TN
Tennessee House Bill HB0498

Tennessee 2025-2026 Regular Session

Tennessee House Bill HB0498 Compare Versions

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1-f E)i~):
2-• ----J~!
3-~tate of ~ennessee
4-PUBLIC CHAPTER NO. 144
5-HOUSE BILL NO. 498
6-By Representatives Hale, Miller, Behn, Clemmons, Lamberth, Powell
7-Substituted for: Senate Bill No. 321
8-By Senators Massey, Southerland, Oliver, Reeves
9-AN ACT to amend Tennessee Code Annotated, Title 4; Title 62 and Title 63, relative to
10-state agencies.
1+
2+SENATE BILL 321
3+ By Massey
4+
5+HOUSE BILL 498
6+By Hale
7+
8+
9+HB0498
10+001945
11+- 1 -
12+
13+AN ACT to amend Tennessee Code Annotated, Title 4;
14+Title 62 and Title 63, relative to state agencies.
15+
1116 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
1217 SECTION 1. Tennessee Code Annotated, Title 63, Chapter 1, Part 1, is amended by
1318 adding the following as a new section:
1419 63-1-177.
15-(a) There is created an advisory task force on state reimbursement rates to make
16-recommendations on annual adjustments to the reimbursement rates paid to agencies
17-that perform healthcare functions and services in this state, the purpose of which is to
18-ensure such reimbursement rates are adequate.
20+(a) There is created an advisory task force on state reimbursement rates to
21+make recommendations on annual adjustments to the reimbursement rates paid to
22+agencies that perform healthcare functions and services in this state, the purpose of
23+which is to ensure such reimbursement rates are adequate.
1924 (b)
2025 (1) The advisory task force consists of:
2126 (A) Three (3) members appointed by the speaker of the house of
2227 representatives;
23-(8) Three (3) members appointed by the speaker of the senate;
28+(B) Three (3) members appointed by the speaker of the senate;
2429 (C) The commissioner of labor and workforce development or the
2530 commissioner's designee;
26-(D) The commissioner of children's services or the commissioner's
27-designee;
28-(E) The commissioner of health or the commissioner's designee;
29-(F) The commissioner of mental health and substance abuse
31+(D) The commissioner of mental health and substance abuse
3032 services or the commissioner's designee;
31-(G) The director of TennCare or the director's designee; and
32-(H) The commissioner of disability and aging or the
33+(E) The director of TennCare or the director's designee; and
34+(F) The commissioner of disability and aging or the
3335 commissioner's designee.
34-(2) The members appointed under subdivisions (b)(1 )(A) and (8) shall
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40+(2) The members appointed under subdivisions (b)(1)(A) and (B) shall
3541 each represent a different health-related profession.
36-(3) The members listed in subdivisions (b)(1 )(C)-(H) serve as ex officio
42+(3) The members listed in subdivisions (b)(1)(C)-(F) serve as ex officio
3743 non-voting members.
3844 (4)
3945 (A) In order to stagger the terms of the members appointed under
40-subdivisions (b)(1 )(A) and (8): HB498
46+subdivisions (b)(1)(A) and (B):
4147 (i) The members appointed by the speaker of the house of
4248 representatives shall serve initial terms of three (3) years; and
4349 (ii) The members appointed by the speaker of the senate
4450 shall serve initial terms of four (4) years.
4551 (B) All subsequent appointments are for six-year terms that begin
4652 on July 1 and end on June 30 of each applicable year.
47-(c) The task force is attached to the department of labor and workforce
48-development for administrative purposes.
49-( d) The commissioner of labor and workforce development shall call the first
50-meeting.
51-(e)
52-(1) The task force shall elect a chair and vice chair from among the
53-appointed members for a two-year term at the first meeting.
54-(2) The chair shall:
55-(A) Plan the agenda for all meetings;
56-(B) Appoint subcommittees, as deemed necessary;
57-(C) Coordinate with the department of labor and workforce
58-development for logistics of the meetings and posting of the required
59-public notice;
60-(D) Chair each meeting of the task force; and
61-(E) Be responsible for the development, production, and
62-submission of the yearly recommendations in the annual report, as
63-prescribed in subsection U).
64-(3) The vice chair shall fulfill the requirements and responsibilities of the
65-chair in the chair's absence.
66-(f) The members of the task force receive no compensation for their service on
67-the task force, nor are the members entitled to per diem or travel expenses for the
68-purposes of carrying out their duties under this section.
69-(g) The advisory task force may conduct meetings by electronic or other means
70-of communication pursuant to § 8-44-108, provided that the task force conducts at least
71-one ( 1) in person meeting per calendar year.
72-(h) The task force is authorized to:
53+(c) The task force is attached to the department of health for administrative
54+purposes.
55+(d) The commissioner of labor and workforce development shall serve as chair
56+of the advisory task force, and shall call the first meeting.
57+ (e) The members of the task force serve without compensation but must receive
58+reimbursement for their necessary expenses. All reimbursement for travel expenses
59+must be in accordance with the comprehensive travel regulations as promulgated by the
60+department of finance and administration and approved by the attorney general and
61+reporter.
62+(f) The advisory task force may conduct meetings by electronic or other means
63+of communication pursuant to § 8-44-108 for the benefit of the public and the task force
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66+ - 3 - 001945
67+
68+in connection with a meeting authorized by law; provided, that a physical quorum must
69+be maintained at the location of the meeting where recommendations will be adopted.
70+(g) The task force is authorized to:
7371 (1) Make recommendations to agencies with provider contracts to ensure
7472 the:
7573 (A) Salaries and benefits of essential agency staff persons are
7674 sufficient to fund the appropriate level of care vital to this state's most
7775 vulnerable citizens; and
78-(8) Administrative costs to such agencies who employ direct
76+(B) Administrative costs to such agencies who employ direct
7977 support professionals are reasonable based on the services provided;
80-(2) Determine the likely reason for and solutions to the healthcare
81-frontline workforce shortage; and
82-(3) Request relevant qualitative and quantitative data from impacted
83-industries, associations representing such industries, and state agencies.
84-2 HB498
85-(i) The advisory task force shall consider:
78+and
79+(2) Determine the reason for and solutions to the healthcare frontline
80+workforce shortage.
81+(h) The advisory task force shall consider:
8682 (1) The provider agency's cost of doing business with the state and the
8783 inherent burdens associated with state contracts;
8884 (2) The salaries and benefits of similar professionals employed by the
8985 state and other similar agencies;
9086 (3) The impact of the direct support professional's employment on their
9187 ability to receive other state and federal benefits;
9288 (4) The cost-of-living adjustments experienced by direct support
9389 professionals in this state;
9490 (5) The provider agency's cost of providing benefits and administrative
9591 support to direct support professionals; and
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95+
9696 (6) Any barriers to licensure or employment for direct support
9797 professionals created by statute, administrative rules, or employment
9898 arrangements.
99-U) The task force shall make recommendations as part of an annual report to the
100-relevant state officials and agencies holding provider contracts by August 1 of each year,
101-beginning in 2026. The annual report must also be submitted to the chair of the senate
102-finance, ways and means committee, the chair of the committee of the hou$e of
103-representatives with jurisdiction over subject matters pertaining to finance, the chair of
104-the senate health and welfare committee, the chair of the committee of the house of
105-representatives having jurisdiction over subject matters pertaining to health, the
106-governor, and the commissioner of finance and administration.
99+(i) The task force shall make recommendations to the relevant state officials and
100+agencies holding provider contracts by August 1 of each year, beginning in 2026.
101+Additionally, the annual report must be submitted to the chair of the senate finance,
102+ways and means committee, the chair of the committee of the house of representatives
103+with jurisdiction over subject matters pertaining to finance, the chair of the senate health
104+and welfare committee, the chair of the committee of the house of representatives
105+having jurisdiction over subject matters pertaining to health, the governor, and the
106+commissioner of finance and administration.
107107 SECTION 2. Tennessee Code Annotated, Section 4-29-248(a), is amended by inserting
108108 the following as a new subdivision:
109109 ( ) Advisory task force on state reimbursement rates, created by § 63-1-177;
110110 SECTION 3. For the purpose of appointing members to the advisory task force, this act
111111 takes effect upon becoming a law, the public welfare requiring it. For all other purposes, this act
112-takes effect July 1, 2025, the public welfare requiring it
113-3 HOUSE BILL NO. 498
114-PASSED: March 24, 2025
115-APPROVED this ~
116-BILL LEE, GOVERNOR
117-R..
118-CAMERON SEXTON, SPEAKER
119-HOUSE OF REPRESENTATIVES
120-~ ~· ~'# -'-"-·
121-~
122-' ---'RANDYM~
123-SPEAKER OF THE SENATE
124-day of l ti" I 2025
112+takes effect July 1, 2025, the public welfare requiring it.