BILL ANALYSIS

H.B. 2600

By: Paul

State Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

It has been suggested that the increasing number of government mandates is driving up the costs of health coverage for Texas consumers and businesses. New mandates on health plans that increase benefits, increase provider payments, or implement new contractual or administrative requirements can lead to increased premiums without providing a commensurate benefit to policyholders. In order to ensure that the legislature is better informed regarding the projected financial impacts of any new insurance mandates before enacting them, H.B. 2600 seeks to require a fiscal impact statement to be prepared for legislation imposing certain new health insurance mandates.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 2600 amends the Government Code to require the Legislative Budget Board to prepare a fiscal impact statement for each bill or joint resolution that requires a health benefit plan issuer to provide new health benefits, increase payments to health care providers, or implement new contractual or administrative requirements. The fiscal impact statement must estimate the legislation's effect on issuer expenditures and on premiums and other costs paid by enrollees and be attached to the legislation immediately following the fiscal note or another statement of cost projections.

EFFECTIVE DATE

September 1, 2021.