By Moncrief                                           S.B. No. 1341
       74R3451 DLF-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the regulation of home and community support services;
    1-3  imposing penalties.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 142.010(a), Health and Safety Code, is
    1-6  amended to read as follows:
    1-7        (a)  The board shall set license fees for home and community
    1-8  support services agencies in amounts that are reasonable to meet
    1-9  the costs of administering this chapter, except that the fees may
   1-10  not be less than $200 or more than $2,000 <$1,000> for a license to
   1-11  provide home health, hospice, or personal assistance services.
   1-12        SECTION 2.  Section 142.012(b), Health and Safety Code, is
   1-13  amended to read as follows:
   1-14        (b)  The board by rule shall set minimum standards for home
   1-15  and community support services agencies licensed under this chapter
   1-16  that relate to:
   1-17              (1)  qualifications for professional and
   1-18  nonprofessional personnel, including volunteers;
   1-19              (2)  supervision of professional and nonprofessional
   1-20  personnel, including volunteers;
   1-21              (3)  the provision and coordination of treatment and
   1-22  services, including support and bereavement services, as
   1-23  appropriate;
   1-24              (4)  the management or any temporary management,
    2-1  ownership, and organizational structure, including lines of
    2-2  authority and delegation of responsibility and, as appropriate, the
    2-3  composition of an interdisciplinary team;
    2-4              (5)  clinical and business records;
    2-5              (6)  financial ability to carry out the functions as
    2-6  proposed;
    2-7              (7)  safety, fire prevention, and sanitary standards
    2-8  for residential units and inpatient units; and
    2-9              (8)  any other aspects of home health, hospice, or
   2-10  personal assistance services as necessary to protect the public.
   2-11        SECTION 3.  Subchapter A, Chapter 142, Health and Safety
   2-12  Code, is amended by adding Sections 142.0125 and 142.0126 to read
   2-13  as follows:
   2-14        Sec. 142.0125.  NOTIFICATION OF CLOSING.  (a)  A home and
   2-15  community support services agency that is closing temporarily or
   2-16  permanently, or voluntarily or involuntarily, shall notify each
   2-17  client of the agency of the closing as required by this section.
   2-18        (b)  If the closing of a home and community support services
   2-19  agency is ordered by a court, the agency shall make the
   2-20  notification, orally or in writing, immediately on receiving notice
   2-21  of the closing.
   2-22        (c)  If the closing of a home and community support services
   2-23  agency is voluntary, the home and community support services agency
   2-24  shall make the notification not later than the date seven days
   2-25  before the date on which the agency is to be closed.
   2-26        (d)  A home and community support services agency required to
   2-27  notify a client of the agency's closing under this section shall
    3-1  make reasonable efforts to notify each client's nearest relative or
    3-2  other person responsible for the client's support of the closing.
    3-3        Sec. 142.0126.  CRIMINAL PENALTY.  (a)  A home and community
    3-4  support services agency commits an offense if the agency fails or
    3-5  refuses to comply with Section 142.0125.
    3-6        (b)  An offense under this section is a Class A misdemeanor.
    3-7        SECTION 4.  Subchapter A, Chapter 142, Health and Safety
    3-8  Code, is amended by adding Section 142.0135 to read as follows:
    3-9        Sec. 142.0135.  LICENSE REQUIREMENT; CRIMINAL PENALTY.  (a)
   3-10  A person commits an offense if the person violates Section
   3-11  142.002(a).
   3-12        (b)  An offense under this section is punishable by a fine of
   3-13  not more than $1,000 for the first offense and not more than $500
   3-14  for each subsequent offense.
   3-15        (c)  Each day of a continuing violation is a separate
   3-16  offense.
   3-17        SECTION 5.  Section 142.014(a), Health and Safety Code, is
   3-18  amended to read as follows:
   3-19        (a)  A person who engages in the business of providing home
   3-20  health, hospice, or personal assistance service, or represents to
   3-21  the public that the person is a provider of home health, hospice,
   3-22  and personal assistance services for pay, without a license issued
   3-23  under this chapter authorizing the services that are being provided
   3-24  is liable for a civil penalty of not less than $1,000 or more than
   3-25  $10,000 <$2,500> for each day of violation.  Penalties may be
   3-26  appropriated only to the department <and> to administer this
   3-27  chapter.
    4-1        SECTION 6.  Subchapter A, Chapter 142, Health and Safety
    4-2  Code, is amended by adding Sections 142.0141-142.0146 to read as
    4-3  follows:
    4-4        Sec. 142.0141.  ADMINISTRATIVE PENALTY.  (a)  The department
    4-5  may assess an administrative penalty against a person who violates
    4-6  this chapter or a rule adopted under this chapter.
    4-7        (b)  The penalty may not exceed $10,000 for each violation.
    4-8  Each day of a continuing violation constitutes a separate
    4-9  violation.
   4-10        (c)  In determining the amount of an administrative penalty
   4-11  assessed under this section, the department shall consider:
   4-12              (1)  the seriousness of the violation;
   4-13              (2)  the history of previous violations;
   4-14              (3)  the amount necessary to deter future violations;
   4-15              (4)  efforts made to correct the violation; and
   4-16              (5)  any other matters that justice may require.
   4-17        (d)  All proceedings for the assessment of an administrative
   4-18  penalty under this chapter are subject to Chapter 2001, Government
   4-19  Code.
   4-20        Sec. 142.0142.  NOTICE; REQUEST FOR HEARING.  (a)  If, after
   4-21  investigation of a possible violation and the facts surrounding
   4-22  that possible violation, the department determines that a violation
   4-23  has occurred, the department shall give written notice of the
   4-24  violation to the person alleged to have committed the violation.
   4-25  The notice shall include:
   4-26              (1)  a brief summary of the alleged violations;
   4-27              (2)  a statement of the amount of the proposed penalty
    5-1  based on the factors set forth in Section 142.0141(c); and
    5-2              (3)  a statement of the person's right to a hearing on
    5-3  the occurrence of the violation, the amount of the penalty, or both
    5-4  the occurrence of the violation and the amount of the penalty.
    5-5        (b)  Not later than the 20th day after the date on which the
    5-6  notice is received, the person notified may accept the
    5-7  determination of the department made under this section, including
    5-8  the proposed penalty, or make a written request for a hearing on
    5-9  that determination.
   5-10        (c)  If the person notified of the violation accepts the
   5-11  determination of the department, the commissioner or the
   5-12  commissioner's designee shall issue an order approving the
   5-13  determination and ordering that the person pay the proposed
   5-14  penalty.
   5-15        Sec. 142.0143.  HEARING; ORDER.  (a)  If the person notified
   5-16  fails to respond in a timely manner to the notice under Section
   5-17  142.0142(b) or if the person requests a hearing, the department
   5-18  shall:
   5-19              (1)  set a hearing;
   5-20              (2)  give written notice of the hearing to the person;
   5-21  and
   5-22              (3)  designate a hearings examiner to conduct the
   5-23  hearing.
   5-24        (b)  The hearings examiner shall make findings of fact and
   5-25  conclusions of law and shall promptly issue to the commissioner or
   5-26  the commissioner's designee a proposal for decision as to the
   5-27  occurrence of the violation and a recommendation as to the amount
    6-1  of the proposed penalty if a penalty is determined to be warranted.
    6-2        (c)  Based on the findings of fact and conclusions of law and
    6-3  the recommendations of the hearings examiner, the commissioner or
    6-4  the commissioner's designee by order may find that a violation has
    6-5  occurred and may assess a penalty, or may find that no violation
    6-6  has occurred.
    6-7        Sec. 142.0144.  NOTICE AND PAYMENT OF ADMINISTRATIVE PENALTY;
    6-8  JUDICIAL REVIEW; REFUND.  (a)  The department shall give notice of
    6-9  the order under Section 142.0143(c) to the person notified.  The
   6-10  notice must include:
   6-11              (1)  separate statements of the findings of fact and
   6-12  conclusions of law;
   6-13              (2)  the amount of any penalty assessed; and
   6-14              (3)  a statement of the right of the person to judicial
   6-15  review of the order.
   6-16        (b)  Not later than the 30th day after the date on which the
   6-17  decision is final as provided by Chapter 2001, Government Code, the
   6-18  person shall:
   6-19              (1)  pay the penalty;
   6-20              (2)  pay the penalty and file a petition for judicial
   6-21  review contesting the occurrence of the violation, the amount of
   6-22  the penalty, or both the occurrence of the violation and the amount
   6-23  of the penalty; or
   6-24              (3)  without paying the penalty, file a petition for
   6-25  judicial review contesting the occurrence of the violation, the
   6-26  amount of the penalty, or both the occurrence of the violation and
   6-27  the amount of the penalty.
    7-1        (c)  Within the 30-day period, a person who acts under
    7-2  Subsection (b)(3) may:
    7-3              (1)  stay enforcement of the penalty by:
    7-4                    (A)  paying the penalty to the court for
    7-5  placement in an escrow account; or
    7-6                    (B)  giving to the court a supersedeas bond that
    7-7  is approved by the court for the amount of the penalty and that is
    7-8  effective until all judicial review of the order is final; or
    7-9              (2)  request the court to stay enforcement of the
   7-10  penalty by:
   7-11                    (A)  filing with the court a sworn affidavit of
   7-12  the person stating that the person is financially unable to pay the
   7-13  amount of the penalty and is financially unable to give the
   7-14  supersedeas bond; and
   7-15                    (B)  giving a copy of the affidavit to the
   7-16  department by certified mail.
   7-17        (d)  If the department receives a copy of an affidavit under
   7-18  Subsection (c)(2), the department may file with the court, within
   7-19  five days after the date the copy is received, a contest to the
   7-20  affidavit.  The court shall hold a hearing on the facts alleged in
   7-21  the affidavit as soon as practicable and shall stay the enforcement
   7-22  of the penalty on finding that the alleged facts are true.  The
   7-23  person who files an affidavit has the burden of proving that the
   7-24  person is financially unable to pay the penalty and to give a
   7-25  supersedeas bond.
   7-26        (e)  If the person does not pay the penalty and the
   7-27  enforcement of the penalty is not stayed, the department may refer
    8-1  the matter to the attorney general for collection of the penalty.
    8-2        (f)  Judicial review of the order:
    8-3              (1)  is instituted by filing a petition as provided by
    8-4  Subchapter G, Chapter 2001, Government Code; and
    8-5              (2)  is under the substantial evidence rule.
    8-6        (g)  If the court sustains the occurrence of the violation,
    8-7  the court may uphold or reduce the amount of the penalty and order
    8-8  the person to pay the full or reduced amount of the penalty.  If
    8-9  the court does not sustain the occurrence of the violation, the
   8-10  court shall order that no penalty is owed.
   8-11        (h)  When the judgment of the court becomes final, the court
   8-12  shall proceed under this subsection.  If the person paid the amount
   8-13  of the penalty under Subsection (b)(2) and if that amount is
   8-14  reduced or is not upheld by the court, the court shall order that
   8-15  the department pay the appropriate amount plus accrued interest to
   8-16  the person.  The rate of the interest is the rate charged on loans
   8-17  to depository institutions by the New York Federal Reserve Bank,
   8-18  and the interest shall be paid for the period beginning on the date
   8-19  the penalty was paid and ending on the date the penalty is
   8-20  remitted.  If the person paid the penalty under Subsection
   8-21  (c)(1)(A), or gave a supersedeas bond and if the amount of the
   8-22  penalty is not upheld by the court, the court shall order the
   8-23  release of the escrow account or bond.  If the person paid the
   8-24  penalty under Subsection (c)(1)(A) and the amount of the penalty is
   8-25  reduced, the court shall order that the amount of the penalty be
   8-26  paid to the department from the escrow account and that the
   8-27  remainder of the account be released.  If the person gave a
    9-1  supersedeas bond and if the amount of the penalty is reduced, the
    9-2  court shall order the release of the bond after the person pays the
    9-3  amount.
    9-4        Sec. 142.0145.  PENALTY DEPOSITED TO STATE TREASURY.  A civil
    9-5  or administrative penalty collected under this chapter shall be
    9-6  deposited in the state treasury to the credit of the general
    9-7  revenue fund.
    9-8        Sec. 142.0146.  RECOVERY OF COSTS.  (a)  The department may
    9-9  assess reasonable expenses and costs against a person in an
   9-10  administrative hearing if, as a result of the hearing, the person's
   9-11  license is denied, suspended, or revoked or if administrative
   9-12  penalties are assessed against the person.  The person shall pay
   9-13  expenses and costs assessed under this subsection not later than
   9-14  the 30th day after the date of the order of the commissioner or the
   9-15  commissioner's designee requiring the payment of expenses and costs
   9-16  is final.  The department may refer the matter to the attorney
   9-17  general for collection of the expenses and costs.
   9-18        (b)  If the attorney general brings an action against a
   9-19  person under Section 142.013 or 142.014 or to enforce an
   9-20  administrative penalty assessed under this chapter, and an
   9-21  injunction is granted against the person or the person is found
   9-22  liable for a civil or administrative penalty, the attorney general
   9-23  may recover, on behalf of the attorney general and the department,
   9-24  reasonable expenses and costs.
   9-25        (c)  For purposes of this section, "reasonable expenses and
   9-26  costs" include expenses incurred by the department and the attorney
   9-27  general in the investigation, initiation, or prosecution of an
   10-1  action, including reasonable investigative costs, court costs,
   10-2  attorney's fees, witness fees, and deposition expenses.
   10-3        (d)  Costs and expenses collected under this section shall be
   10-4  deposited in the state treasury to the credit of a special account
   10-5  that may be appropriated only to the department.  Sections 403.094
   10-6  and 403.095, Government Code, do not apply to the account.
   10-7        SECTION 7.  Chapter 142, Health and Safety Code, is amended
   10-8  by adding Subchapters C and D to read as follows:
   10-9       SUBCHAPTER C.  TEMPORARY MANAGERS FOR HOME AND COMMUNITY
  10-10                       SUPPORT SERVICES AGENCIES
  10-11        Sec. 142.041.  APPOINTMENT BY AGREEMENT.  (a)  A person
  10-12  holding a controlling interest in a home and community support
  10-13  services agency may, at any time, request the department to assume
  10-14  the management of the agency through the appointment of a temporary
  10-15  manager under this subchapter.
  10-16        (b)  After receiving the request, the department may enter
  10-17  into an agreement providing for the appointment of a temporary
  10-18  manager to manage the home and community support services agency
  10-19  under conditions considered appropriate by both parties if the
  10-20  department considers the appointment desirable.
  10-21        (c)  An agreement under this section must:
  10-22              (1)  specify all terms and conditions of the temporary
  10-23  manager's appointment and authority; and
  10-24              (2)  preserve all rights of the individuals served by
  10-25  the agency as granted by law.
  10-26        (d)  The agreement terminates at the time specified by the
  10-27  agreement.
   11-1        Sec. 142.042.  INVOLUNTARY APPOINTMENT.  (a)  The department
   11-2  may request the attorney general to bring an action in the name and
   11-3  on behalf of the state for the appointment of a temporary manager
   11-4  to  manage a home and community support services agency if:
   11-5              (1)  the home and community support services agency is
   11-6  operating without a license;
   11-7              (2)  the department has denied, suspended, or revoked
   11-8  the agency's license but the agency continues to operate;
   11-9              (3)  license denial, suspension, or revocation
  11-10  procedures against the agency are pending and the department
  11-11  determines that an imminent or reasonably foreseeable threat to the
  11-12  health and safety of a client of the agency exists;
  11-13              (4)  the department determines that an emergency exists
  11-14  that presents an immediate threat to the health and safety of a
  11-15  client of the agency; or
  11-16              (5)  the agency is closing and arrangements for the
  11-17  care of clients by other licensed agencies or facilities, including
  11-18  the relocation of residents of a residential unit or inpatient unit
  11-19  of a hospice, have not been made before closure.
  11-20        (b)  The primary duty of a temporary manager is to ensure
  11-21  orderly and safe referral or relocation of the clients of the
  11-22  agency as soon as possible.  The temporary manager shall provide
  11-23  home and community support services through the agency until each
  11-24  client is referred or relocated.
  11-25        (c)  After a hearing, a court shall appoint a temporary
  11-26  manager to manage a home and community support services agency if
  11-27  the court finds that the involuntary appointment of the manager is
   12-1  necessary.
   12-2        (d)  If possible, the court shall appoint as temporary
   12-3  manager an individual whose background includes administration of
   12-4  home and community support services agencies or similar facilities.
   12-5        (e)  Venue for an action brought under this section is in
   12-6  Travis County.
   12-7        Sec. 142.043.  FEE; RELEASE OF FUNDS.  (a)  A temporary
   12-8  manager appointed under this subchapter is entitled to a reasonable
   12-9  fee as determined by the court.  The fee shall be paid by the
  12-10  agency.
  12-11        (b)  The temporary manager may petition the court to order
  12-12  the release to the manager of any payment owed the manager for care
  12-13  and services provided to clients of the home and community support
  12-14  services agency if the payment has been withheld.
  12-15        (c)  Withheld payments may include payments withheld by a
  12-16  governmental agency or other entity during the appointment of the
  12-17  temporary manager, such as payments:
  12-18              (1)  for Medicaid, Medicare, or insurance;
  12-19              (2)  by a third party; or
  12-20              (3)  for medical expenses borne by the resident.
  12-21        Sec. 142.044.  HOME AND COMMUNITY SUPPORT SERVICES TRUST FUND
  12-22  AND EMERGENCY ASSISTANCE FUNDS.  (a)  The home and community
  12-23  support services agency trust fund is a trust fund in the custody
  12-24  of the state treasurer and is available to the department for
  12-25  expenditures without legislative appropriation to make emergency
  12-26  assistance funds available to a home and community support services
  12-27  agency.
   13-1        (b)  The fund consists of money from the additional annual
   13-2  fee prescribed by Section 142.045, reimbursements made under
   13-3  Section 142.046, and interest earned on investment of the fund.
   13-4        (c)  On court order or with department approval, a temporary
   13-5  manager of a home and community support services agency may use the
   13-6  emergency assistance funds only to alleviate an immediate threat to
   13-7  the health or safety of the clients of the agency.  The use may
   13-8  include payments for:
   13-9              (1)  any items or services necessary to provide home
  13-10  and community support services to the clients of the agency; or
  13-11              (2)  minor repairs for a residential unit or inpatient
  13-12  unit of a hospice.
  13-13        (d)  The department may disburse emergency assistance funds
  13-14  to a home and community support services agency if the department
  13-15  finds that:
  13-16              (1)  the agency has inadequate funds accessible to the
  13-17  temporary manager for the operation of the agency;
  13-18              (2)  there exists an emergency that presents an
  13-19  immediate threat to the health and safety of the clients of the
  13-20  agency; and
  13-21              (3)  it is in the best interest of the health and
  13-22  safety of the clients of the agency that funds are immediately
  13-23  available.
  13-24        (e)  A court may order the department to disburse emergency
  13-25  assistance funds if the court makes the finding required by
  13-26  Subsection (d).
  13-27        (f)  The department shall disburse money from the home and
   14-1  community support services agency trust fund in accordance with
   14-2  board rules or as ordered by the court.
   14-3        (g)  The comptroller shall transfer any unencumbered amount
   14-4  in the home and community support services agency trust fund in
   14-5  excess of $100,000 at the end of each fiscal year to the credit of
   14-6  an account in the general revenue fund that may be appropriated
   14-7  only to the department for its use in administering and enforcing
   14-8  this chapter.
   14-9        Sec. 142.045.  ADDITIONAL LICENSE FEE.  (a)  In addition to
  14-10  the license fee prescribed by Section 142.010, the department shall
  14-11  adopt an annual fee to be charged and collected to maintain the
  14-12  home and community support services agency trust fund in an amount
  14-13  of at least $100,000.
  14-14        (b)  The department may assess an additional fee in a year if
  14-15  necessary to maintain at least $100,000 in the fund.
  14-16        (c)  The fees shall be deposited to the credit of the home
  14-17  and community support services agency trust fund created by this
  14-18  subchapter.
  14-19        (d)  The department shall set a fee assessed under this
  14-20  section for each home and community support services agency at $1
  14-21  multiplied by the average number of clients of that agency at any
  14-22  time during the calendar year or in an amount necessary to provide
  14-23  at least $100,000 in the fund.
  14-24        (e)  The board shall adopt rules as necessary for the
  14-25  determination of the average number of clients of an agency, the
  14-26  amount of the fee or the additional fee, the time when the fee or
  14-27  additional fee is to be paid, and procedures for collecting the fee
   15-1  or the additional fee.
   15-2        Sec. 142.046.  REIMBURSEMENT.  (a)  A home and community
   15-3  support services agency that receives emergency assistance funds
   15-4  under this subchapter shall reimburse the department for the
   15-5  amounts received, including interest.
   15-6        (b)  Interest on unreimbursed amounts begins to accrue on the
   15-7  date on which the funds were disbursed to the home and community
   15-8  support services agency.  The rate of interest is the rate
   15-9  determined under Section 2, Article 1.05, Title 79, Revised
  15-10  Statutes (Article 5069-1.05, Vernon's Texas Civil Statutes), to be
  15-11  applicable to judgments rendered during the month in which the
  15-12  money was disbursed to the agency.
  15-13        (c)  The owner of the home and community support services
  15-14  agency when the temporary manager was appointed is responsible for
  15-15  the reimbursement.
  15-16        (d)  The amount that remains unreimbursed on the first
  15-17  anniversary of the date on which the funds were received is
  15-18  delinquent.
  15-19        (e)  The department shall deposit the reimbursement and
  15-20  interest received under this section to the credit of the home and
  15-21  community support services agency trust fund.
  15-22        (f)  The attorney general shall institute an action to
  15-23  collect the funds due under this section at the request of the
  15-24  department.  Venue for an action brought under this section is in
  15-25  Travis County.
  15-26        Sec. 142.047.  APPLICABILITY OF OTHER LAW.  The State
  15-27  Purchasing and General Services Act (Article 601b, Vernon's Texas
   16-1  Civil Statutes) does not apply to a payment made by a temporary
   16-2  manager under this subchapter.
   16-3           (Sections 142.048-142.060 reserved for expansion
   16-4           SUBCHAPTER D.  REPORTING; RETALIATION PROHIBITED
   16-5        Sec. 142.061.  REPORTING OF VIOLATIONS REQUIRED.  (a)  An
   16-6  employee of a home and community support services agency or a
   16-7  person providing services as a volunteer or contractor for the
   16-8  agency shall report to the department:
   16-9              (1)  a violation of this chapter, another federal or
  16-10  state law, or a rule adopted under this chapter or another federal
  16-11  or state law; or
  16-12              (2)  conduct committed by an officer, employee, or
  16-13  other agent of a home and community support services agency that
  16-14  the employee, volunteer, or contractor believes, in good faith, to
  16-15  otherwise be unethical or improper.
  16-16        (b)  The department shall treat a report made under this
  16-17  section as a complaint under Section 142.009.
  16-18        Sec. 142.062.  RETALIATION PROHIBITED.  A home and community
  16-19  support services agency may not suspend or terminate the employment
  16-20  of or discriminate against an employee who in good faith makes a
  16-21  report as required by Section 142.061, by Section 48.036(c), Human
  16-22  Resources Code, or by Section 34.02, Family Code.
  16-23        Sec. 142.063.  RELIEF AVAILABLE TO EMPLOYEE.  (a)  An
  16-24  employee whose employment is suspended or terminated or who is
  16-25  discriminated against in violation of Section 142.062 may bring an
  16-26  action against the agency for:
  16-27              (1)  injunctive relief;
   17-1              (2)  actual damages;
   17-2              (3)  exemplary damages;
   17-3              (4)  court costs; and
   17-4              (5)  reasonable attorney's fees.
   17-5        (b)  In addition to relief under Subsection (a), an employee
   17-6  whose employment is suspended or terminated in violation of this
   17-7  subchapter is entitled to:
   17-8              (1)  reinstatement to the employee's former position;
   17-9              (2)  compensation for wages lost during the period of
  17-10  suspension or termination; and
  17-11              (3)  reinstatement of fringe benefits and seniority
  17-12  rights lost because of the suspension or termination.
  17-13        Sec. 142.064.  BURDEN OF PROOF; PRESUMPTION.  An employee who
  17-14  sues under this subchapter has the burden of proof, except that if
  17-15  the suspension or termination of an employee occurs not later than
  17-16  the 90th day after the date on which the employee makes the report,
  17-17  the suspension or termination is presumed, subject to rebuttal, to
  17-18  be because the employee made the report.
  17-19        Sec. 142.065.  LIMITATION PERIOD.  An employee who seeks
  17-20  relief under this subchapter must bring the action not later than
  17-21  the 90th day after the date on which the alleged violation of
  17-22  Section 142.062:
  17-23              (1)  occurred; or
  17-24              (2)  was discovered by the employee through reasonable
  17-25  diligence.
  17-26        Sec. 142.066.  VENUE.  An employee may sue under this
  17-27  subchapter in a district court of the county in which the employee
   18-1  resides or in which the home and community support services agency
   18-2  is located.
   18-3        Sec. 142.067.  NOTICE TO EMPLOYEES.  (a)  A home and
   18-4  community support services agency shall inform its employees of
   18-5  their rights under this subchapter by posting a sign in a prominent
   18-6  location in the workplace.
   18-7        (b)  The board shall prescribe the design and content of the
   18-8  sign required by this section.
   18-9        SECTION 8.  Section  48.036(c), Human Resources Code, is
  18-10  amended to read as follows:
  18-11        (c)  If a person has reasonable cause to believe that an
  18-12  elderly or disabled person has been abused, exploited, or neglected
  18-13  in a facility operated, licensed, certified, or registered by a
  18-14  state agency, the person shall report the information to the state
  18-15  agency that operates, licenses, certifies, or registers the
  18-16  facility.  If the abuse,   exploitation, or neglect occurs in a
  18-17  facility licensed under Chapter 242, Health and Safety Code, the
  18-18  person shall report the information as prescribed by Subchapter E
  18-19  of that chapter, and the Texas Department of Human Services
  18-20  <Health> shall investigate the report as prescribed by that
  18-21  subchapter.  If the abuse, exploitation, or neglect occurs in
  18-22  connection with the provision of services by a home and community
  18-23  support services agency licensed under Chapter 142, Health and
  18-24  Safety Code, the person shall report the information to the Texas
  18-25  Department of Health, and the department shall investigate the
  18-26  report as a complaint under Section 142.009, Health and Safety
  18-27  Code.  If the abuse, exploitation, or neglect occurs in the Texas
   19-1  School for the Deaf or the Texas School for the Blind and Visually
   19-2  Impaired, the person shall report the information as prescribed by
   19-3  Chapter 34, Family Code, and the investigation shall be conducted
   19-4  in accordance with that law.
   19-5        SECTION 9.  This Act takes effect September 1, 1995.
   19-6        SECTION 10.  (a)  The change in law made by this Act to
   19-7  Section 142.014, Health and Safety Code, applies only to conduct
   19-8  that occurs on or after the effective date of this Act.
   19-9        (b)  An administrative penalty may be assessed under Sections
  19-10  142.0141-142.0144, Health and Safety Code, as added by this Act,
  19-11  only for a violation of Chapter 142, Health and Safety Code, or a
  19-12  rule adopted under that chapter that occurs on or after the
  19-13  effective date of this Act.
  19-14        (c)  Conduct that occurs before the effective date of this
  19-15  Act, including conduct that constitutes a violation of Chapter 142,
  19-16  Health and Safety Code, or a rule adopted under that chapter, is
  19-17  governed by the law applicable to the conduct immediately before
  19-18  the effective date of this Act and the former law is continued in
  19-19  effect for that purpose.
  19-20        SECTION 11.  A person is not required to make a report under
  19-21  Section 142.061, Health and Safety Code, as added by this Act, if:
  19-22              (1)  the violation or conduct occurred before the
  19-23  effective date of this Act; and
  19-24              (2)  the person has no reason to believe that the
  19-25  violation or conduct continued after the effective date of this
  19-26  Act.
  19-27        SECTION 12.  The importance of this legislation and the
   20-1  crowded condition of the calendars in both houses create an
   20-2  emergency and an imperative public necessity that the
   20-3  constitutional rule requiring bills to be read on three several
   20-4  days in each house be suspended, and this rule is hereby suspended.