HBA-MSH H.B. 1434 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1434 By: Capelo Public Health 3/18/2001 Introduced BACKGROUND AND PURPOSE According to the American Lung Association of Texas, more than one million Texans suffer from asthma, and one-third of them are children. Asthma is the leading cause of chronic illness and school absenteeism in children and teens. The Texas Medicaid program provided treatment for more than 123,000 asthma patients at a total cost of $41.6 million in fiscal year 1999. Asthma treatment and management programs have the potential to improve patient care and reduce the costs associated with asthma by reducing asthmarelated emergency room visits. House Bill 1434 requires the Health and Human Services Commission to create a disease management pilot program for children's asthma. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the Health and Human Services Commission in SECTION 1 (Section 531.021912, Government Code) of this bill. ANALYSIS House Bill 1434 amends the Government Code to require the Health and Human Services Commission (HHSC) to develop by rule a Medicaid disease management pilot program (program) for children's asthma for implementation in counties selected by the Texas Department of Heath with high incidence of children's asthma and a high rate of hospital emergency room care for the treatment of children's asthma. The bill requires the program to provide continuous care, case management, and asthma education to Medicaid recipients younger than 19 years of age who have been hospitalized or received emergency care services for asthma. The program is also required to provide health care provider education to ensure the appropriate use of specialized asthma treatments. The bill sets forth requirements for the development, administration, and implementation of the program. The bill requires HHSC to report to the lieutenant governor and the speaker of the house of representatives on the effectiveness of the program not later than December 1, 2004. EFFECTIVE DATE September 1, 2001.