Overview                                                             
	We have been asked to prepare an amendment which would 
require the Health and Human Services Commission to take certain 
actions with regard to eligibility certifications.

Required Action                                                        
	On page II-78 of the bill pattern for the Health and Human 
Services Commission, add the following new rider:
	____. Eligibility Certifications. It is the intent of the 
Legislature that all initial eligibility certifications for Health 
and Human Service eligibility-based programs utilize technology to 
reduce time required for those determinations and to reduce error 
rates. The Health and Human Services Commission shall determine the 
feasibility of utilizing proven technology for that purpose, and 
shall implement any such procedures found to be beneficial no later 
than January 1, 2008.
	For re-certification of eligibility-based programs, no later 
than January 1, 2008 the Commission shall implement procedures to 
determine the need for a personal interview, based on a system of 
objective, risk-based factors and conditions. Such procedures 
shall apply to all re-certifications on a regular and continuous 
basis, and shall comply with and apply all current federal mandates 
and guidelines concerning Payment Error Rate Measure (PERM). Such 
procedures shall measure and control PERM within Medicaid and CHIP 
to within a 4% error rate, or within any other lower established 
federal guideline, and shall be designed to permit continuous 
enrollment for qualified recipients.
	In the event the Commission determines to contract with an 
outside vendor for these services, preference shall be given to any 
vendor organized in the State of Texas and whose primary business 
presence is in the State of Texas. Further preference shall be given 
to any vendor that has, at the time of bidding, successfully 
implemented in at least one other state the technology offered.