77R9185 KLA-D                           
         By Coleman                                            H.B. No. 1087
         Substitute the following for H.B. No. 1087:
         By Capelo                                         C.S.H.B. No. 1087
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to a demonstration project to establish  a medical
 1-3     assistance buy-in program for certain persons with disabilities.
 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 MEDICAL ASSISTANCE
 1-8     BUY-IN PROGRAM FOR CERTAIN RECIPIENTS WITH DISABILITIES. (a)  The
 1-9     department shall establish a demonstration project to implement in
1-10     three sites a medical assistance buy-in program in accordance with
1-11     the Ticket to Work and Work Incentives Improvement Act of 1999
1-12     (Pub. L. No. 106-170), as amended, to provide medical assistance
1-13     to:
1-14                 (1)  a person who:
1-15                       (A)  is at least 16 years of age, but is not more
1-16     than 64 years of age; and
1-17                       (B)  has earned income that exceeds the limit
1-18     established by federal law for eligibility for Supplemental
1-19     Security Income (SSI) (42 U.S.C. Section 1381 et seq.), as amended,
1-20     but is otherwise eligible for those benefits; and
1-21                 (2)  an employed individual with a medically improved
1-22     disability, as defined by 42 U.S.C. Section 1396d(v)(1), as
1-23     amended.
1-24           (b)  In establishing the demonstration project, the
 2-1     department may:
 2-2                 (1)  establish income, assets, and resource limitations
 2-3     for eligibility for participation in the demonstration project; and
 2-4                 (2)  require a participant in the demonstration project
 2-5     to pay premiums and other cost-sharing charges in accordance with
 2-6     42 U.S.C. Section 1396o(g)(1), as amended.
 2-7           (c)  The department shall require a participant in the
 2-8     project to pay premiums to the extent required by 42 U.S.C. Section
 2-9     1396o(g)(2), as amended.
2-10           (d)  Not later than December 1, 2002, the department shall
2-11     evaluate the effectiveness of the demonstration project in
2-12     providing health care services to employed persons with
2-13     disabilities.  If the results of the evaluation indicate that the
2-14     project is effective, the department shall incorporate a request
2-15     for funding for the continuation or expansion of the program in the
2-16     department's budget request for the next state fiscal biennium.
2-17           (e)  This section expires September 1, 2003.
2-18           SECTION 2. (a)  The Health and Human Services Commission
2-19     shall request and actively pursue the award of a federal grant
2-20     authorized by the Ticket to Work and Work Incentives Improvement
2-21     Act of 1999 (Pub. L. No. 106-170), as amended, to support the
2-22     design, establishment, and operation of infrastructures in this
2-23     state that provide support services for employed persons with
2-24     disabilities.
2-25           (b)  The commission shall comply with any prerequisite
2-26     imposed under the federal law to receiving the grant.
2-27           SECTION 3. The state agency responsible for implementing the
 3-1     demonstration project required by Section 32.053, Human Resources
 3-2     Code, as added by this Act, shall request and actively pursue any
 3-3     necessary waivers or authorizations from the Health Care Financing
 3-4     Administration or other appropriate entities to enable the agency
 3-5     to implement the demonstration project not later than September 1,
 3-6     2002.  The agency may delay implementing the demonstration project
 3-7     until the necessary waivers or authorizations are granted.
 3-8           SECTION 4.  This Act takes effect September 1, 2001.