MEDICAID INTEGRATION PILOTS                                                                     S.B. 649:

                                                                                  SUMMARY OF INTRODUCED BILL

                                                                                                         IN COMMITTEE










Senate Bill 649 (as introduced 11-8-17)

Sponsor:  Senator Mike Shirkey

Committee:  Appropriations


Date Completed:  11-27-17




The FY 2017-18 Department of Health and Human Services (DHHS) budget in Public Act 107 of 2017 included boilerplate language (Section 298 of Article X) establishing pilot projects and demonstration models for integration of Medicaid behavioral health and physical health care.  Section 298 allows for various types of integration pilots and models with Community Mental Health Services Programs (CMHSPs) and licensed Medicaid health plans as lead agencies.


The Social Welfare Act requires Medicaid behavioral health services to be managed and delivered by specialty prepaid health plans, known in Michigan as Prepaid Inpatient Health Plans (PIHPs), which consist of CMHSPs.


Senate Bill 649 would amend the Social Welfare Act to exempt pilot projects authorized under Section 298 from the requirement that services be managed and delivered by PIHPs.  If enacted, this would allow behavioral health integration pilot projects operated by licensed Medicaid health plans to go forward.


Senate Bill 649 also would strike an obsolete reference to the Medicaid managed care quality assurance assessment program (QAAP), as the Medicaid managed care QAAP was ended under the Deficit Reduction Act of 2005.


The bill would take effect 90 days after enactment.


MCL 400.109f                                                                                                          




As the FY 2017-18 DHHS budget already assumes implementation of the pilots and funding for them was included in the budget, the bill would have no fiscal impact.


                                                                                    Fiscal Analyst:  Steve Angelotti


This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.