The Michigan Health Benefits Program Act (H.B. 5345)

Creates a mandatory state health plan housed in the Department of Management and Budget, governed by a state Health Benefits Board and administered by the Office of State Employer;

Mandates all state, city, village, township, and county governments, agencies, school districts, public school academies, ISDs, community colleges, and public universities as well as all public retirement systems, to participate in employee health care plans from the state benefits plan;

Severely restricts collective bargaining between public employers and employees to choosing from a set menu of plans and plan designs approved by the Health Benefits Board, and how much employees would pay;

Requires that all school districts, public school academies, ISDs, community colleges, public universities, and local governments are financially liable for any budget shortfalls in the government-run fund;

Gives the Office of State Employer authority to create a new bureaucracy and hire an executive director and staff to administer the program;

Allows school districts, public school academies, ISDs, community colleges, public universities, and local governments to opt-out of the program if they pay for an actuarial study proving that the plan they offer is more than 5% less expensive than the government-run plan (must apply for approval at least 9 months prior to expiration of current contract);

Covers only those already receiving health insurance, does not require or expand employee health care coverage;

All health care plan costs will be passed on to the employers and employees.