Lansing’s democratic trifecta came to an end this week after several weeks of lame duck session. From House Republicans leaving session in protest last week, to the Senate holding a marathon 26-hour session this week, lame duck has been nothing short of eventful. MAC’s legislative update is fluid at the moment, while senators approach Friday afternoon still in session. 

Friday, December 13th, 2024

House Republicans vacated session in protest amidst failed negotiations between House Republican Leader Matt Hall (R-Kalamazoo) and Speaker Joe Tate (D-Wayne) regarding fixes to minimum wage for tipped workers, Earned Sick Leave Act, and a potential road funding deal. After 13 hours of session, House Democrats adjourned late Friday night when a series of bills failed to pass, including legislation to increase tipping fees. Rep. Karen Whitsett (D-Wayne) left the House chamber around 10:00pm, forcing the House to adjourn with a quorum no longer present in her absence. 

Wednesday, December 18th, 2024

House Democrats’ ability to muster their majority, let alone a quorum, worsens with Rep. Karen Whitsett’s (D-Wayne) refusal to attend session unless her priority legislation is addressed. In the meantime, Sen. Sylvia Santana (D-Wayne) joins her House colleague in boycotting session, citing the legislature’s lack of movement on her desired criminal justice reforms and a dissatisfaction with ongoing “corporate welfare.” Both chambers adjourn without voting. Gov. Gretchen Whitmer chimes in, only to remind legislators of her disinterest in signing any legislation without receiving a road funding plan and her economic development package. 

Thursday, December 19th, 2024

After a tumultuous back and forth between Rep. Whitsett and House Democratic Leadership regarding her attendance on Thursday, a Call of the House was ordered in hopes of restoring a quorum and allowing democrats an opportunity to pass bills they otherwise could not take up. The Call of the House was issued for over an hour, and despite Rep. Whitsett being present within the Capitol, she did not return to the House floor, forcing Speaker Tate and House Democrats to adjourn until December 31st, 2024. At that time, a quorum is required to adopt the sine die resolution, officially ending the 102nd session. 

Sen. Santana, however, returned to the senate floor Thursday. As of 11:30am on Friday, December 20th, the Senate has been in session for nearly 26 consecutive hours. Senate Republicans have requested bills be read in their entirety prior to a vote. Lengthy debate and filibuster have filled more of the last 26 hours than votes have.

With the unexpected turn of events throughout the 2024 lame duck session, a flurry of bills did not see further action and “died” in the second chamber. Read below for issues MAC has tracked throughout the 2023-2024 term that came down to the wire this week:

MAC’s Policy Wins in the 2024 Lame Duck Session:

– SB 1167 and HB 4688, which would have made minimum staffing levels a subject of collective bargaining for sheriff’s deputies, died because it did not get voted on in the House. The bill would have also allowed such issues to be elevated to binding arbitration, a provision that raised significant concerns among county officials.

– SBs 605-611, dubbed “Polluter Pay” legislation, ultimately died in the House. The bills were inaccurately titled and would have actually held non-liable parties responsible for pollution caused by previous owners. 

– Although we came a long way with the bill sponsor on amendments to the statewide septic code, we consider the death of SB 299 a win for our membership. Initially sweeping in scope, the final version of the bill was significantly scaled back. The compromise included the elimination of the proposed periodic evaluation cycle and left county point-of-sale ordinance intact. The legislation passed the Senate along party lines but eventually died in the House. 

On the flip side, MAC is disappointed to see the following actions on bills:

– Despite intensive lobbying efforts, the Revenue Sharing Trust Fund bills, HB 4274 and HB 4275, failed to pass the Senate. These bills, championed by the Michigan Association of Counties (MAC), the Michigan Municipal League (MML) and the Michigan Townships Association (MTA) sought to secure consistent funding for local governments.

– Legislation amending the Public Employer Healthcare Contribution Act is headed to the governor’s desk, despite MAC’s attempt to offer amended language. HB 6058 increases the hard-cap limit on employer contributions to employee health insurance and adjusting cost-sharing provisions for employers and employees. Public employers opting for the 80/20 cost-sharing model are required to pay a minimum of 80% of healthcare costs, rather than the current cap of 85%. Counties will still have the option of opting out of the act altogether by a 2/3 vote of the board.

The Senate has not yet acted on the following bills:

– HB 5431, or Michigan’s Wrongful Imprisonment Compensation Act (WICA), is unlikely to receive a vote in the Senate Friday, due to MAC’s opposition and successful stalling of the bill. While MAC supports the goal of ensuring wrongly incarcerated individuals are made whole by the government, HB 5431 would have led to the dismantling of the 4 county- operated Conviction Integrity Units, increased court costs. As the largest funding source for trial courts, counties cannot be subject to increased costs. 

– HB 5695, requiring the Michigan Department of Health and Human Services (MDHHS) to participate in the federal Ground Emergency Medical Transportation (GEMT) reimbursement program. The GEMT initiative in Michigan will reimburse local agencies and emergency services providers for serving vulnerable populations. $500,000 was included in the FY25 state budget to assist MDHHS in starting up GEMT in Michigan. MAC supports this legislation and anticipates a vote on Friday. 

Please tune in to MAC’s Podcast 83 next week for further updates on the legislative action for the remainder of Friday, December 20th. 

Johnson retires in Otsego County, ending 44-year run in county office

Executive Director Stephan Currie was on hand in Otsego County on Dec. 17 to honor Commissioner Doug Johnson, who retired in December after 44 continuous years of service to his county and community. (Photo courtesy of Otsego County)

In a ceremony on Dec. 17, Otsego Commissioner Douglas Johnson was honored by his colleagues, legislators and the Michigan Association of Counties for his upcoming retirement, which will end a remarkable 44-year run as a county commissioner.

Johnson began his Otsego service in 1981, the first year of the Ronald Reagan presidency. “Starting Over” by John Lennon was no. 1 on the pop charts that January. And the Detroit Lions had just finished 9-7 behind rookie sensation Billy Sims.

“People’s attitudes change towards you once you get into office,” Johnson said in a Michigan Counties profile of him as the longest-serving commissioner in 2022. “They are not always going to agree with you. And it’s always a challenge to help them understand why you do what you’re doing, and you’re doing what you think is right for the majority of the people that you serve.”

In addition to serving many years as chair of the Otsego County Board, Johnson has long served as board president of the Michigan Counties Workers’ Compensation Fund.

For those interested in starting a public career, Johnson advised in 2022, “Stay focused on the work and be true to yourself, your beliefs and your values.

“It is important to be honest and dependable and follow through on your promises; also, accept the fact that not everybody is going to agree with you and to not beat yourself up over it.”

All at MAC wish a wonderful retirement for Johnson and his wife Sherry.

 

MAC announces office schedule for holiday season

MAC’s Lansing offices will be closed Dec. 24-27 and Dec. 30-Jan. 1 for the 2024 holiday season.

MAC will resume normal office operations on Thursday, Jan. 2, 2025.

This is the last Legislative Update email blast of 2024. The next blast will be on Friday, Jan. 3.

All of us at MAC wish you a safe and joyous holiday season.

 

Staff picks

• Whooping cough cases skyrocket in Michigan, as vaccinations decline (Bridge Michigan)

• Status of Renewable Energy, Distributed Generation and Legacy Net Metering in Michigan (Public Service Commission)

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Health insurance bills pass the Senate

An attempt to reform state law on employer contributions to health insurance programs was passed out of the Senate in the early morning hours of Dec. 13. Senate Bills 1129–30, by Sen. Kevin Hertel (D-Macomb), would raise the hard cap on what employers could pay for publicly funded health insurance, but would also mandate that the employer pay a minimum of 80 percent of the premiums.

MAC supports the increase in the hard cap so long as it stays a cap and not a floor. MAC is opposed to the versions of the bills that mandate certain spending by creating a floor for what the employer must pay. 

House Bill 6058, by Rep. Mai Xiong (D-Macomb), is still in the House and is a much more expensive option for the Publicly Funded Health Insurance Contribution Act, commonly known as PA 152 of 2011. The House bill would increase the employer contribution to employee health insurance and significantly increase the number of items and groups that can bargain for additional contributions.

PA 152 was enacted to curb rising health care costs, while fostering shared responsibility between employees and employers. It offered counties three cost-sharing options:

• Hard cap: employers contribute up to a legislatively established maximum
• 80/20 model: Employers pay no more than 80 percent of health plan costs, with employees covering the remaining 20 percent
• Opt-out: Counties negotiate health contributions directly with bargaining units, often leading to disparities between employee groups

Most counties have adhered to the hard cap or 80/20 models to avoid costly and contentious negotiations. However, the act’s original inflationary mechanism, tied to the U.S. Consumer Price Index’s medical care component, failed to reflect the true rise in health care costs, especially in areas like prescription drugs. As a result, employees have been burdened with an increasing share of premiums.

HB 6058 introduces changes to address these shortcomings but does so in a way that complicates an already delicate balance between those employee groups represented by a bargaining unit, those groups who enjoy binding arbitration and those groups that do not belong to a bargaining unit. 

MAC, instead, advocates for a straightforward and effective fix to PA 152 that respects its original goals:

• Hard cap reset: Adjust the hard cap to higher levels reflective of today’s health care costs, easing the financial burden on employees.
• Inflationary adjustments: Replace the current inflationary measure with one based on the average health care rate increases approved annually by the Michigan Department of Insurance and Financial Services. This mechanism would reflect Michigan’s health care realities and ensure the cap keeps pace with rising costs.

This approach would allow employers to contribute more toward health care premiums, alleviating financial strain on employees and maintaining the original law’s intent to control costs and promote fiscal responsibility.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.

MAC makes case against haste on septic code legislation

“MAC believes this legislation should be given more consideration before advancing,” MAC’s Madeline Fata told a Senate committee on Dec. 3 about bills to create a statewide septic code.

MAC joined other groups this week in testifying against legislation for a statewide septic code now before a Senate committee.

More than a dozen stakeholders, ranging from public health leaders to Realtors, presented before the Senate Natural Resources Committee on Senate Bills 299-300, by Sen. Sam Singh (D-Ingham).

In her testimony, MAC Governmental Affairs Associate Madeline Fata said, “This legislation preempts local control by mandating the repeal of all local point of sale ordinances. Our organization believes, and our counties have proven, that point-of-sale works.

“For example, Benzie County’s point-of-sale program began in 1992,” she continued, “and at that time about 17 percent of tanks inspected were considered nonconforming. Now, only about 3 percent of tanks in the county are nonconforming, as they have been able to identify many of these failing systems over time.”

Fata and others emphasized the need for more time to make additional changes and clarifications to the legislation. Most agreed that this should not be rushed through in the final weeks of the legislative session.

Fata also voiced concern over the lack of funding for health departments to administer the program, and for homeowners to comply: “The District 10 Health Department oversees 10 counties, and they have estimated that they have over 160,000 septic tanks in their jurisdiction. Excluding Saturdays, Sundays and major holidays, assuming they can access the tanks through frozen ground in winter, that is an average of 61.5 evaluations per day. The number of evaluators District 10 would need to recruit, hire and pay to achieve this goal is difficult to calculate but undeniably costly. This could easily become an unfunded mandate.”

See Fata’s full testimony here, starting at the 1:06:41 mark.

It’s not clear if the bills will advance out of committee next week.

For more information on this issue, contact Madeline Fata at fata@micounties.org.

Executive Director Stephan Currie introduces MAC Board President Melissa Daub at the Dec. 2 New Commissioner School in Frankenmuth.

Commissioners gather in Frankenmuth, Shelbyville for training

Nearly 90 newly elected or re-elected county commissioners assembled in two locations this week as part of the 2024 New Commissioner School (NCS), a training program co-sponsored by MAC and MSU Extension.

In Frankenmuth, participants were greeted by MAC Board President Melissa Daub of Wayne, who noted she began her own training as a county commissioner in the same spot in 2018.

An always popular segment of the training is a briefing on Michigan’s Open Meetings Act (OMA) conducted by the firm of Cohl, Stoker and Toskey, P.C. To facilitate that session, MAC and the firm print and distribute an OMA summary booklet to attendees. (After NCS, MAC will have a limited supply of booklets available. If your county is interested in an amount of 20 copies or fewer, contact Communications Director Derek Melot at melot@micounties.org.)

Finally, MAC also has posted a digital version of the booklet to our website.

The last two sites for NCS will be Dec. 9 in Grayling and Dec. 10 in Escanaba. Overall, MAC and MSUE expect more than 150 commissioners to go through at least some portion of the training.

 

Minimum staffing bill passes Senate Labor Committee

MAC’s Samantha Gibson testifies against minimum staffing legislation before the Senate Labor Committee on Dec. 5, 2024.

A bill to require minimum staffing levels as a mandatory subject of collective bargaining between a public employer and the representative of its employees was passed out of the Senate Labor Committee this week, after the House version was successfully removed from the House floor agenda in November due to MAC’s efforts.

Senate Bill 1167, by Sen. Veronica Klinefelt (D-Macomb), an identical bill to House Bill 4688, by Rep. Jim Haadsma (D-Calhoun), would amend the Public Employment Relations Act (PERA) and specifies that “other terms and conditions of employment” would include minimum staffing levels within the bargaining unit and consider minimum staffing levels a condition of employment with respect to a bargaining representative’s collective bargaining responsibilities. SB 1167 and HB 4688 would limit its application to only Public Act 312 employees, which was recently expanded to include corrections officers.

Making minimum staffing levels a mandatory topic of collective bargaining could increase staffing costs to counties. In addition to the potential for increased costs, many counties are facing staffing shortages. Implementing minimum staffing requirements when local governments are struggling to maintain fully staffed facilities will add to the difficulties counties already face when recruiting and retaining employees.

MAC opposes this legislation, as do the Michigan Municipal League and Michigan Townships Association. A letter of opposition was shared with Senate Labor Committee members this week and was sent to all House members in November.

MAC strongly encourages members to contact their legislators and inform them of the detrimental effects of this bill.

For more information on this issue, contact Samantha Gibson at gibson@micounties.org.

Damaging health insurance bill advances to House floor

“This approach is overly complicated and opens the door for more contentious and more costly bargaining with our employees, many of whom have the benefit of binding arbitration,” MAC’s Deena Bosworth told a House committee considering a bill to alter employer contribution rules for health insurance plans.

A flawed attempt to reform state law on employer contributions to health insurance programs was rushed out of a House committee this week, despite opposition from MAC and others.

House Bill 6058, by Rep. Mai Xiong (D-Macomb), would amend the Publicly Funded Health Insurance Contribution Act, commonly known as PA 152 of 2011. The bill would increase the employer contribution to employee health insurance and significantly increase the number of items and groups that can bargain for additional contributions.

PA 152 was enacted to curb rising health care costs, while fostering shared responsibility between employees and employers. It offered counties three cost-sharing options:

• Hard cap: employers contribute up to a legislatively established maximum
• 80/20 model: Employers pay no more than 80 percent of health plan costs, with employees covering the remaining 20 percent
• Opt-out: Counties negotiate health contributions directly with bargaining units, often leading to disparities between employee groups

Most counties have adhered to the hard cap or 80/20 models to avoid costly and contentious negotiations. However, the act’s original inflationary mechanism, tied to the U.S. Consumer Price Index’s medical care component, failed to reflect the true rise in health care costs, especially in areas like prescription drugs. As a result, employees have been burdened with an increasing share of premiums.

HB 6058 introduces changes to address these shortcomings but does so in a way that complicates an already delicate balance between those employee groups represented by a bargaining unit, those groups who enjoy binding arbitration and those groups that do not belong to a bargaining unit. 

MAC, instead, advocates for a straightforward and effective fix to PA 152 that respects its original goals:

• Hard cap reset: Adjust the hard cap to higher levels reflective of today’s health care costs, easing the financial burden on employees.
• Inflationary adjustments: Replace the current inflationary measure with one based on the average health care rate increases approved annually by the Michigan Department of Insurance and Financial Services. This mechanism would reflect Michigan’s health care realities and ensure the cap keeps pace with rising costs.

This approach would allow employers to contribute more toward health care premiums, alleviating financial strain on employees and maintaining the original law’s intent to control costs and promote fiscal responsibility.

While the committee did not act on MAC’s advice, MAC stands ready to collaborate on solutions that address these issues without undermining counties’ ability to serve residents effectively.

MAC opposes the current version of HB 6058, now on the House floor, to protect counties from the pitfalls of prolonged and contentious labor negotiations and exposure to significantly more of the financial burden of the benefits.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.

 

Prisoner productivity credit bills advance in Senate

Legislation to allow certain prisoners to earn productivity credits to reduce their sentence was passed out of the Senate Committee on Civil Rights, Judiciary and Public Safety this week.

Senate Bills 861–864 would only apply to future sentences in allowing prisoners to receive productivity credits. Under the legislation, prosecutors are required to notify victims at the time of sentencing that an earlier release date is possible, if the offender completes productivity credits.  

While completing productivity credits would deem a prisoner eligible for early release, the parole board will still make final decisions regarding release dates, with final discretion remaining with judges and prosecutors.  

SBs 861-864 would remove truth-in-sentencing, leaving many victims of crime with uncertainty regarding the minimum sentence their offender would serve.  

MAC opposes the bills, as do the Prosecuting Attorneys Association of Michigan and the Michigan Sheriffs’ Association.

For more information on this issue, contact Samantha Gibson at gibson@micounties.org.  

 

Treasury issues reminder about ARP spending deadline

All ARPA funds provided to local governments in Michigan through the Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program must be obligated by Dec. 31, 2024. Any funds not obligated by this date will be subject to recapture, resulting in a loss of critical resources for your community.

See more on this by clicking here.

Note that if you received SLFRF funds, you should have been sent two email notices from the U.S. Treasury. The first was sent on or about Nov. 14 and the second was sent on or about Nov. 20. These two notices give you detailed information regarding their requirements. It is suggested that you review them as soon as possible.

See also: Countdown to ARPA’s SLFRF obligation deadline: Top 5 insights for local governments

 

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GOP leader unveils $2.7B road plan; MAC studying proposal

A $2.7 billion road funding plan surfaced in Lansing Friday, courtesy of the expected 2025 speaker of the house, Rep. Matt Hall (R-Kalamazoo).

Hall presented this proposal in response to Gov. Gretchen Whitmer’s call for the House to find a solution to the road funding crisis during the current “lame duck” legislative session. Whitmer has not yet indicated whether she backs Hall’s plan.

The General Fund would take a major hit should this plan be enacted, with $1.8 billion coming from corporate income tax revenue, plus another $1 billion coming from reallocating the sales tax on gas. The loss in sales tax dollars would be made up by increasing the fuel tax to keep schools, cities, villages and townships whole.

As you know, MAC is advocating for counties to receive a portion of the state’s sales tax revenue through Revenue Sharing Trust Fund legislation. For this reason, we will be closely monitoring the reimbursement mechanism here.

Bills have yet to be introduced to reflect Hall’s plan, but they are expected next week. There are between seven and nine session days remaining in 2024, which does not allow much time to negotiate or accommodate a lengthy committee process.

MAC does not yet have a formal position on Hall’s plan.

For more information on this issue, contact Madeline Fata at fata@micounties.org.

Septic code push resumes at Capitol

Stakeholders continue to vilify point-of-sale programs for the evaluation of septic tanks as new drafts of bills are circulated. The 10^th iteration of the statewide septic code legislation can be found in the S-1 of Senate Bill 299; although significantly different from what was first introduced, it still contains the provision that all point-of-sale ordinances must be repealed.   

The Legislature and environmental community are eager to adopt a statewide septic code before the end of the year because Michigan is the only state without one and nearly all of Michigan waterways have tested positive for trace amounts of human fecal contamination. MAC is supportive of some elements of the legislation, including the implementation of best practices for the septic tank industry and any efforts by the state to create a database of tanks. 

In conversations between stakeholders, two schools of thought have emerged on addressing septic systems in Michigan:   

• evaluations upon point-of-sale 
• periodic evaluations 

MAC has been consistent about our support for the point-of-sale option. For many years, our policy platforms have included language supporting a county’s right to adopt a point-of-sale ordinance. Counties with these programs have exceptionally low failure rates as they’ve been able to capture more and more systems in need of repair over time. 

The Michigan Realtors Association has led the charge in opposing a point-of-sale program approach and prefers that evaluations of all septic systems in the state occur on a periodic basis. This would put the bulk of the responsibility of monitoring and enforcement on local health departments.

The opposition to the point-of-sale approach stems from the fear that real estate transactions will be delayed or fall through should there be a problem. Proponents of this approach believe that when homes are sold, the buyer should have assurance that the system is functional and safe. Additionally, point-of-sale is an ideal time financially to address these issues while large sums of money are being exchanged.

MAC is pleased to see the new bills allow the sunset for point-of-sale ordinances to go out 10 years (from the previous 1), and the time between evaluations has gone up to 10 years (from the previous 5). Newer drafts also include provisions for a longer phase-in period for the program.  

Still, this legislation is not ready. Any statewide septic code will mean major changes for homeowners, local governments, health departments and the state. Financial assurances for local governments to comply have not been secured, nor has the grant program for low-income households to fund any necessary repairs or replacements. MAC does not believe this legislation should be rushed through this year because it strips counties of the ability to regulate through point-of-sale ordinances and it places a financial burden on health departments and homeowners without a proper funding source.

For more information on this issue, contact Madeline Fata at fata@micounties.org.