Texas 2017 - 85th Regular

Texas House Bill HB3226 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		85R20635 BEE-F
2	2		By: Phillips H.B. No. 3226
3		-	Substitute the following for H.B. No. 3226:
4		-	By: Phillips C.S.H.B. No. 3226
5	3
6	4
7	5		A BILL TO BE ENTITLED
8	6		AN ACT
9	7		relating to the creation of a temporary health insurance risk pool.
10	8		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	9		SECTION 1. Subtitle G, Title 8, Insurance Code, is amended
12	10		by adding Chapter 1510 to read as follows:
13	11		CHAPTER 1510. TEMPORARY HEALTH INSURANCE RISK POOL
14	12		Sec. 1510.001. DEFINITION. In this chapter, "pool" means a
15	13		temporary health insurance risk pool that is established and
16	14		administered by the commissioner under this chapter.
17	15		Sec. 1510.002. ESTABLISHMENT OF TEMPORARY HEALTH INSURANCE
18	16		RISK POOL. To the extent that federal funds become available under
19	17		federal law, regulation, or executive action after March 1, 2017,
20	18		the commissioner may:
21	19		(1) apply for such funds; and
22	20		(2) use such funds to establish and administer a
23	21		temporary health insurance risk pool for the purposes of this
24	22		chapter.
25	23		Sec. 1510.003. PURPOSE OF POOL. (a) The exclusive purpose
26	24		of the pool is to provide a temporary mechanism for maximizing
27	25		available federal funding to assist residents of this state in
28	26		obtaining access to quality health care at minimum cost to the
29	27		public.
30	28		(b) The pool may not be used to expand the Medicaid program,
31	29		including the program administered under Chapter 32, Human
32	30		Resources Code, and the program administered under Chapter 533,
33	31		Government Code.
34	32		Sec. 1510.004. PROVISION OF COVERAGE. Subject to any
35	33		requirements for obtaining federal funds held in the pool, the
36	34		commissioner may use pool funds:
37	35		(1) to provide alternative individual health
38	36		insurance coverage to eligible individuals that does not diminish
39	37		the availability of traditional commercial health care coverage;
40	38		(2) to provide funding to individual health benefit
41	39		plan issuers that cover individuals with certain health or cost
42	40		characteristics in exchange for lower enrollee premium rates; or
43	41		(3) to provide a reinsurance program for health
44	42		benefit plan issuers in the individual market in exchange for lower
45	43		enrollee premium rates.
46	44		Sec. 1510.005. CONTRACTS AND AGREEMENTS. (a) The
47	45		commissioner may enter into a contract or agreement that the
48	46		commissioner determines is appropriate to carry out this chapter,
49	47		including a contract or agreement with:
50	48		(1) a similar pool in another state for the joint
51	49		performance of common administrative functions;
52	50		(2) another organization for the performance of
53	51		administrative functions; or
54	52		(3) a federal agency.
55	53		(b) The commissioner may contract for stop-loss insurance
56	54		for risks incurred under this chapter.
57	55		Sec. 1510.006. FUNDING. (a) The commissioner may use funds
58	56		appropriated to the department to:
59	57		(1) apply for federal funding and grants; and
60	58		(2) administer this chapter.
61	59		(b) Notwithstanding Section 6(e)(2)(B), Chapter 615 (S.B.
62	60		1367), Acts of the 83rd Legislature, Regular Session, 2013, the
63	61		commissioner may use money appropriated to the department from the
64	62		healthy Texas small employer premium stabilization fund for the
65	63		exclusive purposes of this chapter, other than for paying salaries
66	64		and salary-related benefits.
67	65		(c) Notwithstanding Section 6(e)(2)(B), Chapter 615 (S.B.
68	66		1367), Acts of the 83rd Legislature, Regular Session, 2013, the
69	67		commissioner shall transfer money from the healthy Texas small
70	68		employer premium stabilization fund to the Texas Department of
71	69		Insurance operating account in an amount equal to the amount of
72	70		money appropriated to the department from that fund, as described
73	71		by Subsection (b), for the direct and indirect costs of the
74	72		exclusive purposes of this chapter.
75	73		(d) Except as provided by Subsections (a) and (b), the
76	74		commissioner may not use any state funds to fund the pool unless the
77	75		funds are specifically appropriated for that purpose.
78	76		(e) The commissioner may use federal funds to administer
79	77		this chapter, as appropriate.
80	78		Sec. 1510.007. PUBLIC EDUCATION AND OUTREACH. (a) The
81	79		commissioner may use funds appropriated to the department for the
82	80		exclusive purposes of this chapter to develop and implement public
83	81		education, outreach, and facilitated enrollment strategies under
84	82		this chapter.
85	83		(b) The commissioner may contract with marketing
86	84		organizations to perform or provide assistance with the strategies
87	85		described by Subsection (a).
88	86		Sec. 1510.008. WAIVER. (a) The commissioner may apply to
89	87		the United States secretary of health and human services under 42
90	88		U.S.C. Section 18052 for a waiver of applicable provisions of the
91	89		Patient Protection and Affordable Care Act (Pub. L. No. 111-148)
92	90		and any applicable regulations or guidance with respect to health
93	91		insurance coverage in this state for a plan year beginning on or
94	92		after January 1, 2017.
95	93		(b) The commissioner may take any action the commissioner
96	94		considers appropriate to make an application under this section.
97	95		(c) The commissioner may implement a state plan that meets
98	96		the requirements of a waiver granted in response to an application
99	97		under Subsection (a) if the plan is:
100	98		(1) consistent with state and federal law; and
101	99		(2) approved by the United States secretary of health
102	100		and human services.
103	101		Sec. 1510.009. ADDITIONAL AUTHORITY. In addition to the
104	102		powers granted to the commissioner under this chapter, the
105	103		commissioner may exercise any authority that may be exercised under
106	104		the law of this state by:
107	105		(1) a reinsurer; or
108	106		(2) a health benefit plan issuer authorized to write
109	107		health benefit plans in this state.
110	108		Sec. 1510.010. RULES. The commissioner may adopt rules
111	109		necessary to implement this chapter, including rules to administer
112	110		the pool and distribute money from the pool.
113	111		Sec. 1510.011. EXEMPTION FROM STATE TAXES AND FEES.
114	112		Notwithstanding any other law, a program created under this chapter
115	113		is not subject to any state tax, regulatory fee, or surcharge,
116	114		including a premium or maintenance tax or fee.
117	115		Sec. 1510.012. ANNUAL REPORT OF POOL ACTIVITIES. (a)
118	116		Beginning June 1, 2018, not later than June 1 of each year, the
119	117		department shall submit a report to the governor, the lieutenant
120	118		governor, and the speaker of the house of representatives.
121	119		(b) The report submitted under Subsection (a) must:
122	120		(1) summarize the activities conducted under this
123	121		chapter in the calendar year preceding the year in which the report
124	122		is submitted; and
125	123		(2) include information relating to:
126	124		(A) net written and earned premiums;
127	125		(B) plan enrollment;
128	126		(C) administration expenses; and
129	127		(D) paid and incurred losses.
130	128		Sec. 1510.013. EXPIRATION OF CHAPTER. This chapter expires
131	129		August 31, 2019.
132	130		SECTION 2. Notwithstanding Section 6(d)(2), Chapter 615
133	131		(S.B. 1367), Acts of the 83rd Legislature, Regular Session, 2013,
134	132		on the effective date of this Act, the commissioner of insurance
135	133		shall transfer any money remaining outside the state treasury in
136	134		the Texas Treasury Safekeeping Trust Company account established
137	135		under Section 6(c), Chapter 615 (S.B. 1367), Acts of the 83rd
138	136		Legislature, Regular Session, 2013, to the healthy Texas small
139	137		employer premium stabilization fund.
140	138		SECTION 3. This Act takes effect immediately if it receives
141	139		a vote of two-thirds of all the members elected to each house, as
142	140		provided by Section 39, Article III, Texas Constitution. If this
143	141		Act does not receive the vote necessary for immediate effect, this
144	142		Act takes effect September 1, 2017.