By: Schwertner S.B. No. 1385
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the authorization of the imposition of administrative
  penalties on providers participating in certain Medicaid waiver
  programs.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter D, Chapter 161, Human Resources Code,
  is amended by adding Section 161.088 to read as follows:
         Sec. 161.088.  ADMINISTRATIVE PENALTIES. (a)  This section
  applies to the following waiver programs established under Section
  1915(c), Social Security Act (42 U.S.C. Section 1396n(c)), and
  administered by the department to serve persons with an
  intellectual or developmental disability:
               (1)  the home and community-based services (HCS) waiver
  program; and
               (2)  the Texas home living (TxHmL) waiver program.
         (b)  The department may assess and collect an administrative
  penalty against a provider who participates in a program to which
  this section applies for a violation of a law, including a rule, or
  department policy relating to the program.
         (c)  After consulting with the department, the executive
  commissioner shall develop and adopt rules regarding the imposition
  of administrative penalties under this section.  The rules must:
               (1)  include criteria that describe:
                     (A)  the types of violations that warrant
  imposition of an administrative penalty; and
                     (B)  the method by which the department may assess
  an administrative penalty;
               (2)  prescribe reasonable amounts to be imposed for
  each violation giving rise to an administrative penalty;
               (3)  ensure standard and consistent application of
  administrative penalties throughout the state; and
               (4)  provide for an administrative appeals process to
  adjudicate claims and appeals relating to the imposition of an
  administrative penalty under this section that is in accordance
  with Chapter 2001, Government Code.
         (d)  Rules adopted under this section may authorize the
  imposition of an administrative penalty, with interest, for a
  minimum penalty period or on a subsequent per diem basis.
         SECTION 2.  The Department of Aging and Disability Services
  may impose an administrative penalty in accordance with Section
  161.088, Human Resources Code, as added by this Act, only for
  conduct that occurs on or after the effective date of this Act.
         SECTION 3.  If before implementing any provision of this Act
  a state agency determines that a waiver or authorization from a
  federal agency is necessary for implementation of that provision,
  the agency affected by the provision shall request the waiver or
  authorization and may delay implementing that provision until the
  waiver or authorization is granted.
         SECTION 4.  This Act takes effect September 1, 2015.