1-1 By: Edwards (Senate Sponsor - Lindsay) H.B. No. 2453 1-2 (In the Senate - Received from the House April 23, 1999; 1-3 April 26, 1999, read first time and referred to Committee on Health 1-4 Services; May 12, 1999, reported favorably by the following vote: 1-5 Yeas 4, Nays 0; May 12, 1999, sent to printer.) 1-6 A BILL TO BE ENTITLED 1-7 AN ACT 1-8 relating to the authority of physicians and optometrists or 1-9 therapeutic optometrists to form certain jointly owned entities. 1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-11 SECTION 1. Subchapter E, Medical Practice Act (Article 1-12 4495b, Vernon's Texas Civil Statutes), is amended by adding Section 1-13 5.12 to read as follows: 1-14 Sec. 5.12. AUTHORITY TO FORM CERTAIN JOINTLY OWNED ENTITIES. 1-15 (a) Except as provided by Section 3.07(c) of this Act, a physician 1-16 and an optometrist or therapeutic optometrist may organize, jointly 1-17 own, and manage a partnership under the Texas Revised Partnership 1-18 Act (Article 6132b-1.01 et seq., Vernon's Texas Civil Statutes), a 1-19 limited partnership under the Texas Revised Limited Partnership Act 1-20 (Article 6132a-1, Vernon's Texas Civil Statutes), a limited 1-21 liability company under the Texas Limited Liability Company Act 1-22 (Article 1528n, Vernon's Texas Civil Statutes), or any other legal 1-23 entity to: 1-24 (1) own real property, other physical facilities, or 1-25 equipment for the delivery of health care services or management; 1-26 (2) lease, rent, or otherwise acquire the use of real 1-27 property, other physical facilities, or equipment for the delivery 1-28 of health care services or management; or 1-29 (3) employ or otherwise use a person who is not a 1-30 physician, optometrist, or therapeutic optometrist for the delivery 1-31 of health care services or management. 1-32 (b) Only a physician, optometrist, or therapeutic 1-33 optometrist may own an interest in an entity authorized under 1-34 Subsection (a) of this section. This subsection does not prohibit 1-35 an entity from making one or more payments to an owner's estate 1-36 following the owner's death under an agreement with the owner or as 1-37 otherwise authorized or required by law. 1-38 SECTION 2. Article 5, Texas Optometry Act (Article 4552-5.01 1-39 et seq., Vernon's Texas Civil Statutes), is amended by adding 1-40 Section 5.22 to read as follows: 1-41 Sec. 5.22. AUTHORITY TO FORM CERTAIN JOINTLY OWNED ENTITIES. 1-42 (a) Except as provided by Section 5.13(b) or (c) of this Act, an 1-43 optometrist or therapeutic optometrist and a physician may 1-44 organize, jointly own, and manage a partnership under the Texas 1-45 Revised Partnership Act (Article 6132b-1.01 et seq., Vernon's Texas 1-46 Civil Statutes), a limited partnership under the Texas Revised 1-47 Limited Partnership Act (Article 6132a-1, Vernon's Texas Civil 1-48 Statutes), a limited liability company under the Texas Limited 1-49 Liability Company Act (Article 1528n, Vernon's Texas Civil 1-50 Statutes), or any other legal entity to: 1-51 (1) own real property, other physical facilities, or 1-52 equipment for the delivery of health care services or management; 1-53 (2) lease, rent, or otherwise acquire the use of real 1-54 property, other physical facilities, or equipment for the delivery 1-55 of health care services or management; or 1-56 (3) employ or otherwise use a person who is not an 1-57 optometrist, therapeutic optometrist, or physician for the delivery 1-58 of health care services or management. 1-59 (b) Only an optometrist, therapeutic optometrist, or 1-60 physician may have an ownership interest in an entity authorized 1-61 under Subsection (a) of this section. This subsection does not 1-62 prohibit an entity from making one or more payments to an owner's 1-63 estate following the owner's death under an agreement with the 1-64 owner or as otherwise authorized or required by law. 2-1 SECTION 3. This Act takes effect September 1, 1999. 2-2 SECTION 4. The importance of this legislation and the 2-3 crowded condition of the calendars in both houses create an 2-4 emergency and an imperative public necessity that the 2-5 constitutional rule requiring bills to be read on three several 2-6 days in each house be suspended, and this rule is hereby suspended. 2-7 * * * * *