Bill Caption

Relating to the confiscation or misappropriation by a nursing facility of certain federal payments to a Medicaid recipient; increasing an administrative penalty. 

Fiscal Notes

No significant fiscal implication to the State is anticipated. 

Bill Analysis

HB 2449 would prevent a nursing facility or related institution from confiscating or misappropriating an eligible federal payment made to a resident who is a recipient of Medicaid. Violation of this section would constitute an administrative penalty in an amount equal to $25,000 for each violation. 

Vote Recommendation Notes

HB 2449 is designed to ensure that nursing facilities do not confiscate or misuse federal funding intended for Medicaid recipients in their care. HB 2449 would benefit the principles of individual liberty and private property rights on behalf of the victims it is intended to protect.

Texas Action supports HB 2449 but recommends it be amended to reduce the $25,000 penalty which is far too excessive. The maximum fine for a criminal penalty, including a first degree felony, is $10,000. There is no reason an administrative penalty should carry a greater financial consequence than the fine associated with a first degree felony.