81R13149 KLA-F By: Coleman H.B. No. 3470 A BILL TO BE ENTITLED AN ACT relating to the administration and funding of and eligibility for the child health plan, medical assistance, and other programs. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 531.021(e), Government Code, is amended to read as follows: (e) Notwithstanding any other provision of Chapter 32, Human Resources Code, Chapter 533, or this chapter, the commission: (1) may adjust the fees, charges, and rates paid to Medicaid providers as necessary to achieve the objectives of the Medicaid program in a manner consistent with the considerations described by Subsection (d); and (2) shall adjust the fees, charges, and rates paid for primary care and nursing home services annually to, at a minimum, account for inflation. SECTION 2. Subchapter B, Chapter 531, Government Code, is amended by adding Sections 531.02417, 531.02418, 531.02419, and 531.02420 to read as follows: Sec. 531.02417. ENROLLMENT AND RETENTION MODIFICATIONS FOR RECEIPT OF FEDERAL BONUS PAYMENTS. (a) Notwithstanding any other provision of this chapter, Chapter 62, Health and Safety Code, Chapter 32, Human Resources Code, or any other law, the commission shall take all necessary actions to modify enrollment and retention processes employed in the child health plan and Medicaid programs to ensure that this state receives federal performance bonus payments made available under Section 2105(a)(3), Social Security Act (42 U.S.C. Section 1397ee(a)(3)), or, if an enrollment and retention process employed in those programs does not require a modification, maintain the process to ensure receipt of those payments. (b) Actions the commission is required to take under Subsection (a) include implementing or maintaining the following with respect to children younger than 19 years of age: (1) a 12-month period of continuous eligibility for the child health plan and Medicaid programs, as required by Section 62.102, Health and Safety Code, and Section 32.0261, Human Resources Code, respectively; (2) liberalizing asset test requirements for eligibility determinations for the child health plan and Medicaid programs, which may include: (A) eliminating the asset test regardless of whether the test is specifically authorized by statute; or (B) permitting an applicant, or the applicant's parent or guardian, to certify under penalty of perjury information relating to assets or using an asset verification process that does not require an applicant, or the applicant's parent or guardian, to provide documentation except when discrepancies are discovered or under other circumstances that justify requiring documentation, as determined by the executive commissioner in accordance with federal law; (3) eliminating any personal interview requirements for determining eligibility for the child health plan or Medicaid programs, notwithstanding any other law; (4) using the same application, set of supplemental forms, if applicable, and information verification process for determining eligibility for the child health plan and Medicaid programs; and (5) using automatic, administrative processes for recertifying eligibility for the child health plan and Medicaid programs that comply with the requirements specified by Section 2105(a)(4)(E), Social Security Act (42 U.S.C. Section 1397ee(a)(4)(E)), including: (A) providing a preprinted form completed by the commission or a person contracting with the commission to perform eligibility and enrollment functions that is based on available information, unless other information is provided or obtained through verification; and (B) using an ex parte process under which no personal interview is required unless the commission, or the person contracting with the commission to perform eligibility and enrollment functions, does not have sufficient information to recertify eligibility and that information cannot be acquired from other sources without the participation of an applicant or the applicant's parent or guardian. Sec. 531.02418. RECEIPT OF TEMPORARY INCREASED MEDICAID FMAP AND DSH ALLOTMENT. (a) In this section: (1) "DSH allotment" means the federal funding allotment provided under the disproportionate share hospital supplemental payment program. (2) "Medicaid FMAP" means the federal medical assistance percentage by which state Medicaid expenditures are matched with federal funds. (b) The commission shall take all actions necessary to qualify this state for the temporary increase in the Medicaid FMAP authorized by Section 5001, American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), and for the temporary increase in this state's DSH allotment authorized by Section 5002, American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5). If necessary, the commission shall, with assistance from the Texas Workforce Commission, monitor the state unemployment increase percentage as defined by Section 5001(c)(4), American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), and assist in providing accurate data regarding that percentage to the federal government for purposes of ensuring receipt of the additional Medicaid FMAP increase authorized by Section 5001(c) of that Act, if applicable. (c) This section expires September 2, 2011. Sec. 531.02419. MAINTENANCE OF ELIGIBILITY; PROMPT PAYMENT REQUIREMENTS. (a) In this section, "Medicaid FMAP" has the meaning assigned by Section 531.02418. (b) Notwithstanding any other law, including any Act of the 81st Legislature that is enacted and becomes law, the commission may not implement any eligibility standard, methodology, or procedure under the Medicaid program, including a Medicaid waiver program, that is more restrictive than the corresponding eligibility standard, methodology, or procedure in effect on July 1, 2008, if the implementation of the standard, methodology, or procedure would result in this state's ineligibility under Section 5001(f), American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), for an increase in the Medicaid FMAP. (c) The commission and any person under contract with the commission shall comply with the prompt payment requirements with respect to claims subject to Section 1902(a)(37)(A), Social Security Act (42 U.S.C. Section 1396a(a)(37)(A)), to ensure this state's eligibility for an increased Medicaid FMAP. The commission shall report to the United States secretary of health and human services on a quarterly basis as required by Section 5001(f)(2)(A)(ii), American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), regarding compliance with those requirements by the commission and persons under contract with the commission. (d) This section expires September 2, 2011. Sec. 531.02420. USE OF ADDITIONAL FEDERAL FUNDS; REPORT TO FEDERAL GOVERNMENT. (a) Notwithstanding any other law, funds received as a result of the increased Medicaid FMAP, as defined by Section 531.02418, and any other federal funds received for purposes of the Medicaid program as a result of the enactment of the American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), shall be credited to the general revenue fund and may not be credited to the economic stabilization fund established under Section 3.49-g, Article III, Texas Constitution, or another similar fund established as a reserve fund for the future needs of this state. (b) Not later than September 30, 2011, the commission shall submit a report to the United States secretary of health and human services in the form and manner required by the secretary regarding the use of additional Medicaid FMAP funds received by this state resulting from the American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5). (c) This section expires December 1, 2011. SECTION 3. Section 531.02444(a), Government Code, is amended to read as follows: (a) The executive commissioner shall develop and implement a Medicaid buy-in program for persons with disabilities as authorized by the Ticket to Work and Work Incentives Improvement Act of 1999 (Pub. L. No. 106-170) or the Balanced Budget Act of 1997 (Pub. L. No. 105-33). The commission may conduct a community outreach campaign to provide information relating to the availability of Medicaid coverage through the buy-in program and to promote enrollment of eligible persons in the program. SECTION 4. Section 32.0261, Human Resources Code, is amended to read as follows: Sec. 32.0261. CONTINUOUS ELIGIBILITY. The department shall adopt rules in accordance with 42 U.S.C. Section 1396a(e)(12), as amended, to provide for a period of continuous eligibility for a child under 19 years of age who is determined to be eligible for medical assistance under this chapter. The rules shall provide that the child remains eligible for medical assistance, without additional review by the department and regardless of changes in the child's resources or income, until the earlier of: (1) the first anniversary of [end of the six-month period following] the date on which the child's eligibility was determined; or (2) the child's 19th birthday. SECTION 5. (a) In this section: (1) "Benefits program" means any program operated by the Health and Human Services Commission or a health and human services agency, as defined by Section 531.001, Government Code, that provides benefits to persons whose eligibility for the program is determined using TIERS, including: (A) the child health plan program under Chapter 62, Health and Safety Code; (B) the financial assistance program under Chapter 31, Human Resources Code; (C) the medical assistance program under Chapter 32, Human Resources Code; and (D) the food stamp program under Chapter 33, Human Resources Code. (2) "TIERS" means the Texas Integrated Eligibility Redesign System. (b) The Health and Human Services Commission shall develop and implement reforms to: (1) improve the operation of TIERS and the accuracy of eligibility determinations for benefits programs made through TIERS; and (2) ensure that eligibility determinations for benefits programs made through TIERS are made within the timelines required under state and federal law. (c) Reforms the commission may consider implementing include establishing minimum staffing levels for the operation of TIERS, qualifications and training for TIERS staff, and maximum caseloads per staff person. SECTION 6. The changes in law made by this Act apply to an initial determination of eligibility or a recertification of eligibility for the child health plan program under Chapter 62, Health and Safety Code, or the medical assistance program under Chapter 32, Human Resources Code, made on or after September 1, 2009. SECTION 7. If before implementing any provision of this Act a state agency determines that a waiver or authorization from a federal agency is necessary for implementation of that provision, the agency affected by the provision shall request the waiver or authorization and may delay implementing that provision until the waiver or authorization is granted. SECTION 8. In the event of a conflict between a provision of this Act and another Act passed by the 81st Legislature, Regular Session, 2009, that becomes law, this Act prevails regardless of the relative dates of enactment. SECTION 9. 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, 2009.