81R8682 ALB-F
By: Nichols S.B. No. 1170
A BILL TO BE ENTITLED
AN ACT
relating to health care services provided or paid by a hospital
district or public hospital.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 61.066, Health and Safety Code, is
amended by adding Subsection (c) to read as follows:
(c) A hospital district may recover an amount equal to the
value of any fraudulently obtained health care services provided to
a person disqualified under this section.
SECTION 2. Subchapter C, Chapter 61, Health and Safety
Code, is amended by adding Section 61.067 to read as follows:
Sec. 61.067. SUBROGATION. (a) The filing of an
application for or receipt of health care services provided or paid
for by a hospital district or public hospital constitutes an
assignment of the applicant's or recipient's right of recovery
from:
(1) personal insurance;
(2) other sources; or
(3) another person for personal injury caused by the
other person's negligence or wrong.
(b) A person who applies for or receives health care
services shall inform the hospital district or public hospital, at
the time of application or at any time during eligibility for
services, of:
(1) any unsettled tort claim that may affect medical
needs;
(2) any private accident or health insurance coverage
that is or may become available; and
(3) any injury that is caused by the act or failure to
act of some other person.
(c) An applicant or eligible resident shall inform the
hospital district or public hospital of information required by
Subsection (b) within 10 days of the date the person learns of the
person's insurance coverage, tort claim, or potential cause of
action.
(d) A claim for damages for personal injury does not
constitute grounds for denying or discontinuing services under this
chapter.
(e) A separate and distinct cause of action is created in
favor of the hospital district or public hospital, and the hospital
district or public hospital may, with the approval of the board of
directors or managers, take direct civil action in any court of
competent jurisdiction. A suit brought under this section does not
need to be ancillary to or dependent on any other action.
(f) The hospital district's or public hospital's right of
recovery under this section is limited to the amount of the cost of
services paid by the hospital district or public hospital. Other
subrogation rights granted under this section are limited to the
cost of the services provided by the hospital district or public
hospital.
(g) An applicant or eligible resident who knowingly and
intentionally fails to disclose the information required by
Subsection (b) is subject to denial of services under Section
61.066 following an administrative hearing.
(h) Procedures established by a hospital district or public
hospital for administrative hearings under this section shall
provide for appropriate due process, including procedures for
appeals.
SECTION 3. This Act applies only to the filing of an
application for services or receipt of services as described by
Section 61.067, Health and Safety Code, as added by this Act, on or
after the effective date of this Act. The filing of an application
for services or receipt of services before the effective date of
this Act is governed by the law in effect on the date of filing or
receipt of services, and the prior law is continued in effect for
that purpose.
SECTION 4. This Act takes effect September 1, 2009.