SB-0988, As Passed Senate, June 8, 2016

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 988

 

 

May 24, 2016, Introduced by Senators STAMAS, SHIRKEY, PROOS, HORN and MACGREGOR and referred to the Committee on Michigan Competitiveness.

 

 

 

     A bill to amend 2000 PA 489, entitled

 

"Michigan trust fund act,"

 

by amending sections 2 and 6 (MCL 12.252 and 12.256), section 2 as

 

amended by 2005 PA 232, and by adding section 11.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2. As used in this act:

 

     (a) "Health services fund" means the health services fund

 

created in section 11.

 

     (b) (a) "Medicaid benefits trust fund" means the Michigan

 

medicaid Medicaid benefits trust fund established in section 5.

 

     (c) (b) "Medicaid program" means a program for medical

 

assistance established under title XIX of the social security act,

 

chapter 531, 49 Stat. 620, 42 USC 1396 to 1396f, 1396g-1 to 1396r-

 

6, and 1396r-8 to 1396v.1396w-5.

 

     (d) (c) "Medicaid special financing payments" means the


medicaid Medicaid special adjustor payments each year authorized in

 

the department of community health appropriations act.

 

     (e) (d) "Michigan merit award trust fund" means the Michigan

 

merit award trust fund established in section 9.

 

     (f) (e) "Residual tobacco settlement revenue" means any

 

residual interests, as defined by the Michigan tobacco settlement

 

finance authority act, that are received by this state.

 

     (g) (f) "Tobacco settlement revenue" means money received by

 

this state that is attributable to the master settlement agreement

 

incorporated into a consent decree and final judgment entered into

 

on December 7, 1998 in Kelly Ex Rel. Michigan v Philip Morris

 

Incorporated, et al., Ingham county County circuit court, docket

 

no. 96-84281CZ, including any rights to receive money attributable

 

to the master settlement agreement that has been sold by this

 

state.

 

     (h) (g) "21st century jobs trust fund" means the 21st century

 

jobs trust fund established in section 7.

 

     Sec. 6. The legislature shall authorize the expenditure of

 

medicaid Medicaid benefits trust fund revenues through an

 

appropriation act only for 1 or more of the following purposes:

 

     (a) To finance a shortfall in the medicaid Medicaid program

 

due to a disallowance of medicaid Medicaid payments from the

 

federal government.

 

     (b) To offset any decline in revenue caused by federal

 

medicaid Medicaid policy changes.

 

     (c) For any other purpose as provided by law.

 

     Sec. 11. (1) The health services fund is created within the


state treasury.

 

     (2) The state treasurer may receive money or other assets from

 

any source for deposit into the health services fund. The state

 

treasurer shall direct the investment of the health services fund.

 

The state treasurer shall credit to the health services fund

 

interest and earnings from health services fund investments.

 

     (3) Money in the health services fund at the close of the

 

fiscal year shall remain in the health services fund and shall not

 

lapse to the general fund.

 

     (4) The department of treasury shall be the administrator of

 

the health services fund for auditing purposes.

 

     (5) The department of treasury shall expend money from the

 

health services fund, upon appropriation, only as provided in this

 

section. On the first day of each month, the state treasurer shall

 

make a distribution from the health services fund in the following

 

order of priority:

 

     (a) Per state fiscal year, $2,000,000.00 to the fund described

 

in section 5402 of the natural resources and environmental

 

protection act, 1994 PA 451, MCL 324.5402. The funds distributed

 

subject to this subdivision shall be used exclusively for assisting

 

qualified water suppliers in satisfying the requirements of the

 

federal safe drinking water act described in section 5402 of the

 

natural resources and environmental protection act, 1994 PA 451,

 

MCL 324.5402, and for the distribution of low-interest loans and

 

grants to community and noncommunity qualified water suppliers.

 

     (b) Per state fiscal year, not less than $100,000,000.00 shall

 

be distributed to the department of health and human services for


community mental health non-Medicaid services. No less than 5% of

 

the funds distributed subject to this subdivision shall be used to

 

support statewide adverse childhood experience intervention

 

services.

 

     (c) Per state fiscal year, $30,000,000.00 shall be distributed

 

to the department of health and human services for local public

 

health for non-Medicaid services.

 

     (d) Per state fiscal year, except as otherwise provided in

 

this subdivision, not less than $204,000,000.00 shall be

 

distributed to the department of health and human services for the

 

federal Medicare pharmaceutical program. For the fiscal year 2016-

 

2017 only, not less than $150,000,000.00 shall be distributed to

 

the department of health and human services for the federal

 

Medicare pharmaceutical program.

 

     (e) After the distributions described in subdivisions (a) to

 

(d), an amount that equals the remaining funds available shall be

 

distributed to the department of corrections for clinical and

 

mental health services.

 

     (6) Money deposited into the health services fund pursuant to

 

this section shall not be used for any Medicaid benefits provided

 

under the medical assistance program created under sections 105 and

 

105d of the social welfare act, 1939 PA 280, MCL 400.105 and

 

400.105d, or for the medical services administration within the

 

department of health and human services for the administration of

 

the medical assistance program created under sections 105 and 105d

 

of the social welfare act, 1939 PA 280, MCL 400.105 and 400.105d.

 

     Enacting section 1. This amendatory act does not take effect


unless all of the following bills of the 98th Legislature are

 

enacted into law:

 

     (a) Senate Bill No. 989.                                     

 

             

 

     (b) Senate Bill No. 987.                                     

 

             

 

     (c) Senate Bill No. 990.