House Passes Legislation to Fulfill Medicaid Obligations

Austin, TX—-Today, the Texas House of Representatives passed House Bill 10. The legislation, authored by Appropriations Committee Chairman Jim Pitts (Waxahachie), allows the Legislature to fulfill its current financial obligations to health care providers and ensures that Texas doctors, hospitals, and nursing homes can continue to provide services to Texas residents.

Rep. John Raney (Bryan), who serves on the Appropriations Committee, said, “With the passage of this legislation, our goal of providing essential healthcare services while remaining fiscally responsible was met. The unanimous vote by which House Bill 10 passed demonstrates the willingness of the membership to work together.”

The current appropriation for Medicaid costs is scheduled to run out in March of 2013. House Bill 10 provides a supplemental appropriation of $4.8 billion to ensure the continuation of vital services such as Medicaid ($4.5 billion) and Children’s Health Insurance Program ($75 million).

Due to exceptional growth in the private sector, the State of Texas will collect $8.8 billion more in the current biennium than originally estimated. This stronger-than-expected performance of the Texas economy will allow House Bill 10 to be paid with existing revenue.