By Wolens                                             H.B. No. 2573
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to tertiary medical care.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subtitle B, Title 2, Health and Safety Code, is
 1-5     amended by adding Chapter 46 to read as follows:
 1-6                     CHAPTER 46.  TERTIARY MEDICAL CARE
 1-7           Sec. 46.001.  DEFINITIONS.  In this chapter:
 1-8                 (1)  "Tertiary care facility" means a:
 1-9                       (A)  primary teaching hospital of a medical
1-10     school;
1-11                       (B)  level 1 trauma center;
1-12                       (C)  level 2 trauma center;
1-13                       (D)  level 3 trauma center that is more than 100
1-14     miles from a level 1 or level 2 trauma center; or
1-15                       (E)  level 4 trauma center.
1-16                 (2)  "Tertiary medical services" includes services
1-17     provided by burn centers and neonatology Level III units, pediatric
1-18     and trauma surgery, neurosurgery, cardiothoracic and vascular
1-19     surgery, organ transplant, services provided for a life threatening
1-20     dermatologic illness, services provided to a person with a high
1-21     risk pregnancy or cancer, and radiation oncology.
1-22           Sec. 46.002.  DESIGNATION OF FACILITIES.  The department
1-23     shall designate tertiary care facilities that meet the requirements
1-24     of this chapter to provide tertiary medical services.
 2-1           Sec. 46.003.  DUTIES OF BOARD; RULES.  (a)  The board by rule
 2-2     shall adopt minimum standards and objectives to implement a system
 2-3     that encourages hospitals to provide tertiary medical services and
 2-4     increases the availability of tertiary medical services.
 2-5           (b)  The rules must:
 2-6                 (1)  provide for service to all geographic areas of the
 2-7     state, considering time and distance to the tertiary care
 2-8     facilities;
 2-9                 (2)  provide specific requirements for appropriate care
2-10     of patients; and
2-11                 (3)  facilitate coordination among all health care
2-12     facilities in the delivery area.
2-13           (c)  The rules must include:
2-14                 (1)  pre-hospital care management guidelines for
2-15     triage, transfer, and transportation of patients;
2-16                 (2)  criteria for determining geographic boundaries of
2-17     tertiary care facilities;
2-18                 (3)  minimum requirements for resources and equipment
2-19     needed by a health care facility to treat patients;
2-20                 (4)  standards for the availability and qualifications
2-21     of the health care personnel, including each specialist treating a
2-22     patient in a tertiary care facility;
2-23                 (5)  requirements for data collection, including
2-24     operation of the tertiary care facility and patient outcomes;
2-25                 (6)  requirements for periodic performance evaluation
2-26     of the tertiary care facility; and
2-27                 (7)  assurances that designated tertiary care
 3-1     facilities will not refuse to accept the transfer of a patient
 3-2     solely because of the person's inability to pay for services or
 3-3     because of the person's age, sex, race, religion, or national
 3-4     origin.
 3-5           Sec. 46.004.  DENIAL, SUSPENSION, OR REVOCATION OF
 3-6     DESIGNATION.  (a)  The department may deny, suspend, or revoke a
 3-7     designation as a tertiary care facility if the facility fails to
 3-8     comply with the rules adopted under this chapter.
 3-9           (b)  The denial, suspension, or revocation of a designation
3-10     by the department and the appeal from that action are governed by
3-11     the board's rules for a contested case hearing and by Chapter 2001,
3-12     Government Code.
3-13           Sec. 46.005.  TERTIARY CARE FACILITY ACCOUNT.  (a)  The
3-14     tertiary care facility account is an account in the state treasury.
3-15     Money in the account may be appropriated only to the department for
3-16     the purposes of this chapter.
3-17           (b)  The account is composed of money appropriated to the
3-18     account and any other funds required to be put in the account.
3-19           (c)  The department may seek and accept gifts, grants, and
3-20     donations from any public or private entity on behalf of the
3-21     account.
3-22           (d)  Section 403.095, Government Code, does not apply to the
3-23     account.
3-24           (e)  For each fiscal year, five percent of the total amount
3-25     in the account shall be held in reserve and may be used only for
3-26     reimbursement of unpaid tertiary medical services provided as a
3-27     result of extraordinary emergencies occurring during that year.  Of
 4-1     the amount remaining, not more than five percent may be used for
 4-2     the costs of administering the account.
 4-3           Sec. 46.006.  COLLECTION OF INFORMATION.  (a)  Each
 4-4     designated tertiary care facility shall submit to the department,
 4-5     in the manner and at the time required by the department,
 4-6     information that relates to the unreimbursed tertiary medical
 4-7     services provided to persons who reside outside the service area of
 4-8     the county, public hospital, or hospital district that is
 4-9     responsible for indigent health care under Chapter 61 in the area
4-10     in which the tertiary care facility is located.
4-11           (b)  The board shall adopt rules governing the collection of
4-12     the information under Subsection (a).
4-13           Sec. 46.007.  CERTIFICATION TO COMPTROLLER.  (a)  The
4-14     department shall certify to the comptroller for each designated
4-15     tertiary care facility the cost of unreimbursed tertiary medical
4-16     services provided by the facility to persons who reside outside the
4-17     service area of the county, public hospital, or hospital district
4-18     that is responsible for indigent health care under Chapter 61 in
4-19     the area in which the tertiary care facility is located.
4-20           (b)  Each year the department shall make, for a facility that
4-21     was a designated tertiary care facility during the previous year,
4-22     an initial certification to the comptroller under Subsection (a) in
4-23     an amount that equals 80 percent of the amount certified under this
4-24     section for the facility in the previous year. The department shall
4-25     make a subsequent certification of the cost of additional
4-26     unreimbursed tertiary medical services provided by the facility on
4-27     receipt from the facility of the information required to be
 5-1     submitted under Section 46.006.
 5-2           (c)  If in any year the total cost of unreimbursed tertiary
 5-3     medical services certified under Subsection (a) for all designated
 5-4     tertiary care facilities exceeds the amount available for payment
 5-5     to the facilities under Section 46.005(e), the department shall
 5-6     allocate the amount available under Section 46.005(e) to each
 5-7     facility based on the percentages computed by dividing the cost of
 5-8     the facility's unreimbursed tertiary medical services by the total
 5-9     cost of all facilities' unreimbursed tertiary medical services.
5-10           (d)  For purposes of this section and Section 46.008, the
5-11     cost of each service provided is the average amount payable under
5-12     Medicare for services for the  Medicare diagnosis related groups
5-13     that must be provided by a tertiary care facility to qualify for
5-14     designation under the minimum standards adopted under this chapter.
5-15           Sec. 46.008.  CERTIFICATION OF EMERGENCIES.  (a)  For
5-16     purposes of reimbursing extraordinary emergencies under this
5-17     chapter, the department shall certify an extraordinary emergency:
5-18                 (1)  if the governor issues an executive order or a
5-19     proclamation under Chapter 418, Government Code;
5-20                 (2)  if a disaster is declared by the president of the
5-21     United States under the Robert T. Stafford Disaster Relief and
5-22     Emergency Assistance Act (42 U.S.C. Section 5121 et seq.); or
5-23                 (3)  for another similar disaster the department finds
5-24     has resulted in an extraordinary cost to a designated tertiary care
5-25     facility.
5-26           (b)  If an extraordinary emergency is declared under
5-27     Subsection (a), the department shall certify to the comptroller the
 6-1     amount of unreimbursed tertiary medical services incurred by a
 6-2     designated tertiary care facility during the emergency.
 6-3           (c)  The comptroller shall pay the tertiary care facility.
 6-4           SECTION 2.  This Act takes effect September 1, 1999.
 6-5           SECTION 3.  The importance of this legislation and the
 6-6     crowded condition of the calendars in both houses create an
 6-7     emergency and an imperative public necessity that the
 6-8     constitutional rule requiring bills to be read on three several
 6-9     days in each house be suspended, and this rule is hereby suspended.