HBA-MPM C.S.H.B. 2602 77(R)    BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 2602
By: Coleman
Public Health
4/11/2001
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

In 1999, the 76th Legislature passed legislation that updated the state
Indigent Health Care and Treatment Act of 1985.  This legislation shifted
the focus of county indigent health care programs to primary and preventive
care, and gave counties more flexibility to administer local programs
tailored to meet local needs. The legislation lowered the spending
threshold that a county must surpass to receive state financial assistance,
created a list of optional services a county may provide and receive credit
toward its threshold, and allowed counties to use less restrictive
eligibility standards.  The legislation also increased accountability by
allowing providers to collect eligibility information from patients,
allowing the Texas Department of Health to resolve eligibility disputes and
improve reporting.  C.S.H.B. 2602 ensures proper implementation of the
reforms enacted in 1999 by clarifying various provisions of the Indigent
Health Care and Treatment Act. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

C.S.H.B. 2602 amends the Health and Safety and Government codes to update
statutory references and make clarifying changes to the Indigent Health
Care and Treatment Act. 

The bill provides that if a county and health care provider or a public
hospital and health care provider disagree on a patient's eligibility, they
are authorized to submit the matter to the Texas Department of Health
(TDH). The bill deletes existing law that requires TDH to adopt rules
governing the distribution of state assistance under the Indigent Health
Care and Treatment Act and related rulemaking provisions.  The bill
includes payments of state assistance as provided in the Indigent Health
Care and Treatment Act in the payments for which the tertiary care account
shall be allocated. 

The bill provides that minimum eligibility standards for indigent health
care must incorporate a net income eligibility level equal to 21 rather
than 25 percent of the federal poverty level.  The bill repeals provisions
in the Indigent Health Care and Treatment Act specifying that effective
January 1, 2001 through December 31, 2001, minimum eligibility standards
must incorporate a net income eligibility level equal to 21 percent of the
federal poverty level. 

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001. Provisions that modify the Indigent Health
Care and Treatment Act take effect September 1, 2001. 

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 2602 differs from the original bill to make modifications to the
Government Code in addition to  the Health and Safety Code to specify that
the tertiary care account shall allocate payments of state assistance as
provided in the Indigent Health Care and Treatment Act.  The substitute
also repeals provisions in the Indigent Health Care and Treatment Act
specifying that effective January 1, 2001 through December 31, 2001 minimum
eligibility standards must incorporate a net income eligibility level equal
to 21 percent of the federal poverty level. 

The substitute removes provisions in the original that specified that an
eligible county resident who qualifies for assistance under the Indigent
Health Care and Treatment Act is subject to general eligibility criteria
provided in state law rather than county eligibility requirements.