SB-0543, As Passed Senate, October 8, 2013
September 25, 2013, Introduced by Senators NOFS and HANSEN and referred to the Committee on Reforms, Restructuring and Reinventing.
A bill to amend 2011 PA 152, entitled
"Publicly funded health insurance contribution act,"
by amending section 4 (MCL 15.564).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) By a majority vote of its governing body each
year, prior to the beginning of the medical benefit plan coverage
year, a public employer, excluding this state, may elect to comply
with this section for a medical benefit plan coverage year instead
of the requirements in section 3. The designated state official may
elect to comply with this section instead of section 3 as to
medical benefit plans for state employees and state officers.
(2) For medical benefit plan coverage years beginning on or
after January 1, 2012, a public employer shall pay not more than
80% of the total annual costs of all of the medical benefit plans
it offers or contributes to for its employees and elected public
officials. For purposes of this subsection, total annual costs
includes the premium or illustrative rate of the medical benefit
plan and all employer payments for reimbursement of co-pays,
deductibles, and payments into health savings accounts, flexible
spending accounts, or similar accounts used for health care but
does not include beneficiary-paid copayments, coinsurance,
deductibles, other out-of-pocket expenses, other service-related
fees that are assessed to the coverage beneficiary, or beneficiary
payments into health savings accounts, flexible spending accounts,
or similar accounts used for health care. Each elected public
official who participates in a medical benefit plan offered by a
public employer shall be required to pay 20% or more of the total
annual costs of that plan. The public employer may allocate the
employees' share of total annual costs of the medical benefit plans
among the employees of the public employer as it sees fit.
(3) For purposes of this section, the total annual costs of
all of the medical benefit plans the public employer offers or
contributes to for its employees and elected public officials do
not include any of the following:
(a) A payment by the public employer to an employee or elected
public official in lieu of medical benefit plan coverage.
(b) Any amount that the public employer pays directly or
indirectly for the assessment levied pursuant to the health
insurance claims assessment act, 2011 PA 142, MCL 550.1731 to
Senate Bill No. 543 as amended October 8, 2013
550.1741.
<<(c) Any additional amount the public employer is required
to pay as a fee or tax under the patient protection and affordable
care act, Public Law 111-148, as amended by the federal health care
and education reconciliation act of 2010, Public Law 111-152.>>
Enacting section 1. This amendatory act clarifies the original
intent of the legislature that a public employer's medical benefit
plan costs do not include payments to employees in lieu of medical
benefit plan coverage or assessments levied pursuant to the health
insurance claims assessment act, 2011 PA 142, MCL 550.1731 to
550.1741. This amendatory act is curative and applies
retroactively.