Sec. 35.004.  SERVICE PROVIDERS.  (a)  The executive commissioner shall adopt substantive and procedural rules for the selection of providers to participate in the program, including rules for the selection of specialty centers and rules requiring that providers accept program payments as payment in full for services provided.
(b)  The department shall approve physicians, dentists, licensed dietitians, facilities, specialty centers, and other providers to participate in the program according to the criteria and following the procedures prescribed by department rules.
(c)  The department may pay only for services delivered by an approved provider, except in an emergency.
(d)  Except as specified in the department rules, a recipient of services may select any provider approved by the department.  If the recipient is a minor, the person legally authorized to consent to the treatment may select the provider.
(e)  The executive commissioner shall adopt substantive and procedural rules for the modification, suspension, or termination of the approval of a provider.
(f)  The department shall provide a due process hearing procedure in accordance with department rules for the resolution of conflicts between the department and a provider.  Chapter 2001, Government Code, does not apply to conflict resolution procedures adopted under this section.
(g)  The department may not terminate the approval of a provider while a hearing is pending under this section.  The department may withhold payments while the hearing is pending, but shall pay the withheld payments and resume contract payments if the final determination is favorable to the provider.
(h)  Subsection (f) does not apply if a contract:
(1)  is canceled by the department because services are restricted to conform to budgetary limitations and service priorities are adopted by the executive commissioner regarding types of services to be provided; or
(2)  expires according to its terms.
(i)  The Interagency Cooperation Act, Chapter 771, Government Code, does not apply to a payment made by the department for services provided by a publicly supported medical school facility to an eligible child.  A publicly supported medical school facility receiving payment under this chapter shall deposit the payment in local funds.
(j)  This section does not apply to services for which coverage is provided under the health benefits plan established under Section 35.0031.
Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.  Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(66), eff. Sept. 1, 1995;  Acts 1997, 75th Leg., ch. 393, Sec. 1, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 1505, Sec. 3.05, eff. Sept. 1, 1999.
Amended by: 
Acts 2015, 84th Leg., R.S., Ch. 1 (S.B. 219), Sec. 3.0113, eff. April 2, 2015.