Texas 2021 - 87th Regular

Texas Senate Bill SB392 Compare Versions

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11 87R5232 JCG-F
22 By: Miles S.B. No. 392
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55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the continuation and operations of a health care
88 provider participation program by the Harris County Hospital
99 District.
1010 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1111 SECTION 1. Section 299.001, Health and Safety Code, is
1212 amended by adding Subdivision (6) to read as follows:
1313 (6) "Qualifying assessment basis" means the health
1414 care item, health care service, or other health care-related basis
1515 consistent with 42 U.S.C. Section 1396b(w) on which the board
1616 requires mandatory payments to be assessed under this chapter.
1717 SECTION 2. Section 299.004, Health and Safety Code, is
1818 amended to read as follows:
1919 Sec. 299.004. EXPIRATION. (a) Subject to Section
2020 299.153(d), the authority of the district to administer and operate
2121 a program under this chapter expires December 31, 2023 [2021].
2222 (b) This chapter expires December 31, 2023 [2021].
2323 SECTION 3. Section 299.053, Health and Safety Code, is
2424 amended to read as follows:
2525 Sec. 299.053. INSTITUTIONAL HEALTH CARE PROVIDER
2626 REPORTING. If the board authorizes the district to participate in a
2727 program under this chapter, the board may [shall] require each
2828 institutional health care provider to submit to the district a copy
2929 of any financial and utilization data as reported in:
3030 (1) the provider's Medicare cost report [submitted]
3131 for the most recent [previous fiscal year or for the closest
3232 subsequent] fiscal year for which the provider submitted the
3333 Medicare cost report; or
3434 (2) a report other than the report described by
3535 Subdivision (1) that the board considers reliable and is submitted
3636 by or to the provider for the most recent fiscal year.
3737 SECTION 4. Section 299.103(c), Health and Safety Code, is
3838 amended to read as follows:
3939 (c) Money deposited to the local provider participation
4040 fund of the district may be used only to:
4141 (1) fund intergovernmental transfers from the
4242 district to the state to provide the nonfederal share of Medicaid
4343 payments for:
4444 (A) uncompensated care payments to nonpublic
4545 hospitals, if those payments are authorized under the Texas
4646 Healthcare Transformation and Quality Improvement Program waiver
4747 issued under Section 1115 of the federal Social Security Act (42
4848 U.S.C. Section 1315);
4949 (B) uniform rate enhancements for nonpublic
5050 hospitals in the Medicaid managed care service area in which the
5151 district is located;
5252 (C) payments available under another waiver
5353 program authorizing payments that are substantially similar to
5454 Medicaid payments to nonpublic hospitals described by Paragraph (A)
5555 or (B); or
5656 (D) any reimbursement to nonpublic hospitals for
5757 which federal matching funds are available;
5858 (2) subject to Section 299.151(d), pay the
5959 administrative expenses of the district in administering the
6060 program, including collateralization of deposits;
6161 (3) refund a mandatory payment collected in error from
6262 a paying provider;
6363 (4) refund to a paying provider, in an amount that is
6464 proportionate to the mandatory payments made under this chapter by
6565 the provider during the 12 months preceding the date of the refund,
6666 [providers a proportionate share of] the money attributable to
6767 mandatory payments collected under this chapter that the district:
6868 (A) receives from the Health and Human Services
6969 Commission that is not used to fund the nonfederal share of Medicaid
7070 supplemental payment program payments; or
7171 (B) determines cannot be used to fund the
7272 nonfederal share of Medicaid supplemental payment program
7373 payments; and
7474 (5) transfer funds to the Health and Human Services
7575 Commission if the district is legally required to transfer the
7676 funds to address a disallowance of federal matching funds with
7777 respect to programs for which the district made intergovernmental
7878 transfers described by Subdivision (1).
7979 SECTION 5. The heading to Section 299.151, Health and
8080 Safety Code, is amended to read as follows:
8181 Sec. 299.151. MANDATORY PAYMENTS [BASED ON PAYING PROVIDER
8282 NET PATIENT REVENUE].
8383 SECTION 6. Section 299.151, Health and Safety Code, is
8484 amended by amending Subsections (a), (b), and (c) and adding
8585 Subsections (a-1) and (a-2) to read as follows:
8686 (a) If the board authorizes a health care provider
8787 participation program under this chapter, the board may require [a]
8888 mandatory payments [payment] to be assessed against each
8989 institutional health care provider located in the district, either
9090 annually or periodically throughout the year at the discretion of
9191 the board, on the basis of a health care item, health care service,
9292 or other health care-related basis that is consistent with the
9393 requirements of 42 U.S.C. Section 1396b(w) [the net patient revenue
9494 of each institutional health care provider located in the
9595 district]. The qualifying assessment basis must be the same for
9696 each institutional health care provider in the district. The board
9797 shall provide an institutional health care provider written notice
9898 of each assessment under this section [subsection], and the
9999 provider has 30 calendar days following the date of receipt of the
100100 notice to pay the assessment.
101101 (a-1) Except as otherwise provided by this subsection, the
102102 qualifying assessment basis must be determined by the board using
103103 information contained in an institutional health care provider's
104104 Medicare cost report for the most recent fiscal year for which the
105105 provider submitted the report. If the provider is not required to
106106 submit a Medicare cost report, or if the Medicare cost report
107107 submitted by the provider does not contain information necessary to
108108 determine the qualifying assessment basis, the qualifying
109109 assessment basis may be determined by the board using information
110110 contained in another report the board considers reliable that is
111111 submitted by or to the provider for the most recent fiscal year. To
112112 the extent practicable, the board shall use the same type of report
113113 to determine the qualifying assessment basis for each paying
114114 provider in the district.
115115 (a-2) [In the first year in which the mandatory payment is
116116 required, the mandatory payment is assessed on the net patient
117117 revenue of an institutional health care provider, as determined by
118118 the provider's Medicare cost report submitted for the previous
119119 fiscal year or for the closest subsequent fiscal year for which the
120120 provider submitted the Medicare cost report.] If [the] mandatory
121121 payments are [payment is] required, the district shall update the
122122 amount of the mandatory payments [payment] on an annual basis and
123123 may update the amount on a more frequent basis.
124124 (b) The amount of a mandatory payment authorized under this
125125 chapter must be determined in a manner that ensures the revenue
126126 generated qualifies for federal matching funds under federal law,
127127 consistent with [uniformly proportionate with the amount of net
128128 patient revenue generated by each paying provider in the district
129129 as permitted under federal law. A health care provider
130130 participation program authorized under this chapter may not hold
131131 harmless any institutional health care provider, as required under]
132132 42 U.S.C. Section 1396b(w).
133133 (c) If the board requires a mandatory payment authorized
134134 under this chapter, the board shall set the amount of the mandatory
135135 payment, subject to the limitations of this chapter. The aggregate
136136 amount of the mandatory payments required of all paying providers
137137 in the district may not exceed six [four] percent of the aggregate
138138 net patient revenue from hospital services provided by all paying
139139 providers in the district.
140140 SECTION 7. This Act takes effect immediately if it receives
141141 a vote of two-thirds of all the members elected to each house, as
142142 provided by Section 39, Article III, Texas Constitution. If this
143143 Act does not receive the vote necessary for immediate effect, this
144144 Act takes effect September 1, 2021.