88R23921 JES-F
 
  By: Bonnen H.B. No. 5186
 
  Substitute the following for H.B. No. 5186:
 
  By:  Capriglione C.S.H.B. No. 5186
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the establishment of the state health benefit plan
  reimbursement review board and the reimbursement for health care
  services or supplies provided under certain state-funded health
  benefit plans.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle C, Title 3, Government Code, is amended
  by adding Chapter 331 to read as follows:
  CHAPTER 331. STATE HEALTH BENEFIT PLAN REIMBURSEMENT REVIEW BOARD
         Sec. 331.001.  DEFINITIONS. In this chapter:
               (1)  "Board" means the state health benefit plan
  reimbursement review board.
               (2)  "Enrollee" means an individual entitled to health
  benefit coverage under a state health benefit plan.
               (3)  "Facility" means:
                     (A)  a hospital;
                     (B)  an ambulatory surgical center licensed under
  Chapter 243, Health and Safety Code;
                     (C)  a birthing center; or
                     (D)  a freestanding emergency medical care
  facility, as defined by Section 254.001, Health and Safety Code,
  including a freestanding emergency medical care facility that is
  exempt from the licensing requirements of Chapter 254, Health and
  Safety Code, under Section 254.052(8), Health and Safety Code.
               (4)  "State health benefit plan" means a health benefit
  plan provided under Chapter 1551, 1575, 1579, or 1601, Insurance
  Code.
         Sec. 331.002.  ESTABLISHMENT; PURPOSE.  The state health
  benefit plan reimbursement review board is established for the
  purpose of controlling present and future cost growth for state
  health benefit plans while maintaining access for enrollees to
  high-quality health care services and supplies.
         Sec. 331.003.  MEMBERSHIP. (a) The board consists of:
               (1)  the lieutenant governor;
               (2)  the speaker of the house of representatives;
               (3)  the chair of the senate finance committee;
               (4)  the chair of the house appropriations committee;
               (5)  three members of the senate appointed by the
  lieutenant governor; and
               (6)  three members of the house appointed by the
  speaker.
         (b)  The lieutenant governor and the speaker of the house of
  representatives are joint chairs of the board.
         Sec. 331.004.  QUORUM; MEETINGS.  (a)  A majority of the
  members of the board from each house constitutes a quorum to
  transact business.  If a quorum is present, the board may act on any
  matter that is within its jurisdiction by a majority vote.
         (b)  The board shall meet as often as necessary to perform
  the board's duties.  Meetings may be held at any time at the request
  of either of the joint chairs of the board.
         (c)  The board shall meet in Austin, except that if a
  majority of the members of the board from each house agree, the
  board may meet in any location determined by the board.
         (d)  As an exception to Chapter 551 and other law, if a
  meeting is located in Austin and the joint chairs of the board are
  physically present at the meeting, then any number of the other
  members of the board may attend the meeting by use of telephone
  conference call, video conference call, or other similar
  telecommunication device.  This subsection applies for purposes of
  constituting a quorum, for purposes of voting, and for any other
  purpose allowing a member of the board to otherwise fully
  participate in any meeting of the board.  This subsection applies
  without exception with regard to the subject of the meeting or
  topics considered by the members.
         (e)  A meeting held by use of telephone conference call,
  video conference call, or other similar telecommunication device:
               (1)  is subject to the notice requirements applicable
  to other meetings;
               (2)  must specify in the notice of the meeting the
  location in Austin of the meeting at which the joint chairs will be
  physically present;
               (3)  must be open to the public and shall be audible to
  the public at the location in Austin specified in the notice of the
  meeting as the location of the meeting at which the joint chairs
  will be physically present; and
               (4)  must provide two-way audio communication between
  all members of the board attending the meeting during the entire
  meeting, and if the two-way audio communication link with any
  member attending the meeting is disrupted at any time, the meeting
  may not continue until the two-way audio communication link is
  reestablished.
         Sec. 331.005.  DUTY TO ADOPT REIMBURSEMENT STRUCTURE. The
  board shall adopt a provider reimbursement structure, regardless of
  methodology, that each state health benefit plan will use to
  determine reimbursement to a facility for a health care service or
  supply, determined by provider type and class and according to
  whether the facility is an in-network or out-of-network facility.  
  The board may not adopt a reimbursement structure that is in excess
  of the aggregated provider reimbursement, regardless of
  methodology, reported by participating state health benefit plans
  under Section 331.006 for that health care service or supply.
         Sec. 331.006.  REPORTS BY STATE HEALTH BENEFIT PLANS. (a)  
  Each state health benefit plan shall submit to the board in the form
  and manner prescribed by the board a report that includes:
               (1)  information on reimbursements and costs for
  applicable provider types and classes paid by that plan during the
  preceding plan year;
               (2)  recommendations to the board regarding the
  provider reimbursement structure to be adopted by the board; and
               (3)  a summary of public comments received by the plan
  on the recommendations provided to the board under Subdivision (2).
         (b)  Each state health benefit plan shall, before submitting
  the report required under Subsection (a), allow for public comment
  on the plan's recommendations to be submitted under that
  subsection.
         Sec. 331.007.  REIMBURSEMENT STRUCTURE REPORT. (a)  The
  board shall analyze the reports submitted under Section 331.006,
  including the recommendations provided, and issue a report on the
  reimbursement structure for state health benefit plans.  The report
  issued by the board must:
               (1)  establish a provider reimbursement structure,
  regardless of methodology, in accordance with Section 331.005 that
  provides for reimbursement that a facility that provides health
  care services or supplies to an enrollee under a state health
  benefit plan will receive for those health care services or
  supplies and specify any other requirements or limitations related
  to reimbursement;
               (2)  be made publicly available on an Internet website;
  and
               (3)  specify that the reimbursement structure in the
  report is applicable to each state health benefit plan for each plan
  year beginning after the date the report is issued until the plan
  year beginning after the date a later report is issued under this
  subsection.
         (b)  The reimbursement structure adopted by the board's
  report under Subsection (a) is applicable to a state health benefit
  plan for each plan year beginning after the date the report is
  issued until the plan year beginning after the date a later report
  is issued under Subsection (a).
         SECTION 2.  Subchapter A, Chapter 1551, Insurance Code, is
  amended by adding Section 1551.016 to read as follows:
         Sec. 1551.016.  REIMBURSEMENT STRUCTURE FOR FACILITIES. (a)  
  In this section:
               (1)  "Facility" has the meaning assigned by Section
  331.001, Government Code.
               (2)  "Review board" means the state health benefit plan
  reimbursement review board established under Chapter 331,
  Government Code.
         (b)  Notwithstanding any other law or a provision of a
  contract to the contrary, and subject to limitations imposed by the
  General Appropriations Act, a facility that bills the group
  benefits program, an administering firm, or a health benefit plan
  provided under this chapter, or a designee of the program, firm, or
  plan, for a health care service or supply provided to a plan
  enrollee must be reimbursed for the health care service or supply in
  accordance with the reimbursement structure adopted for the service
  or supply by the review board for the applicable plan year.
         (c)  A facility that receives reimbursement for a health care
  service or supply as provided by Subsection (b) must consider that
  reimbursement as payment in full for the service or supply.  Except
  as provided by this subsection, the facility may not charge an
  enrollee to recover from the enrollee the balance of the facility's
  fee for a service or supply received by the enrollee from the
  facility that is not fully reimbursed under Subsection (b).  The
  facility may charge the enrollee an applicable copayment,
  coinsurance, or deductible under the enrollee's health benefit
  plan.
         (d)  A facility may not discriminate against an enrollee or
  the group benefits program based on the limitation on reimbursement
  under Subsection (b) by:
               (1)  refusing to provide health care services or
  supplies to the enrollee; or
               (2)  providing health care services or supplies of a
  lower quality to the enrollee than those the facility provides to
  similar patients who are not enrolled in a health benefit plan under
  this chapter.
         SECTION 3.  Subchapter A, Chapter 1575, Insurance Code, is
  amended by adding Section 1575.011 to read as follows:
         Sec. 1575.011.  REIMBURSEMENT STRUCTURE FOR FACILITIES. (a)  
  In this section:
               (1)  "Facility" has the meaning assigned by Section
  331.001, Government Code.
               (2)  "Review board" means the state health benefit plan
  reimbursement review board established under Chapter 331,
  Government Code.
         (b)  Notwithstanding any other law or a provision of a
  contract to the contrary, and subject to limitations imposed by the
  General Appropriations Act, a facility that bills the group
  program, an administrator of a health benefit plan provided under
  this chapter, or a health benefit plan provided under this chapter,
  or a designee of the program, administrator, or plan, for a health
  care service or supply provided to a plan enrollee must be
  reimbursed for the health care service or supply in accordance with
  the reimbursement structure adopted for the service or supply by
  the review board for the applicable plan year.
         (c)  A facility that receives reimbursement for a health care
  service or supply as provided by Subsection (b) must consider that
  reimbursement as payment in full for the service or supply.  Except
  as provided by this subsection, the facility may not charge an
  enrollee to recover from the enrollee the balance of the facility's
  fee for a service or supply received by the enrollee from the
  facility that is not fully reimbursed under Subsection (b).  The
  facility may charge the enrollee an applicable copayment,
  coinsurance, or deductible under the enrollee's health benefit
  plan.
         (d)  A facility may not discriminate against an enrollee or
  the group program based on the limitation on reimbursement under
  Subsection (b) by:
               (1)  refusing to provide health care services or
  supplies to the enrollee; or
               (2)  providing health care services or supplies of a
  lower quality to the enrollee than those the facility provides to
  similar patients who are not enrolled in a health benefit plan under
  this chapter.
         SECTION 4.  Subchapter A, Chapter 1579, Insurance Code, is
  amended by adding Section 1579.011 to read as follows:
         Sec. 1579.011.  REIMBURSEMENT STRUCTURE FOR FACILITIES. (a)  
  In this section:
               (1)  "Facility" has the meaning assigned by Section
  331.001, Government Code.
               (2)  "Review board" means the state health benefit plan
  reimbursement review board established under Chapter 331,
  Government Code.
         (b)  Notwithstanding any other law or a provision of a
  contract to the contrary, and subject to limitations imposed by the
  General Appropriations Act, a facility that bills the program, an
  administering firm, or a health coverage plan provided under this
  chapter, or a designee of the program, firm, or plan, for a health
  care service or supply provided to a plan enrollee must be
  reimbursed for the health care service or supply in accordance with
  the reimbursement structure adopted for the service or supply by
  the review board for the applicable plan year.
         (c)  A facility that receives reimbursement for a health care
  service or supply as provided by Subsection (b) must consider that
  reimbursement as payment in full for the service or supply.  Except
  as provided by this subsection, the facility may not charge an
  enrollee to recover from the enrollee the balance of the facility's
  fee for a service or supply received by the enrollee from the
  facility that is not fully reimbursed under Subsection (b).  The
  facility may charge the enrollee an applicable copayment,
  coinsurance, or deductible under the enrollee's health coverage
  plan.
         (d)  A facility may not discriminate against an enrollee or
  the program based on the limitation on reimbursement under
  Subsection (b) by:
               (1)  refusing to provide health care services or
  supplies to the enrollee; or
               (2)  providing health care services or supplies of a
  lower quality to the enrollee than those the facility provides to
  similar patients who are not enrolled in a health coverage plan
  under this chapter.
         SECTION 5.  Subchapter A, Chapter 1601, Insurance Code, is
  amended by adding Section 1601.012 to read as follows:
         Sec. 1601.012.  REIMBURSEMENT STRUCTURE FOR FACILITIES. (a)  
  In this section:
               (1)  "Facility" has the meaning assigned by Section
  331.001, Government Code.
               (2)  "Review board" means the state health benefit plan
  reimbursement review board established under Chapter 331,
  Government Code.
         (b)  Notwithstanding any other law or a provision of a
  contract to the contrary, and subject to limitations imposed by the
  General Appropriations Act, a facility that bills the uniform
  program, an administering carrier, or a health benefit plan
  provided under this chapter, or a designee of the program, carrier,
  or plan, for a health care service or supply provided to a plan
  enrollee must be reimbursed for the health care service or supply in
  accordance with the reimbursement structure adopted for the service
  or supply by the review board for the applicable plan year.
         (c)  A facility that receives reimbursement for a health care
  service or supply as provided by Subsection (b) must consider that
  reimbursement as payment in full for the service or supply.  Except
  as provided by this subsection, the facility may not charge an
  enrollee to recover from the enrollee the balance of the facility's
  fee for a service or supply received by the enrollee from the
  facility that is not fully reimbursed under Subsection (b).  The
  facility may charge the enrollee an applicable copayment,
  coinsurance, or deductible under the enrollee's health benefit
  plan.
         (d)  A facility may not discriminate against an enrollee or
  the uniform program based on the limitation on reimbursement under
  Subsection (b) by:
               (1)  refusing to provide health care services or
  supplies to the enrollee; or
               (2)  providing health care services or supplies of a
  lower quality to the enrollee than those the facility provides to
  similar patients who are not enrolled in a health benefit plan under
  this chapter.
         SECTION 6.  The changes in law made by this Act apply only
  to:
               (1)  a plan year beginning on or after September 1,
  2024; and
               (2)  a contract entered into or renewed on or after
  September 1, 2023.
         SECTION 7.  This Act takes effect September 1, 2023.