SENATE BILL No. 773

 

 

January 25, 2018, Introduced by Senators WARREN, GREGORY, BIEDA, HOOD, YOUNG, HOPGOOD, ANANICH, CONYERS, HERTEL, KNEZEK and JOHNSON and referred to the Committee on Education.

 

 

     A bill to amend 2011 PA 152, entitled

 

"Publicly funded health insurance contribution act,"

 

by amending section 4 (MCL 15.564), as amended by 2013 PA 271.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) By Except as provided in subsection (3), 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. For purposes of this

 

section, 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 medical benefit plan coverage years beginning on or

 

after January 1, 2019, a public employer that is a school district,

 

public school academy, or intermediate school district shall comply

 

with subsection (2) for the medical benefit plans it offers or

 

contributes to for its employees and elected public officials. As

 

used in this subsection:

 

     (a) "Intermediate school district" means that term as defined

 

in section 4 of the revised school code, 1976 PA 451, MCL 380.4.

 

     (b) "Public school academy" means that term as defined in


section 5 of the revised school code, 1976 PA 451, MCL 380.5.

 

     (c) "School district" means that term as defined in section 6

 

of the revised school code, 1976 PA 451, MCL 380.6.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.