2007 Senate Bill 1 ↩

House Roll Call 425: Passed

To require the Department of Human Services to seek federal permission to use Medicaid funds to create incentives for individual recipients who practice specified positive health behaviors. (Not smoking, losing weight, actually showing up for doctor's appointments are some of the these.) The incentives may include expanded benefits; positive or negative incentives relating to premiums, co-pays, or benefits; and more. The bill would also allow the Department of Community Health to create pay-for-performance incentives for contracted Medicaid HMOs that meet health outcome targets for chronic diseases, and patient compliance targets established by the department. It would allow the department to establish a preferred provider program for durable medical equipment, and provide financial support using Medicaid funds for electronic health records, including e-prescriptions, web-based medical records and other health information technology initiatives. Passage of the bill occurred as part of a deal to avoid reducing state spending in the 2007-2008 Fiscal Year by imposing $1.5 billion in tax increases, including an income tax hike (<a href="http://www.michiganvotes.org/RollCall.aspx?ID=237024">House Bill 5194</a>) a new 6 percent tax on many personal and business services (<a href="http://www.michiganvotes.org/RollCall.aspx?ID=237025">House Bill 5198</a>).