Governmental Affairs: September 18, 2015

Legislators return for fall session

After a summer of political turmoil ending in the expulsion of one lawmaker and the resignation of another because of a sex scandal and cover-up, the legislature has finally returned to its usual fall business. The political drama sucked a lot of air out of the room and stalled any further roads discussions, but talks are expected to resume this fall along with other business. Lawmakers are scheduled to remain in session through December 16, with the exception of a two-week break over the Thanksgiving holiday.

Pharmacy tech fixes pass Senate

The Michigan Senate on Thursday approved SB 468, a bill that makes several technical changes to the Public Health Code related to pharmacy technician licensing. Those changes include clarifying the locations where a limited license technician can work, providing an exemption from GED/high school diploma requirements for limited and temporary licensed technicians, and extending the timeframe for a temporary license to allow a licensee enough time to obtain required training hours.

The bill is scheduled for a hearing in the House Health Policy Committee on Tuesday, September 22, at 8:15 a.m. MRA has spoken with many of the House Health Policy Committee members to educate them on the issue, and we expect the committee to report out the bill on Tuesday.

The Department of Licensing and Regulatory Affairs (LARA) requested an additional change that was added as an amendment in the Senate. LARA’s amendment would allow for electronic renewal notices to be sent to licensees as a cost saving measure and to update the department’s services.

Secondhand dealer legislation gets fall hearing

The House Financial Services Committee heard testimony on Wednesday from MRA and retailers of gently used clothing and sporting goods on the challenges the Secondhand Dealer and Junk Dealer law places on their businesses. Secondhand shop retailers testified on new substitute language for HB 4267 that would add several new tracking and reporting categories for pawnbrokers, jewelry dealers and secondhand dealers while exempting clothing the dealer purchases for $35 or less and other items purchased for $15 or less.

Current law requires retailers selling low-dollar, secondhand items to do extensive tracking of every item that comes into their stores, collect intrusive information – including fingerprints from sellers – and hold items for a minimum of 15 days. Most secondhand dealers receive hundreds, if not thousands, of new items each week in the $5-35 range. There are currently no exemptions in the law, even for $1 tank tops or 50-cent golf balls.

MRA continues to work with the bill sponsor and committee members and will take part in another workgroup on the legislation next week.

Other important items to note:

GROCERY/CONVENIENCE

  • Local public health food service fee cap: Bipartisan legislation was introduced as SB 423 to set a cap on the fees a local public health department can charge for inspecting food service establishments. The legislation would prohibit a local public health department from charging a fee greater than the state’s food service establishment license and inspection fees. The bill was referred to the Senate Agriculture Committee.

LABOR

  • Disciplinary report retention: Legislation to require employers retaining records of disciplinary action as part of an employee’s personnel record to provide written notice to the employee within 30 days was introduced as HB 4789. It would amend the Bullard-Plawecki Right to Know Act and was referred to the House Commerce and Trade Committee.
  • Franchise-employee responsibilities: SB 492-493 would clarify when franchise employees whom the franchisee pays wages or benefits to are direct employees of that franchisee unless indicated otherwise in the franchise agreement.  The bill was referred to the Senate Commerce Committee.

PHARMACY

  • Pseudoephedrine: House versions of Senate legislation that would prohibit an attempt to solicit another person to purchase ephedrine or pseudoephedrine for purpose of manufacturing methamphetamine were introduced as HB 4767-4769. The bills mirror Senate legislation that was introduced earlier this year as SB 409-410. The House bills were referred to the House Criminal Justice Committee.
  • Prescription drug monitoring program: HB 4811 would create a prescription drug monitoring program run by the Department of Health and Human Services. The bill places requirements on prescribers with patients taking controlled substances. HB 4811 was referred to the House Committee on Regulatory Reform.

REGULATIONS

  • Fireworks: Legislation that would repeal the Fireworks Safety Act that allows the sale and use of commercial grade fireworks was introduced as SB 450. The bill is the same as legislation introduced earlier this year in the House as HB 4726. The bill was referred to the Senate Committee on Government Operations.
  • Gasoline sales: HB 4780 amends the Consumer Protection Act to prohibit the sale of gasoline at different rates depending on the type of payment offered. The bill would also prohibit the addition of a fee for customers paying with a credit card. The bill was referred to the House Regulatory Reform Committee and has bipartisan support.
  • Sky lantern ban: Legislation to ban the sale or use of unmanned sky lanterns was introduced as HB 4857 and HB 4875. Both bills were referred to the House Regulatory Reform Committee.
  • Drone use: Legislation to limit the use of unmanned aerial drones around the Mackinac Bridge, near correctional facilities, and to provide for criminal penalties for intentional use that interferes with public safety or public utilities was introduced as SB 432 and HB 4866-4868. The bills have bipartisan support and were referred to the Senate Transportation Committee and the House Criminal Justice Committee.

TAXES

  • Back-to-School Sales Tax holiday: Legislation to provide a Sales Tax holiday for back-to-school clothing and supplies was introduced as HB 4865. The legislation limits the holiday to sales made on the third Saturday in October starting in 2015 and sales made on the third Saturday of August beginning in 2016. Specific definitions limit the sales to clothing over $75, and certain school supplies priced under $15. The bill was referred to the House Tax Policy Committee.
  • Taxable wage base reduction: SB 500 would formally roll back the taxable wage base for employee unemployment benefits from $9,500 to $9,000 because the Unemployment Trust Fund reached a $2.5 billion balance in July. The legislation was discussed in the Senate Economic Development and International Investment Committee on Thursday.
  • Tobacco cigar tax: Legislation to remove the October 31, 2016, sunset on the 50-cent cap on cigar taxes was introduced as SB 476 and referred to the Senate Committee on Commerce.