SRC-BWC S.B. 347 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 347
77R1837 PEP-DBy: Brown, J. E. "Buster"
Criminal Justice
2/9/2001
As Filed


DIGEST AND PURPOSE 

Currently, the University of Texas Medical Branch at Galveston (UTMB)
purchases pharmaceutical drugs for the Texas prison system through a drug
consortium, thus reducing the cost.  By participating in the federal "340B"
drug pricing program, pharmaceutical drugs can be purchased for an even
lower cost if UTMB, the Correctional Managed Health Care Committee (CMHCC),
the Texas Department of Criminal Justice (TDCJ), and the Texas Tech
University Health Sciences Center make the necessary administrative and
contract modifications in order to qualify for the program.  As proposed,
S.B. 347 requires TDCJ to modify its contracts with CMHCC so that the UTMB
can purchase prescription drugs for the prison population at federal "340B"
prices. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Sections 501.147(a) and (c), Government Code, by
requiring a contract entered into on behalf of the Department of Criminal
Justice (TDCJ) by the Correctional Managed Health Care Committee
(committee) to include provisions to ensure that The University of Texas
Medical Branch at Galveston (UTMB) is eligible for and makes reasonable
efforts to participate in the purchase of prescription drugs under Section
340B, Public Health Service Act (42 U.S.C. Section 256b).  Requires the
committee to integrate the managed health care provider network with the
public medical schools of this state and the component and affiliated
hospitals of those medical schools. Requires the contract to authorize UTMB
to contract directly with the Texas Tech University Health Science Center
(TTUHSC) for the provision of health care services.  Requires TTUHSC to
cooperate with UTMB in its efforts to participate in the purchase of
prescription drugs under Section 340B, Public Health Service Act (42 U.S.C.
Section 256b). 

SECTION 2.  Requires the committee and TDCJ to amend any existing contract
for the implementation of the managed health care plan established under
Section 501.146, Government Code, as necessary to meet the requirements
imposed on the contract under Sections 501.147(a) and (c), Government Code,
as amended by this Act, not later than January 1, 2002. 

SECTION 3.  Effective date:  September 1, 2001.