1-1  By:  McDonald (Senate Sponsor - Carriker)              H.B. No. 756
    1-2        (In the Senate - Received from the House April 26, 1993;
    1-3  April 27, 1993, read first time and referred to Committee on Health
    1-4  and Human Services; May 23, 1993, reported adversely, with
    1-5  favorable Committee Substitute by the following vote:  Yeas 9, Nays
    1-6  0; May 23, 1993, sent to printer.)
    1-7                            COMMITTEE VOTE
    1-8                          Yea     Nay      PNV      Absent 
    1-9        Zaffirini          x                               
   1-10        Ellis              x                               
   1-11        Madla              x                               
   1-12        Moncrief           x                               
   1-13        Nelson             x                               
   1-14        Patterson          x                               
   1-15        Shelley            x                               
   1-16        Truan              x                               
   1-17        Wentworth          x                               
   1-18  COMMITTEE SUBSTITUTE FOR H.B. No. 756                By:  Wentworth
   1-19                         A BILL TO BE ENTITLED
   1-20                                AN ACT
   1-21  relating to the regulation of the practice of professional nursing.
   1-22        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-23        SECTION 1.  Article 4525a, Revised Statutes, is amended by
   1-24  amending Sections 1, 2, 3, and 4 and adding Sections 1A, 6A, and
   1-25  12A to read as follows:
   1-26        Sec. 1.  Each registered nurse having reasonable cause to
   1-27  suspect that a registered nurse has exposed or is likely to expose
   1-28  a patient or other person unnecessarily to a risk of harm, has
   1-29  engaged in <because of> unprofessional conduct, has failed
   1-30  <failure> to care adequately for a patient, or has failed <failure>
   1-31  to conform to the minimum standards of acceptable professional
   1-32  nursing practice, or that a registered nurse's practice is or is
   1-33  likely to be impaired by chemical dependency <impaired status>
   1-34  shall report in a signed, written report to the board the identity
   1-35  <name> of the nurse <committing the violation or suspected
   1-36  violation> and such additional <any other pertinent> information
   1-37  <within the nurse's knowledge> as the board may require.  <A
   1-38  registered nurse without personal knowledge of the nurse's actions
   1-39  is not required to report under this section if she or he has
   1-40  reasonable cause to believe the nurse has already been reported.>
   1-41        Sec. 1A.  A professional nursing peer review committee
   1-42  operating under Article 4525b, Revised Statutes, that finds a
   1-43  registered nurse exposed or is likely to expose a patient or other
   1-44  person unnecessarily to a risk of harm, engaged in unprofessional
   1-45  conduct, failed to care adequately for a patient, or failed to
   1-46  conform to the minimum standards of acceptable professional nursing
   1-47  practice, or that a registered nurse's practice is or is likely  to
   1-48  be impaired by chemical dependency shall report in a signed,
   1-49  written report to the board the identity of the nurse and such
   1-50  additional information as the board may require.  The report shall
   1-51  include what corrective action was taken against the nurse and
   1-52  whether the committee recommends the board take formal disciplinary
   1-53  action against the nurse.
   1-54        Sec. 2.  (a)  Each hospital, health science center, nursing
   1-55  home, home health agency, other health-care facility, state agency,
   1-56  political subdivision, school of professional nursing, temporary
   1-57  nursing service, or person that employs, hires, or contracts for
   1-58  the services of registered nurses that terminates, suspends for
   1-59  more than 7 days, or takes other substantive disciplinary action as
   1-60  defined by the board against a registered nurse because the
   1-61  registered nurse has exposed or is likely to expose a patient or
   1-62  other person <was exposed or is likely to be exposed> unnecessarily
   1-63  to a risk of harm, has engaged in <because of> unprofessional
   1-64  conduct, has failed <failure> to care adequately for a patient, or
   1-65  has failed <failure> to conform to the minimum standards of
   1-66  acceptable professional nursing practice<,> or because the
   1-67  registered nurse's practice is or is likely to be impaired by
   1-68  chemical dependency <impaired status> shall report in writing to
    2-1  the board the identity <name> of the nurse and such additional
    2-2  information as the board may require <other pertinent information
    2-3  within the knowledge of the facility, agency, school, or person>.
    2-4        (b)  Each hospital, nursing home, health science center, home
    2-5  health agency, other health-care facility, state agency, political
    2-6  subdivision, school of professional nursing, temporary nursing
    2-7  service, or person that regularly employs, hires, or otherwise
    2-8  contracts for the services of 10 or more registered nurses shall
    2-9  develop a written plan for identifying and reporting registered
   2-10  nurses in its service who expose or are likely to expose patients
   2-11  or other persons unnecessarily to a risk of harm, engage in
   2-12  <because of> unprofessional conduct, fail <failure> to care
   2-13  adequately for a patient, or fail <failure> to conform to the
   2-14  minimum standards of acceptable professional nursing practice, or
   2-15  whose practice is or is likely to be impaired by chemical
   2-16  dependency <impaired status>.  The plan must include an appropriate
   2-17  process for the review of any incident reportable under this
   2-18  section by a professional nursing peer review committee established
   2-19  and operated under Article 4525b, Revised Statutes, and for the
   2-20  affected nurse to submit rebuttal information to that committee.
   2-21  The board shall enter into memoranda of understanding with any
   2-22  state agency that licenses, registers, or certifies health-care
   2-23  facilities or agencies or surveys such facilities or agencies with
   2-24  respect to professional nursing care as to how that state agency
   2-25  can promote compliance with this subsection.
   2-26        (c)  The requirement that a report to the board be reviewed
   2-27  by a professional nursing peer review committee applies only to a
   2-28  required report, and review by the peer review committee is only
   2-29  advisory.  The requirement may not be construed as subjecting an
   2-30  employer's or other person's administrative decision to discipline
   2-31  a registered nurse to the peer review process or as preventing an
   2-32  employer or other person from taking disciplinary action before
   2-33  review by the peer review committee is conducted.  The review by
   2-34  the peer review committee established under Subsection (b) of this
   2-35  section must include a determination as to whether or not the nurse
   2-36  undergoing review <engaged in conduct that> exposed or was likely
   2-37  to expose a patient or other person unnecessarily to risk of harm,
   2-38  engaged in <because of> unprofessional conduct, failed <failure> to
   2-39  care adequately for a patient, or failed <failure> to conform to
   2-40  the minimum standards of acceptable professional nursing practice,
   2-41  or as to whether the registered nurse's practice is or is likely to
   2-42  be impaired by chemical dependency <impaired status>.  The peer
   2-43  review committee's determination shall be included in the report
   2-44  made to the board under Subsection (a) of this section.
   2-45        Sec. 3.  Each professional association of registered nurses
   2-46  or any organization that conducts a certification or accreditation
   2-47  program for registered nurses that expels, decertifies, or takes
   2-48  any other substantive disciplinary action, as defined by the board,
   2-49  against a registered nurse as a result of the registered nurse's
   2-50  failure to conform to the minimum standards of acceptable
   2-51  professional nursing practice shall report in writing to the board
   2-52  the identity of the nurse <nurse's name> and such additional
   2-53  information <other pertinent information within the organization's
   2-54  knowledge> as the board may require.
   2-55        Sec. 4.  Each state agency that licenses, registers or
   2-56  certifies <surveys> hospitals, nursing homes, health science
   2-57  centers, home health agencies, or other health-care facilities or
   2-58  agencies or surveys such facilities or agencies with respect to
   2-59  quality of professional nursing care provided, unless otherwise
   2-60  expressly prohibited by state or federal law, shall report in
   2-61  writing to the board any registered nurse that it has reason to
   2-62  believe exposed or is likely to expose patients or other persons
   2-63  unnecessarily to a risk of harm, engaged in <because of>
   2-64  unprofessional conduct, failed <failure> to care adequately for a
   2-65  patient, or failed <failure> to conform to the minimum standards of
   2-66  acceptable professional nursing practice, or that the registered
   2-67  nurse's practice is or is likely to be impaired by chemical
   2-68  dependency <impaired status>.
   2-69        Sec. 6A.  (a)  The board by rule shall adopt rules governing
   2-70  required reporting under this article to minimize:
    3-1              (1)  unnecessary duplicative reporting; and
    3-2              (2)  the reporting of minor incidents.
    3-3        (b)  In this section, "minor incident" means conduct that
    3-4  does not indicate the nurse's continuing to practice professional
    3-5  nursing poses a risk of harm to a client or other person.
    3-6        Sec. 12A.  (a)  Except as provided by Subsections (b) and (c)
    3-7  of this section, a report under this article shall be handled as a
    3-8  complaint under Section (b), Article 4525, Revised Statutes.
    3-9        (b)  If the board determines that the conduct reported does
   3-10  not indicate the reported nurse's continuing to practice
   3-11  professional nursing poses a risk of harm to clients or other
   3-12  persons, the board may, with the written consent of the reported
   3-13  nurse and the person making the report, elect not to proceed with
   3-14  an investigation or to file formal charges.  In such event, the
   3-15  board shall keep a record of the report and shall investigate if it
   3-16  receives two or more reports involving separate incidents on a
   3-17  nurse in any five-year period.
   3-18        (c)  The board is not required to investigate a report filed
   3-19  by an insurer under Section 5 of this article, but shall maintain a
   3-20  record of the report and investigate if it receives two or more
   3-21  reports involving separate incidents on a nurse in any five-year
   3-22  period.
   3-23        SECTION 2.  Section 11(c), Article 4525a, Revised Statutes,
   3-24  is amended to read as follows:
   3-25        (c)  A person who sues under this section has the burden of
   3-26  proof, but in the event of a determination by either the board or a
   3-27  court of competent jurisdiction that the report or abstract made
   3-28  the subject of the cause of action was authorized or required under
   3-29  Section 1, 1A, 2, 3, 4, 5, 6, 7, or 8 of this article and that it
   3-30  was made without malice, it is a rebuttable presumption that a
   3-31  person's employment was suspended or terminated for reporting under
   3-32  this article if the person is suspended or terminated within 60
   3-33  days after making the report.
   3-34        SECTION 3.  Sections 12(a) and (b), Article 4525a, Revised
   3-35  Statutes, are amended to read as follows:
   3-36        (a)  The board shall notify each registered nurse who is
   3-37  reported to the board under Section 1, 1A, 2, 3, 4, or 5 of this
   3-38  article of the filing of the report unless doing so would
   3-39  jeopardize an active investigation.
   3-40        (b)  The registered nurse or the nurse's authorized
   3-41  representative is entitled on request to review any report
   3-42  submitted to the board under Section 1, 1A, 2, 3, 4, or 5 of this
   3-43  article unless doing so would jeopardize an active investigation.
   3-44  The identity of the individual making or signing the report may not
   3-45  be revealed.
   3-46        SECTION 4.  Section 1(1), Article 4525b, Revised Statutes, is
   3-47  amended to read as follows:
   3-48              (1)  "Professional nursing peer review committee" means
   3-49  a committee <composed of at least a majority of registered nurses>
   3-50  established under the authority of the governing body of a
   3-51  national, state, or local professional nursing association, a
   3-52  school of professional nursing, the nursing staff of a hospital,
   3-53  health science center, nursing home, home health agency, temporary
   3-54  nursing service, or other health-care facility, or state agency or
   3-55  political subdivision for the purpose of conducting peer review.  A
   3-56  professional nursing peer review committee includes the employees
   3-57  and agents of the committee, including assistants, investigators,
   3-58  intervenors, attorneys, and any other person or organization that
   3-59  is employed by or serves the committee in any capacity.
   3-60        SECTION 5.  Article 4525b, Revised Statutes, is amended by
   3-61  adding Sections 1A and 1B to read as follows:
   3-62        Sec. 1A.  A professional nursing peer review committee must:
   3-63              (1)  have registered nurses as three-fourths of its
   3-64  members;
   3-65              (2)  have only registered nurses as voting members;
   3-66              (3)  to the extent feasible, consist of at least one
   3-67  registered nurse who has a working familiarity with the area of
   3-68  nursing practice in which the nurse being reviewed practices;
   3-69              (4)  afford the nurse being reviewed minimum due
   3-70  process, including notice and opportunity for hearing; and
    4-1              (5)  afford the nurse the opportunity to file a
    4-2  rebuttal statement as provided by Section 3(c) of this article.
    4-3        Sec. 1B.  A registered nurse who, as a temporary agency
    4-4  nurse, faculty member, or similar personnel, practices professional
    4-5  nursing for a person, educational institution, or health-care
    4-6  facility, agency, or entity other than the one that employs or
    4-7  directly compensates the nurse shall be subject to peer review by
    4-8  both.  For the purposes of exchange of information, the peer review
    4-9  committee reviewing the nurse's conduct is considered as
   4-10  established under the authority of both.  The two entities may
   4-11  contract with respect to which entity will conduct peer review of
   4-12  the nurse.
   4-13        SECTION 6.  Sections 3(b) and (d), Article 4525b, Revised
   4-14  Statutes, are amended to read as follows:
   4-15        (b)  A professional nursing peer review committee may
   4-16  disclose written or oral communications made to the committee and
   4-17  the records and proceedings of the committee to:
   4-18              (1)  the state board of registration or licensure of
   4-19  any state;
   4-20              (2)  a law enforcement authority investigating a
   4-21  criminal matter;
   4-22              (3) <(1)>  the association, school, agency, facility,
   4-23  or other organization under whose authority the committee is
   4-24  established;
   4-25              (4) <(2)>  another professional nursing peer review
   4-26  committee;
   4-27              (5) <(3)>  a peer assistance program approved by the
   4-28  board under Chapter 467, Health and Safety Code;
   4-29              (6) <(4)>  appropriate state or federal agencies or
   4-30  accrediting organizations which accredit health-care facilities or
   4-31  schools of nursing or which survey facilities for quality of care;
   4-32  or
   4-33              (7) <(5)>  persons engaged in bona fide research, if
   4-34  all individual-identifying information is deleted.
   4-35        (d)  If a committee discloses information <to a nurse> under
   4-36  this section, the committee has not by that action waived the
   4-37  privilege of nondisclosure of committee information and
   4-38  proceedings.
   4-39        SECTION 7.  Section (c), Article 4523, Revised Statutes, is
   4-40  amended to read as follows:
   4-41        (c)  To allow a nurse to satisfy a requirement imposed by the
   4-42  board <under Article 4526, Revised Statutes,> to renew an expired
   4-43  <a> license <expired for two years or more or a requirement imposed
   4-44  under Article 4526b, Revised Statutes>, to reactivate an inactive
   4-45  <a nursing> license <from inactive status>, or to reissue a
   4-46  suspended, revoked, or surrendered license, the board may issue a
   4-47  temporary permit to practice professional nursing for the limited
   4-48  purpose of satisfying the requirement.  A permit issued under this
   4-49  subsection expires on the earlier of the receipt of a permanent
   4-50  license or six months from the date of issuance.
   4-51        SECTION 8.  Subsections (a), (b), and (c), Article 4525,
   4-52  Revised Statutes, are amended to read as follows:
   4-53        (a)  The board <of nurse examiners> may refuse to admit
   4-54  persons to the licensing examination <its examinations>, <may
   4-55  refuse> to issue or renew a license, <or certificate of
   4-56  registration> or <to issue a certificate of re-registration, may
   4-57  refuse> to issue a temporary permit for any of the reasons for
   4-58  which the board may take disciplinary action against a registered
   4-59  nurse under Subsection (b) of this article.  If the board proposes
   4-60  to refuse to admit a person to the examination, to issue or renew a
   4-61  license, or to issue a temporary permit, the board shall notify the
   4-62  person of the basis for its decision.  A person who is refused
   4-63  admittance to the examination or the renewal or issuance of a
   4-64  license or temporary permit is entitled to a hearing before an
   4-65  administrative law judge of the State Office of Administrative
   4-66  Hearings.
   4-67        (b)  The board may take disciplinary action against a
   4-68  registered nurse<, may issue a warning or reprimand with or without
   4-69  stipulations, may suspend for any period not to exceed 5 years, or
   4-70  may revoke the license or certificate of any practitioner of
    5-1  professional nursing,> for any of the following reasons:
    5-2              (1)  The violation of any of the provisions of this
    5-3  law, any rule, regulation not inconsistent with this law, or order
    5-4  issued hereinunder.
    5-5              (2)  Fraud <Is guilty of fraud> or deceit in procuring
    5-6  or attempting to procure a license to practice professional
    5-7  nursing.
    5-8              (3)  Conviction of a crime of the grade of felony, or a
    5-9  crime of lesser grade which involves moral turpitude, or any
   5-10  conduct resulting in the revocation of probation imposed pursuant
   5-11  to such conviction.
   5-12              (4)  The use of any nursing license, certificate,
   5-13  diploma or permit, or transcript of such license, certificate,
   5-14  diploma or permit, which has been fraudulently purchased, issued,
   5-15  counterfeited, or materially altered.
   5-16              (5)  The impersonation of, or the acting as a proxy
   5-17  for, another in any examination required by law to obtain a license
   5-18  to practice professional nursing.
   5-19              (6)  Aiding or abetting, directly or indirectly, or in
   5-20  any manner whatsoever, any unlicensed person in connection with the
   5-21  unauthorized practice of professional nursing.
   5-22              (7)  Revocation, suspension, or denial of or any other
   5-23  action relating to the license to practice nursing in another
   5-24  jurisdiction.  Certified copy of the order of denial, suspension,
   5-25  revocation, or any other action shall be conclusive evidence
   5-26  thereof.
   5-27              (8)  Intemperate use of alcohol or drugs that the board
   5-28  determines endangers or could endanger patients.  Intemperate use
   5-29  includes but is not limited to practicing professional nursing or
   5-30  being on duty or call while under the influence of alcohol or
   5-31  drugs.
   5-32              (9)  Unprofessional or dishonorable conduct which, in
   5-33  the opinion of the board, is likely to deceive, defraud, or injure
   5-34  patients or the public.
   5-35              (10)  Adjudication of mental incompetency.
   5-36              (11)  Lack of fitness to practice by reason of mental
   5-37  or physical health that could result in injury to patients or the
   5-38  public.
   5-39              (12)  Failing to care adequately for patients or to
   5-40  conform to the minimum standards of acceptable professional nursing
   5-41  practice that, in the opinion of the board, exposes a patient or
   5-42  other person unnecessarily to risk of harm.
   5-43        <(b)  Proceedings under this article shall be begun by filing
   5-44  a written complaint with the board of nurse examiners.  Such
   5-45  complaint may be made by any person or filed by the board on its
   5-46  own initiative.  Unless it would jeopardize an investigation, the
   5-47  board shall notify the registered nurse that a complaint has been
   5-48  filed and the nature of the complaint.  An information file about
   5-49  each complaint filed relating to a licensee shall be maintained by
   5-50  the board.  If a written complaint is filed with the board relating
   5-51  to a licensee, the board at least as frequently as quarterly and
   5-52  until final disposition of the complaint, shall notify the party
   5-53  that filed the complaint of the status of the file unless notice
   5-54  would jeopardize an investigation.  The board shall make a timely
   5-55  and appropriate preliminary investigation of the complaint and may
   5-56  issue a warning or reprimand to the person against whom the
   5-57  complaint was filed.  If the investigation reveals probable cause
   5-58  to take further disciplinary action, the board shall file formal
   5-59  charges against the registered nurse stating the provisions of this
   5-60  chapter or the board's rules that are alleged to have been violated
   5-61  and a brief description of the acts or omissions that constituted
   5-62  the violation.  If the board proposes to refuse to admit a person
   5-63  to its examination, to refuse to issue a temporary permit, license,
   5-64  certificate of registration, certificate of re-registration, or to
   5-65  suspend or revoke a person's permit, license, or certificate, the
   5-66  person is entitled to a hearing before the board.  The hearing may
   5-67  be before a subcommittee of the board, a majority of which is
   5-68  composed of registered nurses.  The person shall on request be
   5-69  granted a hearing before the entire board.  Proceedings for a
   5-70  disciplinary action are governed by the Administrative Procedure
    6-1  and Texas Register Act (Article 6252-13a, Vernon's Texas Civil
    6-2  Statutes).  The board may assess a person found to have violated
    6-3  any provision of this chapter the administrative costs of
    6-4  conducting a hearing to determine that violation.  If a licensed
    6-5  professional nurse voluntarily surrenders his or her license to the
    6-6  board and executes a sworn statement that he or she no longer
    6-7  desires to be licensed, the board may revoke his or her license
    6-8  without the necessity of formal charges, notice, or opportunity of
    6-9  hearing.>
   6-10        (c)(1)  Any person against whom the board has taken adverse
   6-11  action under this chapter <whose license or certificate to practice
   6-12  professional nursing has been revoked or suspended by the board or
   6-13  who has been otherwise disciplined by the board> may take an appeal
   6-14  to any of the district courts in the county of residence or in
   6-15  Travis County, but the decision of the board shall not be enjoined
   6-16  or stayed except on application to such district courts after
   6-17  notice to the board.
   6-18              (2)  Upon application the board may reissue a license
   6-19  or certificate to practice professional nursing to a person whose
   6-20  license has been revoked, <or> suspended, or surrendered, but such
   6-21  application, in case of revocation, shall not be made prior to one
   6-22  year after the revocation was issued and shall be made in such
   6-23  manner and form as the board may require.  At the time the board
   6-24  denies an application for reinstatement, it may set a reasonable
   6-25  period that must lapse before the applicant may reapply for
   6-26  reinstatement.
   6-27        SECTION 9.  Chapter 7, Title 71, Revised Statutes, is amended
   6-28  by adding Articles 4525.1-4525.6 to read as follows:
   6-29        Art. 4525.1.  PENALTIES AND SANCTIONS.  (a)  If the board
   6-30  finds a person has committed any act set forth in Subsection (b),
   6-31  Article 4525, Revised Statutes, or has violated any provision of
   6-32  this chapter or a rule or order of the board, it shall enter an
   6-33  order imposing one or more of the following:
   6-34              (1)  deny the person's application for a license,
   6-35  license renewal, or temporary permit;
   6-36              (2)  issue a written warning;
   6-37              (3)  administer a public reprimand;
   6-38              (4)  limit, or restrict the registered nurse's license,
   6-39  including limiting the registered nurse's practice to, or excluding
   6-40  it from, one or more specified activities of professional nursing
   6-41  or stipulating periodic board review;
   6-42              (5)  suspend the registered nurse's license;
   6-43              (6)  revoke the registered nurse's license;
   6-44              (7)  require the registered nurse to submit to care,
   6-45  counseling, or treatment of health providers designated by the
   6-46  board as a condition for the issuance or renewal of a license;
   6-47              (8)  require the registered nurse to participate in a
   6-48  program of education or counseling prescribed by the board;
   6-49              (9)  require the registered nurse to practice under the
   6-50  direction of a registered nurse designated by the board for a
   6-51  specified period of time;
   6-52              (10)  require the registered nurse to perform public
   6-53  service considered appropriate by the board; or
   6-54              (11)  assess a monetary fine.
   6-55        (b)  The board may probate any penalty imposed on the
   6-56  registered nurse.
   6-57        (c)  The board in its discretion may accept the voluntary
   6-58  surrender of a license.  The board may not reinstate a surrendered
   6-59  license unless it determines the registered nurse is competent to
   6-60  resume practice.
   6-61        (d)  When the board suspends, revokes, or accepts surrender
   6-62  of a license, it may impose conditions for reinstatement that the
   6-63  person must satisfy before the board may issue an unrestricted
   6-64  license.
   6-65        (e)  The schedule of sanctions adopted by the board by rule
   6-66  shall be used by the State Office of Administrative Hearings for
   6-67  any sanction imposed as the result of a hearing conducted by that
   6-68  office.
   6-69        Art. 4525.2.  COMPLAINT AND INVESTIGATION.  (a)  Any person
   6-70  may file a complaint against a registered nurse with the board, or
    7-1  the board may file a complaint on its own initiative.  The
    7-2  complaint shall be in writing and signed by the complainant.
    7-3        (b)  Except as otherwise provided by this article, all
    7-4  investigations shall be conducted by the board or persons
    7-5  authorized by the board to conduct them.  Each complaint against a
    7-6  registered nurse that requires a determination of professional
    7-7  nursing competency shall be reviewed by a board member, consultant,
    7-8  or employee with professional nursing background considered
    7-9  sufficient by the board.
   7-10        (c)  On the filing of a complaint, the board may conduct a
   7-11  preliminary investigation into the identity of the person named or
   7-12  described in the complaint.  After the preliminary investigation,
   7-13  unless it would jeopardize an investigation, the board shall notify
   7-14  the registered nurse that a complaint has been filed and the nature
   7-15  of the complaint.  The board shall make an initial investigation of
   7-16  the complaint to determine if formal charges should be filed
   7-17  charging the registered nurse with having committed an act or acts
   7-18  prohibited by Subsection (b), Article 4525, Revised Statutes, or
   7-19  that violate a statute, board rule, or board order.  The first
   7-20  consideration of the board shall be whether the registered nurse's
   7-21  continuing to practice professional nursing poses a risk of harm to
   7-22  clients or other persons.
   7-23        Art. 4525.3.  AGREED DISPOSITION.  (a)  The board may, unless
   7-24  precluded by law or this chapter, make a disposition of any
   7-25  complaint by stipulation, agreed settlement, agreed order, or
   7-26  dismissal.
   7-27        (b)  An agreed disposition is considered a disciplinary order
   7-28  for purposes of reporting under this chapter and of administrative
   7-29  hearings and proceedings by state and federal regulatory agencies
   7-30  regarding the practice of professional nursing.  An agreed order is
   7-31  a public record.  In civil or criminal litigation, an agreed
   7-32  disposition is a settlement agreement under Rule 408, Texas Rules
   7-33  of Civil Evidence, and Rule 408, Texas Rules of Criminal Evidence.
   7-34        (c)  This article does not apply to a licensee who has
   7-35  previously entered into an agreed disposition with the board of a
   7-36  different disciplinary matter or whose license the board is seeking
   7-37  to revoke.
   7-38        Art. 4525.4.  RIGHTS OF REGISTERED NURSE.  (a)  Except in the
   7-39  case of a temporary suspension authorized under this chapter or
   7-40  action taken in accordance with the terms of an agreement between
   7-41  the board and a licensee, a revocation, suspension, or other
   7-42  disciplinary action relating to a license is not effective unless,
   7-43  before board proceedings are instituted:
   7-44              (1)  the board has served notice to the registered
   7-45  nurse of the facts or conduct alleged to warrant the intended
   7-46  action; and
   7-47              (2)  the registered nurse was given an opportunity to
   7-48  show compliance with all requirements of law for the retention of
   7-49  the license whether in writing or through informal meeting.
   7-50        (b)  If an informal meeting is held, any board member, staff
   7-51  member, or representative of the board in attendance at the meeting
   7-52  shall be considered to have participated in the hearing of the case
   7-53  for the purposes of ex parte  communications under Section 17 of
   7-54  the Administrative Procedure and Texas Register Act (Article
   7-55  6252-13a, Vernon's Texas Civil Statutes).
   7-56        Art. 4525.5.  INITIATION OF FORMAL CHARGES.  (a)  If the
   7-57  board's initial investigation reveals probable cause that the
   7-58  registered nurse committed an act or acts prohibited by Subsection
   7-59  (b), Article 4525, Revised Statutes, or that violate a statute,
   7-60  board rule, or board order, proceedings shall be initiated against
   7-61  the registered nurse unless there is an agreed disposition of the
   7-62  complaint under Article 4525.3, Revised Statutes.  Proceedings
   7-63  shall be initiated by the board or its duly authorized
   7-64  representative by filing formal charges against the registered
   7-65  nurse.  A copy of the formal charges shall be served on the
   7-66  registered nurse or the nurse's counsel of record.
   7-67        (b)  Formal charges shall be in writing and shall allege with
   7-68  reasonable certainty the specific act or acts relied on by the
   7-69  board to constitute a violation of a specific statute, board rule,
   7-70  or board order.  The formal charges shall be specific enough to
    8-1  enable a person of common understanding to know what is meant by
    8-2  the formal charges and shall contain a degree of certainty that
    8-3  will give  the person who is the subject of the formal charges
    8-4  notice of the particular act or acts alleged to be a violation of a
    8-5  specific statute, board rule, or board order.
    8-6        (c)  The board shall adopt reasonable rules to promote
    8-7  discovery by all parties to contested cases.
    8-8        Art. 4525.6.  HEARINGS.  (a)  The board by rule shall adopt
    8-9  procedures governing formal disposition of a contested case under
   8-10  the Administrative Procedure and Texas Register Act (Article
   8-11  6252-13a, Vernon's Texas Civil Statutes).  A formal hearing shall
   8-12  be conducted by the State Office of Administrative Hearings.
   8-13        (b)  Not later than the 30th day after receiving a written
   8-14  request from a licensee who is the subject of formal charges filed
   8-15  under Article 4525.5, Revised Statutes, or from the licensee's
   8-16  counsel of record and subject to any other privileges or
   8-17  restrictions set forth by rule, statute, or legal precedent, and
   8-18  unless good cause is shown for delay, the board shall provide the
   8-19  licensee with access to all known exculpatory information in its
   8-20  possession and all information in its possession that the board
   8-21  intends to offer into evidence in presenting its case in chief at
   8-22  the contested hearing on the complaint.  However, the board is not
   8-23  required to provide board investigative reports or investigative
   8-24  memoranda, the identity of nontestifying complainants,
   8-25  attorney-client communications, attorney-work product, or other
   8-26  materials covered by a privilege as recognized by the Texas Rules
   8-27  of Civil Procedure or the Texas Rules of Civil Evidence.  The
   8-28  furnishing of information does not constitute a waiver of privilege
   8-29  or confidentiality under this article, this chapter, or other
   8-30  applicable law.
   8-31        (c)  In all hearings under this article, the registered nurse
   8-32  shall have the right to appear either personally or by counsel or
   8-33  both.
   8-34        SECTION 10.  Article 4526b, Revised Statutes, is amended to
   8-35  read as follows:
   8-36        Art. 4526b.  INACTIVE STATUS LIST.  Any nurse licensed under
   8-37  the provisions of this law, not actively or actually engaged in the
   8-38  practice of professional nursing, at the expiration of any such
   8-39  license upon written request to the board in such form and manner
   8-40  as the board shall determine may be placed on an inactive status
   8-41  list which shall be maintained by the board.  No professional nurse
   8-42  on such inactive status list shall perform any professional nursing
   8-43  services or work or violate any of the provisions of this law or
   8-44  any rule or regulation of the board so long as on such inactive
   8-45  status.  At any time such person desires to reenter the active
   8-46  practice of professional nursing or again begin performing or
   8-47  offering to perform professional nursing services, such person
   8-48  shall notify the board and upon payment of appropriate fees and
   8-49  meeting requirements as determined by the board shall be removed
   8-50  from the inactive status list.  The board shall adopt rules
   8-51  permitting a nurse on inactive status under this section who is 65
   8-52  or older to use the title "Registered Nurse Retired" or "RN
   8-53  Retired."
   8-54        SECTION 11.  Article 4527, Revised Statutes, is amended by
   8-55  adding Section 3 to read as follows:
   8-56        Sec. 3.  The Board may charge a fee in the amount necessary
   8-57  to produce and disseminate to its licensees the information
   8-58  required under Section 16(a), Article 4525a, Revised Statutes.
   8-59  Such fees shall be expended for a periodic newsletter.  Any balance
   8-60  remaining from this fee at the end of a fiscal year will be carried
   8-61  forward for the purposes stated.
   8-62        SECTION 12.  Section 5, Article 4518, Revised Statutes, is
   8-63  amended to read as follows:
   8-64        Sec. 5.  Insofar as any of the following acts require
   8-65  substantial specialized judgment and skill and insofar as the
   8-66  proper performance of any of the following acts is based upon
   8-67  knowledge and application of the principles of biological,
   8-68  physical, and social science as acquired by a completed course in
   8-69  an approved school of professional nursing, "Professional Nursing"
   8-70  shall be defined as the performance for compensation of any nursing
    9-1  act (a) in the observation, assessment, intervention, evaluation,
    9-2  rehabilitation, care and counsel and health teachings of persons
    9-3  who are ill, injured or infirm or experiencing changes in normal
    9-4  health processes; (b) in the maintenance of health or prevention of
    9-5  illness; (c) in the administration of medications or treatments as
    9-6  ordered by a licensed physician, including a podiatric physician
    9-7  licensed by the Texas State Board of Podiatry Examiners, or
    9-8  dentist; (d) in the supervision or teaching of nursing; (e) in the
    9-9  administration, supervision, and evaluation of nursing practices,
   9-10  policies, and procedures; or (f) in the requesting, receiving, and
   9-11  signing for professional samples and distributing the samples to
   9-12  patients at a site serving underserved populations, as provided by
   9-13  Section 3.06(d)(5), Medical Practice Act (Article 4495b, Vernon's
   9-14  Texas Civil Statutes), and rules implementing that section.  The
   9-15  foregoing shall not be deemed to include acts of medical diagnosis
   9-16  or prescription of therapeutic or corrective measures.  Nothing in
   9-17  this section shall be construed as prohibiting a registered nurse
   9-18  recognized by the board as having the specialized education and
   9-19  training required under Section 7, Article 4514, Revised Statutes,
   9-20  and functioning under adequate physician supervision from carrying
   9-21  out prescription drug orders or treatments under physician's
   9-22  orders, standing medical orders, standing delegation orders, or
   9-23  other orders or protocols.
   9-24        SECTION 13.  This Act takes effect September 1, 1993.
   9-25        SECTION 14.  The importance of this legislation and the
   9-26  crowded condition of the calendars in both houses create an
   9-27  emergency and an imperative public necessity that the
   9-28  constitutional rule requiring bills to be read on three several
   9-29  days in each house be suspended, and this rule is hereby suspended.
   9-30                               * * * * *
   9-31                                                         Austin,
   9-32  Texas
   9-33                                                         May 23, 1993
   9-34  Hon. Bob Bullock
   9-35  President of the Senate
   9-36  Sir:
   9-37  We, your Committee on Health and Human Services to which was
   9-38  referred H.B. No. 756, have had the same under consideration, and I
   9-39  am instructed to report it back to the Senate with the
   9-40  recommendation that it do not pass, but that the Committee
   9-41  Substitute adopted in lieu thereof do pass and be printed.
   9-42                                                         Zaffirini,
   9-43  Chair
   9-44                               * * * * *
   9-45                               WITNESSES
   9-46                                                  FOR   AGAINST  ON
   9-47  ___________________________________________________________________
   9-48  Name:  James Willman                             x
   9-49  Representing:  Tx Nurses Asso
   9-50  City:  Austin
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   9-52  Name:  Betty S. Kaggs                            x
   9-53  Representing:  Tx Nurses Asso
   9-54  City:  Austin
   9-55  -------------------------------------------------------------------