Office of the Governor - Greg Abbott

Governor Abbott Vetoes House Bill 2084

Saturday, June 20, 2015  •  Austin, Texas  •  Veto Statement
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Pursuant to Article IV, Section 14, of the Texas Constitution, I, Greg Abbott, Governor of Texas, do hereby disapprove of and veto House Bill No. 2084 as passed by the Eighty-Fourth Texas Legislature, Regular Session, because of the following objections:

Managed care organizations (MCOs) are paid by the taxpayers to insure Texas's Medicaid population. The rate the State pays MCOs per Medicaid recipient is determined in large part by federal law, but there is substantial room for negotiation. Both the state and the MCOs conduct internal actuarial analyses that are critical to the rate-setting process. The Texas Health and Human Services (HHSC) represents the taxpayer in rate negotiations with MCOs. House Bill 2084 would require HHSC to reveal the details of the internal actuarial analysis it uses when negotiating rates on behalf of the State. This would hamper HHSC's ability to negotiate for the best possible rate. Billions of dollars in taxpayer funds are at stake. 'Where there is room for negotiation, HHSC should have all available tools at its disposal to protect Texas taxpayers.

Since the Eighty-Fourth Texas Legislature, Regular Session, by its adjournment has prevented the return of this bill, I am filing these objections in the office of the Secretary of State and giving notice thereof by this public proclamation according to therefore mentioned constitutional provision.

 

GREG ABBOTT
Governor

View a PDF of the veto here