1-1  By:  Maxey (Senate Sponsor - Zaffirini)                H.B. No. 867
    1-2        (In the Senate - Received from the House May 1, 1995;
    1-3  May 2, 1995, read first time and referred to Committee on Health
    1-4  and Human Services; May 10, 1995, reported favorably by the
    1-5  following vote:  Yeas 8, Nays 0; May 10, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to an automated system for providing reimbursements to
    1-9  nursing homes under the state Medicaid program.
   1-10        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-11        SECTION 1.  Chapter 242, Health and Safety Code, is amended
   1-12  by adding Subchapter H to read as follows:
   1-13            SUBCHAPTER H.  AUTOMATED MEDICAID PATIENT CARE
   1-14                       AND REIMBURSEMENT SYSTEM
   1-15        Sec. 242.201.  AUTOMATED SYSTEM FOR MEDICAID PATIENT CARE AND
   1-16  REIMBURSEMENT.  (a)  The department shall acquire and develop an
   1-17  automated system for providing reimbursements to nursing homes
   1-18  under the state Medicaid program, subject to the availability of
   1-19  funds appropriated for that purpose.
   1-20        (b)  The department shall select an automated system that
   1-21  will allow the addition of other components of the state Medicaid
   1-22  program, including components administered by other state agencies.
   1-23        (c)  The department and the Health and Human Services
   1-24  Commission shall work together to apply for all available federal
   1-25  funds to help pay for the automated system.
   1-26        (d)  To the extent possible, the department shall assist
   1-27  nursing homes to make systems compatible with the automated system
   1-28  selected by the department.
   1-29        Sec. 242.202.  DATA USED BY SYSTEM.  The automated patient
   1-30  care and reimbursement system must use a form designed by the
   1-31  United States Health Care Financing Administration for nursing home
   1-32  use.
   1-33        Sec. 242.203.  ELECTRONIC CLAIMS FOR REIMBURSEMENT.  (a)  The
   1-34  automated reimbursement system must be able to link the department
   1-35  electronically with nursing homes making claims for reimbursement.
   1-36  When the system is operational, each nursing home shall make claims
   1-37  electronically.
   1-38        (b)  The department shall charge a fee to nursing homes that
   1-39  do not make their claims for reimbursement electronically.  The
   1-40  department shall set the fee in an amount necessary to cover the
   1-41  costs of manually processing the claims.
   1-42        Sec. 242.204.  DATE OF REIMBURSEMENT.  The department shall
   1-43  pay nursing home reimbursement claims under the state Medicaid
   1-44  program that are made electronically not later than the 30th day
   1-45  after the date the claim is made.
   1-46        Sec. 242.205.  RULES.  The department shall adopt rules and
   1-47  make policy changes as necessary to improve the efficiency of the
   1-48  reimbursement process and to maximize the automated reimbursement
   1-49  system's capabilities.
   1-50        SECTION 2.  (a)  The Texas Department of Human Services shall
   1-51  implement the nursing home reimbursement component of the automated
   1-52  reimbursement system required under Subchapter H, Chapter 242,
   1-53  Health and Safety Code, as added by this Act, not later than
   1-54  January 1, 1997.  The Health and Human Services Commission shall
   1-55  evaluate and determine deadlines for using the system for other
   1-56  components of the state Medicaid program and shall work with health
   1-57  and human services agencies to allocate costs.
   1-58        (b)  The department shall reduce staff and purchases as
   1-59  savings and efficiency from implementing the automated
   1-60  reimbursement system are realized.
   1-61        SECTION 3.  The importance of this legislation and the
   1-62  crowded condition of the calendars in both houses create an
   1-63  emergency and an imperative public necessity that the
   1-64  constitutional rule requiring bills to be read on three several
   1-65  days in each house be suspended, and this rule is hereby suspended,
   1-66  and that this Act take effect and be in force from and after its
   1-67  passage, and it is so enacted.
   1-68                               * * * * *