SB1753 - Relating to requiring contracts with Medicaid managed care organizations to permit the organizations to offer certain mental health or substance use services or food and nutrition assistance services in lieu of other state Medicaid plan services.

  89R8398 SCF-D     By: Blanco S.B. No. 1753       A BILL TO BE ENTITLED   AN ACT   relating to requiring contracts with Medicaid managed care   organizations to permit the organizations to offer certain mental   health or substance use services or food and nutrition assistance   services in lieu of other state Medicaid plan services.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 540.0272, Government Code, as effective   April 1, 2025, is amended to read as follows:          Sec. 540.0272.  CERTAIN SERVICES PERMITTED IN LIEU OF STATE   MEDICAID PLAN SERVICES  [ OTHER MENTAL HEALTH OR SUBSTANCE USE   DISORDER SERVICES ]; ANNUAL REPORT.  A contract to which this   subchapter applies must contain language permitting the   contracting Medicaid managed care organization to offer recipients   enrolled in the organization's managed care plan  medically   appropriate, cost-effective, evidence-based mental health or   substance use services or food and nutrition assistance services   from a list of services  approved by the state Medicaid managed care   advisory committee and included in the contract as services the   organization may provide recipients  in lieu of [ mental health or   substance use disorder ] services specified in the state Medicaid   plan.  A recipient is not required to use a service from the list   included in the contract in lieu of a [ another mental health or   substance use disorder ] service specified in the state Medicaid   plan.  The commission shall:                (1)  prepare and submit to the legislature an annual   report on the number of times during the preceding year a service   from the list included in the contract is used; and                (2)  consider the actual cost and use of any services   from the list included in the contract that are offered by a   Medicaid managed care organization when setting the capitation   rates for that organization under the contract.          SECTION 2.  The changes in law made by this Act apply to a   contract entered into or renewed on or after the effective date of   this Act.  A contract entered into or renewed before that date is   governed by the law in effect on the date the contract was entered   into or renewed, and that law is continued in effect for that   purpose.          SECTION 3.  If before implementing any provision of this Act   a state agency determines that a waiver or authorization from a   federal agency is necessary for implementation of that provision,   the agency affected by the provision shall request the waiver or   authorization and may delay implementing that provision until the   waiver or authorization is granted.          SECTION 4.  This Act takes effect September 1, 2025.