Texas 2009 81st Regular

Texas Senate Bill SB8 House Committee Report / Fiscal Note

Filed 02/01/2025

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                    LEGISLATIVE BUDGET BOARD    Austin, Texas      FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION            May 21, 2009      TO: Honorable Lois W. Kolkhorst, Chair, House Committee on Public Health      FROM: John S. O'Brien, Director, Legislative Budget Board     IN RE:SB8 by Nelson (Relating to the administration, powers, and duties of the Texas Health Services Authority.), Committee Report 2nd House, Substituted    The bill may have a fiscal impact depending on the scope and duties of the Texas Health Services Authority.  The bill would amend the Health and Safety Code relating to the Texas Health Services Authority(THSA) (referred to as the "corporation" in statute). The bill would consider the THSA to be a state agency for the purposes of Chapter 556 Government Code, related to political activities of public entities.  It would provide for administrative attachment of the THSA to the Health and Human Services Commission (HHSC).  It would expand the governing board to include the executive commissioner of HHSC, the commissioner of the Department of State Health Services, the commissioner of insurance, the executive director of the Employees Retirement System, the executive director of the Teacher Retirement System, and the state Medicaid director. It would require the corporation to research and promote numerous strategies and standards, including best practice standards, care integration, and revisions to payment methodologies.  The board would establish at least two advisory committees. The corporation would conduct studies on 1) payment incentives to increase access to primary care and 2) development of payment methodologies based on risk-adjusted episodes of care. The results of the studies would be submitted to the legislature not later than January 1, 2011. The bill would repeal Section 182.102 (a) related to prohibited acts of the corporation. There is not sufficient information available about the current staffing and workload level of the THSA to make an estimate of fiscal impact to the state.   The bill specifies that HHSC would be responsible for paying staff salaries and benefits and providing office space and mulitiple administrative services.   HHSC would reimburse the advisory committee members' travel, if provided for in the General Appropriations Act.  HHSC would also request and receive appropriations on behalf of THSA.  It is assumed that THSA would utilize existing private funding to support the direct operations outlined in the bill, along with any new funding obtained with the assistance of HHSC under Section 4 of the bill.  Depending on the scope of THSA operations (possibly including health information technology federal stimulus funding), the administrative impact alone could be significant.  Without information on the THSA current operations, it is not possible to estimate a fiscal impact.   Local Government Impact No fiscal implication to units of local government is anticipated.    Source Agencies:529 Health and Human Services Commission, 537 State Health Services, Department of   LBB Staff:  JOB, CL, PP, MB    

LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
May 21, 2009





  TO: Honorable Lois W. Kolkhorst, Chair, House Committee on Public Health      FROM: John S. O'Brien, Director, Legislative Budget Board     IN RE:SB8 by Nelson (Relating to the administration, powers, and duties of the Texas Health Services Authority.), Committee Report 2nd House, Substituted  

TO: Honorable Lois W. Kolkhorst, Chair, House Committee on Public Health
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: SB8 by Nelson (Relating to the administration, powers, and duties of the Texas Health Services Authority.), Committee Report 2nd House, Substituted

 Honorable Lois W. Kolkhorst, Chair, House Committee on Public Health 

 Honorable Lois W. Kolkhorst, Chair, House Committee on Public Health 

 John S. O'Brien, Director, Legislative Budget Board

 John S. O'Brien, Director, Legislative Budget Board

SB8 by Nelson (Relating to the administration, powers, and duties of the Texas Health Services Authority.), Committee Report 2nd House, Substituted

SB8 by Nelson (Relating to the administration, powers, and duties of the Texas Health Services Authority.), Committee Report 2nd House, Substituted



The bill may have a fiscal impact depending on the scope and duties of the Texas Health Services Authority.

The bill may have a fiscal impact depending on the scope and duties of the Texas Health Services Authority.



The bill would amend the Health and Safety Code relating to the Texas Health Services Authority(THSA) (referred to as the "corporation" in statute). The bill would consider the THSA to be a state agency for the purposes of Chapter 556 Government Code, related to political activities of public entities.  It would provide for administrative attachment of the THSA to the Health and Human Services Commission (HHSC).  It would expand the governing board to include the executive commissioner of HHSC, the commissioner of the Department of State Health Services, the commissioner of insurance, the executive director of the Employees Retirement System, the executive director of the Teacher Retirement System, and the state Medicaid director. It would require the corporation to research and promote numerous strategies and standards, including best practice standards, care integration, and revisions to payment methodologies.  The board would establish at least two advisory committees. The corporation would conduct studies on 1) payment incentives to increase access to primary care and 2) development of payment methodologies based on risk-adjusted episodes of care. The results of the studies would be submitted to the legislature not later than January 1, 2011. The bill would repeal Section 182.102 (a) related to prohibited acts of the corporation. There is not sufficient information available about the current staffing and workload level of the THSA to make an estimate of fiscal impact to the state.   The bill specifies that HHSC would be responsible for paying staff salaries and benefits and providing office space and mulitiple administrative services.   HHSC would reimburse the advisory committee members' travel, if provided for in the General Appropriations Act.  HHSC would also request and receive appropriations on behalf of THSA.  It is assumed that THSA would utilize existing private funding to support the direct operations outlined in the bill, along with any new funding obtained with the assistance of HHSC under Section 4 of the bill.  Depending on the scope of THSA operations (possibly including health information technology federal stimulus funding), the administrative impact alone could be significant.  Without information on the THSA current operations, it is not possible to estimate a fiscal impact.  

The bill would amend the Health and Safety Code relating to the Texas Health Services Authority(THSA) (referred to as the "corporation" in statute). The bill would consider the THSA to be a state agency for the purposes of Chapter 556 Government Code, related to political activities of public entities.  It would provide for administrative attachment of the THSA to the Health and Human Services Commission (HHSC).  It would expand the governing board to include the executive commissioner of HHSC, the commissioner of the Department of State Health Services, the commissioner of insurance, the executive director of the Employees Retirement System, the executive director of the Teacher Retirement System, and the state Medicaid director. It would require the corporation to research and promote numerous strategies and standards, including best practice standards, care integration, and revisions to payment methodologies.  The board would establish at least two advisory committees.

The corporation would conduct studies on 1) payment incentives to increase access to primary care and 2) development of payment methodologies based on risk-adjusted episodes of care. The results of the studies would be submitted to the legislature not later than January 1, 2011. The bill would repeal Section 182.102 (a) related to prohibited acts of the corporation.

There is not sufficient information available about the current staffing and workload level of the THSA to make an estimate of fiscal impact to the state.  

The bill specifies that HHSC would be responsible for paying staff salaries and benefits and providing office space and mulitiple administrative services.   HHSC would reimburse the advisory committee members' travel, if provided for in the General Appropriations Act.  HHSC would also request and receive appropriations on behalf of THSA.  It is assumed that THSA would utilize existing private funding to support the direct operations outlined in the bill, along with any new funding obtained with the assistance of HHSC under Section 4 of the bill.  Depending on the scope of THSA operations (possibly including health information technology federal stimulus funding), the administrative impact alone could be significant.  Without information on the THSA current operations, it is not possible to estimate a fiscal impact.  

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies: 529 Health and Human Services Commission, 537 State Health Services, Department of

529 Health and Human Services Commission, 537 State Health Services, Department of

LBB Staff: JOB, CL, PP, MB

 JOB, CL, PP, MB