL 550.2003) to change the nonrefundable administrative fee to a refundable fee and to clarify that residents of an adult foster care home or assisted living facility would be eligible for the EPIC program.  Specifically, the bills would do the following:

         House Bill 4179 would amend Section 3 of the Elder Prescription Insurance Act to specify that a refundable (instead of nonrefundable) administrative fee must be included with an application.  Currently, the administrative fee is $25.  The bill would require that the fee be returned to an applicant who the Department of Community Health determined to be ineligible for the EPIC program.

         House Bill 4670 would also amend Section 3 of the Elder Prescription Insurance Act.  Currently, to be eligible for the EPIC program, a person must, among other things, be a “noninstitutionalized Michigan resident” 65 years of age or older.  The bill would clarify that for the purpose of determining eligibility for the program, an “institution” would be a facility in which an individual resided and received medical care through that facility, including prescription drugs.  An institution could include a hospital, nursing home, convalescent center, home for the aged, mental health or psychiatric facility, or a jail, prison, or other correctional facility.  However, an adult foster care home or assisted living facility would not be an institution for purposes of determining eligibility for the EPIC program.

         Further, the bill would specify that farm losses and business losses deducted for federal tax purposes for the calendar year would not be included in household income for the purpose of determining income eligibility for the EPIC program.

Analyst:  S. Stutzky

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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.