1. (a) Subject to the approval of the advisory committee, the executive commissioner shall adopt rules under which a political subdivision or agency of this state may dispute information submitted by a political subdivision under Section 12.133.

2. (b) The rules may provide for:

   1. (1) an audit of the political subdivision that submitted the disputed information;
   2. (2) payment of the costs of the audit by the party to the dispute who does not prevail in the dispute;
   3. (3) a deadline for filing a dispute for a particular year; and
   4. (4) a reasonable monetary penalty to be applied to a subsequent annual distribution made to a political subdivision that is found to have overstated unreimbursed health care expenditures in the information submitted under Section 12.133.
3. (c) The monetary penalty applied under Subsection (b)(4) may not exceed 10 percent of the amount of the overstatement of unreimbursed health care costs.
4. (d) A dispute under this section is a contested case for purposes of Chapter 2001, Government Code.

Added by Acts 1999, 76th Leg., ch. 753, Sec. 2.01, eff. Aug. 30, 1999.

Acts 2015, 84th Leg., R.S., Ch. 1 (S.B. 219), Sec. 3.0042, eff. April 2, 2015.