Monitoring the Session

SB 963

Medicaid plans may mention federal exchange plans

Became law, effective Sep 1, 2025

Verdict: No flags

No flagsInitial review
Sen. Bryan HughesRSenate 1

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to allowing Medicaid managed care organizations to inform Medicaid recipients about the availability of certain private health benefit plan coverage.

Caption from analyzed text · version I.

Summary

Marketing rules can no longer ban telling enrollees about them.

The bill stops the state health commission's marketing rules from banning Medicaid managed care companies from telling their enrollees about health plans sold on the federal insurance exchange. It touches Medicaid managed care organizations, Medicaid recipients, and the Health and Human Services Commission that writes the marketing guidelines. On the ground, these companies could legally tell Medicaid members about exchange plans starting September 1, 2025, unless a federal waiver is needed first.

Labels

Labels: NO AUTOGRAPH. Became law without the governor's signature on Jun 20, 2025.CROSS-PARTY HANDOFF. Lead author Bryan Hughes (R) in the Senate. Lead sponsor Christian Manuel (D) in the House. Party as the Legislative Reference Library lists it for the 89th Legislature.

Receipt

The receipt

89R-SB963 · 2025-01-29

SOLD BY

Sen. Bryan HughesRSenate 1

+ 1 coauthor

ITEM

relating to allowing Medicaid managed care organizations to inform Medicaid recipients about the availability of certain private health benefit plan coverage.

WHAT IT DOES

Marketing rules can no longer ban telling enrollees about them.

The bill stops the state health commission's marketing rules from banning Medicaid managed care companies from telling their enrollees about health plans sold on the federal insurance exchange. It touches Medicaid managed care organizations, Medicaid recipients, and the Health and Human Services Commission that writes the marketing guidelines. On the ground, these companies could legally tell Medicaid members about exchange plans starting September 1, 2025, unless a federal waiver is needed first.

CHARGES

[ ] NONE FOUND

TOTAL

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version F · source

Sources

Fiscal note · version F · April 30, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Received by the Secretary of the Senate
  2. Filed
  3. Read first time
  4. Referred to Health & Human Services
  5. Scheduled for public hearing on . . .
  6. Considered in public hearing
  7. Testimony taken in committee
  8. Left pending in committee
  9. Considered in public hearing
  10. Vote taken in committee
  11. Reported favorably as substituted
  12. Recommended for local & uncontested calendar
  13. Committee report printed and distributed
  14. Co-author authorized
  15. Placed on local & uncontested calendar
  16. Laid before the Senate
  17. Read 2nd time & passed to engrossment
  18. Vote recorded in Journal
  19. Three day rule suspended
  20. Record vote
  21. Read 3rd time
  22. Passed
  23. Record vote
  24. Reported engrossed
  25. Received from the Senate
  26. Read first time
  27. Referred to Human Services
  28. Considered in formal meeting
  29. Reported favorably w/o amendment(s)
  30. Comte report filed with Committee Coordinator
  31. Committee report distributed
  32. Committee report sent to Calendars
  33. Laid out in lieu of companion HB 3747
  34. Read 2nd time
  35. Passed to 3rd reading
  36. Record vote RV#671
  37. Statement(s) of vote recorded in Journal
  38. Read 3rd time
  39. Amended 1-Manuel
  40. Passed as amended
  41. Record vote RV#795
  42. Statement(s) of vote recorded in Journal
  43. House passage as amended reported
  44. House amendment(s) laid before the Senate
  45. Read
  46. Senate concurs in House amendment(s)
  47. Record vote
  48. Senate concurs in House amendment(s)-reported
  49. Reported enrolled
  50. Signed in the Senate
  51. Signed in the House
  52. Sent to the Governor
  53. Filed without the Governor's signature
  54. Effective on 9/1/25
FILED UNDER

No verified beat found.

SIGNED FOR BY

House · 119 yea · 27 nay

Senate · 30 yea · 0 nay

Sources

House: Final passage · Apr 29, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

Senate: Final passage · Apr 10, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Bryan Hughes

Donors

GOPAC Election Fund$250KCRAFTPAC (Court Reform Action for Texas Families)$100KCourt Reform Action for Families Texas PAC$100K

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Jul 1, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

GOPAC Election Fund$250,000.00

GOPAC Election Fund

$250,000.00

Cash
$250,000.00
Paid by others
$0.00
Total
$250,000.00

Also funds 2 other sitting lawmakers.

Derived recipient stock · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101028838, 101071548.

CRAFTPAC (Court Reform Action for Texas Families)$100,000.00

CRAFTPAC (Court Reform Action for Texas Families)

$100,000.00

Cash
$100,000.00
Paid by others
$0.00
Total
$100,000.00

Also funds 0 other sitting lawmakers.

Derived recipient stock · on Sep 4, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · on Sep 4, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101067724.

Court Reform Action for Families Texas PAC$100,000.00

Court Reform Action for Families Texas PAC

$100,000.00

Cash
$100,000.00
Paid by others
$0.00
Total
$100,000.00

Also funds 32 other sitting lawmakers.

Derived recipient stock · Feb 20, 2026 to Oct 14, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · on Oct 13, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101071548.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

GOPAC Election Fund

$250,000.00

Cash
$250,000.00
Paid by others
$0.00
Total
$250,000.00

Also funds 2 other sitting lawmakers.

Derived recipient stock · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101028838, 101071548.

×

CRAFTPAC (Court Reform Action for Texas Families)

$100,000.00

Cash
$100,000.00
Paid by others
$0.00
Total
$100,000.00

Also funds 0 other sitting lawmakers.

Derived recipient stock · on Sep 4, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · on Sep 4, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101067724.

×

Court Reform Action for Families Texas PAC

$100,000.00

Cash
$100,000.00
Paid by others
$0.00
Total
$100,000.00

Also funds 32 other sitting lawmakers.

Derived recipient stock · Feb 20, 2026 to Oct 14, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · on Oct 13, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101071548.

Votes6

Senate May 21, 2025

Yea
31
Nay
0
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

Sources

Senator Hughes moved to concur in the House amendment to SB 963. The motion prevailed by the following vote: Yeas 31, Nays 0.

Published stock of positions for this vote, except where marked derived.

  • Yea: 31 (published)
  • Nay: 0 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

House Apr 29, 2025

Yea
119
Nay
27
Present, not voting
2
Absent
1
Excused
1
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 795

SB 963, as amended, was passed by (Record 795): 119 Yeas, 27 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 119 (published)
  • Nay: 27 (published)
  • Present, not voting: 2 (published)
  • Absent: 1 (derived from named list)
  • Excused: 1 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

House Apr 28, 2025

Yea
124
Nay
18
Present, not voting
1
Absent
6
Excused
1
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 671

SB 963 was passed to third reading by (Record 671): 124 Yeas, 18 Nays, 1 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 124 (published)
  • Nay: 18 (published)
  • Present, not voting: 1 (published)
  • Absent: 6 (derived from named list)
  • Excused: 1 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Senate Apr 10, 2025

Final passage

Yea
30
Nay
0
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records final passage. Repeated tallies belong to separate votes.

Sources

CSSB 963 (Hughes) Relating to allowing Medicaid managed care organizations to engage in marketing about the availability of certain private health benefit plan coverage. (viva voce vote) (30-0) (30-0)

Published stock of positions for this vote, except where marked derived.

  • Yea: 30 (published)
  • Nay: 0 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate Apr 10, 2025

Suspension of the three-day rule

Yea
30
Nay
0
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records suspension of the three-day rule. Repeated tallies belong to separate votes.

Sources

CSSB 963 (Hughes) Relating to allowing Medicaid managed care organizations to engage in marketing about the availability of certain private health benefit plan coverage. (viva voce vote) (30-0) (30-0)

Published stock of positions for this vote, except where marked derived.

  • Yea: 30 (published)
  • Nay: 0 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate Apr 10, 2025

Passage to engrossment

Yea
Not printed
Nay
Not printed
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records passage to engrossment. Repeated tallies belong to separate votes.

Voice vote. No numeric tally or individual yeas are inferred.

Sources

CSSB 963 (Hughes) Relating to allowing Medicaid managed care organizations to engage in marketing about the availability of certain private health benefit plan coverage. (viva voce vote) (30-0) (30-0)

Published stock of positions for this vote, except where marked derived.

  • Yea: Not printed
  • Nay: Not printed
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Witnesses12
For
11
Against
0
On
1
Names

For

  • AARP Texas1 registration
  • BlueCross BlueShield of Texas1 registration
  • ExcelHealth1 registration
  • Self1 registration
  • Superior Health Plan1 registration
  • Texans Care for Children1 registration
  • Texans for Affordable Healthcare1 registration
  • Texas Academy of Family Physicians1 registration
  • Texas Association of Business1 registration
  • Texas Association of Health Plans1 registration
  • The National Association of Social Workers - Texas Chapter1 registration

On

  • HHSC1 registration
Sources

12 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

Senate witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version F · source

Sources

Fiscal note · version F · April 30, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas Senate · Filed Jan 29, 2025

06/20/2025 E Effective on 9/1/25

Texas Legislature Online · Introduced · Senate Committee Report · Engrossed · House Committee Report · Enrolled

Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.

Coauthors
Nathan JohnsonDSenate 16
Sponsors
Christian ManuelDHouse 22

House committee · Human Services · Committee vote 10 aye, 0 nay, 1 absent · Out of committee

Senate committee · Health & Human Services · Committee vote 9 aye, 0 nay · Out of committee

Companion

HB 3747 by Manuel (identical)

Subjects

Human Services--General

Human Services--Medical Assistance

ADVERTISING

MANAGED CARE

MEDICAID

HEALTH & HUMAN SERVICES COMMISSION

Text

The text as introduced · 181 words

89R1716 JG-D

By: Hughes
S.B. No. 963

A BILL TO BE ENTITLED

AN ACT

relating to allowing Medicaid managed care organizations to inform

Medicaid recipients 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 Subsection (c) to read as

follows:

(c) The marketing guidelines the commission establishes

under this section may not prohibit a Medicaid managed care

organization from informing a recipient about the availability of

qualified health plans offered through an exchange. In this

subsection, "exchange" and "qualified health plan" have the

meanings assigned by 45 C.F.R. Section 155.20.

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.