CONSTITUTIONAL AMENDMENT TO LIMIT PUBLIC EMPLOYER HEALTH INSURANCE CONTRIBUTIONS

Senate Joint Resolution C (as passed by the Senate)

Sponsor:  Sen. Mark C. Jansen

House Committee:  Oversight, Reform, and Ethics

Senate Committee:  Reforms, Restructuring, and Reinventing

Complete to 5-23-11

A SUMMARY OF SENATE JOINT RESOLUTION "C" AS PASSED BY THE SENATE ON 5-18-11

Senate Joint Resolution "C" proposes to amend the State Constitution of 1963 by adding Section 9 to Article XI, which would authorize the Michigan Legislature to provide, by law, for cost allocation requirements for health benefit plans for public employees and officers and elected and appointed officials. The proposal would require any health benefits offered to state employees, local government employees, and employees of public universities to conform to the cost allocation requirements established by state law.

Under Senate Joint Resolution C, the State Officer's Compensation Commission, the Civil Service Commission, merit systems for units of local government, and public universities would be prohibited from adopting, and collective bargaining rights would not extend to, any health benefit plan requirements that differed from those established by law under this section.

FISCAL IMPACT:

The resolution would have no direct fiscal impact on state or local government.  Potential savings related to health insurance benefits would depend on the specific provisions of legislation enacted by the legislature under the legislative authority created by the resolution.

                                                                                           Legislative Analyst:   J. Hunault

                                                                                                  Fiscal Analyst:   Robin Risko

                                                                                                                           Kyle Jen

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.