By Lucio S.B. No. 1299 77R5297 SGA-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the creation and duties of a task force on rate-setting 1-3 methodologies for the Medicaid and state child health plan 1-4 programs. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subchapter B, Chapter 531, Government Code, is 1-7 amended by adding Section 531.0221 to read as follows: 1-8 Sec. 531.0221. TASK FORCE ON RATE-SETTING METHODOLOGIES FOR 1-9 MEDICAID PROGRAM AND STATE CHILD HEALTH PLAN PROGRAM. (a) In this 1-10 section: 1-11 (1) "Child health plan program" means the state child 1-12 health plan program authorized by Chapter 62, Health and Safety 1-13 Code. 1-14 (2) "Task force" means the task force on rate-setting 1-15 methodologies for the Medicaid and child health plan programs 1-16 appointed by the commissioner under this section. 1-17 (b) The commissioner shall appoint a task force to examine 1-18 and evaluate rate-setting methodologies for the Medicaid program 1-19 and the child health plan program. 1-20 (c) The commissioner shall appoint 11 members to serve on 1-21 the task force. The task force shall be composed of: 1-22 (1) representatives of the Texas Department of Health 1-23 who are involved in the administration of the Medicaid program or 1-24 the child health plan program; 2-1 (2) health economists active in the area of public 2-2 health research who are associated with an academic institution; 2-3 (3) public health professionals, including at least 2-4 one epidemiologist; and 2-5 (4) a representative of the Texas Hospital 2-6 Association. 2-7 (d) A member of the task force may not receive compensation, 2-8 but is entitled to reimbursement of travel expenses incurred by 2-9 the member while conducting the business of the task force as 2-10 provided by the General Appropriations Act. 2-11 (e) The commission shall provide administrative support and 2-12 resources to the task force as necessary for the task force to 2-13 perform the duties under this section. 2-14 (f) The task force is not subject to Chapter 2110, 2-15 Government Code. 2-16 (g) The task force shall perform the research necessary to 2-17 evaluate the rate-setting methodologies for the Medicaid program 2-18 and the child health plan program and, not later than December 1, 2-19 2002, produce a report based on the results of that evaluation. 2-20 The report must include recommendations of the task force on ways 2-21 to improve the rate-setting methodologies. 2-22 (h) The task force shall, in preparing the report required 2-23 under Subsection (g), examine relevant information including: 2-24 (1) the incidence and prevalence of disease in 2-25 comparison to the utilization of services; 2-26 (2) the number of physicians participating in the 2-27 Medicaid program and the child health plan program who are 3-1 providing services in the various geographic areas of the state; 3-2 (3) the number of clients under the Medicaid program 3-3 and the child health plan program; 3-4 (4) the potential effects of developing incentive 3-5 programs such as rate increases targeted to encourage health 3-6 providers to relocate or remain in underserved areas; 3-7 (5) the potential effects of developing a tiered 3-8 system of rate increases based on level of need; and 3-9 (6) any other significant factors relating to 3-10 rate-setting methodologies. 3-11 (i) The task force shall seek technical assistance if needed 3-12 from representatives of the federal Health Care Financing 3-13 Administration. 3-14 (j) The task force shall deliver the report required under 3-15 Subsection (g) to the commissioner and to the legislature. 3-16 (k) The task force shall: 3-17 (1) continue to monitor the information evaluated in 3-18 the report required under Subsection (g) and any changes made in 3-19 the rate-setting methodologies for the Medicaid program and the 3-20 child health plan program; and 3-21 (2) submit another report with any additional 3-22 recommendations to the commissioner and the legislature not later 3-23 than December 1, 2004. 3-24 (l) This section expires September 1, 2005. 3-25 SECTION 2. This Act takes effect September 1, 2001.