MINUTES 
          
                 LONG-TERM CARE LEGISLATIVE OVERSIGHT COMMITTEE 
                             Thursday, Aug. 13, 1998 
                                     1 p.m. 
                                 Senate Chamber 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Long-Term Care Legislative  
         Oversight Committee was held on Thursday, Aug. 13, 1998, in  
         the Senate Chamber at Austin, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Judith Zaffirini, Chair          
         Senator Jane Nelson                      
         Dr. Ken Kramer, Public Member 
         Representative Elliott Naishtat 
         Representative Jim McReynolds 
         Pat Karrh, Public Member 
                                      ***** 
          
         The chair called the meeting to order at 1 p.m.  There being a  
         quorum present, the following business was transacted.   
          
         The chair laid out the Jan. 21, 1998, minutes and called for  
         revisions.  There being none, Representative Naishtat moved  
         approval.  There being no objection, the motion prevailed by  
         unanimous consent. 
          
         The chair made opening remarks and announced that the purpose  
         of the meeting was to receive a progress report and briefing  
         regarding the charges issued to the committee by Lt. Gov. Bob  
         Bullock. 
          
         The chair asked Representative McReynolds to provide a  
         progress report from the Subcommittee on a Survey Regarding  
         Nursing Facilities. 
          
         The chair asked Representative Naishtat to provide a progress  
         report from the Subcommittee on the Continuum of Long-Term  
         Care Services. 
          
         The chair called invited panelists to provide committee  
         members with a briefing regarding the rate reimbursement  
         system for long-term care facilities. 
          
         The following persons provided oral testimony: 
          
              Senator Bill Ratliff, chair, Texas Senate Finance  
              Committee, P.O. Box 12068, Austin, Texas 78711. 
          
              Eric Bost, commissioner, Texas Department of Human  
              Services, 701 West 51st Street, Austin, Texas 78714-9030. 
          
              Don Gilbert, commissioner, Texas Health and Human  
              Services Commission, 4900 North Lamar, Austin, Texas  
              78751. 
          
              David Herndon, board chairman,  Texas Department of Human  
              Services, 515 Congress, Austin, Texas 78701.   
          
              Candice Carter, state legislative representative,  
              American Association of Retired Persons, 98 San Jacinto  
              Blvd., Suite 750, Austin, Texas 78701. 
          
              Beth Ferris, president, Texas Advocates for Nursing Home  
              Residents, 500 East Anderson Lane, Austin, Texas 78752. 
          
              David Lattimer, vice president, Governmental Affairs,  
              Texas Association of Homes and Services for the Aging,  
              2205 Hancock Drive, Austin, Texas 78756. 
          
              Tom Suehs, executive director, Texas Health Care  
              Association, 4214 Medical Parkway, Suite 300, Austin,  
              Texas 78765. 
          
              Mike Burris, president and CEO, Arboretum Group, 111  
              North Park, Victoria, Texas 77903. 
          
         The following person registered as a resource witness, but did  
         not testify: 
          
              Steve Lorenzen, director, Rate Analyst, Texas Department  
              of Human Services, 701 West 51st Street, Austin, Texas  
              78714-9030.  
          
         The chair called invited panelists to provide committee  
         members with a briefing regarding the impact of medicare cuts  
         on long-term care services. 
          
         The following persons provided oral testimony: 
          
              Don Gilbert, commissioner, Texas Health and Human  
              Services Commission, 4900 North Lamar, Austin, Texas  
              78751.  
          
              Eric Bost, commissioner, Texas Department of Human  
              Services, 701 West 51st Street, Austin, Texas 78714-9030. 
          
         The chair called the invited witness to brief committee  
         members regarding the Texas Department of Human Services'  
         re-engineering process and enforcement activities after the  
  
         implementation of SB 190. 
          
         The following person provided oral testimony: 
          
              Eric Bost, commissioner, Texas Department of Human  
              Services, 701 West 51st Street, Austin, Texas 78714-9030. 
          
         The following person registered as a resource witness and  
         provided oral testimony: 
          
              Jim Lehrman, associate commissioner, Texas Department of  
              Human Services, 701 West 51st Street, Austin, Texas  
              78714-9030. 
          
         The following person registered as a resource witness, but did  
         not testify: 
          
              Steve Svadlenak, associate commissioner, Texas Health and  
              Human Services Commission, 4900 North Lamar, Austin,  
              Texas 78751. 
          
         The chair called the invited witness to brief committee  
         members on the creation of a quality measurement system for  
         long-term care services. 
          
         The following person provided oral and written testimony: 
          
              Dr. Leslie Cortez, director, Medical Quality Assurance,  
              Long-Term Care Regulatory Division, Texas Department of  
              Human Services, 701 West 51st Street, Austin, Texas  
              78751. 
          
         The chair called persons who registered as public witnesses to  
         provide testimony regarding the charges issued to the  
         Long-Term Care Legislative Oversight Committee by Lt. Gov.  
         Bullock. 
          
         The following persons provided oral and written testimony: 
          
              Lou O'Reilly, founder, Texas Advocates for Nursing Home  
              Reform, P.O. Box 763143, Dallas, Texas 75376. 
              Beth Ferris, president, Texas Advocates for Nursing Home  
              Residents, 500 East Anderson Lane, Austin, Texas 78752. 
          
              Marie Wisdom, president, Advocates for Nursing Home  
              Reform, 16908 South Ridge Lane, Austin, Texas 78734. 
          
         The following persons provided oral testimony: 
          
              Connie Klostermann,106 North Bacon, Bellville, Texas  
              77418. 
          
              Glenn Currier, secretary, Texas Advocates for Nursing  
      
              Home Residents, 528 Sumac Place, DeSoto, Texas 75115. 
          
         The chair announced that anyone wishing to submit  
         recommendations relating to the charges must do so by Aug. 31.   
         An extended staff working group will develop recommendations  
         to be considered by committee members for possible inclusion  
         in the committee's Nov. 15 report to Lt. Gov. Bullock. 
          
         With no other business to come before the committee and upon a  
         motion by Representative Naishtat, the chair recessed the  
         Long-Term Care Legislative Oversight Committee by unanimous  
         consent at 3:50 p.m., subject to the call of the chair. 
          
         ___________________________________ 
         Senator Judith Zaffirini, Chair 
          
         ____________________________________ 
         Scott Caffey, Committee Clerk