SB1640 - Relating to access to criminal history record information that relates to providers and provider applicants under Medicaid and other public benefits programs administered by the Health and Human Services Commission.

      By: Hagenbuch  S.B. No. 1640          (In the Senate - Filed February 25, 2025; March 11, 2025,   read first time and referred to Committee on Health & Human   Services; April 22, 2025, reported adversely, with favorable   Committee Substitute by the following vote:  Yeas 9, Nays 0;   April 22, 2025, sent to printer.) Click here to see the committee vote     COMMITTEE SUBSTITUTE FOR S.B. No. 1640 By:  Perry     A BILL TO BE ENTITLED   AN ACT     relating to access to criminal history record information that   relates to providers and provider applicants under Medicaid and   other public benefits programs administered by the Health and Human   Services Commission.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  The heading to Section 411.1143, Government   Code, is amended to read as follows:          Sec. 411.1143.  ACCESS TO CRIMINAL HISTORY RECORD   INFORMATION; AGENCIES ADMINISTERING OR OPERATING [ PART OF ] MEDICAL   ASSISTANCE AND OTHER PUBLIC BENEFITS PROGRAMS  [ PROGRAM ].          SECTION 2.  Section 411.1143, Government Code, is amended by   amending Subsections (a) and (a-1) and adding Subsection (e) to   read as follows:          (a)  The Health and Human Services Commission, an agency   operating part of a public benefits program, including  the medical   assistance program under Chapter 32, Human Resources Code, or the   office of inspector general established under Subchapter C, Chapter   544, of this code  [ Government Code ], is entitled to obtain criminal   history record information as provided by Subsection (a-2) that   relates to a provider under a public benefits [ the medical   assistance ] program administered by the commission or a person   applying to enroll as a provider under a public benefits [ the   medical assistance ] program administered by the commission .          (a-1)  Criminal history record information the Health and   Human Services Commission or the office of inspector general is   authorized to obtain under Subsection (a) includes criminal history   record information relating to:                (1)   a person that:                       (A)     has a direct or indirect ownership interest,   or a combination of direct and indirect ownership interests, that   equals five percent or more in the provider or person applying to   enroll as a provider;                       (B)     owns an interest of five percent or more in a   mortgage, deed of trust, promissory note, or other obligation   secured by the provider or person applying to enroll as a provider   if that interest equals at least five percent of the value of the   property or other assets of the provider or person applying to   enroll as a provider;                       (C)     is an officer or director of the provider or   person applying to enroll as a provider if that provider or   applicant is organized as a corporation; or                       (D)     is a partner in the provider or person   applying to enroll as a provider if that provider or applicant is   organized as a partnership [ a person with a direct or indirect   ownership or control interest, as defined by 42 C.F.R. Section   455.101, in a provider of five percent or more ]; and                (2)   a managing employee of the provider or person   applying to enroll as a provider [ a person whose information is   required to be disclosed in accordance with 42 C.F.R. Part 1001 ].           (e)  In this section:                 (1)     "Managing employee," with respect to a provider or   person applying to enroll as a provider, means an individual,   including a general manager, business manager, administrator, or   director, who:                       (A)     exercises operational or managerial control   over all or part of the provider or applicant; or                       (B)     directly or indirectly conducts the daily   operations of all or part of the provider or applicant.                 (2)     "Ownership interest," with respect to a provider   or person applying to enroll as a provider, means having equity in   the provider's or applicant's capital, stock, or profits.                 (3)     "Provider" means an individual or entity that   engages in the delivery of health care services and is authorized to   deliver those services in this state, including an individual or   entity that delivers health care services to recipients under the   medical assistance program.          SECTION 3.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.     * * * * *