Texas 2021 - 87th 3rd C.S.

Texas Senate Bill SB41 Latest Draft

Bill / Introduced Version Filed 09/27/2021

                            87S30235 JG/MM-D
 By: Johnson S.B. No. 41


 A BILL TO BE ENTITLED
 AN ACT
 relating to the development and implementation of the Live Well
 Texas program to provide health benefit coverage to certain
 individuals; imposing penalties.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subtitle I, Title 4, Government Code, is amended
 by adding Chapter 537A to read as follows:
 CHAPTER 537A. LIVE WELL TEXAS PROGRAM
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 537A.0001.  DEFINITIONS. In this chapter:
 (1)  "Basic plan" means the program health benefit plan
 described by Section 537A.0202.
 (2)  "Eligible individual" means an individual who is
 eligible to participate in the program.
 (3)  "Participant" means an individual who is:
 (A)  enrolled in a program health benefit plan; or
 (B)  receiving health care financial assistance
 under Subchapter H.
 (4)  "Plus plan" means the program health benefit plan
 described by Section 537A.0203.
 (5)  "POWER account" means a personal wellness and
 responsibility account established for a participant under Section
 537A.0251.
 (6)  "Program" means the Live Well Texas program
 established under this chapter.
 (7)  "Program health benefit plan" includes:
 (A)  the basic plan; and
 (B)  the plus plan.
 (8)  "Program health benefit plan provider" means a
 health benefit plan provider that contracts with the commission
 under Section 537A.0107 to arrange for the provision of health care
 services through a program health benefit plan.
 SUBCHAPTER B. FEDERAL WAIVER FOR LIVE WELL TEXAS PROGRAM
 Sec. 537A.0051.  FEDERAL AUTHORIZATION FOR PROGRAM. (a)
 Notwithstanding any other law, the executive commissioner shall
 develop and seek a waiver under Section 1115 of the Social Security
 Act (42 U.S.C. Section 1315) to the state Medicaid plan to implement
 the Live Well Texas program to assist individuals in obtaining
 health benefit coverage through a program health benefit plan or
 health care financial assistance.
 (b)  The terms of a waiver the executive commissioner seeks
 under this section must:
 (1)  be designed to:
 (A)  provide health benefit coverage options for
 eligible individuals;
 (B)  produce better health outcomes for
 participants;
 (C)  create incentives for participants to
 transition from receiving public assistance benefits to achieving
 stable employment;
 (D)  promote personal responsibility and engage
 participants in making decisions regarding health care based on
 cost and quality;
 (E)  support participants' self-sufficiency by
 requiring unemployed participants to be referred to work search and
 job training programs;
 (F)  support participants who become ineligible
 to participate in a program health benefit plan in transitioning to
 private health benefit coverage;
 (G)  leverage enhanced federal medical assistance
 percentage funding to minimize or eliminate the need for a program
 enrollment cap; and
 (H)  leverage available federal medical
 assistance percentage funding, including funding available under
 the American Rescue Plan Act of 2021 (Pub. L. No. 117-2); and
 (2)  allow for the operation of the program consistent
 with the requirements of this chapter, except to the extent
 deviation from the requirements is necessary to obtain federal
 authorization of the waiver.
 Sec. 537A.0052.  FUNDING. Subject to approval of the waiver
 described by Section 537A.0051, the commission shall implement the
 program using federal funding available for that purpose, including
 enhanced federal medical assistance percentage funding available
 under the Patient Protection and Affordable Care Act (Pub. L.
 No. 111-148) as amended by the Health Care and Education
 Reconciliation Act of 2010 (Pub. L. No. 111-152).
 Sec. 537A.0053.  NOT AN ENTITLEMENT; TERMINATION OF PROGRAM.
 (a) This chapter does not establish an entitlement to health
 benefit coverage or health care financial assistance under the
 program for eligible individuals.
 (b)  The program terminates at the time federal funding
 terminates under the Patient Protection and Affordable Care Act
 (Pub. L. No. 111-148) as amended by the Health Care and Education
 Reconciliation Act of 2010 (Pub. L. No. 111-152), unless a
 successor program providing federal funding is created.
 SUBCHAPTER C. PROGRAM ADMINISTRATION
 Sec. 537A.0101.  PROGRAM OBJECTIVE. The principal objective
 of the program is to provide primary and preventative health care
 through high deductible program health benefit plans to eligible
 individuals.
 Sec. 537A.0102.  PROGRAM PROMOTION. The commission shall
 promote and provide information about the program to individuals
 who:
 (1)  are potentially eligible to participate in the
 program; and
 (2)  live in medically underserved areas of this state.
 Sec. 537A.0103.  COMMISSION'S AUTHORITY RELATED TO HEALTH
 BENEFIT PLAN PROVIDER CONTRACTS. The commission may:
 (1)  enter into contracts with health benefit plan
 providers under Section 537A.0107;
 (2)  monitor program health benefit plan providers
 through reporting requirements and other means to ensure contract
 performance and quality delivery of services;
 (3)  monitor the quality of services delivered to
 participants through outcome measurements; and
 (4)  provide payment under the contracts to program
 health benefit plan providers.
 Sec. 537A.0104.  COMMISSION'S AUTHORITY RELATED TO
 ELIGIBILITY AND MEDICAID COORDINATION. The commission may:
 (1)  accept applications for health benefit coverage
 under the program and implement program eligibility screening and
 enrollment procedures;
 (2)  resolve grievances related to eligibility
 determinations; and
 (3)  to the extent possible, coordinate the program
 with Medicaid.
 Sec. 537A.0105.  THIRD-PARTY ADMINISTRATOR CONTRACT FOR
 PROGRAM IMPLEMENTATION. (a) In administering the program, the
 commission may contract with a third-party administrator to provide
 enrollment and related services.
 (b)  If the commission contracts with a third-party
 administrator under this section, the commission may:
 (1)  monitor the third-party administrator through
 reporting requirements and other means to ensure contract
 performance and quality delivery of services; and
 (2)  provide payment under the contract to the
 third-party administrator.
 (c)  The executive commissioner shall retain all
 policymaking authority over the program.
 (d)  The commission shall procure each contract with a
 third-party administrator, as applicable, through a competitive
 procurement process that complies with all federal and state laws.
 Sec. 537A.0106.  TEXAS DEPARTMENT OF INSURANCE DUTIES. (a)
 At the commission's request, the Texas Department of Insurance
 shall provide any necessary assistance with the program. The
 department shall monitor the quality of the services provided by
 program health benefit plan providers and resolve grievances
 related to those providers.
 (b)  The commission and the Texas Department of Insurance may
 adopt a memorandum of understanding that addresses the
 responsibilities of each agency with respect to the program.
 (c)  The Texas Department of Insurance, in consultation with
 the commission, shall adopt rules as necessary to implement this
 section.
 Sec. 537A.0107.  HEALTH BENEFIT PLAN PROVIDER CONTRACTS.
 The commission shall select through a competitive procurement
 process that complies with all federal and state laws and contract
 with health benefit plan providers to provide health care services
 under the program. To be eligible for a contract under this section,
 an entity must:
 (1)  be a Medicaid managed care organization;
 (2)  hold a certificate of authority issued by the
 Texas Department of Insurance that authorizes the entity to provide
 the types of health care services offered under the program; and
 (3)  satisfy, except as provided by this chapter, any
 applicable requirement of the Insurance Code or another insurance
 law of this state.
 Sec. 537A.0108.  HEALTH CARE PROVIDERS. (a) A health care
 provider who provides health care services under the program must
 meet certification and licensure requirements required by
 commission rules and other law.
 (b)  In adopting rules governing the program, the executive
 commissioner shall ensure that a health care provider who provides
 health care services under the program is reimbursed at a rate that
 is at least equal to the rate paid under Medicare for the provision
 of the same or substantially similar services.
 Sec. 537A.0109.  PROHIBITION ON CERTAIN HEALTH CARE
 PROVIDERS. The executive commissioner shall adopt rules that
 prohibit a health care provider from providing health care services
 under the program for a reasonable period, as determined by the
 executive commissioner, if the health care provider:
 (1)  fails to repay overpayments made under the
 program; or
 (2)  owns, controls, manages, or is otherwise
 affiliated with and has financial, managerial, or administrative
 influence over a health care provider who has been suspended or
 prohibited from providing health care services under the program.
 SUBCHAPTER D. ELIGIBILITY FOR PROGRAM HEALTH BENEFIT COVERAGE
 Sec. 537A.0151.  ELIGIBILITY REQUIREMENTS. (a) An
 individual is eligible to enroll in a program health benefit plan
 if:
 (1)  the individual is a resident of this state;
 (2)  the individual is 19 years of age or older but
 younger than 65 years of age;
 (3)  applying the eligibility criteria in effect in
 this state on December 31, 2020, the individual is not eligible for
 Medicaid; and
 (4)  federal matching funds are available under the
 Patient Protection and Affordable Care Act (Pub. L. No. 111-148) as
 amended by the Health Care and Education Reconciliation Act of 2010
 (Pub. L. No. 111-152) or other successor law to provide benefits to
 the individual under the federal medical assistance program
 established under Title XIX, Social Security Act (42 U.S.C. Section
 1396 et seq.).
 (b)  An individual who is a parent or caretaker relative to
 whom 42 C.F.R. Section 435.110 applies is eligible to enroll in a
 program health benefit plan.
 (c)  In determining eligibility for the program, the
 commission shall apply the same eligibility criteria regarding
 residency and citizenship in effect for Medicaid in this state on
 December 31, 2020.
 Sec. 537A.0152.  CONTINUOUS COVERAGE. The commission shall
 ensure that an individual who is initially determined or
 redetermined to be eligible to participate in the program and
 enroll in a program health benefit plan will remain eligible for
 coverage under the plan for a period of 12 months beginning on the
 first day of the month following the date eligibility was
 determined or redetermined, subject to Section 537A.0252(f).
 Sec. 537A.0153.  APPLICATION FORM AND PROCEDURES. (a) The
 executive commissioner shall adopt an application form and
 application procedures for the program. The form and procedures
 must be coordinated with forms and procedures under Medicaid to
 ensure that there is a single consolidated application process to
 seek health benefit coverage under the program or Medicaid.
 (b)  To the extent possible, the commission shall make the
 application form available in languages other than English.
 (c)  The executive commissioner may permit an individual to
 apply by mail, over the telephone, or through the Internet.
 Sec. 537A.0154.  ELIGIBILITY SCREENING AND ENROLLMENT. (a)
 The executive commissioner shall adopt eligibility screening and
 enrollment procedures or use the Texas Integrated Enrollment
 Services eligibility determination system or a compatible system to
 screen individuals and enroll eligible individuals in the program.
 (b)  The eligibility screening and enrollment procedures
 must ensure that an individual applying for the program who appears
 eligible for Medicaid is identified and assisted with obtaining
 Medicaid coverage. If the individual is denied Medicaid coverage
 but is determined eligible to enroll in a program health benefit
 plan, the commission shall enroll the individual in a program
 health benefit plan of the individual's choosing and for which the
 individual is eligible without further application or
 qualification.
 (c)  Not later than the 30th day after the date an individual
 submits a complete application form and unless the individual is
 identified and assisted with obtaining Medicaid coverage under
 Subsection (b), the commission shall ensure that the individual's
 eligibility to participate in the program is determined and that
 the individual is provided with information on program health
 benefit plans and program health benefit plan providers. The
 commission shall enroll the individual in the program health
 benefit plan and with the program health benefit plan provider of
 the individual's choosing in a timely manner, as determined by the
 commission.
 (d)  The executive commissioner may establish enrollment
 periods for the program.
 Sec. 537A.0155.  ELIGIBILITY REDETERMINATION PROCESS;
 DISENROLLMENT. (a) Not later than the 90th day before the
 expiration of a participant's coverage period, the commission shall
 notify the participant regarding the eligibility redetermination
 process and request documentation necessary to redetermine the
 participant's eligibility.
 (b)  The commission shall provide written notice of
 termination of eligibility to a participant not later than the 30th
 day before the date the participant's eligibility will terminate.
 The commission shall disenroll the participant from the program if:
 (1)  the participant does not submit the requested
 eligibility redetermination documentation before the last day of
 the participant's coverage period; or
 (2)  the commission, based on the submitted
 documentation, determines the participant is no longer eligible for
 the program, subject to Subchapter H.
 (c)  An individual may submit the requested eligibility
 redetermination documentation not later than the 90th day after the
 date the individual is disenrolled from the program. If the
 commission determines that the individual continues to meet program
 eligibility requirements, the commission shall reenroll the
 individual in the program without any additional application
 requirements.
 (d)  An individual who does not complete the eligibility
 redetermination process in accordance with this section and who is
 disenrolled from the program may not participate in the program for
 a period of 180 days beginning on the date of disenrollment.  This
 subsection does not apply to an individual described by Section
 537A.0206 or 537A.0208 or an individual who is pregnant or is
 younger than 21 years of age.
 (e)  At the time a participant is disenrolled from the
 program under this section, the commission shall provide to the
 participant:
 (1)  notice that the participant may be eligible to
 receive health care financial assistance under Subchapter H in
 transitioning to private health benefit coverage; and
 (2)  information on and the eligibility requirements
 for that financial assistance.
 SUBCHAPTER E. BASIC AND PLUS PLANS
 Sec. 537A.0201.  BASIC AND PLUS PLAN COVERAGE GENERALLY.
 (a) The basic and plus plans offered under the program must:
 (1)  comply with this subchapter and coverage
 requirements prescribed by other law; and
 (2)  at a minimum, provide coverage for essential
 health benefits required under 42 U.S.C. Section 18022(b).
 (b)  In modifying covered health benefits under the basic and
 plus plans, the executive commissioner shall consider the health
 care needs of healthy individuals and individuals with special
 health care needs.
 (c)  The basic and plus plans must allow a participant with a
 chronic, disabling, or life-threatening illness to select an
 appropriate specialist as the participant's primary care
 physician.
 Sec. 537A.0202.  BASIC PLAN: COVERAGE AND INCOME
 ELIGIBILITY. (a) The program must include a basic plan that is
 sufficient to meet the basic health care needs of individuals who
 enroll in the plan.
 (b)  The covered health benefits under the basic plan must
 include:
 (1)  primary care physician services;
 (2)  prenatal and postpartum care;
 (3)  specialty care physician visits;
 (4)  home health services, not to exceed 100 visits per
 year;
 (5)  outpatient surgery;
 (6)  allergy testing;
 (7)  chemotherapy;
 (8)  intravenous infusion services;
 (9)  radiation therapy;
 (10)  dialysis;
 (11)  emergency care hospital services;
 (12)  emergency transportation, including ambulance
 and air ambulance;
 (13)  urgent care clinic services;
 (14)  hospitalization, including for:
 (A)  general inpatient hospital care;
 (B)  inpatient physician services;
 (C)  inpatient surgical services;
 (D)  non-cosmetic reconstructive surgery;
 (E)  a transplant;
 (F)  treatment for a congenital abnormality;
 (G)  anesthesia;
 (H)  hospice care; and
 (I)  care in a skilled nursing facility for a
 period not to exceed 100 days per occurrence;
 (15)  inpatient and outpatient behavioral health
 services;
 (16)  inpatient, outpatient, and residential substance
 use treatment;
 (17)  prescription drugs, including tobacco cessation
 drugs;
 (18)  inpatient and outpatient rehabilitative and
 habilitative care, including physical, occupational, and speech
 therapy, not to exceed 60 combined visits per year;
 (19)  medical equipment, appliances, and assistive
 technology, including prosthetics and hearing aids, and the repair,
 technical support, and customization needed for individual use;
 (20)  laboratory and pathology tests and services;
 (21)  diagnostic imaging, including x-rays, magnetic
 resonance imaging, computed tomography, and positron emission
 tomography;
 (22)  preventative care services as described by
 Section 537A.0204; and
 (23)  services under the early and periodic screening,
 diagnostic, and treatment program for participants who are younger
 than 21 years of age.
 (c)  To be eligible for health care benefits under the basic
 plan, an individual who is eligible for the program must have an
 annual household income that is equal to or less than 100 percent of
 the federal poverty level.
 Sec. 537A.0203.  PLUS PLAN: COVERAGE AND INCOME ELIGIBILITY.
 (a) The program must include a plus plan that includes the covered
 health benefits listed in Section 537A.0202 and the following
 additional enhanced health benefits:
 (1)  services related to the treatment of conditions
 affecting the temporomandibular joint;
 (2)  dental care;
 (3)  vision care;
 (4)  notwithstanding Section 537A.0202(b)(18),
 inpatient and outpatient rehabilitative and habilitative care,
 including physical, occupational, and speech therapy, not to exceed
 75 combined visits per year;
 (5)  bariatric surgery; and
 (6)  other services the commission considers
 appropriate.
 (b)  An individual who is eligible for the program and whose
 annual household income exceeds 100 percent of the federal poverty
 level will automatically be enrolled in and receive health benefits
 under the plus plan.  An individual who is eligible for the program
 and whose annual household income is equal to or less than 100
 percent of the federal poverty level may choose to enroll in the
 plus plan.
 (c)  A participant enrolled in the plus plan is required to
 make POWER account contributions in accordance with Section
 537A.0252.
 Sec. 537A.0204.  PREVENTATIVE CARE SERVICES. (a) The
 commission shall provide to each participant a list of health care
 services that qualify as preventative care services based on the
 age, gender, and preexisting conditions of the participant. In
 developing the list, the commission shall consult with the federal
 Centers for Disease Control and Prevention.
 (b)  A program health benefit plan shall, at no cost to the
 participant, provide coverage for:
 (1)  preventative care services described by 42 U.S.C.
 Section 300gg-13; and
 (2)  a maximum of $500 per year of preventative care
 services other than those described by Subdivision (1).
 (c)  A participant who receives preventative care services
 not described by Subsection (b) that are covered under the
 participant's program health benefit plan is subject to deductible
 and copayment requirements for the services in accordance with the
 terms of the plan.
 Sec. 537A.0205.  COPAYMENTS. (a) A participant enrolled in
 the basic plan shall pay a copayment for each covered health benefit
 except for a preventative care or family planning service. The
 executive commissioner by rule shall adopt a copayment schedule for
 basic plan services, subject to Subsection (c).
 (b)  Except as provided by Subsection (c), a participant
 enrolled in the plus plan may not be required to pay a copayment for
 a covered service.
 (c)  A participant enrolled in the basic or plus plan shall
 pay a copayment in an amount set by commission rule not to exceed
 $25 for nonemergency use of hospital emergency department services
 unless:
 (1)  the participant has met the cost-sharing maximum
 for the calendar quarter, as prescribed by commission rule;
 (2)  the participant is referred to the hospital
 emergency department by a health care provider;
 (3)  the visit is a true emergency, as defined by
 commission rule; or
 (4)  the participant is pregnant.
 Sec. 537A.0206.  CERTAIN PARTICIPANTS ELIGIBLE FOR STATE
 MEDICAID PLAN BENEFITS. (a) A participant described by 42 C.F.R.
 Section 440.315 who is enrolled in the basic or plus plan is
 entitled to receive under the program all health benefits that
 would be available under the state Medicaid plan.
 (b)  A participant to which this section applies is subject
 to the cost-sharing requirements, including copayment and POWER
 account contribution requirements, of the program health benefit
 plan in which the participant is enrolled.
 (c)  The commission shall develop screening measures to
 identify participants to which this section applies.
 Sec. 537A.0207.  PREGNANT PARTICIPANTS. (a) A participant
 who becomes pregnant while enrolled in the program and who meets the
 eligibility requirements for Medicaid may choose to remain in the
 program or enroll in Medicaid.
 (b)  A pregnant participant described by Subsection (a) who
 is enrolled in the basic or plus plan and who remains in the program
 is:
 (1)  notwithstanding Section 537A.0205, not subject to
 any cost-sharing requirements, including copayment and POWER
 account contribution requirements, of the program health benefit
 plan in which the participant is enrolled until the expiration of
 the second month following the month in which the pregnancy ends;
 (2)  entitled to receive as a Medicaid wrap-around
 benefit all Medicaid services a pregnant woman enrolled in Medicaid
 is entitled to receive, including a pharmacy benefit, when the
 participant exceeds coverage limits under the participant's
 program health benefit plan or if a service is not covered by the
 plan; and
 (3)  eligible for additional vision and dental care
 benefits.
 Sec. 537A.0208.  PARENTS AND CARETAKER RELATIVES. (a) A
 parent or caretaker relative to whom 42 C.F.R. Section 435.110
 applies is entitled to receive as a Medicaid wrap-around benefit
 all Medicaid services to which the individual would be entitled
 under the state Medicaid plan that are not covered under the
 individual's program health benefit plan or exceed the plan's
 coverage limits.
 (b)  An individual described by Subsection (a) who chooses to
 participate in the program is subject to the cost-sharing
 requirements, including copayment and POWER account contribution
 requirements, of the program health benefit plan in which the
 individual is enrolled.
 SUBCHAPTER F. PERSONAL WELLNESS AND RESPONSIBILITY (POWER)
 ACCOUNTS
 Sec. 537A.0251.  ESTABLISHMENT AND OPERATION OF POWER
 ACCOUNTS. (a) The commission shall establish a personal wellness
 and responsibility (POWER) account for each participant who is
 enrolled in a program health benefit plan that is funded with money
 contributed in accordance with this subchapter.
 (b)  The commission shall enable each participant to access
 and manage money in and information regarding the participant's
 POWER account through an electronic system. The commission may
 contract with an entity that has appropriate experience and
 expertise to establish, implement, or administer the electronic
 system.
 (c)  Except as otherwise provided by Section 537A.0252, the
 commission shall require each participant to contribute to the
 participant's POWER account in amounts described by that section.
 Sec. 537A.0252.  POWER ACCOUNT CONTRIBUTIONS; DEDUCTIBLE.
 (a) The executive commissioner by rule shall establish an annual
 universal deductible for each participant enrolled in the basic or
 plus plan.
 (b)  To ensure each participant's POWER account contains a
 sufficient amount of money at the beginning of a coverage period,
 the commission shall, before the beginning of that period, fund
 each account with the following amounts:
 (1)  for a participant enrolled in the basic plan, the
 annual universal deductible amount; and
 (2)  for a participant enrolled in the plus plan, the
 difference between the annual universal deductible amount and the
 participant's required annual contribution as determined by the
 schedule established under Subsection (c).
 (c)  The executive commissioner by rule shall establish a
 graduated annual POWER account contribution schedule for
 participants enrolled in the plus plan that:
 (1)  is based on a participant's annual household
 income, with participants whose annual household incomes are less
 than the federal poverty level paying progressively less and
 participants whose annual household incomes are equal to or greater
 than the federal poverty level paying progressively more; and
 (2)  may not require a participant to contribute more
 than a total of five percent of the participant's annual household
 income to the participant's POWER account.
 (d)  A participant's employer may contribute on behalf of the
 participant any amount of the participant's annual POWER account
 contribution. A nonprofit organization may contribute on behalf of
 a participant any amount of the participant's annual POWER account
 contribution.
 (e)  Subject to the contribution cap described by Subsection
 (c)(2) and not before the expiration of the participant's first
 coverage period, the commission shall require a participant who
 uses one or more tobacco products to contribute to the
 participant's POWER account an annual POWER account contribution
 amount that is one percent more than the participant would
 otherwise be required to contribute under the schedule established
 under Subsection (c).
 (f)  An annual POWER account contribution must be paid by or
 on behalf of a participant monthly in installments that are at least
 equal to one-twelfth of the total required contribution. The
 coverage period for a participant whose annual household income
 exceeds 100 percent of the federal poverty level may not begin until
 the first day of the first month following the month in which the
 first monthly installment is received.
 Sec. 537A.0253.  USE OF POWER ACCOUNT MONEY. A participant
 may use money in the participant's POWER account to pay copayments
 and deductible costs required under the participant's program
 health benefit plan. The commission shall issue to each
 participant an electronic payment card that allows the participant
 to use the card to pay the program health benefit plan costs.
 Sec. 537A.0254.  PROGRAM HEALTH BENEFIT PLAN PROVIDER
 REWARDS PROGRAM FOR ENGAGEMENT IN CERTAIN HEALTHY BEHAVIORS;
 SMOKING CESSATION INITIATIVE. (a) A program health benefit plan
 provider shall establish a rewards program through which a
 participant receiving health care through a program health benefit
 plan offered by the program health benefit plan provider may earn
 money to be contributed to the participant's POWER account.
 (b)  Under a rewards program, a program health benefit plan
 provider shall contribute money to a participant's POWER account if
 the participant engages in certain healthy behaviors. The
 executive commissioner by rule shall determine:
 (1)  the behaviors in which a participant must engage
 to receive a contribution, which must include behaviors related to:
 (A)  completion of a health risk assessment;
 (B)  smoking cessation; and
 (C)  as applicable, chronic disease management;
 and
 (2)  the amount of money a program health benefit plan
 provider shall contribute for each behavior described by
 Subdivision (1).
 (c)  Subsection (b) does not prevent a program health benefit
 plan provider from contributing money to a participant's POWER
 account if the participant engages in a behavior not specified by
 that subsection or a rule adopted in accordance with that
 subsection. If a program health benefit plan provider chooses to
 contribute money under this subsection, the program health benefit
 plan provider shall determine the amount of money to be contributed
 for the behavior.
 (d)  A participant may use contributions a program health
 benefit plan provider makes under a rewards program to offset a
 maximum of 50 percent of the participant's required annual POWER
 account contribution established under Section 537A.0252.
 (e)  Contributions a program health benefit plan provider
 makes under a rewards program that result in a participant's POWER
 account balance exceeding the participant's required annual POWER
 account contribution may be rolled over into the next coverage
 period in accordance with Section 537A.0256.
 (f)  During the first coverage period of a participant who
 uses one or more tobacco products, a program health benefit plan
 provider shall actively attempt to engage the participant in and
 provide educational materials to the participant on:
 (1)  smoking cessation activities for which the
 participant may receive a monetary contribution under this section;
 and
 (2)  other smoking cessation programs or resources
 available to the participant.
 Sec. 537A.0255.  MONTHLY STATEMENTS. The commission shall
 distribute to each participant with a POWER account a monthly
 statement that includes information on:
 (1)  the participant's POWER account activity during
 the preceding month, including information on the cost of health
 care services delivered to the participant during that month;
 (2)  the balance of money available in the POWER
 account at the time the statement is issued; and
 (3)  the amount of any contributions due from the
 participant.
 Sec. 537A.0256.  POWER ACCOUNT ROLLOVER. (a) The executive
 commissioner by rule shall establish a process in accordance with
 this section to roll over money in a participant's POWER account to
 the succeeding coverage period. The commission shall calculate the
 amount to be rolled over at the time the participant's program
 eligibility is redetermined.
 (b)  For a participant enrolled in the basic plan, the
 commission shall calculate the amount to be rolled over to a
 subsequent coverage period POWER account from the participant's
 current coverage period POWER account based on:
 (1)  the amount of money remaining in the participant's
 POWER account from the current coverage period; and
 (2)  whether the participant received recommended
 preventative care services during the current coverage period.
 (c)  For a participant enrolled in the plus plan who, as
 determined by the commission, timely makes POWER account
 contributions in accordance with this subchapter, the commission
 shall calculate the amount to be rolled over to a subsequent
 coverage period POWER account from the participant's current
 coverage period POWER account based on:
 (1)  the amount of money remaining in the participant's
 POWER account from the current coverage period;
 (2)  the total amount of money the participant
 contributed to the participant's POWER account during the current
 coverage period; and
 (3)  whether the participant received recommended
 preventative care services during the current coverage period.
 (d)  Except as provided by Subsection (e), a participant may
 use money rolled over into the participant's POWER account for the
 succeeding coverage period to offset required annual POWER account
 contributions, as applicable, during that coverage period.
 (e)  A participant enrolled in the basic plan who rolls over
 money into the participant's POWER account for the succeeding
 coverage period and who chooses to enroll in the plus plan for that
 coverage period may use the money rolled over to offset a maximum of
 50 percent of the required annual POWER account contributions for
 that coverage period.
 Sec. 537A.0257.  REFUND. If at the end of a participant's
 coverage period the participant chooses to cease participating in a
 program health benefit plan or is no longer eligible to participate
 in a program health benefit plan, or if a participant is terminated
 from the program health benefit plan under Section 537A.0258 for
 failure to pay required contributions, the commission shall refund
 to the participant any money the participant contributed that
 remains in the participant's POWER account at the end of the
 coverage period or on the termination date.
 Sec. 537A.0258.  PENALTIES FOR FAILURE TO MAKE POWER ACCOUNT
 CONTRIBUTIONS. (a) For a participant whose annual household
 income exceeds 100 percent of the federal poverty level and who
 fails to make a contribution in accordance with Section 537A.0252,
 the commission shall provide a 60-day grace period during which the
 participant may make the contribution without penalty. If the
 participant fails to make the contribution during the grace period,
 the participant will be disenrolled from the program health benefit
 plan in which the participant is enrolled and may not reenroll in a
 program health benefit plan until:
 (1)  the 181st day after the date the participant is
 disenrolled; and
 (2)  the participant pays any debt accrued due to the
 participant's failure to make the contribution.
 (b)  For a participant enrolled in the plus plan whose annual
 household income is equal to or less than 100 percent of the federal
 poverty level and who fails to make a contribution in accordance
 with Section 537A.0252, the commission shall disenroll the
 participant from the plus plan and enroll the participant in the
 basic plan. A participant enrolled in the basic plan under this
 subsection may not change enrollment to the plus plan until the
 participant's program eligibility is redetermined.
 SUBCHAPTER G. EMPLOYMENT INITIATIVE
 Sec. 537A.0301.  GATEWAY TO WORK PROGRAM. (a) The
 commission shall develop and implement a gateway to work program
 to:
 (1)  integrate existing job training and job search
 programs available in this state through the Texas Workforce
 Commission or other appropriate state agencies with the Live Well
 Texas program; and
 (2)  provide each participant with general information
 on the job training and job search programs.
 (b)  Under the gateway to work program, the commission shall
 refer each participant who is unemployed or working less than 20
 hours a week to available job search and job training programs.
 SUBCHAPTER H. HEALTH CARE FINANCIAL ASSISTANCE FOR CERTAIN
 PARTICIPANTS
 Sec. 537A.0351.  HEALTH CARE FINANCIAL ASSISTANCE FOR
 CONTINUITY OF CARE.  (a)  The commission shall ensure continuity of
 care by providing health care financial assistance in accordance
 with and in the manner described by this subchapter for a
 participant who:
 (1)  is disenrolled from a program health benefit plan
 in accordance with Section 537A.0155 because the participant's
 annual household income exceeds the income eligibility
 requirements for enrollment in a program health benefit plan; and
 (2)  seeks and obtains private health benefit coverage
 within 12 months following the date of disenrollment.
 (b)  To receive health care financial assistance under this
 subchapter, a participant must provide to the commission, in the
 form and manner required by the commission, documentation showing
 the participant has obtained or is actively seeking private health
 benefit coverage.
 (c)  The commission may not impose an upper income
 eligibility limit on a participant to receive health care financial
 assistance under this subchapter.
 Sec. 537A.0352.  DURATION AND AMOUNT OF HEALTH CARE
 FINANCIAL ASSISTANCE.  (a)  A participant described by Section
 537A.0351 may receive health care financial assistance under this
 subchapter until the first anniversary of the date the participant
 was disenrolled from a program health benefit plan.
 (b)  Health care financial assistance made available to a
 participant under this subchapter:
 (1)  may not exceed the amount described by Section
 537A.0353; and
 (2)  is limited to payment for eligible services
 described by Section 537A.0354.
 Sec. 537A.0353.  BRIDGE ACCOUNT; FUNDING.  (a)  The
 commission shall establish a bridge account for each participant
 eligible to receive health care financial assistance under Section
 537A.0351.  The account is funded with money the commission
 contributes in accordance with this section.
 (b)  The commission shall enable each participant for whom a
 bridge account is established to access and manage money in and
 information regarding the participant's account through an
 electronic system.  The commission may contract with the same
 entity described by Section 537A.0251(b) or another entity with
 appropriate experience and expertise to establish, implement, or
 administer the electronic system.
 (c)  The commission shall fund each bridge account in an
 amount equal to $1,000 using money the commission retains or
 recoups during the rollover process described by Section 537A.0256
 or following the issuance of a refund as described by Section
 537A.0257.
 (d)  The commission may not require a participant to
 contribute money to the participant's bridge account.
 (e)  The commission shall retain or recoup any unexpended
 money in a participant's bridge account at the end of the period for
 which the participant is eligible to receive health care financial
 assistance under this subchapter for the purpose of funding another
 participant's POWER account under Subchapter F or bridge account
 under this subchapter.
 Sec. 537A.0354.  USE OF BRIDGE ACCOUNT MONEY.  (a)  The
 commission shall issue to each participant for whom a bridge
 account is established an electronic payment card that allows the
 participant to use the card to pay costs for eligible services
 described by Subsection (b).
 (b)  A participant may use money in the participant's bridge
 account to pay:
 (1)  premium costs incurred during the private health
 benefit coverage enrollment process and coverage period; and
 (2)  copayments, deductible costs, and coinsurance
 associated with the private health benefit coverage obtained by the
 participant for health care services that would otherwise be
 reimbursable under Medicaid.
 (c) Costs described by Subsection (b)(2) associated with
 eligible services delivered to a participant may be paid by:
 (1)  a participant using the electronic payment card
 issued under Subsection (a); or
 (2)  a health care provider directly charging and
 receiving payment from the participant's bridge account.
 Sec. 537A.0355.  ENROLLMENT COUNSELING.  The commission
 shall provide enrollment counseling to an individual who is seeking
 private health benefit coverage and who is otherwise eligible to
 receive health care financial assistance under this subchapter.
 SECTION 2.  (a) The Health and Human Services Commission
 shall conduct a study on the development and implementation of the
 Live Well Texas program under Chapter 537A, Government Code, as
 added by this Act, including potential sources of funding for the
 state's share of costs associated with implementing the program.
 The study must:
 (1)  consider the feasibility of using funding from the
 following sources to fund the program:
 (A)  rebates collected under the Medicaid vendor
 drug program; and
 (B)  managed care state premium tax revenue;
 (2)  evaluate the anticipated savings to this state
 resulting from the reduction or elimination of:
 (A)  health care-related benefits that a program
 participant would otherwise be eligible to receive under other
 programs administered by the commission or another health and human
 services agency, including:
 (i)  the kidney health care program;
 (ii)  the Healthy Texas Women program; and
 (iii)  other programs that provide benefits:
 (a)  to pregnant women;
 (b)  for treating breast and cervical
 cancer;
 (c)  to support community health
 treatment;
 (d)  for substance use treatment; and
 (e)  for treatment of HIV infection;
 and
 (B)  health care expenses incurred by the Texas
 Department of Criminal Justice for inpatient hospital stays of more
 than 24 hours in a freestanding hospital; and
 (3)  based on the evaluation under Subdivision (2) of
 this subsection, determine the extent to which savings offset or
 eliminate the state's share of costs associated with implementing
 the program.
 (b)  Not later than November 30, 2022, the Health and Human
 Services Commission shall prepare and submit to the legislature a
 written report that:
 (1)  summarizes the results of the study conducted
 under Subsection (a) of this section; and
 (2)  includes legislative recommendations, as
 applicable.
 SECTION 3.  As soon as practicable after the effective date
 of this Act, the executive commissioner of the Health and Human
 Services Commission shall apply for and actively pursue from the
 federal Centers for Medicare and Medicaid Services or another
 appropriate federal agency the waiver as required by Section
 537A.0051, Government Code, as added by this Act. The commission
 may delay implementing this Act until the waiver applied for under
 that section is granted.
 SECTION 4.  This Act takes effect January 1, 2023, but only
 if the constitutional amendment proposed by the 87th Legislature,
 3rd Called Session, 2021, requiring the state to develop and seek
 appropriate authorization under the federal Medicaid program to
 implement the Live Well Texas program to provide health benefit
 coverage to certain individuals is approved by the voters.  If that
 amendment is not approved by the voters, this Act has no effect.