MINUTES SENATE COMMITTEE ON PROMPT PAYMENT OF HEALTH CARE PROVIDERS Wednesday, November 7, 2001 9:30 a.m. Senate Chamber ***** Pursuant to a notice posted in accordance with Senate Rule 11.18, a public hearing of the Senate Committee on Prompt Payment of Health Care Providers was held on Wednesday, November 7, 2001, in the Senate Chamber at Austin, Texas. ***** MEMBERS PRESENT: MEMBERS ABSENT: Senator Jane Nelson Senator John Carona Senator Troy Fraser Senator Mario Gallegos, Jr. Senator Judith Zaffirini ***** The Chair called the meeting to order at 9:30 a.m. and the following business was transacted. The Chair made opening remarks and announced that the purpose of the meeting was to consider the organization and rules for the Senate Special Committee on Prompt Payment of Health Care Providers and to receive briefings regarding the interim charge issued by Lieutenant Governor Bill Ratliff. The Chair introduced the Committee staff, namely Steve Roddy, Committee Director, and Cheri Huddleston, Committee Clerk. The Chair also introduced the Lieutenant Governor and Governor Perry, and invited Committee members to introduce their staff. Senator Zaffirini introduced her staff and gave opening remarks. The Chair called invited panelists from the Texas Department of Insurance to give an overview of state law, agency rules, and agency activities and programs related to prompt payment of health care claims. At 9:42 a.m., a quorum was established. The Chair laid out the interim rules for the Committee and called for comments. There being none, Senator Zaffirini moved that the Committee rules be adopted. Without objection, the rules were adopted by unanimous consent. The following persons provided oral testimony and responded to questions by members of the Committee: Jose Montemayor, Commissioner, representing the Texas Department of Insurance. Kim Stokes, Senior Associate Commissioner for Life, Health, & Licensing, representing the Texas Department of Insurance. Audrey Selden, Senior Associate Commissioner for Consumer Protection, representing the Texas Department of Insurance. There being no further questions for these witnesses, the Chair called invited panelists from the Office of the Attorney General to brief the Committee members on the investigation of HMO payment practices and ERISA. The following persons provided oral testimony and responded to questions by members of the Committee: David Mattax, Division Chief, Financial Litigation, representing the Office of the Attorney General. Edna Ramon Butts, Special Assistant Attorney General, representing the Office of the Attorney General. There being no further questions for these witnesses, the Chair called the invited witness from the Health and Human Services Commission to present an overview of prompt payment issues in relation to the state Medicaid program. The following person provided oral testimony and responded to questions by members of the Committee: Don Gilbert, Commissioner, representing the Health and Human Services Commission. There being no further questions for this witness, the Chair discussed the Committee schedule, stating that a date for the next hearing had not been determined and that the Committee staff will coordinate with each office to discuss the location and time for the next hearing. There being no further business, at 12:05 p.m., the Chair announced that the Committee would stand recessed, subject to the call of the Chair. ______________________ Senator Jane Nelson, Chair ______________________ Cheri Huddleston, Clerk