Tex. Health & Safety Code Section 292D.151
Mandatory Payments Based on Paying Hospital Net Patient Revenue


(a)

Except as provided by Subsection (e), if the commissioners court of a county authorizes a program under this chapter, the commissioners court may require an annual mandatory payment to be assessed on the net patient revenue of each institutional health care provider located in the county. The commissioners court shall provide that the mandatory payment is to be assessed at least annually, but not more often than quarterly. In the first year in which the mandatory payment is required, the mandatory payment is assessed on the net patient revenue of an institutional health care provider as determined by the data reported to the Department of State Health Services under Sections 311.032 (Department Administration of Hospital Reporting and Collection System) and 311.033 (Financial and Utilization Data Required) in the most recent fiscal year for which that data was reported. If the institutional health care provider did not report any data under those sections, the provider’s net patient revenue is the amount of that revenue as contained in the provider’s Medicare cost report submitted for the previous fiscal year or for the closest subsequent fiscal year for which the provider submitted the Medicare cost report. The commissioners court shall update the amount of the mandatory payment on an annual basis.

(b)

The amount of a mandatory payment authorized under this chapter must be uniformly proportionate with the amount of net patient revenue generated by each paying hospital in the county. A mandatory payment authorized under this chapter may not hold harmless any institutional health care provider, as required under 42 U.S.C. Section 1396b(w).

(c)

The commissioners court of a county that collects a mandatory payment authorized under this chapter shall set the amount of the mandatory payment. The aggregate amount of the mandatory payment required of all paying hospitals may not exceed six percent of the aggregate net patient revenue from hospital services provided by all paying hospitals in the county.

(d)

Subject to Subsection (c), the commissioners court of a county that collects a mandatory payment authorized under this chapter shall set the mandatory payments in amounts that in the aggregate will generate sufficient revenue to cover the administrative expenses of the county for activities under this chapter and to fund an intergovernmental transfer described by Section 292D.103 (Local Provider Participation Fund; Authorized Uses of Money)(c)(1). The annual amount of revenue from mandatory payments that may be used to pay the administrative expenses of the county for activities under this chapter may not exceed $150,000, plus the cost of collateralization of deposits, regardless of actual expenses.

(e)

A paying hospital may not add a mandatory payment required under this section as a surcharge to a patient.
Added by Acts 2023, 88th Leg., R.S., Ch. 632 (H.B. 4835), Sec. 1, eff. September 1, 2025.

Source: Section 292D.151 — Mandatory Payments Based on Paying Hospital Net Patient Revenue, https://statutes.­capitol.­texas.­gov/Docs/HS/htm/HS.­292D.­htm#292D.­151 (accessed May 18, 2024).

Accessed:
May 18, 2024

§ 292D.151’s source at texas​.gov