By:  Patterson, Moncrief                              S.C.R. No. 59
            Zaffirini
                             SENATE CONCURRENT RESOLUTION
    1-1        WHEREAS, In its report to the 74th Texas Legislature, the
    1-2  Senate Health and Human Services Committee concluded that there is
    1-3  a pressing need for an audit of the Medicaid program, that it may
    1-4  be in the best interest of the state if nursing homes were dually
    1-5  certified for Medicare and Medicaid, and that significant savings
    1-6  might accrue if certain state schools and hospitals were
    1-7  privatized; and
    1-8        WHEREAS, A targeted audit focusing on areas not audited
    1-9  regularly or previously could potentially save a substantial amount
   1-10  of state revenue by helping to reduce fraud; and
   1-11        WHEREAS, It is the responsibility of the federal Medicare
   1-12  program to pay for the first 100 days of skilled nursing facility
   1-13  care after hospital discharge, but if a facility is not dually
   1-14  certified these costs are assumed by the state Medicaid program;
   1-15  therefore, dual certification of facilities where appropriate to
   1-16  serve both Medicare and Medicaid clients could potentially save
   1-17  state revenue by allowing the federally funded program to assume
   1-18  these costs; and
   1-19        WHEREAS, Privatization of state school campus operations
   1-20  potentially could save an estimated $14.1 million in general
   1-21  revenue per fiscal year, while privatization of state hospitals
   1-22  potentially could save an estimated $4.87 million in general
   1-23  revenue for the 1996-1997 biennium; now, therefore, be it
   1-24        RESOLVED, That the 74th Legislature of the State of Texas
    2-1  hereby request the State Medicaid Office, in conjunction with the
    2-2  appropriate state agencies, to develop a proposal for the purpose
    2-3  and scope of a targeted audit of the Medicaid program; and, be it
    2-4  further
    2-5        RESOLVED, That the State Medicaid Office submit the proposal
    2-6  for a program audit to the Senate Health and Human Services
    2-7  Committee not later than March 1, 1995; and, be it further
    2-8        RESOLVED, That the State Medicaid Office, with public input
    2-9  including input from the long-term care industry and senior citizen
   2-10  advocacy organizations, determine the feasibility of requiring some
   2-11  Medicaid nursing homes to also certify beds for Medicare and
   2-12  examine incentives to maximize the use of federal funds by ensuring
   2-13  that all geographic areas of the state have sufficient Medicare
   2-14  beds to meet the public need; and, be it further
   2-15        RESOLVED, That the State Medicaid Office report its findings
   2-16  on the feasibility of requiring dual certification of nursing
   2-17  facilities to the Senate Health and Human Services Committee not
   2-18  later than May 15, 1995; and, be it further
   2-19        RESOLVED, That the Council on Competitive Government study
   2-20  the feasibility and ramifications of privatizing state schools for
   2-21  persons with mental retardation and of privatizing state hospitals
   2-22  for persons with mental illness; and, be it further
   2-23        RESOLVED, That the Council on Competitive Government take no
   2-24  action on the results of the study, but forward its findings to the
   2-25  legislature by December 1, 1996, for its consideration during the
   2-26  75th Legislature; and, be it further
   2-27        RESOLVED, That the secretary of state forward official copies
    3-1  of this resolution to the State Medicaid Office and to the Council
    3-2  on Competitive Government.