Amend CSSB 385 as follows:
      (1)  In the recital to SECTION 12 of the bill, (page 38, line
7, House Committee Report Printing), strike "(i)-(m)" and
substitute "(i)-(s)".
      (2)  In SECTION 12 of the bill, in Section 14, Texas Health
Maintenance Act (Chapter 20A, Vernon's Texas Insurance Code), (page
40, between lines 6 and 7, House Committee Report Printing), insert
Subsections (n)-(s) to read as follows:
      (n)  A health maintenance organization may not:
            (1)  prohibit or limit an enrollee from selecting a
pharmacy or pharmacist of the person's choice to be a provider
under the health care plan to furnish pharmaceutical services
offered or provided by that plan or interfere with that person's
selection of a pharmacy or pharmacist;
            (2)  deny a pharmacy or pharmacist the right to
participate as a contract provider under the plan if the pharmacy
or pharmacist agrees to provide pharmaceutical services that meet
all terms and requirements of the plan and to include the same
administrative, financial, and professional conditions that apply
to pharmacies and pharmacists who have been designated as providers
under the plan; or
            (3)  require an enrollee to obtain or request a
specific quantity or dosage supply of pharmaceutical products.
      (o)  Notwithstanding Subsection (n)(3) of this section, a
health maintenance organization may allow the physician of an
enrollee to prescribe drugs in a quantity or dosage supply the
physician determines appropriate and that is in compliance with
state and federal statutes.
      (p)  This section does not prohibit:
            (1)  a provision of a plan from limiting the quantity
or dosage supply of pharmaceutical products for which coverage is
provided or providing financial incentives to encourage the
enrollee and the prescribing physician to use a program that
provides pharmaceutical products in quantities that result in cost
savings to the health maintenance organization and the enrollee if
the provision applies equally to all designated providers of
pharmaceutical services under the health care plan;
            (2)  a pharmacy card program that provides a means of
obtaining pharmaceutical services offered by the health care plan
through all designated providers of pharmaceutical services; or
            (3)  a health maintenance organization from
establishing reasonable application and recertification fees for a
pharmacy which provides pharmaceutical services as a provider if
the fees are uniformly charged to each pharmacy under contract with
the organization.
      (q)  A provision of a health care plan that is delivered,
issued for delivery, entered into, or renewed in this state that
conflicts with Subsections (n)-(p) of this section is void to the
extent of the conflict.
      (r)  Subsections (n)-(p) of this section do not require a
health maintenance organization to provide pharmaceutical services.
The provisions of those subsections do not apply to a self-insured
employee benefit plan that is subject to the Employee Retirement
Income Security Act of 1974 (29 U.S.C.  Section 1001, et seq.).
      (s)  In Subsections (n)-(r) of this section, the terms
"pharmacist," "pharmaceutical services," "pharmacy," "drugs," and
"prescription drugs" have the meanings assigned by Article 21.52B,
Insurance Code.