SRC-AAA S.B. 202 75(R)    BILL ANALYSIS


Senate Research CenterS.B. 202
By: Harris
Jurisprudence
1-20-97
As Filed


DIGEST 

Currently, Chapter 55, Texas Property Code, induces hospitals to receive
patients, injured by negligence of others, by giving the hospital a lien
on the claims, suit  or settlement of the patient against the negligent
third party.  Other health care providers are not permitted by law to
place a lien on that amount, and, if they choose to provide services, must
attempt  separate legal action to receive their costs if the patient
decides not to pay them with their settlement or award.  This bill
provides certain health care providers liens on  recoveries in civil
actions involving health care services provided due to a negligent third
party. 
 
PURPOSE

As proposed, S.B. 202  provides certain healthcare services liens on
certain recoveries in civil actions and requires the healthcare providers
to give notice of such a lien. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 55, Property Code, as follows:

CHAPTER 55. New heading:  HEALTH CARE SERVICES LIEN

Sec. 55.001.  DEFINITIONS.  Defines "health care provider" and deletes the
definition of "hospital." 

Sec. 55.002.  LIEN. Provides that a health care provider, rather than a
hospital, has a lien on a cause of action or claim of an individual who
receives health care services for injuries caused by an accident that is
attributed to the negligence of another person.  Deletes a provision
requiring an individual to be admitted to a hospital within 72 hours after
the accident.  Provides that the lien extends to both health care provider
(provider) who initially provides treatment and another provider to which
the individual is referred.  Makes conforming changes. 

Sec.  55.003.  PROPERTY TO WHICH LIEN ATTACHES.  Sets forth  certain
claims to which a lien does and does not attach.  Makes conforming
changes. 

Sec.  55.004.  AMOUNT OF LIEN.  Provides that a lien does not cover
hospital operating costs which exceed cost limits under Section 413.30, 42
Code of Federal Regulations. Makes conforming and nonsubstantive changes. 

Sec.  55.005.  SECURING LIEN.  Requires a provider to attach an affidavit
to  a notice of lien, if the provider did not provide services before the
end of the 72nd hour after the accident described in the notice, and the
services provided to the injured individual were for injuries caused by
the accident.  Requires the affidavit to be signed by the provider, if the
provider is an individual, or a person in charge of the finances of the
provider, if the provider is not an individual. Makes conforming changes. 
 
Sec.  55.006.  DISCHARGE OF LIEN.  Makes conforming changes.

Sec.  55.007.  VALIDITY OF RELEASE.  Makes conforming changes.

Sec.  55.008.  New heading: RECORDS.  Makes conforming changes.

SECTION 2. Effective date: September 1, 1997.

SECTION 3.  Makes application of this Act prospective.

SECTION 4. Emergency clause.