78S40427 DLF/CLG-D
By: Naishtat H.B. No. 47
A BILL TO BE ENTITLED
AN ACT
relating to the increases in the tax on cigarettes and to the
allocation of that increase to health and human services programs;
making appropriations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. CIGARETTE TAX
SECTION 1.01. Section 154.021(b), Tax Code, is amended to
read as follows:
(b) The tax rates are:
(1) $70.50 [$20.50] per thousand on cigarettes
weighing three pounds or less per thousand; and
(2) the rate provided by Subdivision (1) plus $2.10
per thousand on cigarettes weighing more than three pounds per
thousand.
SECTION 1.02. Section 154.603, Tax Code, is amended to read
as follows:
Sec. 154.603. DISPOSITION OF REVENUE. (a) After the
deductions for the purposes provided by Section 154.602 [of this
code], the revenue remaining of the first $2 of tax received per
1,000 cigarettes for cigarettes weighing three pounds or less per
thousand and the first $4.10 per 1,000 cigarettes of the tax
received for cigarettes weighing more than three pounds per
thousand is allocated:
(1) 18.75 percent to the foundation school fund; and
(2) 81.25 percent to the general revenue fund.
(b) The revenue remaining after the deductions for the
purposes provided by Section 154.602 [of this code] and allocation
under Subsection (a) of the next $27.50 of tax received per 1,000
cigarettes for cigarettes weighing three pounds or less per
thousand and the next $27.50 per 1,000 cigarettes of the tax
received for cigarettes weighing more than three pounds per
thousand [this section] is allocated to the general revenue fund.
(c) The revenue remaining after the deductions for the
purposes provided by Section 154.602 and allocation under
Subsections (a) and (b) shall be deposited as follows:
(1) the next $2.50 of tax received per 1,000
cigarettes weighing three pounds or less per thousand and the next
$2.50 per 1,000 cigarettes of the tax received for cigarettes
weighing more than three pounds per thousand shall be allocated to
the tobacco cessation account established under Section 161.303,
Health and Safety Code; and
(2) the remaining revenue shall be allocated to the
general revenue fund to be appropriated only for health and human
services.
(d) Notwithstanding Subsection (c), for the fiscal biennium
that began September 1, 2003, the revenue remaining after the
deductions for the purposes provided by Section 154.602 and
allocation under Subsections (a) and (b) shall be deposited as
follows:
(1) the next $2.50 of tax received per 1,000
cigarettes weighing three pounds or less per thousand and the next
$2.50 per 1,000 cigarettes of the tax received for cigarettes
weighing more than three pounds per thousand shall be allocated to
the credit of the tobacco cessation account established under
Section 161.303, Health and Safety Code; and
(2) the remaining revenue shall be allocated to the
general revenue fund and may be appropriated only for:
(A) the child health care plan program under
Chapter 62, Health and Safety Code;
(B) the medical assistance program under Chapter
32, Human Resources Code;
(C) the in-home and family support program under
Chapter 535, Health and Safety Code;
(D) the children with special health care needs
program under Chapter 35, Health and Safety Code;
(E) community care programs;
(F) community mental health services;
(G) community care waiver programs; and
(H) HIV & STD education and services.
(e) Subsection (d) and this subsection expire September 1,
2005.
ARTICLE 2. RESTORATION OF STATE CHILD HEALTH PLAN
SECTION 2.01. Subchapter A, Chapter 62, Health and Safety
Code, is amended by adding Section 62.0025 to read as follows:
Sec. 62.0025. NET FAMILY INCOME. In this chapter, net
family income means the amount of income established for a family
after reduction for offsets for expenses such as child care and
work-related expenses. Offsets for expenses shall be computed
using the same standards applicable to the child health plan in the
state fiscal year beginning September 1, 2002.
SECTION 2.02. Section 62.101(b), Health and Safety Code, is
amended to read as follows:
(b) The commission shall establish income eligibility
levels consistent with Title XXI, Social Security Act (42 U.S.C.
Section 1397aa et seq.), as amended, and any other applicable law or
regulations, and subject to the availability of appropriated money,
so that a child who is younger than 19 years of age and whose net
[gross] family income is at or below 200 percent of the federal
poverty level is eligible for health benefits coverage under the
program. [In addition, the commission may establish eligibility
standards regarding the amount and types of allowable assets for a
family whose gross family income is above 150 percent of the federal
poverty level.]
SECTION 2.03. Section 62.151, Health and Safety Code, is
amended by adding Subsection (g) to read as follows:
(g) The covered benefits provided under the child health
plan must include vision benefits and dental benefits that, at
minimum, are equivalent to the vision and dental benefits provided
under the state employees group benefits program provided by
Chapter 1551, Insurance Code.
SECTION 2.04. Section 62.153(b), Health and Safety Code, is
amended to read as follows:
(b) Cost-sharing [Subject to Subsection (d), cost-sharing]
provisions adopted under this section shall ensure that families
with higher levels of income are required to pay progressively
higher percentages of the cost of the plan.
SECTION 2.05. The section heading of Section 62.154, Health
and Safety Code, is amended to read as follows:
Sec. 62.154. [WAITING PERIOD;] CROWD OUT.
SECTION 2.06. Sections 62.154(a) and (d), Health and Safety
Code, are amended to read as follows:
(a) To the extent permitted under Title XXI of the Social
Security Act (42 U.S.C. Section 1397aa et seq.), as amended, and any
other applicable law or regulations, the child health plan must
include a waiting period and [. The child health plan] may include
copayments and other provisions intended to discourage:
(1) employers and other persons from electing to
discontinue offering coverage for children under employee or other
group health benefit plans; and
(2) individuals with access to adequate health benefit
plan coverage, other than coverage under the child health plan,
from electing not to obtain or to discontinue that coverage for a
child.
(d) The waiting period required by Subsection (a) must:
(1) extend for a period of 90 days after the last date
on which the applicant was covered under a health benefits plan; and
(2) apply to a child who was covered by a health
benefits plan at any time during the 90 days before the date of
application for coverage under the child health plan[:
[(1) the first day of the month in which the applicant
is enrolled under the child health plan, if the date of enrollment
is on or before the 15th day of the month; or
[(2) the first day of the month after which the
applicant is enrolled under the child health plan, if the date of
enrollment is after the 15th day of the month].
SECTION 2.07. The following laws are repealed:
(1) Section 62.002(4), Health and Safety Code; and
(2) Section 62.153(d), Health and Safety Code.
SECTION 2.08. If before implementing any provision of this
article a state agency determines that a waiver or authorization
from a federal agency is necessary for implementation of that
provision, the agency affected by the provision shall request the
waiver or authorization and may delay implementing that provision
until the waiver or authorization is granted.
ARTICLE 3. RESTORATION OF CERTAIN MEDICAL ASSISTANCE BENEFITS
SECTION 3.01. Section 31.0032(d), Human Resources Code, is
amended to read as follows:
(d) This section does not prohibit the Texas Workforce
Commission, the Health and Human Services Commission, or any health
and human services agency, as defined by Section 531.001,
Government Code, from providing medical assistance, child care, or
any other related social or support services for an individual who
is eligible for financial assistance but to whom that assistance is
not paid because of the individual's failure to cooperate.
SECTION 3.02. Section 32.024(i), Human Resources Code, as
amended by Chapters 198 and 1251, Acts of the 78th Legislature,
Regular Session, 2003, is reenacted and amended to read as follows:
(i) The department in its adoption of rules shall establish
a medically needy program that serves pregnant women, children, and
caretakers who have high medical expenses[, subject to availability
of appropriated funds].
SECTION 3.03. Section 32.024(w), Human Resources Code, is
amended to read as follows:
(w) The department shall set a personal needs allowance of
not less than $60 [$45] a month for a resident of a convalescent or
nursing home or related institution licensed under Chapter 242,
Health and Safety Code, personal care facility, ICF-MR facility, or
other similar long-term care facility who receives medical
assistance. The department may send the personal needs allowance
directly to a resident who receives Supplemental Security Income
(SSI) (42 U.S.C. Section 1381 et seq.). This subsection does not
apply to a resident who is participating in a medical assistance
waiver program administered by the department.
SECTION 3.04. Section 32.027, Human Resources Code, is
amended by adding Subsection (l) to read as follows:
(l) The department shall assure that a recipient of medical
assistance under this chapter may select a licensed podiatrist to
perform any foot health care service or procedure covered under the
medical assistance program if the podiatrist is authorized by law
to perform the service or procedure. This subsection shall be
liberally construed.
SECTION 3.05. The following laws are repealed:
(1) Section 32.027(b), Human Resources Code; and
(2) Section 31.0032(c), Human Resources Code.
ARTICLE 4. TOBACCO CESSATION
SECTION 4.01. Subchapter O, Chapter 161, Health and Safety
Code, is amended by adding Section 161.303 to read as follows:
Sec. 161.303. TOBACCO CESSATION ACCOUNT. The tobacco
cessation account is an account in the general revenue fund
composed of amounts allocated to the account under Section 154.603,
Tax Code, other money transferred to the fund at the direction of
the legislature, and gifts and grants contributed to the fund.
Money in the fund may be appropriated only to the department for
programs to reduce the use of cigarettes and tobacco products in
this state, including:
(1) smoking cessation programs;
(2) enforcement of Subchapters H, K, and N, or other
laws relating to distribution of cigarettes or tobacco products to
minors or use of cigarettes or tobacco products by minors;
(3) public awareness programs relating to use of
cigarettes and tobacco products, including general educational
programs and programs directed toward youth; and
(4) specific programs for communities traditionally
targeted, by advertising and other means, by companies that sell
cigarettes or tobacco products.
SECTION 4.02. The heading of Subchapter O, Chapter 161,
Health and Safety Code, is amended to read as follows:
SUBCHAPTER O. CERTAIN TOBACCO-RELATED PROGRAMS [PREVENTION OF
TOBACCO USE BY MINORS]
ARTICLE 5. APPROPRIATION
SECTION 5.01. In addition to other amounts appropriated to
the Health and Human Services Commission for all or part of the
state fiscal biennium beginning September 1, 2003, the amount of
$130 million is appropriated out of the children's health insurance
program account in the general revenue fund for the state fiscal
biennium beginning September 1, 2003, to the Health and Human
Services Commission to restore benefits under and eligibility for
the state child health program to the levels provided during the
fiscal year beginning September 1, 2002, consistent with the
changes in law made by Article 2 of this Act.
SECTION 5.02. In addition to other amounts appropriated to
the Texas Department of Health for all or part of the state fiscal
biennium beginning September 1, 2003, the total amount of money
deposited to the credit of the tobacco cessation account under
Section 161.303, Health and Safety Code, as added by this Act, is
appropriated out of that account for the state fiscal biennium
beginning September 1, 2003, to the Texas Department of Health for
the purposes specified in that section.
SECTION 5.03. In addition to other amounts appropriated to
the Texas Department of Human Services for all or part of the state
fiscal biennium beginning September 1, 2003, the following amounts
are appropriated out of the general revenue fund to the Texas
Department of Human Services for the state fiscal biennium
beginning September 1, 2003:
(1) $123 million to restore the number of clients and
hours assumed in the community care programs to fiscal year 2003
levels;
(2) $32 million to restore the number of slots for
Community Care Waiver Programs to fiscal year 2003 levels; and
(3) $8.1 million to restore the personal needs
allowance to not less than $60 a month for a resident of a
convalescent or nursing home, personal care facility, ICF-MR
facility, or other similar long-term care facility who receives
such an allowance under the state Medicaid program.
SECTION 5.04. In addition to other amounts appropriated to
the Health and Human Services Commission for all or part of the
state fiscal biennium beginning September 1, 2003, the following
amounts are appropriated out of the general revenue fund to the
Health and Human Services Commission for the state fiscal biennium
beginning September 1, 2003:
(1) $124 million to reimburse Medicaid providers for
the fiscal year beginning September 1, 2004, at the partially
restored rate at which, under the applicable budget execution order
adopted by the governor and Legislative Budget Board acting under
Chapter 317, Government Code, and Section 11.28, Article IX,
Chapter 1330, Acts of the 78th Legislature, Regular Session, 2003
(the General Appropriations Act), as amended by Chapters 8 and 10,
Acts of the 78th Legislature, 3rd Called Session, 2003, the
providers are reimbursed under the state Medicaid program during
the fiscal year beginning September 1, 2003;
(2) $28.6 million to restore the Medically Needy
Program to assist approximately 10,000 Texans each month in paying
health care expenses;
(3) $27.4 million to restore Medicaid coverage for
approximately 8,300 pregnant women on an average monthly basis;
(4) $27.1 million to restore the following optional
benefits for adult Medicaid recipients to fiscal year 2003 levels:
mental health benefits and benefits for eyeglasses, hearing aids,
and podiatric care; and
(5) $17.5 million to restore Medicaid benefits for
adult recipients of Temporary Assistance for Needy Families.
SECTION 5.05. In addition to other amounts appropriated to
the Texas Department of Mental Health and Mental Retardation for
all or part of the state fiscal biennium beginning September 1,
2003, the following amounts are appropriated out of the general
revenue fund to the Texas Department of Mental Health and Mental
Retardation for the state fiscal biennium beginning September 1,
2003:
(1) $36.6 million for community mental health
services; and
(2) $17.3 million to restore In-Home and Family
Support Program services to assist more than 2,946 Texans in living
independently.
SECTION 5.06. In addition to other amounts appropriated to
the Texas Department of Health for all or part of the state fiscal
biennium beginning September 1, 2003, the following amounts are
appropriated out of the general revenue fund to the Texas
Department of Health for the state fiscal biennium beginning
September 1, 2003:
(1) $14.9 million to restore HIV & STD Education and
Services to the levels provided during the fiscal year beginning
September 1, 2002; and
(2) $6.6 million to provide services to additional
chronically ill and disabled children who are eligible and on the
waiting list for the Children with Special Health Care Needs
Program.
SECTION 5.07. Rider 37 following the appropriations to the
Texas Department of Human Services on page II-77, Chapter 1330,
Acts of the 78th Legislature, Regular Session, 2003 (the General
Appropriations Act), is amended to read as follows:
37. Community Care Waiver Slots. It is the intent of the
Legislature that the Department of Human Services will not expand
the base number of appropriated waiver slots through Rider 28
transfers. Clients utilizing Rider 28 shall remain funded
separately through transfers from the Nursing Facility strategy,
and those slots shall not count against the total appropriated
community care slots. Rider 28 funding through the nursing
facility strategy shall be maintained for those clients as long as
the individual client remains in the transferred slot. When a Rider
28 client leaves a waiver program, any remaining funding for the
biennium shall remain in the nursing facility strategy.
[If the department determines available revenue within community
care strategies requires a reduction in the base number of slots for
waiver programs, the department shall utilize attrition to meet
appropriated levels.]
ARTICLE 6. EFFECTIVE DATE
SECTION 6.01. This Act takes effect on the first day of the
first month immediately following the first day on which this Act
may take effect as provided by Section 39, Article III, Texas
Constitution.