SB2547 - Relating to imposing a moratorium on the awarding of certain contracts by the Health and Human Services Commission under Medicaid and the child health plan program.

  89R4913 SCF-D     By: Hinojosa of Hidalgo S.B. No. 2547       A BILL TO BE ENTITLED   AN ACT   relating to imposing a moratorium on the awarding of certain   contracts by the Health and Human Services Commission under   Medicaid and the child health plan program.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  DEFINITION. In this Act, "commission" means the   Health and Human Services Commission.          SECTION 2.  MORATORIUM ON NEW CONTRACTS UNDER CERTAIN   MANAGED CARE PROGRAMS. (a)  This section applies only to the award   of a contract by the commission to a managed care organization to   provide health care services to enrollees under the child health   plan program or Medicaid recipients under the STAR Medicaid managed   care program, including an award that, on the effective date of this   Act:                (1)  has not progressed beyond issuance of an intent to   award a contract under the procurement process; or                (2)  is subject to pending litigation.          (b)  Except as provided by Subsection (c), the commission may   not procure or award a contract to which this section applies for   the period:                (1)  beginning on the effective date of this Act; and                (2)  ending on the date the commission is next subject   to review under Chapter 325, Government Code (Texas Sunset Act), in   accordance with Section 523.0003, Government Code.          (c)  As appropriate, the commission shall seek to renew each   existing contract with a managed care organization to provide   health care services to enrollees under the child health plan   program or Medicaid recipients under the STAR Medicaid managed care   program. If a managed care organization elects not to renew an   existing contract or enter into a new contract with the commission   to continue providing health care services in a service region, the   commission may procure and award a new contract with a managed care   organization for that region in accordance with applicable   procurement law.          SECTION 3.  EXPIRATION. This Act expires on the day   immediately after the date described by Section 2(b)(2) of this   Act.          SECTION 4.  FEDERAL AUTHORIZATION. 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 5.  EFFECTIVE DATE.  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.