No. 68

State of Michigan

JOURNAL

OF THE

House of Representatives

95th Legislature

REGULAR SESSION OF 2009

House Chamber, Lansing, Wednesday, August 19, 2009.

1:30 p.m.

The House was called to order by the Speaker Pro Tempore.

The roll was called by the Clerk of the House of Representatives, who announced that a quorum was present.

Agema—present Durhal—present Lahti—present Proos—present

Amash—present Ebli—present LeBlanc—present Roberts—present

Angerer—present Elsenheimer—present Leland—present Rocca—present

Ball—present Espinoza—present Lemmons—present Rogers—present

Barnett—present Geiss—present Lindberg—present Schmidt, R.—present

Bauer—present Genetski—present Lipton—present Schmidt, W.—present

Bennett—excused Gonzales—present Liss—present Schuitmaker—present

Bledsoe—present Green—present Lori—present Scott, B.—present

Bolger—present Gregory—present Lund—present Scott, P.—present

Booher—present Griffin—present Marleau—present Scripps—present

Brown, L.—present Haase—present Mayes—present Segal—present

Brown, T.—present Haines—present McDowell—present Sheltrown—present

Byrnes—present Hammel—present McMillin—present Simpson—present

Byrum—present Hansen—present Meadows—present Slavens—present

Calley—present Haugh—present Meekhof—present Slezak—present

Caul—present Haveman—present Melton—present Smith—present

Clemente—present Hildenbrand—present Meltzer—present Spade—present

Constan—present Horn—present Miller—present Stamas—present

Corriveau—present Huckleberry—present Moore—present Stanley—present

Coulouris—present Jackson—present Moss—present Switalski—present

Crawford—present Johnson—present Nathan—present Tlaib—present

Cushingberry—present Jones, Rick—present Nerat—excused Tyler—present

Daley—present Jones, Robert—present Neumann—present Valentine—excused

Dean—present Kandrevas—present Opsommer—present Walsh—present

Denby—present Kennedy—present Pavlov—present Warren—present

DeShazor—present Knollenberg—present Pearce—present Womack—present

Dillon—present Kowall—present Polidori—present Young—present

Donigan—present Kurtz—present

e/d/s = entered during session

Rep. Tom Pearce, from the 73rd District, offered the following invocation:

“It’s our confession Lord, that we are weak, that You are strong. In all of our weakness, Heavenly Father, we invite You into our presence today. We ask You for those who are hurting and in need of healing, we pray for Your touch. For those who are struggling and need discernment, we pray for Your wisdom. Today may we see the issues of this state, not just through our eyes, but through Yours. Be with those who protect us both locally and around the world. Give them an extra measure of blessing for their service today. Thank You for our leadership, both here in our state and in our country. We pray that You will be with them. May they feel Your presence, may they seek Your wisdom in every decision they make. We ask this in Your name, Amen.”

______

Rep. Angerer moved that Reps. Bennett, Nerat and Valentine be excused from today’s session.

The motion prevailed.

Announcement by the Clerk of Printing and Enrollment

The Clerk announced that the following bills had been printed and placed upon the files of the members on Wednesday, August 12:

House Bill Nos. 5232 5233 5234 5235 5236 5237 5238 5239

The Clerk announced that the following bills had been printed and placed upon the files of the members on Tuesday, August 18:

Senate Bill Nos. 732 733 734 735 736 737 738 739 740 741 742

The Clerk announced that the following Senate bills had been received on Tuesday, August 18:

Senate Bill Nos. 700 701 703 706 707 710 712

The Clerk announced that the following Senate bills had been received on Wednesday, August 19:

Senate Bill Nos. 215 266 484 674 675 676 677 678 679 698

Reports of Standing Committees

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4244, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2090.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4844, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 3149.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4846, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” by amending section 2038 (MCL 500.2038).

With the recommendation that the substitute (H-4) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4989, entitled

A bill to regulate guaranteed asset protection waivers offered or provided in connection with finance agreements for certain motor vehicles; to provide for the powers and duties of certain state governmental officers and entities; and to provide remedies.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack, Denby, Green, Lund, Moore and Rocca

Nays: None

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4990, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 127.

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack, Denby, Green, Lund, Moore and Rocca

Nays: None

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4991, entitled

A bill to amend 1950 (Ex Sess) PA 27, entitled “Motor vehicle sales finance act,” by amending section 13 (MCL 492.113), as amended by 2002 PA 699.

Without amendment and with the recommendation that the bill pass.

The bill was referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack, Denby, Green, Lund, Moore and Rocca

Nays: None

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 4992, entitled

A bill to amend 1966 PA 224, entitled “Retail installment sales act,” by amending section 3 (MCL 445.853).

Without amendment and with the recommendation that the bill pass.

The bill was referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack, Denby, Green, Lund, Moore and Rocca

Nays: None

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5020, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2203.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5144, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035.

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5145, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2026c.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5146, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2027b.

With the recommendation that the substitute (H-3) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5147, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2026b.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Polidori, Segal, Sheltrown and Womack

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5148, entitled

A bill to amend 1927 PA 175, entitled “The code of criminal procedure,” by amending section 15a of chapter XVII (MCL 777.15a), as added by 2002 PA 206.

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown and Womack

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5149, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035a.

Without amendment and with the recommendation that the bill pass.

The bill was referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5150, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2027a.

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

The Committee on Insurance, by Rep. Byrum, Chair, reported

House Bill No. 5151, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2090a.

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack and Rocca

Nays: Reps. Denby, Green, Haveman, Lund and Moore

COMMITTEE ATTENDANCE REPORT

The following report, submitted by Rep. Byrum, Chair, of the Committee on Insurance, was received and read:

Meeting held on: Wednesday, August 19, 2009

Present: Reps. Byrum, Young, Constan, Lemmons, Lipton, Neumann, Polidori, Segal, Sheltrown, Womack, Denby, Green, Haveman, Lund, Moore and Rocca

Absent: Rep. Marleau

Excused: Rep. Marleau

The Committee on Tax Policy, by Rep. Ebli, Chair, reported

Senate Bill No. 219, entitled

A bill to amend 2007 PA 36, entitled “Michigan business tax act,” by amending section 201 (MCL 208.1201), as amended by 2008 PA 168.

Without amendment and with the recommendation that the bill pass.

The bill was referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Ebli, Barnett, Coulouris, Robert Jones, Kandrevas, Lipton, Slezak, Warren, Calley, Kowall, Lund, Meekhof, Meltzer, Stamas and Walsh

Nays: None

COMMITTEE ATTENDANCE REPORT

The following report, submitted by Rep. Ebli, Chair, of the Committee on Tax Policy, was received and read:

Meeting held on: Wednesday, August 19, 2009

Present: Reps. Ebli, Barnett, Coulouris, Robert Jones, Kandrevas, Lipton, Slezak, Warren, Calley, Kowall, Lund, Meekhof, Meltzer, Stamas and Walsh

Absent: Reps. Melton and Mayes

Excused: Reps. Melton and Mayes

The Committee on Tourism, Outdoor Recreation and Natural Resources, by Rep. Slezak, Vice-Chair, reported

House Bill No. 4894, entitled

A bill to amend 1927 PA 372, entitled “An act to regulate and license the selling, purchasing, possessing, and carrying of certain firearms and gas ejecting devices; to prohibit the buying, selling, or carrying of certain firearms and gas ejecting devices without a license or other authorization; to provide for the forfeiture of firearms under certain circumstances; to provide for penalties and remedies; to provide immunity from civil liability under certain circumstances; to prescribe the powers and duties of certain state and local agencies; to prohibit certain conduct against individuals who apply for or receive a license to carry a concealed pistol; to make appropriations; to prescribe certain conditions for the appropriations; and to repeal all acts and parts of acts inconsistent with this act,” by amending section 2 (MCL 28.422), as amended by 2008 PA 406.

With the recommendation that the substitute (H-3) be adopted and that the bill then pass.

The bill and substitute were referred to the order of Second Reading of Bills.

Favorable Roll Call

To Report Out:

Yeas: Reps. Slezak, Ebli, Huckleberry, Lindberg, Stanley, Stamas, Bolger, Hansen and Horn

Nays: None

COMMITTEE ATTENDANCE REPORT

The following report, submitted by Rep. Slezak, Vice-Chair, of the Committee on Tourism, Outdoor Recreation and Natural Resources, was received and read:

Meeting held on: Wednesday, August 19, 2009

Present: Reps. Slezak, Ebli, Huckleberry, Lindberg, Stanley, Stamas, Bolger, Hansen and Horn

Absent: Reps. Sheltrown and Simpson

Excused: Reps. Sheltrown and Simpson

COMMITTEE ATTENDANCE REPORT

The following report, submitted by Rep. Donigan, Chair, of the Committee on Intergovernmental and Regional Affairs, was received and read:

Meeting held on: Tuesday, August 18, 2009

Present: Reps. Donigan, Barnett, Haugh, Robert Jones, Kennedy, Young, Lund, Denby, Meekhof and Wayne Schmidt

Absent: Rep. Bledsoe

Excused: Rep. Bledsoe

COMMITTEE ATTENDANCE REPORT

The following report, submitted by Rep. Lindberg, Chair, of the Committee on Labor, was received and read:

Meeting held on: Wednesday, August 19, 2009

Present: Reps. Lindberg, Kennedy, Kandrevas, Liss, Bettie Scott, Slezak, Young, Amash, Daley, Haveman and McMillin

Messages from the Senate

House Bill No. 4683, entitled

A bill to amend 1962 PA 192, entitled “Professional service corporation act,” by amending section 8 (MCL 450.228), as amended by 1998 PA 48.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Bill No. 4684, entitled

A bill to amend 1986 PA 157, entitled “Michigan export development act,” by amending section 10 (MCL 447.160), as amended by 2002 PA 302.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Bill No. 4686, entitled

A bill to amend 1931 PA 328, entitled “The Michigan penal code,” by amending sections 159g and 411j (MCL 750.159g and 750.411j), section 159g as amended by 2002 PA 124 and section 411j as amended by 2002 PA 136.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Bill No. 4687, entitled

A bill to amend 1961 PA 236, entitled “Revised judicature act of 1961,” by amending section 4701 (MCL 600.4701), as amended by 2007 PA 156.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Bill No. 4695, entitled

A bill to amend 1965 PA 314, entitled “Public employee retirement system investment act,” by amending section 13 (MCL 38.1133), as amended by 2008 PA 425.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Bill No. 4696, entitled

A bill to amend 1984 PA 270, entitled “Michigan strategic fund act,” by amending section 23 (MCL 125.2023), as amended by 2002 PA 556.

The Senate has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The House agreed to the full title.

The bill was referred to the Clerk for enrollment printing and presentation to the Governor on August 18, 2009.

House Concurrent Resolution No. 6.

A concurrent resolution to memorialize the President, the Congress, and the Department of Homeland Security of the United States to change requirements, agreements, and memorandums of understanding relating to the creation of Enhanced Drivers Licenses.

(For text of resolution, see House Journal No. 2, p. 31.)

The Senate has adopted the concurrent resolution and named Senator Barcia as co‑sponsor.

The concurrent resolution was referred to the Clerk for record.

House Bill No. 4083, entitled

A bill to amend 1984 PA 270, entitled “Michigan strategic fund act,” by amending section 11 (MCL 125.2011), as amended by 1987 PA 278.

The Senate has nonconcurred in the House substitute (H-1) to the Senate substitute (S-2) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

House Bill No. 4089, entitled

A bill to amend 1995 PA 24, entitled “Michigan economic growth authority act,” by amending sections 8 and 10 (MCL 207.808 and 207.810), section 8 as amended by 2008 PA 257 and section 10 as amended by 2006 PA 283.

The Senate has nonconcurred in the House substitute (H-1) to the Senate substitute (S-2) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

House Bill No. 4092, entitled

A bill to amend 1963 PA 62, entitled “Industrial development revenue bond act of 1963,” (MCL 125.1251 to 125.1267) by adding section 5a.

The Senate has nonconcurred in the House substitute (H-3) to the Senate substitute (S-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

House Bill No. 4093, entitled

A bill to amend 1974 PA 198, entitled “An act to provide for the establishment of plant rehabilitation districts and industrial development districts in local governmental units; to provide for the exemption from certain taxes; to levy and collect a specific tax upon the owners of certain facilities; to impose and provide for the disposition of an administrative fee; to provide for the disposition of the tax; to provide for the obtaining and transferring of an exemption certificate and to prescribe the contents of those certificates; to prescribe the powers and duties of the state tax commission and certain officers of local governmental units; and to provide penalties,” by amending section 4 (MCL 207.554), as amended by 2004 PA 437.

The Senate has nonconcurred in the House substitute (H-1) to the Senate substitute (S-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

House Bill No. 4094, entitled

A bill to amend 1987 PA 231, entitled “An act to create a transportation economic development fund in the state treasury; to prescribe the uses of and distributions from this fund; to create the office of economic development and to prescribe its powers and duties; to prescribe the powers and duties of the state transportation department, state transportation commission, and certain other bodies; and to permit the issuance of certain bonds,” by amending section 13 (MCL 247.913) and by adding section 9a.

The Senate has nonconcurred in the House substitute (H-3) to the Senate substitute (S-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

House Bill No. 4438, entitled

A bill to make appropriations for the department of education and certain other purposes relating to education for the fiscal year ending September 30, 2010; to provide for the expenditure of the appropriations; and to provide for the disposition of fees and other income received by the state agency.

The Senate has nonconcurred in the House substitute (H-3) to the Senate substitute (S-1) and appointed Senators Jelinek, Brown and Switalski as conferees.

The message was referred to the Clerk for record.

Senate Bill No. 290, entitled

A bill to amend 1996 PA 381, entitled “Brownfield redevelopment financing act,” by amending section 15 (MCL 125.2665), as amended by 2007 PA 201.

The Senate has nonconcurred in the House substitute (H-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

Senate Bill No. 293, entitled

A bill to amend 1996 PA 376, entitled “Michigan renaissance zone act,” by amending section 15 (MCL 125.2695) and by adding sections 8g and 8h.

The Senate has nonconcurred in the House substitute (H-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

Senate Bill No. 295, entitled

A bill to amend 2000 PA 146, entitled “Obsolete property rehabilitation act,” by amending section 8 (MCL 125.2788), as amended by 2008 PA 504.

The Senate has nonconcurred in the House substitute (H-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

Senate Bill No. 296, entitled

A bill to amend 2007 PA 36, entitled “Michigan business tax act,” by amending section 435 (MCL 208.1435), as amended by 2008 PA 448.

The Senate has nonconcurred in the House substitute (H-1) and appointed Senators Allen, Gilbert and Clarke as conferees.

The message was referred to the Clerk for record.

______

The Speaker Pro Tempore called Associate Speaker Pro Tempore Jackson to the Chair.

By unanimous consent the House returned to the order of

Motions and Resolutions

By unanimous consent the House considered House Resolution No. 142 out of numerical order.

The Speaker, on behalf of the entire membership of the House of Representatives, offered the following resolution:

House Resolution No. 142.

A resolution of tribute offered as a memorial for Jim Connors, former member of the House of Representatives.

Whereas, The members of this legislative body were saddened to learn of the passing of Jim Connors, a member of the Eighty-third and Eighty-fourth Legislatures. This conscientious gentleman devoted much of his life to public service in some capacity, and his commitment to others will long be remembered far beyond his beloved family and friends; and

Whereas, A proud and loyal son of the U.P., Jim Connors was born in Matchwood in Ontonagon County, earned his bachelor’s degree at Northern Michigan University, and later earned his master’s degree in social work from Wayne State University. An Army veteran who served 2 years in Germany, Jim Connors devoted his considerable skills and compassion to those in need. He worked as a social worker for a Cuban refugee program within the Marquette Diocese, later becoming director of Catholic Social Services in Iron County. His talents were also channeled through responsibilities with the Dickinson County Friend of the Court and the Dickinson-Iron Intermediate School District and through his efforts in the insurance industry; and

Whereas, A longtime stalwart of numerous civic and charitable organizations, Jim Connors brought this strong sense of concern to Lansing in 1985 following his election as State Representative. In his 2 terms as a lawmaker, he demonstrated a deep understanding of the challenges facing Michigan families. Even after his legislative tenure, he worked on behalf of his community and our state as a key staff member for former Senator Koivisto; now, therefore, be it

Resolved by the House of Representatives, That we offer this expression of our highest tribute to honor the memory of Jim Connors, a member of this legislative body from 1985 to 1988; and be it further

Resolved, That copies of this resolution be transmitted to the Connors family as evidence of our lasting esteem for his memory.

The question being on the adoption of the resolution,

The resolution was adopted by unanimous standing vote.

Rep. Angerer moved that Rule 42 be suspended.

The motion prevailed, 3/5 of the members present voting therefor.

Rep. Angerer moved that the Committee on Appropriations be discharged from further consideration of Senate Bill No. 334.

The motion prevailed, a majority of the members serving voting therefor.

The bill was placed on the order of Second Reading of Bills.

Second Reading of Bills

Senate Bill No. 334, entitled

A bill to make, supplement, and adjust appropriations for various state departments and agencies for the fiscal year ending September 30, 2009; to provide for the expenditure of the appropriations; and to repeal acts and parts of acts.

The bill was read a second time.

Rep. Cushingberry moved to substitute (H-1) the bill.

The motion prevailed and the substitute (H-1) was adopted, a majority of the members serving voting therefor.

Rep. McDowell moved to amend the bill as follows:

1. Amend page 11, line 9, by striking out “(316,500)” and inserting “622,400”.

2. Amend page 11, line 13, by striking out “1,023,300” and inserting “1,962,200” and adjusting the subtotals, totals, and section 201 accordingly.

3. Amend page 13, following line 7, by inserting:

“Sec. 302. The department of community health shall review contract policies for the women, infants, and children program in an effort to maximize vendor participation while not undermining the amount of program resources available to individuals.”.

4. Amend page 14, line 6, after “1001.” by striking out the balance of the line and renumbering the remaining subsections.

5. Amend page 14, line 8, by striking out all of subsection (3) and renumbering the remaining subsections.

The motion prevailed and the amendments were adopted, a majority of the members serving voting therefor.

Rep. Angerer moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

______

Rep. Angerer moved that Rep. Dillon be excused temporarily from today’s session.

The motion prevailed.

By unanimous consent the House returned to the order of

Third Reading of Bills

Senate Bill No. 334, entitled

A bill to make, supplement, and adjust appropriations for various state departments and agencies for the fiscal year ending September 30, 2009; to provide for the expenditure of the appropriations; and to repeal acts and parts of acts.

The bill was read a third time.

The question being on the passage of the bill,

Rep. Smith moved to amend the bill as follows:

1. Amend page 13, following line 7, by inserting:

“DEPARTMENT OF CORRECTIONS

Sec. 351. At least 90 days before beginning any effort to privatize, except for the current effort to privatize and contract for prisoner mental health services which is necessitated by the critical need for prisoner mental health treatment staff, the department shall submit a complete project plan to the appropriate senate and house appropriations subcommittees and the senate and house fiscal agencies. The plan shall include the criteria under which the privatization initiative will be evaluated. The evaluation shall be completed and submitted to the appropriate senate and house appropriations subcommittees and the senate and house fiscal agencies within 30 months. In the case of the current effort to privatize and contract for prisoner mental health services, the department shall submit a complete project plan to the appropriate senate and house appropriations committee chairs and appropriate senate and house appropriations subcommittee chairs as well as the senate and house fiscal agency and state budget office 10 days prior to beginning the effort.

Sec. 352. (1) Before privatizing any services or activities currently provided by state employees in the department, except for the privatization of prisoner mental health services which is necessitated by a critical shortage of mental health professional staff, the department shall submit to the senate and house appropriations committees a preprivatization cost-benefit analysis. This analysis shall utilize accurate, reliable, and objective data. Included in this analysis shall be a comparative estimate of the costs that will be incurred by this state over the life of the contract if 1 or both of the following occur:

(a) The service or activity continues to be provided by state employees.

(b) The service or activity is privatized. The costs of privatizing these services shall include the costs of all necessary monitoring and oversight of the private entity by this state. In all cases, including the provision of prisoner mental health services, these private entities shall be adequately bonded, so as not to expose the state to any potential future liability or legal causes of action.

(2) The department shall not commence any efforts to privatize the services or activities currently provided by state employees under part 1, except for prisoner mental health services, until the cost-benefit analysis prescribed by subsection (1) has been sent to both the senate and house appropriations committees 14 days prior to the efforts to privatize, and proves a cost savings of at least 5% of the costs of continuing to use state employees in providing the services or activities. Prior to awarding a contract for the provision of prisoner mental health treatment services, a cost-benefit analysis shall be completed as specified in subsection (1) above and submitted to the appropriate senate and house appropriations committee chairs and appropriate senate and house appropriations subcommittee chairs as well as the senate and house fiscal agency and state budget office not less than 7 days prior to awarding a contract.

(3) A private contractor with a contract with this state that expends state or federal tax dollars shall have all records pertinent to state contracts, including all records detailing compliance with section 209, be subject to disclosure to the department or the department of management and budget.

(4) State employees shall be given the opportunity to bid on contracts that privatize services that are or were provided by state employees. If the contract is awarded to any state employee, he or she ceases being an employee of the state.”.

2. Amend page 14, following line 16, by inserting:

“(12) Section 207 of 2008 PA 245 is repealed.

(13) Section 207a of 2008 PA 245 is repealed.”.

The motion was seconded and the amendments were adopted, a majority of the members serving voting therefor.

The question being on the passage of the bill,

The bill was then passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 371 Yeas—62

Angerer Ebli LeBlanc Schmidt, R.

Barnett Espinoza Leland Scott, B.

Bauer Geiss Lemmons Scripps

Bledsoe Gonzales Lindberg Segal

Brown, L. Gregory Lipton Sheltrown

Brown, T. Griffin Liss Simpson

Byrnes Haase Mayes Slavens

Byrum Hammel McDowell Slezak

Clemente Haugh Meadows Smith

Constan Huckleberry Melton Spade

Corriveau Jackson Miller Stanley

Coulouris Johnson Nathan Switalski

Cushingberry Jones, Robert Neumann Tlaib

Dean Kandrevas Polidori Warren

Donigan Kennedy Roberts Womack

Durhal Lahti

Nays—44

Agema Elsenheimer Kurtz Pearce

Amash Genetski Lori Proos

Ball Green Lund Rocca

Bolger Haines Marleau Rogers

Booher Hansen McMillin Schmidt, W.

Calley Haveman Meekhof Schuitmaker

Caul Hildenbrand Meltzer Scott, P.

Crawford Horn Moore Stamas

Daley Jones, Rick Moss Tyler

Denby Knollenberg Opsommer Walsh

DeShazor Kowall Pavlov Young

In The Chair: Jackson

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Agema, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

This bill was not presented until the very last minute and includes $450 million of additional spending. The amendments presented at the last minute also were not voted on. This isn’t democracy.”

Second Reading of Bills

House Bill No. 4999, entitled

A bill to amend 1949 PA 300, entitled “Michigan vehicle code,” by amending section 722 (MCL 257.722), as amended by 2008 PA 579.

Was read a second time, and the question being on the adoption of the proposed substitute (H-1) previously recommended by the Committee on Energy and Technology,

The substitute (H-1) was adopted, a majority of the members serving voting therefor.

Rep. Mayes moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 4999, entitled

A bill to amend 1949 PA 300, entitled “Michigan vehicle code,” by amending section 722 (MCL 257.722), as amended by 2008 PA 579.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 372 Yeas—100

Agema Donigan Knollenberg Polidori

Amash Durhal Kowall Proos

Angerer Ebli LeBlanc Roberts

Ball Elsenheimer Leland Rocca

Barnett Espinoza Lemmons Rogers

Bauer Geiss Lindberg Schmidt, R.

Bledsoe Genetski Liss Schmidt, W.

Bolger Green Lori Schuitmaker

Booher Gregory Lund Scott, B.

Brown, L. Griffin Marleau Scott, P.

Brown, T. Haase Mayes Scripps

Byrnes Haines McDowell Segal

Byrum Hammel McMillin Sheltrown

Calley Hansen Meadows Simpson

Caul Haugh Meekhof Slavens

Clemente Haveman Melton Slezak

Constan Hildenbrand Meltzer Smith

Corriveau Horn Miller Spade

Coulouris Huckleberry Moore Stamas

Crawford Jackson Moss Stanley

Cushingberry Johnson Nathan Switalski

Daley Jones, Rick Neumann Tyler

Dean Jones, Robert Opsommer Walsh

Denby Kandrevas Pavlov Warren

DeShazor Kennedy Pearce Womack

Nays—6

Gonzales Lahti Tlaib Young

Kurtz Lipton

In The Chair: Jackson

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

The Speaker Pro Tempore resumed the Chair.

Second Reading of Bills

House Bill No. 4846, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” by amending section 2038 (MCL 500.2038).

Was read a second time, and the question being on the adoption of the proposed substitute (H-4) previously recommended by the Committee on Insurance,

The substitute (H-4) was adopted, a majority of the members serving voting therefor.

Rep. Slezak moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 4846, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” by amending section 2038 (MCL 500.2038).

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 373 Yeas—65

Angerer Ebli LeBlanc Schmidt, R.

Barnett Espinoza Leland Scott, B.

Bauer Geiss Lemmons Scripps

Bledsoe Gonzales Lindberg Segal

Brown, L. Gregory Lipton Sheltrown

Brown, T. Griffin Liss Simpson

Byrnes Haase Mayes Slavens

Byrum Hammel McDowell Slezak

Clemente Haugh Meadows Smith

Constan Huckleberry Melton Spade

Corriveau Jackson Miller Stanley

Coulouris Johnson Nathan Switalski

Cushingberry Jones, Robert Neumann Tlaib

Dean Kandrevas Polidori Warren

Dillon Kennedy Roberts Womack

Donigan Lahti Rocca Young

Durhal

Nays—42

Agema Elsenheimer Kurtz Pavlov

Amash Genetski Lori Pearce

Ball Green Lund Proos

Bolger Haines Marleau Rogers

Booher Hansen McMillin Schmidt, W.

Calley Haveman Meekhof Schuitmaker

Caul Hildenbrand Meltzer Scott, P.

Crawford Horn Moore Stamas

Daley Jones, Rick Moss Tyler

Denby Knollenberg Opsommer Walsh

DeShazor Kowall

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Second Reading of Bills

House Bill No. 5149, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035a.

The bill was read a second time.

Rep. Ebli moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 5149, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035a.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 374 Yeas—63

Angerer Durhal Leland Scott, B.

Barnett Ebli Lemmons Scripps

Bauer Espinoza Lindberg Segal

Bledsoe Geiss Lipton Sheltrown

Brown, L. Gonzales Liss Simpson

Brown, T. Gregory Mayes Slavens

Byrnes Haase McDowell Slezak

Byrum Hammel Meadows Smith

Clemente Haugh Melton Spade

Constan Huckleberry Miller Stanley

Corriveau Jackson Nathan Switalski

Coulouris Johnson Neumann Tlaib

Cushingberry Jones, Robert Polidori Warren

Dean Kandrevas Roberts Womack

Dillon Kennedy Rocca Young

Donigan LeBlanc Schmidt, R.

Nays—44

Agema Elsenheimer Kowall Opsommer

Amash Genetski Kurtz Pavlov

Ball Green Lahti Pearce

Bolger Griffin Lori Proos

Booher Haines Lund Rogers

Calley Hansen Marleau Schmidt, W.

Caul Haveman McMillin Schuitmaker

Crawford Hildenbrand Meekhof Scott, P.

Daley Horn Meltzer Stamas

Denby Jones, Rick Moore Tyler

DeShazor Knollenberg Moss Walsh

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Second Reading of Bills

House Bill No. 4244, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2090.

Was read a second time, and the question being on the adoption of the proposed substitute (H-2) previously recommended by the Committee on Insurance,

The substitute (H-2) was adopted, a majority of the members serving voting therefor.

Rep. Denby moved to amend the bill as follows:

1. Amend page 3, following line 19, by inserting:

“(4) AN ACTION UNDER THIS SECTION SHALL NOT BE BROUGHT UNTIL THE INDIVIDUAL HAS FILED A COMPLAINT WITH THE OFFICE OF FINANCIAL AND INSURANCE REGULATION AND EXHAUSTED ALL AVAILABLE ADMINISTRATIVE REMEDIES. IF THE COMMISSIONER HAS FAILED TO ISSUE A FINDING IN THE MATTER WITHIN 120 DAYS OF THE FILING OF THE COMPLAINT, ALL ADMINISTRATIVE REMEDIES WILL BE CONSIDERED EXHAUSTED.” and renumbering the remaining subsection.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Green moved to amend the bill as follows:

1. Amend page 3, following line 19, by inserting:

“(4) IF, IN AWARDING A REASONABLE ATTORNEY FEE UNDER THIS SECTION, A COURT AWARDS THE ATTORNEY FEE AS A PERCENTAGE OF THE AMOUNT RECOVERED, THE COURT SHALL NOT AWARD AN ATTORNEY FEE THAT IS MORE THAN THE SUM OF THE FOLLOWING:

(A) ONE-THIRD OF THE AMOUNT RECOVERED THAT IS $100,000.00 OR LESS.

(B) FIFTEEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $100,000.00 AND THAT IS $500,000.00 OR LESS.

(C) TEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $500,000.00.” and renumbering the remaining subsection.

The question being on the adoption of the amendment offered by Rep. Green,

Rep. Green demanded the yeas and nays.

The demand was supported.

The question being on the adoption of the amendment offered by Rep. Green,

The amendment was adopted, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 375 Yeas—57

Agema Espinoza Kowall Proos

Amash Geiss Kurtz Rocca

Ball Genetski Liss Rogers

Bolger Green Lori Schmidt, R.

Booher Haase Lund Schmidt, W.

Brown, T. Haines Marleau Schuitmaker

Calley Hansen McMillin Scott, P.

Caul Haveman Meekhof Segal

Corriveau Hildenbrand Meltzer Slavens

Crawford Horn Moore Stamas

Daley Huckleberry Moss Tlaib

Dean Jones, Rick Opsommer Tyler

Denby Kennedy Pavlov Walsh

DeShazor Knollenberg Pearce Womack

Elsenheimer

Nays—49

Angerer Ebli Leland Roberts

Barnett Gonzales Lemmons Scott, B.

Bauer Gregory Lindberg Scripps

Bledsoe Griffin Lipton Sheltrown

Brown, L. Hammel Mayes Simpson

Byrnes Haugh McDowell Slezak

Byrum Jackson Meadows Smith

Clemente Johnson Melton Spade

Constan Jones, Robert Miller Stanley

Coulouris Kandrevas Nathan Switalski

Cushingberry Lahti Neumann Warren

Donigan LeBlanc Polidori Young

Durhal

In The Chair: Byrnes

Rep. Bauer moved to amend the bill as follows:

1. Amend page 3, line 21, after the second “INSURER,” by striking out the balance of the sentence and inserting “OR A COMMERCIAL PROPERTY INSURER.”.

The motion prevailed and the amendment was adopted, a majority of the members serving voting therefor.

Rep. Simpson moved to substitute (H-3) the bill.

The motion prevailed and the substitute (H-3) was adopted, a majority of the members serving voting therefor.

Rep. Simpson moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 4244, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2090.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 376 Yeas—62

Angerer Ebli Lemmons Scott, B.

Barnett Espinoza Lindberg Scripps

Bauer Geiss Lipton Segal

Bledsoe Gonzales Liss Sheltrown

Brown, L. Gregory Mayes Simpson

Brown, T. Griffin McDowell Slavens

Byrnes Haase Meadows Slezak

Byrum Haugh Melton Smith

Clemente Huckleberry Miller Spade

Constan Jackson Nathan Stanley

Corriveau Johnson Neumann Switalski

Coulouris Jones, Robert Polidori Tlaib

Cushingberry Kandrevas Roberts Warren

Dean Kennedy Rocca Womack

Donigan Lahti Schmidt, R. Young

Durhal Leland

Nays—44

Agema Elsenheimer Kowall Opsommer

Amash Genetski Kurtz Pavlov

Ball Green LeBlanc Pearce

Bolger Haines Lori Proos

Booher Hammel Lund Rogers

Calley Hansen Marleau Schmidt, W.

Caul Haveman McMillin Schuitmaker

Crawford Hildenbrand Meekhof Scott, P.

Daley Horn Meltzer Stamas

Denby Jones, Rick Moore Tyler

DeShazor Knollenberg Moss Walsh

In The Chair: Byrnes

The question being on agreeing to the title of the bill,

Rep. Angerer moved to amend the title to read as follows:

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2027a.

The motion prevailed.

The House agreed to the title as amended.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Angerer moved that Rep. Dillon be excused temporarily from today’s session.

The motion prevailed.

Second Reading of Bills

House Bill No. 4844, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 3149.

Was read a second time, and the question being on the adoption of the proposed substitute (H-2) previously recommended by the Committee on Insurance,

The substitute (H-2) was adopted, a majority of the members serving voting therefor.

Rep. Denby moved to amend the bill as follows:

1. Amend page 3, following line 19, by inserting:

“(3) AN ACTION UNDER THIS SECTION SHALL NOT BE BROUGHT UNTIL THE INDIVIDUAL HAS FILED A COMPLAINT WITH THE OFFICE OF FINANCIAL AND INSURANCE REGULATION AND EXHAUSTED ALL AVAILABLE ADMINISTRATIVE REMEDIES. IF THE COMMISSIONER HAS FAILED TO ISSUE A FINDING IN THE MATTER WITHIN 120 DAYS OF THE FILING OF THE COMPLAINT, ALL ADMINISTRATIVE REMEDIES WILL BE CONSIDERED EXHAUSTED.”.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Lund moved to amend the bill as follows:

1. Amend page 3, following line 19, by inserting:

“(3) IF AN INSURER PREVAILS IN AN ACTION BROUGHT UNDER THIS SECTION, THE COURT SHALL AWARD THE PREVAILING INSURER AN ATTORNEY FEE TO BE PAID BY THE NONPREVAILING PARTY. THE ATTORNEY FEE SHALL BE REASONABLE AND CALCULATED BASED ON AN HOURLY RATE THAT DOES NOT EXCEED A RATE THAT THE COURT CONSIDERS ACCEPTABLE IN THE COMMUNITY IN WHICH THE ATTORNEY PRACTICES LAW. IF UPON THE MOTION OF THE PREVAILING INSURER THE COURT FINDS THAT AN ACTION UNDER THIS SECTION WAS FRIVOLOUS, THE COURT SHALL AWARD TO THE PREVAILING INSURER THE GREATER OF $10,000.00 OR 3 TIMES THE COSTS AND FEES INCURRED BY THAT PARTY IN CONNECTION WITH THE ACTION BY ASSESSING THE COSTS AND FEES AGAINST THE NONPREVAILING PARTY AND THE NONPREVAILING PARTY’S ATTORNEY. AS USED IN THIS SUBSECTION AND SUBSECTION (4), “FRIVOLOUS” MEANS THAT THE PARTY’S PRIMARY PURPOSE IN INITIATING THE ACTION WAS TO HARASS, EMBARRASS, OR INJURE THE INSURER.

(4) IN ADDITION TO OTHER COSTS AND FEES AWARDED UNDER THIS SECTION, THE COURT MAY IMPOSE AN APPROPRIATE SANCTION ON THE ATTORNEYS, LAW FIRMS, OR PARTIES THAT INITIATED THE ACTION FOUND TO BE FRIVOLOUS. A SANCTION IMPOSED UNDER THIS SUBSECTION SHALL NOT EXCEED AN AMOUNT SUFFICIENT TO DETER THE REPETITION OF THE CONDUCT OR COMPARABLE CONDUCT BY OTHERS SIMILARLY SITUATED.”.

The question being on the adoption of the amendment offered by Rep. Lund,

Rep. Lund demanded the yeas and nays.

The demand was supported.

The question being on the adoption of the amendment offered by Rep. Lund,

The amendment was adopted, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 377 Yeas—69

Agema Espinoza Kowall Pavlov

Amash Geiss Kurtz Pearce

Angerer Genetski Leland Proos

Ball Green Lindberg Roberts

Bolger Gregory Lori Rogers

Booher Griffin Lund Schmidt, W.

Brown, L. Haase Marleau Schuitmaker

Brown, T. Haines Mayes Scott, P.

Calley Hansen McDowell Segal

Caul Haugh McMillin Sheltrown

Clemente Haveman Meekhof Simpson

Crawford Hildenbrand Melton Slavens

Daley Horn Meltzer Spade

Denby Huckleberry Moore Stamas

DeShazor Jones, Rick Moss Tyler

Donigan Kennedy Neumann Walsh

Ebli Knollenberg Opsommer Womack

Elsenheimer

Nays—37

Barnett Durhal Lemmons Scott, B.

Bauer Gonzales Lipton Scripps

Bledsoe Hammel Liss Slezak

Byrnes Jackson Meadows Smith

Byrum Johnson Miller Stanley

Constan Jones, Robert Nathan Switalski

Corriveau Kandrevas Polidori Tlaib

Coulouris Lahti Rocca Warren

Cushingberry LeBlanc Schmidt, R. Young

Dean

In The Chair: Byrnes

Rep. Green moved to amend the bill as follows:

1. Amend page 3, following line 19, by inserting:

“(3) IF, IN AWARDING A REASONABLE ATTORNEY FEE UNDER THIS SECTION, A COURT AWARDS THE ATTORNEY FEE AS A PERCENTAGE OF THE AMOUNT RECOVERED, THE COURT SHALL NOT AWARD AN ATTORNEY FEE THAT IS MORE THAN THE SUM OF THE FOLLOWING:

(A) ONE-THIRD OF THE AMOUNT RECOVERED THAT IS $100,000.00 OR LESS.

(B) FIFTEEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $100,000.00 AND THAT IS $500,000.00 OR LESS.

(C) TEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $500,000.00.”.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Haveman moved to amend the bill as follows:

1. Amend page 1, line 2, after “ACT” by striking out “HAS” and inserting “AND AN ATTORNEY HAVE”.

2. Amend page 1, line 4, after “INSURER” by inserting “OR AN ATTORNEY”.

3. Amend page 3, line 18, after “INSURER” by inserting “OR AN ATTORNEY”.

The question being on the adoption of the amendments offered by Rep. Haveman,

Rep. Haveman demanded the yeas and nays.

The demand was supported.

The question being on the adoption of the amendments offered by Rep. Haveman,

The amendments were adopted, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 378 Yeas—63

Agema Geiss Lori Rogers

Angerer Genetski Lund Schmidt, W.

Ball Green Marleau Schuitmaker

Bledsoe Griffin Mayes Scott, P.

Bolger Haase McMillin Scripps

Booher Haines Meekhof Segal

Brown, L. Hansen Melton Sheltrown

Calley Haveman Meltzer Simpson

Caul Hildenbrand Moore Slavens

Clemente Horn Moss Slezak

Crawford Huckleberry Neumann Spade

Daley Jones, Rick Opsommer Stamas

Denby Kennedy Pavlov Tyler

DeShazor Knollenberg Pearce Walsh

Ebli Kowall Proos Womack

Elsenheimer Kurtz Roberts

Nays—43

Amash Donigan Lahti Polidori

Barnett Durhal LeBlanc Rocca

Bauer Espinoza Leland Schmidt, R.

Brown, T. Gonzales Lemmons Scott, B.

Byrnes Gregory Lindberg Smith

Byrum Hammel Lipton Stanley

Constan Haugh Liss Switalski

Corriveau Jackson McDowell Tlaib

Coulouris Johnson Meadows Warren

Cushingberry Jones, Robert Miller Young

Dean Kandrevas Nathan

In The Chair: Byrnes

Rep. Nathan moved to substitute (H-3) the bill.

The motion prevailed and the substitute (H-3) was adopted, a majority of the members serving voting therefor.

Rep. Nathan moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 4844, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 3149.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 379 Yeas—59

Angerer Ebli Leland Scripps

Barnett Espinoza Lindberg Segal

Bauer Geiss Lipton Sheltrown

Bledsoe Gonzales Liss Simpson

Brown, L. Gregory Mayes Slavens

Brown, T. Griffin McDowell Slezak

Byrnes Haase Meadows Smith

Byrum Haugh Melton Spade

Clemente Huckleberry Miller Stanley

Constan Jackson Nathan Switalski

Corriveau Johnson Neumann Tlaib

Coulouris Jones, Robert Roberts Warren

Cushingberry Kandrevas Rocca Womack

Dean Kennedy Schmidt, R. Young

Donigan Lahti Scott, B.

Nays—47

Agema Elsenheimer Kurtz Pavlov

Amash Genetski LeBlanc Pearce

Ball Green Lemmons Polidori

Bolger Haines Lori Proos

Booher Hammel Lund Rogers

Calley Hansen Marleau Schmidt, W.

Caul Haveman McMillin Schuitmaker

Crawford Hildenbrand Meekhof Scott, P.

Daley Horn Meltzer Stamas

Denby Jones, Rick Moore Tyler

DeShazor Knollenberg Moss Walsh

Durhal Kowall Opsommer

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Second Reading of Bills

House Bill No. 5020, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2203.

Was read a second time, and the question being on the adoption of the proposed substitute (H-2) previously recommended by the Committee on Insurance,

The substitute (H-2) was adopted, a majority of the members serving voting therefor.

Rep. Denby moved to amend the bill as follows:

1. Amend page 3, following line 18, by inserting:

“(3) AN ACTION UNDER THIS SECTION SHALL NOT BE BROUGHT UNTIL THE INDIVIDUAL HAS FILED A COMPLAINT WITH THE OFFICE OF FINANCIAL AND INSURANCE REGULATION AND EXHAUSTED ALL AVAILABLE ADMINISTRATIVE REMEDIES. IF THE COMMISSIONER HAS FAILED TO ISSUE A FINDING IN THE MATTER WITHIN 120 DAYS OF THE FILING OF THE COMPLAINT, ALL ADMINISTRATIVE REMEDIES WILL BE CONSIDERED EXHAUSTED.” and renumbering the remain subsection.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Lund moved to amend the bill as follows:

1. Amend page 3, following line 18, by inserting:

“(3) IF AN INSURER PREVAILS IN AN ACTION BROUGHT UNDER THIS SECTION, THE COURT SHALL AWARD THE PREVAILING INSURER AN ATTORNEY FEE TO BE PAID BY THE NONPREVAILING PARTY. THE ATTORNEY FEE SHALL BE REASONABLE AND CALCULATED BASED ON AN HOURLY RATE THAT DOES NOT EXCEED A RATE THAT THE COURT CONSIDERS ACCEPTABLE IN THE COMMUNITY IN WHICH THE ATTORNEY PRACTICES LAW. IF UPON THE MOTION OF THE PREVAILING INSURER THE COURT FINDS THAT AN ACTION UNDER THIS SECTION WAS FRIVOLOUS, THE COURT SHALL AWARD TO THE PREVAILING INSURER THE GREATER OF $10,000.00 OR 3 TIMES THE COSTS AND FEES INCURRED BY THAT PARTY IN CONNECTION WITH THE ACTION BY ASSESSING THE COSTS AND FEES AGAINST THE NONPREVAILING PARTY AND THE NONPREVAILING PARTY’S ATTORNEY.

(4) IN ADDITION TO OTHER COSTS AND FEES AWARDED UNDER THIS SECTION, THE COURT MAY IMPOSE AN APPROPRIATE SANCTION ON THE ATTORNEYS, LAW FIRMS, OR PARTIES THAT INITIATED THE ACTION FOUND TO BE FRIVOLOUS. A SANCTION IMPOSED UNDER THIS SUBSECTION SHALL NOT EXCEED AN AMOUNT SUFFICIENT TO DETER THE REPETITION OF THE CONDUCT OR COMPARABLE CONDUCT BY OTHERS SIMILARLY SITUATED.” and renumbering the remaining subsection.

2. Amend page 3, line 19, after “SECTION” by striking out the comma and inserting a colon and:

“(A) “FRIVOLOUS” MEANS THAT THE PARTY’S PRIMARY PURPOSE IN INITIATING THE ACTION WAS TO HARASS, EMBARRASS, OR INJURE THE PREVAILING PARTY.

(B)”.

The motion did not prevail and the amendments were not adopted, a majority of the members serving not voting therefor.

Rep. Green moved to amend the bill as follows:

1. Amend page 3, following line 18, by inserting:

“(3) IF, IN AWARDING A REASONABLE ATTORNEY FEE UNDER THIS SECTION, A COURT AWARDS THE ATTORNEY FEE AS A PERCENTAGE OF THE AMOUNT RECOVERED, THE COURT SHALL NOT AWARD AN ATTORNEY FEE THAT IS MORE THAN THE SUM OF THE FOLLOWING:

(A) ONE-THIRD OF THE AMOUNT RECOVERED THAT IS $100,000.00 OR LESS.

(B) FIFTEEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $100,000.00 AND THAT IS $500,000.00 OR LESS.

(C) TEN PERCENT OF ANY AMOUNT RECOVERED THAT IS MORE THAN $500,000.00.” and renumbering the remaining subsection.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Haveman moved to amend the bill as follows:

1. Amend page 1, line 3, by striking out “HAS” and inserting “AND AN ATTORNEY HAVE”.

2. Amend page 1, line 4, after “INSURER” by inserting “OR AN ATTORNEY”.

3. Amend page 3, line 17, after “INSURER” by inserting “OR ATTORNEY”.

The motion did not prevail and the amendments were not adopted, a majority of the members serving not voting therefor.

Rep. Angerer moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 5020, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2203.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 380 Yeas—61

Angerer Ebli Lemmons Scott, B.

Barnett Espinoza Lindberg Scripps

Bauer Geiss Lipton Segal

Bledsoe Gonzales Liss Sheltrown

Brown, L. Gregory Mayes Simpson

Brown, T. Griffin McDowell Slavens

Byrnes Haase Meadows Slezak

Byrum Haugh Melton Smith

Clemente Huckleberry Miller Spade

Constan Jackson Nathan Stanley

Corriveau Johnson Neumann Switalski

Coulouris Jones, Robert Polidori Tlaib

Cushingberry Kandrevas Roberts Warren

Dean Kennedy Rocca Womack

Donigan Leland Schmidt, R. Young

Durhal

Nays—45

Agema Genetski Kurtz Opsommer

Amash Green Lahti Pavlov

Ball Haines LeBlanc Pearce

Bolger Hammel Lori Proos

Booher Hansen Lund Rogers

Calley Haveman Marleau Schmidt, W.

Caul Hildenbrand McMillin Schuitmaker

Crawford Horn Meekhof Scott, P.

Daley Jones, Rick Meltzer Stamas

Denby Knollenberg Moore Tyler

DeShazor Kowall Moss Walsh

Elsenheimer

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Agema, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

Many of these bills, including this one, are tie barred to bad legislation. They should be voted on based on their own merit.”

Second Reading of Bills

House Bill No. 5144, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035.

Was read a second time, and the question being on the adoption of the proposed substitute (H-1) previously recommended by the Committee on Insurance,

The substitute (H-1) was adopted, a majority of the members serving voting therefor.

Rep. Haveman moved to amend the bill as follows:

1. Amend page 1, line 2, after the first “ACT” by inserting “OR A FULL-TIME OR PART-TIME EMPLOYEE OF AN ATTORNEY OR LAW FIRM”.

2. Amend page 1, line 3, after “INSURANCE” by inserting “OR LAW”.

3. Amend page 1, line 5, after the second “THE” by inserting “INSURER”.

The motion did not prevail and the amendments were not adopted, a majority of the members serving not voting therefor.

Rep. Roberts moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 5144, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2035.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 381 Yeas—63

Angerer Ebli Leland Scott, B.

Barnett Espinoza Lemmons Scripps

Bauer Geiss Lindberg Segal

Bledsoe Gonzales Lipton Sheltrown

Brown, L. Gregory Liss Simpson

Brown, T. Griffin Mayes Slavens

Byrnes Haase McDowell Slezak

Byrum Hammel Meadows Smith

Clemente Haugh Melton Spade

Constan Huckleberry Miller Stanley

Corriveau Jackson Nathan Switalski

Coulouris Johnson Neumann Tlaib

Cushingberry Jones, Robert Polidori Warren

Dean Kandrevas Roberts Womack

Donigan Kennedy Rocca Young

Durhal LeBlanc Schmidt, R.

Nays—43

Agema Elsenheimer Kurtz Pavlov

Amash Genetski Lahti Pearce

Ball Green Lori Proos

Bolger Haines Lund Rogers

Booher Hansen Marleau Schmidt, W.

Calley Haveman McMillin Schuitmaker

Caul Hildenbrand Meekhof Scott, P.

Crawford Horn Meltzer Stamas

Daley Jones, Rick Moore Tyler

Denby Knollenberg Moss Walsh

DeShazor Kowall Opsommer

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

______

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Agema, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

This is another bill tie barred to bad bills. The concept is good but the other bills are not.”

Second Reading of Bills

House Bill No. 5145, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2026c.

Was read a second time, and the question being on the adoption of the proposed substitute (H-2) previously recommended by the Committee on Insurance,

The substitute (H-2) was adopted, a majority of the members serving voting therefor.

Rep. Lund moved to amend the bill as follows:

1. Amend page 1, following line 5, by inserting:

“(2) IF A VIOLATION BY AN ATTORNEY OR LAW FIRM IS THE SECOND OR A SUBSEQUENT VIOLATION OF THIS ACT BY THE ATTORNEY OR LAW FIRM, AFTER NOTICE AND AN OPPORTUNITY FOR A HEARING AND ON ORDER OF THE COMMISSIONER, THE ATTORNEY OR LAW FIRM IS SUBJECT TO AN ADMINISTRATIVE FINE OF $1,000,000.00.” and renumbering the remaining subsection.

The motion did not prevail and the amendment was not adopted, a majority of the members serving not voting therefor.

Rep. Huckleberry moved that the bill be placed on the order of Third Reading of Bills.

The motion prevailed.

Rep. Angerer moved that the bill be placed on its immediate passage.

The motion prevailed, a majority of the members serving voting therefor.

By unanimous consent the House returned to the order of

Third Reading of Bills

House Bill No. 5145, entitled

A bill to amend 1956 PA 218, entitled “The insurance code of 1956,” (MCL 500.100 to 500.8302) by adding section 2026c.

Was read a third time and passed, a majority of the members serving voting therefor, by yeas and nays, as follows:

Roll Call No. 382 Yeas—60

Angerer Ebli Lemmons Scott, B.

Barnett Espinoza Lindberg Scripps

Bledsoe Geiss Lipton Segal

Brown, L. Gonzales Liss Sheltrown

Brown, T. Gregory Mayes Simpson

Byrnes Haase McDowell Slavens

Byrum Haugh Meadows Slezak

Clemente Huckleberry Melton Smith

Constan Jackson Miller Spade

Corriveau Johnson Nathan Stanley

Coulouris Jones, Robert Neumann Switalski

Cushingberry Kandrevas Polidori Tlaib

Dean Kennedy Roberts Warren

Donigan Lahti Rocca Womack

Durhal Leland Schmidt, R. Young

Nays—46

Agema Elsenheimer Kowall Opsommer

Amash Genetski Kurtz Pavlov

Ball Green LeBlanc Pearce

Bauer Griffin Lori Proos

Bolger Haines Lund Rogers

Booher Hammel Marleau Schmidt, W.

Calley Hansen McMillin Schuitmaker

Caul Haveman Meekhof Scott, P.

Crawford Hildenbrand Meltzer Stamas

Daley Horn Moore Tyler

Denby Jones, Rick Moss Walsh

DeShazor Knollenberg

In The Chair: Byrnes

The House agreed to the title of the bill.

Rep. Angerer moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

Rep. Meltzer, having reserved the right to explain her protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

No Vote Explanation

HB 4244/ 4844/ 4846/ 5020/ 5144-5151 (Dem insurance bills)

These so-called reform bills look good on the surface, but in reality they will allow lengthy and expensive lawsuits regardless of whether they are based on merit, which will increase insurance rates, drive good-paying jobs out of state and line the pockets of trial lawyers at the expense of Michigan consumers.

Michigan’s insurance code already provides substantial penalties for insurance companies that unfairly deny or delay claims, which the state insurance commissioner already has the power to enforce. Of the more than one million insurance claims filed last year, barely 1,500 complaints were filed with Michigan’s insurance regulatory arm. This means there was a dispute in only 0.15 percent of cases, significantly less than 1 percent.

Republican lawmakers offered an amendment to allow courts to penalize lawyers who bring frivolous lawsuits, but the amendment was shot down.

The insurance industry is one of the few sectors that is growing in Michigan, with more than 55,000 insurance-related jobs in the state. We should be looking for ways to attract more of these jobs to our state, not needlessly attacking the honesty and integrity of our friends and neighbors who work in this growing industry just because it plays well politically.

I also take issue with the way Democrat lawmakers rammed this legislation through committee. Representatives of the insurance industry were not allowed to rebut most of the witnesses, including one person brought in to testify about horrific treatment by insurance companies who was later found to have served time in jail for committing insurance fraud.

For these reasons I cannot support these bills at this time.”

Rep. Knollenberg, having reserved the right to explain his protest against the passage of the bill, made the following statement:

“Mr. Speaker and members of the House:

HB 4244/ 4844/ 4846/ 5020/ 5144-5151