Gov’t Affairs News: Paid sick leave, Medicaid and more

pharmacy

Democrats renew push for paid sick leave

At a press conference on Wednesday, legislators called for Michigan to adopt earned paid sick leave regulations. The legislation, introduced yesterday as HB 4307 and SB 212, would require employers to grant one hour of paid sick leave for every 30 hours worked, up to 40 hours of leave per calendar year for employees of a small business (those with 10 or fewer total employees) and 72 hours for all other employees. There is no limitation on paid sick leave earned, based on whether an employee is full time, part time or seasonal. The bills were referred to the House and Senate Commerce Committees and mirror legislation introduced last term that was never brought up for further discussion.

A 2016 ballot proposal that would have required similar benefits never gathered enough signatures to make it on the November ballot. The effort was stopped partly due to legislation approved in May 2016 that put a strict 180-day limit on valid signatures collected for ballot proposals. The campaign behind the 2016 ballot proposal, the Michigan Time to Care Coalition, relaunched a 2018 ballot proposal campaign in August when the Board of Canvassers approved a legislative initiative petition form submitted by Raise Michigan. The Board does not review the language or summary of the proposed initiative or the manner in which the language is affixed to the petition.

Medicaid reimbursement formula released

Following a year of uncertainty, pharmacies finally have some direction on how the Michigan Department of Health and Human Services (DHHS) plans to adjust for the new federal requirements for Medicaid reimbursement. The information, released late in the afternoon on February 24, changes the current dispensing fee from $2.75 to a professional dispensing fee of $10.64 for drugs not on the department’s preferred drug list, $10.80 for preferred drugs and $9.00 for non-preferred drugs. In addition, drugs indicated as specialty drugs on the department’s Michigan Pharmaceutical Products List and compounds with at least one covered ingredient will receive a $20.02 dispensing fee. The product reimbursement or ingredient cost will be based on actual cost. Michigan will reimburse pharmacies the lesser of the National Average Drug Acquisition Cost (NADAC), Wholesale Acquisition Cost, Maximum Allowable Cost, or the providers’ usual and customary charge to the general public minus any insurance or other funds collected toward the claim.

Other important items to note:

GROCERY

  • Food assistance: Legislation introduced as HB 4278 on Tuesday would prohibit purchases of soft drinks or soda by individuals using cash assistance benefits. The legislation would require the Michigan Family Independence Agency to apply for a waiver from the U.S. Department of Agriculture Food and Nutrition Service. The prohibition would only occur if a waiver was granted. The bill was referred to the House Families, Children, and Seniors Committee.

LABOR

  • Minimum wage: Legislation introduced as SB 185 on February 23 would increase the minimum wage to $15.00 by January 1, 2018. The bill was referred to the Senate Government Operations Committee; a strong indication the bill will not come up for consideration.

PHARMACY

  • Controlled substance penalties: A bipartisan bill package, SB 171172, introduced on February 21, would increase the penalties for physicians and pharmacists who wrongfully prescribe, dispense, manufacture or distribute controlled substances. Currently, the penalty is a misdemeanor offense punishable by a fine up to $25,000 or up to two years in prison. Under SB 171-172, an offense would be considered a felony punishable by a fine up to $25,000 or up to 15 years in prison. The bills were referred to the Senate Health Policy Committee.
  • Mental illness: HB 4282, introduced on Tuesday, would prohibit pharmacists from disclosing an individual’s mental illness. The bill was referred to the House Health Policy Committee.
  • Prescription drug monitoring: Legislation that would allow the Department of Health and Human Services to share information related to prescription drug monitoring programs with another state was introduced as HB 4284 on Tuesday. The bill was referred to the House Health Policy Committee.
  • Telehealth prescribing: SB 213, introduced on Thursday, would allow a health professional to prescribe a controlled substance if the prescriber meets the requirements under the Public Health Code and remains available to provide or provides a local referral option for follow-up care information. The legislation was referred to the Senate Health Policy Committee.

REGULATIONS

  • Fireworks: Legislation introduced on Tuesday as SB 199 would remove the current limitations on local ordinances regulating the use of consumer grade fireworks. Currently, local units may enact some limitations but may not limit use on the day before, day of, or day after a national holiday as well as larger units of government may limit usage to certain hours of the day. The bill was referred to the Senate Government Operations Committee, a sign it is not likely to be seriously considered.
  • Fireworks regulations: SB 193, introduced on February 23, would allow local ordinances regulating the noise level and use of fireworks between 11pm–10 am. It would also allow local units of government with a population of 75,000 or more, or units located in a county with 750,000 or more residents, to prohibit the sale of consumer grade fireworks from tents. In addition, the ordinance could require that sales only occur in a permanent building or structure. The legislation would increase the civil fine for violations from not more than $500 to not more than $1,000 per violation. The bill was referred to the Senate Government Operations Committee, a sign it is not likely to be seriously considered.
  • Security guards: HB 42734274, introduced on February 22, and SB 186192, introduced on February 23, would require on-the-job and classroom training for security guards. Under HB 4273 and SB 186, before performing duties a security guard must obtain 12 hours of on-the-job, site-specific training and within 90 days of employment obtain 12 hours of classroom training. In addition, before a security guard can be authorized to use a weapon or restraint device, he or she must complete various training requirements: manufacturer training on aerosol sprays, four hours of training on tactical batons, two hours of training using restraint devices and 24 hours training on firearms. To use a firearm, security guards must possess a Concealed Pistol License. Finally, every two years an additional four hours of continuing classroom training would be required. SB 187-192 revise references to security guards across several state statutes. The bills were referred to the House and Senate Regulatory Reform Committees.

TAXES

  • Property tax liability: HB 4285, introduced Wednesday, clarifies personal liability for unpaid property taxes. It was referred to Tax Policy.
  • Sales tax on trade-in price difference: Legislation that would speed up implementation of sales and use tax on the difference legislation was introduced on February 21 as HB 42524253 and referred to the House Tax Policy Committee.

OTHER

  • Internet gaming: Legislation allowing and regulating Internet gaming was introduced as SB 202205 on Wednesday. The bills would allow licensed Michigan casinos and Tribal casinos to offer online games, but would not allow wagers on sporting events. Currently, all forms of gamingare illegal in Michigan except those specifically permitted under Michigan law. The bills were referred to the Senate Regulatory Reform Committee.
  • Probation/parolee work opportunity grant program: The House Michigan Competitiveness Committee reported out legislation on Wednesday that would provide incentives for businesses hiring ex-felons. The bill, SB 14, is part of a larger corrections reform package and would require the Department of Talent and Economic Development to establish and implement a work opportunity employer reimbursement program to provide grants to employers for hiring individuals on probation or parole. The bill will now be considered by the full House.