Floor Packet Page No. 38                                                    



	

Amend CSHB 3 as follows:                                                     

	Strike Sections 171.1011(n) and (o), Tax Code, as added by 

SECTION 3 of the bill (pages 23–24), and substitute new Subsections 

(n), (n-1), and (o) to read as follows:

	(n)  Except as provided by Subsection (o), a taxable entity 

that is a health care provider shall exclude from its total revenue, 

to the extent included under Subsection (c)(1)(A), (c)(2)(A), or 

(c)(3):

		(1)  150 percent of the total amount of payments, from 

whatever source derived, the health care provider received under 

the Medicaid program and Children's Health Insurance Program 

(CHIP);

		(2) 100 percent of the total amount of payments, from 

whatever source derived, the health care provider received:

			(A)  under the Medicare program;                                      

			(B)  for services provided in relation to a 

workers' compensation claim under Title 5, Labor Code; and

			(C)  for services provided to a beneficiary 

rendered under the TRICARE military health system; and

		(3)  100 percent of the actual cost to the health care 

provider for any uncompensated care provided, but only if the 

provider maintains records of the uncompensated care for auditing 

purposes and, if the provider later receives payment for all or part 

of that care, the provider adjusts the amount excluded for the tax 

year in which the payment is received.

	(n-1)  The comptroller shall adopt rules governing:                     

		(1)  the computation of the actual cost to a health care 

provider of any uncompensated care provided under Subsection 

(n)(3); and

		(2)  the accounting, audit, and other requirements 

related to the computation of those costs.

	(o)  A health care provider that is a health care institution 

shall exclude from its total revenue, to the extent included under 

Subsection (c)(1)(A), (c)(2)(A), or (c)(3):

		(1)  75 percent of the total amount of payments 

described by Subsection (n)(1); and

		(2)  50 percent of the total amounts of payments 

described by Subsection (n)(2) and of the costs described by 

Subsection (n)(3).