The first week of session since the election took place last week, kicking off Lame Duck as House Democrats prepare to no longer have the trifecta. Below is a breakdown of some legislation that has moved that has been a focus of our team.
Earned Sick Time and Tipped Credit: Bills Introduced
Legislation has been introduced in the House that would amend both the Earned Sick Time Act (House Bill 6057) and preserve the tipped minimum wage (House Bill 6056). The timeframe to get these bills through the House and into the Senate is narrow, and the business community as a whole has tirelessly communicated with lawmakers that failure to amend these acts is not an option. Legislation was referred to House Regulatory Reform Committee. The Grand Rapids Chamber supports.
Workers’ Compensation
Legislation was introduced that would make costly changes to the workers’ compensation statute. Senate Bill 1079 will redefine “disability,” make significant changes to partial disability, and gutting work search requirements. These changes will have a direct impact on premium rates for our members. SB 1079 currently is in the Senate Labor Committee. GR Chamber opposes.
MI Consumers Protection Act
Senate Bill 1022 will amend the Michigan Consumer Protection Act (MCPA) and remove the regulatory compliance exemption for businesses. If adopted, nearly every industry and business regulated under state and federal laws will be open to lawsuits under the MCPA. This opens up potential lawsuits. SB 1022 was passed out of the Senate Committee on Finance, Insurance, and Consumer Protection and awaits a vote on the Senate Floor. GR Chamber opposes.
Plumbing and Electrical Apprenticeship Ratios
Senate Bill 740 creates an apprentice to journey/master plumbing licensee ratio of 2:1. Senate Bill 895 creates an apprentice to journey/master electrical licensee ratio of 1:1. Both of these bills will not take into account education and training of each apprentice, and instead will classify all apprentices as equal regardless of if they were on the job for 1 week or 3 years. The impact on our trades will have lasting impacts on adequate workforce to complete projects across the region. Employers will potentially have to reduce their apprentice levels. SB 740 was passed out of the House last week along party lines and will be presented to the Governor for signature. SB 895 passed out of House Labor Committee along party lines and we expect a vote on the House Floor when the Legislature returns in December. GR Chamber opposes.
Stormwater Management Utility Fees
Senate Bill 660 authorizes local governments to adopt a stormwater management utility fee similar to municipal water and sewage bills. It’s essentially a rain tax on impermeable properties targeting businesses and property owners for rainwater runoff. Fees will be based on the amount of runoff a property generates. The bigger the building and parking lot, the larger the impact. Passed out of Senate Committee on Local Government along party lines and we expect it will pass the full Senate but unsure of the situation in the House. GR Chamber opposes.
Youth Work Permits
Senate Bills 963-965 & House Bill 5594 will modify the Youth Employment Standards Act and increase penalties for businesses that violate the Act. Changes include making the state responsible for issues work permits for minors, minors registering with the department (LEO) before they begin employment, and the employer must be authorized by the department to employ a minor. Through working with the business community, LEO and bill sponsors addressed many concerns on the language that will make it more manageable for employers. SB 965 increases penalties for violation to felonies for various circumstances. All bills have been referred by the House Labor Committee and we expect a vote when the House returns in December. GR Chamber is neutral on SB 964 & HB 5594; opposed to SB 965.
What can we expect?
Both the House and Senate will return to Lansing the first week of December. All voting is likely to be completed by December 12th. In order for legislation to have a path forward, they must pass from their originating chamber no later than Dec 5th.
