TITLE 25.HEALTH SERVICES

Part 1. TEXAS DEPARTMENT OF HEALTH

Chapter 27. CASE MANAGEMENT FOR CHILDREN AND PREGNANT WOMEN

25 TAC §§27.1, 27.3, 27.5, 27.7, 27.9, 27.11, 27.13, 27.15

The Texas Department of Health (department) proposes new §§27.1, 27.3, 27.5, 27.7, 27.9, 27.11, 27.13 and 27.15, concerning case management for children and pregnant women. Specifically, these new sections cover definitions; eligible recipients; case management service provisions; service limitations; applicant and provider qualifications; application; case management provider review and monitoring processes.

The proposed new rules for Case Management for Children and Pregnant Women will provide case management services to Medicaid eligible women of all ages who have a high risk pregnancy and to children from birth to 21 years of age with a health condition/health risk. The programs, Medicaid Case Management for High Risk Pregnant Women and High Risk Infants and the Texas Health Steps Medical Case Management will become one program due to the proposed repeal of §§32.301 - 32.305, 32.307, 33.501 - 33.506, and 37.81 - 37.86 of this title and will become proposed new sections of Chapter 27. The new program will provide a greater continuity of services for all eligible recipients.

New §27.1 covers definitions and includes language from proposed repealed §33.501 and proposed repealed §37.82. New §27.3 covers eligible recipients and includes language from proposed repealed §33.502 and proposed repealed §37.82. New §27.5 covers Case Management for Children and Pregnant Women's services and includes language from proposed repealed §33.503 and proposed repealed §37.83. New §27.7 covers service limitations and includes language from proposed repealed §33.504. New §27.9 covers applicant qualifications and includes language from proposed repealed §33.505 and proposed repealed §37.84. New §27.11 covers provider requirements and includes language from proposed repealed §33.505 and proposed repealed §37.84. New §27.13 covers application processes and includes language from proposed repealed §33.506 and proposed repealed §37.85. New §27.15 covers case management provider review and monitoring process and includes language from proposed repealed §33.506 and proposed repealed §37.85.

The department also proposes the repeal of §§32.301 - 32.305 and §32.307, concerning case management for high risk pregnant women and high risk infants. Specifically these sections cover definitions; eligible individuals; case management services; service limitations; provider qualifications and the right to appeal. These sections are being proposed for repeal as they are repeated in §§37.81 - 37.86. Sections 32.301 - 32.305 and 32.307 were not repealed when §§37.81 - 37.86 were adopted.

The department further proposes repeal of Early and Periodic Screening, Diagnosis, and Treatment, Subchapter J, Texas Health Steps Medical Case Management §§33.501 - 33.506. Specifically, these sections cover definitions; eligible recipients; THSteps Medical Case Management Services; service limitations; applicant and provider qualifications; application, review and monitoring process. These sections are being proposed for repeal in an effort to integrate services to the eligible population for case management services: children with a health condition/health risk birth to 21 years and/or high risk pregnant women of all ages.

The department at the same time is proposing the repeal of §§37.81 - 37.86, concerning Medicaid case management for high risk pregnant women and high risk infants. Specifically, these sections cover introduction; definitions; case management services; provider qualifications; application and review process; and documents adopted by reference. Pertinent portions of the proposed repealed sections will be integrated in proposed new Chapter 27 of this title.

The department provides health services to women and children in Texas under the authority of the Health and Safety Code, Chapter 32; the State Appropriations Act; and the Social Security Act, Title V. The Targeted Case Management Program for High Risk Pregnant Women and High Risk Infants was established under the authority of the Social Security Act, Title XIX, §1915(g). Section 1915(g) authorized states to provide case management as a distinct service to targeted populations, through a waiver from the Health Care Financing Administration (HCFA), now the Centers for Medicare and Medicaid Services or CMS. The Health and Human Services Commission (HHSC) provides authority to the department to propose rules to administer certain Medicaid program services in Texas. Human Resources Code, §22.0031, mandates case management for high-risk pregnant women and high-risk children to age one as provided under §1915(g) of the federal Social Security Act (42 U.S.C. §1396n). Case management for children up to age 21 is authorized under 42 U.S.C. §1396d.

The Government Code, §531.021, provides HHSC with the authority to propose rules to administer the state's medical assistance program. The Texas Department of Health submitted the current rules under its agreement with HHSC to operate the Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) program, and as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07. In Texas, the EPSDT program is known as Texas Health Steps (THSteps). The purpose of these sections is to make available medically necessary THSteps medical case management services mandated by the federal EPSDT program.

Ravi Rupsingh, M.P.A., Actuary, Actuary Analysis, HHSC, has determined for the first five years the sections are in effect, there will be cost savings to the state through the combination of the two programs as described in this preamble. Total cost savings per year are $1,724,820, $6,153,493, $6,348,526, $6,549,411 and $6,745,893 in state fiscal years 2003, 2004, 2005, 2006 and 2007, respectively, for a total of $27,522,143 over these five state fiscal years. There will be no impact on local government.

Duane Thomas, Ph.D., Texas Department of Health, Director of Regional Case Management has also determined that for each of the first five years the sections are in effect, anticipated public benefits include better access to primary care providers, preventative health services, other health services and community resources for children and pregnant women accessing the services. There will be costs to small businesses and micro-businesses. This was determined after concluding that the elimination of the Intake as a billable contact for Targeted Case Management for Pregnant Women and Infants providers will decrease the amount of reimbursement that these providers currently receive. The cost to small and micro-businesses for the first year of implementation is estimated to be $7,327 while the cost to large businesses for the first year of implementation is estimated to be $7,281. The estimated costs are based on the assumption that 70% of Targeted Case Management for Pregnant Women and Infants providers are large businesses and 30% of providers are small or micro-businesses. There will be no anticipated economic costs to persons who receive the services. The department has determined that the proposed rules do not restrict or limit an owner's right to their property that would otherwise exist in the absence of governmental action and therefore does not constitute a taking under Government Code, §2007.043.

Comments on the proposal may be submitted to Cossy Hough, LMSW-ACP, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756, (512) 458-7111, extension 6664. Comments will be accepted for 30 days following publication of the proposal in the Texas Register .

A public hearing regarding these proposed rules will be held on April 8, 2003, from 1:00 p.m. to 4:00 p.m. at the Texas Department of Health, Moreton Building, Room M-739, 1100 West 49th Street, Austin, Texas 78756.

The new sections are proposed under the Health and Safety Code, §12.001, which provides the Board of Health (board) with the authority to adopt rules to implement every duty imposed by law on the board, the department and the commissioner of health; and under the Health and Safety Code, Chapter 32, which provides the board with the authority to establish maternal and infant health improvement services programs in the department to serve eligible recipients; the Human Resources Code, §22.0031, which mandates case management for high risk pregnant women and high risk infants under §1915(g) of the federal Social Security Act (42 U.S.C. §1396n); the Human Resources Code, Chapter 32, which enables the state to provide medical assistance; the Government Code, §531.021, which provides HHSC with the authority to propose rules to administer the state's medical assistance program and are submitted by the Texas Department of Health under its agreement with HHSC to operate the EPSDT program, and as authorized under §1.07 of the Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2.

The proposed new sections affect the Health and Safety Code, Chapter 32, the Human Resources Code, §22.0031 and Chapter 32.

§27.1.Definition of Terms.

The following words and terms when used in this chapter shall have the following meanings unless the context clearly indicates otherwise.

(1) Access--The ability of an eligible recipient to obtain health and health-related services, as determined by factors such as: the availability of THSteps services; service acceptability to the eligible child, family, and/or pregnant woman; the location of health care facilities and other resources; transportation; hours of facility operation and length of time available to see the healthcare provider.

(2) Applicant--An agency, organization, or individual who submits an application to the department to provide Case Management for Children and Pregnant Women under this subchapter and who meets the applicant qualifications and requirements as stated in §27.9 and §27.11 of this title (relating to Applicant Qualifications and Case Management Provider Requirements).

(3) Application process--Submission of an application to provide Case Management for Children and Pregnant Women and the department's ensuing review and disposition of the application.

(4) Billable contact--A documented Comprehensive Visit or Follow-up contact with an eligible recipient, by an approved case manager who provides an eligible case management service, as defined in §27.5 of this title (relating to Case Management and Pregnant Women).

(5) Board--The Texas Board of Health.

(6) Case manager--An individual who provides Case Management for Children and Pregnant Women services either independently or as an employee of a Case Management Provider.

(7) Case management provider--An agency or individual approved by the department to provide Case Management for Children and Pregnant Women Services and enrolled as a Medicaid provider.

(8) Case Management for Children and Pregnant Women--The federal enhancement service which assists eligible recipients in gaining access to medically necessary medical, social, educational, and other services.

(9) Children with a health condition/health risk--Children who have or are at risk for a medical condition, illness, injury, or disability that results in limitation of function, activities or social roles in comparison with healthy age peers in the general areas of physical, cognitive, emotional, or social growth and development.

(10) Continuity of care--The degree to which: the care of a child is provided by the same medical home or primary care provider; the system of care remains stable and services are consistent, unduplicated and uninterrupted.

(11) Department--The Texas Department of Health.

(12) EPSDT--Early and Periodic Screening, Diagnosis and Treatment program. All states participating in the Medicaid program must offer EPSDT to children under age 21 who qualify for Medicaid. EPSDT provides medical and dental services to Medicaid and Texas Health Steps clients under age 21 years. In Texas, EPSDT is known as Texas Health Steps (THSteps).

(13) Family--A basic unit in society having at its nucleus: one or more adults living together and cooperating in the care and rearing of their own or adopted children; a person or persons acting as the family of an individual; a foster family or identifiable support person or persons.

(14) Health and health-related services--Services which are provided to meet the comprehensive (preventive, primary, tertiary and specialty) health needs of the eligible recipient, including but not limited to, well care and dental check ups, immunizations, acute care visits, pediatric specialty consultations, physical therapy, occupational therapy, audiology, speech language services, mental health professional services, pharmaceuticals, medical supplies, prenatal care, family planning, adolescent preventive health, durable medical equipment, nutritional supplements, prosthetics, eye glasses, and hearing aids.

(15) High risk pregnant women--Women who are pregnant and have one or more high-risk medical and/or personal/psychosocial condition(s) during pregnancy.

(16) Preventive services--Services that include health counseling and education, immunizations, wellness care, nutritional supplementation, family planning and screening aimed at avoiding illness and/or disability.

(17) Primary services--Services that include care for minor illnesses, injuries and abnormalities discovered through screenings.

(18) State--The State of Texas.

(19) Tertiary services--Services that include care for major illnesses and injuries, and chronic or disabling conditions.

(20) Texas Health Steps Program (THSteps)--In Texas, the federal program known as EPSDT, which is required of states participating in the Medicaid program, is called Texas Health Steps.

§27.3.Eligible Recipients.

Clients eligible for case management services under this subchapter must be either children with a health condition/health risk or high-risk pregnant women who are:

(1) Medicaid eligible in Texas;

(2) in need of services to prevent illness(es) or medical condition(s), to maintain function or slow further deterioration; and

(3) desire case management.

§27.5.Case Management for Children and Pregnant Women.

Case Management for Children and Pregnant Women's services, as defined in §27.1 of this title (relating to Definitions), are provided to assist eligible recipients in gaining access to medically necessary medical, social, educational and other services for which federal financial participation is available in order to: encourage the use of cost-effective health and health-related care; make referrals to appropriate community resources; discourage over utilization or duplication of services; and reduce morbidity and mortality. Case Management for Children and Pregnant Women is not a "gatekeeper" function.

(1) The following contacts are billable:

(A) Comprehensive Visit--a face-to-face visit that includes the development of:

(i) Family Needs Assessment--a written evaluation of all issues that impact the short and long term health and well being of the eligible recipient and his/her family. Together, the case manager and family shall assess the medical, social, educational and other medically necessary service needs of the eligible recipient. Documentation of the Family Needs Assessment should include, at a minimum:

(I) the assessment of the medical, social/family, nutritional, educational, vocational, developmental and health care transportation needs;

(II) individualized assessment of the client; and

(III) the case manager's dated signature.

(ii) Service Plan--the written summary which:

(I) documents the services to be accessed;

(II) identifies the individual responsible for contacting the appropriate health and human service providers;

(III) designates the time frame within which the eligible recipient should access services;

(IV) may be sent to the medical provider or others as appropriate in accordance with the limits of confidentiality;

(V) includes, at a minimum: the interventions and referrals for addressing needs identified in the Family Needs Assessment; the time frame for the client to access services; the client/parent/guardian's and case manager's dated signatures.

(B) Follow-up contact--a face-to-face or telephone contact with the eligible recipient and his/her family. The case manager and the client/family review and reassess the client/family's needs, determine what referrals and services specified in the Service Plan have been received by the client/family, and develop appropriate modifications to the Service Plan. The Follow-up contact includes the review of the referrals that have occurred or are still needed to complete the Service Plan and meet the client/family's needs. Follow-up contacts for children should occur as needed. Follow-up contacts for pregnant women should occur as needed through the 59th day post partum. Documentation of the Follow-up contacts should include, at a minimum:

(i) a review of complete Service Plan;

(ii) efforts to ascertain on an ongoing basis which needs specified in the Service Plan have been addressed with appropriate referrals provided and services accessed; and

(iii) evidence of problem solving with client/parent/guardian when needs are not addressed or referrals not accessed.

(2) Case Management for Children and Pregnant Women services will include a non-billable intake with each client/family. The intake will include the collection of demographic information and determination of the client's eligibility.

(3) Only one billable contact per client shall be billed per day.

§27.7.Service Limitations.

(a) Case Management for Children and Pregnant Women services are not reimbursable if they are duplicative of other billed, comprehensive Medicaid case management services.

(b) Following intake completion, the initial prior authorization request for billable Case Management for Children and Pregnant Women services must be supported by required documentation and submitted to the department for review and disposition. The amount of Comprehensive Visits and Follow-up contacts that are prior authorized will be based on the client's level of need, level of medical involvement and complicating psychosocial factors.

(c) Any additional requests for Case Management for Children and Pregnant Women services must also be prior authorized. Required documentation must be submitted to the department for review and disposition before any additional services may be prior authorized.

§27.9.Applicant Qualifications.

(a) The minimum qualifications for a Case Management for Children and Pregnant Women applicant are:

(1) completion and approval of an application for Case Management for Children and Pregnant Women as defined in §27.1 of this title (relating to Definitions);

(2) agreeing to comply with the department rules, policies and procedures on Case Management for Children and Pregnant Women and the applicable statutory provisions;

(3) agreeing to comply with applicable state and federal laws governing participation of providers in the Medicaid program; and

(4) employment of case managers with the following qualifications:

(A) Registered nurse (with a diploma, an associate's, bachelor's or advanced degree) or Social Worker (with bachelor's or advanced degree), currently licensed by the respective Texas licensure board and whose license is not temporary or provisional in nature; and

(B) possessing two years of cumulative paid full-time work experience or two years of supervised, full-time educational internship/practicum experience in the past ten years with children, up to age 21, and/or pregnant women. Experience must include assessing the psychosocial and health needs of and making community referrals for these populations.

(5) agreeing to comply with all licensure requirements of the case manager(s) respective state licensure/examining boards including the obligation to report all suspected child abuse/neglect; and

(6) knowledge of and coordination with providers of health and health-related services and other active community resources.

(b) A case manager employed in an approved Targeted Case Management for Pregnant Women and Infants or Texas Health Steps Medical Case Management agency at the time of implementation of these rules but who does not meet the licensure, educational and/or experience requirements outlined in subsection (a)(4)(A) and (B) of this section, is eligible to continue to provide case management services until the case manager leaves the employ of that agency unless state licensure law does not allow the case manager to provide the services.

(c) An applicant under investigation or being sanctioned by the department or any other State of Texas or Federal Governmental agency will not be approved as a case management provider.

§27.11.Case Management Provider Requirements.

In order to remain a Case Management Provider, an individual or agency must:

(1) comply with applicable state and federal laws and regulations governing participation of providers in the Medicaid program;

(2) maintain provider status with the department;

(3) develop and maintain a system for Case Management for Children and Pregnant Women services incorporating the following elements:

(A) Case Management for Children and Pregnant Women services in locations convenient for the eligible recipient to facilitate face-to-face contact;

(B) Provision of Case Management for Children and Pregnant Women services in order to assist eligible recipients in accessing necessary medical, social, educational, and other services;

(C) a comprehensive resource directory, updated at least annually, which contains the names, addresses, and telephone numbers of providers of health and health-related services including, but not limited to: physicians; other primary care providers; Early Childhood Intervention (ECI); Children with Special Health Care Needs (CSHCN); Special Supplemental Nutrition Program for Women, Infants and Children (WIC); rehabilitation services; the Medicaid Medical Transportation Program (MTP); the Texas Information and Referral Network, and locally active community services;

(D) an internal quality assurance plan that includes, but is not limited to, chart reviews and staff observation;

(E) a current list of opened and closed client records;

(F) an accounts receivable system through which billed claims will be tracked and matched with paid claims and client records to assure claims are billed and paid for correct dates of service, were billed with appropriate procedure codes and are not duplicative of other claims for the same client;

(G) outreach activities that assure individualized referrals. The following activities may impede client choice and therefore are prohibited:

(i) door to door, telephone or other cold-call marketing or solicitation of clients by providers;

(ii) the distribution of materials to Case Management for Children and Pregnant Women recipients that can reasonably be interpreted as intended to market the provider's services;

(iii) the distribution of any false or materially misleading materials to Case Management for Children and Pregnant Women recipients;

(iv) obtaining lists of Medicaid clients without a specific referral;

(v) offering incentives for enrollment into case management services; and/or

(vi) entering into exclusive referral relationships with referral sources.

(4) assure Case Management for Children and Pregnant Women services will be provided by approved case managers who meet the qualifications defined in §27.9 and §27.11 of this title (relating to Applicant Qualifications and Case Management Provider Requirements);

(5) assure that approved case managers:

(A) have received department-approved education and training regarding Case Management for Children and Pregnant Women;

(B) have the opportunity to participate in appropriate Medicaid, case management and THSteps workshops, seminars, and training;

(C) assume responsibility for all Case Management for Children and Pregnant Women services they provide to eligible recipients, including services by their designated support staff;

(D) participate in relevant motion or cost studies;

(E) agree to permit the department or its designee access to the Case Management for Children and Pregnant Women provider's records, and permit direct observation of case management activities for the purpose of determining the provider's suitability to continue participation as a Case Management for Children and Pregnant Women provider; and

(F) participate in local and/or regional case management systems/coalitions in accordance with program policies to assure cooperation and coordination with local health departments, the department's public health region(s), school districts and other Medicaid-approved case management providers as evidenced by:

(i) participation in community coalition meetings in accordance with program policy;

(ii) collaboration in planning case management delivery systems; and involvement in resolving case management problems.

(6) share information, within the limits of confidentiality, with the department and collaborating agencies to facilitate referral and monitoring of eligible recipients; and

(7) comply in a timely manner with all department data collection and reporting requirements.

§27.13.Application Process.

(a) Applications to become a Case Management for Children and Pregnant Women provider may be obtained by contacting the department or by accessing the department website.

(b) Applicants must include copies of documentation of all agency licenses, contracts and/or written agreements with their application.

(c) Applications must be typed and accompanied by all required supporting documentation set out in this subchapter. An original must be sent to the appropriate department regional office and one copy of the application must be submitted to the department central office.

(d) All applications shall be reviewed by the department staff. The review process shall be completed within 20 working days following receipt of an application.

(e) Incomplete applications shall not be approved and shall be returned to the applicant for completion.

(f) Applicants will be notified in writing of approval or non-approval by the department. Applicants must still enroll as Medicaid providers through Medicaid provider enrollment.

(g) Applicants who have submitted complete applications and who are not approved by the department to provide case management services must wait, at a minimum, 6 months before resubmission of a new application.

§27.15.Case Management Provider Review and Monitoring Process.

(a) Approved providers will be monitored on an as-needed basis for compliance with rules and policies.

(b) Case managers or Case Management Providers who do not comply with program requirements may be terminated, placed on probationary status, referred to appropriate professional licensure entities for review, and/or referred for fraud and abuse investigation as described in department policies and procedures.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301861

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Chapter 32. CASE MANAGEMENT

Subchapter C. CASE MANAGEMENT FOR HIGH-RISK PREGNANT WOMEN AND HIGH-RISK INFANTS

25 TAC §§32.301 - 32.305, 32.307

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The Texas Department of Health (department) proposes the repeal of §§32.301 - 32.305 and §32.307, concerning case management for high-risk pregnant women and high-risk infants. Specifically, these sections cover definitions; eligible individuals; case management services; service limitations; provider qualifications and right to appeal.

Government Code, §2001.039, requires that each agency review and consider for readoption each rule adopted by that agency pursuant to the Government Code, Chapter 2001 (Administrative Procedure Act). The department has reviewed §§32.301 - 32.305 and §32.307 and determined that the proposed repeals are necessary because the subject of these rules will be incorporated into a new chapter proposed for adoption as described in this preamble.

The department published a Notice of Intention to Review §§32.301 - 32.305 and §32.307 in the Texas Register on November 19, 1999 (24 TexReg 10378). No comments have been received.

The proposed repeal of §§32.301 - 32.305 and §32.307 is necessary in order to combine services in new rules in Chapter 27, entitled Case Management for Children and Pregnant Women, of this title. Combining these sections in this new chapter will ensure integration of services to the eligible population for case management services, children with a health condition/health risk birth to 21 years and/or high-risk pregnant women of all ages. Specifically, the repealed sections cover definitions; eligible individuals; case management services; service limitations; provider qualifications, and the right to appeal. These rules are repeated in §§37.81 - 37.86 and were not repealed when §§32.301 - 32.305 and §32.307 were adopted.

The department also proposes the repeal of Early and Periodic Screening, Diagnosis, and Treatment, Subchapter J, Texas Health Steps Medical Case Management, §§33.501 - 33.506. Specifically, these repealed sections cover definitions, eligible recipients; THSteps Medical Case Management Services; service limitations; applicant and provider qualifications, and application, review and monitoring process.

The department at the same time is proposing the repeal of §§37.81 - 37.86 of this title concerning Medicaid case management for high risk pregnant women and high risk infants. Specifically, these sections cover introduction; definitions; case management services; provider qualifications; application and review process, and documents adopted by reference and will be integrated in the new Chapter 27 of this title.

The department also proposes new Chapter 27, Case Management for Children and Pregnant Women, §§27.1, 27.3, 27.5, 27.7, 27.9, 27.11, 27.13 and 27.15. The new sections are proposed as an effort to combine case management programs to meet the needs of pregnant women of all ages and children with a health condition/health risk birth to 21 years. Specifically, these new sections cover definitions; eligible recipients; case management service provision; service limitations; applicant and provider qualifications; and application, review and monitoring processes.

The department provides health services to women and children in Texas under authority of the Health and Safety Code, Chapter 32; the State Appropriations Act and the Social Security Act, Title V. The Targeted Case Management Program for High Risk Pregnant Women and High Risk Infants was established under the authority of federal law, Social Security Act, Title XIX, §1915(g). This authorizes states to provide case management as a distinct service to target populations, through a waiver from Health Care Financing Administration (HCFA), now the Centers for Medicare and Medicaid Services or CMS. The Health and Human Services Commission (HHSC) provides authority to the department to propose rules to administer certain Medicaid program services in Texas. Human Resources Code, §22.0031, requires the establishment of a program for the case management of high-risk pregnant women of all ages and high-risk children to age one.

The Government Code, §531.021, provides HHSC with the authority to propose rules to administer the state's medical assistance program. The current rules were submitted by the department under its agreement with HHSC to operate the Early and Periodic Screening, Diagnosis and Treatment (EPSDT) program, and as authorized under §1.07, Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2. The purpose of these sections is to make available medically necessary medical case management services mandated by EPSDT program. In Texas, the EPSDT program is known as Texas Health Steps (THSteps).

The proposed new rules for Case Management for Children and Pregnant Women will provide case management services to Medicaid eligible women of all ages who have a high risk pregnancy and to children with a health condition/health risk from birth to 21 years of age. The Medicaid Case Management for High Risk Pregnant Women and High Risk Infants Program, and the Texas Health Steps Medical Case Management Program, will become one program in the proposed new sections of Chapter 27 with the repeal of §§32.301 - 32.305, 32.307, 33.501 - 33.506, and 37.81 - 37.86. The new program will provide a greater continuity of services for all eligible recipients.

Ravi Rupsingh, M.P.A., Actuary, Actuary Analysis, HHSC, has determined for the first five years the repeals are in effect, there will be cost savings to the state through the combination of the two programs as described in this preamble. Total cost savings per year are $1,724,820, $6,153,493, $6,348,526, $6,549,411 and $6,745,893 in state fiscal years 2003, 2004, 2005, 2006 and 2007, respectively, for a total of $27,522,143 over these five state fiscal years. There will be no impact on local government.

Duane Thomas, Ph.D., Texas Department of Health, Director of Regional Case Management has also determined that for each of the first five years the repeals are in effect, anticipated public benefits include better access to primary care providers, preventative health services, other health services and community resources for children and pregnant women accessing the services. There will be costs to small businesses and micro-businesses. This was determined after concluding that the elimination of the Intake as a billable contact for Targeted Case Management for Pregnant Women and Infants providers will decrease the amount of reimbursement that these providers currently receive. The cost to small and micro-businesses for the first year of implementation is estimated to be $7,327 while the cost to large businesses for the first year of implementation is estimated to be $7,281. The estimated costs are based on the assumption that 70% of Targeted Case Management for Pregnant Women and Infants providers are large businesses and 30% of providers are small or micro-businesses. There will be no anticipated economic costs to persons who receive the services. The department has determined that the proposed repeals do not restrict or limit an owner's right to their property that would otherwise exist in the absence of governmental action and therefore does not constitute a taking under Government Code, §2007.043.

Comments on the proposal may be submitted to Cossy Hough, LMSW-ACP, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756, (512) 458-7111, extension 6664. Comments will be accepted for 30 days following publication of the proposal in the Texas Register .

A public hearing regarding this repeal will be held on April 8, 2003, from 1:00 p.m. to 4:00 p.m. at the Texas Department of Health, Board of Health Room, Room M739, 1100 West 49th Street, Austin, Texas 78756.

The repeals are proposed under the Health and Safety Code, §12.001, which provides the Board of Health (board) with the authority to adopt rules to implement every duty imposed by law on the board, the department and the commissioner of health; and under the Health and Safety Code, Chapter 32, which provides the board with the authority to establish maternal and infant health improvement services programs in the department to serve eligible recipients; the Human Resources Code, §22.0031, which mandates case management for high risk pregnant women and high risk infants; the Human Resources Code, Chapter 32, which enables the state to provide medical assistance; the Government Code, §531.021, which provides HHSC with the authority to propose rules to administer the state's medical assistance program and are submitted by the Texas Department of Health under its agreement with HHSC to operate the EPSDT program, and as authorized under §1.07 of the Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2.

The proposed repeals affect the Health and Safety Code, Chapter 32, the Human Resources Code, §22.0031 and Chapter 32.

§32.301.Definitions.

§32.302.Eligible Individuals.

§32.303.Case Management Services.

§32.304.Service Limitations.

§32.305.Provider Qualifications.

§32.307.Right To Appeal.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301862

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Chapter 33. EARLY AND PERIODIC SCREENING, DIAGNOSIS, AND TREATMENT

The Texas Department of Health (department) proposes amendments to §§33.13-33.14, 33.61-33.63, 33.66, 33.112, 33.122-33.123, 33.125, 33.131-33.135 the repeal of §33.139, and new §33.15 and §33.140 concerning the administration of Medicaid Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) services.

Specifically, the proposed amendments cover program purpose; outreach, informing and support services; recipient rights; confidentiality of records; consent; freedom of choice; eligibility for services; periodicity; periodic check-up due date; exceptions to timely delivery of Texas Health Steps (THSteps) services; medical check-up services; medical diagnosis and treatment services; approved medical check-up providers; primary responsibilities of medical check-up providers; and claims. The proposed new sections concern definitions and management of complaints. The proposed repeal covers replacement of hearing aids.

The proposed amendments will clarify program specifications, specify the components of the program that are administered by the department and delete obsolete terms. These amendments will also replace the terms "early and periodic screening, diagnosis and treatment (EPSDT)" with "Texas Health Steps (THSteps)" and replace the term "screening" with the word "check-up" throughout the chapter. Texas Health Steps is the name of the EPSDT program in Texas.

In addition, the amendments to §33.122 reflect that a THSteps medical check-up is recommended annually for adolescents, rather than biennially, beginning at age eleven. THSteps continues to emphasize the importance of separate counseling and anticipatory guidance for the child and the accompanying parent/guardian during the adolescent years. Currently THSteps adolescent-aged recipients are eligible to receive a medical check-up annually. In accordance with federal EPSDT regulations, proposed amendments to §33.131 add, "lead toxicity screening" as a component of a THSteps medical check-up. Currently THSteps includes lead toxicity screening as a component of a THSteps medical check-up. Proposed amendments to §33.133 expand the type of providers who can provide THSteps medical check-ups and proposed amendments to §33.135 reflect the responsibilities of the Health and Human Services Commission (HHSC) in relation to the claims administration portion of the THSteps program.

New §33.15 adds a definition section applicable throughout subchapters A, B, C, D, and E; and new §33.140 addresses complaints concerning unlawful activities and quality of care issues.

Section §33.139 is being proposed for repeal because the department no longer maintains the authority to implement this section. Authority to implement this section was moved to the HHSC on September 1, 2001. Also, the rule should be repealed rather than transferred to HHSC because the language in this section is obsolete and does not reflect requirements of the EPSDT program under current law. Under current EPSDT law, there is no limit on the number of replacement hearing aids for EPSDT recipients as long as they are medically necessary. At this time, HHSC does not limit the number of replacement hearing aids.

In addition, the title of Subchapter A has been changed from Penalties to General Provisions in order to more accurately reflect the subchapter's content.

Government Code, §2001.039, requires that each state agency review and consider for re-adoption each rule adopted by that agency pursuant to the Government Code, Chapter 2001 (Administrative Procedure Act). The department has reviewed the sections and has determined that reasons for adopting the sections continue to exist; however, the revisions are needed in order to reflect the changes to program administration and the laws that pertain to them.

The department published a Notice of Intention to Review for §§33.13-33.14, 33.61-33.63, 33.66, 33.112, 33.122-33.123, 33.125, 33.131-33.135, and 33.139, in the Texas Register on May 12, 2000 (25 TexReg 4358). No comments were received.

Linda M. Altenhoff, D.D.S., Director, Texas Health Steps and Medical Transportation Division, has determined that for each year of the first five years the sections are in effect, there will be no fiscal implications to state or local governments as a result of enforcing or administering the rules as proposed.

Dr. Altenhoff has also determined that for each year of the first five years the amended sections are in effect, the anticipated benefits include program clarification and more accurate reflection of the program's operations to Texas Health Steps recipients, families and providers. There will be no costs to micro-businesses or small businesses to comply with the sections as proposed. This was determined after concluding that there will be no new requirements or responsibilities imposed upon micro-businesses and small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no anticipated impact on local employment.

Comments on the proposal may be submitted to Linda Altenhoff, D.D.S., Director, Texas Health Steps and Medical Transportation Division, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756-3189, (512) 458-7745. Comments will be accepted for 30 days following publication of the proposal in the Texas Register .

A public hearing on the proposed sections will be held on Thursday, April 10, 2003, at 4:00 p.m., in the Texas Department of Health Auditorium (K-100), 1100 West 49th Street, Austin, Texas.

Subchapter A. GENERAL PROVISIONS

25 TAC §§33.13 - 33.15

The amendments and new section are proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed amendments and new section affect the Human Resources Code, Chapter 32.

§33.13. Purpose [ Legal Base ].

(a) The Texas Medicaid Early and Periodic, Screening, Diagnosis, and Treatment (EPSDT) program is a Title XIX federally-mandated program of prevention, diagnosis, and treatment for Medicaid recipients under age 21 years. In Texas, EPSDT is known as the Texas Health Steps (THSteps) program. The Texas Department of Health administers the medical and dental check-ups and treatment components of this program.

(b) [ The Texas Department of Health must provide required early and periodic screening, diagnosis, and treatment (EPSDT) screening and treatment services to eligible families or recipients who request these services. The periodicity schedule determines when specified screening services are delivered. The department must provide any ] THSteps check-up [ EPSDT ] services will be provided when requested by the recipient according to periodic eligibility for service . [ and when medically necessary. ] Other THSteps services will be provided when medical or dental necessity is established and federal financial participation is available.

(c) The rules in this subchapter implement the medical and dental check-up, dental treatment, and outreach and informing components of THSteps.

§33.14. Outreach, Informing , and Support Services .

(a) THSteps or its designee informs [ The Texas Department of Health must inform each family of the availability of ] THSteps [ EPSDT ] recipients and their families about THSteps services no later than 60 days after the Medicaid certification date and on a periodic basis thereafter using a combination of methods including written, oral, and in-person contact . This notification must be done in writing and /or in-person using [ face-to-face contact in ] clear, non-technical [ nontechnical ] language. THSteps uses [ The department must use ] procedures suitable for informing persons who are illiterate, blind, deaf, or who cannot understand the English language.

(b) THSteps recipients [ All new eligibles ] and families who become eligible after a period of Medicaid ineligibility are also informed about THSteps services upon recertification and on a periodic basis thereafter. [ must be properly informed. However, a family need not be informed more than twice in a 12-month period. Families with no member receiving any EPSDT services must be informed in writing of EPSDT at least once each year. ]

§33.15.Definitions.

The following words or terms, when used in Subchapters A, B, C, D, and E, shall have the following meanings unless the context clearly indicates otherwise:

(1) Accompanied--A parent, guardian or authorized adult who presents a recipient under age 15 at a THSteps medical or dental check-up, or treatment visit and continues to wait for the child while the check-up or treatment takes place. It is a requirement of §33.134(e) of this title (relating to Primary Responsibilities of Medical Check-up Providers) of Subchapter E that a recipient under the age of 15 be accompanied as a condition for reimbursement, unless services are provided by an exempt entity.

(2) Authorized adult--A person, including an adult related to the child, who is authorized by a child's parent or guardian to accompany that child to a THSteps medical or dental check-up or treatment visit.

(3) Board--The Texas Board of Health.

(4) EOB--Explanation of Benefits.

(5) EPSDT--Early and Periodic Screening, Diagnosis, and Treatment is a service of the Medicaid program. EPSDT provides medical and dental check-ups, diagnosis, and treatment to Medicaid eligible recipients younger than 21 years of age. EPSDT is known in Texas as Texas Health Steps, (THSteps).

(6) Exempt entity--A child-care facility (as defined in the Human Resources Code §42.002(3)), school health clinic, and Head Start programs that are exempt from the parental accompaniment requirement under §33.134(e) of this title of Subchapter E.

(7) FFP--Federal financial participation is the federal government's share of a state's expenditures under the Medicaid program.

(8) HHSC--The Health and Human Services Commission.

(9) Medicaid--The medical assistance program implemented by the State of Texas under the provisions of Title XIX of the Social Security Act, as amended, (42.U.S.C. §§1396-1396v).

(10) Parental Involvement--The encouragement and involvement in and management of the health care of children receiving services from an exempt entity as defined in paragraph (6) of this section. Parental involvement includes the exempt entity notifying the child's parent, guardian, or other authorized adult before each visit for a THSteps medical or dental check-up or treatment visit of the time and place of the child's appointment and encouraging the parent, guardian, or other authorized adult to attend. Notification shall be done by the means of communication determined by the exempt entity to be the most effective. Such communication must be documented and may include, but is not limited to, one or more of the following options: a home visit from an outreach worker, written or printed correspondence, or telephone contact.

(11) Recipient--An individual who has been determined eligible for Medicaid.

(12) R&S--A Remittance and Status report that provides information on pending, paid, denied, and adjusted claims.

(13) TDH--Texas Department of Health.

(14) THSteps--Texas Health Steps (THSteps) is the Texas name for the federally-mandated Medicaid service known as EPSDT.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301855

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter B. RECIPIENT RIGHTS

25 TAC §§33.61 - 33.63, 33.66

The amendments are proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed amendments affect the Human Resources Code, Chapter 32.

§33.61.Recipient Rights.

(a) Acceptance of THSteps [ all early and periodic screening, diagnosis, and treatment (EPSDT) ] services is [ must be ] voluntary. Acceptance or refusal of THSteps [ EPSDT ] services does not affect eligibility for or benefits of any other Medicaid [ department ] service.

(b) A recipient who refuses THSteps [ EPSDT ] services may, still subsequently [ at a later time, ] request and be provided such services if still eligible for Medicaid and THSteps .

(c) All THSteps [ EPSDT ] records about recipients are considered confidential information.

§33.62.Confidentiality of Records.

(a) Public laws [ law ] and Medicaid regulations prohibit the disclosure of information about Medicaid recipients without the recipient's consent, except for purposes directly connected with [ to ] the administration of the program (see 42 U.S.C. §1396a(a)(7); 42 C.F.R. §§431.301-431.306; Human Resources Code §§12.003 and 21.012; Government Code §552.101) . Eligibility and other information for which the recipient gives consent may [ information will ] be provided to THSteps [ screening, diagnosis and treatment ] providers [ and other information for which the recipient gives consent ]. Medicaid providers of THSteps services [ screening, diagnosis, and treatment ] are not considered directly connected with the administration of the program. Consequently, THSteps [ screening, diagnosis and treatment ] providers are not entitled to confidential information, including lists of names and addresses of recipients, without the consent of the recipient.

(b) Contracted agencies performing certain administrative functions are considered an extension of TDH [ the department ] in exercising its responsibility [ responsibilities ] to ensure effective THSteps program operations. Such agencies, including [ TDH and ] contractors for outreach, informing [ follow-up ], and transportation services , may receive confidential information without an individual recipient's consent to the extent that it is necessary in the administration of the contract. Pursuant to 42 U.S.C .§1396a(a)(7), 42 C.F.R. §§431.301-431.306 and Human Resources Code §12.003 [ However ], these agencies are bound by the same standards of confidentiality as TDH [ the department ]. They must provide effective safeguards to ensure confidentiality.

§33.63.Consent.

Consent by a person who may legally give consent is necessary for participation in THSteps [ EPSDT ]. Consent requires the free exercise of choice without any force, fraud, deceit, constraint, or coercion by an individual or his legally authorized representative. The basic elements necessary to consent include:

(1) - (4) (No change.)

(5) a statement that the person is free to deny [ not consent ] or withdraw consent and discontinue participation at any time without any loss of other Medicaid [ department ] benefits and services.

§33.66.Freedom of Choice.

(a) All THSteps [ EPSDT ] recipients have the right to choose participating providers of THSteps medical and [ screening, ] dental check-up [ ,and ] diagnosis , and treatment services.

(b) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301856

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter C. ELIGIBILITY

25 TAC §33.112

The amendment is proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed amendment affects the Human Resources Code, Chapter 32.

§33.112.Eligibility for Services.

[ All ] Medicaid recipients under age 21 are eligible for THSteps medical and dental check-ups, diagnosis, and treatment [ EPSDT ] services[ . Services can be continued ] through the month of the recipient's 21st birthday [ eligible recipient becomes 21 ].

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301857

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter D. PERIODICITY

25 TAC §§33.122, 33.123, 33.125

The amendments are proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed amendments affect the Human Resources Code, Chapter 32.

§33.122.Periodicity.

[ (a) The Texas Department of Health provides early and periodic screening, diagnosis, and treatment (EPSDT) services requested by recipients according to the recipient's periodic eligibility for service.]

(a) [ (b) ] THSteps comprehensive [ Comprehensive ] medical check-up [ screening ] services are available [ once ] at each of the following time periods:

(1) - (15) (No change.)

(16) 10 years [ through 11 years ];

(17) 11 years;

(18) [ (17) ] 12 years [ through 13 years ];

(19) 13 years;

(20) [ (18) ] 14 years [ through 15 years ];

(21) 15 years;

(22) [ (19) ] 16 years [ through 17 years ];

(23) 17 years;

(24) [ (20) ] 18 years [ through 19 years ];

(25) 19 years;

(26) [ (21) ] 20 years.

[ (c) Adolescent preventive service visits are available once at each of the following time periods:]

[ (1) 11 years;]

[ (2) 13 years;]

[ (3) 15 years;]

[ (4) 17 years; and]

[ (5) 19 years.]

(b) [ (d) ] Periodic routine dental check-up services are available for [ to ] eligible recipients one year of age and older once every six months , based on the [ last ] date of the recipient's last dental check-up [ services ].

§33.123.Periodic Check-up [ Screening ] Due Date.

The due date for medical check-ups [ periodic screening ] is [ defined as ] the starting date of a new period of eligibility for medical check-ups [ screening or for dental services ].

§33.125.Exceptions to Timely Delivery of THSteps Services .

Exceptions to standards for the timely delivery of THSteps services can be made if:

(1) the recipient or family loses eligibility. This means that the recipient or family does not have a valid Medicaid [ medical care ] identification form [ card ] or Medicaid verification letter for the date that a medical check-up [ screening ] or the first appointment [ encounter ] for diagnosis and treatment is scheduled;

(2) the recipient or family could not be located despite a good faith effort to do so. This means that no personal contact could [ can ] be made with an adult member of the recipient's family;

(3) the recipient's failure to receive necessary services in a timely manner was due to an action or decision of the family or recipient rather than a failure of THSteps or its designee [ the department ] to offer and provide support services.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301858

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter E. MEDICAL PHASE

25 TAC §§33.131 - 33.135, 33.140

The amendments and new section are proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed amendments and new sections affect the Human Resources Code, Chapter 32.

§33.131.Medical Check-up [ Screening ] Services.

(a) Medical check-up [ screening ] services are provided under the THSteps [ Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) ] Program to ensure that Medicaid recipients under 21 years of age have continuous access to preventive health care. The objectives of a medical check-up [ screening ] are the early detection of [ suspected ] health problems and the referral for definitive diagnosis and treatment when [ if ] indicated by the medical check-up [ screening ].

(b) [ (1) ] The following are components of a THSteps comprehensive medical check-up [ screening services are ]:

(1) [ (A) ] comprehensive health and developmental history (including physical and mental);

(2) [ (B) ] comprehensive unclothed physical examination;

(3) [ (C) ] developmental assessment;

(4) [ (D) ] immunizations appropriate for age and health history;

(5) [ (E) ] assessment of nutritional status;

(6) [ (F) ] vision testing;

(7) [ (G) ] hearing testing;

(8) [ (H) ] laboratory tests appropriate to age and risk , including lead toxicity screening ;

(9) [ (I) ] health education (includes anticipatory guidance); and

(10) [ (J) ] referral to a dentist for periodic, routine diagnosis, [ diagnostic ] and treatment services for recipients one year of age and older.

[ (2) The components of adolescent preventive service visits are health guidance to promote the health and well-being of adolescents/parents and screening for biomedical, behavioral, and emotional conditions relatively common to adolescents.]

§33.132.Medical Diagnosis and Treatment Services.

[ (a) ] Payment will be considered [ The Texas Department of Health (department) or its designee will consider payment on an exception basis ] for any service considered medically necessary and for which federal financial participation is available, [ the department is allowed to provide with Medicaid/Title XIX federal matching funds when required to diagnose or treat a condition identified during an EPSDT medical screening performed on or after April 1, 1990, whether or not the service is currently included in the Title XIX state plan. Services exceeding the Title XIX state plan coverage are ] subject to the following limitations:

(1) Service coverage is determined on an individual basis, requires prior approval for payment by HHSC [ the department ] or its designee, and is subject to periodic reassessment.

[ (2) Services must be medically necessary.]

(2) [ (3) ] Clients must be under age 21 and eligible for Medicaid on the date of service.

(3) [ (4) ] Payment for services will be made only to approved providers enrolled in the Texas Medicaid Program.

[ (b) Reimbursement for EPSDT medical diagnosis and treatment services will be based on existing Medicare and Medicaid fee schedules/profiles.]

§33.133.Approved Medical Check-up [ Screening ] Providers.

(a) Medical check-up [ screening ] providers include currently licensed:

(1) [ licensed ] physicians (MD or DO) ; [ and ]

(2) public or private health care providers or facilities that can perform the required medical check-up [ screening ] procedures under a physician's direction ;and [ . ]

(3) advanced practice nurses whose educational curriculum includedcourses of study in advanced pediatric physical assessment of infants, children and adolescents.

(b) Providers as defined in subsection (a) of this section must be enrolled as Medicaid and THSteps providers in order to submit claims to receive reimbursement for medical check-ups.

[ (b) To be eligible for reimbursement, screening providers must be enrolled as screening providers by the department or its designee.]

§33.134.Primary Responsibilities of Medical Check-up [ Screening ] Providers.

[ (a) ] The primary responsibilities of medical check-up [ screening ] providers are:

(1) to conduct medical check-ups [ screening ] according to policies and procedures established by TDH [ the Texas Department of Health ];

(2) to provide clinic surroundings which will establish a good relationship between clinic personnel, the recipient, and the recipient's family;

(3) to interpret medical check-up [ screening ] results to the recipient or the recipient's parent, conservator, or responsible adult, [ and/or recipient ] during the course of the medical check-up [ exit interview ];

(4) to make referrals for needed follow-up diagnosis and treatment services; and

(5) to ensure a recipient under age 15 is accompanied by a parent, guardian or authorized adult [ presents a recipient under age 15 ] at a THSteps [ an EPSDT ] medical check-up [ checkup and continues to wait for the child while the checkup takes place ] unless the services are provided by an exempt entity and if the exempt entity [ a school health clinic, Head Start program, or child-care facility (as defined in the Human Resources Code, §42.002(3)) if the clinic, program or facility ] :

(A) obtains written consent to the services, which has not been revoked, from the child's parent or guardian within the one-year period prior to the date the services are provided; and

(B) encourages parental involvement in and management of the health care of the children receiving services from the clinic, program, or facility.

[ (b) The term "authorized adult" means a person, including an adult related to the child, who is authorized by a child's parent or guardian to accompany a child to a Texas Health Steps medical checkup.]

[ (c) The term "parental involvement" applies only to school health clinics, Head Start programs, and child-care facilities which are exempt from the parental accompaniment requirement under subsection (a)(5) of this section. The term means exempt entities shall encourage parental involvement in and management of the health care of children receiving services from the clinic, program, or facility by notifying the child's parent, guardian, or other authorized adult before each visit for an EPSDT medical checkup of the time and place of the child's appointment and encouraging the parent, guardian, or other authorized adult to attend. The parent, guardian, or other authorized adult shall be notified in a timely manner by the means of communication determined by the clinic, program, or facility to be most effective. Such communication must be documented and may include, but is not limited to, one or more of the following options: a home visit from an outreach worker, written or printed correspondence, or telephone contact.]

§33.135.Claims - Time Limits, Return, and Denial.

(a) The THSteps [ Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) ] Program has time limits for submitting claims. Payment is denied if these [ the ] time limits [ frames ] are not met. Time limits are as follows:

(1) THSteps [ EPSDT ] medical check-up provider [ screening ] claims must be received by HHSC or its designee [ the health insuring agent ] within 95 days from each date of service on the claim.

[ (2) Claims for diagnostic and treatment services must be received by the health insuring agent within 95 days from each date of service on the claims.]

(2) [ (3) ] If a service is billed to another insurance resource, the claim must be received by HHSC or its designee within 95 days of the claim disposition by the other resource.

(3) [ (4) ] If a service is billed to a third-party resource that has not responded, the claim must be received by HHSC or its designee [ the health insuring agent ] within 365 days [ 12 months ] of the service date; however, the claim must not be submitted to HHSC or its designee [ the health insuring agent ] before 110 days after the third party has been billed.

(b) All appeals of denied claims and requests for claims adjustments must be received by HHSC or its designee [ the health insuring agent ] within 180 days from the date of the last denial of and/or adjustment to the original claim.

(c) Claims received by HHSC or its designee [ the health insuring agent ] which are lacking the information necessary for processing are listed on the R&S report with an EOB code requesting the missing information [ denied as incomplete claims ]. The resubmission of the claim containing the necessary information must be received by HHSC or its designee [ the health insuring agent ] within 180 days from the date on the R&S to be considered for payment [ last denial date ].

§33.140.Management of Complaints.

TDH will report all allegations of Medicaid fraud and other unlawful activities to the appropriate authority for review of the allegations and determination of the appropriate action as defined in TDH policy. TDH will refer all complaints alleging quality of care issues to the appropriate licensing or regulatory authority.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301859

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


25 TAC §33.139

(Editor's note: The text of the following section proposed for repeal will not be published. The section may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The repeal is proposed under the Human Resources Code, §32.021(c), which allows the department to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the Commissioner of Health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapter 15, §1.07.

The proposed repeal affects the Human Resources Code, Chapter 32.

§33.139.Replacement of Hearing Aids.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301860

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Chapter 33. EARLY AND PERIODIC SCREENING, DIAGNOSIS, AND TREATMENT

The Texas Department of Health (department) proposes amendments to §§33.301-33.304, 33.334, 33.351-33.358, new §§33.305-33.311, 33.314-33.315, 33.317-33.320, 33.331, and the repeal of §§33.305-33.309, 33.312-33.318, and 33.331-33.333 concerning the Texas Health Steps dental services.

Specifically, the proposed amendments to §§33.301-33.304 cover definitions; oral evaluations and dental services; preventive dental services, and therapeutic dental services. Proposed new §§33.305-33.311 covers orthodontic services limitations, eligibility for orthodontic services, payment limitations for orthodontic services, emergency dental services; allowable services and limitations; eligibility for Texas Health Steps dental services, and requirements for provider enrollment and continuing participation. Proposed new §§33.314-33.315 cover charges to recipients and payment of claims. Proposed new §§33.317-33.320 cover change to another provider; and standards of care. Proposed new §33.331 covers the purpose of the dental utilization review process; the proposed amendment to §33.334 covers post-payment orthodontic review; the proposed amendments to §§33.351-33.352 cover types of department utilization reviews and selection of dentists for department utilization review. The proposed amendment to §§33.353 adds a requirement that the notice to providers of a utilization review be in writing. The proposed amendments to §§33.354-33.358 cover provider cooperation, disposition of department utilization review results, recoupment of overpayments as a result of department utilization review, administrative actions and/or sanctions and referral for investigation of fraud or program abuse.

Specifically, the proposed repeals of §§33.331-33.333 cover orthodontic service limitations, eligibility for orthodontic services and payment limitations for orthodontic services.

The department also proposes new §§33.319-33.320 that covers management of complaints and performance of dental services.

The proposed amendments to §33.301 add new definitions; the proposed amendments to §33.302 exclude non-applicable language to the section while clarifying service limitations; the proposed amendments to §§33.303-33.304 ensure consistency in service standards; new §33.305 is renamed Orthodontic Services Limitations and incorporates language from proposed repealed §33.333 while excluding language concerning emergency dental services. Proposed new §33.306 is retitled Eligibility for Orthodontic Services, excludes language concerning allowable services and limitations and includes language from the proposed repeal of §33.332. Proposed new §33.307 is renamed Payment Limitations for Orthodontic Services, excludes language concerning eligibility and adds language regarding payment limitations for orthodontic services. Proposed new §33.308, renamed Emergency Dental Services, excludes language regarding provider enrollment and continuing participation requirements while adding language concerning emergency dental services. Proposed repeal of §33.309 excludes language concerning termination of a provider agreement, as the department no longer maintains the authority to enforce those provisions. Proposed new §33.309 adds language relating to allowable services and limitations.

Proposed new §33.310, renamed as Eligibility for THSteps Dental Services, excludes language pertaining to maximum payment and adds language concerning eligibility for THSteps dental services. Proposed new §33.311 is renamed as Requirements for Provider Enrollment and Continuing Participation, and appropriate language pertinent to the new title is added. The proposed repeal of §33.312 excludes language that covered charges to recipients.

Language relating to payment of claims is excluded from the repeal of §33.313. Proposed new §33.314 adds a new title, Charges to Recipients, as well as language appropriate to the new title. The previous title, Claims - Time Limits, Submission and Denial is deleted in the repeal of §33.316; the repeal also excludes language pertaining to this title as the department is not authorized to set time limits on claim submission and denial.

Proposed new §33.315 renames this section as Payment of Claims and adds appropriate language to this section. The prior title of this section, Changes to Another Provider, is deleted and moved to proposed new §33.317. Pertinent language relating to change to another provider is also moved to proposed new §33.317.

Language relating to Standards of Care is excluded in the repeal of §33.316 and moved to proposed new §33.318.

Proposed new §33.317 is renamed as Change to Another Provider and adds language pertinent to the new title. The former title of this section, Management of Complaints and accompanying language is moved to proposed new §33.319.

Proposed new §33.318 is renamed as Standards of Care and incorporates language pertinent to the new title. The prior name of this section, Performance of Dental Services and relevant language, is moved to proposed new §33.320.

Proposed new §33.331 is renamed as Purpose and explains the purpose of the dental utilization review process. The prior name of this section, Orthodontic Services Limitation, and accompanying language is moved to proposed amended §33.305.

Proposed amended §33.334 restructures pertinent portions for clarity. Proposed amended §33.351 clarifies the responsibility of the department and HHSC related to utilization reviews. Proposed amended §33.352 adds stricter standards and designates the proper entity to which complaints should be made.

Proposed amended §33.353 requires that providers be notified in writing of a utilization review.

Proposed amended §33.354 restructures the section for clarity; proposed amended §33.355 adds a new standard concerning review results and also reflects changes in the entity that may forward utilization results to the Office of Investigations and Enforcement at the Health and Human Services Commission.

Government Code, §2001.039, requires that each state agency review and consider for readoption each rule adopted by that agency pursuant to the Government Code, Chapter 2001 (Administrative Procedure Act). The department has reviewed §§33.301-33.309, 33.312-33.318 and §§33.331-33.334, and §33.351-33.358 and has determined that reasons for adopting these sections continue to exist. However, the rules need revision as described in this preamble.

The department published a Notice of Intention to Review §§33.301-33.318 in the May 12, 2000 issue of the Texas Register (25 TexReg 4358). No comments were received. The department published a Notice of Intention to Review §§33.331-33.334, and 33.351-33.358 in the November 22, 2002 issue of the Texas Register (27 TexReg 10957). No comments were received.

Lee Johnson, Financial Management Division Director, has determined that for each year of the first five-year period the revised sections are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the sections as proposed.

Jerry W. Felkner, State Dental Director, Division of Oral Health, has determined that for each year of the first five years these sections are in effect, the public benefit anticipated as a result of enforcing the sections will be a more effective and efficient provision of Texas Health Steps dental services to eligible recipients. Additionally, the proposed sections will provide more specific guidance to providers and recipients. The rules will have no adverse economic effect on micro-businesses and/or small businesses because the sections do not add any new or additional requirements on either eligible providers or recipients. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no anticipated impact on local employment.

Comments on the proposal may be submitted to Mike McAnally, Program Policy Analyst, Division of Oral Health, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756, (512) 458-7323. Comments will be accepted for 30 days following publication of this proposal in the Texas Register .

The department's Board of Health (board) voted on the proposed repeal of §§33.310 - 33.311 concerning reimbursement rates. Subsequent to the board's approval on February 28, 2003, and prior to this publication, the Health and Human Services Commission transferred 25 TAC §§33.310 - 33.311 to 1 TAC §§355.8443 and 355.8445. The transfer was filed by the Health and Human Services Commission with the Office of the Secretary of State on March 4, 2003, and was published in the March 21, 2003, issue of the Texas Register (28 TexReg 2523). Therefore, the repeal of §§33.310 - 33.311 is not included in this proposal.

Subchapter G. DENTAL SERVICES

25 TAC §§33.301 - 33.311, 33.314, 33.315, 33.317 - 33.320

The amendments and new sections are proposed under the Health and Safety Code, §32.021, which allows the Texas Department of Health to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the commissioner of health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program, also known as THSteps, as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapters 15, §1.07.

The proposed amendments and new sections affect the Human Resources Code, Chapter 32.

§33.301.Definitions.

The following words and terms , when used in Subchapters G and H of this chapter, shall have the following meanings, unless the context clearly indicates otherwise.

(1) Accompanied--A parent, guardian or authorized adult who presents a recipient under age 15 at a Texas Health Steps (THSteps) [ an EPSDT ] medical or dental check-up, [ checkup ] or treatment visit and continues to wait for the child while the check-up [ checkup ] or treatment takes place. It is a requirement of §33.318 of this title (relating to Standards of Care) that a recipient under the age of 15 be accompanied as a condition of reimbursement, unless services are provided by an exempt entity.

(2) Authorized adult--A person, including an adult related to the child, who is authorized by a child's parent or guardian to accompany a child to a THSteps [ Texas Health Steps ] medical or dental check-up or treatment visit [ checkup ].

(3) Adjusted Fee--The fee which results from action taken by the HHSC or its designee in some instances in order to reduce the fee billed by the provider to below the maximum amount which can be billed.

(4) [ (3) ] Dental necessity-- For [ for ] dental services or products provided, whether a prudent dentist would provide the service or product to a patient to diagnose, prevent, or treat orofacial pain, infection, disease, dysfunction, or disfiguration in accordance with generally accepted practices:

(A) of the professional dental community;

(B) within the American Dental Association's Dental Practice Parameters, published by the American Dental Association, Revised 1997; and/or

(C) within the Quality Assurance Criteria of the American Academy of Pediatric Dentistry, as applicable, published in Pediatric Dentistry, Journal of the American Academy of Pediatric Dentistry, Reference Manual, 2000-2001, Volume 22, Number 7.

[ (4) Department--The Texas Department of Health.]

(5) Division--The Division of Oral Health of the Texas Department of Health.

(6) EOB--Explanation of Benefits.

(7) [ (5) ] EPSDT-- Early and Periodic Screening, Diagnosis, and Treatment [ (EPSDT)-- ] is a service of the Medicaid program. EPSDT provides medical and dental check-ups, diagnosis and treatment to Medicaid eligible recipients younger than 21 years of age. EPSDT is known in Texas as Texas Health Steps. [ A component of the Medicaid program, also known as Texas Health Steps (THSteps), which provides medical check-up and dental services to Medicaid and Texas Health Steps clients under age 21 years. ]

(8) Exempt entity--A child-care facility (as defined in Human Resources Code §42.002(3)), school health clinic, and Head Start programs which are exempt from the parental accompaniment requirement under §33.318 of this title (relating to Standards of Care).

(9) FFP--Federal financial participation is the federal government's share of a State's expenditures under the Medicaid program.

(10) [ (6) ] HHSC-- The Health and Human Services Commission.

(11) [ (7) ] Manual--The Texas Medicaid Provider Procedures Manual, including all updates published in the Texas Medicaid Bulletin.

(12) [ (8) ] Medicaid-- The medical assistance program implemented by the State of Texas under the provisions of Title XIX of the Social Security Act, as amended (42 U.S.C. §§1396-1396v). [ A medical and dental program provided under Title XIX of the federal Social Security Act and the Human Resources Code, Chapter 32 ].

(13) OHSAC--The Oral Health Services Advisory Committee is the official body which assists the TDH Division of Oral Health by providing review, advice, and recommendations regarding a variety of subjects related to the operations and policy of the Division.

(14) [ (9) ] OIE--The Office of Investigations and Enforcement at the Health and Human Services Commission.

(15) [ (10) ] Parental involvement-- The encouragement and involvement in and management of the health care of children receiving services from an exempt entity as defined in paragraph (8) of this section. Parental involvement includes the exempt entity [ this term applies only to school health clinics, Head Start programs, and child-care facilities which are exempt from the parental accompaniment requirement under §33.316(c) of this title (relating to Standards of Care). The term means exempt entities shall encourage parental involvement in and management of the health care of children receiving services from the clinic, program, or facility by ] notifying the child's parent, guardian, or other authorized adult before each visit for a THSteps [ an EPSDT ] medical or dental check-up [ checkup ] of the time and place of the child's appointment and encouraging the parent, guardian, or other authorized adult to attend. Notification shall be done by [ The parent, guardian, or other authorized adult shall be notified in a timely manner by ] the means of communication determined by the exempt entity [ clinic, program, or facility ] to be the most effective. Such communication must be documented and may include, but is not limited to, one or more of the following options: a home visit from an outreach worker, written or printed correspondence or telephone contact.

(16) [ (11) ] Recipient-- An individual who has been determined eligible for Medicaid [ A Medicaid-enrolled client ].

(17) R & S--A Remittance and Status report which provides information on pending, paid, denied, and adjusted claims.

(18) [ (12) ] SBDE--The State Board of Dental Examiners.

(19) TDH--Texas Department of Health.

(20) THSteps--Texas Health Steps is the Texas name for the federally-mandated Medicaid service known as EPSDT.

§33.302.Oral Evaluations and Dental Services.

[ (a) The name of the Early and Periodic Screening, Diagnosis, and Treatment program has been changed to Texas Health Steps.]

(a) [ (b) ] In addition to initial and periodic diagnostic oral evaluations, which may include radiographs and other diagnostic tests, three categories of dental services are available--preventive, therapeutic, and emergency--as defined in the following sections. These services are described in the Medicaid dental fee schedule published annually by the TDH [ department ] in the manual. [ These services are subject to the limitations listed in the dental fee schedule and in the description of Texas Health Steps dental services in the manual. ] Prior authorization may be required for certain services. Services delivered must [ should ] conform to professionally recognized standards of care as recognized by the SBDE, and are subject to utilization review.

(b) Periodicity - Routine dental check-up services are available for eligible recipients one year of age and older once every six months, based on the date of the recipient's last dental check-up.

§33.303.Preventive Dental Services.

Preventive dental services include only the following :

(1)-(6) (No change.)

§33.304.Therapeutic Dental Services.

Therapeutic services include only the following :

(1)-(8) (No change.)

(9) orthodontics, as defined in §§33.305-33.307 [ §§33.331-33.334 ] of this title (relating to Orthodontic Services).

§33.305.Orthodontic Services Limitations.

(a) Orthodontic services are limited to treatment of severe handicapping malocclusion and other related conditions as described and measured by the procedures and standards published in the manual.

(b) Orthodontics for cosmetic reasons only is not an allowable service.

§33.306.Eligibility for Orthodontic Services.

(a) Recipients must be younger than 21 years of age and eligible for Medicaid and THSteps on the date that the prior authorization request for orthodontic services is approved in order to be eligible for orthodontic services.

(b) If a recipient reaches 21 years of age or becomes ineligible for Medicaid before orthodontic treatment is completed, payment may be provided to complete the single course of orthodontic treatment that was prior-authorized and initiated while the recipient was younger than 21 years of age and Medicaid-eligible.

§33.307.Payment Limitations for Orthodontic Services.

(a) Except for the initial orthodontic visit, all orthodontic services must be prior-authorized by HHSC or its designee according to the procedures described in the manual.

(b) A prior authorization is issued for a complete plan of orthodontic treatment and includes all procedures for completion of the single course of treatment to be accomplished over a specified period of time.

(c) A prior authorization for orthodontic services is not transferable to another provider.

(d) If a request for prior authorization of a plan of orthodontic services for a recipient is not approved, the provider may file a claim and receive payment to defray the costs of the diagnostic materials required for submitting the request. TDH policy in effect at the time of service delivery shall determine the number of denials for which reimbursement of costs shall be available.

§33.308.Emergency Dental Services.

(a) Emergency dental services are limited to the following:

(1) procedures necessary to control bleeding, relieve pain, and eliminate acute infection;

(2) operative procedures required to prevent imminent loss of teeth; and

(3) treatment of injuries to the teeth and supporting structures.

(b) Routine restorative procedures and root canal therapy are not emergency services.

(c) Prior authorization is not required for emergency dental services.

§33.309.Allowable Services and Limitations.

(a) For the most effective use of available funds and to offer services to as many recipients as possible, the TDH may impose certain limitations, such as those regarding allowable services and age, and others as described in the Medicaid dental fee schedule published in the manual.

(b) Payment shall be made only for services for which dental necessity has been established and for which FFP is available and that are delivered in accordance with the Medicaid program requirements in effect on the date of service.

(c) A prior authorization is not transferable to another provider.

§33.310.Eligibility for THSteps Dental Services.

(a) Persons are eligible for dental services if they have a current Texas Medicaid identification or Medicaid verification letter that indicates Medicaid and THSteps eligibility for the time period during which services are delivered, and they are under age 21. Providers may also verify eligibility for clients who do not have a Medicaid identification or Medicaid verification letter by contacting HHSC or its designee.

(b) Medicaid recipients under age 21 are eligible for THSteps medical and dental check-ups, diagnosis and treatment services through the month of the recipient's 21st birthday, except for recipients who already have an approved treatment plan for orthodontic services. If a recipient reaches age 21 or loses Medicaid eligibility before the authorized orthodontic treatment is completed, reimbursement is provided to complete the orthodontic treatment that was authorized and initiated while the recipient was younger than age 21, eligible for Medicaid and THSteps, and if such treatment is completed within 36 months.

(c) Recipients one year of age and older who are eligible for THSteps services may receive periodic, preventive dental services as defined in §33.303 of this title (relating to Preventive Dental Services) every six months.

(d) Recipients may receive THSteps dental check-ups beginning at 12 months of age and every six months thereafter through age 21. Recipients younger than 12 months of age are not eligible for routine dental examinations; however, they may be referred when a medical check-up identifies the necessity for dental services. Recipients younger than 12 months also can be seen for emergency dental services by the dentist for trauma or baby bottle tooth decay. Recipients up to age 21 may also self-refer for dental services.

§33.311.Requirements for Provider Enrollment and Continuing Participation.

(a) Dentists providing THSteps dental services must:

(1) be licensed by the SBDE;

(2) operate in accordance with the laws relating to the practice of dentistry and the rules and regulations of the SBDE;

(3) document the dental necessity of a stainless steel crown before the crown is applied by radiographs or other documentation methods established by the SBDE;

(4) comply with a minimum standard of documentation and record keeping for each of the dentist's patients, pursuant to 22 T.A.C. §§108.7-108.8, concerning SBDE minimum standards of care and documentation requirements, whether the patient's costs are paid privately or through the Texas Medicaid program;

(5) practice in the United States of America; and

(6) be enrolled as THSteps dental provider.

(b) Dentists who deliver emergency dental services as defined in §33.308 of this title (relating to Emergency Dental Services) to Medicaid and THSteps-eligible Texas recipients while the recipients are out of state are not required to be licensed by the SBDE, but must be authorized to provide Title XIX services in the state in which the services are delivered.

(c) Enrollment and continuing participation as a THSteps dental provider are voluntary. An application for enrollment may be denied and/or continuing participation may be terminated for any of the following reasons:

(1) disciplinary action(s) taken against the provider by the SBDE or the licensing entity of any other state;

(2) previous or current Medicaid or other federally funded health care program violation(s);

(3) prior imposition of sanctions by a regulatory entity of the State of Texas or any other state;

(4) failure of the provider to comply with THSteps program rules;

(5) a judgment in civil litigation or a criminal conviction based on fraud or abuse in Medicaid or any other federally funded health care program in any state. This includes a plea into a first offender program, misdemeanor, or felony;

(6) failure to comply with Family Code, §231.006, regarding payment of child support;

(7) notification from the HHSC OIE of adverse action taken against the provider; or

(8) any other reason authorized by rules, regulations, statute, or contract.

(d) A provider shall cease providing THSteps services and notify TDH, HHSC or its designee if the SBDE suspends or revokes the provider's license, unless the suspension or revocation is probated in its entirety and without conditions or limitations.

§33.314.Charges to Recipients.

(a) A provider shall not require a down payment before providing Medicaid-allowable services to eligible recipients.

(b) A provider shall not charge recipients for missed appointments.

(c) If the denial or reduction of a dental claim is the result of any of the following errors that are attributed to the provider, a provider shall neither bill, nor take recourse against an eligible recipient for services that are within the amount, duration, and scope of benefits of THSteps:

(1) failure to submit a claim, including claims not received by the HHSC or its designee;

(2) failure to submit a claim within the filing deadlines;

(3) filing of an incorrect paper or electronic claim;

(4) failure to resubmit a corrected paper or electronic claim within the appropriate time period;

(5) failure to appeal a claim denial within the appropriate time period; or

(6) errors made in claims preparation, appeal submission, or the appeal process.

(d) A provider may bill a recipient for a dental service or item only if:

(1) a request for prior authorization or a claim for payment for the service or item did not establish dental necessity, the service or item is not a benefit of the Medicaid program, or the service or item is not allowable according to program rules and policy requirements; and

(2) the service or item was provided at the request of the recipient and the provider obtained a written client acknowledgment statement, as described in the manual, which was signed and dated by the recipient or the recipient's parent/guardian prior to the initiation of the specified dental service, and is retained in the recipient's dental record.

§33.315.Payment of Claims.

(a) The provider must accept payment by HHSC or its designee as payment in full for services.

(b) Providers will be reimbursed for allowable services delivered in accordance with applicable laws, regulations, operational instructions, and the provider agreement. Payment may be withheld or suspended for services not delivered in accordance with applicable rules and regulations. Medicaid payments will not be made for services that are allowable and payable by any other third-party insurer or assistance program.

(c) In the event of the provider's death, a completed claim will be considered for payment only if the executor of the estate signs the claim and the services were performed by the provider in accordance with the THSteps program requirements.

§33.317.Change to Another Provider.

(a) A provider may refer a recipient to another provider or discontinue treatment for any of the following reasons:

(1) treatment by a dental specialist, such as a pediatric dentist, periodontist, endodontist, orthodontist, or oral surgeon, is indicated;

(2) services needed are outside the skills or scope of practice of the initial provider; or

(3) documented failure by the recipient or the recipient's caretaker or guardian to keep appointments, documented noncompliance with the treatment plan, or documented conflicts with the recipient or recipient's family member(s).

(b) A recipient may select another provider if he or she so desires.

(c) The TDH may refer a recipient to another provider as a result of information obtained during a utilization review or resolution of a complaint from either the recipient or the provider or upon the provider's or recipient's documented request.

§33.318.Standards of Care.

(a) THSteps recipients or their parents or guardians who can give informed consent shall:

(1) receive information following an oral evaluation regarding:

(A) the dental diagnosis;

(B) scope of proposed treatment, including alternatives and risks;

(C) anticipated results; and

(D) need for administration of sedation or anesthesia, including risks.

(2) receive a full explanation of the treatment plan and give informed consent prior to its implementation.

(b) THSteps recipients shall:

(1) receive dental services specified in the treatment plan which meet the standards of care established by the laws relating to the practice of dentistry and the rules and regulations of the SBDE;

(2) receive dental services free from abuse or harm from the provider or the provider's staff; and

(3) receive only that treatment required to address documented dental necessity and which meets professionally recognized standards of health care as recognized by the SBDE.

(c) If the recipient is younger than 15 years of age and services are not provided by an exempt entity, the THSteps dental provider shall require that the recipient be accompanied by a parent, guardian, or another adult authorized by the parent or guardian to a THSteps dental appointment. If services are provided by an exempt entity, the exempt entity must, as a condition for reimbursement:

(1) obtain written consent to the services, which has not been revoked, from the child's parent or guardian, within the one-year period prior to the date services are provided; and

(2) encourage parental involvement in the management of the oral health care of the children receiving services from the clinic, program, or facility.

§33.319.Management of Complaints.

(a) The division administration has responsibility for the management of complaints and payments regarding dental providers and recipients. Complaints may be received in either written or verbal form and may originate from any source. In accordance with each agency's guidelines for referrals of complaints, the TDH shall refer a provider or recipient to the OIE, the SBDE, the TDH Office of Criminal Investigation, or the Texas Department of Human Services. The referral shall be in writing. If discrepancies or irregularities are reported to the TDH or found during a utilization review, the appropriate agency may take one or more administrative actions. The provider will be notified in writing of the review findings and of any proposed administrative action. This notification may occur before or after other action is taken by professional dental or governmental organizations.

(b) Referrals to other state agencies.

(1) The TDH shall refer to OIE based on OIE criteria. OIE criteria for referrals by the TDH include, but are not limited to, complaints or allegations of provider fraud or abuse, including program abuse; abuse or harm to a recipient; lack of medical or dental necessity; overbilling; soliciting or collecting unauthorized payments from recipients; or failure to refund payments to recipients. Such complaints or allegations shall be made in writing and forwarded to the OIE. The OIE may utilize staff from the TDH to assist in determining the validity of any complaints or allegations received. A TDH employee acting as an agent of OIE is governed by the parameters of authority and investigation for OIE.

(2) Complaints about the practice of dentistry as described in the Texas Dental Practice Act or the rules and regulations of the SBDE shall be made in writing to the SBDE.

(3) Allegations of fraud or program abuse committed by a THSteps recipient shall be reported to the appropriate authority for review of the allegations and determination of the appropriate action as defined in TDH policy.

§33.320.Performance of Dental Services.

All THSteps dental services shall be performed by the enrolled provider except for that work authorized to be done by a licensed dental hygienist, dental assistant, or dental technician in a dental laboratory on the premises where the dentist practices or in a commercial laboratory registered with the SBDE. The Texas Dental Practice Act and the rules and regulations of the SBDE define the scope of work that dental auxiliary personnel may perform. Any deviations from these practice limitations shall be reported to the SBDE and could result in sanctions or other actions being taken against the provider.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 24, 2003.

TRD-200301891

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


25 TAC §§33.305 - 33.309, 33.312 - 33.318

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The repeals are proposed under the Health and Safety Code, §32.021, which allows the Texas Department of Health to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the commissioner of health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program, also known as THSteps, as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapters 15, §1.07.

The proposed repeals affect the Human Resources Code, Chapter 32.

§33.305.Emergency Dental Services.

§33.306.Allowable Services and Limitations.

§33.307.Eligibility for Texas Health Steps Dental Services.

§33.308.Requirements for Provider Enrollment and Continuing Participation.

§33.309.Termination of a Provider Agreement.

§33.312.Charges to Recipients.

§33.313.Payment of Claims.

§33.314.Claims--Time Limits, Submission, and Denial.

§33.315.Change to Another Provider.

§33.316.Standards of Care.

§33.317.Management of Complaints.

§33.318.Performance of Dental Services.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 24, 2003.

TRD-200301892

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter H. DENTAL UTILIZATION REVIEW

25 TAC §§33.331 - 33.333

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The repeals are proposed under the Health and Safety Code, §32.021, which allows the Texas Department of Health to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the commissioner of health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program, also known as THSteps, as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapters 15, §1.07.

The proposed repeals affect the Human Resources Code, Chapter 32.

§33.331.Orthodontic Services Limitations.

§33.332.Eligibility for Orthodontic Services.

§33.333.Payment Limitations for Orthodontic Services.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 24, 2003.

TRD-200301893

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


25 TAC §§33.331, 33.334, 33.351 - 33.358

The new section and amendments are proposed under the Health and Safety Code, §32.021, which allows the Texas Department of Health to establish rules governing the Medicaid program; the Health and Safety Code, §12.001, which provides the Texas Board of Health (board) with authority to adopt rules for its procedures and the performance of each duty imposed by law on the board, the department and the commissioner of health; and the Government Code, §531.021, which provides the Health and Human Services Commission with the authority to administer the state's medical assistance program and are submitted by the department under its agreement with the Health and Human Services Commission to operate the Early and Periodic Screening, Diagnosis, and Treatment program, also known as THSteps, as authorized under Acts 1991, 72nd Legislature, First Called Session, Chapters 15, §1.07.

The proposed new section and amendments affect the Human Resources Code, Chapter 32.

§33.331.Purpose.

The purpose of the Dental Utilization Review process is to ensure program fiscal integrity and to respond to the federal mandate requiring that program dollars be spent only on services as allowed under THSteps and that the services be appropriately provided to eligible recipients.

§33.334.Post-payment Orthodontic Utilization Review.

(a) (No change.)

(b) As part of an orthodontic utilization review, a provider may be required to submit study models , [ and ] diagnostic work-up information and records at the provider's expense.

§33.351.Types of TDH [ Department ] Utilization Reviews.

(a) TDH, HHSC or its designee [ The department or its claims processing contractor ] may conduct utilization reviews through automated analysis of a provider's pattern(s) of practice, including peer group analysis. Such analysis may result in the subsequent conduct of an on-site utilization review. Utilization reviews may also be conducted [ The department or its claims processing contractor may conduct utilization reviews ] at the direction of OIE, according to HHSC rules.

(b) The TDH [ department ] may conduct dental utilization reviews which:

(1)-(2) (No change.)

(c) Dental utilization reviews shall be based on written procedures and screening criteria which are evaluated and updated periodically with input from practicing dentists , the OHSAC, and/or the SBDE . Criteria shall be objective, clinically valid, and compatible with established principles of dental care. The TDH [ department ] shall apply review and screening criteria with flexibility appropriate to the circumstances of each case.

§33.352.Selection of Dentists for TDH [ Department ] Utilization Review.

(a) An individual or group dental provider may be selected by the TDH [ department ] for a utilization review as a result of:

(1)-(2) (No change.)

(3) information or complaints received by the TDH [ department ], except those alleging fraud or abuse or concerning the practice of dentistry as described in §33.319 [ §33.317 ] of this title (relating to Management of Complaints).

(b) Providers suspected of program fraud or abuse shall [ will ] not be subject to a utilization review by the TDH [ department, but will instead be referred to ] . The TDH shall refer such providers to the OIE for disposition.

(c) The division shall refer complaints [ Complaints ] regarding the practice of dentistry [ will be referred ] to the SBDE.

§33.353.Notification to Provider of TDH [ Department ] On-Site Utilization Review.

(a) The TDH [ department ] shall give the provider at least 30 days written notice of the time and place of a utilization review, unless such notice would jeopardize an active investigation.

(b)-(c) (No change.)

§33.354.Provider Cooperation.

(a) The provider, the provider's associate(s) in a group practice, or the provider's office staff shall not contact, examine, or treat recipients identified as part of the utilization review [ (with the exception of emergency services as defined in §33.305 of this title (relating to Emergency Dental Services), or upon approval of the provider's request by the department) ] from the time the provider receives written notification identifying the recipients to be reviewed until notified in writing by the TDH [ department ] that normal contacts may be resumed. There are two exceptions to this exclusion:

(1) for emergency services as defined in §33.308 of this title (relating to Emergency Dental Services); or

(2) upon approval of the provider's request by the TDH.

(b)-(c) (No change.)

§33.355.Disposition of TDH [ Department ] Utilization Review Results.

The results of utilization reviews, either automated or on-site, shall be forwarded by the TDH or HHSC's designee [ department or by its claims processing contractor ] to the OIE for evaluation and final disposition. Results of a review which reflects no deviation from review standards shall [ will ] be forwarded [ mailed ] to the provider within 30 days of [ in a timely manner upon ] completion of the review.

§33.356.Recoupment of Overpayments as a Result of TDH [ Department ] Utilization Review.

If the results of a TDH [ department ] utilization review indicate overpayment for services delivered or that payment was made for services not delivered, recoupment is required. The appropriate agency or agency designee shall [ will ] notify the provider in writing of any overpayment identified and the method of recoupment to be used . [ A provider's recoupment obligation may involve either or both of the following: ]

[ (1) the dollar amount of the discrepancies in the claims reviewed; or]

[ (2) a dollar amount calculated by applying the monetary discrepancy rate found in the claims reviewed to all remaining claims for the types of services sampled with dates of service during the period under review.]

§33.357.Administrative Actions and/or Sanctions.

Evaluation of a utilization review may result in one or more of the following administrative actions or sanctions by the appropriate agency or the agency's designee:

(1)-(2) (No change.)

(3) recoupment of any overpayment identified according to §33.356 of this title (relating to Recoupment of Overpayments as a Result of TDH [ Department ] Utilization Review);

(4)-(8) (No change.)

§33.358.Referral for Investigation of Fraud or Program Abuse.

All allegation of Medicaid fraud and other unlawful activities will be reported to the appropriate authority for review of the allegations and determination of the appropriate action as defined in TDH policy. All complaints alleging quality of care issues will be referred to the appropriate licensing or regulatory authority. [ Suspected cases of fraud or abuse will be immediately referred to the OIE. Department utilization reviews will not be initiated on any provider suspected of fraud or abuse. ]

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 24, 2003.

TRD-200301894

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Subchapter J. TEXAS HEALTH STEPS MEDICAL CASE MANAGEMENT

25 TAC §§33.501 - 33.506

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The Texas Department of Health (department) proposes the repeal of §§33.501 - 33.506, concerning the Texas Health Steps Medical Case Management.

The proposed new rules for Case Management for Children and Pregnant Women will provide case management services to Medicaid eligible women of all ages who have a high risk pregnancy and to children from birth to 21 years of age with a health condition/health risk. The programs, Medicaid Case Management for High Risk Pregnant Women and High Risk Infants and the Texas Health Steps Medical Case Management will become one program due to the proposed repeal of §§32.301 - 32.305, §32.307, 33.501 - 33.506, and 37.81 - 37.86 of this title and will become proposed new sections of Chapter 27. The new program will provide a greater continuity of services for all eligible recipients.

Government Code, §2001.039, requires that each agency review and consider for readoption each rule adopted by that agency pursuant to the Government Code, Chapter 2001 (Administrative Procedure Act). The department has reviewed §§33.501 - 33.506 and determined that the proposed repeals are necessary because the subject of these rules will be incorporated into a new chapter proposed for adoption as described in this preamble.

The department published a Notice of Intention to Review §§33.501 - 33.506 in the Texas Register on December 10, 1999 (24 TexReg 11129). No comments have been received.

The proposed repeal of §§33.501 - 33.506 is necessary in order to combine services in new rules in Chapter 27, entitled Case Management for Children and Pregnant Women, of this title. Combining these sections in a new chapter will ensure integration of services to the eligible population for case management services, children with a health condition/health risk birth to 21 years and/or high-risk pregnant women of all ages. Specifically, the repealed sections cover definitions; eligible recipients; THSteps Medical Case Management services, services limitations, applicant and provider qualifications; and application, review and monitoring processes.

The department also proposes the repeal of §§32.301 - 32.305 and §32.307, of this title concerning case management for high-risk pregnant women and high-risk infants. Specifically these sections cover definitions; eligible individuals; case management services; service limitations; provider qualifications and the right to appeal. These sections are being proposed for repeal as they are repeated in §§37.81 - 37.86. Sections 32.301 - 32.305 and §32.307 were not repealed when §§37.81 - 37.86 were adopted.

The department at the same time is proposing the repeal of §§37.81 - 37.86 of this title concerning Medicaid case management for high-risk pregnant women and high-risk infants. Specifically, these sections cover introduction; definitions; case management services; provider qualifications; application and review process, and documents adopted by reference and will be integrated in the new Chapter 27 of this title.

The department also proposes new Chapter 27, Case Management for Children and Pregnant Women, §§27.1, 27.3, 27.5, 27.7, 27.9, 27.11, 27.13 and 27.15. The new sections are proposed as an effort to combine case management programs to meet the needs of pregnant women of all ages and children with a health condition/health risk birth to 21 years. Specifically, these new sections cover definitions; eligible recipients; case management service provisions; service limitations; applicant and provider qualifications; and application, review and monitoring processes.

The department provides health services to women and children in Texas under the authority of the Health and Safety Code, Chapter 32; the State Appropriations Act; and the Social Security Act, Title V. The Targeted Case Management Program for High Risk Pregnant Women and High Risk Infants was established under the authority of the Social Security Act, Title XIX, §1915(g). Section 1915(g) authorized states to provide case management as a distinct service to targeted populations, through a waiver from the Health Care Financing Administration (HCFA), now the Centers for Medicare and Medicaid Services or CMS. The Health and Human Services Commission (HHSC) provides authority to the department to propose rules to administer certain Medicaid program services in Texas. Human Resources Code, §22.0031, mandates case management for high-risk pregnant women and high-risk children to age one as provided under §1915(g) of the federal Social Security Act (42 U.S.C. §1396n). Case management for children up to age 21 is authorized under 42 U.S.C. §1396d.

The Government Code, §531.021, provides HHSC with the authority to propose rules to administer the state's medical assistance program. The current rules were submitted by the department under its agreement with HHSC to operate the Early and Periodic Screening, Diagnosis and Treatment (EPSDT) program, and as authorized under §1.07, Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2. The purpose of these sections is to make available medically necessary medical case management services mandated by EPSDT program. In Texas, the EPSDT program is known as Texas Health Steps (THSteps).

The proposed new rules for Case Management for Children and Pregnant Women will provide case management services to Medicaid eligible women of all ages who have a high risk pregnancy and to children from birth to 21 years of age who have a health condition/health risk. The programs, Medicaid Case Management for High Risk Pregnant Women and High Risk Infants and The Texas Health Steps Medical Case Management, will become one program in the proposed new sections of Chapter 27 with the proposed repeal of §§32.301 - 32.305, 32.307, 33.501 - 33.506, and 37.81 - 37.86. The new program will provide, through a larger provider base, more continuity of services for all consumers who are eligible for these services. The new program will provide a greater continuity of services for all eligible recipients.

Ravi Rupsingh, M.P.A., Actuary, Actuary Analysis, HHSC, has determined for the first five years the repeals are in effect, there will be cost savings to the state through the combination of the two programs as described in this preamble. Total cost savings per year are $1,724,820, $6,153,493, $6,348,526, $6,549,411 and $6,745,893 in state fiscal years 2003, 2004, 2005, 2006 and 2007, respectively, for a total of $27,522,143 over these five state fiscal years. There will be no impact on local government.

Duane Thomas, Ph.D., Texas Department of Health, Director of Regional Case Management has also determined that for each of the first five years the repeals are in effect, anticipated public benefits include better access to primary care providers, preventative health services, other health services and community resources for children and pregnant women accessing the services. There will be costs to small businesses and micro-businesses. This was determined after concluding that the elimination of the Intake as a billable contact for Targeted Case Management for Pregnant Women and Infants providers will decrease the amount of reimbursement that these providers currently receive. The cost to small and micro-businesses for the first year of implementation is estimated to be $7,327 while the cost to large businesses for the first year of implementation is estimated to be $7,281. The estimated costs are based on the assumption that 70% of Targeted Case Management for Pregnant Women and Infants providers are large businesses and 30% of providers are small or micro-businesses. There will be no anticipated economic costs to persons who receive the services. The department has determined that the proposed repeals do not restrict or limit an owner's right to their property that would otherwise exist in the absence of governmental action and therefore does not constitute a taking under Government Code, §2007.043.

Comments on the proposal may be submitted to Cossy Hough, LMSW-ACP, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756, (512) 458-7111, extension 6664. Comments will be accepted for 30 days following publication of the proposal in the Texas Register .

A public hearing regarding this repeal will be held on April 8, 2003, from 1:00 p.m. to 4:00 p.m. at the Texas Department of Health, Board of Health Room, Room M739, 1100 West 49th Street, Austin, Texas 78756.

The repeals are proposed under the Health and Safety Code, §12.001 which provides the Board of Health (board) with the authority to adopt rules to implement every duty imposed by law on the board, the department and the commissioner of health; and under the Health and Safety Code, Chapter 32, which provides the board with the authority to establish maternal and infant health improvement services programs in the department to serve eligible recipients; the Human Resources Code, §22.0031, which mandates case management for high risk pregnant women and high risk infants; the Human Resources Code, Chapter 32, which enables the state to provide medical assistance; the Government Code, §531.021, which provides HHSC with the authority to propose rules to administer the state's medical assistance program and are submitted by the Texas Department of Health under its agreement with HHSC to operate the EPSDT program, and as authorized under §1.07 of the Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2.

The repeals affect the Health and Safety Code, Chapter 32, the Human Resources Code, §22.0031 and Chapter 32.

§33.501.Definitions.

§33.502.Eligible Recipients.

§33.503.THSteps Medical Case Management Services.

§33.504.Service Limitations.

§33.505.Applicant and Provider Qualifications.

§33.506.Application, Review and Monitoring Processes.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301863

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236


Chapter 37. MATERNAL AND INFANT HEALTH SERVICES

Subchapter E. MEDICAID CASE MANAGEMENT SERVICES FOR HIGH RISK PREGNANT WOMEN AND HIGH RISK INFANTS

25 TAC §§37.81 - 37.86

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Department of Health or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The Texas Department of Health (department) proposes the repeal of §§37.81 - 37.86, concerning case management for high-risk pregnant women and high-risk infants.

Government Code, §2001.039, requires that each state agency review and consider for readoption each rule adopted by that agency pursuant to the Government Code, Chapter 2001 (Administrative Procedure Act). The department has reviewed §§37.81 - 37.86 and has determined that the proposed repeals are necessary because the subject of these rules will be incorporated into a new chapter proposed for adoption as described in this preamble.

The department published a Notice of Intention to Review §§37.81 - 37.86 in the Texas Register on January 28, 2000 (25 TexReg 602). No comments have been received.

The proposed repeal of §§37.81 - 37.86 is necessary in order to combine the affected sections in Chapter 27, entitled Case Management for Children and Pregnant Women. Combining these sections in this new chapter will ensure integration of services to the eligible population for case management services: children with a health condition/health risk birth to 21 years and/or high risk pregnant women of all ages. Specifically, the proposed repealed sections cover introduction, definitions, case management services; provider qualifications; application and review process; and documents adopted by reference.

The department also proposes repeal of §§32.301 - 32.305 and §32.307, of this title concerning case management for high-risk pregnant women and high-risk infants. Specifically these sections cover definitions; eligible individuals; case management services; service limitations; provider qualifications, and the right to appeal. These sections are being proposed for repeal as they are repeated in Chapter 37, §§37.81 - 37.86. Sections 32.301 - 32.305 and §32.307 were not repealed when §§37.81 - 37.86 were adopted. The proposed repeal is also necessary in order to combine the affected sections in a new chapter entitled Chapter 27, Case Management for Children and Pregnant Women.

The department at the same time is proposing the repeal of Early and Periodic Screening, Diagnosis and Treatment, Subchapter J, THSteps Medical Case Management Services, §§33.501 - 33.506. The repeal is necessary in order to combine these sections in new Chapter 27, Case Management for Children and Pregnant Women. Specifically, these sections cover definitions; eligible recipients; THSteps Medical Case Management services; service limitations; applicant and provider qualifications, and application, review and monitoring processes.

The department also proposes new Chapter 27, Case Management for Children and Pregnant Women, §§27.1, 27.3, 27.5, 27.7, 27.9, 27.11, 27.13 and 27.15. The new sections are proposed as an effort to combine case management programs to meet the needs of pregnant women of all ages and children with health conditions/health risk birth to 21 years. Specifically, these new sections cover definitions; eligible recipients; case management service provision; service limitations; applicant and provider qualifications; and application, review and monitoring processes.

The department provides health services to women and children in Texas under the authority of the Health and Safety Code, Chapter 32; the State Appropriations Act; and the Social Security Act, Title V. The Targeted Case Management Program for High Risk Pregnant Women and High Risk Infants was established under the authority of the Social Security Act, Title XIX, §1915(g). Section 1915(g) authorized states to provide case management as a distinct service to targeted populations, through a waiver from the Health Care Financing Administration (HCFA), now the Centers for Medicare and Medicaid Services or CMS. The Health and Human Services Commission (HHSC) provides authority to the department to propose rules to administer certain Medicaid program services in Texas. Human Resources Code, §22.0031, mandates case management for high-risk pregnant women and high-risk children to age one as provided under §1915(g) of the federal Social Security Act (42 U.S.C. §1396n). Case management for children up to age 21 is authorized under 42 U.S.C. §1396d.

The Government Code, §531.021, provides HHSC with the authority to propose rules to administer the state's medical assistance program. The current rules were submitted by the department under its agreement with HHSC to operate the Early and Periodic Screening, Diagnosis and Treatment (EPSDT) program, and as authorized under §1.07, Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2. The purpose of these sections is to make available medically necessary medical case management services mandated by EPSDT program. In Texas, the EPSDT program is known as Texas Health Steps (THSteps).

The proposed new rules for Case Management for Children and Pregnant Women will provide case management services to Medicaid eligible women of all ages who have a high risk pregnancy and to children with a health condition/health risk from birth to 21 years of age. Two programs, Medicaid Case Management for High Risk Pregnant Women and High Risk Infants, and the Texas Health Steps Medical Case Management, will become one program in the proposed new sections of Chapter 27 and the repeal of §§32.301-32.305, 32.307, 33.501 - 33.506, and 37.81 - 37.86. The new program will provide a greater continuity of services for all eligible recipients.

Ravi Rupsingh, M.P.A., Actuary, Actuary Analysis, HHSC, has determined for the first five years the repeals are in effect, there will be cost savings to the state through the combination of the two programs as described in this preamble. Total cost savings per year are $1,724,820, $6,153,493, $6,348,526, $6,549,411 and $6,745,893 in state fiscal years 2003, 2004, 2005, 2006 and 2007, respectively, for a total of $27,522,143 over these five state fiscal years. There will be no impact on local government.

Duane Thomas, Ph.D., Texas Department of Health, Director of Regional Case Management has also determined that for each of the first five years the repeals are in effect, anticipated public benefits include better access to primary care providers, preventative health services, other health services and community resources for children and pregnant women accessing the services. There will be costs to small businesses and micro-businesses. This was determined after concluding that the elimination of the Intake as a billable contact for Targeted Case Management for Pregnant Women and Infants providers will decrease the amount of reimbursement that these providers currently receive. The cost to small and micro-businesses for the first year of implementation is estimated to be $7,327 while the cost to large businesses for the first year of implementation is estimated to be $7,281. The estimated costs are based on the assumption that 70% of Targeted Case Management for Pregnant Women and Infants providers are large businesses and 30% of providers are small or micro-businesses. There will be no anticipated economic costs to persons who receive the services. The department has determined that the proposed repeals do not restrict or limit an owner's right to their property that would otherwise exist in the absence of governmental action and therefore does not constitute a taking under Government Code, §2007.043.

Comments on the proposal may be submitted to Cossy Hough, LMSW-ACP, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756, (512) 458-7111, extension 6664. Comments will be accepted for 30 days following publication of the proposal in the Texas Register .

A public hearing regarding this repeal will be held on April 8, 2003, from 1:00 p.m. to 4:00 p.m. at the Texas Department of Health, Board of Health Room, M739, 1100 West 49th Street, Austin, Texas 78756.

The repeals are proposed under the Health and Safety Code, §12.001, which provides the Board of Health (board) with the authority to adopt rules to implement every duty imposed by law on the board, the department and the commissioner of health; and under the Health and Safety Code, Chapter 32, which provides the board with the authority to establish maternal and infant health improvement services programs in the department to serve eligible recipients; the Human Resources Code, §22.0031, which mandates a program of case management for high risk pregnant women and high risk infants; the Human Resources Code, Chapter 32, which enables the state to provide medical assistance; the Government Code, §531.021, which provides HHSC with the authority to propose rules to administer the state's medical assistance program and are submitted by the Texas Department of Health under its agreement with HHSC to operate the EPSDT program, and as authorized under §1.07 of the Acts of the 72nd Legislature, First Called Session (1991), Chapter 15, as amended by the Acts of the 73rd Legislature, Chapter 747, §2.

The proposed repeals affect the Health and Safety Code, Chapter 32, the Human Resources Code, §22.0031 and Chapter 32.

§37.81.Introduction.

§37.82.Definitions.

§37.83.Case Management Services.

§37.84.Provider Qualifications.

§37.85.Application and Review Process.

§37.86.Documents Adopted by Reference.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 21, 2003.

TRD-200301864

Susan K. Steeg

General Counsel

Texas Department of Health

Earliest possible date of adoption: May 4, 2003

For further information, please call: (512) 458-7236