84R28623 JSC/ADM-D
	By: Schwertner	S.B. No. 277
	(Sheffield)
	Substitute the following for S.B. No. 277:  No.

	A BILL TO BE ENTITLED
	AN ACT
	relating to certain health-related and other task forces and
	advisory committees.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	ARTICLE 1.  CHANGES TO ENTITIES EFFECTIVE SEPTEMBER 1, 2015
	SECTION 1.01.  (a)  The Interagency Task Force on Electronic
	Benefits Transfers is abolished.
	(b)  Section 531.045, Government Code, as amended by S.B.
	219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.02.  (a)  The Medicaid and Public Assistance Fraud
	Oversight Task Force is abolished.
	(b)  Section 22.028(c), Human Resources Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	amended to read as follows:
	(c)  No later than the first day of each month, the
	commission shall send the comptroller a report listing the accounts
	on which enforcement actions or other steps were taken by the
	commission in response to the records received from the EBT
	operator under this section, and the action taken by the
	commission. The comptroller shall promptly review the report and,
	as appropriate, may solicit the advice of the office of the
	inspector general [Medicaid and Public Assistance Fraud Oversight
	Task Force] regarding the results of the commission's enforcement
	actions.
	(c)  Section 531.107, Government Code, as amended by S.B.
	219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.03.  (a)  The Advisory Committee on Inpatient
	Mental Health Services is abolished.
	(b)  Section 571.027, Health and Safety Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.04.  (a)  The Interagency Inspection Task Force is
	abolished.
	(b)  Section 42.0442(c), Human Resources Code, is amended to
	read as follows:
	(c)  [The interagency task force shall establish an
	inspection checklist based on the inspection protocol developed
	under Subsection (b).] Each state agency that inspects a facility
	listed in Subsection (a) shall use an [the] inspection checklist
	established by the department in performing an inspection. A state
	agency shall make a copy of the completed inspection checklist
	available to the facility at the facility's request to assist the
	facility in maintaining records.
	(c)  Section 42.0442(b), Human Resources Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.05.  (a) The local authority network advisory
	committee is abolished.
	(b)  Section 533.0359(a), Health and Safety Code, is amended
	to read as follows:
	(a)  In developing rules governing local mental health
	authorities under Sections 533.035, [533.0351,] 533.03521,
	533.0357, and 533.0358, the executive commissioner shall use
	rulemaking procedures under Subchapter B, Chapter 2001, Government
	Code.
	(c)  Section 533.0351, Health and Safety Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.06.  (a)  The Worksite Wellness Advisory Board is
	abolished.
	(b)  Section 664.052, Government Code, is amended to read as
	follows:
	Sec. 664.052.  RULES. The executive commissioner shall
	adopt rules for the administration of this subchapter[, including
	rules prescribing the frequency and location of board meetings].
	(c)  Section 664.058, Government Code, is amended to read as
	follows:
	Sec. 664.058.  DONATIONS. The department [board] may
	receive in-kind and monetary gifts, grants, and donations from
	public and private donors to be used for the purposes of this
	subchapter.
	(d)  Section 664.061(a), Government Code, is amended to read
	as follows:
	(a)  A state agency may:
	(1)  allow each employee 30 minutes during normal
	working hours for exercise three times each week;
	(2)  allow all employees to attend on-site wellness
	seminars when offered;
	(3)  provide eight hours of additional leave time each
	year to an employee who:
	(A)  receives a physical examination; and
	(B)  completes either an online health risk
	assessment tool provided by the department [board] or a similar
	health risk assessment conducted in person by a worksite wellness
	coordinator;
	(4)  provide financial incentives, notwithstanding
	Section 2113.201, for participation in a wellness program developed
	under Section 664.053(e) after the agency establishes a written
	policy with objective criteria for providing the incentives;
	(5)  offer on-site clinic or pharmacy services in
	accordance with Subtitles B and J, Title 3, Occupations Code,
	including the requirements regarding delegation of certain medical
	acts under Chapter 157, Occupations Code; and
	(6)  adopt additional wellness policies, as determined
	by the agency.
	(e)  Sections 664.051(1), 664.054, 664.055, 664.056,
	664.057, 664.059, and 664.060(c) and (f), Government Code, are
	repealed.
	SECTION 1.07.  (a)  The Sickle Cell Advisory Committee is
	abolished.
	(b)  Section 33.052, Health and Safety Code, is amended to
	read as follows:
	Sec. 33.052.  DUTIES OF DEPARTMENT.  The department shall[:
	[(1)]  identify efforts related to the expansion and
	coordination of education, treatment, and continuity of care
	programs for individuals with sickle cell trait and sickle cell
	disease[;
	[(2)     assist the advisory committee created under
	Section 33.053; and
	[(3)     provide the advisory committee created under
	Section 33.053 with staff support necessary for the advisory
	committee to fulfill its duties].
	(c)  Section 33.053, Health and Safety Code, is repealed.
	SECTION 1.08.  (a) The Arthritis Advisory Committee is
	abolished.
	(b)  Section 97.007, Health and Safety Code, is repealed.
	SECTION 1.09.  (a) The Advisory Panel on Health
	Care-Associated Infections and Preventable Adverse Events is
	abolished.
	(b)  Section 536.002(b), Government Code, is amended to read
	as follows:
	(b)  The executive commissioner shall appoint the members of
	the advisory committee.  The committee must consist of physicians
	and other health care providers, representatives of health care
	facilities, representatives of managed care organizations, and
	other stakeholders interested in health care services provided in
	this state, including:
	(1)  at least one member who is a physician with
	clinical practice experience in obstetrics and gynecology;
	(2)  at least one member who is a physician with
	clinical practice experience in pediatrics;
	(3)  at least one member who is a physician with
	clinical practice experience in internal medicine or family
	medicine;
	(4)  at least one member who is a physician with
	clinical practice experience in geriatric medicine;
	(5)  at least three members who are or who represent a
	health care provider that primarily provides long-term services and
	supports; and
	(6)  at least one member who is a consumer
	representative[; and
	[(7)     at least one member who is a member of the
	Advisory Panel on Health Care-Associated Infections and
	Preventable Adverse Events who meets the qualifications prescribed
	by Section 98.052(a)(4), Health and Safety Code].
	(c)  The heading to Subchapter C, Chapter 98, Health and
	Safety Code, is amended to read as follows:
	SUBCHAPTER C. DUTIES OF DEPARTMENT [AND ADVISORY PANEL]; REPORTING
	SYSTEM
	(d)  Section 98.1045(b), Health and Safety Code, is amended
	to read as follows:
	(b)  The executive commissioner may exclude an adverse event
	described by Subsection (a)(2) from the reporting requirement of
	Subsection (a) if the executive commissioner [, in consultation
	with the advisory panel,] determines that the adverse event is not
	an appropriate indicator of a preventable adverse event.
	(e)  Section 98.105, Health and Safety Code, is amended to
	read as follows:
	Sec. 98.105.  REPORTING SYSTEM MODIFICATIONS. The [Based on
	the recommendations of the advisory panel, the] executive
	commissioner by rule may modify in accordance with this chapter the
	list of procedures that are reportable under Section 98.103.  The
	modifications must be based on changes in reporting guidelines and
	in definitions established by the federal Centers for Disease
	Control and Prevention.
	(f)  Section 98.106(c), Health and Safety Code, is amended to
	read as follows:
	(c)  The [In consultation with the advisory panel, the]
	department shall publish the departmental summary in a format that
	is easy to read.
	(g)  Section 98.108(a), Health and Safety Code, is amended to
	read as follows:
	(a)  The [In consultation with the advisory panel, the]
	executive commissioner by rule shall establish the frequency of
	reporting by health care facilities required under Sections 98.103
	and 98.1045.
	(h)  The following provisions are repealed:
	(1)  Sections 98.001(1) and 98.002, Health and Safety
	Code; and
	(2)  Subchapter B, Chapter 98, Health and Safety Code.
	SECTION 1.10.  (a) The Youth Camp Training Advisory
	Committee is abolished.
	(b)  Section 141.0095(d), Health and Safety Code, as amended
	by S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	amended to read as follows:
	(d)  In accordance with this section [and the criteria and
	guidelines developed by the training advisory committee
	established under Section 141.0096], the executive commissioner by
	rule shall establish criteria and guidelines for training and
	examination programs on sexual abuse and child molestation.  The
	department may approve training and examination programs offered by
	trainers under contract with youth camps or by online training
	organizations or may approve programs offered in another format
	authorized by the department.
	(c)  Section 141.0096, Health and Safety Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 1.11.  (a) The Drug Demand Reduction Advisory
	Committee is abolished.
	(b)  Subchapter F, Chapter 461A, Health and Safety Code, as
	added by S.B. No. 219, Acts of the 84th Legislature, Regular
	Session, 2015, is repealed.
	(c)  Section 7.030, Education Code, is repealed.
	SECTION 1.12.  (a) The Texas Medical Child Abuse Resources
	and Education System (MEDCARES) Advisory Committee is abolished.
	(b)  Section 1001.155, Health and Safety Code, as added by
	Chapter 1238 (S.B. 2080), Acts of the 81st Legislature, Regular
	Session, 2009, is reenacted and amended to read as follows:
	Sec. 1001.155.  REQUIRED REPORT. Not later than December 1
	of each even-numbered year, the department [, with the assistance
	of the advisory committee established under this subchapter,] shall
	submit a report to the governor and the legislature regarding the
	grant activities of the program and grant recipients, including the
	results and outcomes of grants provided under this subchapter.
	(c)  Section 1001.153, Health and Safety Code, as added by
	Chapter 1238 (S.B. 2080), Acts of the 81st Legislature, Regular
	Session, 2009, is repealed.
	ARTICLE 2.  CHANGES TO ENTITIES EFFECTIVE JANUARY 1, 2016
	SECTION 2.01.  Section 262.353(d), Family Code, is amended
	to read as follows:
	(d)  Not later than September 30, 2014, the department and
	the Department of State Health Services shall file a report with the
	legislature [and the Council on Children and Families] on the
	results of the study required by Subsection (a).  The report must
	include:
	(1)  each option to prevent relinquishment of parental
	custody that was considered during the study;
	(2)  each option recommended for implementation, if
	any;
	(3)  each option that is implemented using existing
	resources;
	(4)  any policy or statutory change needed to implement
	a recommended option;
	(5)  the fiscal impact of implementing each option, if
	any;
	(6)  the estimated number of children and families that
	may be affected by the implementation of each option; and
	(7)  any other significant information relating to the
	study.
	SECTION 2.02.  (a)  Section 531.012, Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	Sec. 531.012.  ADVISORY COMMITTEES. (a)  The executive
	commissioner shall establish and maintain [may appoint] advisory
	committees to consider issues and solicit public input across all
	major areas of the health and human services system, including
	relating to the following issues:
	(1)  Medicaid and other social services programs;
	(2)  managed care under Medicaid and the child health
	plan program;
	(3)  health care quality initiatives;
	(4)  aging;
	(5)  persons with disabilities, including persons with
	autism;
	(6)  rehabilitation, including for persons with brain
	injuries;
	(7)  children;
	(8)  public health;
	(9)  behavioral health;
	(10)  regulatory matters;
	(11)  protective services; and
	(12)  prevention efforts.
	(b)  Chapter 2110 applies to an advisory committee
	established under this section.
	(c)  The executive commissioner shall adopt rules:
	(1)  in compliance with Chapter 2110 to govern an
	advisory committee's purpose, tasks, reporting requirements, and
	date of abolition; and
	(2)  related to an advisory committee's:
	(A)  size and quorum requirements;
	(B)  membership, including:
	(i)  qualifications to be a member,
	including any experience requirements;
	(ii)  required geographic representation;
	(iii)  appointment procedures; and
	(iv)  terms of members; and
	(C)  duty to comply with the requirements for open
	meetings under Chapter 551.
	(d)  An advisory committee established under this section
	shall:
	(1)  report any recommendations to the executive
	commissioner; and
	(2)  submit a written report to the legislature of any
	policy recommendations made to the executive commissioner under
	Subdivision (1) [as needed].
	(b)  Not later than March 1, 2016, the executive commissioner
	of the Health and Human Services Commission shall adopt rules under
	Section 531.012, Government Code, as amended by this article.  This
	subsection takes effect September 1, 2015.
	SECTION 2.03.  Subchapter A, Chapter 531, Government Code,
	is amended by adding Section 531.0121 to read as follows:
	Sec. 531.0121.  PUBLIC ACCESS TO ADVISORY COMMITTEE
	MEETINGS.  (a)  This section applies to an advisory committee
	established under Section 531.012.
	(b)  The commission shall create a master calendar that
	includes all advisory committee meetings across the health and
	human services system.
	(c)  The commission shall make available on the commission's
	Internet website:
	(1)  the master calendar;
	(2)  all meeting materials for an advisory committee
	meeting; and
	(3)  streaming live video of each advisory committee
	meeting.
	(d)  The commission shall provide Internet access in each
	room used for a meeting that appears on the master calendar.
	SECTION 2.04.  Section 531.0216(b), Government Code, is
	amended to read as follows:
	(b)  In developing the system, the executive commissioner by
	rule shall:
	(1)  review programs and pilot projects in other states
	to determine the most effective method for reimbursement;
	(2)  establish billing codes and a fee schedule for
	services;
	(3)  provide for an approval process before a provider
	can receive reimbursement for services;
	(4)  consult with the Department of State Health
	Services [and the telemedicine and telehealth advisory committee]
	to establish procedures to:
	(A)  identify clinical evidence supporting
	delivery of health care services using a telecommunications system;
	and
	(B)  annually review health care services,
	considering new clinical findings, to determine whether
	reimbursement for particular services should be denied or
	authorized;
	(5)  establish a separate provider identifier for
	telemedicine medical services providers, telehealth services
	providers, and home telemonitoring services providers; and
	(6)  establish a separate modifier for telemedicine
	medical services, telehealth services, and home telemonitoring
	services eligible for reimbursement.
	SECTION 2.05.  Section 531.02441(j), Government Code, is
	amended to read as follows:
	(j)  The task force is abolished and this [This] section
	expires September 1, 2017.
	SECTION 2.06.  Section 531.051(c), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(c)  In adopting rules for the consumer direction models, the
	executive commissioner shall:
	(1)  [with assistance from the work group established
	under Section 531.052,] determine which services are appropriate
	and suitable for delivery through consumer direction;
	(2)  ensure that each consumer direction model is
	designed to comply with applicable federal and state laws;
	(3)  maintain procedures to ensure that a potential
	consumer or the consumer's legally authorized representative has
	adequate and appropriate information, including the
	responsibilities of a consumer or representative under each service
	delivery option, to make an informed choice among the types of
	consumer direction models;
	(4)  require each consumer or the consumer's legally
	authorized representative to sign a statement acknowledging
	receipt of the information required by Subdivision (3);
	(5)  maintain procedures to monitor delivery of
	services through consumer direction to ensure:
	(A)  adherence to existing applicable program
	standards;
	(B)  appropriate use of funds; and
	(C)  consumer satisfaction with the delivery of
	services;
	(6)  ensure that authorized program services that are
	not being delivered to a consumer through consumer direction are
	provided by a provider agency chosen by the consumer or the
	consumer's legally authorized representative; and
	(7)  [work in conjunction with the work group
	established under Section 531.052 to] set a timetable to complete
	the implementation of the consumer direction models.
	SECTION 2.07.  Section 531.067, Government Code, as amended
	by S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	amended to read as follows:
	Sec. 531.067.  PROGRAM TO IMPROVE AND MONITOR CERTAIN
	OUTCOMES OF RECIPIENTS UNDER CHILD HEALTH PLAN PROGRAM AND MEDICAID
	[PUBLIC ASSISTANCE HEALTH BENEFIT REVIEW AND DESIGN COMMITTEE].
	The [(a)     The commission shall appoint a Public Assistance Health
	Benefit Review and Design Committee. The committee consists of
	nine representatives of health care providers participating in
	Medicaid or the child health plan program, or both. The committee
	membership must include at least three representatives from each
	program.
	[(b)     The executive commissioner shall designate one member
	to serve as presiding officer for a term of two years.
	[(c)     The committee shall meet at the call of the presiding
	officer.
	[(d)     The committee shall review and provide recommendations
	to the commission regarding health benefits and coverages provided
	under Medicaid, the child health plan program, and any other
	income-based health care program administered by the commission or
	a health and human services agency. In performing its duties under
	this subsection, the committee must:
	[(1)     review benefits provided under each of the
	programs; and
	[(2)     review procedures for addressing high
	utilization of benefits by recipients.
	[(e)     The commission shall provide administrative support
	and resources as necessary for the committee to perform its duties
	under this section.
	[(f)  Section 2110.008 does not apply to the committee.
	[(g)  In performing the duties under this section, the]
	commission may design and implement a program to improve and
	monitor clinical and functional outcomes of a recipient of services
	under Medicaid or the state child health plan program. The program
	may use financial, clinical, and other criteria based on pharmacy,
	medical services, and other claims data related to Medicaid or the
	child health plan program. [The commission must report to the
	committee on the fiscal impact, including any savings associated
	with the strategies utilized under this section.]
	SECTION 2.08.  (a)  Section 531.0691, Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is redesignated as Section 531.0735, Government Code, to read
	as follows:
	Sec. 531.0735 [531.0691].  MEDICAID DRUG UTILIZATION REVIEW
	PROGRAM:  DRUG USE REVIEWS AND ANNUAL REPORT. (a)  In this section:
	(1)  "Medicaid Drug Utilization Review Program" means
	the program operated by the vendor drug program to improve the
	quality of pharmaceutical care under Medicaid.
	(2)  "Prospective drug use review" means the review of
	a patient's drug therapy and prescription drug order or medication
	order before dispensing or distributing a drug to the patient.
	(3)  "Retrospective drug use review" means the review
	of prescription drug claims data to identify patterns of
	prescribing.
	(b)  The commission shall provide for an increase in the
	number and types of retrospective drug use reviews performed each
	year under the Medicaid Drug Utilization Review Program, in
	comparison to the number and types of reviews performed in the state
	fiscal year ending August 31, 2009.
	(c)  In determining the number and types of drug use reviews
	to be performed, the commission shall:
	(1)  allow for the repeat of retrospective drug use
	reviews that address ongoing drug therapy problems and that, in
	previous years, improved client outcomes and reduced Medicaid
	spending;
	(2)  consider implementing disease-specific
	retrospective drug use reviews that address ongoing drug therapy
	problems in this state and that reduced Medicaid prescription drug
	use expenditures in other states; and
	(3)  regularly examine Medicaid prescription drug
	claims data to identify occurrences of potential drug therapy
	problems that may be addressed by repeating successful
	retrospective drug use reviews performed in this state and other
	states.
	(d)  In addition to any other information required by federal
	law, the commission shall include the following information in the
	annual report regarding the Medicaid Drug Utilization Review
	Program:
	(1)  a detailed description of the program's
	activities; and
	(2)  estimates of cost savings anticipated to result
	from the program's performance of prospective and retrospective
	drug use reviews.
	(e)  The cost-saving estimates for prospective drug use
	reviews under Subsection (d) must include savings attributed to
	drug use reviews performed through the vendor drug program's
	electronic claims processing system and clinical edits screened
	through the prior authorization system implemented under Section
	531.073.
	(f)  The commission shall post the annual report regarding
	the Medicaid Drug Utilization Review Program on the commission's
	website.
	(b)  Subchapter B, Chapter 531, Government Code, is amended
	by adding Section 531.0736 to read as follows:
	Sec. 531.0736.  DRUG UTILIZATION REVIEW BOARD.  (a)  In this
	section, "board" means the Drug Utilization Review Board.
	(b)  In addition to performing any other duties required by
	federal law, the board shall:
	(1)  develop and submit to the commission
	recommendations for preferred drug lists adopted by the commission
	under Section 531.072;
	(2)  suggest to the commission restrictions or clinical
	edits on prescription drugs;
	(3)  recommend to the commission educational
	interventions for Medicaid providers;
	(4)  review drug utilization across Medicaid; and
	(5)  perform other duties that may be specified by law
	and otherwise make recommendations to the commission.
	(c)  The executive commissioner shall determine the
	composition of the board, which must:
	(1)  comply with applicable federal law, including 42
	C.F.R. Section 456.716;
	(2)  include two representatives of managed care
	organizations as nonvoting members, one of whom must be a physician
	and one of whom must be a pharmacist;
	(3)  include at least 17 physicians and pharmacists
	who:
	(A)  provide services across the entire
	population of Medicaid recipients and represent different
	specialties, including at least one of each of the following types
	of physicians:
	(i)  a pediatrician;
	(ii)  a primary care physician;
	(iii)  an obstetrician and gynecologist;
	(iv)  a child and adolescent psychiatrist;
	and
	(v)  an adult psychiatrist; and
	(B)  have experience in either developing or
	practicing under a preferred drug list; and
	(4)  include a consumer advocate who represents
	Medicaid recipients.
	(c-1)  The executive commissioner by rule shall develop and
	implement a process by which a person may apply to become a member
	of the board and shall post the application and information
	regarding the application process on the commission's Internet
	website.
	(d)  Members appointed under Subsection (c)(2) may attend
	quarterly and other regularly scheduled meetings, but may not:
	(1)  attend executive sessions; or
	(2)  access confidential drug pricing information.
	(e)  Members of the board serve staggered four-year terms.
	(f)  The voting members of the board shall elect from among
	the voting members a presiding officer.  The presiding officer must
	be a physician.
	(g)  The board shall hold a public meeting quarterly at the
	call of the presiding officer and shall permit public comment
	before voting on any changes in the preferred drug lists, the
	adoption of or changes to drug use criteria, or the adoption of
	prior authorization or drug utilization review proposals.  The
	board shall hold public meetings at other times at the call of the
	presiding officer.  Minutes of each meeting shall be made available
	to the public not later than the 10th business day after the date
	the minutes are approved.  The board may meet in executive session
	to discuss confidential information as described by Subsection (i).
	(h)  In developing its recommendations for the preferred
	drug lists, the board shall consider the clinical efficacy, safety,
	and cost-effectiveness of and any program benefit associated with a
	product.
	(i)  The executive commissioner shall adopt rules governing
	the operation of the board, including rules governing the
	procedures used by the board for providing notice of a meeting and
	rules prohibiting the board from discussing confidential
	information described by Section 531.071 in a public meeting.  The
	board shall comply with the rules adopted under this subsection and
	Subsection (j).
	(j)  In addition to the rules under Subsection (i), the
	executive commissioner by rule shall require the board or the
	board's designee to present a summary of any clinical efficacy and
	safety information or analyses regarding a drug under consideration
	for a preferred drug list that is provided to the board by a private
	entity that has contracted with the commission to provide the
	information.  The board or the board's designee shall provide the
	summary in electronic form before the public meeting at which
	consideration of the drug occurs.  Confidential information
	described by Section 531.071 must be omitted from the summary.  The
	summary must be posted on the commission's Internet website.
	(k)  To the extent feasible, the board shall review all drug
	classes included in the preferred drug lists adopted under Section
	531.072 at least once every 12 months and may recommend inclusions
	to and exclusions from the lists to ensure that the lists provide
	for a range of clinically effective, safe, cost-effective, and
	medically appropriate drug therapies for the diverse segments of
	the Medicaid population, children receiving health benefits
	coverage under the child health plan program, and any other
	affected individuals.
	(l)  The commission shall provide administrative support and
	resources as necessary for the board to perform its duties.
	(m)  Chapter 2110 does not apply to the board.
	(n)  The commission or the commission's agent shall publicly
	disclose, immediately after the board's deliberations conclude,
	each specific drug recommended for or against preferred drug list
	status for each drug class included in the preferred drug list for
	the Medicaid vendor drug program.  The disclosure must be posted on
	the commission's Internet website not later than the 10th business
	day after the date of conclusion of board deliberations that result
	in recommendations made to the executive commissioner regarding the
	placement of drugs on the preferred drug list.  The public
	disclosure must include:
	(1)  the general basis for the recommendation for each
	drug class; and
	(2)  for each recommendation, whether a supplemental
	rebate agreement or a program benefit agreement was reached under
	Section 531.070.
	(c)  Section 531.0692, Government Code, is redesignated as
	Section 531.0737, Government Code, and amended to read as follows:
	Sec. 531.0737 [531.0692].  [MEDICAID] DRUG UTILIZATION
	REVIEW BOARD:  CONFLICTS OF INTEREST. (a)  A voting member of the
	[board of the Medicaid] Drug Utilization Review Board [Program] may
	not have a contractual relationship, ownership interest, or other
	conflict of interest with a pharmaceutical manufacturer or labeler
	or with an entity engaged by the commission to assist in the
	development of the preferred drug lists or in the administration of
	the Medicaid Drug Utilization Review Program.
	(b)  The executive commissioner may implement this section
	by adopting rules that identify prohibited relationships and
	conflicts or requiring the board to develop a conflict-of-interest
	policy that applies to the board.
	(d)  Sections 531.072(c) and (e), Government Code, are
	amended to read as follows:
	(c)  In making a decision regarding the placement of a drug
	on each of the preferred drug lists, the commission shall consider:
	(1)  the recommendations of the Drug Utilization Review
	Board [Pharmaceutical and Therapeutics Committee established]
	under Section 531.0736 [531.074];
	(2)  the clinical efficacy of the drug;
	(3)  the price of competing drugs after deducting any
	federal and state rebate amounts; and
	(4)  program benefit offerings solely or in conjunction
	with rebates and other pricing information.
	(e)  In this subsection, "labeler" and "manufacturer" have
	the meanings assigned by Section 531.070. The commission shall
	ensure that:
	(1)  a manufacturer or labeler may submit written
	evidence supporting the inclusion of a drug on the preferred drug
	lists before a supplemental agreement is reached with the
	commission; and
	(2)  any drug that has been approved or has had any of
	its particular uses approved by the United States Food and Drug
	Administration under a priority review classification will be
	reviewed by the Drug Utilization Review Board [Pharmaceutical and
	Therapeutics Committee] at the next regularly scheduled meeting of
	the board [committee]. On receiving notice from a manufacturer or
	labeler of the availability of a new product, the commission, to the
	extent possible, shall schedule a review for the product at the next
	regularly scheduled meeting of the board [committee].
	(e)  Section 531.073(b), Government Code, is amended to read
	as follows:
	(b)  The commission shall establish procedures for the prior
	authorization requirement under the Medicaid vendor drug program to
	ensure that the requirements of 42 U.S.C. Section 1396r-8(d)(5) and
	its subsequent amendments are met. Specifically, the procedures
	must ensure that:
	(1)  a prior authorization requirement is not imposed
	for a drug before the drug has been considered at a meeting of the
	Drug Utilization Review Board [Pharmaceutical and Therapeutics
	Committee established] under Section 531.0736 [531.074];
	(2)  there will be a response to a request for prior
	authorization by telephone or other telecommunications device
	within 24 hours after receipt of a request for prior authorization;
	and
	(3)  a 72-hour supply of the drug prescribed will be
	provided in an emergency or if the commission does not provide a
	response within the time required by Subdivision (2).
	(f)  Section 531.0741, Government Code, is amended to read as
	follows:
	Sec. 531.0741.  PUBLICATION OF INFORMATION REGARDING
	COMMISSION DECISIONS ON PREFERRED DRUG LIST PLACEMENT. The
	commission shall publish on the commission's Internet website any
	decisions on preferred drug list placement, including:
	(1)  a list of drugs reviewed and the commission's
	decision for or against placement on a preferred drug list of each
	drug reviewed;
	(2)  for each recommendation, whether a supplemental
	rebate agreement or a program benefit agreement was reached under
	Section 531.070; and
	(3)  the rationale for any departure from a
	recommendation of the Drug Utilization Review Board
	[pharmaceutical and therapeutics committee established] under
	Section 531.0736 [531.074].
	(g)  Section 531.074, Government Code, as amended by S.B.
	219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	(h)  The term of a member serving on the Medicaid Drug
	Utilization Review Board on January 1, 2016, expires on February
	29, 2016. Not later than March 1, 2016, the executive commissioner
	of the Health and Human Services Commission shall appoint the
	initial members to the Drug Utilization Review Board in accordance
	with Section 531.0736, Government Code, as added by this article,
	for terms beginning March 1, 2016. In making the initial
	appointments and notwithstanding Section 531.0736(e), Government
	Code, as added by this article, the executive commissioner shall
	designate as close to one-half as possible of the members to serve
	for terms expiring March 1, 2018, and the remaining members to serve
	for terms expiring March 1, 2020.
	(i)  Not later than February 1, 2016, and before making
	initial appointments to the Drug Utilization Review Board as
	provided by Subsection (h) of this section, the executive
	commissioner of the Health and Human Services Commission shall
	adopt and implement the application process required under Section
	531.0736(c-1), Government Code, as added by this article.
	(j)  Not later than May 1, 2016, and except as provided by
	Subsection (i) of this section, the executive commissioner of the
	Health and Human Services Commission shall adopt or amend rules as
	necessary to reflect the changes in law made to the Drug Utilization
	Review Board under Section 531.0736, Government Code, as added by
	this article, including rules that reflect the changes to the
	board's functions and composition.
	SECTION 2.09.  The heading to Subchapter D, Chapter 531,
	Government Code, is amended to read as follows:
	SUBCHAPTER D.  PLAN TO SUPPORT GUARDIANSHIPS [GUARDIANSHIP ADVISORY
	BOARD]
	SECTION 2.10.  Section 531.124, Government Code, is amended
	to read as follows:
	Sec. 531.124.  COMMISSION DUTIES.  The [(a)     With the advice
	of the advisory board, the] commission shall develop and, subject
	to appropriations, implement a plan to:
	(1)  ensure that each incapacitated individual in this
	state who needs a guardianship or another less restrictive type of
	assistance to make decisions concerning the incapacitated
	individual's own welfare and financial affairs receives that
	assistance; and
	(2)  foster the establishment and growth of local
	volunteer guardianship programs.
	[(b)     The advisory board shall biennially review and comment
	on the minimum standards adopted under Section 111.041 and the plan
	implemented under Subsection (a) and shall include its conclusions
	in the report submitted under Section 531.1235.]
	SECTION 2.11.  Section 531.907(a), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(a)  Based on [the recommendations of the advisory committee
	established under Section 531.904 and] feedback provided by
	interested parties, the commission in stage two of implementing the
	health information exchange system may expand the system by:
	(1)  providing an electronic health record for each
	child enrolled in the child health plan program;
	(2)  including state laboratory results information in
	an electronic health record, including the results of newborn
	screenings and tests conducted under the Texas Health Steps
	program, based on the system developed for the health passport
	under Section 266.006, Family Code;
	(3)  improving data-gathering capabilities for an
	electronic health record so that the record may include basic
	health and clinical information in addition to available claims
	information, as determined by the executive commissioner;
	(4)  using evidence-based technology tools to create a
	unique health profile to alert health care providers regarding the
	need for additional care, education, counseling, or health
	management activities for specific patients; and
	(5)  continuing to enhance the electronic health record
	created for each Medicaid recipient as technology becomes available
	and interoperability capabilities improve.
	SECTION 2.12.  Section 531.909, Government Code, is amended
	to read as follows:
	Sec. 531.909.  INCENTIVES. The commission [and the advisory
	committee established under Section 531.904] shall develop
	strategies to encourage health care providers to use the health
	information exchange system, including incentives, education, and
	outreach tools to increase usage.
	SECTION 2.13.  Section 533.00251(c), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(c)  Subject to Section 533.0025 and notwithstanding any
	other law, the commission[, in consultation with the advisory
	committee,] shall provide benefits under Medicaid to recipients who
	reside in nursing facilities through the STAR + PLUS Medicaid
	managed care program.  In implementing this subsection, the
	commission shall ensure:
	(1)  that the commission is responsible for setting the
	minimum reimbursement rate paid to a nursing facility under the
	managed care program, including the staff rate enhancement paid to
	a nursing facility that qualifies for the enhancement;
	(2)  that a nursing facility is paid not later than the
	10th day after the date the facility submits a clean claim;
	(3)  the appropriate utilization of services
	consistent with criteria established by the commission;
	(4)  a reduction in the incidence of potentially
	preventable events and unnecessary institutionalizations;
	(5)  that a managed care organization providing
	services under the managed care program provides discharge
	planning, transitional care, and other education programs to
	physicians and hospitals regarding all available long-term care
	settings;
	(6)  that a managed care organization providing
	services under the managed care program:
	(A)  assists in collecting applied income from
	recipients; and
	(B)  provides payment incentives to nursing
	facility providers that reward reductions in preventable acute care
	costs and encourage transformative efforts in the delivery of
	nursing facility services, including efforts to promote a
	resident-centered care culture through facility design and
	services provided;
	(7)  the establishment of a portal that is in
	compliance with state and federal regulations, including standard
	coding requirements, through which nursing facility providers
	participating in the STAR + PLUS Medicaid managed care program may
	submit claims to any participating managed care organization;
	(8)  that rules and procedures relating to the
	certification and decertification of nursing facility beds under
	Medicaid are not affected; and
	(9)  that a managed care organization providing
	services under the managed care program, to the greatest extent
	possible, offers nursing facility providers access to:
	(A)  acute care professionals; and
	(B)  telemedicine, when feasible and in
	accordance with state law, including rules adopted by the Texas
	Medical Board.
	SECTION 2.14.  Section 533.00253, Government Code, is
	amended by amending Subsection (b), as amended by S.B. 219, Acts of
	the 84th Legislature, Regular Session, 2015, and Subsection (f) to
	read as follows:
	(b)  Subject to Section 533.0025, the commission shall, in
	consultation with the [advisory committee and the] Children's
	Policy Council established under Section 22.035, Human Resources
	Code, establish a mandatory STAR Kids capitated managed care
	program tailored to provide Medicaid benefits to children with
	disabilities.  The managed care program developed under this
	section must:
	(1)  provide Medicaid benefits that are customized to
	meet the health care needs of recipients under the program through a
	defined system of care;
	(2)  better coordinate care of recipients under the
	program;
	(3)  improve the health outcomes of recipients;
	(4)  improve recipients' access to health care
	services;
	(5)  achieve cost containment and cost efficiency;
	(6)  reduce the administrative complexity of
	delivering Medicaid benefits;
	(7)  reduce the incidence of unnecessary
	institutionalizations and potentially preventable events by
	ensuring the availability of appropriate services and care
	management;
	(8)  require a health home; and
	(9)  coordinate and collaborate with long-term care
	service providers and long-term care management providers, if
	recipients are receiving long-term services and supports outside of
	the managed care organization.
	(f)  The commission shall seek ongoing input from the
	Children's Policy Council regarding the establishment and
	implementation of the STAR Kids managed care program. This
	subsection expires on the date the Children's Policy Council is
	abolished under Section 22.035(n), Human Resources Code.
	SECTION 2.15.  Section 533.00254(f), Government Code, is
	amended to read as follows:
	(f)  On the first anniversary of the date the commission
	completes implementation of the STAR Kids Medicaid managed care
	program under Section 533.00253 [September 1, 2016]:
	(1)  the advisory committee is abolished; and
	(2)  this section expires.
	SECTION 2.16.  Section 533.00256(a), Government Code, is
	amended to read as follows:
	(a)  In consultation with [the Medicaid and CHIP
	Quality-Based Payment Advisory Committee established under Section
	536.002 and other] appropriate stakeholders with an interest in the
	provision of acute care services and long-term services and
	supports under the Medicaid managed care program, the commission
	shall:
	(1)  establish a clinical improvement program to
	identify goals designed to improve quality of care and care
	management and to reduce potentially preventable events, as defined
	by Section 536.001; and
	(2)  require managed care organizations to develop and
	implement collaborative program improvement strategies to address
	the goals.
	SECTION 2.17.  Section 534.053(g), Government Code, is
	amended to read as follows:
	(g)  On the one-year anniversary of the date the commission
	completes implementation of the transition required under Section
	534.202 [January 1, 2024]:
	(1)  the advisory committee is abolished; and
	(2)  this section expires.
	SECTION 2.18.  Section 535.053, Government Code, is amended
	by amending Subsection (a) and adding Subsection (a-1) to read as
	follows:
	(a)  The interagency coordinating group for faith- and
	community-based initiatives is composed of each faith- and
	community-based liaison designated under Section 535.051 and a
	liaison from the State Commission on National and Community
	Service.  [The commission shall provide administrative support to
	the interagency coordinating group.]
	(a-1)  Service on the interagency coordinating group is an
	additional duty of the office or position held by each person
	designated as a liaison under Section 531.051(b). The state
	agencies described by Section 535.051(b) shall provide
	administrative support for the interagency coordinating group as
	coordinated by the presiding officer.
	SECTION 2.19.  Sections 535.055(a) and (b), Government Code,
	are amended to read as follows:
	(a)  The Texas Nonprofit Council is established to help
	direct the interagency coordinating group in carrying out the
	group's duties under this section.  The state agencies of the
	interagency coordinating group described by Section 531.051(b)
	[commission] shall provide administrative support to the council as
	coordinated by the presiding officer of the interagency
	coordinating group.
	(b)  The governor [executive commissioner], in consultation
	with the presiding officer of the interagency coordinating group,
	shall appoint as members of the council two representatives from
	each of the following groups and entities to represent each group's
	and entity's appropriate sector:
	(1)  statewide nonprofit organizations;
	(2)  local governments;
	(3)  faith-based groups, at least one of which must be a
	statewide interfaith group;
	(4)  community-based groups;
	(5)  consultants to nonprofit corporations; and
	(6)  statewide associations of nonprofit
	organizations.
	SECTION 2.20.  Section 535.104(a), Government Code, is
	amended to read as follows:
	(a)  The commission shall:
	(1)  contract with the State Commission on National and
	Community Service to administer funds appropriated from the account
	in a manner that:
	(A)  consolidates the capacity of and strengthens
	national service and community and faith- and community-based
	initiatives; and
	(B)  leverages public and private funds to benefit
	this state;
	(2)  develop a competitive process to be used in
	awarding grants from account funds that is consistent with state
	law and includes objective selection criteria;
	(3)  oversee the delivery of training and other
	assistance activities under this subchapter;
	(4)  develop criteria limiting awards of grants under
	Section 535.105(1)(A) to small and medium-sized faith- and
	community-based organizations that provide charitable services to
	persons in this state;
	(5)  establish general state priorities for the
	account;
	(6)  establish and monitor performance and outcome
	measures for persons to whom grants are awarded under this
	subchapter; and
	(7)  establish policies and procedures to ensure that
	any money appropriated from the account to the commission that is
	allocated to build the capacity of a faith-based organization or
	for a faith-based initiative[, including money allocated for the
	establishment of the advisory committee under Section 535.108,] is
	not used to advance a sectarian purpose or to engage in any form of
	proselytization.
	SECTION 2.21.  Section 536.001(20), Government Code, is
	amended to read as follows:
	(20)  "Potentially preventable readmission" means a
	return hospitalization of a person within a period specified by the
	commission that may have resulted from deficiencies in the care or
	treatment provided to the person during a previous hospital stay or
	from deficiencies in post-hospital discharge follow-up.  The term
	does not include a hospital readmission necessitated by the
	occurrence of unrelated events after the discharge.  The term
	includes the readmission of a person to a hospital for:
	(A)  the same condition or procedure for which the
	person was previously admitted;
	(B)  an infection or other complication resulting
	from care previously provided;
	(C)  a condition or procedure that indicates that
	a surgical intervention performed during a previous admission was
	unsuccessful in achieving the anticipated outcome; or
	(D)  another condition or procedure of a similar
	nature, as determined by the executive commissioner [after
	consulting with the advisory committee].
	SECTION 2.22.  Section 536.003(a), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(a)  The commission[, in consultation with the advisory
	committee,] shall develop quality-based outcome and process
	measures that promote the provision of efficient, quality health
	care and that can be used in the child health plan program and
	Medicaid to implement quality-based payments for acute care
	services and long-term services and supports across all delivery
	models and payment systems, including fee-for-service and managed
	care payment systems.  Subject to Subsection (a-1), the commission,
	in developing outcome and process measures under this section, must
	include measures that are based on potentially preventable events
	and that advance quality improvement and innovation.  The
	commission may change measures developed:
	(1)  to promote continuous system reform, improved
	quality, and reduced costs; and
	(2)  to account for managed care organizations added to
	a service area.
	SECTION 2.23.  Section 536.004(a), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(a)  Using quality-based outcome and process measures
	developed under Section 536.003 and subject to this section, the
	commission, after consulting with [the advisory committee and
	other] appropriate stakeholders with an interest in the provision
	of acute care and long-term services and supports under the child
	health plan program and Medicaid, shall develop quality-based
	payment systems, and require managed care organizations to develop
	quality-based payment systems, for compensating a physician or
	other health care provider participating in the child health plan
	program or Medicaid that:
	(1)  align payment incentives with high-quality,
	cost-effective health care;
	(2)  reward the use of evidence-based best practices;
	(3)  promote the coordination of health care;
	(4)  encourage appropriate physician and other health
	care provider collaboration;
	(5)  promote effective health care delivery models; and
	(6)  take into account the specific needs of the child
	health plan program enrollee and Medicaid recipient populations.
	SECTION 2.24.  Section 536.006(a), Government Code, is
	amended to read as follows:
	(a)  The commission [and the advisory committee] shall:
	(1)  ensure transparency in the development and
	establishment of:
	(A)  quality-based payment and reimbursement
	systems under Section 536.004 and Subchapters B, C, and D,
	including the development of outcome and process measures under
	Section 536.003; and
	(B)  quality-based payment initiatives under
	Subchapter E, including the development of quality of care and
	cost-efficiency benchmarks under Section 536.204(a) and efficiency
	performance standards under Section 536.204(b);
	(2)  develop guidelines establishing procedures for
	providing notice and information to, and receiving input from,
	managed care organizations, health care providers, including
	physicians and experts in the various medical specialty fields, and
	other stakeholders, as appropriate, for purposes of developing and
	establishing the quality-based payment and reimbursement systems
	and initiatives described under Subdivision (1);
	(3)  in developing and establishing the quality-based
	payment and reimbursement systems and initiatives described under
	Subdivision (1), consider that as the performance of a managed care
	organization or physician or other health care provider improves
	with respect to an outcome or process measure, quality of care and
	cost-efficiency benchmark, or efficiency performance standard, as
	applicable, there will be a diminishing rate of improved
	performance over time; and
	(4)  develop web-based capability to provide managed
	care organizations and health care providers with data on their
	clinical and utilization performance, including comparisons to
	peer organizations and providers located in this state and in the
	provider's respective region.
	SECTION 2.25.  Section 536.052(b), Government Code, is
	amended to read as follows:
	(b)  The commission[, after consulting with the advisory
	committee,] shall develop quality of care and cost-efficiency
	benchmarks, including benchmarks based on a managed care
	organization's performance with respect to reducing potentially
	preventable events and containing the growth rate of health care
	costs.
	SECTION 2.26.  Section 536.102(a), Government Code, is
	amended to read as follows:
	(a)  Subject to this subchapter, the commission[, after
	consulting with the advisory committee,] may develop and implement
	quality-based payment systems for health homes designed to improve
	quality of care and reduce the provision of unnecessary medical
	services.  A quality-based payment system developed under this
	section must:
	(1)  base payments made to a participating enrollee's
	health home on quality and efficiency measures that may include
	measurable wellness and prevention criteria and use of
	evidence-based best practices, sharing a portion of any realized
	cost savings achieved by the health home, and ensuring quality of
	care outcomes, including a reduction in potentially preventable
	events; and
	(2)  allow for the examination of measurable wellness
	and prevention criteria, use of evidence-based best practices, and
	quality of care outcomes based on the type of primary or specialty
	care provider practice.
	SECTION 2.27.  Section 536.152(a), Government Code, is
	amended to read as follows:
	(a)  Subject to Subsection (b), using the data collected
	under Section 536.151 and the diagnosis-related groups (DRG)
	methodology implemented under Section 536.005, if applicable, the
	commission[, after consulting with the advisory committee,] shall
	to the extent feasible adjust child health plan and Medicaid
	reimbursements to hospitals, including payments made under the
	disproportionate share hospitals and upper payment limit
	supplemental payment programs, based on the hospital's performance
	with respect to exceeding, or failing to achieve, outcome and
	process measures developed under Section 536.003 that address the
	rates of potentially preventable readmissions and potentially
	preventable complications.
	SECTION 2.28.  Section 536.202(a), Government Code, is
	amended to read as follows:
	(a)  The commission shall[, after consulting with the
	advisory committee,] establish payment initiatives to test the
	effectiveness of quality-based payment systems, alternative
	payment methodologies, and high-quality, cost-effective health
	care delivery models that provide incentives to physicians and
	other health care providers to develop health care interventions
	for child health plan program enrollees or Medicaid recipients, or
	both, that will:
	(1)  improve the quality of health care provided to the
	enrollees or recipients;
	(2)  reduce potentially preventable events;
	(3)  promote prevention and wellness;
	(4)  increase the use of evidence-based best practices;
	(5)  increase appropriate physician and other health
	care provider collaboration;
	(6)  contain costs; and
	(7)  improve integration of acute care services and
	long-term services and supports, including discharge planning from
	acute care services to community-based long-term services and
	supports.
	SECTION 2.29.  Section 536.204(a), Government Code, is
	amended to read as follows:
	(a)  The executive commissioner shall[:
	[(1)  consult with the advisory committee to] develop
	quality of care and cost-efficiency benchmarks and measurable goals
	that a payment initiative must meet to ensure high-quality and
	cost-effective health care services and healthy outcomes[; and
	[(2)     approve benchmarks and goals developed as
	provided by Subdivision (1)].
	SECTION 2.30.  Section 536.251(a), Government Code, is
	amended to read as follows:
	(a)  Subject to this subchapter, the commission, after
	consulting with [the advisory committee and other] appropriate
	stakeholders representing nursing facility providers with an
	interest in the provision of long-term services and supports, may
	develop and implement quality-based payment systems for Medicaid
	long-term services and supports providers designed to improve
	quality of care and reduce the provision of unnecessary services.  A
	quality-based payment system developed under this section must base
	payments to providers on quality and efficiency measures that may
	include measurable wellness and prevention criteria and use of
	evidence-based best practices, sharing a portion of any realized
	cost savings achieved by the provider, and ensuring quality of care
	outcomes, including a reduction in potentially preventable events.
	SECTION 2.31.  Section 538.052(a), Government Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(a)  Subject to Subsection (b), the commission shall solicit
	and accept suggestions for clinical initiatives, in either written
	or electronic form, from:
	(1)  a member of the state legislature;
	(2)  the executive commissioner;
	(3)  the commissioner of aging and disability services;
	(4)  the commissioner of state health services;
	(5)  the commissioner of the Department of Family and
	Protective Services;
	(6)  the commissioner of assistive and rehabilitative
	services;
	(7)  the medical care advisory committee established
	under Section 32.022, Human Resources Code; and
	(8)  the physician payment advisory committee created
	under Section 32.022(d), Human Resources Code[; and
	[(9)     the Electronic Health Information Exchange
	System Advisory Committee established under Section 531.904].
	SECTION 2.32.  Sections 1002.060(c) and (e), Health and
	Safety Code, are amended to read as follows:
	(c)  The commission, department, or institute or an officer
	or employee of the commission, department, or institute[, including
	a board member,] may not disclose any information that is
	confidential under this section.
	(e)  An officer or employee of the commission, department, or
	institute[, including a board member,] may not be examined in a
	civil, criminal, special, administrative, or other proceeding as to
	information that is confidential under this section.
	SECTION 2.33.  Section 1002.061, Health and Safety Code, is
	amended by amending Subsection (c) and adding Subsection (c-1) to
	read as follows:
	(c)  Except as otherwise provided by law, each of the
	following state agencies or systems [agency represented on the
	board as a nonvoting member] shall provide funds to support the
	institute and implement this chapter:
	(1)  the department;
	(2)  the commission;
	(3)  the Texas Department of Insurance;
	(4)  the Employees Retirement System of Texas;
	(5)  the Teacher Retirement System of Texas;
	(6)  the Texas Medical Board;
	(7)  the Department of Aging and Disability Services;
	(8)  the Texas Workforce Commission;
	(9)  the Texas Higher Education Coordinating Board; and
	(10)  each state agency or system of higher education
	that purchases or provides health care services, as determined by
	the governor.
	(c-1)  The commission shall establish a funding formula to
	determine the level of support each state agency or system listed in
	Subsection (c) is required to provide.
	SECTION 2.34.  Section 22.035, Human Resources Code, is
	amended by adding Subsection (n) to read as follows:
	(n)  The work group is abolished and this section expires
	September 1, 2017.
	SECTION 2.35.  (a)  Section 32.022(b), Human Resources
	Code, as amended by S.B. 219, Acts of the 84th Legislature, Regular
	Session, 2015, is amended to read as follows:
	(b)  The executive commissioner shall appoint the committee
	in compliance with the requirements of the federal agency
	administering medical assistance. The appointments shall:
	(1)  provide for a balanced representation of the
	general public, providers, consumers, and other persons, state
	agencies, or groups with knowledge of and interest in the
	committee's field of work; and
	(2)  include one member who is the representative of a
	managed care organization.
	(b)  Not later than January 1, 2016, the executive
	commissioner of the Health and Human Services Commission shall
	appoint an additional member to the medical care advisory committee
	in accordance with Section 32.022(b)(2), Human Resources Code, as
	added by this article.
	SECTION 2.36.  Section 32.0641(a), Human Resources Code, as
	amended by S.B. 219, Acts of the 84th Legislature, Regular Session,
	2015, is amended to read as follows:
	(a)  To the extent permitted under and in a manner that is
	consistent with Title XIX, Social Security Act (42 U.S.C. Section
	1396 et seq.) and any other applicable law or regulation or under a
	federal waiver or other authorization, the executive commissioner
	shall adopt[, after consulting with the Medicaid and CHIP
	Quality-Based Payment Advisory Committee established under Section
	536.002, Government Code,] cost-sharing provisions that encourage
	personal accountability and appropriate utilization of health care
	services, including a cost-sharing provision applicable to a
	recipient who chooses to receive a nonemergency medical service
	through a hospital emergency room.
	SECTION 2.37.  Section 1352.004(b), Insurance Code, is
	amended to read as follows:
	(b)  The commissioner by rule shall require a health benefit
	plan issuer to provide adequate training to personnel responsible
	for preauthorization of coverage or utilization review under the
	plan.  The purpose of the training is to prevent denial of coverage
	in violation of Section 1352.003 and to avoid confusion of medical
	benefits with mental health benefits.  The commissioner[, in
	consultation with the Texas Traumatic Brain Injury Advisory
	Council,] shall prescribe by rule the basic requirements for the
	training described by this subsection.
	SECTION 2.38.  Section 1352.005(b), Insurance Code, is
	amended to read as follows:
	(b)  The commissioner[, in consultation with the Texas
	Traumatic Brain Injury Advisory Council,] shall prescribe by rule
	the specific contents and wording of the notice required under this
	section.
	SECTION 2.39.  (a)  The following provisions of the
	Government Code, including provisions amended by S.B. 219, Acts of
	the 84th Legislature, Regular Session, 2015, are repealed:
	(1)  Section 531.0217(j);
	(2)  Section 531.02172;
	(3)  Section 531.02173(c);
	(4)  Section 531.052;
	(5)  Section 531.0571;
	(6)  Section 531.068;
	(7)  Sections 531.121(1), (5), and (6);
	(8)  Section 531.122;
	(9)  Section 531.123;
	(10)  Section 531.1235;
	(11)  Section 531.251;
	(12)  Subchapters R and T, Chapter 531;
	(13)  Section 531.904;
	(14)  Section 533.00251(a)(1);
	(15)  Section 533.00252;
	(16)  Sections 533.00255(e) and (f);
	(17)  Section 533.00285;
	(18)  Subchapters B and C, Chapter 533;
	(19)  Section 535.055(f);
	(20)  Section 535.108;
	(21)  Section 536.001(1);
	(22)  the heading to Section 536.002;
	(23)  Sections 536.002(a) and (c);
	(24)  Section 536.002(b), as amended by Article 1 of
	this Act; and
	(25)  Section 536.007(b).
	(b)  The following provisions of the Health and Safety Code,
	including provisions amended by S.B. 219, Acts of the 84th
	Legislature, Regular Session, 2015, are repealed:
	(1)  Subchapter C, Chapter 32;
	(2)  Section 62.151(e);
	(3)  Section 62.1571(c);
	(4)  Section 81.010;
	(5)  Section 92.011;
	(6)  Subchapter B, Chapter 92;
	(7)  Chapter 115;
	(8)  Section 1002.001(1);
	(9)  Section 1002.051;
	(10)  Section 1002.052;
	(11)  Section 1002.053;
	(12)  Section 1002.055;
	(13)  Section 1002.056;
	(14)  Section 1002.057;
	(15)  Section 1002.058; and
	(16)  Section 1002.059.
	(c)  Section 32.022(e), Human Resources Code, as amended by
	S.B. 219, Acts of the 84th Legislature, Regular Session, 2015, is
	repealed.
	SECTION 2.40.  On the effective date of this article, the
	following advisory committees are abolished:
	(1)  the advisory committee on Medicaid and child
	health plan program rate and expenditure disparities;
	(2)  the Advisory Committee on Qualifications for
	Health Care Translators and Interpreters;
	(3)  the Behavioral Health Integration Advisory
	Committee;
	(4)  the Consumer Direction Work Group;
	(5)  the Council on Children and Families;
	(6)  the Electronic Health Information Exchange System
	Advisory Committee;
	(7)  the Guardianship Advisory Board;
	(8)  the hospital payment advisory committee;
	(9)  the Interagency Coordinating Council for HIV and
	Hepatitis;
	(10)  the Medicaid and CHIP Quality-Based Payment
	Advisory Committee;
	(11)  each Medicaid managed care advisory committee
	appointed for a health care service region under Subchapter B,
	Chapter 533, Government Code;
	(12)  the Public Assistance Health Benefit Review and
	Design Committee;
	(13)  the renewing our communities account advisory
	committee;
	(14)  the STAR + PLUS Nursing Facility Advisory
	Committee;
	(15)  the STAR + PLUS Quality Council;
	(16)  the state Medicaid managed care advisory
	committee;
	(17)  the task force on domestic violence;
	(18)  the Interagency Task Force for Children With
	Special Needs;
	(19)  the telemedicine and telehealth advisory
	committee;
	(20)  the board of directors of the Texas Institute of
	Health Care Quality and Efficiency;
	(21)  the Texas System of Care Consortium;
	(22)  the Texas Traumatic Brain Injury Advisory
	Council; and
	(23)  the volunteer advocate program advisory
	committee.
	SECTION 2.41.  (a)  Not later than November 1, 2015, the
	executive commissioner of the Health and Human Services Commission
	shall publish in the Texas Register:
	(1)  a list of the new advisory committees established
	or to be established as a result of this article, including the
	advisory committees required under Section 531.012(a), Government
	Code, as amended by this article; and
	(2)  a list that identifies the advisory committees
	listed in Section 2.40 of this article:
	(A)  that will not be continued in any form; or
	(B)  whose functions will be assumed by a new
	advisory committee established under Section 531.012(a),
	Government Code, as amended by this article.
	(b)  The executive commissioner of the Health and Human
	Services Commission shall ensure that an advisory committee
	established under Section 531.012(a), Government Code, as amended
	by this article, begins operations immediately on its establishment
	to ensure ongoing public input and engagement.
	(c)  This section takes effect September 1, 2015.
	SECTION 2.42.  Except as otherwise provided by this article,
	this article takes effect January 1, 2016.
	ARTICLE 3.  TRANSITION, FEDERAL AUTHORIZATION, AND GENERAL
	EFFECTIVE DATE
	SECTION 3.01.  If an entity that is abolished by this Act has
	property, records, or other assets, the Health and Human Services
	Commission shall take custody of the entity's property, records, or
	other assets.
	SECTION 3.02.  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 3.03.  Except as otherwise provided by this Act,
	this Act takes effect September 1, 2015.