Amend CSSB 1, Article III, as follows:                                       
	On page III-216 and III-217 of the bill pattern for the 
Special Provisions Relating Only to State Agencies of Higher 
Education" amend the following text:
	Sec. 22.  Unsponsored Charity Uncompensated Care Reporting 
Requirement.  The public health-related institutions listed in Sec. 
22, 1.  Financially Indigent, shall use the appropriations in this 
Act to include in their biennial legislative appropriations request 
information including the actual amount of uncompensated charity 
care provided through each institution's respective physician 
practice plan, and if applicable, hospital or clinic using the 
definition of unsponsored charity care set forth in the following 
sub-sections. uncompensated care reporting requirements 
established by the Health & Human Services Commission.
	Uncompensated care includes the unreimbursed costs for the 
uninsured (those with no source of third party insurance) and the 
underinsured (those with insurance who after contractual 
adjustments and third party payments have a responsibility to pay 
for an amount they are unable to pay).  Uncompensated care also 
includes the unreimbursed costs from government sponsored health 
programs.  To calculate uncompensated care, charges will be 
converted to costs by application of a standard, auditable ratio of 
cost to charge and providers will recognize appropriate patient 
specific funding and lump sum funding available to offset costs.
	1.  Financially Indigent.  Unsponsored charity care shall 
include unreimbursed services to the financially indigent.  
Financially indigent shall mean uninsured or underinsured patients 
accepted for care with no obligation or a discounted obligation to 
pay for services rendered based on a teaching hospital's or clinic's 
formal eligibility system which may include:  (a) income levels and 
means testing or other criteria for determining a patient's 
inability to pay; or (b) other criteria for determining a patient's 
inability to pay that are consistent with the hospital's or clinic's 
mission and established policy.  The federal poverty level shall 
serve as an index for the threshold below which patients receiving 
care at The University of Texas Southwestern Medical Center at 
Dallas, The University of Texas Medical Branch at Galveston, The 
University of Texas Health Science Center at Houston, The 
University of Texas Health Science Center at San Antonio, The 
University of Texas M.D. Anderson Cancer Center, The University of 
Texas Health Science Center at Tyler, Texas A&M University System 
Health Science Center, The Texas Tech University Health Sciences 
Center, and The University of North Texas Health Science Center are 
deemed financially indigent.  Financially indigent services 
include both noncovered services and contractual allowances for 
patients eligible for the Medicaid program and for the Children 
with Special Health Care Needs program, services provided under 
county indigent care contracts (Sec. 23), and services provided 
under other state or local government programs with eligibility 
indexed to the federal poverty level.
	2.  Medically Indigent.  Unsponsored charity care shall 
include unreimbursed services to the medically indigent.  Medically 
indigent shall mean patients who are responsible for their living 
expenses, but whose medical and hospital bills, after payment by 
third party payers, where applicable, exceed:  (a) a specified 
percentage of the patient's annual gross income (i.e., catastrophic 
medical expenses) in accordance with a teaching hospital or 
clinic's formal eligibility system in such instances where payment 
would require liquidation of assets critical to living or earning a 
living; or (b) the criteria for determining a patient's inability 
to pay as established by the public health related institutions 
listed in Sec. 22, 1.  Financially Indigent.
	3.  Charity Care Determination.  The determination that a 
patient is financially or medically indigent shall occur within 120 
days of the patient's discharge from the hospital or clinic setting 
or within 120 days of the third party payor settlement.
	4.  Contractual Adjustments.  The contractual adjustments to 
commercial contracts, managed care contracts, and Medicare for the 
public health related institutions listed in Sec. 22, 1.  
Financially Indigent, shall not be counted as unsponsored charity 
care.
	5.  Bad Debt.  Bad debts shall not be counted as unsponsored 
charity costs.  Bad debts shall include the uncollected billed 
charges for services rendered to patients who do not quality under 
the definition of unsponsored charity care.
	6.  Patient Income Eligibility Guidelines.  The University of 
Texas Medical Branch at Galveston, The University of Texas M.D. 
Anderson Cancer Center, and The University of Texas Health Science 
Center at Tyler shall use the federal poverty level indexed at an 
agreed upon level as the guideline for determining indigent 
patients status, and those institutions' eligibility guidelines 
regarding copayment by patients deemed financially or medically 
indigent shall be the same.
	The University of Texas Southwestern Medical Center at 
Dallas, The University of Texas Health Science Center at Houston, 
The University of Texas Health Science Center at San Antonio, Texas 
A&M University System Health Science Center, the Texas Tech 
University Health Sciences Center, and The University of North 
Texas Health Science Center may use as a basis for reporting 
indigent care statistical samples derived from indigent care 
determinations made by their affiliated teaching hospitals and 
designed to estimate the amounts of charity care provided using the 
definitions established by The University of Texas hospitals noted 
above.
	7.  Physician Practice Plan Upper Payment Limit.  Any amounts 
received by the Physician Practice Plan from Upper Payment Limit 
shall be counted as payments received for unsponsored charity 
uncompensated care.