Texas 2019 - 86th Regular

Texas House Bill HB2353 Compare Versions

Only one version of the bill is available at this time.
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11 86R13482 LED-D
22 By: Muñoz, Jr. H.B. No. 2353
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55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to administrative and other expenditures by Medicaid
88 managed care organizations.
99 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1010 SECTION 1. Subchapter A, Chapter 533, Government Code, is
1111 amended by adding Section 533.036 to read as follows:
1212 Sec. 533.036. ADMINISTRATIVE AND OTHER EXPENDITURES. (a)
1313 The legislature, after consulting with the commission, may set in
1414 the General Appropriations Act an upper limit on the percentage or
1515 amount of Medicaid capitated or other premium payments that a
1616 managed care organization offering a Medicaid managed care plan may
1717 spend on administrative, overhead, and marketing costs in each year
1818 of the state fiscal biennium.
1919 (b) Not later than December 1 of each year, a managed care
2020 organization offering a Medicaid managed care plan shall report to
2121 the legislature and the commission for the preceding state fiscal
2222 year:
2323 (1) the total amount of premium payments and other
2424 state money received by the managed care organization, including a
2525 list of the amount and date of each premium payment and the amount,
2626 date, and source of each receipt of state money; and
2727 (2) the amount and percentage of premium payments and
2828 other state money that the managed care organization:
2929 (A) spent on administrative, overhead, and
3030 marketing costs;
3131 (B) spent on clinical or pharmaceutical
3232 reimbursement for medical and pharmaceutical services provided to
3333 enrollees;
3434 (C) paid to subcontractors, including a list of
3535 the identity of and the amount paid to each subcontractor; and
3636 (D) retained as profit.
3737 (c) If a managed care organization contracts with a
3838 subcontractor, the report must include a list of the amount of each
3939 payment the subcontractor paid directly to a health care provider,
4040 categorized by provider type.
4141 (d) A managed care organization shall report the
4242 information required by this section in an aggregate form that may
4343 be organized by premium payments and other state money, service
4444 delivery area, and provider type.
4545 (e) A managed care organization may include in the report
4646 the amount and percentage of premium payments and other state money
4747 that the managed care organization spent on activities that improve
4848 health care quality for enrollees and all other activities for
4949 those enrollees but may not include that amount and percentage in
5050 the amount and percentage reported under Subsection (b)(2)(B).
5151 SECTION 2. If before implementing any provision of this Act
5252 a state agency determines that a waiver or authorization from a
5353 federal agency is necessary for implementation of that provision,
5454 the agency affected by the provision shall request the waiver or
5555 authorization and may delay implementing that provision until the
5656 waiver or authorization is granted.
5757 SECTION 3. This Act takes effect immediately if it receives
5858 a vote of two-thirds of all the members elected to each house, as
5959 provided by Section 39, Article III, Texas Constitution. If this
6060 Act does not receive the vote necessary for immediate effect, this
6161 Act takes effect September 1, 2019.