BILL ANALYSIS Senate Research Center S.B. 1375 89R3747 SRA-D By: Paxton; Hagenbuch Local Government 5/2/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT When a county elects to adopt a Local Provider Participation Fund (LPPF), it is necessary that a statute is passed through the legislature to extend the LPPF. The Collin County Commissioners Court voted unanimously on December 4, 2023, to establish an LPPF. The authority, however, expires on September 1, 2026, so legislation is necessary to grant the authority past this expiration date. Since 2013, over 31 local government entities have adopted LPPFs, using them to make intergovernmental transfers to the Health and Human Services Commission to direct funds to the non-federal share of Medicaid payments. As proposed, S.B. 1375 amends current law relating to the continuation of health care provider participation programs in certain counties. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 300.0155, Health and Safety Code, as follows: Sec. 300.0155. EXPIRATION OF AUTHORITY. (a) Creates this subsection from existing text and creates an exception under Subsection (b). (b) Provides that the authority of a local government to which this subsection applies to administer and operate a program under Chapter 300 (Health Care Provider Participation Programs in Certain Political Subdivisions in this State) expires on September 1, 2030. Provides that this subsection applies only to a county with a population of one million or more, in which all or part of a municipality with a population of one million or more is located, and that is located adjacent to a county with a population of 2.5 million or more. SECTION 2. Effective date: upon passage or September 1, 2025. BILL ANALYSIS Senate Research Center S.B. 1375 89R3747 SRA-D By: Paxton; Hagenbuch Local Government 5/2/2025 As Filed Senate Research Center S.B. 1375 89R3747 SRA-D By: Paxton; Hagenbuch Local Government 5/2/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT When a county elects to adopt a Local Provider Participation Fund (LPPF), it is necessary that a statute is passed through the legislature to extend the LPPF. The Collin County Commissioners Court voted unanimously on December 4, 2023, to establish an LPPF. The authority, however, expires on September 1, 2026, so legislation is necessary to grant the authority past this expiration date. Since 2013, over 31 local government entities have adopted LPPFs, using them to make intergovernmental transfers to the Health and Human Services Commission to direct funds to the non-federal share of Medicaid payments. As proposed, S.B. 1375 amends current law relating to the continuation of health care provider participation programs in certain counties. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 300.0155, Health and Safety Code, as follows: Sec. 300.0155. EXPIRATION OF AUTHORITY. (a) Creates this subsection from existing text and creates an exception under Subsection (b). (b) Provides that the authority of a local government to which this subsection applies to administer and operate a program under Chapter 300 (Health Care Provider Participation Programs in Certain Political Subdivisions in this State) expires on September 1, 2030. Provides that this subsection applies only to a county with a population of one million or more, in which all or part of a municipality with a population of one million or more is located, and that is located adjacent to a county with a population of 2.5 million or more. SECTION 2. Effective date: upon passage or September 1, 2025.