CHAPTER 534. LOCALLY BASED MEDICAID AND OTHER RELATED HEALTH CARE INITIATIVES

GOVERNMENT CODE

TITLE 4. EXECUTIVE BRANCH

SUBTITLE I. HEALTH AND HUMAN SERVICES

CHAPTER 534. LOCALLY BASED MEDICAID AND OTHER RELATED HEALTH CARE

INITIATIVES

For expiration of this chapter, see Section 534.301.

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 534.001. LEGISLATIVE INTENT. It is the intent of the

legislature that certain local governmental entities collaborate

to the extent necessary with other local governmental entities

and small business employers to provide or deliver cost-effective

health care services to persons eligible to participate in the

initiatives established under this chapter.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

Sec. 534.002. DEFINITIONS. In this chapter:

(1) "Local governmental entity" means:

(A) a hospital district created and established under the

authority of Sections 4 through 11, Article IX, Texas

Constitution;

(B) a hospital authority created and established under Chapter

262 or 264, Health and Safety Code, that to some extent uses tax

or other public revenue to provide health care services to

indigent persons;

(C) a hospital owned and operated by a municipality, county, or

hospital authority and created under Chapter 262 or 264, Health

and Safety Code;

(D) a medical school operated by this state;

(E) a medical school that receives state funds under Section

61.093, Education Code, or a chiropractic school that receives

state funds under the General Appropriations Act;

(F) a teaching hospital operated by The University of Texas

System;

(G) a county that provides health care services and assistance

to indigent residents of the county under Subchapter B, Chapter

61, Health and Safety Code;

(H) a governmental entity that provides funds to a public

hospital for the provision of health care services to indigent

persons under Section 61.062, Health and Safety Code;

(I) a county with a population of more than 400,000 that

provides funds to a public hospital and that is not included in

the boundaries of a hospital district;

(J) a hospital owned by a municipality and leased to and

operated by a nonprofit hospital for a public purpose, subject to

federal approval of matching funds from such an entity;

(K) a health services district created and established under

Chapter 287, Health and Safety Code; and

(L) a statewide rural health care system established under

Chapter 20C or 845, Insurance Code.

(2) "Managed care organization" means a person who is authorized

or otherwise permitted by law to arrange for or provide a managed

care plan.

(3) "Managed care plan" means a plan under which a person

undertakes to provide, arrange for, pay for, or reimburse any

part of the cost of any health care services. A part of the plan

must consist of arranging for or providing health care services

as distinguished from indemnification against the cost of those

services on a prepaid basis through insurance or otherwise. The

term includes a primary care case management provider network.

The term does not include a plan that indemnifies a person for

the cost of health care services through insurance.

(4) "Task force" means the task force on local health care

initiatives established under Section 534.101.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

Sec. 534.003. RULES. (a) The commission shall adopt rules as

necessary to implement this chapter.

(b) The commission may require the Texas Department of Human

Services or any other health and human services agency to adopt,

with the approval of the commission, any rules that may be

necessary to implement this chapter.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

SUBCHAPTER B. TASK FORCE

Sec. 534.101. TASK FORCE ON LOCAL HEALTH CARE INITIATIVES. (a)

The commissioner shall establish a task force on local health

care initiatives.

(b) The commissioner shall appoint as members of the task force:

(1) 10 representatives of local governmental entities, at least

seven of whom must be representatives of local governmental

entities located in counties or municipalities with a population

of 500,000 or more and one of whom represents the interests of

local governmental entities in rural areas;

(2) two representatives of health care providers, including one

member who represents the interests of private nonprofit health

benefit plans;

(3) one representative of small business owners;

(4) one physician licensed under Subtitle B, Title 3,

Occupations Code; and

(5) one public member.

(c) The members of the task force serve staggered two-year terms

with as near as possible to half of the members' terms expiring

February 1 of each year. The members shall draw lots at the first

task force meeting to determine the length of each member's

initial term and the members' terms that expire each year.

(d) The commissioner shall designate a member of the task force

to serve as presiding officer.

(e) A member of the task force is not entitled to compensation

for service on the task force and is not entitled to

reimbursement for travel expenses.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

Sec. 534.102. POWERS AND DUTIES. (a) The task force may, in

conjunction with the commission, develop one or both of the

demonstration projects authorized under Subchapter C.

(b) The task force shall:

(1) advise the commission on local health care issues and

concerns affecting local governmental entities selected to

participate in a demonstration project developed under Subchapter

C;

(2) assist the commission with the preparation of a report that

may be required by Section 534.203;

(3) if one or both of the demonstration projects authorized

under Subchapter C are established, identify administrative costs

that the commission may incur with regard to the implementation

of each of the demonstration projects that is established and

develop a mechanism to provide for the reimbursement of those

costs by the participating local governmental entities; and

(4) perform any other duty or function prescribed by this

chapter or other law.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

Sec. 534.103. MEETINGS. The task force shall meet at the call

of the presiding officer.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.

SUBCHAPTER C. DEMONSTRATION PROJECTS TO PROVIDE HEALTH CARE

COVERAGE TO LOW-INCOME PARENTS OF CHILDREN RECEIVING MEDICAID

SUBCHAPTER D. MISCELLANEOUS PROVISIONS

Sec. 534.301. EXPIRATION. This chapter expires September 1,

2011.

Added by Acts 2003, 78th Leg., ch. 1139, Sec. 1, eff. Sept. 1,

2003.