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A BILL TO BE ENTITLED
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AN ACT
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relating to the eligibility of certain individuals for child health  | 
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plan coverage or medical assistance on placement, detention, or  | 
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commitment in and release from certain facilities or other  | 
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settings. | 
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       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
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       SECTION 1.  Subchapter C, Chapter 62, Health and Safety  | 
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Code, is amended by adding Section 62.1013 to read as follows: | 
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       Sec. 62.1013.  SUSPENSION AND AUTOMATIC REINSTATEMENT OF  | 
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ELIGIBILITY FOR CERTAIN INDIVIDUALS.  (a)  If an individual who is  | 
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enrolled in child health plan coverage is placed, detained, or  | 
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committed under Title 3, Family Code, in a facility or other setting  | 
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that would otherwise result in the loss of the individual's  | 
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eligibility for that coverage, the individual's eligibility is  | 
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suspended during the period of the placement, detention, or  | 
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commitment in that facility or other setting. | 
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       (b)  The eligibility of an individual for child health plan  | 
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coverage that is suspended as provided by Subsection (a) is  | 
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automatically reinstated on the date the individual is released  | 
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from the facility or other setting described by that subsection.   | 
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Following the reinstatement, the individual remains eligible until  | 
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the expiration of the period of continuous coverage provided by  | 
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Section 62.102(a), subject to a review under Section 62.102(b). | 
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       SECTION 2.  Sections 62.102(a) and (b), Health and Safety  | 
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Code, are amended to read as follows: | 
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       (a)  Subject to a review under Subsection (b), the commission  | 
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shall provide that an individual who is determined to be eligible  | 
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for coverage under the child health plan remains eligible for those  | 
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benefits until the earlier of: | 
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             (1)  the end of a period not to exceed 12 months,  | 
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beginning the first day of the month following the date of the  | 
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eligibility determination and excluding any period after that  | 
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determination during which the individual's eligibility was  | 
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suspended as provided by Section 62.1013; or | 
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             (2)  the individual's 19th birthday. | 
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       (b)  During the sixth month of coverage following the date of  | 
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initial enrollment or reenrollment of an individual whose net  | 
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family income exceeds 185 percent of the federal poverty level,  | 
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excluding any period during which the individual's eligibility was  | 
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suspended as provided by Section 62.1013, the commission shall: | 
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             (1)  review the individual's net family income and may  | 
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use electronic technology if available and appropriate; and | 
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             (2)  continue to provide coverage if the individual's  | 
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net family income does not exceed the income eligibility limits  | 
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prescribed by this chapter. | 
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       SECTION 3.  Section 32.0261, Human Resources Code, is  | 
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amended to read as follows: | 
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       Sec. 32.0261.  CONTINUOUS ELIGIBILITY.  The department shall  | 
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adopt rules in accordance with 42 U.S.C. Section 1396a(e)(12), as  | 
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amended, to provide for a period of continuous eligibility for a  | 
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child under 19 years of age who is determined to be eligible for  | 
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medical assistance under this chapter.  The rules shall provide  | 
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that the child remains eligible for medical assistance, without  | 
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additional review by the department and regardless of changes in  | 
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the child's resources or income, until the earlier of: | 
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             (1)  the end of the six-month period following the date  | 
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on which the child's eligibility was determined, excluding any  | 
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period during which the child's eligibility was suspended as  | 
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provided by Section 32.0264; or | 
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             (2)  the child's 19th birthday. | 
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       SECTION 4.  Subchapter B, Chapter 32, Human Resources Code,  | 
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is amended by adding Section 32.0264 to read as follows: | 
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       Sec. 32.0264.  SUSPENSION AND AUTOMATIC REINSTATEMENT OF  | 
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ELIGIBILITY FOR CERTAIN CHILDREN.  (a)  If a child who is a  | 
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recipient of medical assistance is placed, detained, or committed  | 
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under Title 3, Family Code, in a facility or other setting that  | 
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would otherwise result in the loss of the child's eligibility for  | 
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that assistance, the child's eligibility is suspended during the  | 
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period of the placement, detention, or commitment in that facility  | 
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or other setting. | 
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       (b)  The eligibility of a child for medical assistance that  | 
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is suspended as provided by Subsection (a) is automatically  | 
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reinstated on the date the child is released from the facility or  | 
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other setting described by that subsection.  Following the  | 
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reinstatement, the child remains eligible until the expiration of  | 
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the period of continuous eligibility provided by Section 32.0261. | 
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       SECTION 5.  The changes in law made by this Act apply to an  | 
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individual who is released from a placement, detention, or  | 
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commitment under Title 3, Family Code, on or after the effective  | 
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date of this Act, regardless of the date the individual was: | 
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             (1)  placed, detained, or committed under that title;  | 
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or | 
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             (2)  determined eligible for child health plan coverage  | 
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under Chapter 62, Health and Safety Code, or medical assistance  | 
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under Chapter 32, Human Resources Code, as applicable. | 
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       SECTION 6.  If before implementing any provision of this Act  | 
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a state agency determines that a waiver or authorization from a  | 
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federal agency is necessary for implementation of that provision,  | 
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the agency affected by the provision shall request the waiver or  | 
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authorization and may delay implementing that provision until the  | 
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waiver or authorization is granted. | 
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       SECTION 7.  This Act takes effect September 1, 2009. |