The committee met to discuss Article II of HB 1, the general appropriations bill.
Chair Price discussed HB 1 not including funds to continue provider rates that were required by ACA; in order to keep those rates up it would take $500 million in GR/$1.1 billion all funds; if the legislature does not continue the increased rates, the rates paid will, for the most part, be matched at FMAP
Rep. Cindy Burkett asked how the lower rates will impact providers; Price replied that for certain Medicaid services providers could see a 40% drop in rates
Price noted it is his intention to pend all exceptional items related to salary increases and large IT contracting types of items
The committee pended all exceptional items for HHSC except for the following:
Item 1b) Medicaid Health Insurance Issuers Fee and Federal Income Tax – Adopted
Item 1d) CHIP Health Insurance Issuers Fee and Federal Income Tax – Adopted
Item 5) Maintain Defense on Children's Rights Litigation – Adopted ($500M/year)
Item 7) Security Enhancements for Regional HHS Client Delivery Facilities – Adopted
Item 9) Increase HHS Recruitment and Retention – Article XI
The committee intends to take up DARS and DFPS exceptional items on 2/24; DSHS on 2/25; DADS on 2/26.