Texas House Bill HB4740

Texas 2019 - 86th Regular

Caption

Relating to the creation and operations of health care provider participation programs in certain counties bordering a populous county.

Impact

The implementation of HB4740 is expected to generate significant revenue for counties through mandatory payments, allowing them to contribute to the nonfederal share of Medicaid supplemental payment programs. This is particularly important for counties that may face financial constraints in providing healthcare services to underserved populations. The funds collected can help alleviate some pressures surrounding Medicaid funding, thereby improving the healthcare infrastructure in these regions.

Summary

House Bill 4740 aims to establish health care provider participation programs in certain counties within Texas that are not serviced by public hospitals or hospital districts. Specifically, this legislation applies to counties with populations exceeding 550,000 that border a larger county with a population of over 3.3 million. The bill mandates these counties to collect payments from institutional health care providers, which will be directed into a local provider participation fund to enhance healthcare services and support indigent care programs.

Contention

Some areas of contention regarding HB4740 include the limitation on mandatory payments. The bill prohibits hospitals from adding these payments as surcharges to patients, raising concerns about the overall impact on hospital revenue and operations. Additionally, there is a stipulation that the amount collected must not exceed six percent of each hospital's net patient revenue, which aims to balance the burden of these fees on healthcare providers. Critics may argue that while the intent is to create a more efficient funding model for healthcare, such restrictions could inadvertently affect the quality and availability of care in these counties.