Texas 2015 - 84th Regular

Texas House Bill HB3185 Compare Versions

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Version 2 (New)

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1		-	By: Raney (Senate Sponsor - Lucio) H.B. No. 3185
2		-	(In the Senate - Received from the House April 27, 2015;
3		-	May 4, 2015, read first time and referred to Committee on
4		-	Intergovernmental Relations; May 12, 2015, reported favorably by
5		-	the following vote: Yeas 6, Nays 0; May 12, 2015, sent to printer.)
6		-	Click here to see the committee vote
	1	+	H.B. No. 3185
7	2
8	3
9		-	A BILL TO BE ENTITLED
10	4		AN ACT
11	5		relating to the creation and operations of health care provider
12	6		participation programs in certain counties.
13	7		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	8		SECTION 1. Subtitle D, Title 4, Health and Safety Code, is
15	9		amended by adding Chapter 296 to read as follows:
16	10		CHAPTER 296. COUNTY HEALTH CARE PROVIDER PARTICIPATION
17	11		PROGRAM IN CERTAIN COUNTIES
18	12		SUBCHAPTER A. GENERAL PROVISIONS
19	13		Sec. 296.001. DEFINITIONS. In this chapter:
20	14		(1) "Institutional health care provider" means a
21	15		nonpublic hospital that provides inpatient hospital services.
22	16		(2) "Paying hospital" means an institutional health
23	17		care provider required to make a mandatory payment under this
24	18		chapter.
25	19		(3) "Program" means the county health care provider
26	20		participation program authorized by this chapter.
27	21		Sec. 296.002. APPLICABILITY. This chapter applies only to
28	22		a county that:
29	23		(1) is not served by a hospital district or a public
30	24		hospital; and
31	25		(2) has a population of less than 200,000 and contains
32	26		two municipalities both with populations of 75,000 or more.
33	27		Sec. 296.003. COUNTY HEALTH CARE PROVIDER PARTICIPATION
34	28		PROGRAM; PARTICIPATION IN PROGRAM. (a) A county health care
35	29		provider participation program authorizes a county to collect a
36	30		mandatory payment from each institutional health care provider
37	31		located in the county to be deposited in a local provider
38	32		participation fund established by the county. Money in the fund may
39	33		be used by the county to fund certain intergovernmental transfers
40	34		and indigent care programs as provided by this chapter.
41	35		(b) The commissioners court may adopt an order authorizing a
42	36		county to participate in the program, subject to the limitations
43	37		provided by this chapter.
44	38		SUBCHAPTER B. POWERS AND DUTIES OF COMMISSIONERS COURT
45	39		Sec. 296.051. LIMITATION ON AUTHORITY TO REQUIRE MANDATORY
46	40		PAYMENT. The commissioners court of a county may require a
47	41		mandatory payment authorized under this chapter by an institutional
48	42		health care provider in the county only in the manner provided by
49	43		this chapter.
50	44		Sec. 296.052. MAJORITY VOTE REQUIRED. The commissioners
51	45		court of a county may not authorize the county to collect a
52	46		mandatory payment authorized under this chapter without an
53	47		affirmative vote of a majority of the members of the commissioners
54	48		court.
55	49		Sec. 296.053. RULES AND PROCEDURES. After the
56	50		commissioners court has voted to require a mandatory payment
57	51		authorized under this chapter, the commissioners court may adopt
58	52		rules relating to the administration of the mandatory payment.
59	53		Sec. 296.054. INSTITUTIONAL HEALTH CARE PROVIDER
60	54		REPORTING; INSPECTION OF RECORDS. (a) The commissioners court of a
61	55		county that collects a mandatory payment authorized under this
62	56		chapter shall require each institutional health care provider to
63	57		submit to the county a copy of any financial and utilization data
64	58		required by and reported to the Department of State Health Services
65	59		under Sections 311.032 and 311.033 and any rules adopted by the
66	60		executive commissioner of the Health and Human Services Commission
67	61		to implement those sections.
68	62		(b) The commissioners court of a county that collects a
69	63		mandatory payment authorized under this chapter may inspect the
70	64		records of an institutional health care provider to the extent
71	65		necessary to ensure compliance with the requirements of Subsection
72	66		(a).
73	67		SUBCHAPTER C. GENERAL FINANCIAL PROVISIONS
74	68		Sec. 296.101. HEARING. (a) Each year, the commissioners
75	69		court of a county that collects a mandatory payment authorized
76	70		under this chapter shall hold a public hearing on the amounts of any
77	71		mandatory payments that the commissioners court intends to require
78	72		during the year and how the revenue derived from those payments is
79	73		to be spent.
80	74		(b) Not later than the 10th day before the date of the
81	75		hearing required under Subsection (a), the commissioners court of
82	76		the county shall publish notice of the hearing in a newspaper of
83	77		general circulation in the county.
84	78		(c) A representative of a paying hospital is entitled to
85	79		appear at the time and place designated in the public notice and to
86	80		be heard regarding any matter related to the mandatory payments
87	81		authorized under this chapter.
88	82		Sec. 296.102. DEPOSITORY. (a) The commissioners court of
89	83		each county that collects a mandatory payment authorized under this
90	84		chapter by resolution shall designate one or more banks located in
91	85		the county as the depository for mandatory payments received by the
92	86		county. A bank designated as a depository serves for two years or
93	87		until a successor is designated.
94	88		(b) All income received by a county under this chapter,
95	89		including the revenue from mandatory payments remaining after
96	90		discounts and fees for assessing and collecting the payments are
97	91		deducted, shall be deposited with the county depository in the
98	92		county's local provider participation fund and may be withdrawn
99	93		only as provided by this chapter.
100	94		(c) All funds under this chapter shall be secured in the
101	95		manner provided for securing county funds.
102	96		Sec. 296.103. LOCAL PROVIDER PARTICIPATION FUND;
103	97		AUTHORIZED USES OF MONEY. (a) Each county that collects a
104	98		mandatory payment authorized under this chapter shall create a
105	99		local provider participation fund.
106	100		(b) The local provider participation fund of a county
107	101		consists of:
108	102		(1) all revenue received by the county attributable to
109	103		mandatory payments authorized under this chapter, including any
110	104		penalties and interest attributable to delinquent payments;
111	105		(2) money received from the Health and Human Services
112	106		Commission as a refund of an intergovernmental transfer from the
113	107		county to the state for the purpose of providing the nonfederal
114	108		share of Medicaid supplemental payment program payments, provided
115	109		that the intergovernmental transfer does not receive a federal
116	110		matching payment; and
117	111		(3) the earnings of the fund.
118	112		(c) Money deposited to the local provider participation
119	113		fund may be used only to:
120	114		(1) fund intergovernmental transfers from the county
121	115		to the state to provide the nonfederal share of a Medicaid
122	116		supplemental payment program authorized under the state Medicaid
123	117		plan, the Texas Healthcare Transformation and Quality Improvement
124	118		Program waiver issued under Section 1115 of the federal Social
125	119		Security Act (42 U.S.C. Section 1315), or a successor waiver
126	120		program authorizing similar Medicaid supplemental payment
127	121		programs;
128	122		(2) subsidize indigent programs;
129	123		(3) pay the administrative expenses of the county
130	124		solely for activities under this chapter;
131	125		(4) refund a portion of a mandatory payment collected
132	126		in error from a paying hospital; and
133	127		(5) refund to paying hospitals the proportionate share
134	128		of money received by the county from the Health and Human Services
135	129		Commission that is not used to fund the nonfederal share of Medicaid
136	130		supplemental payment program payments.
137	131		(d) Money in the local provider participation fund may not
138	132		be commingled with other county funds.
139	133		(e) An intergovernmental transfer of funds described by
140	134		Subsection (c)(1) and any funds received by the county as a result
141	135		of an intergovernmental transfer described by that subsection may
142	136		not be used by the county or any other entity to expand Medicaid
143	137		eligibility under the Patient Protection and Affordable Care Act
144	138		(Pub. L. No. 111-148) as amended by the Health Care and Education
145	139		Reconciliation Act of 2010 (Pub. L. No. 111-152).
146	140		SUBCHAPTER D. MANDATORY PAYMENTS
147	141		Sec. 296.151. MANDATORY PAYMENTS BASED ON PAYING HOSPITAL
148	142		NET PATIENT REVENUE. (a) Except as provided by Subsection (e), the
149	143		commissioners court of a county that collects a mandatory payment
150	144		authorized under this chapter may require an annual mandatory
151	145		payment to be assessed on the net patient revenue of each
152	146		institutional health care provider located in the county. The
153	147		commissioners court may provide for the mandatory payment to be
154	148		assessed quarterly. In the first year in which the mandatory
155	149		payment is required, the mandatory payment is assessed on the net
156	150		patient revenue of an institutional health care provider as
157	151		determined by the data reported to the Department of State Health
158	152		Services under Sections 311.032 and 311.033 in the fiscal year
159	153		ending in 2013 or, if the institutional health care provider did not
160	154		report any data under those sections in that fiscal year, as
161	155		determined by the institutional health care provider's Medicare
162	156		cost report submitted for the 2013 fiscal year or for the closest
163	157		subsequent fiscal year for which the provider submitted the
164	158		Medicare cost report. The county shall update the amount of the
165	159		mandatory payment on an annual basis.
166	160		(b) The amount of a mandatory payment authorized under this
167	161		chapter must be uniformly proportionate with the amount of net
168	162		patient revenue generated by each paying hospital in the county. A
169	163		mandatory payment authorized under this chapter may not hold
170	164		harmless any institutional health care provider, as required under
171	165		42 U.S.C. Section 1396b(w).
172	166		(c) The commissioners court of a county that collects a
173	167		mandatory payment authorized under this chapter shall set the
174	168		amount of the mandatory payment. The amount of the mandatory
175	169		payment required of each paying hospital may not exceed an amount
176	170		that, when added to the amount of the mandatory payments required
177	171		from all other paying hospitals in the county, equals an amount of
178	172		revenue that exceeds six percent of the aggregate net patient
179	173		revenue of all paying hospitals in the county.
180	174		(d) Subject to the maximum amount prescribed by Subsection
181	175		(c), the commissioners court of a county that collects a mandatory
182	176		payment authorized under this chapter shall set the mandatory
183	177		payments in amounts that in the aggregate will generate sufficient
184	178		revenue to cover the administrative expenses of the county for
185	179		activities under this chapter, to fund an intergovernmental
186	180		transfer described by Section 296.103(c)(1), and to pay for
187	181		indigent programs, except that the amount of revenue from mandatory
188	182		payments used for administrative expenses of the county for
189	183		activities under this chapter in a year may not exceed the lesser of
190	184		four percent of the total revenue generated from the mandatory
191	185		payment or $20,000.
192	186		(e) A paying hospital may not add a mandatory payment
193	187		required under this section as a surcharge to a patient.
194	188		Sec. 296.152. ASSESSMENT AND COLLECTION OF MANDATORY
195	189		PAYMENTS. (a) Except as provided by Subsection (b), the county tax
196	190		assessor-collector shall collect the mandatory payment authorized
197	191		under this chapter. The county tax assessor-collector shall charge
198	192		and deduct from mandatory payments collected for the county a fee
199	193		for collecting the mandatory payment in an amount determined by the
200	194		commissioners court of the county, not to exceed the county tax
201	195		assessor-collector's usual and customary charges.
202	196		(b) If determined by the commissioners court to be
203	197		appropriate, the commissioners court may contract for the
204	198		assessment and collection of mandatory payments in the manner
205	199		provided by Title 1, Tax Code, for the assessment and collection of
206	200		ad valorem taxes.
207	201		(c) Revenue from a fee charged by a county tax
208	202		assessor-collector for collecting the mandatory payment shall be
209	203		deposited in the county general fund and, if appropriate, shall be
210	204		reported as fees of the county tax assessor-collector.
211	205		Sec. 296.153. INTEREST, PENALTIES, AND DISCOUNTS.
212	206		Interest, penalties, and discounts on mandatory payments required
213	207		under this chapter are governed by the law applicable to county ad
214	208		valorem taxes.
215	209		Sec. 296.154. PURPOSE; CORRECTION OF INVALID PROVISION OR
216	210		PROCEDURE. (a) The purpose of this chapter is to generate revenue
217	211		by collecting from institutional health care providers a mandatory
218	212		payment to be used to provide the nonfederal share of a Medicaid
219	213		supplemental payment program.
220	214		(b) To the extent any provision or procedure under this
221	215		chapter causes a mandatory payment authorized under this chapter to
222	216		be ineligible for federal matching funds, the county may provide by
223	217		rule for an alternative provision or procedure that conforms to the
224	218		requirements of the federal Centers for Medicare and Medicaid
225	219		Services.
226	220		SECTION 2. If before implementing any provision of this Act
227	221		a state agency determines that a waiver or authorization from a
228	222		federal agency is necessary for implementation of that provision,
229	223		the agency affected by the provision shall request the waiver or
230	224		authorization and may delay implementing that provision until the
231	225		waiver or authorization is granted.
232	226		SECTION 3. This Act takes effect immediately if it receives
233	227		a vote of two-thirds of all the members elected to each house, as
234	228		provided by Section 39, Article III, Texas Constitution. If this
235	229		Act does not receive the vote necessary for immediate effect, this
236	230		Act takes effect September 1, 2015.
237		-	* * * * *
	231	+	______________________________ ______________________________
	232	+	President of the Senate Speaker of the House
	233	+	I certify that H.B. No. 3185 was passed by the House on April
	234	+	23, 2015, by the following vote: Yeas 136, Nays 3, 2 present, not
	235	+	voting.
	236	+	______________________________
	237	+	Chief Clerk of the House
	238	+	I certify that H.B. No. 3185 was passed by the Senate on May
	239	+	22, 2015, by the following vote: Yeas 30, Nays 1.
	240	+	______________________________
	241	+	Secretary of the Senate
	242	+	APPROVED: _____________________
	243	+	Date
	244	+	_____________________
	245	+	Governor