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Texas Legislature· SB 963Effective on 9/1/25

Relating to allowing Medicaid managed care organizations to engage in marketing about the availability of certain private health benefit plan coverage, the official text

Shown verbatim: the complete text as captured from the official page posted by the Texas Legislature, fetched 2026-08-29. Where this bill amends existing law, language marked for deletion in the official page appears here in brackets. This is the enrolled version. The official bill page.
S.B. No. 963

AN ACT

relating to allowing Medicaid managed care organizations to engage

in marketing about the availability of certain private health

benefit plan coverage.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 540.0055, Government Code, as effective

April 1, 2025, is amended by adding Subsections (c) and (d) to read

as follows:

(c) The marketing guidelines the commission establishes

under this section may not prohibit a Medicaid managed care

organization from:

(1) informing an individual, including a current or

former recipient, about the availability of qualified health plans

offered through an exchange, as the terms "exchange" and "qualified

health plan" are defined by 45 C.F.R. Section 155.20; or

(2) advertising a Medicare Advantage plan or related

benefit offered under Part C of Title XVIII of the Social Security

Act (42 U.S.C. Section 1395w-21 et seq.) at a community enrollment

or other event.

(d) The marketing guidelines the commission establishes

under this section must require that a Medicaid managed care

organization that informs an individual about the availability of

qualified health plans offered through an exchange, as the terms

"exchange" and "qualified health plan" are defined by 45 C.F.R.

Section 155.20, also inform the individual about the potential

deductibles, copayments, and other cost-sharing requirements under

a qualified health plan. A Medicaid managed care organization

informing an individual about the availability of qualified health

plans offered through the exchange or an affiliate of the

organization may not offer the individual material or financial

gain as an actual or implied incentive for enrolling in a qualified

health plan.

SECTION 2. 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 3. This Act takes effect September 1, 2025.

______________________________
______________________________

President of the Senate
Speaker of the House

I hereby certify that S.B. No. 963 passed the Senate on

April 10, 2025, by the following vote: Yeas 30, Nays 0; and that

the Senate concurred in House amendment on May 21, 2025, by the

following vote: Yeas 31, Nays 0.

______________________________

Secretary of the Senate

I hereby certify that S.B. No. 963 passed the House, with

amendment, on April 29, 2025, by the following vote: Yeas 119,

Nays 27, two present not voting.

______________________________

Chief Clerk of the House

Approved:

______________________________

Date

______________________________

Governor
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