Governmental Affairs: February 27, 2015

Retail fraud bills to be reintroduced

2014 legislation that would allow for the recovery of law enforcement costs related to retail fraud cases will be reintroduced this term. Last year’s Senate bill never made it out of a House committee due to confusion that the bill would add new penalties for retail fraud. Cost recovery will give law enforcement more incentive to pursue those crimes.

Has your store been a victim of retail fraud or shoplifting?
Would you be willing to share your story with lawmakers?
Please call or email MRA Director of Government Affairs Amy Drumm at 517.327.8919 or adrumm@retailers.com

Bill to require posted rates for money orders

A bill to require retailers and other entities that issue money orders and cash checks to post a schedule of rates and fees was introduced on Wednesday. The legislation has bipartisan support from members of the Financial Services Committee, where the legislation was referred. HB 4242 would require each location that offers money transmission services to post a sign, in boldface type size 36 or larger and in a place visible to the public, of the rates and fees for its services.

Pellet, air and BB guns could see fewer restrictions

Legislation aimed at ensuring non-lethal guns used for small game hunting, teaching gun safety and playing airsoft games are not subject to normal firearm regulations was approved by the House on Thursday. The bills modify the term “firearm” to include any weapon that expels a projectile byaction of explosive and remove language referencing gas or air as a means of propulsion.

Under the current, more inclusive definition, non-lethal guns are subject to the same restrictions on purchase, possession and transportation as lethal guns. The bill package, HB 4151-4156, also includes legislation that repeals the limitation on minors (under age 18) from possessing BB guns unless accompanied by an adult and modifies the definition of firearm in several statutes. The package now moves to the Senate.

Other important items to note:

TAXES

  • Veteran Hiring Credit: Legislation creating a tax credit for businesses hiring unemployed veterans was introduced on Tuesday. SB 155 would provide a corporate income tax exemption up to $4,000 for every unemployed veteran hired by an employer with fewer than 100 full-time employees.
  • Core charge sales tax exemption: SB 157 and HB 4269 would exempt the sales tax on the difference between the sale price of a new auto part and the core charge (a recycling fee, deposit or disposal fee) that is returned or exempted if the old part is exchanged for a new part. Old parts are called “cores” and can be used in the rebuilding of refurbished or repaired parts for sale. The concept is similar to the sales tax on the difference legislation when a used car or recreational vehicle is exchanged for a price deduction on a new car or recreational vehicle. SB 157 was referred to the Senate Finance Committee and HB 4269 was referred to the House Tax Policy Committee.

REGULATIONS

  • Wage garnishment: HB 4119 and 4120, which provide employers with some protection from the wage garnishment process, are scheduled for a hearing in the Senate Commerce Committee on Wednesday, March 4.
  • Ban the Box: Ban the Box legislation, dealing with criminal background questions on employment applications, was reintroduced from last term as HB 4208. The legislation was referred to the House Commerce and Trade Committee and is unlikely to see any movement.
  • Adoption leave time: Another bill that would grant adoptive parents paid time off (similar to time off to care for a newborn child) was introduced on February 19. HB 4223, introduced by the same sponsor of HB 4024, only requires employers with 50 or more employees to grant leave time. Under HB 4024 and 4223 adoptive parents would be allowed four consecutive weeks of birth or adoption leave time for employees that have been employed for at least one year and 1,250 hours within the last year. HB 4223 was referred to the House Commerce and Trade Committee, where it is expected to see some consideration.
  • Prohibit rules stricter than federal regulations: Legislation to prohibit state departments from adopting rules that are more stringent than federal regulations was introduced as HB 4246 on Wednesday. The bill is likely to be taken up by the House Regulatory Reform Committee because this was a popular subject last term.
  • Secondhand dealers: Secondhand dealer legislation from last term that was unsuccessful was reintroduced on Thursday as HB 4267. The bill is part of a package addressing pawnbrokers and jewelry dealers and adds several new tracking and reporting categories. MRA continues to work with the bill sponsor to include language to exempt or limit the tracking and reporting requirements for a retail store or business that sells primarily secondhand clothing, children’s furniture or equipment, children’s toys, musical instruments or sporting goods.
GROCERY/CONVENIENCE

  • Cigarette Tax decrease: SB 148 makes several adjustments and decreases to the cigarette tax. The bill was referred to the Senate Finance Committee.
  • Microbead ban: SB 158 is a reintroduction of legislation from last year that would prohibit the sale of personal care products containing plastic microbeads by January 1, 2019. Similar legislation last term never received a hearing. The bill was also referred to the Senate Government Operations Committee instead of Regulatory Reform, which is an indication it will not come up for discussion.

PHARMACY

  • Advanced Practice Nurse Scope of Practice: Legislation that would allow APRNs to practice at the top license without physician-delegated authority was reintroduced from last session as SB 68 and is scheduled for a hearing next Tuesday in the Senate Health Policy Committee. Similar legislation was introduced in the House (HB 4207) on February 17.
  • Multi-prescriptions dispensing: SB 150 would require health plans to apply a prorated daily cost-sharing rate for prescription drugs dispensed by an in-network pharmacy for a less than 30-day supply. Health plans must allow the prorated rate if the prescriber or pharmacist indicates a less than 30-day supply is in the best interest of the patient or to synchronize the patient’s prescription drugs for chronic conditions. The health plans would not pay or reimburse a dispensing fee determined by the number of days’ supply and would instead only pay a dispensing fee if it is based on each prescription dispensed.
  • Drug manufacturer liability: SB 156 rescinds the limitations on liability for drug manufacturers on drugs that have been approved by the FDA manufacturer liability in certain instances.

OTHER

  • Dog harness restrictions: HB 4247 repeals what appears to be outdated language that limits the use of certain collars or harnesses and leashes on dogs in public places, except by deaf, audibly impaired or otherwise physically limited persons. The bill was referred to the House Criminal Justice Committee and, if approved, would take effect 90 days after it is signed into law.
  • Artificially colored animals: Legislation to repeal a prohibition on the sale of dyed or artificially colored baby chicks, rabbits, ducklings or other fowl or game was introduced on Thursday and referred to the House Committee on Criminal Justice. If approved by the legislature, the bill would take effect 90 days after it is signed into law.
  • Gas station/auto repair shop locations: HB 4252 would repeal a section in the Michigan Penal Code that prohibits the location of a gasoline filling station or public automobile garage in cities with 50,000-100,000 inhabitants on a site where 80 percent of the buildings within a 400-foot radius are residential unless 60 percent of the residents within the radius provide written consent. The bill was introduced on Thursday and referred to the House Criminal Justice Committee.