Manufacturers and other job providers around the state of Michigan are wildly applauding action taken today by the Michigan Legislature to eliminate the Health Insurance Claims Act tax…a move that is predicted to save more than $300-million for job creators in the state.
After years of turmoil over the rising cost of health care and Medicaid financing, the Michigan Manufacturers Association leads that applause today inasmuch as the elimination of that tax has been a longstanding priority of the association and it’s manufacturing partners dedicated to keeping Michigan competitive with other states and around the world.
Chuck Hadden is President & CEO of the Michigan Manufacturers Association. He says today, “MMA and our partners in the business community have spent years working to eliminate this anti-competitive tax and I am proud to say we’ve finally achieved what will be a $300+ million annual savings for job creators.”
The Michigan House of Representatives voted near unanimously today, 107-1, in favor of the HICA tax elimination package — Senate Bill 992 (Senator Ken Horn, R-Frankenmuth), Senate Bill 993 (Senator Peter MacGregor, R-Rockford) and Senate Bill 994 (Senator Mike Shirkey, R-Clarklake) — while the bills received near-unanimous support from the Senate on Thursday, May 17th. The MMA led the charge on the critical cost savings measure and has supported the elimination of the HICA tax since its 2011 inception.
Delaney McKinley is Senior Director of Government Affairs & Membership for the Michigan Manufacturers Association. McKinley says, “Senate Bills 992-994 will eliminate the costly HICA tax, provide stability to our state budget, reduce health care costs and ensure Michigan manufacturers and local businesses can properly compete in a global market.” McKinley adds, “This is a huge victory for employers and health care purchasers in Michigan and one many years in the making.”
Following the vote, the MMA extended its thanks to Senators Horn, MacGregor, Stamas and Shirkey for championing the effort and to Speaker of the House Tom Leonard and Senate Majority Leader Arlan Meekhof for their continued leadership on the hard-fought tax cut.
Those bills all now move to the desk of Governor Rick Snyder for his signature.
