LANSING, Mich. (Michigan News Source) — As Medicaid dollars dwindle, Gov. Gretchen Whitmer’s final State of the State address is expected to focus on new medical debt mandates.

The governor is backing bipartisan legislation that would cap interest on medical bills, keep medical debt off credit reports, block liens and foreclosures tied to unpaid hospital costs, and require hospitals to establish standardized financial assistance programs.

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Whitmer has framed the effort as consumer protection. “We’re taking action to protect core Medicaid services, ease the burden of medical debt, and ensure every Michigander can see a doctor,” Whitmer’s office said in a statement.

The timing is notable, with Michigan’s Medicaid program projected to lose funding in the coming years. Whitmer’s strategy to backfill those losses through new tax proposals, however, faces an uphill battle in the GOP-led House.

The medical debt bills have advanced in committee but have yet to receive full votes, setting up a late-session debate over how far the state should go in regulating hospital billing and collections.