1-1  By:  Haley                                             S.B. No. 376
    1-2        (In the Senate - Filed February 17, 1993; February 17, 1993,
    1-3  read first time and referred to Committee on Health and Human
    1-4  Services; March 9, 1993, reported favorably by the following vote:
    1-5  Yeas 8, Nays 1; March 9, 1993, sent to printer.)
    1-6                            COMMITTEE VOTE
    1-7                          Yea     Nay      PNV      Absent 
    1-8        Zaffirini          x                               
    1-9        Ellis              x                               
   1-10        Madla              x                               
   1-11        Moncrief           x                               
   1-12        Nelson             x                               
   1-13        Patterson                  x                       
   1-14        Shelley            x                               
   1-15        Truan              x                               
   1-16        Wentworth          x                               
   1-17                         A BILL TO BE ENTITLED
   1-18                                AN ACT
   1-19  relating to use of osteopathic hospitals by health maintenance and
   1-20  preferred provider organizations.
   1-21        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-22        SECTION 1.  Subchapter E, Chapter 21, Insurance Code, is
   1-23  amended by adding Article 21.53B to read as follows:
   1-24        Art. 21.53B.  USE OF OSTEOPATHIC HOSPITAL BY HEALTH
   1-25  MAINTENANCE AND PREFERRED PROVIDER ORGANIZATIONS.  (a)  A health
   1-26  maintenance or preferred provider organization that contracts with
   1-27  a hospital to provide services to covered individuals may not
   1-28  refuse to contract with a particular hospital solely because that
   1-29  hospital is an osteopathic hospital.
   1-30        (b)  A health maintenance or preferred provider organization
   1-31  that provides benefits for inpatient or outpatient services
   1-32  provided by allopathic hospitals shall also provide, at the option
   1-33  of a covered person, benefits for similar services provided by an
   1-34  osteopathic hospital if there is an osteopathic hospital within the
   1-35  service area of the health maintenance or preferred provider
   1-36  organization.
   1-37        (c)  The board may adopt rules to implement this article.
   1-38        SECTION 2.  This Act takes effect September 1, 1993, and
   1-39  applies only to a contract made or renewed on or after January 1,
   1-40  1994.  A contract made or renewed before January 1, 1994, is
   1-41  governed by the law in effect immediately before the effective date
   1-42  of this Act, and that law is continued in effect for that purpose.
   1-43        SECTION 3.  The importance of this legislation and the
   1-44  crowded condition of the calendars in both houses create an
   1-45  emergency and an imperative public necessity that the
   1-46  constitutional rule requiring bills to be read on three several
   1-47  days in each house be suspended, and this rule is hereby suspended.
   1-48                               * * * * *
   1-49                                                         Austin,
   1-50  Texas
   1-51                                                         March 9, 1993
   1-52  Hon. Bob Bullock
   1-53  President of the Senate
   1-54  Sir:
   1-55  We, your Committee on Health and Human Services to which was
   1-56  referred S.B. No. 376, have had the same under consideration, and I
   1-57  am instructed to report it back to the Senate with the
   1-58  recommendation that it do pass and be printed.
   1-59                                                         Zaffirini,
   1-60  Chair
   1-61                               * * * * *
   1-62                               WITNESSES
   1-63                                                  FOR   AGAINST  ON
   1-64  ___________________________________________________________________
   1-65  Name:  Dr. Jean Farrar                                         x
   1-66  Representing:  Patients
   1-67  City:  Forth Worth
   1-68  -------------------------------------------------------------------
    2-1  Name:  Robert W. McElearwey                      x
    2-2  Representing:  Dallas Family Hospital
    2-3  City:  Dallas
    2-4  -------------------------------------------------------------------
    2-5  Name:  Terry R. Boucher                          x
    2-6  Representing:  TX Osteopathic Med. Assn.
    2-7  City:  Forth Worth
    2-8  -------------------------------------------------------------------
    2-9  Name:  Mary Ann Raesener                                       x
   2-10  Representing:  TX HMO Assn.
   2-11  City:  Austin
   2-12  -------------------------------------------------------------------