The bill establishes the Live Well Texas program, aimed at expanding Medicaid eligibility and providing health benefit coverage to specific individuals. It introduces new chapters to the Government Code, specifically Chapters 532A and 532B, which detail the program's definitions, objectives, and administrative structure. Key features include the creation of health benefit plans (basic and plus), the establishment of Personal Wellness and Responsibility (POWER) accounts for participants, and a requirement for the executive commissioner to seek a federal waiver to implement the program under the state Medicaid plan. The program is designed to enhance personal responsibility, improve health outcomes, and assist participants in transitioning to stable employment, while also ensuring a coordinated application process with Medicaid.

Additionally, the bill outlines eligibility criteria, coverage requirements, and provisions for pregnant participants and parents or caretaker relatives. It mandates that application forms be available in multiple languages and allows for various application methods. The bill also establishes penalties for participants who fail to make required contributions to their health benefit plans, along with a grace period before disenrollment. Furthermore, it expands Medicaid eligibility under the Patient Protection and Affordable Care Act, ensuring that individuals qualifying for the Live Well Texas program receive appropriate benefits. The executive commissioner is responsible for applying for necessary waivers, with the bill set to take effect immediately upon a two-thirds vote or on September 1, 2025, if that vote is not achieved.

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