Bill Text: TX HB2327 | 2019-2020 | 86th Legislature | Comm Sub


Bill Title: Relating to preauthorization of certain medical care and health care services by certain health benefit plan issuers and to the regulation of utilization review, independent review, and peer review for health benefit plan and workers' compensation coverage.

Spectrum: Partisan Bill (Republican 4-0)

Status: (Engrossed - Dead) 2019-05-26 - House adopts conf. comm. report-reported [HB2327 Detail]

Download: Texas-2019-HB2327-Comm_Sub.html
 
 
  By: Bonnen of Galveston, Guillen H.B. No. 2327
        (Senate Sponsor - Buckingham, Schwertner)
         (In the Senate - Received from the House April 24, 2019;
  April 25, 2019, read first time and referred to Committee on
  Business & Commerce; May 20, 2019, reported adversely, with
  favorable Committee Substitute by the following vote:  Yeas 9,
  Nays 0; May 20, 2019, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR H.B. No. 2327 By:  Nichols
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to preauthorization of certain medical care and health
  care services by certain health benefit plan issuers and to the
  regulation of utilization review, independent review, and peer
  review for health benefit plan and workers' compensation coverage.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
  ARTICLE 1.  PREAUTHORIZATION
         SECTION 1.01.  Section 843.348(b), Insurance Code, is
  amended to read as follows:
         (b)  A health maintenance organization that uses a
  preauthorization process for health care services shall provide
  each participating physician or provider, not later than the fifth
  [10th] business day after the date a request is made, a list of
  health care services that [do not] require preauthorization and
  information concerning the preauthorization process.
         SECTION 1.02.  Subchapter J, Chapter 843, Insurance Code, is
  amended by adding Sections 843.3481, 843.3482, and 843.3483 to read
  as follows:
         Sec. 843.3481.  POSTING OF PREAUTHORIZATION REQUIREMENTS.
  (a)  A health maintenance organization that uses a
  preauthorization process for health care services shall make the
  requirements and information about the preauthorization process
  readily accessible to enrollees, physicians, providers, and the
  general public by posting the requirements and information on the
  health maintenance organization's Internet website.
         (b)  The preauthorization requirements and information
  described by Subsection (a) must:
               (1)  be posted:
                     (A)  except as provided by Subsection (c) or (d),
  conspicuously in a location on the Internet website that does not
  require the use of a log-in or other input of personal information
  to view the information; and
                     (B)  in a format that is easily searchable and
  accessible;
               (2)  except for the screening criteria under Paragraph
  (4)(C), be written in plain language that is easily understandable
  by enrollees, physicians, providers, and the general public;
               (3)  include a detailed description of the
  preauthorization process and procedure; and
               (4)  include an accurate and current list of the health
  care services for which the health maintenance organization
  requires preauthorization that includes the following information
  specific to each service:
                     (A)  the effective date of the preauthorization
  requirement;
                     (B)  a list or description of any supporting
  documentation that the health maintenance organization requires
  from the physician or provider ordering or requesting the service
  to approve a request for that service;
                     (C)  the applicable screening criteria, which may
  include Current Procedural Terminology codes and International
  Classification of Diseases codes; and
                     (D)  statistics regarding preauthorization
  approval and denial rates for the service in the preceding year,
  including statistics in the following categories:
                           (i)  physician or provider type and
  specialty, if any;
                           (ii)  indication offered;
                           (iii)  reasons for request denial;
                           (iv)  denials overturned on appeal; and
                           (v)  total annual preauthorization
  requests, approvals, and denials for the service.
         (c)  This section may not be construed to require a health
  maintenance organization to provide specific information that
  would violate any applicable copyright law or licensing agreement.  
  A health maintenance organization is required to supply, in lieu of
  any information withheld on the basis of copyright law or a
  licensing agreement, a summary of the withheld information
  sufficient to allow a licensed physician or provider, as applicable
  for the specific service, who has sufficient training and
  experience related to the service to understand the basis for the
  health maintenance organization's medical necessity or
  appropriateness determinations.
         (d)  If a requirement or information described by Subsection
  (a) is licensed, proprietary, or copyrighted material that the
  health maintenance organization has received from a third party
  with which the health maintenance organization has contracted, the
  health maintenance organization may, instead of making that
  information publicly available on the health maintenance
  organization's Internet website, provide the material to a
  physician or provider who submits a preauthorization request using
  a nonpublic secured Internet website link or other protected,
  nonpublic electronic means.
         Sec. 843.3482.  CHANGES TO PREAUTHORIZATION REQUIREMENTS.
  (a)  Except as provided by Subsection (b), not later than the 60th
  day before the date a new or amended preauthorization requirement
  takes effect, a health maintenance organization that uses a
  preauthorization process for health care services shall provide
  notice of the new or amended preauthorization requirement in the
  health maintenance organization's newsletter or network bulletin,
  if any, and on the health maintenance organization's Internet
  website.
         (b)  For a change in a preauthorization requirement or
  process that removes a service from the list of health care services
  requiring preauthorization or amends a preauthorization
  requirement in a way that is less burdensome to enrollees or
  participating physicians or providers, a health maintenance
  organization shall provide notice of the change in the
  preauthorization requirement in the health maintenance
  organization's newsletter or network bulletin, if any, and on the
  health maintenance organization's Internet website not later than
  the fifth day before the date the change takes effect.
         (c)  Not later than the fifth day before the date a new or
  amended preauthorization requirement takes effect, a health
  maintenance organization shall update its Internet website to
  disclose the change to the health maintenance organization's
  preauthorization requirements or process and the date and time the
  change is effective.
         Sec. 843.3483.  REMEDY FOR NONCOMPLIANCE.  In addition to
  any other penalty or remedy provided by law, a health maintenance
  organization that uses a preauthorization process for health care
  services that violates this subchapter with respect to a required
  publication, notice, or response regarding its preauthorization
  requirements, including by failing to comply with any applicable
  deadline for the publication, notice, or response, must provide an
  expedited appeal under Section 4201.357 for any health care service
  affected by the violation.
         SECTION 1.03.  Section 1301.135(a), Insurance Code, is
  amended to read as follows:
         (a)  An insurer that uses a preauthorization process for
  medical care or [and] health care services shall provide to each
  preferred provider, not later than the fifth [10th] business day
  after the date a request is made, a list of medical care and health
  care services that require preauthorization and information
  concerning the preauthorization process.
         SECTION 1.04.  Subchapter C-1, Chapter 1301, Insurance Code,
  is amended by adding Sections 1301.1351, 1301.1352, and 1301.1353
  to read as follows:
         Sec. 1301.1351.  POSTING OF PREAUTHORIZATION REQUIREMENTS.
  (a)  An insurer that uses a preauthorization process for medical
  care or health care services shall make the requirements and
  information about the preauthorization process readily accessible
  to insureds, physicians, health care providers, and the general
  public by posting the requirements and information on the insurer's
  Internet website.
         (b)  The preauthorization requirements and information
  described by Subsection (a) must:
               (1)  be posted:
                     (A)  except as provided by Subsection (c) or (d),
  conspicuously in a location on the Internet website that does not
  require the use of a log-in or other input of personal information
  to view the information; and
                     (B)  in a format that is easily searchable and
  accessible;
               (2)  except for the screening criteria under Paragraph
  (4)(C), be written in plain language that is easily understandable
  by insureds, physicians, health care providers, and the general
  public;
               (3)  include a detailed description of the
  preauthorization process and procedure; and
               (4)  include an accurate and current list of medical
  care and health care services for which the insurer requires
  preauthorization that includes the following information specific
  to each service:
                     (A)  the effective date of the preauthorization
  requirement;
                     (B)  a list or description of any supporting
  documentation that the insurer requires from the physician or
  health care provider ordering or requesting the service to approve
  a request for the service;
                     (C)  the applicable screening criteria, which may
  include Current Procedural Terminology codes and International
  Classification of Diseases codes; and
                     (D)  statistics regarding the insurer's
  preauthorization approval and denial rates for the medical care or
  health care service in the preceding year, including statistics in
  the following categories:
                           (i)  physician or health care provider type
  and specialty, if any;
                           (ii)  indication offered;
                           (iii)  reasons for request denial;
                           (iv)  denials overturned on appeal; and
                           (v)  total annual preauthorization
  requests, approvals, and denials for the service.
         (c)  This section may not be construed to require an insurer
  to provide specific information that would violate any applicable
  copyright law or licensing agreement.  An insurer is required to
  supply, in lieu of any information withheld on the basis of
  copyright law or a licensing agreement, a summary of the withheld
  information sufficient to allow a licensed physician or other
  health care provider, as applicable for the specific service, who
  has sufficient training and experience related to the service to
  understand the basis for the insurer's medical necessity or
  appropriateness determinations.
         (d)  If a requirement or information described by Subsection
  (a) is licensed, proprietary, or copyrighted material that the
  insurer has received from a third party with which the insurer has
  contracted, the insurer may, instead of making that information
  publicly available on the insurer's Internet website, provide the
  material to a physician or health care provider who submits a
  preauthorization request using a nonpublic secured Internet
  website link or other protected, nonpublic electronic means.
         (e)  The provisions of this section may not be waived,
  voided, or nullified by contract.
         Sec. 1301.1352.  CHANGES TO PREAUTHORIZATION REQUIREMENTS.
  (a)  Except as provided by Subsection (b), not later than the 60th
  day before the date a new or amended preauthorization requirement
  takes effect, an insurer that uses a preauthorization process for
  medical care or health care services shall provide notice of the new
  or amended preauthorization requirement in the insurer's
  newsletter or network bulletin, if any, and on the insurer's
  Internet website.
         (b)  For a change in a preauthorization requirement or
  process that removes a service from the list of medical care or
  health care services requiring preauthorization or amends a
  preauthorization requirement in a way that is less burdensome to
  insureds, physicians, or health care providers, an insurer shall
  provide notice of the change in the preauthorization requirement in
  the insurer's newsletter or network bulletin, if any, and on the
  insurer's Internet website not later than the fifth day before the
  date the change takes effect.
         (c)  Not later than the fifth day before the date a new or
  amended preauthorization requirement takes effect, an insurer
  shall update its Internet website to disclose the change to the
  insurer's preauthorization requirements or process and the date and
  time the change is effective.
         (d)  The provisions of this section may not be waived,
  voided, or nullified by contract.
         Sec. 1301.1353.  REMEDY FOR NONCOMPLIANCE. (a)  In addition
  to any other penalty or remedy provided by law, an insurer that uses
  a preauthorization process for medical care or health care services
  that violates this subchapter with respect to a required
  publication, notice, or response regarding its preauthorization
  requirements, including by failing to comply with any applicable
  deadline for the publication, notice, or response, must provide an
  expedited appeal under Section 4201.357 for any medical care or
  health care service affected by the violation.
         (b)  The provisions of this section may not be waived,
  voided, or nullified by contract.
  ARTICLE 2.  UTILIZATION, INDEPENDENT, AND PEER REVIEW
         SECTION 2.01.  Section 4201.002(12), Insurance Code, is
  amended to read as follows:
               (12)  "Provider of record" means the physician or other
  health care provider with primary responsibility for the health
  care[, treatment, and] services provided to or requested on behalf
  of an enrollee or the physician or other health care provider that
  has provided or has been requested to provide the health care
  services to the enrollee.  The term includes a health care facility
  where the health care services are [if treatment is] provided on an
  inpatient or outpatient basis.
         SECTION 2.02.  Sections 4201.151 and 4201.152, Insurance
  Code, are amended to read as follows:
         Sec. 4201.151.  UTILIZATION REVIEW PLAN. A utilization
  review agent's utilization review plan, including reconsideration
  and appeal requirements, must be reviewed by a physician licensed
  to practice medicine in this state and conducted in accordance with
  standards developed with input from appropriate health care
  providers and approved by a physician licensed to practice medicine
  in this state.
         Sec. 4201.152.  UTILIZATION REVIEW UNDER [DIRECTION OF]
  PHYSICIAN. A utilization review agent shall conduct utilization
  review under the direction of a physician licensed to practice
  medicine in this [by a] state [licensing agency in the United
  States].
         SECTION 2.03.  Section 4201.153(d), Insurance Code, is
  amended to read as follows:
         (d)  Screening criteria must be used to determine only
  whether to approve the requested treatment. Before issuing an
  adverse determination, a utilization review agent must obtain a
  determination of medical necessity and appropriateness by
  referring a proposed [A] denial of requested treatment [must be
  referred] to:
               (1)  an appropriate physician, dentist, or other health
  care provider; or
               (2)  if the treatment is requested, ordered, provided,
  or to be provided by a physician, a physician licensed to practice
  medicine who is of the same or a similar specialty as that physician
  [to determine medical necessity].
         SECTION 2.04.  Sections 4201.155, 4201.206, and 4201.251,
  Insurance Code, are amended to read as follows:
         Sec. 4201.155.  LIMITATION ON NOTICE REQUIREMENTS AND REVIEW
  PROCEDURES. (a)  A utilization review agent may not establish or
  impose a notice requirement or other review procedure that is
  contrary to the requirements of the health insurance policy or
  health benefit plan.
         (b)  This section may not be construed to release a health
  insurance policy or health benefit plan from full compliance with
  this chapter or other applicable law.
         Sec. 4201.206.  OPPORTUNITY TO DISCUSS TREATMENT BEFORE
  ADVERSE DETERMINATION. (a)  Subject to Subsection (b) and the
  notice requirements of Subchapter G, before an adverse
  determination is issued by a utilization review agent who questions
  the medical necessity, the [or] appropriateness, or the
  experimental or investigational nature[,] of a health care service,
  the agent shall provide the health care provider who ordered,
  requested, provided, or is to provide the service a reasonable
  opportunity to discuss with a physician licensed to practice
  medicine the patient's treatment plan and the clinical basis for
  the agent's determination.
         (b)  If the health care service described by Subsection (a)
  was ordered, requested, or provided, or is to be provided by a
  physician, the opportunity described by that subsection must be
  with a physician licensed to practice medicine who is of the same or
  a similar specialty as that physician.
         Sec. 4201.251.  DELEGATION OF UTILIZATION REVIEW. A
  utilization review agent may delegate utilization review to
  qualified personnel in the hospital or other health care facility
  in which the health care services to be reviewed were or are to be
  provided.  The delegation does not release the agent from the full
  responsibility for compliance with this chapter or other applicable
  law, including the conduct of those to whom utilization review has
  been delegated.
         SECTION 2.05.  Sections 4201.252(a) and (b), Insurance Code,
  are amended to read as follows:
         (a)  Personnel employed by or under contract with a
  utilization review agent to perform utilization review must be
  appropriately trained and qualified and meet the requirements of
  this chapter and other applicable law, including applicable
  licensing requirements.
         (b)  Personnel, other than a physician licensed to practice
  medicine, who obtain oral or written information directly from a
  patient's physician or other health care provider regarding the
  patient's specific medical condition, diagnosis, or treatment
  options or protocols must be a nurse, physician assistant, or other
  health care provider qualified and licensed or otherwise authorized
  by law and an appropriate licensing agency in the United States to
  provide the requested service.
         SECTION 2.06.  Section 4201.356, Insurance Code, is amended
  to read as follows:
         Sec. 4201.356.  DECISION BY PHYSICIAN REQUIRED; SPECIALTY
  REVIEW.  (a)  The procedures for appealing an adverse determination
  must provide that a physician licensed to practice medicine makes
  the decision on the appeal, except as provided by Subsection (b).
         (b)  If not later than the 10th working day after the date an
  appeal is requested or denied the enrollee's health care provider
  requests [states in writing good cause for having] a particular
  type of specialty provider review the case, a health care provider
  who is of the same or a similar specialty as the health care
  provider who would typically manage the medical or dental
  condition, procedure, or treatment under consideration for review
  and who is licensed or otherwise authorized by the appropriate
  licensing agency in the United States to manage the medical or
  dental condition, procedure, or treatment shall review the denial
  or the decision denying the appeal.  The specialty review must be
  completed within 15 working days of the date the health care
  provider's request for specialty review is received.
         SECTION 2.07.  Sections 4201.357(a), (a-1), and (a-2),
  Insurance Code, are amended to read as follows:
         (a)  The procedures for appealing an adverse determination
  must include, in addition to the written appeal, a procedure for an
  expedited appeal of a denial of emergency care, [or] a denial of
  continued hospitalization, or a denial of another service if the
  requesting health care provider includes a written statement with
  supporting documentation that the service is necessary to treat a
  life-threatening condition or prevent serious harm to the patient.  
  That procedure must include a review by a health care provider who:
               (1)  has not previously reviewed the case; [and]
               (2)  is of the same or a similar specialty as the health
  care provider who would typically manage the medical or dental
  condition, procedure, or treatment under review in the appeal; and
               (3)  for a review of a health care service:
                     (A)  ordered, requested, or to be provided by a
  health care provider who is not a physician, is licensed or
  otherwise authorized by an appropriate licensing agency in the
  United States; or
                     (B)  ordered, requested, or to be provided by a
  physician, is licensed to practice medicine in the United States.
         (a-1)  The procedures for appealing an adverse determination
  must include, in addition to the written appeal and the appeal
  described by Subsection (a), a procedure for an expedited appeal of
  a denial of prescription drugs or intravenous infusions for which
  the patient is receiving benefits under the health insurance
  policy.  That procedure must include a review by a health care
  provider who:
               (1)  has not previously reviewed the case; [and]
               (2)  is of the same or a similar specialty as the health
  care provider who would typically manage the medical or dental
  condition, procedure, or treatment under review in the appeal; and
               (3)  for a review of a health care service:
                     (A)  ordered, requested, or to be provided by a
  health care provider who is not a physician, is licensed or
  otherwise authorized by the appropriate licensing agency in this
  state to provide the service in this state; or
                     (B)  ordered, requested, or to be provided by a
  physician, is licensed to practice medicine in this state.
         (a-2)  An adverse determination under Section 1369.0546 is
  entitled to an expedited appeal.  The physician or, if appropriate,
  other health care provider deciding the appeal must consider
  atypical diagnoses and the needs of atypical patient populations.
  The physician must be licensed to practice medicine in the United
  States and the health care provider must be licensed or otherwise
  authorized by an appropriate licensing agency in the United States.
         SECTION 2.08.  Section 4201.359, Insurance Code, is amended
  by adding Subsection (c) to read as follows:
         (c)  A physician described by Subsection (b)(2) must comply
  with this chapter and other applicable laws and be licensed to
  practice medicine. A health care provider described by Subsection
  (b)(2) must comply with this chapter and other applicable laws and
  be licensed or otherwise authorized by an appropriate licensing
  agency in the United States.
         SECTION 2.09.  Sections 4201.453 and 4201.454, Insurance
  Code, are amended to read as follows:
         Sec. 4201.453.  UTILIZATION REVIEW PLAN. A specialty
  utilization review agent's utilization review plan, including
  reconsideration and appeal requirements, must be:
               (1)  reviewed by a health care provider of the
  appropriate specialty who is licensed or otherwise authorized to
  provide the specialty health care service in this state; and
               (2)  conducted in accordance with standards developed
  with input from a health care provider of the appropriate specialty
  who is licensed or otherwise authorized to provide the specialty
  health care service in this state.
         Sec. 4201.454.  UTILIZATION REVIEW UNDER DIRECTION OF
  PROVIDER OF SAME SPECIALTY. A specialty utilization review agent
  shall conduct utilization review under the direction of a health
  care provider who is of the same specialty as the agent and who is
  licensed or otherwise authorized to provide the specialty health
  care service in this [by a] state [licensing agency in the United
  States].
         SECTION 2.10.  Sections 4201.455(a) and (b), Insurance Code,
  are amended to read as follows:
         (a)  Personnel who are employed by or under contract with a
  specialty utilization review agent to perform utilization review
  must be appropriately trained and qualified and meet the
  requirements of this chapter and other applicable law of this
  state, including applicable licensing laws.
         (b)  Personnel who obtain oral or written information
  directly from a physician or other health care provider must be a
  nurse, physician assistant, or other health care provider of the
  same specialty as the agent and who are licensed or otherwise
  authorized to provide the specialty health care service by a
  [state] licensing agency in the United States.
         SECTION 2.11.  Sections 4201.456 and 4201.457, Insurance
  Code, are amended to read as follows:
         Sec. 4201.456.  OPPORTUNITY TO DISCUSS TREATMENT BEFORE
  ADVERSE DETERMINATION. Subject to the notice requirements of
  Subchapter G, before an adverse determination is issued by a
  specialty utilization review agent who questions the medical
  necessity, the [or] appropriateness, or the experimental or
  investigational nature[,] of a health care service, the agent shall
  provide the health care provider who ordered, requested, or is to
  provide the service a reasonable opportunity to discuss the
  patient's treatment plan and the clinical basis for the agent's
  determination with a health care provider who is:
               (1)  of the same specialty as the agent; and
               (2)  licensed or otherwise authorized to provide the
  specialty health care service by a licensing agency in the United
  States.
         Sec. 4201.457.  APPEAL DECISIONS. A specialty utilization
  review agent shall comply with the requirement that a physician or
  other health care provider who makes the decision in an appeal of an
  adverse determination must be:
               (1)  of the same or a similar specialty as the health
  care provider who would typically manage the specialty condition,
  procedure, or treatment under review in the appeal; and
               (2)  licensed or otherwise authorized to provide the
  health care service by a licensing agency in the United States.
         SECTION 2.12.  Section 408.0043, Labor Code, is amended by
  adding Subsection (c) to read as follows:
         (c)  Notwithstanding Subsection (b), if a health care
  service is requested, ordered, provided, or to be provided by a
  physician, a person described by Subsection (a)(1), (2), or (3) who
  reviews the service with respect to a specific workers'
  compensation case must be of the same or a similar specialty as that
  physician.
         SECTION 2.13.  Section 1305.351(d), Insurance Code, is
  amended to read as follows:
         (d)  A [Notwithstanding Section 4201.152, a] utilization
  review agent or an insurance carrier that uses doctors to perform
  reviews of health care services provided under this chapter,
  including utilization review, or peer reviews under Section
  408.0231(g), Labor Code, may only use doctors licensed to practice
  in this state.
         SECTION 2.14.  Section 1305.355(d), Insurance Code, is
  amended to read as follows:
         (d)  The department shall assign the review request to an
  independent review organization.  An [Notwithstanding Section
  4202.002, an] independent review organization that uses doctors to
  perform reviews of health care services under this chapter may only
  use doctors licensed to practice in this state.
         SECTION 2.15.  Section 408.023(h), Labor Code, is amended to
  read as follows:
         (h)  A [Notwithstanding Section 4201.152, Insurance Code, a]
  utilization review agent or an insurance carrier that uses doctors
  to perform reviews of health care services provided under this
  subtitle, including utilization review, may only use doctors
  licensed to practice in this state.
         SECTION 2.16.  Section 413.031(e-2), Labor Code, is amended
  to read as follows:
         (e-2)  An [Notwithstanding Section 4202.002, Insurance Code,
  an] independent review organization that uses doctors to perform
  reviews of health care services provided under this title may only
  use doctors licensed to practice in this state.
  ARTICLE 3.  JOINT INTERIM STUDY
         SECTION 3.01.  CREATION OF JOINT INTERIM COMMITTEE. (a)  A
  joint interim committee is created to study, review, and report on
  the use of prior authorization and utilization review processes by
  private health benefit plan issuers in this state, as provided by
  Section 3.02 of this article, and propose reforms under that
  section related to the transparency of and improving patient
  outcomes under the prior authorization and utilization review
  processes used by private health benefit plan issuers in this
  state.
         (b)  The joint interim committee shall be composed of four
  senators appointed by the lieutenant governor and four members of
  the house of representatives appointed by the speaker of the house
  of representatives.
         (c)  The lieutenant governor and speaker of the house of
  representatives shall each designate a co-chair from among the
  joint interim committee members.
         (d)  The joint interim committee shall convene at the joint
  call of the co-chairs.
         (e)  The joint interim committee has all other powers and
  duties provided to a special or select committee by the rules of the
  senate and house of representatives, by Subchapter B, Chapter 301,
  Government Code, and by policies of the senate and house committees
  on administration.
         SECTION 3.02.  INTERIM STUDY REGARDING PRIOR AUTHORIZATION
  AND UTILIZATION REVIEW PROCESSES. (a)  The joint interim committee
  created by Section 3.01 of this article shall study data and other
  information available from the Texas Department of Insurance, the
  office of public insurance counsel, or other sources the committee
  determines relevant to examine and analyze the transparency of and
  improving patient outcomes under the prior authorization and
  utilization review processes used by private health benefit plan
  issuers in this state.
         (b)  The joint interim committee shall propose reforms based
  on the study required under Subsection (a) of this section to
  improve the transparency of and patient outcomes under prior
  authorization and utilization review processes in this state.
         (c)  The joint interim committee shall prepare a report of
  the findings and proposed reforms.
         SECTION 3.03.  COMMITTEE FINDINGS AND PROPOSED REFORMS.  
  (a)  Not later than December 1, 2020, the joint interim committee
  created under Section 3.01 of this article shall submit to the
  lieutenant governor, the speaker of the house of representatives,
  and the governor the report prepared under Section 3.02 of this
  article. The joint interim committee shall include in its report
  recommendations of specific statutory and regulatory changes that
  appear necessary from the committee's study under Section 3.02 of
  this article.
         (b)  Not later than the 60th day after the effective date of
  this Act, the lieutenant governor and speaker of the house of
  representatives shall appoint the members of the joint interim
  committee in accordance with Section 3.01 of this article.
         SECTION 3.04.  ABOLITION OF COMMITTEE. The joint interim
  committee created under Section 3.01 of this article is abolished
  and this article expires December 15, 2020.
  ARTICLE 4.  TRANSITIONS; EFFECTIVE DATE
         SECTION 4.01.  The changes in law made by Article 1 of this
  Act apply only to a request for preauthorization of medical care or
  health care services made on or after January 1, 2020, under a
  health benefit plan delivered, issued for delivery, or renewed on
  or after that date. A request for preauthorization of medical care
  or health care services made before January 1, 2020, or on or after
  January 1, 2020, under a health benefit plan delivered, issued for
  delivery, or renewed before that date is governed by the law as it
  existed immediately before the effective date of this Act, and that
  law is continued in effect for that purpose.
         SECTION 4.02.  The changes in law made by Article 2 of this
  Act apply only to utilization, independent, or peer review
  requested on or after the effective date of this Act. Utilization,
  independent, or peer review requested before the effective date of
  this Act is governed by the law as it existed immediately before the
  effective date of this Act, and that law is continued in effect for
  that purpose.
         SECTION 4.03.  This Act takes effect September 1, 2019.
 
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