1 | 1 | | 85R14756 SCL-F |
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2 | 2 | | By: Gooden H.B. No. 4068 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to regional or local health care programs for eligible |
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8 | 8 | | individuals and employees of small employers. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. The heading to Chapter 75, Health and Safety |
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11 | 11 | | Code, is amended to read as follows: |
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12 | 12 | | CHAPTER 75. REGIONAL OR LOCAL HEALTH CARE PROGRAMS FOR ELIGIBLE |
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13 | 13 | | INDIVIDUALS AND EMPLOYEES OF SMALL EMPLOYERS |
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14 | 14 | | SECTION 2. Section 75.001, Health and Safety Code, is |
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15 | 15 | | amended to read as follows: |
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16 | 16 | | Sec. 75.001. PURPOSE. The purpose of this chapter is to: |
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17 | 17 | | (1) improve the health of eligible individuals and |
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18 | 18 | | employees of small employers and their families by improving the |
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19 | 19 | | individuals' and employees' access to health care and by reducing |
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20 | 20 | | the number of those individuals and employees who are uninsured; |
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21 | 21 | | (2) reduce the likelihood that those individuals and |
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22 | 22 | | employees and their families will require services from |
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23 | 23 | | state-funded entitlement programs such as Medicaid; |
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24 | 24 | | (3) contribute to economic development by helping |
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25 | 25 | | small businesses remain competitive with a healthy workforce and |
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26 | 26 | | optional health care benefits that will attract employees; and |
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27 | 27 | | (4) encourage innovative solutions for providing and |
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28 | 28 | | funding health care services and benefits. |
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29 | 29 | | SECTION 3. Section 75.002, Health and Safety Code, is |
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30 | 30 | | amended by amending Subdivisions (1), (3), and (4) and adding |
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31 | 31 | | Subdivision (1-a) to read as follows: |
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32 | 32 | | (1) "Eligible individual" means an individual |
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33 | 33 | | eligible for participation in a regional or local health care |
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34 | 34 | | program established under this chapter. |
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35 | 35 | | (1-a) "Employee" means an individual employed by an |
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36 | 36 | | employer. The term includes a partner of a partnership and the |
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37 | 37 | | proprietor of a sole proprietorship. |
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38 | 38 | | (3) "Local health care program" means a local health |
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39 | 39 | | care program operating in one county and established for the |
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40 | 40 | | benefit of eligible individuals and the employees of small |
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41 | 41 | | employers under Subchapter B. |
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42 | 42 | | (4) "Regional health care program" means a regional |
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43 | 43 | | health care program operating in two or more counties and |
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44 | 44 | | established for the benefit of eligible individuals and the |
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45 | 45 | | employees of small employers under Subchapter B. |
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46 | 46 | | SECTION 4. Sections 75.052 and 75.053, Health and Safety |
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47 | 47 | | Code, are amended to read as follows: |
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48 | 48 | | Sec. 75.052. GOVERNANCE OF PROGRAM. (a) [A regional health |
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49 | 49 | | care program may be operated subject to the direct governance of the |
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50 | 50 | | commissioners courts of the participating counties. A local health |
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51 | 51 | | care program may be operated subject to the direct governance of the |
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52 | 52 | | commissioners court of the participating county.] A regional or |
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53 | 53 | | local health care program must [may] be operated by a [joint |
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54 | 54 | | council,] tax-exempt nonprofit entity[, or other entity that: |
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55 | 55 | | [(1) operates the program under a contract with the |
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56 | 56 | | commissioners court or courts, as applicable; or |
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57 | 57 | | [(2) is an entity in which the county or counties |
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58 | 58 | | participate or that is established or designated by the |
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59 | 59 | | commissioners court or courts, as applicable, to operate the |
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60 | 60 | | program]. |
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61 | 61 | | (b) An [In selecting an] entity operating [described by |
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62 | 62 | | Subsection (a)(1) or (2) to operate] a regional or local health care |
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63 | 63 | | program must [, the commissioners court or courts, as applicable, |
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64 | 64 | | shall require, to the extent possible, that the entity] be |
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65 | 65 | | authorized under federal law to accept donations on a basis that is |
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66 | 66 | | tax-deductible or otherwise tax-advantaged for the contributor. |
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67 | 67 | | Sec. 75.053. OPERATION OF PROGRAM. A regional or local |
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68 | 68 | | health care program provides health care services or benefits to |
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69 | 69 | | eligible individuals and the employees of participating small |
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70 | 70 | | employers who are located within the boundaries of the |
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71 | 71 | | participating county or counties, as applicable. A program may |
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72 | 72 | | also provide services or benefits to the dependents of those |
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73 | 73 | | individuals and employees. |
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74 | 74 | | SECTION 5. Subchapter B, Chapter 75, Health and Safety |
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75 | 75 | | Code, is amended by adding Section 75.0545 to read as follows: |
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76 | 76 | | Sec. 75.0545. PARTICIPATION BY ELIGIBLE INDIVIDUALS; SHARE |
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77 | 77 | | OF COST. Subject to Section 75.153, the governing body may |
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78 | 78 | | establish criteria for participation in a regional or local health |
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79 | 79 | | care program by eligible individuals and their dependents. The |
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80 | 80 | | criteria must require that participating individuals pay a share of |
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81 | 81 | | the premium or other cost of the program. |
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82 | 82 | | SECTION 6. Section 75.055(c), Health and Safety Code, is |
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83 | 83 | | amended to read as follows: |
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84 | 84 | | (c) A governing body shall actively solicit gifts, grants, |
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85 | 85 | | and donations to: |
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86 | 86 | | (1) fund services and benefits provided under the |
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87 | 87 | | regional or local health care program; and |
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88 | 88 | | (2) reduce the cost of participation in the program |
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89 | 89 | | for eligible individuals and for small employers and their |
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90 | 90 | | employees. |
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91 | 91 | | SECTION 7. Section 75.101, Health and Safety Code, is |
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92 | 92 | | amended to read as follows: |
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93 | 93 | | Sec. 75.101. ALTERNATIVE PROGRAMS AUTHORIZED; PROGRAM |
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94 | 94 | | OBJECTIVES. In developing a regional or local health care program, |
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95 | 95 | | a governing body may provide health care services or benefits as |
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96 | 96 | | described by this subchapter or may develop another type of program |
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97 | 97 | | to accomplish the purposes of this chapter. A regional or local |
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98 | 98 | | health care program must be developed, to the extent practicable, |
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99 | 99 | | to: |
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100 | 100 | | (1) reduce the number of individuals without health |
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101 | 101 | | benefit plan coverage [within the boundaries of the participating |
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102 | 102 | | county or counties]; |
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103 | 103 | | (2) address rising health care costs and reduce the |
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104 | 104 | | cost of health care services or health benefit plan coverage [for |
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105 | 105 | | small employers and their employees within the boundaries of the |
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106 | 106 | | participating county or counties]; |
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107 | 107 | | (3) promote preventive care and reduce the incidence |
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108 | 108 | | of preventable health conditions, such as heart disease, cancer, |
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109 | 109 | | and diabetes and low birth weight in infants; |
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110 | 110 | | (4) promote efficient and collaborative delivery of |
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111 | 111 | | health care services; |
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112 | 112 | | (5) serve as a model for the innovative use of health |
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113 | 113 | | information technology to promote efficient delivery of health care |
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114 | 114 | | services, reduce health care costs, and improve the health of the |
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115 | 115 | | community; and |
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116 | 116 | | (6) provide fair payment rates for health care |
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117 | 117 | | providers, to the extent applicable. |
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118 | 118 | | SECTION 8. Sections 75.102(a), (c), and (d), Health and |
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119 | 119 | | Safety Code, are amended to read as follows: |
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120 | 120 | | (a) A regional or local health care program may provide |
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121 | 121 | | health care benefits to eligible individuals and the employees of |
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122 | 122 | | small employers by purchasing or facilitating the purchase of |
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123 | 123 | | health benefit plan coverage for those individuals and employees |
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124 | 124 | | from a health benefit plan issuer, including coverage under: |
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125 | 125 | | (1) a small employer health benefit plan offered under |
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126 | 126 | | Chapter 1501, Insurance Code; |
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127 | 127 | | (2) a standard health benefit plan offered under |
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128 | 128 | | Chapter 1507, Insurance Code; or |
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129 | 129 | | (3) any other health benefit plan available in this |
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130 | 130 | | state. |
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131 | 131 | | (c) Notwithstanding Chapter 1251, Insurance Code, an |
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132 | 132 | | insurer may issue a group accident and health insurance policy, |
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133 | 133 | | including a group contract issued by a group hospital service |
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134 | 134 | | corporation, to cover eligible individuals and the employees of |
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135 | 135 | | small employers participating in a regional or local health care |
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136 | 136 | | program. The group policyholder of a policy issued in accordance |
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137 | 137 | | with this subsection is the governing body or the designee of the |
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138 | 138 | | governing body. |
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139 | 139 | | (d) A health maintenance organization may issue a health |
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140 | 140 | | care plan to cover eligible individuals and the employees of small |
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141 | 141 | | employers participating in a regional or local health care program. |
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142 | 142 | | The group contract holder of a contract issued in accordance with |
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143 | 143 | | this subsection is the governing body or the designee of the |
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144 | 144 | | governing body. |
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145 | 145 | | SECTION 9. Sections 75.104(a) and (c), Health and Safety |
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146 | 146 | | Code, are amended to read as follows: |
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147 | 147 | | (a) A regional or local health care program may contract |
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148 | 148 | | with health care providers within the boundaries of the |
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149 | 149 | | participating county or counties to provide health care services |
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150 | 150 | | directly to eligible individuals, the employees of participating |
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151 | 151 | | small employers, and the dependents of those individuals and |
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152 | 152 | | employees. |
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153 | 153 | | (c) A governing body that operates a regional or local |
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154 | 154 | | health care program under this section may require that |
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155 | 155 | | participating eligible individuals, employees, and dependents |
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156 | 156 | | obtain health care services only from health care providers that |
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157 | 157 | | contract to provide those services under the program and may limit |
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158 | 158 | | the health care services provided under the program to services |
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159 | 159 | | provided within the boundaries of the program's service area |
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160 | 160 | | [participating county or counties]. |
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161 | 161 | | SECTION 10. This Act takes effect September 1, 2017. |
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