HBA-DMH H.B. 703 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 703 By: Maxey Public Health 2/8/2001 Introduced BACKGROUND AND PURPOSE Currently, the Medicaid Vendor Drug Program imposes a three prescription per month limit (limit) on adults eligible for the Temporary Assistance for Needy Families program and aged, blind or disabled adult clients. The Texas Department of Health, in its budget request, anticipates that removing the limit for all Medicaid recipients will result in the avoidance of more expensive emergency room, institutional, and nursing home costs. House Bill 703 removes the limit for all Medicaid clients, and allows clients access to all drugs needed and prescribed by their physicians. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency or institution. ANALYSIS House Bill 703 amends the Human Resources Code to prohibit the Health and Human Services Commission (HHSC), in its rules and standards governing the vendor drug program, from limiting benefits for the number of medications prescribed to a recipient of prescription drug benefits under the medical assistance program. The bill amends the Government Code to remove the limitation on the number of medications for which HHSC performs a complete analysis of the use of prescription medications, relating to Medicaid clients for whom more than three medications have been prescribed and the medical effect denial of medicaid coverage for more than three medications has had on Medicaid clients. EFFECTIVE DATE September 1, 2001.