S.B. No. 1443 introduces Chapter 300C to the Health and Safety Code, establishing provisions for the operation of health care provider participation districts created by local governments. This chapter authorizes these districts to manage a health care provider participation program that provides additional compensation to specific hospitals by collecting mandatory payments from them. The bill outlines definitions, operational guidelines, and governance structures, including the appointment of a board of directors who serve without compensation but may be reimbursed for expenses. It ensures continuity in health care funding by allowing districts to operate under the new chapter even after previous legislative authority has expired.

The bill also creates a Local Provider Participation Fund (LPPF) to manage the mandatory payments collected, which must be used exclusively for designated purposes, including supporting Medicaid payments for nonpublic hospitals. It establishes guidelines for assessing and collecting these payments based on the net patient revenue of healthcare providers, ensuring compliance with federal regulations. Additionally, the bill allows directors and board officers from Chapter 300A to continue their terms under Chapter 300C and permits state agencies to delay implementation of the Act if a federal waiver is required. The Act will take effect immediately upon a two-thirds legislative vote or on September 1, 2025, if not passed.

Statutes affected:
Introduced: ()