Honorable Lois W. Kolkhorst, Chair, Senate Committee on Health & Human Services
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
HB651 by Springer (Relating to the creation and operations of health care provider participation programs in counties not served by a hospital district or a public hospital.), As Engrossed
No significant fiscal implication to the State is anticipated.
The bill amends the Health and Safety Code to add Chapter 299, which authorizes health care provider participation programs in certain counties. The provisions of this bill apply to counties that are not served by a hospital district or public hospital. A health care provider participation program would allow a county to collect a mandatory payment from non-public hospitals to fund intergovernmental transfers, subsidize indigent care programs and for payments to Medicaid managed care organizations that are dedicated for payment to hospitals. Intergovernmental transfers are used by the Health and Human Services Commission (HHSC) as the nonfederal share to draw down Medicaid supplemental payments.
The nonfederal share of Texas Medicaid supplemental payments is provided largely by local public funds provided to the HHSC by intergovernmental transfer. The bill's provisions do not contain any implications for state General Revenue funds. HHSC reports that there would be no significant fiscal impact to the agency resulting from implementation of the bill. It is assumed that HHSC would absorb any administrative costs using existing resources.
The bill would take effect on September 1, 2019, or immediately with a vote of two-thirds of all members in both houses.
Local Government Impact
According to the Texas Association of Counties, no significant fiscal implication to counties is anticipated.