KEY LEGISLATION:
Gas-Pricing Bills Introduced
Two bills that seek to control how gasoline is priced
in Michigan were
introduced. Senate Bill 519 and House Bill 4757, introduced by Sen.
Mark
Schauer (D-Battle Creek), and Rep. Charlie LaSata (R-St. Joseph), are
similar to recent efforts in other states to ensure a minimum markup
occurs
with the per-gallon price of gasoline.
Small Market Health Insurance Reform Passes
After political maneuvering and arm-twisting, the House
passed the
conference report on the small group health insurance reform package.
The
bills now go to the governor for her expected signature.
Blue Cross Blue Shield of Michigan (BCBSM) emerged as
the primary victor in
this battle, with the bills more closely resembling the Senate version
that
BCBSM preferred. The key feature of the package is the rate banding
formula,
which sets limits for minimum and maximum rates insurers may charge.
But the
bill also adopted some provisions from the House version, considered
friendlier to private insurance companies, such as a condition that
BCBSM's
long-term health insurance policies could only be written by a subsidiary.
Under the bills:
• Commercial Carriers will be able charge customers for policies
within a 45
percent rate band, which means they can charge 45 % more or less than
a set midpoint;
• Age, industry, group size, and health status can be taken into
consideration;
•The rate band for the Blues is plus or minus 35 percent, and age
and
industry can be taken into consideration;
• HMOs can take group size into consideration, and their rate band
is also
plus or minus 35 percent;
• A health insurance company can deny coverage to a small business
of 10
employees or less if 100 percent of that company’s employees do
not take
coverage with that insurer. Companies with 11-25 employees must have
a
participation percentage of 75 percent, and companies with 26-50 employees
experience a participation rate of 50 percent.
Spam Bill on Governor’s Plate
Both the House and the Senate have versions of legislation
attempting to
restrict the sending of unsolicited commercial e-mail (spam), but it
appears
the House version will be sent to the governor prior to the summer recess.
HB 4519, sponsored by Rep. Bill Huizenga (R-Zeeland),
was unanimously
approved by the Senate, and all indications are that Governor Granholm
will
sign the bill. HB 4519 requires that senders of commercial e-mail provide
a
way for recipients to opt out of receiving additional unsolicited emails.
The bill also requires all commercial messages to include: an "ADV:"
prefix
in the subject line, the business name and a working e-mail address
to
contact the sender. Penalties for willfully violating the requirements
are
specified in the bill.
The Senate bill, which goes a step further than the
House bill by creating a
statewide "do not e-mail" registry, similar to the "do
not call" registry,
may still be reviewed later this fall.
Mayor Kilpatrick Cleared of Wrongdoing
After months of rumora about possible corruption involving
Detroit Mayor
Kwame Kilpatrick, Attorney General Mike Cox issued a statement clearing
the
mayor from any criminal wrongdoing. Cox held a press conference at which
he
said that while Kilpatrick’s security detail was guilty of running
a poorly
organized executive protection unit, his investigators were not able
to
corroborate any other charges.
The announcement comes as extremely good news for Kilpatrick,
who has been
repeatedly slammed in the press and by his constituents for his alleged
mishandling and firing of staff and rumors of a wild party at the mayor’s
residence. In order for Kilpatrick to regain his favorable image and
executive authority, he will need to move forward to implement policies
creating greater oversight of his executive protection unit.
Workers’ Comp Appellate Commission Cut
The Worker’s Compensation Appellate Commission,
a body that reviews workers’
compensation appeals, will be reduced by three members to a four-member
body, as a result of a conference report signed as part of the Consumer
and
Industry Services (CIS) budget.
The decision, while not favorable to the business community,
may have been
better than other possible scenarios. Governor Granholm originally viewed
the commission as an unnecessary layer of bureaucracy and recommended
eliminating it altogether. Republicans argued that the commission is
much-needed and important in worker dispute resolutions. They were able
to
craft a compromise in which more than half of the body remains funded.
Gas Pricing Bill on Committee Schedule
A bill seeking to implement a mandatory minimum markup
on the sale of
gasoline will be taken up in the House Transportation Committee next
week.
HB 4757, sponsored by Rep. Charlie LaSata (R-St. Joseph), will receive
testimony only on Thursday, July 3 (9:00 a.m. in room 307 of the House
Office Building in Lansing).
MRA opposes the bill because of its anti-free-market
approach to retail
through price setting. The bills would also hurt consumers by guaranteeing
higher prices at the pump. This could have a severe negative impact
on
travel, which would hurt the tourist economy and retailers, especially
during the summer.
KEY BILL INTRODUCTIONS:
HB 4777, sponsored by Rep. Joseph Rivet (D-Bay
City), to provide requirement
for designated bottle return area and signs for certain beverage dealers.
HB 4801, sponsored by Rep. Jacob Hoogendyk (R-Portage),
to provide for and
implement supplemental rebate pilot program.
HB 4833, sponsored by Rep. Dale Sheltrown (D-Gladwin),
to exempt residential
and business owned property sold to a family member from increase of
taxable value.
HB 4865, sponsored by Rep. Gretchen Whitmer (D-East
Lansing), to revise
uniform sales price and discount rate and earmark revenue.
SB 519, sponsored by Sen. Mark Schauer (D-Battle
Creek), to prohibit certain
unfair trade methods of competition and pricing in the retail distribution
of motor fuel.
SB 570, sponsored by Sen. Robert Emerson (D-Flint),
to establish filing fees
in appropriation acts.
SB 594, sponsored by Sen. Emerson, to provide
for prescription dispensing
assessment fee.
To view the content and current status of retail-related
bills, visit BillTrack,
MRA's legislative tracking database exclusively for members, at
www.retailbilltrack.com
If you are currently receiving Capitol F@cts by fax
and would like to receive
it via e-mail, please contact Kathleen Wilson at 517.372.5656 or
kawilson@retailers.com.
For back issues of online Capitol F@cts, visit MRA's main Capitol F@cts page.
Specific comments or questions regarding this bulletin
should be directed to:
Kathleen Wilson, Administrative Assistant to the Governmental Affairs
Office at
kawilson@retailers.com.
Michigan Retailers Association
603 South Washington Avenue
Lansing, MI 48933
517.372.5656
Toll-Free: 800.366.3699
Fax: 517.372.1303
govt_affairs@retailers.com
www.retailers.com
www.mallofmichigan.com
