By Brimer                                             H.B. No. 2545
         76R5011 CMR-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to workers' compensation medical benefits, claims
 1-3     regarding those benefits, and requirements imposed on health care
 1-4     providers who provide services relating to those benefits.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Section 408.022(b), Labor Code, is amended to
 1-7     read as follows:
 1-8           (b)  If an employee is dissatisfied with the initial choice
 1-9     of a doctor from the commission's list, on written application to
1-10     and approval by [the employee may notify] the commission, the
1-11     employee may [and request authority to] select an alternate doctor.
1-12     Unless the insurance carrier agrees to the employee's requested
1-13     [The notification must be in writing stating the reasons for the]
1-14     change, the commission must determine that the change is medically
1-15     warranted before approving the [except notification may be by
1-16     telephone when a medical necessity exists for immediate] change.
1-17     Before denying a request for a change in treating doctors, the
1-18     commission shall consider whether an independent medical
1-19     consultation is necessary to evaluate the appropriateness of the
1-20     treating doctor's diagnosis or treatment.  The commission shall
1-21     notify the employee of its decision not later than the 10th day
1-22     after the date on which the employee's request is received by the
1-23     commission.
1-24           SECTION 2.  Section 408.027, Labor Code, is amended by
 2-1     amending Subsections (a) and (b) and adding Subsection (e) to read
 2-2     as  follows:
 2-3           (a)  An insurance carrier shall pay the fee charged for a
 2-4     service rendered by a health care provider not later than the 20th
 2-5     [45th] day after the date the insurance carrier receives the charge
 2-6     unless the amount of the payment or the entitlement to payment is
 2-7     disputed.
 2-8           (b)  If an insurance carrier disputes the amount charged by a
 2-9     health care provider and requests an audit of the services
2-10     rendered, the insurance carrier shall pay 50 percent of the amount
2-11     charged by the health care provider not later than the 20th [45th]
2-12     day after the date the insurance carrier receives the statement of
2-13     charge.
2-14           (e)  Notwithstanding Subsections (a) and (b), an insurance
2-15     carrier shall pay the fee charged for a service rendered by a
2-16     health care provider not later than the 31st day after the date the
2-17     insurance carrier receives the charge unless the amount of the
2-18     payment or the entitlement to payment is disputed.
2-19           SECTION 3.  Section 413.012, Labor Code, is amended to read
2-20     as follows:
2-21           Sec. 413.012.  MEDICAL POLICY AND GUIDELINE UPDATES REQUIRED.
2-22     (a)  The medical policies and fee guidelines shall be reviewed and
2-23     revised at least every two years to reflect fair and reasonable
2-24     fees and to reflect medical treatment or ranges of treatment that
2-25     are reasonable or necessary at the time the review and revision is
2-26     conducted.
2-27           (b)  If the medical policies and fee guidelines are not
 3-1     reviewed within the period prescribed by Subsection (a), the fees
 3-2     provided in the guideline shall be increased by three percent each
 3-3     year until the medical policy or fee guideline is revised or
 3-4     repealed.
 3-5           SECTION 4.  Section 413.014, Labor Code, is amended by adding
 3-6     Subsections (c), (d), and (e) to read as follows:
 3-7           (c)  The commission may impose additional reimbursement
 3-8     restrictions and preauthorization requirements on a health care
 3-9     provider for noncompliance with this title or commission rules if
3-10     the commission previously notified the health care provider of the
3-11     noncompliance.
3-12           (d)  A person who performs or assists in performing services
3-13     under this section for the commission has the same immunity from
3-14     liability that a commission member has under Section 402.010.
3-15           (e)  An act by the commission under this section does not
3-16     constitute utilization review and is not subject to Article 21.58A,
3-17     Insurance Code.
3-18           SECTION 5.  Section 413.019, Labor Code, is amended by
3-19     amending Subsection (a) and adding Subsection (c) to read as
3-20     follows:
3-21           (a)  Interest on an unpaid fee or charge that is consistent
3-22     with the fee guidelines accrues at the rate provided by Section
3-23     401.023 beginning on the 20th [60th] day after the date the health
3-24     care provider submits the bill to an insurance carrier until the
3-25     date the bill is paid.
3-26           (c)  Notwithstanding Subsection (a), interest on an unpaid
3-27     fee or charge that is consistent with the fee guidelines accrues at
 4-1     the rate provided by Section 401.023 beginning on the 30th day
 4-2     after the date the health care provider submits the bill to an
 4-3     insurance carrier until the date the bill is paid.  This subsection
 4-4     expires September 1, 2001.
 4-5           SECTION 6.  Section 413.042(a), Labor Code, is amended to
 4-6     read as follows:
 4-7           (a)  A health care provider or any other person may not
 4-8     pursue a private claim against a workers' compensation claimant for
 4-9     all or part of the cost of a health care service provided to the
4-10     claimant by the provider unless:
4-11                 (1)  the injury is finally adjudicated not compensable
4-12     under this subtitle; or
4-13                 (2)  the employee violates Section 408.022 relating to
4-14     the selection of a doctor and the doctor did not know of the
4-15     violation at the time the services were rendered.
4-16           SECTION 7.  (a)  This Act takes effect September 1, 1999, and
4-17     applies only to a claim for workers' compensation medical benefits
4-18     filed on or after that date.  A claim that is filed before the
4-19     effective date of this Act is governed by the law in effect on the
4-20     date that the claim was filed, and the former law is continued in
4-21     effect for that purpose.
4-22           (b)  The change in law made by Sections 2 and 5 of this Act
4-23     applies only to payment for services rendered to an injured worker
4-24     by a health care provider based on a charge that is submitted to an
4-25     insurance carrier for payment on or after the effective date of
4-26     this Act.  A charge submitted before that date is governed by the
4-27     law in effect on the date that the charge was submitted, and the
 5-1     former law is continued in effect for that purpose.
 5-2           SECTION 8.  The importance of this legislation and the
 5-3     crowded condition of the calendars in both houses create an
 5-4     emergency and an imperative public necessity that the
 5-5     constitutional rule requiring bills to be read on three several
 5-6     days in each house be suspended, and this rule is hereby suspended.