Five Reasons Healthcare Will Be the Topic to Watch This Session of the Texas Legislature 

January, 2013 -

Legislators filed bills before the official start date of the 83rd Texas Legislative  Session; many of the bills already filed  address healthcare issues. 

1. The Budget. Texas legislative leaders  recently approved a self-imposed  budget cap for the 2014-2015  biennium based on a conservative  estimate of growth in the state’s  economy, holding lawmakers to not  more than a 10.71 percent increase  over last session’s budget, or about $7  billion. The first order of business will  be to fill the $4.7 billion hole in 2012- 2013 Medicaid funding, which if not  filled, will run out by March 2013.  Lawmakers may choose to apply Rainy  Day funds for this purpose, but not  without opposition from members who  prefer a hands-off approach to the  reserve. Many lawmakers intend to  continue their no new taxes or tax increases stance this session. And with 

the Health & Human Services Commission (HHSC) requesting additional appropriations to the tune of $6.7 billion, the budget fight will be very focused on healthcare.

2. Health Insurance Reform. Now that the Obama administration has been cleared to move forward with federal 

healthcare reform rulemaking, a wave of policy change relating to health insurance is advancing. Uninsured individuals will need to obtain basic coverage by January 1, 2014, but according to Governor Perry, it won’t be through a state-run health insurance exchange. Perry also says Texas won’t be expanding eligibility for Medicaid, pointing to the long-term costs to a state that provides very little optional coverage, yet already spends nearly a third of its budget on the program. The state’s Medicaid tab will jump when the coverage mandate kicks in and those eligible for Medicaid, 

but not currently enrolled, sign up.Hospital districts and counties are mulling schemes to pull down Medicaid 

matching funds on their own. Add to the impending federal directives continued pressure to make health insurance more affordable and a bull’s eye on state employee benefits, and you can expect mighty battles in this area.



MEMBER COMMENTS

WSG Member: Please login to add your comment.

dots