Texas 2011 - 82nd Regular

Texas Senate Bill SB848 Compare Versions

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1	1	By: Patrick S.B. No. 848
2	2	(In the Senate - Filed February 22, 2011; March 1, 2011,
3	3	read first time and referred to Committee on Health and Human
4	4	Services; April 21, 2011, reported adversely, with favorable
5	5	Committee Substitute by the following vote: Yeas 6, Nays 3;
6	6	April 21, 2011, sent to printer.)
7	7	COMMITTEE SUBSTITUTE FOR S.B. No. 848 By: Patrick
8	8
9	9
10	10	A BILL TO BE ENTITLED
11	11	AN ACT
12	12	relating to ambulatory surgical centers and to the provision of
13	13	services at those centers by certain designated physician groups.
14	14	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	15	SECTION 1. Section 243.002, Health and Safety Code, is
16	16	amended by amending Subdivision (3) and adding Subdivisions (3-a),
17	17	(3-b), and (5) to read as follows:
18	18	(3) "Department" means the [Texas] Department of State
19	19	Health Services.
20	20	(3-a) "Designated physician group" means any business
21	21	entity formed exclusively by one or more physicians licensed to
22	22	practice medicine in this state, including a professional
23	23	association, a professional corporation, a professional limited
24	24	liability company, or a professional limited liability
25	25	partnership, that has entered into a use agreement.
26	26	(3-b) "Facility" means the physical premises that the
27	27	department determines constitute an ambulatory surgical center.
28	28	(5) "Use agreement" means a written executed agreement
29	29	between a licensed ambulatory surgical center and a designated
30	30	physician group under which the ambulatory surgical center allows
31	31	the designated physician group to use its facility to provide
32	32	ambulatory surgical center services on a part-time basis to the
33	33	designated physician group's patients.
34	34	SECTION 2. The heading to Section 243.003, Health and
35	35	Safety Code, is amended to read as follows:
36	36	Sec. 243.003. LICENSE REQUIRED; USE AGREEMENTS.
37	37	SECTION 3. Section 243.003, Health and Safety Code, is
38	38	amended by amending Subsection (c) and adding Subsections (d)
39	39	through (i) to read as follows:
40	40	(c) Except as provided by Subsection (d), a [A] license is
41	41	not transferable or assignable.
42	42	(d) Except as provided by Subsection (e) and subject to
43	43	Subsection (f), an ambulatory surgical center may share its license
44	44	under a sublicense agreement with one or more designated physician
45	45	groups that is entered into under the terms of a use agreement, if:
46	46	(1) the ambulatory surgical center:
47	47	(A) remains responsible for ensuring that the
48	48	facility and all surgical and other ambulatory surgical center
49	49	services provided in the facility by any designated physician group
50	50	comply with this chapter and applicable department rules; and
51	51	(B) at least annually, provides the department
52	52	with:
53	53	(i) a list of the designated physician
54	54	groups with which the ambulatory surgical center has entered into
55	55	use agreements; and
56	56	(ii) any other information that the
57	57	department requires by rule about the designated physician groups
58	58	or use agreements; and
59	59	(2) the designated physician group notifies each
60	60	patient to whom the group provides ambulatory surgical center
61	61	services at the facility that the group has a financial
62	62	relationship through a use agreement with the ambulatory surgical
63	63	center and of the impact of that agreement on the network status of
64	64	the ambulatory surgical center services provided.
65	65	(e) A use agreement under Subsection (d) may not cover a
66	66	transaction paid for under the Medicare or Medicaid program.
67	67	(f) A use agreement entered into under this section must
68	68	comply with all applicable federal laws and regulations.
69	69	(g) Fees under a use agreement entered into under this
70	70	chapter must be equal to the fair market value of the use of the
71	71	facility under the agreement, consistent with Chapter 102,
72	72	Occupations Code.
73	73	(h) Notwithstanding any other law, an insurer or other
74	74	entity authorized under the Insurance Code or any other law to offer
75	75	a health benefit plan is not required to contract or prohibited from
76	76	contracting with a designated physician group that is operating
77	77	under a use agreement.
78	78	(i) The department by rule shall prescribe minimum
79	79	requirements for a use agreement entered into under this chapter.
80	80	SECTION 4. Section 843.002, Insurance Code, is amended by
81	81	adding Subdivision (1-a) and amending Subdivision (24) to read as
82	82	follows:
83	83	(1-a) "Ambulatory surgical center" means a facility
84	84	licensed under Chapter 243, Health and Safety Code, and includes a
85	85	designated physician group operating under a use agreement entered
86	86	into under that chapter.
87	87	(24) "Provider" means:
88	88	(A) a person, other than a physician, who is
89	89	licensed or otherwise authorized to provide a health care service
90	90	in this state, including:
91	91	(i) a chiropractor, registered nurse,
92	92	pharmacist, optometrist, registered optician, or acupuncturist; or
93	93	(ii) a pharmacy, hospital, ambulatory
94	94	surgical center, or other institution or organization;
95	95	(B) a person who is wholly owned or controlled by
96	96	a provider or by a group of providers who are licensed or otherwise
97	97	authorized to provide the same health care service; or
98	98	(C) a person who is wholly owned or controlled by
99	99	one or more hospitals and physicians, including a
100	100	physician-hospital organization.
101	101	SECTION 5. Section 1301.001, Insurance Code, is amended by
102	102	amending Subdivisions (1) and (4) and adding Subdivision (1-a) to
103	103	read as follows:
104	104	(1) "Ambulatory surgical center" means a facility
105	105	licensed under Chapter 243, Health and Safety Code, and includes a
106	106	designated physician group operating under a use agreement entered
107	107	into under that chapter.
108	108	(1-a) "Health care provider" means a practitioner,
109	109	institutional provider, or other person or organization that
110	110	furnishes health care services and that is licensed or otherwise
111	111	authorized to practice in this state. The term does not include a
112	112	physician.
113	113	(4) "Institutional provider" means an ambulatory
114	114	surgical center, a hospital, a nursing home, or another [other]
115	115	medical or health-related service facility that provides care for
116	116	the sick or injured or other care that may be covered in a health
117	117	insurance policy.
118	118	SECTION 6. Section 401.011, Labor Code, is amended by
119	119	adding Subdivision (4-a) and amending Subdivision (20) to read as
120	120	follows:
121	121	(4-a) "Ambulatory surgical center" means a facility
122	122	licensed under Chapter 243, Health and Safety Code, and includes a
123	123	designated physician group operating under a use agreement entered
124	124	into under that chapter.
125	125	(20) "Health care facility" means a hospital,
126	126	ambulatory surgical center, emergency clinic, outpatient clinic,
127	127	or other facility providing health care.
128	128	SECTION 7. The change in law made by this Act applies only
129	129	to a use agreement under Section 243.003, Health and Safety Code, as
130	130	amended by this Act, that is entered into on or after the effective
131	131	date of this Act. A use agreement entered into before the effective
132	132	date of this Act is governed by the law in effect immediately before
133	133	that date, and that law is continued in effect for that purpose.
134	134	SECTION 8. This Act takes effect September 1, 2011.
135	135	* * * * *