76R11240 CLG-F
By Gray H.B. No. 2236
Substitute the following for H.B. No. 2236:
By Gray C.S.H.B. No. 2236
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to contracts for Medicaid managed care.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 533.004, Government Code, is amended by
1-5 amending Subsection (a) and adding Subsection (e) to read as
1-6 follows:
1-7 (a) In providing health care services through Medicaid
1-8 managed care to recipients in a health care service region, the
1-9 commission shall contract with any [at least one] managed care
1-10 organization in that region that:
1-11 (1) is licensed under the Texas Health Maintenance
1-12 Organization Act (Chapter 20A, Vernon's Texas Insurance Code) to
1-13 provide health care in that region and that is:
1-14 (A) [(1)] wholly owned and operated by a
1-15 hospital district in that region;
1-16 (B) [(2)] created by a nonprofit corporation
1-17 that:
1-18 (i) [(A)] has a contract, agreement, or
1-19 other arrangement with a hospital district in that region or with a
1-20 municipality in that region that owns a hospital licensed under
1-21 Chapter 241, Health and Safety Code, and has an obligation to
1-22 provide health care to indigent patients; and
1-23 (ii) [(B)] under the contract, agreement,
1-24 or other arrangement, assumes the obligation to provide health care
2-1 to indigent patients and leases, manages, or operates a hospital
2-2 facility owned by the hospital district or municipality; or
2-3 (C) [(3)] created by a nonprofit corporation
2-4 that has a contract, agreement, or other arrangement with a
2-5 hospital district in that region under which the nonprofit
2-6 corporation acts as an agent of the district and assumes the
2-7 district's obligation to arrange for services under the Medicaid
2-8 expansion for children as authorized by Chapter 444, Acts of the
2-9 74th Legislature, Regular Session, 1995; or
2-10 (2) holds a certificate of authority as a health
2-11 maintenance organization under Article 20A.05, Insurance Code, and
2-12 that is:
2-13 (A) certified under Section 5.01(a), Medical
2-14 Practice Act (Article 4495b, Vernon's Texas Civil Statutes); and
2-15 (B) created by The University of Texas Medical
2-16 Branch at Galveston.
2-17 (e) For purposes of a managed care organization described by
2-18 Subsection (a)(2), "health care service region" or "region" means
2-19 the service area for which the managed care organization obtained a
2-20 certificate of authority as a health maintenance organization from
2-21 the Texas Department of Insurance before September 2, 1999.
2-22 SECTION 2. The importance of this legislation and the
2-23 crowded condition of the calendars in both houses create an
2-24 emergency and an imperative public necessity that the
2-25 constitutional rule requiring bills to be read on three several
2-26 days in each house be suspended, and this rule is hereby suspended,
2-27 and that this Act take effect and be in force from and after its
3-1 passage, and it is so enacted.