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        |  | AN ACT | 
      
        |  | relating to the creation of certain funding formulas and policies | 
      
        |  | and to certain public health evaluations by the Department of State | 
      
        |  | Health Services. | 
      
        |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
        |  | SECTION 1.  Subchapter D, Chapter 1001, Health and Safety | 
      
        |  | Code, is amended by adding Sections 1001.078 and 1001.079 to read as | 
      
        |  | follows: | 
      
        |  | Sec. 1001.078.  FUNDING FORMULA; PUBLIC HEALTH EVALUATION. | 
      
        |  | (a)  In this section: | 
      
        |  | (1)  "Health service region" means a public health | 
      
        |  | region designated under Section 121.007. | 
      
        |  | (2)  "Local health department" means a local health | 
      
        |  | department established under Subchapter D, Chapter 121. | 
      
        |  | (3)  "Local health unit" has the meaning assigned by | 
      
        |  | Section 121.004. | 
      
        |  | (4)  "Public health district" means a health district | 
      
        |  | established under Subchapter E, Chapter 121. | 
      
        |  | (b)  The department, in collaboration with the Public Health | 
      
        |  | Funding and Policy Committee established under Section 117.051, | 
      
        |  | shall: | 
      
        |  | (1)  develop funding formulas for federal and state | 
      
        |  | funds appropriated to the department to be allocated to local | 
      
        |  | health departments, local health units, public health districts, | 
      
        |  | and health service regions' regional headquarters, based on | 
      
        |  | population, population density, disease burden, social | 
      
        |  | determinants of health, local efforts to prevent disease, and other | 
      
        |  | relevant factors as determined by the department and committee; | 
      
        |  | (2)  evaluate the feasibility and benefits of placing a | 
      
        |  | cap on the percentage of public health funds that can be used on | 
      
        |  | administrative costs at local health departments, local health | 
      
        |  | units, public health districts, and health service regions' | 
      
        |  | regional headquarters; and | 
      
        |  | (3)  evaluate public health functions provided by the | 
      
        |  | department, local health departments, local health units, public | 
      
        |  | health districts, and health service regions' regional | 
      
        |  | headquarters and determine if another entity, including a private | 
      
        |  | entity, can provide those functions more effectively. | 
      
        |  | Sec. 1001.079.  PUBLIC HEALTH THREAT POLICY.  (a)  In this | 
      
        |  | section, "local health department" means a local health department | 
      
        |  | established under Subchapter D, Chapter 121. | 
      
        |  | (b)  The department shall create a policy to allow a local | 
      
        |  | health department flexibility, to the extent allowed under federal | 
      
        |  | law, in the use of personnel and other resources during disaster | 
      
        |  | response activities, outbreaks, and other appropriate public | 
      
        |  | health threats. | 
      
        |  | SECTION 2.  Not later than October 1, 2014, the Department of | 
      
        |  | State Health Services shall: | 
      
        |  | (1)  develop the funding formulas required by | 
      
        |  | Subdivision (1), Subsection (b), Section 1001.078, Health and | 
      
        |  | Safety Code, as added by this Act; | 
      
        |  | (2)  submit to the governor, the lieutenant governor, | 
      
        |  | the speaker of the house of representatives, and appropriate | 
      
        |  | standing committees of the legislature a report on the findings | 
      
        |  | required by Subdivisions (2) and (3), Subsection (b), Section | 
      
        |  | 1001.078, Health and Safety Code, as added by this Act; and | 
      
        |  | (3)  create the policy required by Section 1001.079, | 
      
        |  | Health and Safety Code, as added by this Act. | 
      
        |  | SECTION 3.  This Act takes effect September 1, 2013. | 
      
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        |  | ______________________________ | ______________________________ | 
      
        |  | President of the Senate | Speaker of the House | 
      
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        |  | I hereby certify that S.B. No. 127 passed the Senate on | 
      
        |  | March 13, 2013, by the following vote:  Yeas 31, Nays 0. | 
      
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        |  | ______________________________ | 
      
        |  | Secretary of the Senate | 
      
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        |  | I hereby certify that S.B. No. 127 passed the House on | 
      
        |  | May 20, 2013, by the following vote:  Yeas 147, Nays 0, two | 
      
        |  | present not voting. | 
      
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        |  | ______________________________ | 
      
        |  | Chief Clerk of the House | 
      
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        |  | Approved: | 
      
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        |  | ______________________________ | 
      
        |  | Date | 
      
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        |  | ______________________________ | 
      
        |  | Governor |