88R9440 SRA-F
  By: Frank H.B. No. 1692
  relating to facility fees charged by certain health care providers;
  providing an administrative penalty.
         SECTION 1.  Subtitle G, Title 4, Health and Safety Code, is
  amended by adding Chapter 328 to read as follows:
         Sec. 328.001.  DEFINITIONS. In this chapter:
               (1)  "Department" means the Department of State Health
               (2)  "Executive commissioner" means the executive
  commissioner of the Health and Human Services Commission.
               (3)  "Facility fee" means a fee charged by a health care
  provider that is:
                     (A)  intended to compensate the health care
  provider for operational expenses; and
                     (B)  separate from a fee charged by a health care
  provider for professional medical services provided in a
  hospital-based facility.
               (4)  "Freestanding emergency medical care facility"
  has the meaning assigned by Section 254.001.
               (5)  "Health care provider" means an individual,
  entity, corporation, person, or organization, whether for profit or
  nonprofit, that provides or bills for the provision of health care
  services in the normal course of business. The term includes a
  hospital system, hospital, hospital-based facility, freestanding
  emergency medical care facility, and urgent care clinic.
               (6)  "Hospital" has the meaning assigned by Section
               (7)  "Hospital-based facility" means a facility that is
  owned or operated, wholly or partly, by a hospital, and where
  hospital or professional medical services are provided.
               (8)  "Hospital campus" means:
                     (A)  the main buildings of a hospital;
                     (B)  the physical area immediately adjacent to the
  main buildings of a hospital and other areas or structures that are
  not strictly contiguous to the main buildings but are located not
  more than 250 yards from the main buildings of a hospital; and
                     (C)  any other area that has been determined by
  the Centers for Medicare and Medicaid Services to be a hospital
         Sec. 328.002.  PROHIBITED FACILITY FEES. (a) Except as
  provided by Subsection (b), a health care provider may not charge a
  facility fee, including a facility fee for:
               (1)  outpatient health care services; or
               (2)  health care services identified by the executive
  commissioner under Subsection (c).
         (b)  Subsection (a) does not apply to:
               (1)  services provided on a hospital campus, except for
  services described by Subsections (a)(1) and (2); or
               (2)  services provided at a freestanding emergency
  medical care facility, except for services described by Subsection
         (c)  The executive commissioner by rule shall annually
  identify health care services that may be safely and effectively
  provided outside of a hospital setting.  A facility fee may not be
  billed or collected for services identified under this subsection.
         (d)  This section may not be construed to expand the type of
  health care services that a freestanding emergency medical care
  facility is authorized to provide.
         Sec. 328.003.  REPORTING. Each health care provider shall
  submit a report to the department, in the form and manner prescribed
  by the department, detailing any facility fees charged by the
  provider. A report submitted under this section must comply with
  the requirements of Chapter 108.
         Sec. 328.004.  AUDIT. (a) The department or its designee may
  audit a health care provider for compliance with this chapter.
         (b)  Each health care provider shall make available, on
  written request of the department or its designee, copies of any
  books, documents, records, or other data that are necessary to
  complete the audit.
         (c)  Each health care provider shall retain copies of
  information described by Subsection (b) until four years after the
  date the health care services were provided.
         Sec. 328.005.  ENFORCEMENT. (a) The department shall assess
  an administrative penalty in an amount not to exceed $1,000 against
  a health care provider that violates this chapter or a rule adopted
  under this chapter.
         (b)  This section does not create a private cause of action
  against a provider for legal or equitable relief.
         Sec. 328.006.  RULES. The executive commissioner may adopt
  rules to implement this chapter.
         SECTION 2.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2023.