By: Deuell  S.B. No. 551
         (In the Senate - Filed February 8, 2007; February 26, 2007,
  read first time and referred to Committee on Health and Human
  Services; March 12, 2007, reported adversely, with favorable
  Committee Substitute by the following vote:  Yeas 8, Nays 0;
  March 12, 2007, sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 551 By:  Deuell
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to indigent health care.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 61.002, Health and Safety Code, is
  amended by amending Subdivision (1) and adding Subdivision (4-a) to
  read as follows:
               (1)  "Department" means the [Texas] Department of State
  Health Services.
               (4-a)  "Executive commissioner" means the executive
  commissioner of the Health and Human Services Commission.
         SECTION 2.  Subsection (f), Section 61.003, Health and
  Safety Code, is amended to read as follows:
         (f)  For purposes of this chapter, a person who is an inmate
  or resident of a state school or institution operated by the
  department, the Texas Department of Criminal Justice
  [Corrections], the [Texas] Department of Aging and Disability
  Services [Mental Health and Mental Retardation], the Texas Youth
  Commission, the Texas School for the Blind and Visually Impaired,
  the Texas School for the Deaf, or any other state agency or who is an
  inmate, patient, or resident of a school or institution operated by
  a federal agency is not considered a resident of a hospital district
  or of any governmental entity except the state or federal
  government.
         SECTION 3.  The heading to Section 61.004, Health and Safety
  Code, is amended to read as follows:
         Sec. 61.004.  [RESIDENCE OR] ELIGIBILITY DISPUTE.
         SECTION 4.  Subsections (a) and (d), Section 61.004, Health
  and Safety Code, are amended to read as follows:
         (a)  If a provider of assistance and a governmental entity or
  hospital district cannot agree on [a person's residence or] whether
  a person is eligible for assistance under this chapter, the
  provider or the governmental entity or hospital district may submit
  the matter to the department.
         (d)  From the information submitted, the department shall
  determine [the person's residence or] whether the person is
  eligible for assistance under this chapter[, as appropriate,] and
  shall notify each governmental entity or hospital district and the
  provider of assistance of the decision and the reasons for the
  decision.
         SECTION 5.  Subsection (b), Section 61.0045, Health and
  Safety Code, is amended to read as follows:
         (b)  A county, hospital district, or public hospital that
  receives information obtained under Subsection (a) shall use the
  information to determine whether the patient to whom services were
  provided is an eligible resident of the service area of the county,
  hospital district, or public hospital and, if so, shall pay the
  claim made by the provider in accordance with its liability for
  payment for the services as described by Section 61.033 or 61.060 
  [this chapter].
         SECTION 6.  Subsection (c), Section 61.006, Health and
  Safety Code, is amended to read as follows:
         (c)  The department shall also define the services and
  establish the payment standards for the categories of services
  listed in Sections 61.028(a) and 61.0285 in accordance with Health
  and Human Services Commission [Texas Department of Human Services]
  rules relating to the Temporary Assistance for Needy
  Families-Medicaid program.
         SECTION 7.  Section 61.007, Health and Safety Code, is
  amended to read as follows:
         Sec. 61.007.  INFORMATION PROVIDED BY APPLICANT.  The
  department by rule shall require each applicant to provide at least
  the following information:
               (1)  the applicant's full name and address;
               (2)  the applicant's social security number, if
  available;
               (3)  the number of persons in the applicant's
  household, excluding persons receiving Temporary Assistance for
  Needy Families, Supplemental Security Income, or Medicaid
  benefits;
               (4)  the applicant's county of residence;
               (5)  the existence of insurance coverage or other
  hospital or health care benefits for which the applicant is
  eligible;
               (6)  any transfer of title to real property by [that]
  the applicant [has made in the preceding 24 months];
               (7)  the applicant's annual household income, excluding
  the income of any household member receiving Temporary Assistance
  for Needy Families, Supplemental Security Income, or Medicaid
  benefits; and
               (8)  the value [amount] of the applicant's liquid
  resources, vehicles, [assets and the equity value of the
  applicant's car] and real property.
         SECTION 8.  Subsection (a), Section 61.008, Health and
  Safety Code, is amended to read as follows:
         (a)  The executive commissioner [department] by rule shall
  provide that in determining eligibility:
               (1)  a county may not consider the value of the
  applicant's homestead;
               (2)  a county must consider the [equity] value of a
  vehicle [car] that is in excess of the amount exempted under
  department guidelines as a resource;
               (3)  a county must subtract the work-related and
  dependent [child] care expense [allowance] allowed under
  department guidelines;
               (4)  a county must consider as a resource real property
  other than a homestead and, except as provided by Subsection (b),
  must count that property in determining eligibility; and
               (5)  transferral of countable resources may not be more
  restrictive than the resource requirements for the Temporary
  Assistance for Needy Families-Medicaid program [if an applicant
  transferred title to real property for less than market value to
  become eligible for assistance under this chapter, the county may
  not credit toward eligibility for state assistance an expenditure
  for that applicant made during a two-year period beginning on the
  date on which the property is transferred].
         SECTION 9.  Section 61.009, Health and Safety Code, is
  amended by amending Subsection (a) and adding Subsection (c) to
  read as follows:
         (a)  The department shall establish uniform reporting
  requirements for governmental entities that own, operate, or lease
  public hospitals providing assistance under this chapter and for
  counties and hospital districts.
         (c)  The reports must be sent to the department at least
  annually.
         SECTION 10.  Subsection (b), Section 61.025, Health and
  Safety Code, is amended to read as follows:
         (b)  The transfer agreement may transfer partial
  responsibility to the county under which the municipal hospital
  continues to provide health care services to eligible residents of
  the municipality, but the county agrees to assume the hospital's
  responsibility to reimburse other providers who provide:
               (1)  basic [mandatory] inpatient or outpatient
  services to eligible residents that the municipal hospital cannot
  provide; or
               (2)  emergency services to eligible residents.
         SECTION 11.  Subsections (a) and (b), Section 61.0285,
  Health and Safety Code, are amended to read as follows:
         (a)  In addition to basic health care services provided under
  Section 61.028, a county may, in accordance with [department] rules
  adopted by the executive commissioner under Section 61.006, provide
  other medically necessary services or supplies that the county
  determines to be cost-effective, including:
               (1)  freestanding ambulatory surgical center services;
               (2)  diabetic and colostomy medical supplies and
  equipment;
               (3)  durable medical equipment;
               (4)  home and community health care services;
               (5)  social work services;
               (6)  psychological counseling services;
               (7)  services provided by physician assistants, nurse
  practitioners, certified nurse midwives, clinical nurse
  specialists, and certified registered nurse anesthetists;
               (8)  dental care;
               (9)  vision care, including eyeglasses;
               (10)  services provided by federally qualified health
  centers, as defined by 42 U.S.C. Section 1396d(l)(2)(B);
               (11)  emergency medical services; and
               (12)  any other appropriate health care service
  identified by [board] rule that may be determined to be
  cost-effective.
         (b)  A county must notify the department of the county's
  intent to provide services specified by Subsection (a). The [If the
  services are approved by the department under Section 61.006, or if
  the department fails to notify the county of the department's
  disapproval before the 31st day after the date the county notifies
  the department of its intent to provide the services, the] county
  may credit the services toward eligibility for state assistance
  under this subchapter.
         SECTION 12.  Subsection (e), Section 61.032, Health and
  Safety Code, is amended to read as follows:
         (e)  If the county and the provider disagree on the patient's
  [residence or] eligibility, the county or the provider may submit
  the matter to the department as provided by Section 61.004.
         SECTION 13.  Subsection (a), Section 61.042, Health and
  Safety Code, is amended to read as follows:
         (a)  A county may establish procedures consistent with those
  used by the Health and Human Services Commission [Texas Department
  of Human Services] under Chapter 31, Human Resources Code, for
  administering an employment services program and requiring an
  applicant or eligible resident to register for work with the Texas
  Workforce [Employment] Commission.
         SECTION 14.  Section 61.066, Health and Safety Code, is
  amended to read as follows:
         Sec. 61.066.  PREVENTION AND DETECTION OF FRAUD.  (a)  A
  hospital district or public hospital may adopt reasonable
  procedures for minimizing the opportunity for fraud, for
  establishing and maintaining methods for detecting and identifying
  situations in which a question of fraud may exist, and for
  administrative hearings to be conducted on disqualifying persons in
  cases where fraud appears to exist.
         (b)  Procedures established by a hospital district or public
  hospital for administrative hearings conducted under this section
  shall provide for appropriate due process, including procedures for
  appeals.
         SECTION 15.  Subsection (c), Section 61.023, Health and
  Safety Code, is repealed.
         SECTION 16.  Notwithstanding Subsection (e), Section
  61.025, Health and Safety Code, a county and municipality may amend
  an agreement under Section 61.025, Health and Safety Code, to
  conform to changes in law made by this Act to Subsection (b),
  Section 61.025, Health and Safety Code.
         SECTION 17.  This Act takes effect immediately if it
  receives a vote of two-thirds of all the members elected to each
  house, as provided by Section 39, Article III, Texas Constitution.  
  If this Act does not receive the vote necessary for immediate
  effect, this Act takes effect September 1, 2007.
 
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