HOUSE CONCURRENT RESOLUTION

 1-1           WHEREAS, There are certain state health care programs funded

 1-2     by general revenue that could be improved with respect to their

 1-3     funding methods and scope of coverage; and

 1-4           WHEREAS, A pooling and reinvestment of certain

 1-5     diagnosis-specific program funds would enhance the use of available

 1-6     state and federal resources; and

 1-7           WHEREAS, Improving health care coverage for many children

 1-8     would reduce administrative overhead; and

 1-9           WHEREAS, The State of Texas would leverage additional federal

1-10     dollars presently available to the state by modifying current

1-11     funding methods; now, therefore, be it

1-12           RESOLVED, That the 75th Legislature of the State of Texas

1-13     hereby direct the Texas Health and Human Services Commission to

1-14     develop a Section 1115(a) Medicaid waiver application, to be

1-15     submitted after the currently pending waiver application has been

1-16     approved, that sets forth a children's health insurance plan; and,

1-17     be it further

1-18           RESOLVED, That the proposed plan contain the following

1-19     features and safeguards:

1-20                 (1)  the plan must be revenue-neutral to the state;

1-21                 (2)  the plan should give priority for expansion

1-22     services to younger children;

1-23                 (3)  the plan should ensure safeguards in funding for

1-24     the Chronically Ill and Disabled Children's Services Program; and

 2-1                 (4)  the commission should seek the approval of the

 2-2     Legislative Budget Board and the Governor's Budget Office before

 2-3     submitting the new waiver application; and, be it further

 2-4           RESOLVED, That, to the extent possible, the commission:

 2-5                 (1)  develop a cost-sharing structure that allows

 2-6     parents to pay part of a child's premium;

 2-7                 (2)  develop a program that requires copayments;

 2-8                 (3)  develop a program that serves only a specific

 2-9     number of children, based on the amount of funding available;

2-10                 (4)  explore a simplified eligibility program and

2-11     design the  eligibility criteria to target uninsured children; and

2-12                 (5)  apply managed care design structure; and, be it

2-13     further

2-14           RESOLVED, That the secretary of state forward an official

2-15     copy of this resolution to the commissioner of the Health and Human

2-16     Services Commission.

                                                                    Berlanga

                                                                     Coleman

         _______________________________     _______________________________

             President of the Senate              Speaker of the House

               I certify that H.C.R. No. 189 was adopted by the House on May

         2, 1997, by a non-record vote.

                                             _______________________________

                                                 Chief Clerk of the House

               I certify that H.C.R. No. 189 was adopted by the Senate on

         May 22, 1997, by a viva-voce vote.

                                             _______________________________

                                                 Secretary of the Senate

         APPROVED:  _____________________

                            Date

                    _____________________

                          Governor