1-1                                   AN ACT

 1-2     relating to utilization review of certain health care services

 1-3     provided to a person who sustains a compensable injury.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 14(c), Article 21.58A, Insurance Code, is

 1-6     amended to read as follows:

 1-7           (c)  Except as otherwise provided by this subsection, this

 1-8     [This] article applies [shall not apply] to utilization review of

 1-9     health care services provided to persons eligible for workers'

1-10     compensation medical benefits [patients] under Title 5, Labor Code

1-11     [the authority of the Texas Workers' Compensation Act (Article

1-12     8308-1.01 et seq., Vernon's Texas Civil Statutes)].  The

1-13     commissioner shall regulate in the manner provided by this article

1-14     a person who performs review of a medical benefit provided under

1-15     Chapter 408, Labor Code.  This subsection does not affect the

1-16     authority of the Texas Workers' Compensation Commission to exercise

1-17     the powers granted to that commission under Title 5, Labor Code.

1-18     In the event of a conflict between this article and Title 5, Labor

1-19     Code, Title 5, Labor Code, prevails.  The commissioner and the

1-20     Texas Workers' Compensation Commission may adopt rules and enter

1-21     into memoranda of understanding as necessary to implement this

1-22     subsection.

1-23           SECTION 2.  This Act takes effect September 1, 1997, and

1-24     applies only to a utilization review conducted on or after January

 2-1     1, 1998.  A utilization review conducted before January 1, 1998, is

 2-2     subject to the law as it existed immediately before September 1,

 2-3     1997, and that law is continued in effect for that purpose.

 2-4           SECTION 3.  The importance of this legislation and the

 2-5     crowded condition of the calendars in both houses create an

 2-6     emergency and an imperative public necessity that the

 2-7     constitutional rule requiring bills to be read on three several

 2-8     days in each house be suspended, and this rule is hereby suspended.

         _______________________________     _______________________________

             President of the Senate              Speaker of the House

               I certify that H.B. No. 3197 was passed by the House on April

         18, 1997, by a non-record vote.

                                             _______________________________

                                                 Chief Clerk of the House

               I certify that H.B. No. 3197 was passed by the Senate on May

         23, 1997, by a viva-voce vote.

                                             _______________________________

                                                 Secretary of the Senate

         APPROVED:  _____________________

                            Date

                    _____________________

                          Governor