86R1157 KKR-F
 
  By: Perry S.B. No. 170
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to reimbursement of rural hospitals participating in the
  Medicaid managed care program.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter A, Chapter 533, Government Code, is
  amended by adding Section 533.0041 to read as follows:
         Sec. 533.0041.  REIMBURSEMENT METHODOLOGY FOR RURAL
  HOSPITALS. To the extent allowed by federal law and
  notwithstanding any state law, the executive commissioner shall by
  rule adopt a reimbursement methodology for the payment of rural
  hospitals participating in the Medicaid managed care program that
  ensures the rural hospitals are reimbursed on an individual basis
  that allows the rural hospitals to fully recover allowable costs
  incurred in providing services to recipients. In adopting rules
  under this section, the executive commissioner:
               (1)  may adopt a methodology that requires:
                     (A)  the commission to directly reimburse rural
  hospitals for allowable costs; or
                     (B)  a managed care organization to reimburse
  rural hospitals; and
               (2)  shall define "allowable costs" and "rural
  hospital" for purposes of this section.
         SECTION 2.  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 3.  This Act takes effect September 1, 2019.