BILL ANALYSIS


                                                         H.B. 865
                                            By: Maxey (Zaffirini)
                                        Health and Human Services
                                                         05-10-95
                              Senate Committee Report (Unamended)
BACKGROUND

A federal funding source that provides for emergency assistance
under Title IV-A of the Social Security Act could be used to fund
mental health services.  States are beginning to address and define
mental health services as emergencies in order to qualify for
matching federal funds.  Currently, Texas does not include these
services in its Title IV-A emergency assistance plan.

PURPOSE

As proposed, H.B. 865 requires the Texas Department of Mental
Health and Mental Retardation to enter into an interagency
agreement with the Texas Department of Human Services to establish
federal funding reimbursements for mental health services for
eligible Texas families.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 533B, Health and Safety Code, by adding
Section 533.046, as follows:

     Sec. 533.046.  FEDERAL FUNDING FOR MENTAL HEALTH SERVICES FOR
     CHILDREN AND FAMILIES.  (a) Requires the Texas Department of
     Mental Health and Mental Retardation (MHMR) to enter into an
     interagency agreement with the Texas Department of Human
     Services (DHS) to amend the eligibility requirements of the
     state's emergency assistance plan under Title IV-A, Social
     Security Act (42 U.S.C. Section 601 et seq.) to include mental
     health emergencies, and to prescribe the procedures the
     agencies will use to delegate to MHMR and to local mental
     health and mental retardation authorities the administration
     of mental health emergency assistance.
     
     (b) Requires the interagency agreement to provide that MHMR
       certify to DHS the nonfederal expenditures for which the
       state will claim federal matching funds, and that TDH retain
       responsibility for making final eligibility decisions.
       
       (c) Requires MHMR to allocate to local mental health and
       mental retardation authorities 66 percent of the federal
       funds received under this section.
       
       SECTION 2.   Emergency clause.
           Effective date: upon passage.