Honorable Garnet Coleman, Chair, House Committee on County Affairs
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
SB2315 by Hinojosa (Relating to the creation and operations of a health care provider participation program by the Nueces County Hospital District.), Committee Report 2nd House, Substituted
No significant fiscal implication to the State is anticipated.
The bill amends the Health and Safety Code to add Chapter 298C, which authorizes the Nueces County Hospital District to create a health care provider participation program. A health care provider participation program would allow the collection of mandatory payments from hospitals that are not owned and operated by a federal or state government. These payments are deposited into a local provider participation fund to fund intergovernmental transfers and for uniform rate enhancement payments for nonpublic hospitals in the Medicaid managed care service area in which the district is located. Intergovernmental transfers are used by the Health and Human Services Commission (HHSC) as the nonfederal share to draw down supplemental payments.
The nonfederal share of Texas Medicaid supplemental payments is provided largely by local public funds provided to the Health and Human Services Commission 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
Because the bill would not have statewide impact on units of local government of the same type or class, no comment from this office is required by the rules of the Senate as to its probable fiscal implication on units of local government.