TITLE 1. ADMINISTRATION

Part 15. TEXAS HEALTH AND HUMAN SERVICES COMMISSION

Chapter 355. REIMBURSEMENT RATES

Subchapter J. PURCHASED HEALTH SERVICES

Division 4. MEDICAID HOSPITAL SERVICES

1 TAC §355.8063

The Health and Human Services Commission (HHSC) adopts an amendment to §355.8063, without changes to the proposed text as published in the April 27, 2007, issue of the Texas Register (32 TexReg 2338) and will not be republished. The adopted rule amendment describes the reimbursement methodology for freestanding psychiatric hospitals for inpatient hospital services.

The adopted changes to §355.8063 revise the Medicaid reimbursement methodology for freestanding psychiatric inpatient hospitals. The reimbursement methodology for freestanding psychiatric hospitals will change from Tax Equity and Fiscal Responsibility Act (TEFRA) principles, which is a cost-based reimbursement, to a hospital-specific per diem rate, which will be reimbursed under a prospective payment system (PPS).

HHSC did not receive comments regarding the proposed rule during the 30-day comment period.

The amendment is adopted under the Texas Government Code, §531.033, which provides the Executive Commissioner of HHSC with broad rulemaking authority; the Human Resources Code, §32.021, and the Texas Government Code, §531.021(a), which provide HHSC with the authority to administer the federal medical assistance (Medicaid) program in Texas; and Human Resources Code, §32.028, which gives HHSC the authority to adopt rules governing the determination of rates for the medical assistance program.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on June 4, 2007.

TRD-200702155

Steve Aragón

Chief Counsel

Texas Health and Human Services Commission

Effective date: June 24, 2007

Proposal publication date: April 27, 2007

For further information, please call: (512) 424-6900


1 TAC §355.8065

The Health and Human Services Commission (HHSC) adopts amendments to §355.8065, without changes to the proposed text as published in the April 27, 2007, issue of the Texas Register (32 TexReg 2339) and will not be republished.

The purpose of this adopted amendment is to require children's hospitals to become designated as part of the state's trauma network in order to receive Medicaid disproportionate share hospital (DSH) funds. Until now, children's hospitals were not required to obtain a trauma designation in order to receive DSH funds. The adopted amendment deletes this exception for children's hospitals.

HHSC did not receive comments regarding the proposed rule during the 30-day comment period.

The amendment is adopted under the Texas Government Code, §531.033, which provides the Executive Commissioner of HHSC with broad rulemaking authority; and the Human Resources Code, §32.021, and the Texas Government Code, §531.021(a), which provide HHSC with the authority to administer the federal medical assistance (Medicaid) program in Texas.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on June 4, 2007.

TRD-200702156

Steve Aragón

Chief Counsel

Texas Health and Human Services Commission

Effective date: June 24, 2007

Proposal publication date: April 27, 2007

For further information, please call: (512) 424-6900


Chapter 357. MEDICAL FAIR HEARINGS

Subchapter I. FORMAL APPEALS

1 TAC §§357.481 - 357.490

The Texas Health and Human Services Commission (HHSC) adopts the repeal of §§357.481 - 357.490, Formal Appeals, without changes to the proposed text as published in the December 29, 2006, issue of the Texas Register (31 TexReg 10464) and will not be republished.

These rules are repealed in order that they might be replaced by new Subchapter I, §§357.481 - 357.498, now entitled Hearings Under the Administrative Procedure Act, which is adopted elsewhere in this issue of the Texas Register . Their replacement allows for updated procedural rules for parties and administrative law judges of the HHSC Appeals Division which are necessary for the conduct of hearings under the Texas Administrative Procedure Act.

The following rules are being repealed: §357.481, Definitions; §357.482, Computation of Time; §357.483, Venue; §357.484, Notice of Adverse Action; §357.485, Request for a Hearing; §357.486, Notice of Hearing; §357.487, Administrative Law Judge; §357.488, Other Procedures; §357.489, Proposals for Decision, Final Decisions, and Final Orders; and §357.490, Motions for Rehearing.

No comments were received concerning the proposed repeal of these rules.

The repeal is adopted under Government Code, §531.033, which authorizes the executive commissioner of HHSC to adopt rules necessary to carry out the commission's duties.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 31, 2007.

TRD-200702130

Steve Aragón

Chief Counsel

Texas Health and Human Services Commission

Effective date: June 20, 2007

Proposal publication date: December 29, 2006

For further information, please call: (512) 424-6900


Chapter 357. HEARINGS

Subchapter I. HEARINGS UNDER THE ADMINISTRATIVE PROCEDURE ACT

1 TAC §§357.481 - 357.498

The Texas Health and Human Services Commission (HHSC or the Commission) adopts new §§357.481 - 357.498, concerning Hearings Under the Administrative Procedure Act, without changes to the proposed text as published in the December 29, 2006, issue of the Texas Register (31 TexReg 10464) and will not be republished.

The purpose of these rules is to provide procedural rules for parties and administrative law judges of the HHSC Appeals Division. These rules are necessary for the conduct of hearings under the Texas Administrative Procedure Act for HHSC and system agencies. The rules in this subchapter conform to Commission practice and fulfill the purpose intended by Government Code, §531.0055, that performance of administrative support services for health and human service agencies, including legal support, is the responsibility of HHSC.

No comments were received concerning the adoption of the new rules.

The new rules are adopted under Texas Government Code, §531.033, which provides the executive commissioner of HHSC with broad rulemaking authority to carry out the Commission's duties.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 31, 2007.

TRD-200702131

Steve Aragón

Chief Counsel

Texas Health and Human Services Commission

Effective date: June 20, 2007

Proposal publication date: December 29, 2006

For further information, please call: (512) 424-6900