Amend CSSB 358 by adding the following appropriately numbered
section and by renumbering subsequent sections appropriately:
      SECTION ____.  Subchapter C, Chapter 534, Health and Safety
Code, is amended by adding Section 534.106 to read as follows:
      Sec. 534.106.  CONDITIONS FOR CERTAIN CONTRACTS.  (a)  The
department may not contract with a health maintenance organization
formed by one or more community centers unless the board of
directors of the health maintenance organization:
            (1)  includes an individual appointed by the governor;
and
            (2)  does not include a trustee or executive director
of a community center.
      (b)  A contract between the department and a  health
maintenance organization formed by one or more community centers
must provide that the health maintenance organization may not form
a for-profit entity unless the organization transfers all of the
organization's assets to the control of the boards of trustees of
the community centers that formed the organization.