LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                        February 21, 1995



 TO:     Honorable Judith Zaffirini, Chair      IN RE:  Senate Bill No. 603
         Committee on Health & Human Services           By: Madla
         Senate
         Austin, Texas






FROM: John Keel, Director

In response to your request for a Fiscal Note on Senate Bill No.
603 (Relating to certain health care providers under a managed
care Medicaid program.) this office has determined the following:

The bill would require that the Health and Human Services
Commission give added consideration to the inclusion of former
Medicaid providers in Medicaid managed care programs.  The bill
would require that managed care organizations participating in
the Medicaid program include in their provider networks primary
care providers who have previously provided care to Medicaid and
charity care patients at a level to be prescribed by the Health
and Human Services Commission.

It is difficult to determine the extent to which providers who
have served Medicaid and charity care patients are currently
participating or would be likely to participate in managed care
networks.


The fiscal implication to  the State or units of local government
cannot be determined.


Source:   Department of Health, Health and Human Services
Commission
          LBB Staff: JK, KF/AZ, AZ