HBA-DMD C.S.H.B. 3776 76(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 3776
By: Luna, Vilma
County Affairs
4/26/1999
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

On January 7, 1999, the Nueces County Hospital District (district) received
approximately $5.1 million as the initial payment from the tobacco
litigation settlement agreement. This payment represented the district's
per capita share of the $300 million payment by the tobacco defendants.
Between 2000 and 2003, the tobacco defendants will make additional annual
payments into a permanent trust account. Beginning in 2001, the district
will be entitled to a pro rata distribution from the investment earnings of
the permanent trust account. Under current law, hospital districts such as
the Nueces County Hospital District are obligated to provide medical care
to the indigent, however, there is little specific guidance on how their
funds may be spent. C.S.H.B. 3776 authorizes the district to use funds from
certain sources to fund indigent health care, public health services,
mental health and mental retardation services, other health related
purposes, emergency medical services, and health services provided to
persons confined in jail facilities. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 281, Health and Safety Code, by adding Section
281.0518, as follows: 

Sec. 281.0518. USE OF CERTAIN FUNDS BY THE NUECES COUNTY HOSPITAL DISTRICT.
Authorizes the board of the Nueces County Hospital District (board), with
the approval of the county commissioners court, to use funds from sources
other than a tax levy to fund  health care services, including public
health services, mental health and mental retardation services, emergency
medical services, health services provided to persons confined in jail
facilities, and for other health related purposes. Authorizes the board to
use the funds available to the district from any source to fund indigent
health care. 

SECTION 2.Emergency clause.
  Effective date: upon passage.

COMPARISON OF ORIGINAL TO SUBSTITUTE

This substitute differs from the original bill in SECTION 1 by
redesignating proposed Section 281.0518, Health and Safety Code, of the
original bill to proposed Section 281.094, Health and Safety Code, in the
substitute. This substitute also makes a nonsubstantive addition to the
title of the proposed section. This substitute gives authority to the board
of the Nueces County Hospital District, rather than to the Nueces County
Hospital District, to use funds to provide specified medical services. This
substitute also removes the provision excluding funds otherwise restricted
from funds used by the board to provide specified medical services. This
substitute includes emergency medical services and health services provided
to persons confined in jail facilities among other services that the board
is authorized to fund. This substitute adds proposed Subsection (b) to
authorize the board to use the funds available to the district from any
source to fund indigent health care.