Current Updates on State OT Compact in MI

Compact bill SIGNED into LAW July 2026.

         WHY IS AN OT COMPACT NEEDED IN MICHIGAN?                                                                                                                                                                                                          

• Decrease gaps  to serve individuals in areas with OT practitioner shortages
• Allow for OT practitioners to start work immediately after moving to a new state while they have applied for their new state license
• It will increase opportunities for practice in multiple states with telehealth options

Compact Fact Sheet for Practitioners (free download)

MiOTA's Advocacy Committee:
Denise Hoffman, Chair

Interested in learning more or volunteering?
Contact advocacy@miota.org

OT COMPACT WEBSITE: https://otcompact.org/about/

Additional Resources:
NBCOT State Regulatory Leadership Forum Informational Webinar
AOTA–NBCOT® Joint Initiative: Developing the Occupational Therapy Licensure Compact

Occupational Therapy Compact FAQ 

Legislative Watch â¦

HB 4675 of 2025 Cursive Instruction

 (Rep. Brenda Carter)

HB 5678 & 5679 Fall Prevention in SNF

(Rep Julie Rogers and Luke Meerman)

National Advocacy  & Legislation

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January 2026 National Updates

• Student Loan Caps: Representative Tim Kennedy, the only occupational therapist serving in Congress, authored a letter urging the Department of Education (ED) to reconsider its proposed definition of “professional programs.” Seventy Members of Congress signed his letter, reflecting widespread concern that ED’s proposal would restrict access to federal loans not only for OT students but also for students across many healthcare professions. 
• Lifestytle Redesign® OT Opportunities: MAHA ELEVATE model (Make America Healthy Again: Enhancing Lifestyle and Evaluating Value-based Approaches Through Evidence) will invest approximately $100 million over three years to fund up to 30 cooperative agreements. These agreements will support proposals that advance health and prevention through evidence-based, whole-person care approaches, including functional and lifestyle medicine interventions not currently covered by Medicare for chronic conditions. 
• Compact: Of the 32 states who passed compact legislation, 3 states have completed all of requrirements and issued compact privledges: Minnesota, Ohio, and West Virgina.
• One Big Beautiful Bill impact on OT: OBBB
  • Impact on medicaid recipients who are over 21, as OT is considered 'optional'
  • Graduate Loan PLUS will be eliminated 
  • Income Driven Loans: frogiveness changes from 120 payments now to 360 payments
  • 2.5% increase in Medicare Fee Schedule (after years of cuts which has not aligned with inflation)
• Telephealth waivers extended until January 30th 2026.

Read AOTA's Approach to Advocacy