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.