89R8335 LRM-F By: Lalani, Metcalf H.B. No. 2298 A BILL TO BE ENTITLED AN ACT relating to a health care facility grant program supporting the use of artificial intelligence technology in scanning medical images for cancer detection. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle B, Title 2, Health and Safety Code, is amended by adding Chapter 56 to read as follows: CHAPTER 56. ARTIFICIAL INTELLIGENCE CANCER DETECTION GRANT PROGRAM Sec. 56.001. DEFINITIONS. In this chapter: (1) "Grant program" means the grant program for artificial intelligence cancer detection established by this chapter. (2) "Qualified applicant" means a hospital or health care facility, including a federally qualified health center, located in this state that provides medical imaging services. Sec. 56.002. ESTABLISHMENT OF GRANT PROGRAM. (a) The commission shall establish and administer a grant program to assist qualified applicants in using artificial intelligence technology to scan medical images for cancer detection. (b) The commission may award grants each state fiscal year to qualified applicants in accordance with this chapter. Sec. 56.003. APPLICATIONS. The commission shall prescribe the form and manner for a qualified applicant to apply for a grant under the grant program. A submitted application must include: (1) evidence the applicant will provide matching funds in an amount equal to at least 10 percent of the grant award amount for the proposed artificial intelligence technology; (2) a detailed plan for using the proposed artificial intelligence technology to scan medical images to detect cancer, including the manner in which the grant money will be used and the total anticipated cost of using the technology; (3) a plan for physician review of medical results identified through artificial intelligence to ensure accuracy and efficacy; (4) the number of patient records the proposed artificial intelligence technology is capable of scanning and the estimated time required for each scan; and (5) any other information the commission requires to assess the applicant's eligibility and the potential impact of the proposed artificial intelligence technology. Sec. 56.004. GRANT REQUIREMENTS. (a) The commission may only award a grant under this chapter in accordance with a contract between the commission and a grant recipient that includes conditions providing the commission with sufficient control to ensure the public purpose of improving public health is accomplished and the state receives a return benefit. (b) A grant award under the grant program: (1) may not exceed $250,000; (2) may not be awarded to more than five qualified applicants; and (3) must be awarded annually. Sec. 56.005. REQUIRED REPORT. Not later than the first anniversary of the date a grant recipient receives a grant award under the grant program, the recipient shall provide a written report to the commission that includes: (1) the number of medical images scanned and cancer cases identified using the artificial intelligence technology for which the grant was awarded; (2) any change in cancer detection rates and the time required to detect cancer as a result of the artificial intelligence technology; (3) an assessment on the comparative effectiveness of the artificial intelligence technology versus traditional methods for detecting cancer; and (4) any recommendations for further artificial intelligence use or improvement of the use of artificial intelligence technology in scanning medical imaging to detect cancer. Sec. 56.006. RULES. The executive commissioner shall adopt the rules necessary to implement this chapter. Sec. 56.007. FUNDING. The commission may accept gifts, grants, and donations from any source to administer the grant program established under this chapter. The commission may use a portion of the money appropriated to the commission for purposes of this chapter to cover the costs of administering this chapter. Sec. 56.008. EXPIRATION. This chapter expires September 1, 2035. SECTION 2. This Act takes effect September 1, 2025.