By: Kolkhorst  S.B. No. 331
         (In the Senate - Filed November 13, 2024; February 3, 2025,
  read first time and referred to Committee on Health & Human
  Services; April 14, 2025, reported adversely, with favorable
  Committee Substitute by the following vote:  Yeas 9, Nays 0;
  April 14, 2025, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 331 By:  Kolkhorst
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the disclosure of health care cost information by
  certain health care facilities; imposing an administrative
  penalty.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 327.001(7), Health and Safety Code, is
  amended to read as follows:
               (7)  "Facility" means:
                     (A)  a hospital, including:
                           (i)  a general hospital;
                           (ii)  a special hospital;
                           (iii)  a mental hospital;
                           (iv)  a hospital that operates a crisis
  stabilization unit;
                           (v)  a limited services rural hospital; or
                           (vi)  a hospital operating under a
  certificate of public advantage under Chapter 314 or 314A;
                     (B)  an abortion facility;
                     (C)  an ambulatory surgical center;
                     (D)  a birthing center;
                     (E)  a facility registered on the burial or
  cremation assistance registry under Section 697.005;
                     (F)  a chemical dependency treatment facility;
                     (G)  a community mental health center;
                     (H)  a comprehensive outpatient rehabilitation
  facility;
                     (I)  an end stage renal disease facility;
                     (J)  a freestanding emergency medical care
  facility;
                     (K)  a laboratory subject to the Clinical
  Laboratory Improvement Amendments of 1988 (42 U.S.C. Section 263a);
                     (L)  a narcotic drug treatment program;
                     (M)  an outpatient clinic, rehabilitation agency,
  or public health agency that provides outpatient physical therapy
  and speech pathology services;
                     (N)  a facility the commission regulates that
  administers drugs the Texas Health and Human Services Psychiatric
  Drug Formulary approves for use;
                     (O)  a rural health clinic;
                     (P)  a special care facility; or
                     (Q)  a supplier of portable x-ray services
  [licensed under Chapter 241].
         SECTION 2.  Chapter 327, Health and Safety Code, is amended
  by adding Section 327.0015 to read as follows:
         Sec. 327.0015.  APPLICABILITY. This chapter applies only to
  a facility with a total gross revenue of $7 million or more.
         SECTION 3.  Sections 327.008(a), (c), and (d), Health and
  Safety Code, are amended to read as follows:
         (a)  The commission may impose an administrative penalty on a
  facility [in accordance with Chapter 241] if the facility fails to:
               (1)  respond to the commission's request to submit a
  corrective action plan; or
               (2)  comply with the requirements of a corrective
  action plan submitted to the commission.
         (c)  For a facility with one of the following total gross
  revenues [as reported to the Centers for Medicare and Medicaid
  Services or to another entity designated by commission rule in the
  year preceding the year in which a penalty is imposed], the penalty
  imposed by the commission may not exceed:
               (1)  [$10 for each day the facility violated this
  chapter, if the facility's total gross revenue is less than
  $10,000,000;
               [(2)]  $100 for each day the facility violated this
  chapter, if the facility's total gross revenue is $7,000,000
  [$10,000,000] or more and less than $100,000,000; and
               (2) [(3)]  $1,000 for each day the facility violated
  this chapter, if the facility's total gross revenue is $100,000,000
  or more.
         (d)  Each day a violation continues is considered a separate
  violation. A cumulative administrative penalty may not exceed the
  applicable daily amount provided by Subsection (c).
         SECTION 4.  A health care facility required to disclose
  billing information as a result of the amendment to Chapter 327,
  Health and Safety Code, by this Act is not required to disclose
  information in accordance with that chapter until August 31, 2027.
         SECTION 5.  Section 327.008, Health and Safety Code, as
  amended by this Act, applies only to a violation that occurs on or
  after the effective date of this Act. A violation that occurs
  before the effective date of this Act is governed by the law as it
  existed on the date the violation occurred, and that law is
  continued in effect for that purpose.
         SECTION 6.  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, 2025.
 
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