2015 House Bill 5105 / 2016 Public Act 50

Extend Medicaid health insurance claims tax

Introduced in the House

Dec. 1, 2015

Introduced by Rep. Al Pscholka (R-79)

To extend until 2024 the 2017 sunset on a 0.75 percent tax on health insurance claims, which is designed to “game” the federal Medicaid program in ways that result in higher federal payments to Michigan’s medical welfare establishment.

Referred to the Committee on Appropriations

Dec. 2, 2015

Reported without amendment

Without amendment and with the recommendation that the bill pass.

Dec. 8, 2015

Amendment offered by Rep. Brandt Iden (R-61)

To revise details of how the tax levy is apportioned.

The amendment passed by voice vote

Amendment offered by Rep. Al Pscholka (R-79)

To remove another provision ending this tax after 2017.

The amendment passed by voice vote

Passed in the House 83 to 23 (details)

Received in the Senate

Dec. 9, 2015

Referred to the Committee on Appropriations

Dec. 10, 2015

Reported without amendment

With the recommendation that the bill pass.

Feb. 24, 2016

Amendment offered

To extend the tax until 2020 rather than 2025.

The amendment passed by voice vote

Passed in the Senate 21 to 17 (details)

To extend until 2020 the 2017 sunset on a 0.75 percent tax on health insurance claims, which is designed to “game” the federal Medicaid program in ways that result in higher federal payments to Michigan’s medical welfare establishment.

Received in the House

Feb. 24, 2016

Passed in the House 77 to 25 (details)

To concur with the Senate-passed version of the bill.

Signed by Gov. Rick Snyder

March 15, 2016