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SB 570

Health facilities: homes for the aged; certain licensing fees; modify. Amends sec. 21311a of 1978 PA 368 (MCL 333.21311a) & adds sec. 21311b.

2025-2026 Regular Session Introduced by Sarah Anthony

Imposes a $2,000 attestation review fee for exemptions from licensure as a home for the aged, with annual wage-based increases and annual fee reporting.

REFERRED TO COMMITTEE ON APPROPRIATIONS
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Bill Summary · SB 570

SB 570 — Summary (Health facilities: homes for the aged; certain licensing fees; MCL 333.21311a; adds 333.21311b)

Status: Introduced Feb 20, 2025 — Referred to Committee on Appropriations

Subject: Public Health Code; licensing exemptions for “homes for the aged”; Department of Licensing and Regulatory Affairs (LARA) fee authority and reporting.

Main purpose

To require LARA to charge a review fee for attestations seeking an exemption from licensure as a “home for the aged,” and to give LARA limited, formula‑based authority to increase that fee annually. The change also clarifies certain procedural and enforcement aspects of the exemption process.

Key provisions

  • Attestation review fee: LARA must charge $2,000 to review an attestation submitted to claim an exemption from licensure as a home for the aged (amends MCL 333.21311a).
  • Annual fee adjustment: At the start of each state fiscal year, LARA may increase the fee by up to the average percentage wage-and-salary increase granted that fiscal year to the department’s classified civil service employees. Any increase is effective for that fiscal year and becomes the baseline for subsequent increases (new MCL 333.21311b).
  • Annual fee schedule reporting: By August 1 each year, LARA must provide the Director of the Department of Technology, Management, and Budget and the chairpersons of the Senate and House Appropriations Committees a complete schedule of the fees to be collected under the section for the following fiscal year.
  • Attestation content and penalties: The attestation must certify that statutory criteria for an exemption are met and include acknowledgment that submitting a false or inaccurate attestation may result in an administrative fine of $5,000.
  • Processing timeline: LARA must act on an exemption application as soon as practicable, but no later than 60 days after receipt.
  • Continuation and revocation: Exemptions continue for successor owners if the successor files the required attestation. LARA may revoke an exemption for material misstatement in the attestation, negligence resulting in serious physical injury/death/serious mental anguish, or failure to cooperate with investigations.
  • Statutory context: Amendments modify the existing exemption framework (MCL 333.21311a), which governs when an existing facility or a facility under construction may be exempt from licensure as a home for the aged.

Who is affected

  • Facility owners/operators or governing bodies seeking to claim or renew an exemption from home‑for‑the‑aged licensure.
  • LARA (administration, review, fee collection, and enforcement functions).
  • Potential indirect effect on residents and consumer protections because of changed administrative/financial processes and continued enforcement/revocation rules.

Fiscal impact and timing

  • Fiscal effect to state government: positive but indeterminate (depends on number of attestations reviewed and any fee increases LARA adopts).
  • Local government: no fiscal impact anticipated.
  • Key procedural timing: LARA must act within 60 days on applications; annual fee schedule due to DTMB and appropriations chairs by August 1 each year.

Other notes

  • The bill amends the Public Health Code provision added in 2017 (MCL 333.21311a) and creates a new section (21311b) to govern annual fee adjustments and reporting.

Compiled from official sources — confirm details with the bill’s official record.

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