SENATE BILL NO. 684

October 30, 2025, Introduced by Senators HAUCK and BELLINO and referred to Committee on Health Policy.

"Public health code,"

by amending sections 16211, 16216, 16238, and 16315 (MCL 333.16211, 333.16216, 333.16238, and 333.16315), section 16211 as amended and section 16238 as added by 1993 PA 79, section 16216 as amended by 2014 PA 413, and section 16315 as amended by 2020 PA 169, and by adding section 16211a.

the people of the state of michigan enact:

Sec. 16211. (1) The department shall create and maintain a permanent historical record for each licensee and registrant with respect to information and data transmitted pursuant to law.

(2) The individual historical record shall must include a written allegation against the licensee or registrant that is substantiated after investigation.

(3) The individual historical record may include other items concerning a licensee's or registrant's record of practice that the appropriate board determines will facilitate proper and periodic review, but only those items as designated by rule.

(4) The Subject to section 16211a, the department shall promptly review the entire file of a licensee or registrant, including all prior matters with respect to which no action was taken at the time, with respect to whom there is received 1 or more of the following:

(a) A notice of revocation, suspension, or limitation of staff privileges or a change in employment status due to disciplinary action by a licensed health facility.

(b) A written allegation of a violation of this article, article 7, or a rule promulgated under this article or article 7 that is substantiated after investigation.

(d) An adverse malpractice settlement, award, or judgment.

(e) Written notice of 1 or more of the following:

(i) A felony conviction.

(ii) A misdemeanor conviction punishable by imprisonment for a maximum term of 2 years.

(iii) A misdemeanor conviction, if the misdemeanor involves the illegal delivery, possession, or use of alcohol or a controlled substance.

(f) Notice that a licensee or registrant is ineligible to participate as a provider in a federally funded health insurance or health benefits program based upon the licensee's or registrant's failure to meet the program's standards of professional practice. A certified copy of the action or final order making the licensee or registrant ineligible is sufficient notice for purposes of this subdivision.

(g) A report or notice under section 16222.

(h) Notice of a disciplinary action by a licensure, registration, disciplinary, or specialty certification board in another state.

(5) The department shall retain written allegations that are unsubstantiated for 5 years, after which the department shall remove the allegations from the file, if no further allegations against the licensee or registrant have been received by the department within the 5-year period.

(6) Except as provided in section 16231(6), 16231(7), a licensee, registrant, or applicant may review his or her the individual historical record of the licensee, registrant, or applicant.

Sec. 16211a. (1) Beginning 1 year after the effective date of the amendatory act that added this section, a licensee, registrant, or applicant may submit an application to the department to set aside a disciplinary record of the licensee, registrant, or applicant. The application must be in a form and manner required by the department. The department shall set aside a disciplinary record of a licensee, registrant, or applicant if the licensee, registrant, or applicant demonstrates all of the following to the department:

(a) The licensee, registrant, or applicant submits the application to the department no sooner than 5 years after the date that sanctions are no longer in force against the licensee, registrant, or applicant for the disciplinary record the licensee, registrant, or applicant is seeking to set aside.

(b) The licensee, registrant, or applicant establishes that the licensee, registrant, or applicant has not been the subject of disciplinary action since the date the sanction was imposed for the disciplinary record the licensee, registrant, or applicant is seeking to set aside.

(c) The licensee, registrant, or applicant timely completed the sanction imposed by the board or task force for the disciplinary record the licensee, registrant, or applicant is seeking to set aside.

(d) The licensee, registrant, or applicant has not previously had a disciplinary record set aside under this section.

(e) The disciplinary record that the licensee, registrant, or applicant is seeking to set aside involves a violation that meets all of the following:

(i) The violation was a failure to complete continuing education required for the renewal of the license or registration held by the licensee, registrant, or applicant.

(ii) The violation occurred not more than 30 years before the effective date of the amendatory act that added this section.

(iii) If the violation was discovered during an audit conducted by the department, the violation was based on a 1-time failure to complete the continuing education described in subparagraph (i) during the time frame that was the subject of the audit.

(2) If the department sets aside a disciplinary record under this section, the department shall do both of the following not later than 90 days after setting aside the disciplinary record:

(a) Report the setting aside of the disciplinary record to the National Practitioner Databank maintained by the United States Department of Health and Human services in accordance with federal regulations.

(b) Remove the disciplinary record from any website maintained by the department that allows for the pubic to search for a licensee, registrant, or applicant by name.

(3) A licensee, registrant, or applicant whose disciplinary record is set aside under this section may represent that no disciplinary record exists regarding the subject matter of the disciplinary record that is set aside.

(4) A disciplinary record that is set aside under this section is not subject to disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

(5) The department may charge a reasonable fee for the administrative processing of setting aside a disciplinary record under this section that does not exceed the costs incurred by the department in setting aside the disciplinary record.

(6) The department is not liable in a civil action for reporting a public record of discipline that has been set aside under this section, if that record was available as a public record on the date of the report.

(7) This section does not impose a duty on the department to take any action regarding a disciplinary record that has been set aside, or a record related to that disciplinary record, other than the duties described in this section.

(8) The department may promulgate rules to implement this section.

Sec. 16216. (1) The chair of each board or task force shall appoint 1 or more disciplinary subcommittees for that board or task force. A disciplinary subcommittee for a board or task force shall must consist of 2 public members and 3 professional members from the board or task force.

(2) A final decision of a disciplinary subcommittee finding a violation of this article, article 7, or article 8 requires a majority vote of the members appointed and serving on the disciplinary subcommittee.

(3) A final decision of a disciplinary subcommittee imposing a sanction under this article, article 7, or article 8 or a final decision of a disciplinary subcommittee other than a final decision described in subsection (2) requires a majority vote of the members appointed and serving on the disciplinary subcommittee with an affirmative vote by at least 1 public member.

(4) The chair of a board or task force shall appoint a public member of the disciplinary subcommittee of that board or task force as the chairperson of that disciplinary subcommittee. The chair of a board or task force shall not serve as a member of the disciplinary subcommittee of that board or task force.

(5) The department may review a final decision of a disciplinary subcommittee within 30 days after the date of the disciplinary subcommittee's decision. If the department determines that the action taken by a disciplinary subcommittee does not protect the health, safety, and welfare of the public, the department, with the approval of the board chair, may set aside the decision of the disciplinary subcommittee and issue a different final action. The final action of the department serves as the final action on the matter and is subject to judicial review in the same manner as the final decision of the disciplinary subcommittee.

(6) Beginning January 1, 2015, Except as otherwise provided in section 16211a, the department shall include on its public licensing and registration website each final decision that imposes disciplinary action against a licensee, including the reason for and description of that disciplinary action.

Sec. 16238. (1) Except as otherwise provided in section 13(1)(u) (i) and (ii) 13(1)(t)(i) and (ii) of the freedom of information act, Act No. 442 of the Public Acts of 1976, being section 15.243 of the Michigan Compiled Laws, 1976 PA 442, MCL 15.243, the information including, but not limited to, patient names, obtained in an investigation or a compliance conference before a complaint is issued, is confidential and shall must not be disclosed except to the extent necessary for the proper functioning of a hearings examiner, a disciplinary subcommittee, or the department.

(2) A compliance conference conducted under this part before a complaint is issued shall must be closed to the public.

Sec. 16315. (1) The health professions regulatory fund is established in the state treasury. Except as otherwise provided in this section, the state treasurer shall credit the fees collected under sections 16319 to 16349 and section 16211a to the health professions regulatory fund. Except as otherwise provided in this section, the money in the health professions regulatory fund shall must be expended only as provided in subsection (5).

(2) The state treasurer shall direct the investment of the health professions regulatory fund. Interest and earnings from health professions regulatory fund investment shall must be credited to the health professions regulatory fund.

(3) The unencumbered balance in the health professions regulatory fund at the close of the fiscal year shall remain remains in the health professions regulatory fund and shall does not revert lapse to the general fund.

(4) The health professions regulatory fund may receive gifts and devises and other money as provided by law.

(5) The department shall use the health professions regulatory fund to carry out its powers and duties under this article, article 7, and article 8, including, but not limited to, reimbursing the department of attorney general for the reasonable cost of services provided to the department under this article, article 7, and article 8.

(6) The nurse professional fund is established in the state treasury. Of the money that is attributable to per-year license fees collected under section 16327, the state treasurer shall credit $8.00 of each individual annual license fee collected to the nurse professional fund. The money in the nurse professional fund shall must be expended only as provided in subsection (9).

(7) The state treasurer shall direct the investment of the nurse professional fund, and shall credit interest and earnings from the investment to the nurse professional fund. The nurse professional fund may receive gifts and devises and other money as provided by law.

(8) The unencumbered balance in the nurse professional fund at the close of the fiscal year shall remain remains in the nurse professional fund and shall does not revert lapse to the general fund.

(9) The department of health and human services shall use the nurse professional fund each fiscal year only as follows:

(a) To promote safe patient care in all nursing practice environments.

(b) To advance the safe practice of the nursing profession.

(d) To operate a nursing scholarship program.

(10) The pain management education and controlled substances electronic monitoring and antidiversion fund is established in the state treasury.

(11) The state treasurer shall direct the investment of the pain management education and controlled substances electronic monitoring and antidiversion fund. Interest and earnings from investment of the pain management education and controlled substances electronic monitoring and antidiversion fund shall must be credited to the pain management education and controlled substances electronic monitoring and antidiversion fund.

(12) The unencumbered balance in the pain management education and controlled substances electronic monitoring and antidiversion fund at the close of the fiscal year shall remain remains in the pain management education and controlled substances electronic monitoring and antidiversion fund and shall does not revert lapse to the general fund. The pain management education and controlled substances electronic monitoring and antidiversion fund may receive gifts and devises and other money as provided by law. Twenty dollars of the license fee received by the department under section 16319 shall must be deposited with the state treasurer to the credit of the pain management education and controlled substances electronic monitoring and antidiversion fund. The department shall use the pain management education and controlled substances electronic monitoring and antidiversion fund only in connection with programs relating to pain management education for health professionals, preventing the diversion of controlled substances, and development and maintenance of the electronic monitoring system for controlled substances data required by section 7333a.

(13) For the fiscal year ending September 30, 2020 only, $10,000,000.00 of the money in the health professions regulatory fund is transferred to and must be deposited into the general fund.