1-1 By: Patterson S.B. No. 982 1-2 (In the Senate - Filed March 11, 1993; March 15, 1993, read 1-3 first time and referred to Committee on Health and Human Services; 1-4 April 13, 1993, reported favorably by the following vote: Yeas 9, 1-5 Nays 0; April 13, 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 the authority of the Texas Department of Human Services 1-20 to assess monetary penalties against a home or community care 1-21 provider. 1-22 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-23 SECTION 1. Chapter 32, Human Resources Code, is amended by 1-24 adding Section 32.0215 to read as follows: 1-25 Sec. 32.0215. HOME OR COMMUNITY CARE PROVIDERS: CIVIL 1-26 MONETARY PENALTIES. (a) The department may include in a contract 1-27 for the delivery of medical assistance by a home or community care 1-28 provider a provision for monetary penalties to be assessed for a 1-29 contract violation or any violation of home or community care 1-30 requirements, as required by 42 U.S.C. Section 1396t(j). 1-31 (b) The department shall develop rules governing the 1-32 application of civil money penalties, including rules prescribing: 1-33 (1) criteria that describe when and how a civil money 1-34 penalty may be assessed and the amount of the penalty; 1-35 (2) a system to ensure standard and consistent 1-36 application of the penalties throughout the state; and 1-37 (3) an administrative appeals process to adjudicate 1-38 claims in contested cases in accordance with the Administrative 1-39 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas 1-40 Civil Statutes). 1-41 (c) Rules adopted under this section must be designed to 1-42 minimize the time between the identification of a violation and the 1-43 final imposition of a penalty. Rules adopted under this section 1-44 may authorize the imposition of a penalty that assesses and 1-45 collects a monetary penalty, with interest, for a minimum penalty 1-46 period and on a subsequent per diem basis. 1-47 (d) A penalty must be appropriate to the violation. The 1-48 department may assess incrementally more severe penalties for 1-49 repeated or uncorrected violations. 1-50 (e) The department shall review a penalized provider within 1-51 10 working days after the provider notifies the department that the 1-52 deficiency that caused the imposition of the penalty has been 1-53 corrected. If the department is unable to review the provider 1-54 within that 10-working-day period, the penalty ceases on the 1-55 earlier of the last day of the minimum penalty period or the date 1-56 the provider gives notice to the department. 1-57 (f) Money collected as a result of the imposition of 1-58 penalties may be used for the protection of the health or property 1-59 of an individual whose personal property was lost due to a failure 1-60 of a home or community care provider to meet the requirements for 1-61 participation as a provider of home or community care. 1-62 SECTION 2. This Act takes effect September 1, 1993, and 1-63 applies only to a contract between the Texas Department of Health 1-64 and a home or community care provider that is entered into on or 1-65 after that date. 1-66 SECTION 3. The importance of this legislation and the 1-67 crowded condition of the calendars in both houses create an 1-68 emergency and an imperative public necessity that the 2-1 constitutional rule requiring bills to be read on three several 2-2 days in each house be suspended, and this rule is hereby suspended. 2-3 * * * * * 2-4 Austin, 2-5 Texas 2-6 April 13, 1993 2-7 Hon. Bob Bullock 2-8 President of the Senate 2-9 Sir: 2-10 We, your Committee on Health and Human Services to which was 2-11 referred S.B. No. 982, have had the same under consideration, and I 2-12 am instructed to report it back to the Senate with the 2-13 recommendation that it do pass and be printed. 2-14 Zaffirini, 2-15 Chair 2-16 * * * * * 2-17 WITNESSES 2-18 FOR AGAINST ON 2-19 ___________________________________________________________________ 2-20 Name: Ernest McKenney x 2-21 Representing: Tx Dept. of Health 2-22 City: Austin 2-23 -------------------------------------------------------------------