BILL ANALYSIS HUMAN SERVICES H.B. 2482 (Substituted) By: Smithee (Hilderbran) 4-14-97 BACKGROUND Currently, there is a lack of quality, affordable child care in Texas. Many religious and social ministries operate child care facilities and child placement agencies. These facilities include daycare centers, maternity homes, foster homes, emergency shelters, family homes, and halfway houses. However, many of these agencies and facilities view state licensing standards as intrusive, burdensome and often conflicting with the mission and goals of these groups. Consequently, state regulations prevent many of these religious and social ministries from meeting the needs of an under served population and provide some relief for over-burdened public agencies. These faith-based service providers support meaningful accountability and oversight, but they value their religious identity and are very concerned about subordinating their ministry to government regulation. They are, however, amenable to accreditation by respected private-sector entities even if the required accreditation standards are more stringent than existing state licensing standards. Current Texas law permits for certain facilities serving children to operate licensure free provided they are accredited by a recognized organization. Texas' limited licensure law parallels a growing number of states (e.g. Arizona, Florida, Georgia, Iowa, etc.) which accept accreditation in lieu of state licensure. PURPOSE As substituted, HB 2482 establishes an "alternative accreditation" option for providers of child care and child placing services who, while committed to high-quality care, believe a non-government, accrediting body can better credential and accommodate their program. This bill also clarifies current law to define more fully how the religious freedom of a provider who elects to remain licensed should be protected against unwarranted government interference. RULEMAKING AUTHORITY SECTION 1. Sec. 42.105, Human Resource Code, grants rulemaking authority to DPRS for denial or non-renewal of a certificate under accreditation based on the results of the background and criminal history checks conducted by DPRS through the Department of Public Safety under Sec. 411. 114, Government Code. SECTION 1. Sec. 42.109, Human Resource Code, allows DPRS to adopt rules to cover situations in which a provider's accreditation has been revoked or withdrawn by the accrediting organization. SECTION BY SECTION ANALYSIS SECTION 1.Amends Chapter 42, Human Resources Code, by adding Subchapter E as follows: Sec. 42.101.Alternative Accreditation Program. Requires DPRS to establish a procedure to authorize a child-care facility or child-placing agency to operate without a license if the facility or agency is accredited by an accreditation organization approved by DPRS. Sec. 42.102.Accreditation Organization. Establishes approval qualifications for organizations seeking accreditation. Private organizations must meet standards which are either very similar to or exceeding the state's minimum standards for child-care facilities and child-placing agencies and must demonstrate a commitment to ensure high-quality service. An accreditation organization must file a copy of its minimum standards for child-care facilities or child placement agencies with DPRS. Sec. 42.103.Approved Accreditation Organization. Directs DPRS to approve, for one year, an accreditation organization if the accreditation organization has satisfied the requirements prescribed by this subchapter. Further, DPRS must prescribe an annual renewal procedure for an approved accreditation organization. Permits DPRS to use specific remedies to address exigent situations if the accrediting organization does not take timely corrective action. Sec. 42.104.Registration to Operate Under Accreditation. Allows a facility or agency that is accredited by an approved accreditation organization to apply with DPRS for approval to operate under that accreditation by filing: (1) a registration; (2) a copy of the certificate, license, or letter of accreditation; and (3) a copy of the accreditation report from the accreditation body. The DPRS may require an administrative fee and must approve or deny an application within 30 days. Sec. 42.105.Background and Criminal History Checks. Requires an accrediting organization to obtain certain information from a central registry of reported cases for child abuse or neglect. An accrediting organization may submit to the DPRS information obtained while conducting background or criminal history checks. Permits DPRS to conduct background and criminal history checks through the Department of Public Safety under Section 411.114, Government Code, if the approved accreditation organization fails to do so. Also gives rulemaking authority to DPRS for denial or non-renewal of a certificate under accreditation based on the results of the background checks. Sec. 42.106.Acceptance of Accreditation Instead of License. Directs DPRS to approve operation of a facility or agency under Section 42.104 if the facility or agency submits all required information, pays an administrative fee, and DPRS can verify the applicant's accreditation by an approved accreditation organization. The certificate is non-transferrable and valid for one year. Sec. 42.107.Renewal of Certificate. Directs DPRS to annually renew a certificate issued under Section 42.106 only if the applicant maintains approved accreditation. Sec. 42.108.Notification of Revocation or Withdrawal of Accreditation. An accreditation organization must notify DPRS not later than the 7th day following the organization's accreditation revocation or withdrawal for a child-care facility or child-placing agency. Sec. 42.109.Revocation or Withdrawal of Approval to Operate under Accreditation. A child-care facility or child-placing agency may not operate following accreditation revocation or withdrawal unless DPRS grants a license under Subchapter C or has issued a provisional license. DPRS may adopt rules to implement this section. Sec. 42.110.Authority to Conduct Limited Inspections. DPRS may inspect a child-care facility or child-placing agency accredited under Section 42.106, if the department has received a complaint of child abuse or neglect; or if the standards of the accrediting organization has been violated and the violation creates an immediate threat to the health or safety of the children attending the facility or agency.. Also recognizes authority of certain local, regional, and state agencies to conduct inspections. Sec. 42.111. Emergency Suspension of Child-Care Facility or Child-Placing Agency. DPRS shall suspend a certificate of a child-care facility or child-placing agency under Section 42.104 and if, appropriate, place the children elsewhere if the accredited facility or agency is in violation of the accrediting organization's standards; or the the violation creates an immediate threat to the health or safety of the children attending the agency or facility. An suspension order is immediately effective on the date the certificate holder receives written or if a latter date is order. An order is valid 10 days after the effective date of the order. SECTION 2.Amends Section 42.001, Human Resources Code, as follows: Section 42.001. Purpose. Expands the existing language by allowing the regulation of child-care facilities by private accreditation bodies as an alternative to the current requirement that the state establish statewide standards for the regulation of facilities. Also clarifies the language that protects the religious freedom of Texas citizens, adding the language, "with respect to a school or child-care facility sponsored by a religious organization," and additional language prohibiting a governmental agency from regulating, controlling, supervising, or in any way becoming involved in the following aspects of that facility or school: (1) ministry and teaching; (2) employment; (3) internal selfgovernance and autonomy; and (4) the religious environment, such as symbols, art, icons, and scripture. SECTION 3.Amends the heading of Section 42.041, Human Resource Code, to make conforming changes. SECTION 4.Amends Section 42.041 (a) and (d), Human Resource Code, to make conforming changes to allow a person who, in lieu of the DPRS issued license, has been issued an accreditation certificate under Subchapter E to operate a child-care facility or child-placing agency. SECTION 5.Amends Section 42.076(a), Human Resource Code, to make conforming changes to state that a person who operates a child-care facility or child-placing agency without a DPRS issued license or accreditation certificate under Subchapter E is committing a Class B misdemeanor. SECTION 6.Amends Section 43.003, Human Resource Code, to make conforming changes and to authorize a person to serve as an administrator of a child-care institution provided the applicant satisfies private accreditation standards, according to the accreditation certificate issued under Subchapter E, Chapter 42, which are substantially similar to or exceed the state's minimum standards. This requirement excludes those standards related to internal self-governance, curriculum, and teaching of the institution. SECTION 7.Amends Section 411.114(a)(2), Government Code, to make conforming changes, authorizing DPRS to obtain criminal history records on owners of facilities addressed in Chapter 42, Human Resources Code, in addition to employees and applicants for employment, and applicants for the certificate of approval of a child-care and childplacing facility under that chapter. An accredited operator of a child-care facility or child-placing agency issued under Subchapter E, Chapter 42, Human Resources Code is subject to Section Section 42.105, Human Resources Code. A child-care administrator seeking accreditation under Section 43.003, Human Resources Code is subject to Section 42.105, Human Resources Code. SECTION 8. Effective Date: September 1, 1997. Requires DPRS shall adopt rules under this Act not later than March 1, 1998. SECTION 9. Emergency Clause. COMPARISON OF SUBSTITUTE TO FILED BILL As substituted, HB 2482 clarifies that accredited providers are required to have compliance monitoring procedures that either meet or exceed state standards. Permits DPRS to use specific remedies to address exigent situations if the accrediting organization does not take timely corrective action. The substitute requires an accrediting organization to obtain information from the central registry of child abuse or neglect maintained by the Department of Protective and Regulatory Services on a child-care administrator, operator, or employee seeking accreditation. The substitute also requires an accrediting organization to submit to inspection procedures of the Department of Protective and Regulatory Services. Additionally, the substitute to HB 2482 adds Sec. 42.111 to permit the Department of Protective and Regulatory Services to suspend or revoke the approval of an accrediting organization's status in certain circumstances. The substitute also authorizes the Department of Protective and Regulatory Services to investigate and require timely corrective action if the health and safety of the children residing in the child-care facility or child-placing agency is in immediate danger. The substitute provides that an accredited operator of a child-care facility or child-placing agency issued under Subchapter E, Chapter 42, Human Resources Code is subject to Section Section 42.105, Human Resources Code. A child-care administrator seeking accreditation under Section 43.003, Human Resources Code is subject to Section 42.105, Human Resources Code. The substitute requires DPRS to adopt rules under this Act not later than March 1, 1998.