H.B. 1736 78(R) BILL ANALYSIS H.B. 1736 By: Turner Human Services Committee Report (Unamended) BACKGROUND AND PURPOSE The current Texas Index for Level of Effort (TILE) reimbursement system does not always reflect the true resource needs of residents. For example, certain facilities may receive the lowest rate of reimbursement for patients with Alzheimer's or related dementia even though caring for these patients demands more staff time. Thus, the reimbursement methodology does not necessarily provide incentives for increased direct care spending in order to improve the quality of care given to nursing home residents. House Bill 1736 requires the Health and Human Services Commission and the Department of Human Services to review the base reimbursement methodology to determine if the system accurately accounts for the direct care needs of patients. RULEMAKING AUTHORITY This bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency or institution. ANALYSIS House Bill 1736 requires the Health and Human Services Commission, in conjunction with Department of Human Services, to evaluate the Texas Index for Level of Effort classification system to determine whether the system accurately accounts for the care needs of patients with dementia, including those with Alzheimer's disease. The bill also requires the Health and Human Services Commission to report the results of the evaluations to the governor, lieutenant governor, and the speaker of the house of representatives no later than September 1, 2004. EFFECTIVE DATE September 1, 2003.