By Coleman                                             H.B. No. 895
         77R2419 KLA-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to a demonstration project to provide certain medications
 1-3     and related services through the medical assistance program.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Subchapter B, Chapter 32, Human Resources Code, is
 1-6     amended by adding Section 32.053 to read as follows:
 1-7           Sec. 32.053.  DEMONSTRATION PROJECT FOR CERTAIN MEDICATIONS
 1-8     AND RELATED SERVICES. (a)  The department shall establish a
 1-9     five-year demonstration project to provide to a person through the
1-10     medical assistance program psychotropic medications and related
1-11     laboratory and physician services necessary to conform to a
1-12     prescribed medical regime for those medications.
1-13           (b)  A person is eligible to participate in the demonstration
1-14     project if the person:
1-15                 (1)  has been diagnosed with schizophrenia or bipolar
1-16     disorder;
1-17                 (2)  is at least 19 years of age, but not more than 64
1-18     years of age;
1-19                 (3)  has a net family income that is at or below 200
1-20     percent of the federal poverty level;
1-21                 (4)  is not covered by a health benefits plan offering
1-22     adequate coverage, as determined by the department; and
1-23                 (5)  is not otherwise eligible for medical assistance.
1-24           (c)  A participant in the demonstration project is not
 2-1     subject to the monthly three-prescription limit under the medical
 2-2     assistance program.
 2-3           (d)  Not later than December 1 of each even-numbered year,
 2-4     the department shall submit a biennial report to the legislature
 2-5     regarding the department's progress in establishing and operating
 2-6     the demonstration project.
 2-7           (e)  Not later than December 1, 2006, the department shall
 2-8     evaluate the cost-effectiveness of the demonstration project,
 2-9     including whether the preventive drug treatments and related
2-10     services provided under the project offset future long-term care
2-11     costs for project participants.  If the results of the evaluation
2-12     indicate that the project is cost-effective, the department shall
2-13     incorporate a request for funding for the continuation of the
2-14     program in the department's budget request for the next state
2-15     fiscal biennium.
2-16           (f)  This section expires September 1, 2007.
2-17           SECTION 2. If before implementing any provision of this Act a
2-18     state agency determines that a waiver or authorization from a
2-19     federal agency is necessary for implementation of that provision,
2-20     the agency affected by the provision shall request the waiver or
2-21     authorization and may delay implementing that provision until the
2-22     waiver or authorization is granted.
2-23           SECTION 3. This Act takes effect September 1, 2001.