BILL ANALYSIS



C.S.H.B. 37
By: Greenberg
04-24-95
Committee Report (Substituted)


BACKGROUND

     Family homes represent an important alternative for parents
seeking child care.  Small groups of children in an operator's own
home provide youngsters with greater attention and supervision by
adults, a particularly attractive choice for young children and
those with special needs.  Currently, state law requires operators
of family homes caring for four or more children to register with
the Department of Protective and Regulatory Services (DPRS). 
However, homes providing care for one to three children do not have
to register.  DPRS thus lacks the authority to set standards of
care for children in family homes caring for less than four
children. 

     Although criminal history and child abuse background checks
are conducted upon application for persons operating registered
family homes, those caring for three or fewer children never
undergo such review, exposing children in this type of care to
possibly tragic consequences.  In fact, such was the case in the
kidnapping and murder of a baby placed in an unregistered family
home in Travis County last year.


PURPOSE

     H.B. 37 would eliminate potentially dangerous child-care
placements for children, by requiring operators of all family home
to "list" with DPRS if care is provided for one to three children
unrelated to the caretaker on a regular basis and for compensation. 
DPRS would be authorized to conduct criminal history and child
abuse background checks on persons operating, working or residing
in the family home at time of application and every two years
subsequently.  Listed family homes would not have to meet the more
stringent statutory and departmental rules required of registered
family homes.


RULEMAKING AUTHORITY

     H.B. 37 grants rulemaking authority to the Department of
Protective and Regulatory Services under Section 2 in Sec.
42.052(g) and (k) and under Section 5 in Sec. 42.057(a) and (c),
Human Resources Code.


SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Sec. 42.002, Human Resources Code, by amending
subsection (9) and adding new subsections (16) and (17) as follows:

(9)  Changes definition of "family home," by clarifying that such
homes provide regular care for less than 24 hours each day. 
Specifically excludes homes providing care for children related by
affinity, consanguinity or by court order.

(16)  "Regular care" means at least four hour each day, for at
least three days per week, and for longer than nine consecutive
weeks.

(17)  Defines "department" as the Department of Protective &
Regulatory Services (DPRS).

SECTION 2.  Amends Sec. 42.052, by amending subsections (c) and (f)
and adding new subsections (g)-(k) as follows:

(c)  Adds new category of family homes by requiring facilities
caring for three or fewer children to "list" with DPRS if they
provide regular care.

(f)  Provides technical corrections to update agency name and
require signs in registered family homes to state that homes are
not regularly inspected.

(g)  Creates a new category of family homes, listed with the
Department of Protective and Regulatory Services, if monetary
compensation is received for regular care for three or fewer
children, excluding the caretaker's own children.  Declares listing
to be valid until revoked or suspended.  Requires listed home to
make available its listing with the agency and contain a provision
stating, "THIS HOME IS A LISTED FAMILY HOME.  IT IS NOT LICENSED OR
REGISTERED WITH THE DEPARTMENT OF PROTECTIVE AND REGULATORY
SERVICES.  IT HAS NOT BEEN INSPECTED AND WILL NOT BE REGULARLY
INSPECTED."   Permits DPRS to waive listing requirements under
special circumstances. Requires DPRS to adopt rules to provide for
a sufficient period of time to allow operators of family homes to
comply with the listing requirement.

(h)  Requires the operator of a listed family home to undergo an
initial and  subsequent criminal history and background check as
required by Sec. 42.057 below.

(i)  Prohibits the public advertisement of a home as a "listed
family home" if the home is not listed with the department. 
Requires any advertisement to contain the following provision in
bold type:  "THIS HOME IS A LISTED FAMILY HOME. IT IS NOT LICENSED
OR REGISTERED WITH THE DEPARTMENT OF PROTECTIVE AND REGULATORY
SERVICES.  IT HAS NOT BEEN INSPECTED AND WILL NOT BE REGULARLY
INSPECTED."

(j)  Requires listed family homes to comply with DPRS rules and
standards.

(k)  Allows DPRS by rule to deny an application or renewal of, and
if necessary revoke, a listing or registration of a family home
based on the results of a background or criminal history check. 

SECTION 3.  Amends Sec. 42.054(e), Human Resources Code, as
follows:

(e)  Permits DPRS to charge a $30 annual fee for listed family
homes ($35 for registered homes) to cover a portion of the cost of
regulation.  Requires DPRS to suspend listing or registration, as
necessary, until the fee is paid.

SECTION 4.  Amends Chapter 42, Human Resources Code, by adding new
Sec. 42.057 as follows:

Sec. 42.057.  REQUIRES BACKGROUND AND CRIMINAL HISTORY CHECKS.  (a) 
According to DPRS' rules, requires operators of family homes at
time of application and at least once every 2 years, to submit to
the agency for use in background checks information relating to
persons owning or employed at family home, as well as residents or
other persons staying or working at the home while children in care
are present.

(b)  Directs DPRS to conduct background and criminal history checks
using information provided by the operator, the Department of
Public Safety, and DPRS records of reported abuse and neglect. 

(c)  Authorizes DPRS by rule to charge a fee to recover the expense
of the background check.

SECTION 5.  Amends Sec. 42.074(a), Human Resources Code, by adding
listed family homes to cases in which DPRS may sue for violations
of agency rules or standards.

SECTION 6.  Amends Section 42.075(a), Human Resources Code, adding
to list of violations the public advertisement of unlisted or
unregistered family homes.

SECTION 7.  Effective date, September 1, 1995.

SECTION 8.  Emergency clause.


COMPARISON OF ORIGINAL TO SUBSTITUTE

     H.B. 37, as substituted, instead of requiring all family homes
to register with DPRS, creates a new category of family homes
called "listed family homes," for facilities providing care for
three or fewer children on a regular basis for pay.  The committee
substitute exempted listed homes from more stringent agency
regulation of registered family homes, and requires DPRS to allow
sufficient time for homes to come into compliance.

     The substitute also requires operators and workers in both
listed and registered family homes to submit to criminal history
and child abuse background checks at the time of application and
subsequently every two years.  


SUMMARY OF COMMITTEE ACTION

     In a public hearing on April 3, 1995, the Chairman laid out
H.B. 37 and asked Rep. Greenberg to explain the bill.  Rep.
Naishtat offered a committee substitute.  The following witness
testified as neutral on H.B. 37:  Cris Ros-Dukler, Dept. of
Protective & Regulatory Services.  The following witnesses
testified for H.B. 37:

Kay Mayo, Austin
Carol A. Muenzler, Austin
Margaret Cardello, Houston
Brandi Stringer, Manchaca
Shannon Noble, Texas Women's Political Caucus
Charlotte LaGrone, Texas Professional Home Child Care Ass'n
Eryn Duane Baugh, Pflugerville

The following witnesses testified against H.B. 37:  Pat Carlson,
Texas Eagle Forum; Elizabeth J. Doran, Ft. Worth.  The committee
substitute was withdrawn and H.B. 37 was left pending.

     In a formal meeting on April 19, the committee took up H.B.
37.  The Chairman recognized Rep. Denny who offered a committee
substitute.  After discussion, the substitute was withdrawn and
H.B. 37 was left pending.

     The Committee considered H.B. 37, which had been pending, in
a public hearing on April 24.  The Chairman recognized Rep. Davila
who offered a committee substitute.  The Chairman recognized Rep.
Denny who offered Committee Amendment No. 1, allowing sufficient
time for facilities to come into compliance with the requirement. 
Hearing no objection, Committee Amendment No. 1 was adopted.  The
Chairman recognized Rep. Davila who moved that the committee adopt
the substitute for H.B. 37 with the amendment.  Hearing no
objection, the substitute for H.B. 37 as amended was adopted.  The
Chairman instructed the clerk to fold the amendment into the text
of the committee substitute.

The Chairman recognized Rep. Maxey who moved to report H.B. 37
favorably as substituted; Rep. Davila seconded the motion.  The
motion prevailed by a record vote of 5 Ayes, 3 Nays, 0 PNV and 1
Absent.