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        |  | A BILL TO BE ENTITLED | 
      
        |  | AN ACT | 
      
        |  | relating to a county's eligibility to receive state assistance for | 
      
        |  | health care expenditures that exceed eight percent of the county's | 
      
        |  | general revenue levy for the year. | 
      
        |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
        |  | SECTION 1.  Section 61.037, Health and Safety Code, is | 
      
        |  | amended by adding Subsection (b-1) to read as follows: | 
      
        |  | (b-1)  A county may include as part of the county's eight | 
      
        |  | percent expenditure level calculated under Subsection (b)(1) any | 
      
        |  | payment made by the county for health care services provided | 
      
        |  | through Medicaid, including the county's direct reimbursement to | 
      
        |  | health care providers and indirect reimbursement through transfers | 
      
        |  | of funds to the state for health care services provided through | 
      
        |  | Medicaid. | 
      
        |  | SECTION 2.  Section 61.038, Health and Safety Code, is | 
      
        |  | amended to read as follows: | 
      
        |  | Sec. 61.038.  DISTRIBUTION OF ASSISTANCE FUNDS.  (a)  If the | 
      
        |  | department determines that a county is eligible for assistance, the | 
      
        |  | department shall distribute funds appropriated to the department | 
      
        |  | from the indigent health care assistance fund or any other | 
      
        |  | available fund to the county to assist the county in providing: | 
      
        |  | (1)  health care services under Sections 61.028 and | 
      
        |  | 61.0285 to its eligible county residents who qualify for assistance | 
      
        |  | as described by Section 61.037; or | 
      
        |  | (2)  health care services provided through Medicaid as | 
      
        |  | described by Section 61.037(b-1). | 
      
        |  | (b)  State funds provided under this section to a county must | 
      
        |  | be equal to at least 90 percent of the actual payment for the health | 
      
        |  | care services for the county's eligible residents, including any | 
      
        |  | payments made by the county for health care services provided | 
      
        |  | through Medicaid as described by Section 61.037(b-1), during the | 
      
        |  | remainder of the state fiscal year after the eight percent | 
      
        |  | expenditure level is reached. | 
      
        |  | SECTION 3.  This Act takes effect September 1, 2011. |