House supplemental budget prioritizes health & social services

On the same day that the House passed its 2020-2021 budget plan, the chamber also passed the House Committee Substitute to SB 500, the supplemental budget to pay for expenses not covered by the current two-year budget. The House appropriated $9.33 billion in supplemental funds— $2.7 billion in general revenue, $2.3 billion in federal funds, and $4.3 from the Economic Stabilization Fund (ESF).


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In total, $4.89 billion of the supplemental funds are dedicated to Health & Human Services:

  • $4.4 billion in federal and general revenue is appropriated to cover a Medicaid shortfall
  • $2 million from ESF is dedicated to hospital improvements, including pre-planning activities for the construction of new hospitals in the Dallas area and Panhandle region.
  • $226 million in general revenue goes toward HHSC items, including: Children’s Hospital Rate Increases ($100 million), Health Insurance Providers Fee ($63.8 million), State Hospital Uncollectable Revenue ($37.5 million), Healthy Texas Women Program ($14 million), State Supported Living Centers ($7.2 million), and Early Childhood Intervention ($3.5 million).
  • $30 million in ESF for the Department of State Health Services “for grants to hospitals and trauma service area regional advisory councils to increase trauma capacity and improve related trauma response infrastructure” in the state.
  • $6.1 million in general revenue updates and statewide integration of the Prescription Monitoring Program database

Earlier in March, the Senate passed their version of the supplemental budget which included just $6 billion in additional funds. The bill now returns to the Senate.