1-1 AN ACT
1-2 relating to court-ordered medical support and the funding of
1-3 certain health benefit programs for certain children.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 154.181, Family Code, is amended to read
1-6 as follows:
1-7 Sec. 154.181. MEDICAL SUPPORT ORDER. (a) In a suit
1-8 affecting the parent-child relationship or in a proceeding under
1-9 Chapter 159, the court shall render an order for the medical
1-10 support of the child as provided by this section and Section
1-11 154.182.
1-12 (b) Before a hearing on temporary orders or a final order,
1-13 if no hearing on temporary orders is held, the court shall require
1-14 the parties to the proceedings to disclose in a pleading or other
1-15 statement:
1-16 (1) if private health insurance is in effect for the
1-17 child, the identity of the insurance company providing the
1-18 coverage, the policy number, which parent is responsible for
1-19 payment of any insurance premium for the coverage, whether the
1-20 coverage is provided through a parent's employment, and the cost of
1-21 the premium; or
1-22 (2) if private health insurance is not in effect for
1-23 the child, whether:
1-24 (A) the child is receiving medical assistance
1-25 under Chapter 32, Human Resources Code;
2-1 (B) the child is receiving health benefits
2-2 coverage under the state child health plan under Chapter 62, Health
2-3 and Safety Code, and the cost of any premium; and
2-4 (C) either parent has access to private health
2-5 insurance at reasonable cost to that parent.
2-6 (c) In rendering temporary orders, the court shall, except
2-7 for good cause shown, order that any health insurance coverage in
2-8 effect for the child continue in effect pending the rendition of a
2-9 final order, except that the court may not require the continuation
2-10 of any health insurance that is not available to the parent at
2-11 reasonable cost. If there is no health insurance coverage in
2-12 effect for the child or if the insurance in effect is not available
2-13 at a reasonable cost and the child is not receiving medical
2-14 assistance under Chapter 32, Human Resources Code, or coverage
2-15 under the state child health plan under Chapter 62, Health and
2-16 Safety Code, the court shall, except for good cause shown, order
2-17 health care coverage for the child as provided under Section
2-18 154.182.
2-19 (d) Except for good cause shown, on rendering a final order
2-20 the court shall require the parent ordered to provide health care
2-21 coverage for the child as provided under Section 154.182 to produce
2-22 evidence to the court's satisfaction that the parent has applied
2-23 for or secured health insurance or has otherwise taken necessary
2-24 action to provide for health care coverage for the child, as
2-25 ordered by the court.
2-26 (e) In this section, "reasonable cost" means the cost of a
3-1 health insurance premium that does not exceed 10 percent of the
3-2 responsible parent's net income in a month.
3-3 SECTION 2. Subsections (b) and (c), Section 154.182, Family
3-4 Code, are amended to read as follows:
3-5 (b) In [Except as provided for by Subdivision (6), in]
3-6 determining the manner in which health insurance for the child is
3-7 to be ordered, the court shall render its order in accordance with
3-8 the following priorities, unless a party shows good cause why a
3-9 particular order would not be in the best interest of the child:
3-10 (1) if health insurance is available for the child
3-11 through the obligor's employment or membership in a union, trade
3-12 association, or other organization at reasonable cost to the
3-13 obligor, the court shall order the obligor to include the child in
3-14 the obligor's health insurance;
3-15 (2) if health insurance is not available for the child
3-16 through the obligor's employment but is available for the child at
3-17 a reasonable cost through the obligee's employment or membership in
3-18 a union, trade association, or other organization, the court may
3-19 order the obligee to provide health insurance for the child, and,
3-20 in such event, shall order the obligor to pay additional child
3-21 support to be withheld from earnings under Chapter 158 to the
3-22 obligee for the actual cost of the health insurance for the child;
3-23 (3) if health insurance is not available for the child
3-24 under Subdivision (1) or (2), the court shall order the obligor to
3-25 provide health insurance for the child if the court finds that
3-26 health insurance is available to the obligor for the child from
4-1 another source and at reasonable cost [that the obligor is
4-2 financially able to provide it];
4-3 (4) if neither parent has access to private health
4-4 insurance at a reasonable cost, the court shall order that the
4-5 custodial parent or, to the extent permitted by law, the
4-6 noncustodial parent immediately apply on behalf of the child for
4-7 participation in a medical assistance program under Chapter 32,
4-8 Human Resources Code, or the state child health plan under Chapter
4-9 62, Health and Safety Code, and that the obligor pay additional
4-10 child support, to be withheld from income under Chapter 158, to the
4-11 obligee for the actual cost of participation of the child in such
4-12 program [health insurance is not available for the child under
4-13 Subdivision (1), (2), or (3), the court shall order the obligor to
4-14 apply for coverage through the Texas Healthy Kids Corporation
4-15 established under Chapter 109, Health and Safety Code]; or
4-16 (5) if health coverage is not available for the child
4-17 under Subdivision (1), (2), (3), or (4), the court shall order the
4-18 obligor to pay the obligee, in addition to any amount ordered under
4-19 the guidelines for child support, a reasonable amount each month as
4-20 medical support for the child to be withheld from earnings under
4-21 Chapter 158[; or]
4-22 [(6) notwithstanding Subdivisions (1) through (3), an
4-23 obligor whose employer, union, trade association, or other
4-24 organization does not offer a child/children coverage option in
4-25 lieu of a spouse/child/children option of health insurance coverage
4-26 may elect to apply for coverage through the Texas Healthy Kids
5-1 Corporation. An obligor required to pay additional child support
5-2 to an obligee for health insurance coverage may elect to apply for
5-3 coverage through the Texas Healthy Kids Corporation if the
5-4 obligee's employer, union, trade association, or other organization
5-5 does not offer a child/children coverage option in lieu of a
5-6 spouse/child/children option of health insurance coverage].
5-7 (c) In this section, "reasonable cost" has the meaning
5-8 assigned by Section 154.181(e) [In establishing the amount of
5-9 additional medical child support under Subsection (b)(5), the court
5-10 shall presume that $38 each month is a reasonable amount for a
5-11 child but may order a greater or lesser amount as appropriate under
5-12 the circumstances. The Health and Human Services Commission may
5-13 promulgate guidelines for the dollar amounts of medical child
5-14 support that the court may presumptively apply in circumstances in
5-15 which the obligor is responsible for medical child support for more
5-16 than one child].
5-17 SECTION 3. Effective September 1, 2001, Chapter 109, Health
5-18 and Safety Code, is repealed.
5-19 SECTION 4. (a) In this section:
5-20 (1) "Commissioner" means the commissioner of
5-21 insurance.
5-22 (2) "Department" means the Texas Department of
5-23 Insurance.
5-24 (3) "Fund" means the Texas Healthy Kids Fund
5-25 established under Section 109.002, Health and Safety Code.
5-26 (b) The department shall supervise and monitor the
6-1 implementation of the dissolution plan of the Texas Healthy Kids
6-2 Corporation.
6-3 (c) Effective August 31, 2001, the comptroller of public
6-4 accounts shall transfer all money in the fund, other than money
6-5 necessary, in accordance with the Texas Non-Profit Corporation Act
6-6 (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes), to
6-7 satisfy the financial obligations incurred by the Texas Healthy
6-8 Kids Corporation before June 15, 2001, to a dedicated account in
6-9 the general revenue fund. The commissioner, in consultation with
6-10 the board of directors of the Texas Healthy Kids Corporation, shall
6-11 determine the amount of money necessary to satisfy the financial
6-12 obligations of the corporation as described by this subsection.
6-13 (d) On the date the commissioner determines that the
6-14 financial obligations described by Subsection (c) of this section
6-15 are satisfied, all money remaining in the fund, including any
6-16 amounts received by the Texas Healthy Kids Corporation in
6-17 settlement of litigation, is transferred to the dedicated account
6-18 described by Subsection (c) of this section.
6-19 (e) Money transferred to the general revenue fund under this
6-20 section may be appropriated only to the Health and Human Services
6-21 Commission to provide coverage under the state child health plan
6-22 established under Chapter 62, Health and Safety Code. It is the
6-23 intention of the legislature that the money transferred to the
6-24 general revenue fund under this section be considered to be state
6-25 funds for the purposes of obtaining federal matching money under
6-26 Title XXI, Social Security Act (42 U.S.C. Section 1397aa et seq.).
7-1 SECTION 5. To the extent necessary to implement the
7-2 provisions of this Act, the attorney general and the Health and
7-3 Human Services Commission shall:
7-4 (1) request any waiver or authorization from a federal
7-5 agency with respect to the provision of medical assistance under
7-6 Chapter 32, Human Resources Code, or the operation of a state child
7-7 health plan under Chapter 62, Health and Safety Code; and
7-8 (2) develop and publish appropriate rules.
7-9 SECTION 6. This Act takes effect immediately if it receives
7-10 a vote of two-thirds of all members elected to each house, as
7-11 provided by Section 39, Article III, Texas Constitution. If this
7-12 Act does not receive the vote necessary for immediate effect, this
7-13 Act takes effect September 1, 2001.
_______________________________ _______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 236 passed the Senate on
March 6, 2001, by the following vote: Yeas 30, Nays 0, one
present, not voting; and that the Senate concurred in House
amendments on May 17, 2001, by the following vote: Yeas 30,
Nays 0, one present, not voting.
_______________________________
Secretary of the Senate
I hereby certify that S.B. No. 236 passed the House, with
amendments, on May 11, 2001, by the following vote: Yeas 135,
Nays 0, one present, not voting.
_______________________________
Chief Clerk of the House
Approved:
_______________________________
Date
_______________________________
Governor