Human services: medical services; definition of kickbacks or bribes; modify. Amends sec. 4 of 1977 PA 72 (MCL 400.604).

This bill updates Michigan's Medicaid False Claims Act to clarify what counts as an illegal kickback or bribe in the medical services sector. It maintains the existing rule that offering or receiving payments to refer patients for services is a felony punishable by up to four years in prison or a fine of $30,000. The legislation adds a specific exemption stating that "model arrangements" and "model patient incentives" approved by the Centers for Medicare and Medicaid Services are not considered illegal kickbacks. This change aims to provide legal clarity for healthcare providers participating in federal-approved incentive programs while preserving penalties for other forms of improper referral payments.