SB 772 requires health insurers in Michigan to reimburse telehealth visits at the same rate as in-person visits, using the same billing codes. It prohibits insurers from mandating face-to-face visits for services that can be safely provided via telemedicine, as determined by the treating healthcare professional. This applies to all health insurance policies covering telehealth services, directly affecting insurers, healthcare providers, and patients using telehealth. The bill ensures telehealth coverage parity without adding new requirements for providers or altering patient cost-sharing (like copays or deductibles). It modifies existing insurance code language to standardize reimbursement practices for telemedicine.
HB 5323 authorizes Michigan state agencies to install technology that detects or blocks unauthorized drones near state-owned buildings and critical infrastructure like power plants or water facilities. The bill allows for two key mechanisms: (1) devices to detect drones flying overhead, and (2) systems to prevent drones from entering restricted airspace. It also requires coordination with the state transportation department to include these locations in a statewide geofencing database. The law explicitly states it does not override federal drone regulations.
HB 5416 amends the Michigan Strategic Fund Act to restructure the fund's governing board. It adds two new private-sector board members appointed by the governor (with input from minority leaders) who must have expertise in venture capital, commercial lending, or technology commercialization. The bill also updates membership requirements to ensure diversity representation (including minority, female, and small business perspectives) and specifies detailed qualifications for private-sector appointees. This change affects how the Michigan Strategic Fund, which administers economic development grants and incentives, is governed and managed.
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Economic Development
HB 5398 amends Michigan's General Property Tax Act to remove a tax exemption for data centers located in Renaissance Zones. Specifically, it eliminates the exemption previously available for "eligible data center property" in zones approved by the Michigan Strategic Fund in 2016 with at least $100 million in investment. This change directly affects data center operators in designated Renaissance Zones who previously qualified for reduced property taxes. The bill updates Section 7ff of the tax act to reflect this repeal, ensuring data centers no longer receive the tax break.
HB 5330 requires Michigan public entities (like government agencies) and their contractors to meet strict cybersecurity and data protection standards for small drones (under 55 pounds). It mandates that all collected data (including videos, photos, and personal information) must be stored within the U.S., encrypted with AES-256, and automatically deleted after 45 days unless law enforcement needs it. The bill also requires annual security audits using NIST, ISO 27001, and SOC 2 standards, plus real-time monitoring for cyber threats. The State Police will create regulations to enforce these rules, including network security controls and operator training.
HB 5346 amends Michigan's Public Health Code to update access to the Michigan Care Improvement Registry (formerly the Childhood Immunization Registry). It requires the state department to allow users to query and extract immunization records by school building, directly affecting school health staff and administrators. The bill also adds a provision enabling individuals aged 20 or older to request that their personal immunization records be made inaccessible in the registry upon submitting a written request. These changes focus on improving data accessibility for school-based health management while enhancing privacy options for adult patients.
SB 759 amends Michigan's Consumer Protection Act to explicitly treat violations of the Kids Code Act (which protects children's online privacy) as violations of the main consumer protection law. This means companies that break rules about collecting or using children's data under the Kids Code Act would also face enforcement actions under the Consumer Protection Act. The key mechanism adds a new provision (section 3(dd)) to the Consumer Protection Act, linking Kids Code violations directly to existing consumer protection penalties. This bill primarily affects businesses operating in Michigan that handle children's personal information online, making compliance with both laws essential. The bill was introduced in December 2025 and referred to the Finance, Insurance, and Consumer Protection committee.
HB 5327 amends Michigan's drone law to prohibit specific drone uses that violate privacy or safety. It bans operating drones to harass people (as defined by existing harassment laws), capture private images in violation of privacy expectations, follow or photograph individuals (especially for sex offenders under registration requirements), or disturb quiet enjoyment of private homes. The bill directly affects all drone operators, with additional restrictions for sex offenders. Key mechanisms include expanding existing drone restrictions to cover harassment, privacy invasions, and proximity to restraining orders. The law takes effect 90 days after enactment.
HB 5357, the "Age-Appropriate Design Code Act," requires businesses meeting specific thresholds (e.g., $25 million+ annual revenue or handling data of 50,000+ consumers) to design online services, products, or features accessed by known minors (under 18) with privacy and safety as defaults. It prohibits "dark patterns" that manipulate user choices, bans collecting precise geolocation data without consent, and mandates age-appropriate settings for minors. The law applies to businesses operating in Michigan that process personal information of minors, creating civil penalties for violations. It establishes a fund to support enforcement and defines key terms like "known minor" and "business" to clarify compliance requirements.
SB 760, the "Leading Ethical AI Development for Kids Act," prohibits operators of companion chatbots from making these AI systems available to minors (under 18) if they could encourage self-harm, unsafe behavior, or harmful interactions like sexual content. The bill specifically bans chatbots that simulate emotional relationships by retaining personal data, asking unsolicited emotional questions, or prioritizing user validation over safety. Operators face $25,000 fines per violation and can be sued by harmed minors or their guardians for damages. This applies to business-owned chatbots designed for ongoing emotional engagement - not customer service or internal tools - and takes effect in 2027.
