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79R1713 DLF-D

By:  Pickett                                                      H.B. No. 814



A BILL TO BE ENTITLED

AN ACT

relating to billing and collection for certain hospital services.             
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 552.003, Insurance Code, as effective 
April 1, 2005, is amended by adding Subsection (c) to read as 
follows:
	(c)  It is an exception to the application of this section 
that:      
		(1)  the person charging two different prices for the 
same product or service is a hospital; and
		(2)  the prices charged comply with the billing and 
collection guidelines adopted under Section 241.030, Health and 
Safety Code.
	SECTION 2.  Subchapter B, Chapter 241, Health and Safety 
Code, is amended by adding Section 241.030 to read as follows:
	Sec. 241.030.  BILLING AND COLLECTION GUIDELINES. (a) The 
executive commissioner of the Health and Human Services Commission 
shall by rule adopt billing and collection guidelines for 
hospitals.
	(b)  The billing and collection guidelines may permit a 
hospital to use a sliding fee scale for, or to otherwise charge a 
lower price to, an individual who is not medically indigent, but who 
does not have adequate insurance or other coverage for medical 
expenses, as determined under the guidelines.
	(c)  In developing the billing and collection guidelines, 
the executive commissioner of the Health and Human Services 
Commission:
		(1)  shall consult with the Texas Hospital Association 
and the commissioner of insurance; and
		(2)  may consult with other entities as considered 
appropriate by the executive commissioner.
	(d)  A hospital, including a hospital that is otherwise 
exempt from this chapter under Section 241.004(2) or (3), may use 
the billing and collection guidelines adopted under this section. A 
hospital is not required to use the guidelines.
	SECTION 3.  The change in law made by this Act to Section 
552.003, Insurance Code, applies only to an offense committed on or 
after the effective date of this Act.  An offense committed before 
the effective date of this Act is covered by the law in effect when 
the offense was committed, and the former law is continued in effect 
for that purpose.  For purposes of this section, an offense was 
committed before the effective date of this Act if any element of 
the offense was committed before that date.
	SECTION 4.  This Act takes effect September 1, 2005.