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Enrolled Bill Summary

Enrolled Bill Summary

Legislative Session: 79(R)

House Bill 2572

House Author:  Truitt et al.

Effective:  Vetoed

Senate Sponsor:  Janek


            House Bill 2572 amends the Health and Safety Code relating to the functions of local mental health and mental retardation authorities.  The bill transfers from the board of a local authority to the executive commissioner of the Health and Human Services Commission certain responsibilities and authorities related to policy development and planning, resource allocation and development, and coordination of effort and prohibits the executive commissioner from decreasing the number of local authorities except in certain circumstances.  It directs the Department of Aging and Disability Services to conduct an evaluation of various payment methodologies and develop a plan for implementing a new payment methodology based on the results of the evaluation.  The bill removes language prohibiting a local mental health authority from serving as a qualified service provider except as a provider of last resort and permits a local authority to serve as a provider of intermediate care facilities for the mentally retarded (ICF-MR) and related waiver services in limited situations.  House Bill 2572 also changes provisions relating to local mental retardation authority waiver program rules and requirements for a local mental health authority to serve as a provider of ICF-MR services.  The bill requires the department to review a local authority's status as a qualified service provider biennially and repeals provisions requiring the department to develop and implement a plan to privatize all ICF-MR and related waiver services.  Finally, the bill establishes a joint interim committee to study the local mental health and mental retardation services delivery system and to develop recommendations for improving the provision of services and increasing the accountability for funds management in the system.

                        Reason Given for Veto: "House Bill No. 2572 is the latest of several efforts over the years to revise the system by which mental health and mental retardation (MHMR) services are provided at the local level.  One of the key concerns has been that under the current system, 41 local MHMR authorities have an inherent conflict of interest because they not only control the funds distributed in their local areas, they also provide services.  Consumers of MHMR services contend that arrangement has limited their ability to select providers and services.

"House Bill No. 2572 fails to adequately address the conflict, but more importantly it undermines the goals of more effectively delivering services, providing greater options for person who need services, and creating more opportunity for private providers to participate in the system.

"Current law, (Section 533.035 Health and Safety Code) addresses this same concern in a manner that provides greater consumer choice of services and promotes the development of a more effective system of services.  This current law also promotes greater participation by private providers.  A true market-oriented approach is ultimately better for the taxpayers who fund those services because it puts consumers in better control of the services they receive by affording them greater options.  I believe that this current law, when implemented, will build a stronger mental health and mental retardation system with greater choice for consumers."