SB1934 - Relating to the operation of certain health care provider participation programs in this state.

  89R9797 SRA-F     By: Hinojosa of Hidalgo S.B. No. 1934       A BILL TO BE ENTITLED   AN ACT   relating to the operation of certain health care provider   participation programs in this state.          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 300B to read as follows:   CHAPTER 300B.   PROVISIONS GENERALLY APPLICABLE TO HEALTH CARE   PROVIDER PARTICIPATION PROGRAMS           Sec.   300B.0001.     DEFINITION. In this chapter, "qualifying   local government" means:                   (1)     a county, municipality, or hospital district that   is participating in a health care provider participation program   authorized by another chapter of this subtitle;                 (2)     a health care funding district created under   Chapter 288; or                 (3)     a health care provider participation district   created under Chapter 300A.           Sec.   300B.0002.     PERMISSIVE POWERS; LIMITATIONS. (a) A   qualifying local government is not required to exercise the powers   granted by this chapter.           (b)     A qualifying local government may only exercise the   powers granted by this chapter for the health care provider   participation program that the qualifying local government   administers.           (c)     Before a qualifying local government exercises a power   granted by this chapter, the qualifying local government must   comply with procedural requirements relating to the setting of the   amount of mandatory payments applicable to the health care provider   participation program administered by the qualifying local   government, including all applicable public notice and hearing   requirements.           Sec.   300B.0003.     MANDATORY PAYMENTS. (a)   The governing   body of a qualifying local government may require mandatory   payments to be assessed against each institutional health care   provider located in the qualifying local government. Mandatory   payments must be assessed in a manner that complies with 42 C.F.R.   Section 433.68(f)(3)(i)(A) and may not be assessed at a rate or in   an amount that would generate an amount of revenue that exceeds the   greater of:                 (1)     the amount of revenue the qualifying local   government is authorized to generate under the chapter of this   subtitle applicable to the health care provider participation   program administered by that qualifying local government; or                 (2)     the amount of revenue that, when added to the   amount of revenue generated by all other mandatory payments   assessed against all hospitals in this state, equals an amount that   does not exceed six percent of the aggregate net patient revenue   attributable to hospital services provided by all hospitals in this   state.           (b)     If the governing body of a qualifying local government   requires a mandatory payment to be assessed in the manner   authorized by Subsection (a)(2) and the resulting amount of the   mandatory payment exceeds the amount of the mandatory payment   authorized by Subsection (a)(1), not later than the 20th day before   the date of a hearing regarding the amount of mandatory payments the   governing body intends to require or, if no hearing is required, not   later than the 20th day before the date the governing body requires   the mandatory payments to be assessed, the governing body shall   notify the Health and Human Services Commission of the amount of any   mandatory payments that the governing body intends to require   during the year.           (c)  The Health and Human Services Commission:                 (1)     shall determine whether the amount of any   mandatory payments that the governing body intends to require under   Subsection (b) complies with federal law; and                   (2)     not later than the 19th day after the date the   commission receives notice under Subsection (b), may require the   governing body to:                       (A)     reduce the amount of any mandatory payments   the governing body intends to require during the year; or                       (B)     make other procedural changes to the   operations of the health care provider participation program for   purposes of ensuring the program complies with federal law.           Sec.   300B.0004.     COMMISSION MAY REFUSE INTERGOVERNMENTAL   TRANSFERS. The Health and Human Services Commission may refuse to   accept all or any part of an intergovernmental transfer   attributable to mandatory payments from a qualifying local   government that fails to comply with a reduction or procedural   change required by the commission under Section 300B.0003(c)(2).           Sec.   300B.0005.     CONSTRUCTION OF CHAPTER.   (a)   This chapter   may not be construed to affect the authority of a qualifying local   government to use mandatory payments in the manner authorized by   the laws applicable to the health care provider participation   program administered by the qualifying local government.           (b)     This chapter does not authorize a qualifying local   government to:                 (1)     assess a mandatory payment that would qualify as a   bed tax or any other tax under the laws of this state; or                 (2)     require payment of a mandatory payment by a public   hospital, unless authorized under the chapter of this subtitle   applicable to the health care provider participation program   administered by that qualifying local government.           (c)     This chapter does not authorize a statewide assessment   on hospitals in this state.          SECTION 2.  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.