REPEAL OF LEGISLATIVE COMMITTEE

Senate Bill 480 as passed by the Senate

Sponsor: Sen. Patricia L. Birkholz

House Committee:  Health Policy

Senate Committee:  Local, Urban and State Affairs

First Analysis (10-17-05)

BRIEF SUMMARY:  The bill would repeal an obsolete section of the Prudent Purchaser Act.

FISCAL IMPACT:  The bill would have no fiscal impact on the state or local units of government.

THE APPARENT PROBLEM:

In 1984, Public Act 233, among other things, created a joint legislative committee to investigate the degree of competition in the health care coverage market and the cost and availability of health care coverage in the state.  The joint committee was required to submit a report to the entire legislature and the governor containing its findings and any recommendations before January 1, 1986.  After submitting the report, the committee disbanded.  Yet, almost two decades later, the provision pertaining to the creation of the committee and the report remains in statute.

Many similar obsolete provisions have been eliminated over time as subsequent legislation amending sections of law containing such references has been introduced.  However, when the provision of law containing a reference to a defunct committee or commission stands alone in its own statutory section, it may stay on the books for a very long time.  Some people believe therefore that legislation should be introduced to remove these references to bodies that have served their purpose and have ceased to exist.

THE CONTENT OF THE BILL:

The bill would repeal Section 10 of the Prudent Purchaser Act.

MCL 550.60

BACKGROUND INFORMATION:

The bill is part of a larger Senate package (Senate Bills 471-478 and 481) that amends various statutes to eliminate certain commissions, committees, boards, and panels that were established to assist, evaluate, or oversee the implementation of an act or part of an act and/or operation of a system or program.

 

ARGUMENTS:

For:

When a statutorily created committee, board, or other body has completed the task for which it was created and disbands or stops meeting, the act that created the body continues to refer to it unless amended.  The result is that a number of statutes contain references to committees, commissions, and other legislatively created bodies that are now defunct.  Senate Bill 480 would eliminate one such obsolete reference and would therefore help "clean up" the compiled laws.

POSITIONS:

The Office of Financial and Insurance Services (OFIS) is neutral on the bill.  (10-11-05)

                                                                                           Legislative Analyst:   Susan Stutzky

                                                                                                  Fiscal Analyst:   Richard Child

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.