HB3348 - Relating to the creation and operations of a health care provider participation program in certain counties.

      H.B. No. 3348         AN ACT   relating to the creation and operations of a health care provider   participation program in certain counties.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subtitle D, Title 4, Health and Safety Code, is   amended by adding Chapter 292E to read as follows:   CHAPTER 292E. COUNTY HEALTH CARE PROVIDER PARTICIPATION PROGRAM IN   CERTAIN COUNTIES   SUBCHAPTER A. GENERAL PROVISIONS           Sec. 292E.001.  DEFINITIONS. In this chapter:                   (1)     "Institutional health care provider" means a   nonpublic hospital that provides inpatient hospital services.                 (2)     "Paying hospital" means an institutional health   care provider required to make a mandatory payment under this   chapter.                 (3)     "Program" means a county health care provider   participation program authorized by this chapter.           Sec.   292E.002.     APPLICABILITY. This chapter applies only to   a county that:                 (1)  is not served by a hospital district; and                 (2)  is:                       (A)  a county that:                             (i)     has a population of more than 46,000 and   less than 50,000; and                             (ii)     is adjacent to the county containing   the state capital;                       (B)  a county that:                             (i)  has a population of 900,000 or more; and                             (ii)     borders two counties, each of which   has a population of two million or more; or                       (C)  a county that:                             (i)  has a population of one million or more;                             (ii)     contains all or part of a municipality   with a population of one million or more; and                             (iii)     is adjacent to a county with a   population of 2.5 million or more.           Sec.   292E.003.     COUNTY HEALTH CARE PROVIDER PARTICIPATION   PROGRAM; PARTICIPATION IN PROGRAM. (a) A county health care   provider participation program authorizes a county to collect a   mandatory payment from each institutional health care provider   located in the county to be deposited in a local provider   participation fund established by the county. Money in the fund may   be used by the county as provided by Section 292E.103(b).             (b)     The commissioners court of a county may adopt an order   authorizing the county to participate in the program, subject to   the limitations provided by this chapter.   SUBCHAPTER B. POWERS AND DUTIES OF COMMISSIONERS COURT           Sec.   292E.051.     LIMITATION ON AUTHORITY TO REQUIRE MANDATORY   PAYMENTS. The commissioners court of a county may require a   mandatory payment under this chapter by an institutional health   care provider in the county only in the manner provided by this   chapter.           Sec.   292E.052.     MAJORITY VOTE REQUIRED.     The commissioners   court of a county may not authorize the county to collect a   mandatory payment under this chapter without an affirmative vote of   a majority of the members of the commissioners court.           Sec.   292E.053.     RULES AND PROCEDURES.   After the   commissioners court of a county has voted to require a mandatory   payment authorized under this chapter, the commissioners court may   adopt rules relating to the administration of the program,   including the collection of a mandatory payment, expenditures, an   audit, and any other administrative aspect of the program.           Sec.   292E.054.     INSTITUTIONAL HEALTH CARE PROVIDER   REPORTING.   (a)   The commissioners court of a county that authorizes   the county to participate in a program under this chapter shall   require each institutional health care provider located in the   county to submit to the county a copy of any financial and   utilization data required by and reported to the Department of   State Health Services under Sections 311.032 and 311.033 and any   rules adopted by the executive commissioner of the Health and Human   Services Commission to implement those sections.           (b)     The commissioners court may inspect the records of an   institutional health care provider in the county to the extent   necessary to ensure compliance with the requirements of Subsection   (a).   SUBCHAPTER C. GENERAL FINANCIAL PROVISIONS           Sec.   292E.101.     HEARING.     (a)     In each year that the   commissioners court of a county authorizes a mandatory payment   under this chapter, the commissioners court shall hold a public   hearing on the amounts of any mandatory payments that the county   intends to require during the year and how the revenue derived from   those payments is to be spent.           (b)     Not later than the fifth day before the date of the   hearing required under Subsection (a), the commissioners court   shall publish notice of the hearing in a newspaper of general   circulation in the county and provide written notice of the hearing   to each institutional health care provider located in the county.           (c)     A representative of a paying hospital is entitled to   appear at the public hearing and be heard regarding any matter   related to the mandatory payments authorized under this chapter.           Sec.   292E.102.     LOCAL PROVIDER PARTICIPATION FUND;   DEPOSITORY. (a)   The commissioners court of a county that requires   a mandatory payment under this chapter shall create a local   provider participation fund.           (b)     If the commissioners court of a county creates a local   provider participation fund, the commissioners court shall   designate one or more banks as the depository for the county's local   provider participation fund.           (c)     The commissioners court may withdraw or use money in the   county's local provider participation fund only for a purpose   authorized under this chapter.           (d)     All funds collected under this chapter shall be secured   in the manner provided for securing other funds of the county.           Sec.   292E.103.     LOCAL PROVIDER PARTICIPATION FUND;   AUTHORIZED USES OF MONEY.   (a)   The local provider participation   fund established by a county under Section 292E.102 consists of:                 (1)     all revenue received by the county attributable to   mandatory payments authorized under this chapter, including any   penalties and interest attributable to delinquent payments;                 (2)     money received from the Health and Human Services   Commission as a refund of an intergovernmental transfer described   by Subsection (b)(1), provided that the intergovernmental transfer   does not receive a federal matching payment; and                 (3)  the earnings of the fund.           (b)     Money deposited to a county's local provider   participation fund may be used only to:                 (1)     fund intergovernmental transfers from the county   to the state to provide the nonfederal share of Medicaid payments   for:                       (A)     uncompensated care payments to nonpublic   hospitals authorized under the Texas Healthcare Transformation and   Quality Improvement Program waiver issued under Section 1115 of the   federal Social Security Act (42 U.S.C. Section 1315), or a   successor waiver program authorizing similar Medicaid supplemental   payment programs;                       (B)     uniform rate enhancements or other directed   payment programs for nonpublic hospitals;                       (C)     payments available under another waiver   program authorizing payments that are substantially similar to   Medicaid payments to nonpublic hospitals described by Paragraph (A)   or (B); or                       (D)     any reimbursement to nonpublic hospitals, or   that may benefit nonpublic hospitals as determined by the   commissioners court, for which federal matching funds are   available;                 (2)     subject to Section 292E.151(e), pay the   administrative expenses of the county in administering the program,   including collateralization of deposits;                 (3)     refund all or a portion of a mandatory payment   collected in error from a paying hospital; and                 (4)     refund to paying hospitals a proportionate share   of the money that the county:                       (A)     receives from the Health and Human Services   Commission that is not used to fund the nonfederal share of Medicaid   supplemental payment program payments; or                       (B)     determines cannot be used to fund the   nonfederal share of Medicaid supplemental payment program   payments.           (c)     Money in the local provider participation fund may not   be commingled with other county money.           (d)     Notwithstanding any other provision of this chapter,   with respect to an intergovernmental transfer of funds described by   Subsection (b)(1) made by the county, any funds received by the   state, county, or other entity as a result of the transfer may not   be used by the state, county, or other entity to:                 (1)     expand Medicaid eligibility 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                 (2)     fund the nonfederal share of payments to nonpublic   hospitals available through the Medicaid disproportionate share   hospital program.   SUBCHAPTER D. MANDATORY PAYMENTS           Sec.   292E.151.     MANDATORY PAYMENTS BASED ON PAYING HOSPITAL   NET PATIENT REVENUE. (a)     Except as provided by Subsection (f), if   the commissioners court of a county authorizes a program under this   chapter, the commissioners court shall require an annual mandatory   payment to be assessed on the net patient revenue of each   institutional health care provider located in the county.   The   commissioners co [Text truncated for display. Full text available on Congress.gov.]