HBA-CMT C.S.H.C.R. 206 77(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.H.C.R. 206
By: Nixon, Joe
Civil Practices
4/20/2001
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Darcie R. Barclay suffered from degenerative bone disease of the
temporomandibular joint caused by a medical grade of implant/joint
prosthesis that was recalled by the Food and Drug Administration and needed
specialized surgery to alleviate pain and inability to function.  Ms.
Barclay was insured under The University of Texas System Employee Health
Plan, for which The University of Texas Medical Branch was the insurer and
NYLCare Health Plans of the Gulf Coast, Inc. was the adjusting arm.   

On a number of separate occasions, Darcie R. Barclay was assured by
representatives of The University of Texas Medical Branch and NYLCare
Health Plans of the Gulf Coast Inc. that the needed surgery was covered in
her insurance, only to be later informed on each occasion that she was in
fact not covered and a different reason for denial of coverage was given on
each occasion. The University of Texas Medical Branch, The University of
Texas System, and Texas Gulf Coast HMO Inc. may have violated the Insurance
Code and the Deceptive Trade Practices-Consumer Protection Act.  The
assurances and subsequent denials of coverage resulted in postponement of
corrective surgery and denial of treatment by health care providers for
postsurgical pain and complications, and ultimately resulted in the loss of
employment for Ms. Barclay and attendant damages.  C.S.H.C.R. 206 grants
permission to Darcie R. Barclay to sue the State of Texas,  The University
of Texas Medical Branch, and The University of Texas System, and provides
that the chairman of the board of regents of The University of Texas System
be served process for the University of Texas Medical Branch and the
chancellor of The University of Texas System be served process. 

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.C.R. 206 grants permission to Darcie R. Barclay to sue the State of
Texas,  The University of Texas Medical Branch, and The University of Texas
System, and provides that the chairman of the board of regents of The
University of Texas System be served process for The University of Texas
Medical Branch and the chancellor of The University of Texas System be
served process.  The bill prohibits the total of all damages awarded in the
suit authorized by the resolution including court costs, attorney's fees,
and prejudgment interest from exceeding $650,000.  The bill prohibits
Darcie R. Barclay from pleading an amount in excess of $650,000.   

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.C.R 206 modifies the original resolution by adding that the total of
all damages awarded in the suit is prohibited from exceeding $650,000.