Starting tomorrow, hospitals across Texas will take steps toward transparency and financial clarity by collecting and reporting healthcare costs related to care provided for undocumented immigrants.
This initiative follows an executive order by Governor Greg Abbott in August, directing the Texas Health and Human Services Commission (HHSC) to introduce the following measures:
- Hospitals and other designated providers will begin gathering information on the cost of healthcare provided to undocumented individuals, starting November 1, 2024.
- Covered hospitals will submit these reports quarterly to HHSC, with the first submissions due by March 1, 2025.
- Hospitals will reassure patients that, per federal law, responding to these inquiries will not impact the quality or availability of their medical care.
- Beginning January 1, 2026, an annual report will be prepared for the Governor, the Lieutenant Governor, and the Speaker of the House, summarizing the costs of care provided over the prior year.
In 2021 Attorney General Ken Paxton estimated that Texans collectively bear significant costs related to undocumented residents’ healthcare needs, including approximately $152 million for housing, $62 million to $90 million for emergency Medicaid, and between $579 million and $717 million for hospitals’ uncompensated care. This new reporting requirement is designed to ensure more accurate data collection, allowing Texas to better understand and manage these expenses.
Governor Abbott has emphasized that this initiative reflects Texas’s commitment to responsible fiscal management and transparency, helping the state address healthcare costs in a sustainable manner while preserving quality care for all Texans.
