By Hupp                                               H.B. No. 1759
         76R1724 CLG-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to licensing, certification, and verification requirements
 1-3     for certain child-care facilities.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter C, Chapter 42, Human Resources Code,
 1-6     is amended by adding Sections 42.0462, 42.0485, and 42.0536 to read
 1-7     as follows:
 1-8           Sec. 42.0462.  CAPACITY RESTRICTIONS FOR CERTAIN CHILD-CARE
 1-9     FACILITIES IN CERTAIN COUNTIES.  (a)  For each county with a
1-10     population of less than 20,000, the department by rule shall set a
1-11     limit on the total number of children residing in the county at a
1-12     foster home, foster group home, agency foster home, or agency
1-13     foster group home that is:
1-14                 (1)  licensed or required to be licensed by the
1-15     department;
1-16                 (2)  operating or proposing to be operated under a
1-17     certificate issued under Section 42.106; or
1-18                 (3)  verified by a child-placing agency under this
1-19     chapter.
1-20           (b)  In adopting rules under this section, the department:
1-21                 (1)  shall ensure that the limit set under Subsection
1-22     (a) is proportional to the total population of the county;
1-23                 (2)  may not set the limit for a particular county
1-24     under Subsection (a) at fewer than five children; and
 2-1                 (3)  shall consider the impact on the county of the
 2-2     services provided by the facilities described by Subsection (a).
 2-3           Sec. 42.0485.  CAPACITY RESTRICTIONS FOR ISSUANCE OF LICENSE.
 2-4     The department may not issue a license for the operation or
 2-5     expansion of the capacity of a foster home, foster group home,
 2-6     agency foster home, or agency foster group home if the limit set
 2-7     under Section 42.0462 for the county in which the facility is
 2-8     located would be exceeded by the facility's capacity.
 2-9           Sec. 42.0536.  PROHIBITED VERIFICATION OF CERTAIN AGENCY
2-10     FOSTER HOMES OR AGENCY FOSTER GROUP HOMES.  A child-placing agency
2-11     may not verify an agency foster home or agency foster group home if
2-12     the limit set under Section 42.0462 for the county in which the
2-13     facility is located would be exceeded by the facility's capacity.
2-14           SECTION 2.  Subchapter C, Chapter 42, Human Resources Code,
2-15     is amended by adding Section 42.0495 to read as follows:
2-16           Sec. 42.0495.  OPERATION OF BRANCH OFFICES BY CHILD-PLACING
2-17     AGENCIES.  (a)  In this section, "branch office" means an office
2-18     used by one or more employees of a child-placing agency:
2-19                 (1)  that is located at a site other than the principal
2-20     place of business of the agency, as shown in the department
2-21     records; and
2-22                 (2)  at which active client records and other
2-23     information of the agency are maintained.
2-24           (b)  A child-placing agency that is licensed or required to
2-25     be licensed under this chapter may not operate a branch office in a
2-26     county that is not contiguous to the county in which the principal
2-27     place of business of the agency is located without the approval of
 3-1     the department.  Before the department approves the proposed
 3-2     operation of a branch office under this section, the child-placing
 3-3     agency shall, at the agency's expense:
 3-4                 (1)  conduct a public hearing on the proposed operation
 3-5     in accordance with department rules after notifying the department
 3-6     of the date, time, and location of the hearing; and
 3-7                 (2)  publish notice of the hearing in a newspaper of
 3-8     general circulation in the county in which the branch office is to
 3-9     be located.
3-10           (c)  The notice required by Subsection (b)(2) must be
3-11     published five times at least 14 days before the date of the public
3-12     hearing required by Subsection (b)(1) and must include:
3-13                 (1)  the name and address of the child-placing agency;
3-14                 (2)  the address at which the agency's branch office is
3-15     to be located;
3-16                 (3)  the date, time, and location of the public
3-17     hearing;
3-18                 (4)  the name, address, and telephone number of the
3-19     department as the licensing authority; and
3-20                 (5)  a statement informing the public that a person may
3-21     submit written comments to the department concerning the proposed
3-22     operation of the branch office instead of or in addition to
3-23     appearing at the public hearing.
3-24           (d)  The department shall require a representative of the
3-25     department to attend the public hearing in an official capacity for
3-26     the purpose of receiving public comments on the proposed operation
3-27     of the branch office.
 4-1           (e)  Before approving the operation of a branch office under
 4-2     this section, the department shall consider the impact on the
 4-3     community of the proposed child-care services to be provided and
 4-4     the effect on opportunities for social interaction for the children
 4-5     proposed to be served by the agency through the branch office. The
 4-6     department shall prohibit a child-placing agency from operating a
 4-7     branch office under this section if the department determines that
 4-8     granting the authorization would have a significant adverse impact
 4-9     on the county and would limit opportunities for social interaction
4-10     for the children proposed to be served by the agency through the
4-11     proposed branch office.
4-12           SECTION 3.  Section 42.106,  Human Resources Code, is amended
4-13     by amending Subsection (a) and adding Subsection (d) to read as
4-14     follows:
4-15           (a)  Except as provided by Subsection (d) and Section
4-16     42.105(b), the department shall issue a certificate to operate
4-17     under accreditation to a child-care facility or child-placing
4-18     agency that registers with the department under Section 42.104 if:
4-19                 (1)  the facility or agency submits all of the
4-20     information required by Section 42.104(a);
4-21                 (2)  the facility or agency remits any required
4-22     administrative fee under Section 42.104(b); and
4-23                 (3)  the department verifies that the facility or
4-24     agency is accredited by and in good standing with an approved
4-25     accreditation organization.
4-26           (d)  The department may not issue or renew a certificate to
4-27     operate under accreditation to a foster home, foster group home,
 5-1     agency foster home, or agency foster group home if the limit set
 5-2     under Section 42.0462 for the county in which the facility is
 5-3     located would be exceeded by the facility's capacity.
 5-4           SECTION 4.  Subchapter E, Chapter 42, Human Resources Code,
 5-5     is amended by adding Section 42.112 to read as follows:
 5-6           Sec. 42.112.  OPERATION OF BRANCH OFFICES BY CHILD-PLACING
 5-7     AGENCIES.  (a)  In this section, "branch office" has the meaning
 5-8     assigned by Section 42.0495.
 5-9           (b)  A holder of a certificate issued under Section 42.106 to
5-10     operate a child-placing agency under this subchapter may not
5-11     operate a branch office in a county that is not contiguous to the
5-12     county in which the principal place of business of the agency is
5-13     located without the approval of the department.  The certificate
5-14     holder and the department shall follow the procedures prescribed by
5-15     Section 42.0495 before the department may approve the proposed
5-16     operation of a branch office under this section.
5-17           SECTION 5.  (a)  Not later than January 1, 2000, the
5-18     Department of Protective and Regulatory Services shall adopt the
5-19     rules required by Section 42.0462, Human Resources Code, as added
5-20     by this Act.
5-21           (b)  Except as provided by Subsection (c), the rules adopted
5-22     by the department under Section 42.0462, Human Resources Code, as
5-23     added by this Act, apply to a child-care facility that is being
5-24     operated before, on, or after the effective date of this Act.
5-25           (c)  Notwithstanding Section 42.0462, Human Resources Code,
5-26     as added by this Act, the rules adopted under that section may not
5-27     require the relocation of a child residing in a child-care facility
 6-1     subject to the rules immediately before the effective date of this
 6-2     Act.
 6-3           SECTION 6.  Sections 42.0485 and 42.0536, Human Resources
 6-4     Code, as added by this Act, and the changes in law made by this Act
 6-5     to Section 42.106, Human Resources Code, apply only to an
 6-6     application for the issuance of a license or the issuance or
 6-7     renewal of a certificate or for authorization to expand capacity
 6-8     under a license filed on or after the effective date of this Act.
 6-9     An application filed before the effective date of this Act is
6-10     governed by the law in effect when the application was filed, and
6-11     the former law is continued in effect for that purpose.
6-12           SECTION 7.  This Act takes effect September 1, 1999.
6-13           SECTION 8.  The importance of this legislation and the
6-14     crowded condition of the calendars in both houses create an
6-15     emergency and an imperative public necessity that the
6-16     constitutional rule requiring bills to be read on three several
6-17     days in each house be suspended, and this rule is hereby suspended.