TITLE 26. HEALTH AND HUMAN SERVICES

PART 1. HEALTH AND HUMAN SERVICES COMMISSION

CHAPTER 554. NURSING FACILITY REQUIREMENTS FOR LICENSURE AND MEDICAID CERTIFICATION

SUBCHAPTER X. REQUIREMENTS FOR MEDICAID-CERTIFIED FACILITIES

26 TAC §554.2312

The Texas Health and Human Services Commission (HHSC) adopts the repeal of §554.2312, concerning Surety Bonds or Letters of Credit.

The repeal of §554.2312 is adopted without changes to the proposed text as published in the March 17, 2023, issue of the Texas Register (48 TexReg 1517). This rule will not be republished.

BACKGROUND AND PURPOSE

The purpose of the adopted repeal is to align the Texas Administrative Code to current HHSC policies and procedures concerning surety bonds or letters of credit. The repealed rule provided an optional procedure for issuing a surety bond to expedite the release of vendor holds. Under the repealed rule, the surety bond may only be issued after all cost reports have been submitted and recoupments pertaining to staffing have been paid in full. HHSC's standard procedure is to release the vendor hold after the provider submits the cost report and pays any recoupment in full. Recoupments are offset against new claims or held payments. The standard procedure is efficient, and providers have not used the optional surety bond procedure to expedite the release of vendor holds. The repealed rule was last amended in 2004.

PUBLIC COMMENT

The 31-day comment period ended April 17, 2023.

During this period, HHSC did not receive any comments regarding the proposed repeal.

STATUTORY AUTHORITY

The repeal is adopted under Texas Government Code §531.0055, which provides that the Executive Commissioner of HHSC shall adopt rules for the operation and provision of services by the health and human services agencies, and Texas Human Resources Code §32.021 and Texas Government Code §531.021(a), which authorize HHSC to administer the federal medical assistance (Medicaid) program in Texas; and Texas Government Code §531.021(b-1), which establishes HHSC as the agency responsible for adopting reasonable rules governing the determination of fees, charges, and rates for medical assistance payments under the Texas Human Resources Code Chapter 32.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on July 17, 2023.

TRD-202302564

Karen Ray

Chief Counsel

Health and Human Services Commission

Effective date: August 6, 2023

Proposal publication date: March 17, 2023

For further information, please call: (512) 867-7817