MINUTES 
          
                           SENATE COMMITTEE ON FINANCE 
                  Subcommittee on Articles II and VIII Agencies 
                             Tuesday, August 4, 1998 
                                    9:30 a.m. 
                         Capitol Extension, Room E1.036 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Finance  
         Subcommittee on Articles II and VIII Agencies was held on  
         Tuesday, August 4, 1998 in the Capitol Extension, Room E1.036,  
         at Austin, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Jane Nelson, Chair              Senator Royce West 
         Senator Carlos Truan 
                                      ***** 
          
         Chairwoman Nelson called the meeting to order at 9:40 a.m.   
         The following business was transacted.   
         The Chair made opening remarks and called on invited witnesses  
         to provide testimony and answer questions of the committee  
         regarding the future of  state-operated chest hospitals in San  
         Antonio and Harlingen.  Invited witnesses appeared as follows:  
          
              William Archer, M.D., representing the Texas Department  
              of Health (TDH), provided oral testimony on the TDH  
              Hospitals Long-Range Plan. 
          
              Andrew Maternowski, M.D.,  representing the South Texas  
              Hospital, provided oral testimony and written statistical  
              analyses on inpatient and outpatient care at the South  
              Texas Hospital. 
          
              James N. Elkins, representing Texas Department of Health  
              Hospitals, provided oral testimony on the TDH Hospitals  
              Long-Range Plan. 
          
              Javier Ortegon, representing the Texas Department of  
              Health, provided oral testimony on the TDH Hospitals  
              Long-Range Plan. 
          
         The Chair  recognized Senator Eddie Lucio, Jr. and State  
         Representative Jim Solis, and invited them to sit on the dais  
         with other members of the committee.  Testimony resumed as  
         follows: 
          
              Barbara J. Seaworth, M.D., representing the Texas  
              Department of Health, provided oral testimony on the TDH  
              Hospitals Long-Range Plan. 
          
              Candace L. Downing, representing the South Texas  
              Hospital, registered as a resource witness, but did not  
              testify. 
          
              Richard S. Kronenberg, M.D., representing the University  
              of Texas Health Center at Tyler, provided oral and  
              written testimony on tuberculosis care at the University  
              of Texas Health Center at Tyler. 
          
              Don Green, representing the Texas Department of Mental  
              Health and Mental Retardation, provided oral testimony on  
              the current level of interaction between state-operated  
              chest hospitals. 
               
              Barbara J. Seaworth, M.D., representing the Texas  
              Department of Health, was called back to the witness  
              table to answer additional questions on the TDH Hospitals  
              Long-Range Plan. 
          
         Public testimony was provided as follows: 
          
              *Senator Eddie Lucio, Jr., representing Senate District  
              27, provided oral testimony on the South Texas Hospital  
              and the continued need for state funding in order to  
              contain tuberculosis along the border and south Texas.   
              He urged committee members to consider "Option C" of the  
              TDH Hospitals Long-Range Plan and asked that a letter  
              dated August 4, 1998, written by him to Governor George  
              W. Bush on this subject, be entered into committee  
              records.  
          
              *State Representative Jim Solis, representing House  
              District 38, provided oral testimony on the need for the  
              continued funding and operation of the South Texas  
              Hospital.  He also spoke on the need for a direct  
              affiliation between the South Texas Hospital and a state  
              medical school. 
          
              *Ruben D. Martinez, M.D., representing himself, provided  
              oral testimony on the continuation of funding for the  
              South Texas Hospital. 
          
              Gilbert G. Hernandez, representing himself, provided oral  
              testimony on the continuation of funding for the South  
              Texas Hospital. 
          
         There being no further business, at 2:45 p.m. Senator Nelson  
         announced that the Committee will stand recessed subject to  
         the call of the Chair.  Without objection, it was so ordered.   
          
         ______________________ 
         Senator Jane Nelson, Chair 
          
         ______________________ 
         Patricia Hicks, Clerk 
          
         *Public testimony was taken out of the order printed in the  
         minutes.  Senator Lucio provided public testimony after Javier  
         Ortegon; and Representative Solis and Dr. Ruben Martinez  
         provided public testimony before Don Green.  All other  
         witnesses spoke in the order presented in the minutes.