2014 House Bill 5569 / Public Act 184

Detroit bankruptcy settlement and grant package - employee health benefits

Introduced in the House

May 8, 2014

Introduced by Rep. Andrea LaFontaine (R-32)

To prohibit Detroit from providing employee health insurance benefits whose premiums cost more than $5,500 for a single person, $12,250 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require city employees to contribute at least 20 percent toward the cost of their health insurance. A <a href="http://www.michiganvotes.org/2011-SB-7">2011 law</a> mandated this for public school employees but allowed municipalities to exempt themselves with a 2/3 vote of their governing body; the bill would exclude Detroit from that exception. This is part of a legislative package consisting of House Bills 5566 to 5575 that are related to the Detroit bankruptcy and a proposed state grant to the city of $195 million.

Referred to the Committee on Detroit's Recovery and Michigan's Future

May 21, 2014

Reported without amendment

Without amendment and with the recommendation that the bill pass.

May 22, 2014

Passed in the House 100 to 10 (details)

Received in the Senate

May 27, 2014

Referred to the Committee on Government Operations

June 3, 2014

Reported without amendment

With the recommendation that the bill pass.

Passed in the Senate 36 to 2 (details)

To prohibit Detroit from providing employee health insurance benefits whose premiums cost more than $5,500 for a single person, $12,250 for a couple and $15,000 for a family plan (indexed to the "medical price index"), or alternatively, require city employees to contribute at least 20 percent toward the cost of their health insurance. A <a href="http://www.michiganvotes.org/2011-SB-7">2011 law</a> mandated this for public school employees but allowed municipalities to exempt themselves with a 2/3 vote of their governing body; the bill would exclude Detroit from that exception. This is part of a legislative package consisting of House Bills 5566 to 5575 that are related to the Detroit bankruptcy and a proposed state grant to the city of $195 million.

Signed by Gov. Rick Snyder

June 19, 2014