SRC-VRA S.B. 314 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 314
78R1045 KKA-DBy: Janek
Health & Human Services
2/20/2003
As Filed


DIGEST AND PURPOSE 

The Texas Department of Health's (TDH) Medical Transportation Program
(MTP) provides Medicaid and Children with Special Health Care Needs
(CSHCN) clients with non-emergency transportation to and from health care
facilities.  The Transportation for Indigent Cancer Patients program
provides transportation for low-income clients who are not eligible for
Medicaid or CSHCN and are diagnosed with cancer or cancerrelated illness.
In fiscal year 2001, more than 106,000 Texans received transportation
services through MTP.  The Medical Transportation Program purchases
medical transportation through contracts issued and managed by TDH.
During fiscal year 2002, TDH contracted with 45 private, public, and
non-profit transportation providers with contract amounts ranging from
$5,000 to $8 million.  The experience of other states suggests that Texas
could improve quality, accountability, and cost control while reducing
instances of fraud if the program contracted with a single statwide broker
or a number of regional brokers to manage it.  As proposed, S.B. 314 would
transfer the Medical Transportation Program from TDH to the Health and
Human Services Commission (HHSC) and require HHSC to contract with a
single statewide transportation broker or with an appropriate number of
regional transportation brokers for  administrative assistance in
providing transportation services under the Medical Transportation
Program. 
   

RULEMAKING AUTHORITY

Rulemaking authority previously granted to the Texas Department of Health
is transferred to the Health and Human Services Commission in SECTION 2 of
this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 531B, Government Code, by adding Section
531.063, as follows: 

Sec.  531.063.  CONTRACTS FOR TRANSPORTATION BROKERAGE SERVICES.  (a)
Requires the Health and Human Services Commission (HHSC) to contract with
a single statewide transportation broker or with an appropriate number of
regional transportation brokers for an administrative assistance in
providing transportation services under the medical transportation
program. 

(b)  Authorizes HHSC to contract under this section with any person who
meets the criteria established by HHSC, including a nonprofit
organization, public entity, or private contractor. 

(c)  Requires a contract between HHSC and a broker to require the broker
to perform certain functions.  

(d)  Authorizes the broker or brokers selected by HHSC to contract with
transportation providers as necessary to provide transportation services
to persons eligible for those services. 

SECTION 2.  Provides that on September 1, 2004, or on an earlier date
specified by HHSC, certain  duties related to the medical transportation
program are transferred from the Texas Department of Health to HHSC.    

SECTION 3.  Requires HHSC to take all necessary action to provide for the
transfer of the medical transportation program to HHSC as soon as possible
after the effective date of this Act but not later than September 1, 2004,
and the execution of a contract authorized by Section 531.063, Government
Code, as added by this Act, not later than September 1, 2004. 

SECTION 4.  Effective date:  September 1, 2003.