1-1 By: Gray (Senate Sponsor - Lindsay) H.B. No. 2236
1-2 (In the Senate - Received from the House May 10, 1999;
1-3 May 10, 1999, read first time and referred to Committee on Health
1-4 Services; May 14, 1999, reported favorably, as amended, by the
1-5 following vote: Yeas 5, Nays 0; May 14, 1999, sent to printer.)
1-6 COMMITTEE AMENDMENT NO. 1 By: Lindsay
1-7 Amend H.B. 2236 as follows:
1-8 On page 1, line 47 (House Engrossment), strike "initial
1-9 implementation date for that service area" and replace with
1-10 "effective date of this Act".
1-11 A BILL TO BE ENTITLED
1-12 AN ACT
1-13 relating to contracts for Medicaid managed care.
1-14 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-15 SECTION 1. Section 533.004, Government Code, is amended by
1-16 amending Subsection (a) and adding Subsection (e) to read as
1-17 follows:
1-18 (a) In providing health care services through Medicaid
1-19 managed care to recipients in a health care service region, the
1-20 commission shall contract with a [at least one] managed care
1-21 organization in that region that is licensed under the Texas Health
1-22 Maintenance Organization Act (Chapter 20A, Vernon's Texas Insurance
1-23 Code) to provide health care in that region and that is:
1-24 (1) wholly owned and operated by a hospital district
1-25 in that region;
1-26 (2) created by a nonprofit corporation that:
1-27 (A) has a contract, agreement, or other
1-28 arrangement with a hospital district in that region or with a
1-29 municipality in that region that owns a hospital licensed under
1-30 Chapter 241, Health and Safety Code, and has an obligation to
1-31 provide health care to indigent patients; and
1-32 (B) under the contract, agreement, or other
1-33 arrangement, assumes the obligation to provide health care to
1-34 indigent patients and leases, manages, or operates a hospital
1-35 facility owned by the hospital district or municipality; or
1-36 (3) created by a nonprofit corporation that has a
1-37 contract, agreement, or other arrangement with a hospital district
1-38 in that region under which the nonprofit corporation acts as an
1-39 agent of the district and assumes the district's obligation to
1-40 arrange for services under the Medicaid expansion for children as
1-41 authorized by Chapter 444, Acts of the 74th Legislature, Regular
1-42 Session, 1995.
1-43 (e) In providing health care services through Medicaid
1-44 managed care to recipients in a health care service region, with
1-45 the exception of the Harris service area for the STAR Medicaid
1-46 managed care program, as defined by the commission as of the
1-47 initial implementation date for that service area, the commission
1-48 shall also contract with a managed care organization in that region
1-49 that holds a certificate of authority as a health maintenance
1-50 organization under Section 5, Texas Health Maintenance Organization
1-51 Act (Article 20A.05, Vernon's Texas Insurance Code), and that:
1-52 (1) is certified under Section 5.01(a), Medical
1-53 Practice Act (Article 4495b, Vernon's Texas Civil Statutes);
1-54 (2) is created by The University of Texas Medical
1-55 Branch at Galveston; and
1-56 (3) has obtained a certificate of authority as a
1-57 health maintenance organization to serve one or more counties in
1-58 that region from the Texas Department of Insurance before September
1-59 2, 1999.
1-60 SECTION 2. The importance of this legislation and the
1-61 crowded condition of the calendars in both houses create an
1-62 emergency and an imperative public necessity that the
1-63 constitutional rule requiring bills to be read on three several
2-1 days in each house be suspended, and this rule is hereby suspended,
2-2 and that this Act take effect and be in force from and after its
2-3 passage, and it is so enacted.
2-4 * * * * *