Relating to the continued reimbursement under Medicaid for nursing facilities after a change in ownership.

89(R) HB 3902 - House Committee Report version - Bill Text

89R17744 AB-F

By: Rose, Raymond

H.B. No. 3902

Substitute the following for H.B. No. 3902:

By: Hull

C.S.H.B. No. 3902

A BILL TO BE ENTITLED

AN ACT

relating to the continued reimbursement under Medicaid for nursing

facilities after a change in ownership.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter D, Chapter 532, Government Code, is

amended by adding Section 532.0159 to read as follows:

Sec.

532.0159.

CONTINUED REIMBURSEMENT OF NURSING

FACILITIES AFTER CHANGE IN OWNERSHIP. (a)

The commission shall

ensure that a nursing facility providing Medicaid services to

recipients continues to receive Medicaid reimbursement

uninterrupted after the facility experiences a change in ownership,

provided the facility under the new ownership:

(1)

is enrolled as a provider under Medicare, if

required, and Medicaid;

(2)

satisfies the applicable requirements of state

law, including:

(A)

the requirements of this subtitle and Chapter

32, Human Resources Code; and

(B)

the licensing requirement under Chapter 242,

Health and Safety Code;

(3)

if required by the terms of and agreed to by the

parties to the contract, assumes the contract in effect before the

change in ownership;

(4)

subject to Subsection (b), enters into a successor

liability agreement, approved by the commission; and

(5)

meets any additional requirements prescribed by

the commission.

(b)

A successor liability agreement under Subsection (a)(4)

must require that the facility under the new ownership:

(1)

pay the commission for any outstanding liabilities

under the prior contract that are identified by the commission; and

(2)

agree that an outstanding liability identified by

the commission may include a liability incurred by the previous

owner without regard to:

(A)

when a service was provided or a claim was

filed; or

(B)

whether the liability is identified by the

commission or another authorized entity, including a Medicaid

managed care organization.

(c)

This section does not apply to a supplemental payment

program or a directed payment program, as defined by Section

532.0102, operated or administered by the commission.

SECTION 2. If before implementing any provision of this Act

a state agency determines 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 3. This Act takes effect September 1, 2025.