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Mackinac Center for Public Policy
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2011 Senate Bill 7: Mandate 20 percent government employee health benefit contribution

Public Act 152 of 2011

  1. Introduced by Sen. Mark Jansen (R) on January 19, 2011, to require government employees to contribute at least 20 percent toward the cost of any health care benefits provided by their employer, with a number of exceptions and exemptions (most local governments could waive the requirement with a two-thirds vote of their governing body). This "80/20" cap would be less if the benefit is in the form of a Health Savings Account.
    • Referred to the Senate Reforms, Restructuring and Reinventing Committee on January 19, 2011.
      • Reported in the Senate on April 14, 2011, with the recommendation that the substitute (S-3) be adopted and that the bill then pass.
    • Substitute offered in the Senate on May 12, 2011, to replace the previous version of the bill with one that revises details but does not change the substance as previously described. The substitute passed by voice vote in the Senate on May 12, 2011.
    • Amendment offered by Sen. Hoon-Yung Hopgood (D) on May 18, 2011, to revise the definition of what precisely the 20 percent employee contribution would apply to, in a way that would mean governments and school districts may have to pay more than 80 percent.
    • Substitute offered by Sen. Mark Jansen (R) on May 18, 2011, to replace the previous version of the bill with one that revises details but does not change the substance as previously described. The substitute passed by voice vote in the Senate on May 18, 2011.
    • Amendment offered by Sen. Rebekah Warren (D) on May 18, 2011, to tie-bar the bill to Senate Joint Resolution M, meaning this bill cannot become law unless that constitutional amendment does also. If placed on the ballot by two-thirds of the legislature and approved by voters, SJR M would repeal a constitutional provision allowing earmarked tax and other revenue in the state School Aid Fund to pay for higher education and school employee pensions, instead limiting SAF money to just K-12 public school budgets. The amendment failed 12 to 26 in the Senate on May 18, 2011.
      Who Voted "Yes" and Who Voted "No"

    • Amendment offered by Sen. Hoon-Yung Hopgood (D) on May 18, 2011, to revise the definition of what precisely the 20 percent employee contribution would apply to, in a way that would mean government and school employees would have to pay less. The amendment failed 12 to 26 in the Senate on May 18, 2011.
      Who Voted "Yes" and Who Voted "No"

    • Amendment offered by Sen. Rebekah Warren (D) on May 18, 2011, to extend to school districts the same option the bill provides for local governments to waive its proposed 20 percent employee copay requirement with a two-thirds vote of the school board. The amendment failed 15 to 23 in the Senate on May 18, 2011.
      Who Voted "Yes" and Who Voted "No"

    • Amendment offered by Sen. John Gleason (D) on May 18, 2011, to require school districts and local governments to pay 100 percent of the health benefit cost for an employee whose adjusted gross income is below 175 percent of the official poverty level (approximately $38,500 for a family of four). The amendment failed 12 to 26 in the Senate on May 18, 2011.
      Who Voted "Yes" and Who Voted "No"

    • Amendment offered by Sen. Glenn Anderson (D) on May 18, 2011, to tie-bar the bill to House Bill 4081, meaning this bill cannot become law unless that one does also. HB 4081 would end the post-retirement health care insurance coverage provided to legislators, but only for those who were not in office after Jan. 30, 2009. The amendment failed 17 to 20 in the Senate on May 18, 2011.
      Who Voted "Yes" and Who Voted "No"

    • Amendment offered by Sen. Howard Walker (R) on May 18, 2011, to prohibit a school district or local government from providing an employee health insurance benefit plan that costs more than $13,000 per employee on average. The amendment failed by voice vote in the Senate on May 18, 2011.
    • Amendment offered by Sen. Judy Emmons (R) on May 18, 2011, to move bac the effective date of the bill to Jan. 1, 2012. The amendment passed by voice vote in the Senate on May 18, 2011.
  2. Passed 25 to 13 in the Senate on May 18, 2011, to require government employees to contribute at least 20 percent toward the cost of any health care benefits provided by their employer, with a number of exceptions and exemptions (most local governments could waive the requirement with a two-thirds vote of their governing body). This amount would be reduced if the benefit is in the form of a Health Savings Account.
    Who Voted "Yes" and Who Voted "No"

  3. Received in the House on May 18, 2011.
    • Referred to the House Oversight, Reform, and Ethics Committee on May 18, 2011.
      • Reported in the House on June 30, 2011, with the recommendation that the substitute (H-6) be adopted and that the bill then pass.
    • Substitute offered in the House on June 30, 2011, to replace the previous version of the bill with one that authorizes either a dollar-amount cap on government employee insurance benefits, or requires employees to pay at least 20 percent. The substitute passed by voice vote in the House on June 30, 2011.
    • Amendment offered by Rep. Lisa Brown (D) on June 30, 2011, to allow school boards to waive the bill's requirements with a two-thirds vote. The amendment failed by voice vote in the House on June 30, 2011.
  4. Passed 56 to 52 in the House on June 30, 2011, to prohibit the state, local governments, public schools, colleges and universities from providing employee health insurance benefits whose premiums cost more that $5,500 for a single person, $11,000 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require employees contribute at least 20 percent toward the cost. Most local governments but not schools could waive the requirements with a two-thirds vote of their governing body.
    Who Voted "Yes" and Who Voted "No"

  5. Received in the Senate on July 13, 2011.
  6. Failed 0 to 36 in the Senate on July 13, 2011, to prohibit the state, local governments, public schools, colleges and universities from providing employee health insurance benefits whose premiums cost more that $5,500 for a single person, $11,000 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require employees contribute at least 20 percent toward the cost. Most local governments but not schools could waive the requirements with a two-thirds vote of their governing body.
    Who Voted "Yes" and Who Voted "No"

  7. Received in the House on July 27, 2011.
  8. Passed 59 to 48 in the House on August 24, 2011, to prohibit the state, local governments, public schools, colleges and universities from providing employee health insurance benefits whose premiums cost more than $5,500 for a single person, $11,000 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require employees to contribute at least 20 percent toward the cost. Most local governments but not schools could waive the requirements with a two-thirds vote of their governing body. This vote is for a House-Senate conference report that fine-tunes some details.
    Who Voted "Yes" and Who Voted "No"

  9. Received in the Senate on August 24, 2011.
  10. Passed 25 to 13 in the Senate on August 24, 2011, to prohibit the state, local governments, public schools, colleges and universities from providing employee health insurance benefits whose premiums cost more than $5,500 for a single person, $11,000 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require employees to contribute at least 20 percent toward the cost. Most local governments but not schools could waive the requirements with a two-thirds vote of their governing body. This vote is for a House-Senate conference report that fine-tunes some details.
    Who Voted "Yes" and Who Voted "No"

  11. Motion in the Senate on August 24, 2011, to give the bill immediate effect. The motion passed 26 to 12 in the Senate on August 24, 2011.
    Who Voted "Yes" and Who Voted "No"

  12. Signed by Gov. Rick Snyder on September 24, 2011.

Comments

Re: 2011 Senate Bill 7 (Mandate 20 percent government employee health benefit contribution )  by denestu on March 17, 2013 
Health insurance helps people afford the cost of quality health care, for example for a nighthawk radiology clinic. It's one of the most valued benefits an employer can offer to his workforce. In most cases, an employer will not pay the entire cost of an employee's insurance. Just how much and how that effects employer and employee varies from situation to situation.


Re: 2011 Senate Bill 7 (Mandate 20 percent government employee health benefit contribution )  by trichie on October 8, 2012 
I'm not sure the additional contribution is such a good idea. I'm more for having people take of their health with eating the right food and exercise. If they have less in medical bills they should see less in health cost. Michigan coverage

Re: 2011 Senate Bill 7 (Mandate 20 percent government employee health benefit contribution )  by jimmy92 on September 22, 2012 
Well as a Michigan resident, I definite hope they indicate how lots of and which drugs they will be testing for, since I am definite the more drugs they check for, the higher the cost, so it will effect my decision to apply if I'll must pay for it when it comes back negative for drugs Florida Medicare Supplement... I am a broke college child trying to survive, losing weight every day because I cannot afford food. But I guess that is what I get for growing up poor. After all, Republicans blame me for it anyway. Guess I should've died at birth like I was one time supposed to. Thanks for the confidence boost!

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