By Uher                                                H.B. No. 519
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the administration, management and responsibilities of
    1-3  the University of Texas M. D. Anderson Cancer Center.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Chapter 73, Subchapter C, Education Code, is
    1-6  amended by amending Sections 73.106  and 73.108 and adding Sections
    1-7  73.112 to 73.115 to read as follows:
    1-8        Sec. 73.106.  PATIENTS.  This <Except to the extent of any
    1-9  conflict with this> subchapter <, the provisions of Chapter 152,
   1-10  Acts of the 45th Legislature, Regular Session, 1937, as amended
   1-11  (Article 3196a, Vernon's Texas Civil Statutes,> shall govern the
   1-12  admission of patients to the institution <and its substations>, the
   1-13  support of patients, and other matters relating to patients.
   1-14        Sec. 73.108.  APPLICATION.  (a)  Admission is subject to the
   1-15  written application of the patient, the guardian of the patient, or
   1-16  some friend or relative of the patient.
   1-17        (b)  The written application shall be on  forms prescribed by
   1-18  the president and shall include:
   1-19              (1)  the patient's name, age, sex, and national origin;
   1-20              (2)  the patient's residence address or addresses for
   1-21  at least the two-year period preceding the date of the application;
   1-22              (3)  the patient's occupation, trade, profession, or
   1-23  employment;
    2-1              (4)  the names and addresses of the patient's parents,
    2-2  children, brothers, sisters, and other responsible relatives, if
    2-3  any;
    2-4              (5)  the names, addresses, and ages of any relatives
    2-5  who  are or who may have been similarly afflicted;
    2-6              (6)  a complete statement of the location, description,
    2-7  and value of any real or personal property owned, possessed, or
    2-8  held by the patient or his guardian;
    2-9              (7)  the name of each person legally liable for the
   2-10  support of the patient and a statement of the location,
   2-11  description, and value of any real or personal property owned,
   2-12  possessed, or held by that person; and
   2-13              (8)  any other information or statements that may be
   2-14  required by the president.
   2-15        (c)  Each application may <shall> be accompanied by a written
   2-16  request for the patient's admission by his attending physician
   2-17  which includes:
   2-18              (1)  a statement that he has adequately examined the
   2-19  patient and that the patient has, or is suspected of having, a
   2-20  neoplasm or allied disease;
   2-21              (2)  a statement indicating the duration of the
   2-22  disease, if known, and indicating any accompanying bodily disorder
   2-23  or disorders the patient may have at the time of the application;
   2-24  and
   2-25              (3)  any other information that may be required by the
    3-1  president.
    3-2        Sec. 73.112.  TREATMENT OF INDIGENT PATIENTS.  (a)  The
    3-3  responsibility of the institution to provide treatment to patients
    3-4  determined to be indigent under the provisions of  Section 552.012,
    3-5  Government Code, shall be as provided for in this section.
    3-6        (b)  The legislature shall state within each general
    3-7  appropriations act the amount provided in each fiscal year to the
    3-8  institution for the treatment of indigent patients.  If the total
    3-9  amount of treatment provided by the institution in any state fiscal
   3-10  year to indigent patients is less than the amount appropriated for
   3-11  this purpose, the institution may use the remaining funds for
   3-12  research and education if approved by the Legislative Budget Board
   3-13  or authorized in the general appropriations act.
   3-14        (c)  The institution shall not provide treatment to indigent
   3-15  patients as described in this section in any state fiscal year in a
   3-16  total amount that exceeds the amount appropriated by the
   3-17  legislature for that purpose except as otherwise allowed by this
   3-18  section.
   3-19        (d)  By May 1 of each year, the president shall adopt a
   3-20  formula that fairly and equitably allocates to each county in this
   3-21  state the amount of indigent patient treatment to be provided by
   3-22  the institution to residents of the county for the state fiscal
   3-23  year beginning on September 1 of that year.  In devising the
   3-24  formula, the president shall  take into account all relevant
   3-25  factors, including but not limited to:
    4-1              (1)  amount appropriated to the institution for
    4-2  treatment of indigent patients;
    4-3              (2)  total population of the state and each county
    4-4  according to estimates provided by the office of the comptroller;
    4-5              (3)  percentage of total residents of the state and
    4-6  each county living below the federal poverty line as determined by
    4-7  the Department of Health and Human Services; and,
    4-8              (4)  number of indigent patients from each county
    4-9  referred to the institution in past years and total amount of
   4-10  indigent treatment provided by the institution to residents of each
   4-11  county in past years.
   4-12        (e)  Except as otherwise provided by this section, each
   4-13  county shall be liable to the institution for the amount of
   4-14  indigent patient treatment provided to residents of the county in
   4-15  each  state fiscal year that exceeds the amount of indigent patient
   4-16  treatment allocable to the county in that state fiscal year under
   4-17  the formula adopted by the president.
   4-18        (f)  The institution and each county in this state are
   4-19  authorized to enter into contracts for the provision of indigent
   4-20  patient treatment by the institution to residents of each county.
   4-21  If a county enters into such a contract with the institution, the
   4-22  liability of the  county to the institution for the provision of
   4-23  indigent patient treatment to residents of the county shall be as
   4-24  provided for in the contract.
   4-25        (g)  The president shall waive all liability of a county
    5-1  under this section if the institution provides indigent patient
    5-2  treatment to fewer than five residents of the county in any state
    5-3  fiscal year.
    5-4        (h)  The institution shall use the Medicare cost-to-charge
    5-5  ratio in determining the amount of treatment provided to indigent
    5-6  patients described in this section.
    5-7        (i)  The president shall adopt all necessary or desirable
    5-8  rules and regulations to implement this section.
    5-9        Sec. 73.113.  FINANCIAL RESPONSIBILITY.  In addition to other
   5-10  responsibilities provided for in this code or other law, the
   5-11  institution has the specific responsibility and authority to
   5-12  increase institutional funds and to maintain a sufficient patient
   5-13  base to fund and achieve the mission and strategic plan of the
   5-14  institution and protect the investment of the state in the
   5-15  development of the institution.
   5-16        Sec. 73.114.  INCENTIVE RETIREMENT PLANS.  (a)  The
   5-17  institution may offer incentive retirement plans to employees of
   5-18  the institution who elect to retire under other state law.
   5-19        (b)  Any incentives offered to an employee by the institution
   5-20  must be paid from institutional funds.
   5-21        (c)  Any institutional plan providing for incentive
   5-22  retirement plans must be filed with the Legislative Budget Board at
   5-23  least sixty days before the plan is implemented.
   5-24        (d)  Employees receiving retirement incentives under this
   5-25  section may not be rehired by the institution unless specifically
    6-1  approved by the president.
    6-2        (e)  An incentive retirement plan adopted under this section
    6-3  shall comply with all applicative federal laws and regulations.
    6-4        (f)  As used in this section, "institutional funds" means all
    6-5  of those funds described in Section 51.009, Education Code and
    6-6  specifically includes hospital and clinic fees.
    6-7        Sec. 73.115.  ACQUISITION OF GOODS AND SERVICES.  (a)  This
    6-8  section applies to the acquisition of goods and services by the
    6-9  institution.
   6-10        (b)  The institution may acquire goods or services by any
   6-11  method that provides the best value to them, including but not
   6-12  limited to competitive bidding, competitive sealed proposals,
   6-13  catalogue purchases, group purchasing programs and open market
   6-14  contracts.
   6-15        (c)  In determining what is the best value, the institution
   6-16  shall take into account the following factors and all other
   6-17  relevant factors that a private business entity would consider in
   6-18  selecting a vendor:
   6-19              (1)  purchase price;
   6-20              (2)  reputation of the vendor and the vendor's goods
   6-21  and services;
   6-22              (3)  quality of the vendor's goods or services;
   6-23              (4)  the extent to which the goods or services meet its
   6-24  needs;
   6-25              (5)  vendor's past relationship with the institution;
    7-1              (6)  impact on the ability of the institution to comply
    7-2  with state laws and regulations relating to historically
    7-3  underutilized businesses; and,
    7-4              (7)  total long-term cost to the institution of
    7-5  acquiring a vendor's goods or services.
    7-6        (d)  All purchases of goods or services made by the
    7-7  institution are subject to audit by the State Auditor.
    7-8        (e)  The institution shall comply with all state laws and
    7-9  General Service Commission regulations concerning contracting with
   7-10  historically underutilized businesses.
   7-11        (f)  This section prevails over other law to the extent of
   7-12  any conflict.
   7-13        (g)  The institution may adopt necessary or desirable rules
   7-14  and procedures for the acquisition of goods and services that are
   7-15  not inconsistent with this section.
   7-16        SECTION 7.  The importance of this legislation and the
   7-17  crowded condition of the calendars in both houses create an
   7-18  emergency and an imperative public necessity that the
   7-19  constitutional rule requiring bills to be read on three several
   7-20  days in each house be suspended, and this rule is hereby suspended,
   7-21  and that this Act take effect and be in force from and after its
   7-22  passage, and it is so enacted.