1-1 By: Zaffirini, Moncrief S.B. No. 600 1-2 (In the Senate - Filed February 16, 1995; February 16, 1995, 1-3 read first time and referred to Committee on Health and Human 1-4 Services; March 16, 1995, reported adversely, with favorable 1-5 Committee Substitute by the following vote: Yeas 9, Nays 0; 1-6 March 16, 1995, sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 600 By: Zaffirini 1-8 A BILL TO BE ENTITLED 1-9 AN ACT 1-10 relating to the development of certain standards and complaint 1-11 system guidelines for managed care organizations covering Medicaid 1-12 clients. 1-13 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-14 SECTION 1. Subchapter B, Chapter 12, Health and Safety Code, 1-15 is amended by adding Section 12.017 to read as follows: 1-16 Sec. 12.017. MANAGED CARE ORGANIZATIONS: MEDICAID PROGRAM. 1-17 (a) Except as provided by Section 533.045, the department shall 1-18 develop for managed care organizations that serve Medicaid clients 1-19 performance, operation, quality of care, marketing, and financial 1-20 standards and standards relating to children's access to quality 1-21 health care services. 1-22 (b) In establishing standards under this section, the 1-23 department, to the extent possible, shall ensure that each Medicaid 1-24 client can receive quality health care services in the client's 1-25 local community. 1-26 SECTION 2. Subchapter B, Chapter 533, Health and Safety 1-27 Code, is amended by adding Section 533.045 to read as follows: 1-28 Sec. 533.045. MANAGED CARE ORGANIZATIONS: MEDICAID PROGRAM. 1-29 The department shall develop performance, operation, and financial 1-30 standards for the provision by managed care organizations of mental 1-31 health and mental retardation services to Medicaid clients. 1-32 SECTION 3. Chapter 1, Insurance Code, is amended by adding 1-33 Article 1.61 to read as follows: 1-34 Art. 1.61. MEDICAID MANAGED CARE ORGANIZATION: FISCAL 1-35 SOLVENCY AND COMPLAINT SYSTEM GUIDELINES. In conjunction with the 1-36 Texas Department of Health, the department shall establish fiscal 1-37 solvency standards and complaint system guidelines for managed care 1-38 organizations that serve Medicaid patients. 1-39 SECTION 4. This Act takes effect September 1, 1995. 1-40 SECTION 5. The importance of this legislation and the 1-41 crowded condition of the calendars in both houses create an 1-42 emergency and an imperative public necessity that the 1-43 constitutional rule requiring bills to be read on three several 1-44 days in each house be suspended, and this rule is hereby suspended. 1-45 * * * * *