89R13756 SCF-D     By: Hinojosa H.B. No. 5284       A BILL TO BE ENTITLED   AN ACT   relating to considerations in awarding contracts under the Medicaid   managed care program to managed care organizations that are public   benefit corporations.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 540.0204, Government Code, as effective   April 1, 2025, is amended to read as follows:          Sec. 540.0204.  CONTRACT CONSIDERATIONS RELATING TO MANAGED   CARE ORGANIZATIONS.  (a)  In awarding contracts to managed care   organizations, the commission shall:                (1)  give preference to an organization that has   significant participation in the organization's provider network   from each health care provider in the region who has traditionally   provided care to Medicaid and charity care patients;                (2)  give extra consideration to an organization that   agrees to assure continuity of care for at least three months beyond   a recipient's Medicaid eligibility period;                (3)  consider the need to use different managed care   plans to meet the needs of different populations; and                (4)  consider the ability of an organization to process   Medicaid claims electronically.          (b)  In awarding contracts to managed care organizations,   the commission shall:                (1)  if an organization is a public benefit   corporation, as defined by Section 21.952, Business Organizations   Code, apply a five percent increase to the bid score assigned to the   organization for purposes of awarding a contract under this   chapter; and                (2)  if two or more bids receive the same score, give   preference to the organization that is a public benefit   corporation.          SECTION 2.  Section 540.0204, Government Code, as amended by   this Act, applies only to a contract awarded by the Health and Human   Services Commission to a managed care organization on or after the   effective date of this Act.          SECTION 3.  If before implementing any provision of this Act   a state agency determines that a waiver or authorization from a   federal agency is necessary for implementation of that provision,   the agency affected by the provision shall request the waiver or   authorization and may delay implementing that provision until the   waiver or authorization is granted.          SECTION 4.  This Act takes effect September 1, 2025.