LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session May 5, 2001 TO: Honorable John T. Smithee, Chair, House Committee on Insurance FROM: John Keel, Director, Legislative Budget Board IN RE: SB1394 by Fraser (Relating to the operation of a statewide rural health care system.), As Engrossed ************************************************************************** * No significant fiscal implication to the State is anticipated. * ************************************************************************** The bill would modify the statewide rural health care system (RHCS) as established by the 75th Legislature to allow the RHCS to sponsor, arrange, or provide health care services to eligible rural residents. SECTION 3 of the bill would exempt the RHCS from provisions of the Children's Health Insurance Program, the Medicaid Program, and other public programs that require the coverage of services by a particular health care provider. SECTION 4 of the bill would allow the commissioner of insurance to exempt the RHCS from applicable managed care regulations relating to mileage, distance, network adequacy, scope of coverage, and other subjects. Other sections of the bill make conforming changes. The bill would take effect September 1, 2001. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 529 Health and Human Services Commission, 50A Center for Rural Health Initiatives LBB Staff: JK, JO, HD, SW