77R10311 JRD-F                           
         By Coleman                                            H.B. No. 2602
         Substitute the following for H.B. No. 2602:
         By Coleman                                        C.S.H.B. No. 2602
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to indigent health care.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. Section 61.006(b), Health and Safety Code, is
 1-5     amended to read as follows:
 1-6           (b)  The minimum eligibility standards must incorporate a net
 1-7     income eligibility level equal to 21 [25] percent of the federal
 1-8     poverty level based on the federal Office of Management and Budget
 1-9     poverty index.
1-10           SECTION 2. Section 61.025(d), Health and Safety Code, is
1-11     amended to read as follows:
1-12           (d)  Expenditures made by the county under Subsection (b) may
1-13     be credited toward eligibility for state assistance under this
1-14     subchapter if the person who received the health care services
1-15     meets the eligibility standards established under Section 61.023
1-16     [61.052] and would have been eligible for assistance under the
1-17     county program if the person had not resided in a public hospital's
1-18     service area.
1-19           SECTION 3. Section 61.032(e), Health and Safety Code, is
1-20     amended to read as follows:
1-21           (e)  If the county and the provider disagree on the patient's
1-22     residence or eligibility, the county or the provider may submit the
1-23     matter to the department as provided by Section 61.004.
1-24           SECTION 4. Section 61.037(e), Health and Safety Code, is
 2-1     amended to read as follows:
 2-2           (e)  A county that provides health care services described by
 2-3     Subsection (a) to its eligible residents through a hospital
 2-4     established by a board of managers jointly appointed by a county
 2-5     and a municipality under Section 265.011 is eligible for state
 2-6     assistance if:
 2-7                 (1)  the county spends in a state fiscal year at least
 2-8     eight percent of the county general revenue levy for the year to
 2-9     provide the health care services to its eligible county residents
2-10     who qualify for assistance under Section 61.023 [61.052]; and
2-11                 (2)  the county complies with the requirements of this
2-12     subchapter.
2-13           SECTION 5. Section 61.038(a), Health and Safety Code, is
2-14     amended to read as follows:
2-15           (a)  If the department determines that a county is eligible
2-16     for assistance, the department shall distribute funds appropriated
2-17     to the department from the indigent health care assistance fund or
2-18     any other available fund to the county to assist the county in
2-19     providing health care services under Sections 61.028 and 61.0285 to
2-20     its eligible county residents who qualify for assistance as
2-21     described by Section 61.023 [61.037].
2-22           SECTION 6. Section 61.0395, Health and Safety Code, is
2-23     amended to read as follows:
2-24           Sec. 61.0395.  LIMITED TO APPROPRIATED FUNDS. [(a)]  The
2-25     total amount of state assistance provided to counties under this
2-26     chapter for a fiscal year may not exceed the amount appropriated
2-27     for that purpose for that fiscal year.
 3-1           [(b)  The department shall adopt rules governing the
 3-2     distribution of state assistance under this chapter that establish
 3-3     a maximum annual allocation for each county eligible for assistance
 3-4     under this chapter in compliance with Subsection (a).]
 3-5           [(c)  The rules adopted under this section:]
 3-6                 [(1)  may consider the relative populations of the
 3-7     service areas of eligible counties and other appropriate factors;
 3-8     and]
 3-9                 [(2)  notwithstanding Subsection (b), may provide for,
3-10     at the end of each state fiscal year, the reallocation of all money
3-11     that is allocated to a county under Subsection (b) but that the
3-12     county is not eligible to receive and the distribution of that
3-13     money to other eligible counties.]
3-14           SECTION 7. Section 61.052(g), Health and Safety Code, is
3-15     amended to read as follows:
3-16           (g)  A county that provides health care services to its
3-17     eligible residents through a hospital established by a board of
3-18     managers jointly appointed by a county and a municipality under
3-19     Section 265.011 and that establishes an income and resources
3-20     standard in accordance with Subsection (a)(2) may credit only the
3-21     services provided to [all] persons who are eligible under the
3-22     [that] standard described by Sections 61.023(a)(2) and (3) or
3-23     Section 61.023(b) toward eligibility for state assistance as
3-24     described by Section 61.037(e).
3-25           SECTION 8. Section 61.059(e), Health and Safety Code, is
3-26     amended to read as follows:
3-27           (e)  If the public hospital and the provider disagree on the
 4-1     patient's residence or eligibility, the hospital or the provider
 4-2     may submit the matter to the department as provided by Section
 4-3     61.004.
 4-4           SECTION 9. Section 46.003(f), Health and Safety Code, as
 4-5     added by Chapter 969, Acts of the 76th Legislature, Regular
 4-6     Session, 1999, is amended to read as follows:
 4-7           (f)  Except as provided by Subsection (e), the account shall
 4-8     be allocated for:
 4-9                 (1)  payment to tertiary care facilities and level IV
4-10     trauma centers for unreimbursed tertiary medical services and
4-11     stabilization services, as provided for in Sections 46.005 and
4-12     46.006; and
4-13                 (2)  payment of state assistance as provided for in
4-14     Chapter 61.
4-15           SECTION 10. Section 466.408(b), Government Code, is amended
4-16     to read as follows:
4-17           (b)  If a claim is not made for prize money on or before the
4-18     180th day after the date on which the winner was selected, the
4-19     prize money shall be deposited to the credit of the Texas
4-20     Department of Health state-owned multicategorical teaching hospital
4-21     account or the tertiary care facility account as follows:
4-22                 (1)  not more than $40 million in prize money each
4-23     biennium may be deposited to or appropriated from the Texas
4-24     Department of Health state-owned multicategorical teaching hospital
4-25     account, which is an account in the general revenue fund; and
4-26                 (2)  all prize money subject to this section in excess
4-27     of $40 million each biennium shall be deposited in the tertiary
 5-1     care facility account.  Money deposited in the tertiary care
 5-2     facility account may only be appropriated to the department for
 5-3     purposes specified in Chapter 46 or 61, Health and Safety Code.
 5-4           SECTION 11. Section 61.006(b-2), Health and Safety Code, is
 5-5     repealed.
 5-6           SECTION 12. (a)  The changes in law made by this Act to
 5-7     Chapter 61, Health and Safety Code, take effect September 1, 2001.
 5-8           (b)  Except as provided by Subsection (a) of this section,
 5-9     this Act takes effect immediately if it receives a vote of
5-10     two-thirds of all the members elected to each house, as provided by
5-11     Section 39, Article III, Texas Constitution.  If this Act does not
5-12     receive the vote necessary for immediate effect, this Act takes
5-13     effect on the 91st day after the last day of the legislative
5-14     session.