Yesterday, the Senate Finance Subcommittee on Medicaid took up SB 23 by Nelson relating to efficiencies and cost-savings in the health and human services and other related regulatory agencies, including the state medical assistance and child health plan programs. A Committee Substitute was offered that does the following:
- Transfers children in the state kids insurance program to Children’s Health Insurance Program (CHIP)
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- Saving approximately $15.9 million
- Repeals current prohibition against Medicaid Managed Care in Cameron, Hidalgo and Maverick counties
- Saving an estimated $290 million over the biennium
- Eliminates the existing electronic finger imaging requirement for the supplemental nutritional assistance program
- Requires the Commission to implement cost-effective technology to prevent duplicative benefits
- Allows for the carve-in of prescription drugs into Medicaid Managed Care
- Saving an estimated $51 million
- Removes health opportunity pool as a beneficiary of proceeds from the adult entertainment fee
- Directs DADS to implement electronic verification technology in community care programs
- Prevents overutilization of waiver services
- Implements an objective client assessment process for acute nursing services
- Ensures wavier consumers receive their personal attendant services through a Medicaid state plan program first
- Saving approximately $28 million
An amendment to the Substitute specific to the expansion of Medicaid Managed Care in South Texas by Senator Hinojosa was offered and adopted. Health and Human Services Executive Commissioner Tom Suehs indicated there would be an estimated total savings of $1.5 billion from the SB 23 framework, depending upon rate decisions in the final bill. CSSB 23 was favorably recommended to the full Finance Committee.