BILL ANALYSIS

 

 

Senate Research Center                                                                                                       H.B. 582

81R1820 KFF-D                                                                                          By: Dukes (Wentworth)

                                                                                                                                       State Affairs

                                                                                                                                              5/1/2009

                                                                                                                                           Engrossed

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The Children's Health Insurance Program (CHIP) is a federal program that provides health insurance to children whose families do not qualify for Medicaid, yet need assistance to buy health insurance for their children. State and higher education employees, who are not eligible for CHIP, are eligible to apply for a similar program called the State Kids Insurance Program (SKIP).  The two programs have similar qualification and requalification standards, and these programs are based on the income, the size of an individual's household, and other factors. However, under SKIP, an individual who leaves state employment through either termination or death is not informed about or referred to additional health care programs for which the individual's family may be eligible. Presently, there is no process in place that provides a referral to CHIP or Children's Medicaid when the SKIP coverage for an individual and the individual's family is terminated through the Employees Retirement System of Texas (ERS). H.B. 582 requires ERS to establish procedures for a state agency to inform employees that their children may be eligible for CHIP or Children's Medicaid when SKIP coverage is ending as a result of termination of state employment or death of the employee. The agency that formerly employed such individual also would provide information to an individual and the individual's family, who might be eligible for coverage under these programs, regarding the procedures for applying for benefits.

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H.B. 582 amends current law relating to informing the parents and guardians of certain children about the availability of the child health plan and medical assistance programs.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 1551.159, Insurance Code, by adding Subsection (i), as follows:

 

(i)  Requires the board of trustees of the Employees Retirement System of Texas (board of trustees) to establish procedures by which the parent or guardian of a child no longer eligible for dependent child coverage under this section due to an employee's termination of state employment is, through the former employing state agency, informed that the child may be eligible to receive similar benefits under the child health plan program under Chapter 62 (Child Health Plan for Certain Low-Income Children), Health and Safety Code, or the medical assistance program under Chapter 32 (Medical Assistance Program), Human Resources Code, and  provided information regarding how to apply for benefits under those programs.

 

SECTION 2.  Requires the board of trustees,  not later than December 1, 2009, to establish the procedures required by Section 1551.159(i), Insurance Code, as added by this Act.

 

SECTION 3.  Effective date: upon passage or September 1, 2009.