S.B. No. 691




AN ACT

relating to reimbursement for telemedicine medical services under 
the Medicaid program and other government-funded programs.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter B, Chapter 531, Government Code, is 
amended by adding Sections 531.02173 and 531.02174 to read as 
follows:
	Sec. 531.02173.  ALIGNMENT OF MEDICAID TELEMEDICINE 
REIMBURSEMENT POLICIES WITH MEDICARE REIMBURSEMENT POLICIES.  
(a)  The commission shall periodically review policies regarding 
reimbursement under the Medicaid program for telemedicine medical 
services to identify variations between permissible reimbursement 
under that program and reimbursement available to providers under 
the Medicare program.
	(b)  To the extent practicable, and notwithstanding any 
other state law, after conducting a review under Subsection (a) the 
commission may modify rules and procedures applicable to 
reimbursement under the Medicaid program for telemedicine medical 
services as necessary to provide for a reimbursement system that is 
comparable to the reimbursement system for those services under the 
Medicare program.
	(c)  The commission shall perform its duties under this 
section with assistance from the telemedicine advisory committee 
established under Section 531.02172.
	Sec. 531.02174.  ADDITIONAL AUTHORITY REGARDING 
TELEMEDICINE MEDICAL SERVICES.  (a)  In addition to the authority 
granted by other law regarding telemedicine medical services, the 
commission may review rules and procedures applicable to 
reimbursement of telemedicine medical services provided through 
any government-funded health program subject to the commission's 
oversight.
	(b)  The commission may modify rules and procedures 
described by Subsection (a) as necessary to ensure that 
reimbursement for telemedicine medical services is provided in a 
cost-effective manner and only in circumstances in which the 
provision of those services is clinically effective.
	(c)  This section does not affect the commission's authority 
or duties under other law regarding reimbursement of telemedicine 
medical services under the Medicaid program.
	SECTION 2.  If before implementing any provision of this Act 
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.
	SECTION 3.  This Act takes effect September 1, 2003.                           

                                                                              




______________________________    ______________________________
President of the Senate             Speaker of the House
	I hereby certify that S.B. No. 691 passed the Senate on 
April 28, 2003, by a viva-voce vote.




______________________________ 
   Secretary of the Senate             
	I hereby certify that S.B. No. 691 passed the House on 
May 24, 2003, by a non-record vote.




______________________________ 
   Chief Clerk of the House            



Approved:


______________________________ 
            Date



______________________________ 
          Governor