SRC-CDH S.B. 422 75(R)    BILL ANALYSIS


Senate Research CenterS.B. 422
By: Cain
Health & Human Services
2-14-97
As Filed


DIGEST 

Currently, with the growing number of mergers and affiliations, as well as
the expansion of hospital services beyond a main building, questions have
arisen regarding the breadth of a hospital license, primarily because
requiring individual licensure for additional facilities located on or
near the main hospital campus drives up health care costs.  In addition,
as the marketplace evolves, special hospitals, such as women's centers and
rehabilitation hospitals, increasingly perform surgery related to the
services provided by the facility, a function that is not presently
recognized in Texas statutory law.  

This legislation amends the definition of hospital "premises" to allow a
hospital to hold a single license for all facilities indicated at the main
hospital address plus all other facilities within a 30-mile radius, with
certain exceptions.  S.B. 422 also clarifies that facilities licensed as
"special hospitals" are allowed to provide obstretrical or surgical
treatment.   

PURPOSE

As proposed, S.B. 422 places the licensure of a hospital with multiple
premises under a single license and expands the definition of "special
hospital." 

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 Section 241.003, Health and Safety Code, by adding a
new Subdivision (11), and renumbering and amending existing Subdivision
(11), to define "premises" to mean facilities located at the main address
of the licensee and all other facilities included under the single license
so long as they are within a 30-mile radius of the main address of the
licensee, except in certain circumstances.  Redefines "special hospital"
to include an establishment that has definitive obstetrical or surgical
treatment.  Makes a conforming change.     

SECTION 2.  Amends Section 241.022, Health and Safety Code, by adding
Subsection (f), to prohibit anything in this chapter from being construed
to require a hospital to include offsite outpatient services in its
license application.   

SECTION 3.  Effective date: September 1, 1997.

SECTION 4.  Emergency clause.