Bill Text: TX SB1244 | 2021-2022 | 87th Legislature | Enrolled

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Bill Title: Relating to the award of health plan provider contracts under Medicaid managed care.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Passed) 2021-06-14 - Effective on 9/1/21 [SB1244 Detail]

Download: Texas-2021-SB1244-Enrolled.html

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S.B. No. 1244

AN ACT
relating to the award of health plan provider contracts under
Medicaid managed care.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 533, Government Code, is
amended by adding Section 533.0035 to read as follows:
Sec. 533.0035. CERTIFICATION BY COMMISSION. (a) Before
the commission may award a contract under this chapter to a managed
care organization, the commission shall evaluate and certify that
the organization is reasonably able to fulfill the terms of the
contract, including all requirements of applicable federal and
state law.
(b) Notwithstanding any other law, the commission may not
award a contract under this chapter to a managed care organization
that does not receive the certification required under this
section.
(c) A managed care organization may appeal a denial of
certification by the commission under this section.
SECTION 2. Section 533.004(a), Government Code, is amended
to read as follows:
(a) Subject to the considerations required under Section
533.003 and the certification required under Section 533.0035, in
[In] providing health care services through Medicaid managed care
to recipients in a health care service region, the commission shall
contract with a managed care organization in that region that is
licensed under Chapter 843, Insurance Code, to provide health care
in that region and that is:
(1) wholly owned and operated by a hospital district
in that region;
(2) created by a nonprofit corporation that:
(A) has a contract, agreement, or other
arrangement with a hospital district in that region or with a
municipality in that region that owns a hospital licensed under
Chapter 241, Health and Safety Code, and has an obligation to
provide health care to indigent patients; and
(B) under the contract, agreement, or other
arrangement, assumes the obligation to provide health care to
indigent patients and leases, manages, or operates a hospital
facility owned by the hospital district or municipality; or
(3) created by a nonprofit corporation that has a
contract, agreement, or other arrangement with a hospital district
in that region under which the nonprofit corporation acts as an
agent of the district and assumes the district's obligation to
arrange for services under the Medicaid expansion for children as
authorized by Chapter 444, Acts of the 74th Legislature, Regular
Session, 1995.
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, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 1244 passed the Senate on
April 29, 2021, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 1244 passed the House on
May 26, 2021, by the following vote: Yeas 132, Nays 15, two
present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor