MINUTES 
          
              SENATE INTERIM COMMITTEE ON HEALTH AND HUMAN SERVICES 
                            Tuesday, October 7, 1997 
                                     9 a.m. 
                                 Senate Chamber 
                                      ***** 
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, an organizational meeting and briefing of the Senate  
         Interim Committee on Health and Human Services was held on  
         Tuesday, October 7, 1997, in the Senate Chamber at Austin,  
         Texas.   
                                      ***** 
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Judith Zaffirini, Chair         Senator Chris Harris 
         Senator John Carona                      
         Senator Jon Lindsay  
         Senator Frank Madla                      
                                      ***** 
         The chair called the meeting to order at 9 a.m.  There being a  
         quorum present, the following business was transacted.   
          
         The chair made opening remarks and announced that the purpose  
         of the meeting was to consider the organization, rules,  
         procedures and proposed schedule for the Senate Interim  
         Committee on Health and Human Services and to receive  
         briefings regarding interim charges from Lt. Gov. Bob Bullock.   
         The chair laid out the rules for the Senate Interim Committee  
         on Health and Human Services and called for revisions.  There  
         being none, Senator Madla moved their approval.  There being  
         no objection, the rules were adopted by unanimous consent.  
          
         The chair called invited panelists to brief committee members  
         regarding efforts to reduce fraud and improper payments under  
         the state Medicaid and welfare programs, including the  
         implementation of Senate Bill 30 by Sen. Judith Zaffirini and  
         Rep. Glen Maxey. 
          
         The following person provided oral and written testimony: 
          
              Dr. Michael D. McKinney, commissioner, Texas Health and  
              Human Services Commission, 4900 N. Lamar, 4th Floor,  
              Austin, Texas 78711-3247. 
          
         The following persons provided oral testimony: 
          
              Eric Bost, commissioner, Texas Department of Human  
              Services, 701 West 51st Street, Austin, Texas 78714-9030. 
          
              Robin Herskowitz, senior policy analyst, Comptroller of  
              Public Accounts, 111 East 17th Street, Austin, Texas  
              78711-3528. 
          
              Beth Taylor, division chief, Medicaid Fraud Control Unit,  
              Office of the Attorney General, P.O. Box 12548, Austin,  
      
              Texas 78711-2548. 
          
              Melissa Todd, division chief, Elder Law, Office of the  
              Attorney General, P.O. Box 12548, Austin, Texas  
              78711-2548. 
          
              Nance Stearman, director, Health Facility Compliance  
              Division, Texas Department of Health, 1100 West 49th  
              Street, Austin, Texas 78756. 
          
              Ron Mansolo, associate commissioner, Texas Department of  
              Health, 1100 W. 49th Street, Austin, Texas 78756. 
          
              Aurora LeBrun, associate commissioner, Texas Health and  
              Human Services Commission, 4900 N. Lamar, 4th Floor,  
              Austin, Texas 78711-3247. 
          
         The following persons registered, but did not testify: 
          
              Paul Luce, manager, Third Party Reimbursement, Mercy  
              Regional Medical Center, P.O.  
              Box 2068, Laredo, Texas 78044-2068. 
          
              Pamela Leming Brower, CPA, director, Business Office,  
              Mercy Regional Medical Center, 1515 Logan Avenue, Laredo,  
              Texas 78044. 
          
         The chair called invited panelists to brief committee members  
         regarding federal welfare reform. 
          
         The following persons provided oral and written testimony: 
          
              Dr. Michael D. McKinney, commissioner, Texas Health and  
              Human Services Commission, 4900 N. Lamar, 4th Floor,  
              Austin, Texas 78711-3247. 
          
              Pat Montoya, director, U.S. Department of Health and  
              Human Services, 1200 Main Tower, Suite 1100, Dallas,  
              Texas 75202. 
          
              Laurie Rich, executive director, Texas Office of State  
              and Federal Relations, 122 C Street, NW, Suite 200,  
              Austin, Texas 20001. 
          
         The following persons provided oral testimony: 
              Eric Bost, commissioner, Texas Department of Human  
              Services, 701 West 51st Street, Austin, Texas 78714-9030. 
          
              Bill Hammond, chair, Texas Workforce Commission, 101 East  
              15th Street, Austin, Texas 78778-0001. 
          
         The following person registered as a resource witness: 
  
              Ron Lindsay, director, Health and Human Services, Office  
              of the Governor, P.O. Box 12428, Austin, Texas 78711. 
          
         The chair called invited panelists to brief committee members  
         regarding the implementation of Senate Bill 55 by Sen. Judith  
         Zaffirini and Rep. Hugo Berlanga, relating to minors' access  
         to tobacco. 
          
         The following persons provided oral testimony: 
          
              Dr. Patti Patterson, executive deputy commissioner, Texas  
              Department of Health, 1100 West 49th Street, Austin,  
              Texas 78756. 
          
              Robin Herskowitz, senior policy analyst, Comptroller of  
              Public Accounts, 111 East 17th Street, Austin, Texas  
              78711-3528. 
          
              Philip Huang, chief, Bureau of Chronic Disease, Texas  
              Department of Health, 1100 West 49th Street, Austin,  
              Texas 78756. 
          
         The chair called invited panelists to brief committee members  
         regarding developments in the federal tobacco settlement  
         discussions. 
          
         The following person provided oral and written testimony: 
          
              Laurie Rich, executive director, Texas Office of State  
              and Federal Relations, 122 C Street, NW, Suite 200,  
              Washington, DC 20001. 
          
         The chair called invited panelists to brief committee members  
         regarding demographic trends of Texas that will impact the  
         health and human services delivery system in the future. 
          
         The following persons provided oral and written testimony: 
          
              Dr. Michael D. McKinney, commissioner, Texas Health and  
              Human Services Commission, 4900 N. Lamar, 4th Floor,  
              Austin, Texas 78711-3247. 
          
              Dr. Steve Murdock, professor, Department of Rural  
              Sociology, Texas A&M University, College Station, Texas  
              77843-2125. 
          
         The chair called invited panelists to brief committee members  
         regarding current practices in patient billing by Texas  
         hospitals and providers of health care to evaluate the  
         accuracy, clarity and timeliness of patient billings. 
          
         The following persons provided oral testimony: 
          
              Linda Bayless, director, Fraud Unit, Texas Department of  
              Insurance, 333 Guadalupe Street, Austin, Texas 78714. 
          
              Nance Stearman, director, Texas Department of Health,  
              1100 West 49th Street, Austin, Texas 78756. 
          
              Dianne Longley, insurance director, Life and Group  
              Health, Texas Department of Insurance, 333 Guadalupe  
              Street, Austin, Texas 78714. 
          
              Tony Cobos, general counsel, Texas State Board of Medical  
              Examiners, P.O. Box 2018, Austin, Texas 78660. 
          
              Andy Salmon, director, Advertising and Complaints  
              Resolution, Texas Department of Insurance, 333 Guadalupe  
              Street, Austin, Texas 78714. 
          
         The following persons registered as resource witnesses: 
          
              Dr. Jim Zukowski, director, Health Professional Licensing  
              Division, Texas Department of Health, 1100 West 49th  
              Street, Austin, Texas 78727. 
          
              John F. Zavala, investigator, Texas Board of Chiropractor  
              Examiners, 333 Guadalupe Street, Tower 3, Suite 825,  
              Austin, Texas 78702. 
          
         With no other business to come before the committee, the chair  
         recessed the Senate Interim Committee on Health and Human  
         Services at 12 p.m., subject to the call of the chair. 
          
         _______________________________ 
         Senator Judith Zaffirini, Chair 
          
         _______________________________ 
         Pam Crowley, Committee Clerk