By: Moncrief S.B. No. 618
97S0365/1
A BILL TO BE ENTITLED
AN ACT
1-1 relating to the regulation of certain residential facilities;
1-2 providing civil penalties.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Title 6, Human Resources Code, is amended by
1-5 adding Chapter 105 to read as follows:
1-6 CHAPTER 105. RESIDENTIAL FACILITIES FOR THE ELDERLY
1-7 Sec. 105.001. DEFINITIONS. In this chapter:
1-8 (1) "Establishment" means a facility providing
1-9 sleeping accommodations to two or more qualifying adult residents
1-10 at least 80 percent of whom are 55 years of age or older or are
1-11 disabled and offering or providing, for a fee, one or more
1-12 supportive services, whether offered or provided directly by the
1-13 facility or by another entity arranged for by the facility.
1-14 (2) "Qualifying adult resident" means an adult
1-15 resident of a facility who is not related within the second degree
1-16 by consanguinity or affinity to:
1-17 (A) a person who has an ownership interest in
1-18 the facility; or
1-19 (B) at least one other resident of the facility.
1-20 (3) "Supportive services" means providing, directly or
1-21 indirectly, medical services, health-related services, social
1-22 services, transportation, or help with personal laundry or handling
1-23 or assisting with personal funds of residents, but does not include
2-1 referral or information services, whether provided by a service
2-2 coordinator or other employees of the establishment.
2-3 Sec. 105.002. EXEMPT FACILITIES. The following facilities
2-4 are exempt from the application of this chapter:
2-5 (1) housing in which all supportive services are
2-6 arranged directly by the residents themselves and are provided by
2-7 outside entities;
2-8 (2) nursing facilities licensed under Chapter 242,
2-9 Health and Safety Code; and
2-10 (3) continuing care facilities regulated by the Texas
2-11 Department of Insurance under Chapter 246, Health and Safety Code.
2-12 Sec. 105.003. DISCLOSURE REQUIRED IN CONTRACT. An
2-13 establishment that is not licensed as a personal care facility
2-14 under Chapter 247, Health and Safety Code, shall execute a contract
2-15 with each of its residents that contains, in addition to other
2-16 required information, the following elements:
2-17 (1) the name, street address, and mailing address of
2-18 the establishment;
2-19 (2) the name and mailing address of at least one
2-20 person authorized to act on behalf of the owner or owners or
2-21 management agent of the establishment;
2-22 (3) a statement describing the licensure status of the
2-23 establishment;
2-24 (4) the name and mailing address of any provider,
2-25 including any individual or entity, whether licensed or not
3-1 licensed, providing supportive services under an arrangement with
3-2 the establishment;
3-3 (5) the term of the contract;
3-4 (6) a description of the services to be provided that
3-5 are included in the base monthly rate to be paid by the resident;
3-6 (7) a description of any additional services available
3-7 for an additional fee from the establishment, directly or through
3-8 arrangements with the establishment;
3-9 (8) a provision requiring the establishment to provide
3-10 30 days' written notice of any change in fee schedules that outline
3-11 the cost of additional services;
3-12 (9) a description of the process by which the contract
3-13 may be modified, amended, or terminated;
3-14 (10) a description of the complaint resolution process
3-15 available to residents;
3-16 (11) the name, street address, mailing address, and
3-17 telephone number of the resident's designated representative, if
3-18 any;
3-19 (12) a list of the criteria used by the establishment
3-20 to determine who may not continue to reside in the building;
3-21 (13) a description of the billing and payment
3-22 procedures and requirements;
3-23 (14) a statement regarding the ability and right of
3-24 residents to receive services from service providers with whom the
3-25 establishment does not have an arrangement; and
4-1 (15) a statement as to the life safety and fire codes
4-2 met by the building and a statement as to whether the codes meet
4-3 the requirements of residents who are not capable of
4-4 self-evacuation.
4-5 Sec. 105.004. ADVERTISING DISCLOSURE. Any advertisement and
4-6 any promotional material distributed to the public for an
4-7 establishment must disclose whether the establishment is licensed
4-8 as a personal care facility under Chapter 247, Health and Safety
4-9 Code.
4-10 Sec. 105.005. REMEDIES. A resident of an establishment that
4-11 has violated Section 105.003 or 105.004 may obtain or exercise one
4-12 or more of the remedies available to a tenant under Section 92.205,
4-13 Property Code.
4-14 SECTION 2. Subdivision (3), Section 247.002, Health and
4-15 Safety Code, is amended to read as follows:
4-16 (3) "Personal care facility" means an establishment,
4-17 including a board and care home, that:
4-18 (A) furnishes[, in one or more facilities,] food
4-19 and shelter to four or more persons who are unrelated to the
4-20 proprietor of the establishment and who are residents in one or
4-21 more facilities that are related by the fact that the same person
4-22 has an ownership interest in each; and
4-23 (B) provides personal care services.
4-24 SECTION 3. Section 247.021, Health and Safety Code, is
4-25 amended to read as follows:
5-1 Sec. 247.021. License Required. A person may not establish
5-2 or operate a personal care facility without possessing a license
5-3 [issued] under this chapter for each such facility the person
5-4 establishes or operates.
5-5 SECTION 4. Section 247.045, Health and Safety Code, is
5-6 amended to read as follows:
5-7 Sec. 247.045. Civil Penalties. (a) Except as provided by
5-8 Subsection (b), a [A] person who violates this chapter or who fails
5-9 to comply with a rule adopted under this chapter and whose
5-10 violation is determined by the department to threaten the health
5-11 and safety of a resident of a personal care facility is subject to
5-12 a civil penalty of not less than $100 nor more than $10,000 for
5-13 each act of violation. Each day of a continuing violation
5-14 constitutes a separate ground of recovery.
5-15 (b) A person who does not possess a license for a personal
5-16 care facility as required by Section 247.021 is subject to a civil
5-17 penalty of not less than $1,000 nor more than $10,000 for each act
5-18 of violation. Each day of a continuing violation constitutes a
5-19 separate ground for recovery.
5-20 SECTION 5. Subchapter C, Chapter 247, Health and Safety
5-21 Code, is amended by adding Section 247.047 to read as follows:
5-22 Sec. 247.047. AUTHORITY TO DEVELOP ALTERNATIVE REMEDIES. In
5-23 addition to the enforcement provisions authorized by this chapter,
5-24 the department may by rule develop alternative remedies as
5-25 necessary to administer this chapter, including but not limited to
6-1 the remedies authorized in Chapter 242.
6-2 SECTION 6. (a) The change in law made by this Act applies
6-3 only to a violation committed on or after the effective date of
6-4 this Act. For purposes of this section, a violation is committed
6-5 before the effective date of this Act if any element of the
6-6 violation occurs before that date.
6-7 (b) A violation committed before the effective date of this
6-8 Act is covered by the law in effect when the violation was
6-9 committed, and the former law is continued in effect for this
6-10 purpose.
6-11 SECTION 7. This Act takes effect September 1, 1997.
6-12 SECTION 8. The importance of this legislation and the
6-13 crowded condition of the calendars in both houses create an
6-14 emergency and an imperative public necessity that the
6-15 constitutional rule requiring bills to be read on three several
6-16 days in each house be suspended, and this rule is hereby suspended.