Texas 2025 - 89th Regular

Texas House Bill HB985 Compare Versions

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11 By: Harrison H.B. No. 985
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66 A BILL TO BE ENTITLED
77 AN ACT
88 relating to hospital-owned outpatient facilities, including
99 site-neutral reimbursement rates under Medicaid.
1010 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1111 SECTION 1. Subchapter A, Chapter 311, Health and Safety
1212 Code, is amended by adding Section 311.006 to read as follows:
1313 Sec. 311.006. ACQUISITION OF OUTPATIENT HEALTH CARE
1414 FACILITIES. (a) In this section:
1515 (1) "Commission" means the Health and Human Services
1616 Commission.
1717 (2) "Hospital" means a hospital licensed under Chapter
1818 241.
1919 (b) A hospital that acquires an outpatient health care
2020 facility shall provide written notice of the acquisition to the
2121 office of the attorney general and the commission.
2222 SECTION 2. Subchapter B, Chapter 32, Human Resources Code,
2323 is amended by adding Section 32.0286 to read as follows:
2424 Sec. 32.0286. SITE-NEUTRAL REIMBURSEMENT RATE FOR
2525 OUTPATIENT SERVICES. (a) In this section, "hospital-owned
2626 outpatient facility" means a department, unit, clinic, or other
2727 facility or organization that a hospital provider either creates or
2828 acquires for the purpose of furnishing outpatient services. The
2929 term includes a hospital outpatient department.
3030 (b) Notwithstanding any other law, the commission shall
3131 ensure the Medicaid reimbursement rate for outpatient services
3232 provided by a hospital-owned outpatient facility is the same as the
3333 reimbursement rate for outpatient services an independent,
3434 physician-owned practice provides if:
3535 (1) the outpatient services are not dependent on
3636 technology associated with the facility; and
3737 (2) evidence-based rationale does not support a
3838 different reimbursement rate for a specific outpatient service.
3939 SECTION 3. (a) In this section:
4040 (1) "Commission" means the Health and Human Services
4141 Commission.
4242 (2) "Department" means the Texas Department of
4343 Insurance.
4444 (3) "Medicaid" means the medical assistance program
4545 established under Chapter 32, Human Resources Code.
4646 (b) The department, in consultation with the commission and
4747 the office of the attorney general, shall conduct a study on the
4848 feasibility and advisability of expanding the policy under Section
4949 32.0286, Human Resources Code, as added by this Act, to commercial
5050 health benefit plan issuers in this state by prohibiting the
5151 issuers from providing provider-based billing rates for outpatient
5252 services that are greater than the rates provided to independent,
5353 physician-owned practices providing the same outpatient services.
5454 (c) Not later than September 1, 2026, the department shall
5555 prepare and submit to the legislature and the standing committees
5656 of the legislature with primary jurisdiction over insurance and
5757 Medicaid a report containing the results of the study conducted
5858 under Subsection (b) of this section and any recommendations for
5959 legislative or other action. The report must include an estimate of
6060 any projected cost savings to health care consumers in this state
6161 that would result from commercial health benefit plan issuers
6262 implementing a site-neutral payment policy for outpatient
6363 services.
6464 SECTION 4. Not later than January 1, 2026, the executive
6565 commissioner of the Health and Human Services Commission shall
6666 adopt or amend rules as necessary to comply with Section 32.0286,
6767 Human Resources Code, as added by this Act.
6868 SECTION 5. Section 311.006, Health and Safety Code, as
6969 added by this Act, applies only to a hospital's acquisition of an
7070 outpatient facility on or after the effective date of this Act.
7171 SECTION 6. If before implementing any provision of this Act
7272 a state agency determines that a waiver or authorization from a
7373 federal agency is necessary for implementation of that provision,
7474 the agency affected by the provision shall request the waiver or
7575 authorization and may delay implementing that provision until the
7676 waiver or authorization is granted.
7777 SECTION 7. This Act takes effect September 1, 2025.