By Zaffirini S.B. No. 600 74R3829 MLR-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to performance, operation, and financial standards for 1-3 managed care organizations covering Medicaid clients. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter B, Chapter 12, Health and Safety Code, 1-6 is amended by adding Section 12.017 to read as follows: 1-7 Sec. 12.017. MANAGED CARE ORGANIZATIONS: MEDICAID PROGRAM. 1-8 The department shall develop performance, operation, and financial 1-9 standards for managed care organizations that serve Medicaid 1-10 clients. 1-11 SECTION 2. Chapter 1, Insurance Code, is amended by adding 1-12 Article 1.61 to read as follows: 1-13 Art. 1.61. MEDICAID MANAGED CARE ORGANIZATION: FISCAL 1-14 SOLVENCY. In conjunction with the Texas Department of Health, the 1-15 department shall establish fiscal solvency standards for managed 1-16 care organizations that serve Medicaid patients. 1-17 SECTION 3. This Act takes effect September 1, 1995. 1-18 SECTION 4. The importance of this legislation and the 1-19 crowded condition of the calendars in both houses create an 1-20 emergency and an imperative public necessity that the 1-21 constitutional rule requiring bills to be read on three several 1-22 days in each house be suspended, and this rule is hereby suspended.