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  S.B. No. 348
 
 
 
 
AN ACT
  relating to a utilization review process for managed care
  organizations participating in the STAR + PLUS Medicaid managed
  care program.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter A, Chapter 533, Government Code, is
  amended by adding Section 533.00281 to read as follows:
         Sec. 533.00281.  UTILIZATION REVIEW FOR STAR + PLUS MEDICAID
  MANAGED CARE ORGANIZATIONS. (a)  The commission's office of
  contract management shall establish an annual utilization review
  process for managed care organizations participating in the STAR +
  PLUS Medicaid managed care program.  The commission shall determine
  the topics to be examined in the review process, except that the
  review process must include a thorough investigation of each
  managed care organization's procedures for determining whether a
  recipient should be enrolled in the STAR + PLUS home and
  community-based services and supports (HCBS) program, including
  the conduct of functional assessments for that purpose and records
  relating to those assessments.
         (b)  The office of contract management shall use the
  utilization review process to review each fiscal year:
               (1)  every managed care organization participating in
  the STAR + PLUS Medicaid managed care program; or
               (2)  only the managed care organizations that, using a
  risk-based assessment process, the office determines have a higher
  likelihood of inappropriate client placement in the STAR + PLUS
  home and community-based services and supports (HCBS) program.
         (c)  Notwithstanding Subsection (b), during the state fiscal
  biennium ending August 31, 2015, the office of contract management
  shall use the utilization review process to review every managed
  care organization participating in the STAR + PLUS Medicaid managed
  care program. This subsection expires September 1, 2016.
         (d)  In conjunction with the commission's office of contract
  management, the commission shall provide a report to the standing
  committees of the senate and house of representatives with
  jurisdiction over the Medicaid program not later than December 1 of
  each year.  The report must:
               (1)  summarize the results of the utilization reviews
  conducted under this section during the preceding fiscal year;
               (2)  provide analysis of errors committed by each
  reviewed managed care organization; and
               (3)  extrapolate those findings and make
  recommendations for improving the efficiency of the program.
         (e)  If a utilization review conducted under this section
  results in a determination to recoup money from a managed care
  organization, a service provider who contracts with the managed
  care organization may not be held liable for the good faith
  provision of services based on an authorization from the managed
  care organization.
         SECTION 2.  The Health and Human Services Commission shall
  provide the first report required by Subsection (d), Section
  533.00281, Government Code, as added by this Act, not later than
  December 1, 2014.
         SECTION 3.  If before implementing any provision of this Act
  a state agency determines that a waiver or authorization from a
  federal agency is necessary for implementation of that provision,
  the agency affected by the provision shall request the waiver or
  authorization and may delay implementing that provision until the
  waiver or authorization is granted.
         SECTION 4.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2013.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 348 passed the Senate on
  March 27, 2013, by the following vote:  Yeas 30, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 348 passed the House on
  May 7, 2013, by the following vote:  Yeas 143, Nays 0, two present
  not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor