76R13567 E                           
         By McCall                                             H.B. No. 3217
         Substitute the following for H.B. No. 3217:
         By Hilderbran                                     C.S.H.B. No. 3217
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the regulation of the practice of medicine.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 2.09, Medical Practice Act (Article
 1-5     4495b, Vernon's Texas Civil Statutes), is amended by amending
 1-6     Subsections (d), (h), (k), and (t) and adding Subsection (bb) to
 1-7     read as follows:
 1-8           (d)  The board shall preserve a record of its proceedings
 1-9     which shall be a public record.  [The board shall also maintain
1-10     records showing the name, age, place, and duration of residence of
1-11     each applicant, the time spent in medical study in respective
1-12     medical schools, and the years and schools from which degrees were
1-13     granted.]  The record shall [also] show whether applicants were
1-14     denied a license [rejected] or licensed and shall be prima facie
1-15     evidence of all matters contained in the record.  A certified copy
1-16     of those permanent records, with the hand and seal of the executive
1-17     director [secretary-treasurer] of the board, shall be admitted in
1-18     evidence in all courts.
1-19           (h)  The board may receive criminal records or reports from
1-20     any law enforcement agency or source pertaining to its licensees or
1-21     any applicant for license.  The board may [shall] submit to the
1-22     Department of Public Safety a complete set of fingerprints of every
1-23     applicant for a license, and the Department of Public Safety shall
1-24     cause them to be classified and checked against those in their
 2-1     fingerprint files and shall [forthwith] certify their findings
 2-2     concerning the criminal record of the applicant or shall report the
 2-3     lack of a criminal record, as the case may be, to the board.  All
 2-4     criminal records and reports received from the Department of Public
 2-5     Safety shall be for the exclusive use of the board and shall be
 2-6     privileged and shall not be released or otherwise disclosed to any
 2-7     person or agency by the board except on court order.  [Any
 2-8     applicant for licensure or any licensee whose license is subject to
 2-9     revocation, cancellation, or suspension because of adverse
2-10     information contained in the criminal records or reports shall be
2-11     afforded the opportunity for a hearing before the board prior to
2-12     any action on the application for license or revocation,
2-13     cancellation, or suspension of license.]
2-14           (k)  The board by rule shall establish reasonable and
2-15     necessary fees so that the fees, in the aggregate, produce
2-16     sufficient revenue to cover the cost of administering this Act.
2-17     The fees set by the board may be adjusted so that the total fees
2-18     collected shall be sufficient to meet the expenses of administering
2-19     this Act.  The board may not set a fee for an amount less than the
2-20     amount of that fee on September 1, 1993. The board may not waive
2-21     collection of any fee or penalty.  The board shall place all money
2-22     [fees] received under authority of this Act[, not otherwise
2-23     specified, into the medical licensing fund] in the state treasury.
2-24     The board is authorized and shall by annual budget determine the
2-25     manner of handling the funds and the purpose, consistent with this
2-26     Act, for which the same may be used.  The budgeted expenses
2-27     authorized by the board shall be paid out of funds received by the
 3-1     board and are not a charge upon the general revenue of the state.
 3-2           (t)  The board shall on request of a licensee issue
 3-3     certification on endorsement of its license to other states and
 3-4     charge a reasonable fee for the issuance.  The board shall, on the
 3-5     request of a licensee, issue certification of the licensee's state
 3-6     board examination grades to the Federation of State Medical Boards
 3-7     and shall charge a reasonable fee for the issuance of that
 3-8     certificate.
 3-9           (bb)  The executive director shall file a surety bond with
3-10     the board.  The board shall pay the premium on the bond.  The bond
3-11     must be:
3-12                 (1)  in an amount of not less than $10,000;
3-13                 (2)  in compliance with the insurance laws of this
3-14     state; and
3-15                 (3)  payable to the state for the use of the state if
3-16     the executive director does not faithfully discharge the executive
3-17     director's duties under this Act.
3-18           SECTION 2.  Subchapter C, Medical Practice Act (Article
3-19     4495b, Vernon's Texas Civil Statutes), is amended by adding Section
3-20     3.015 to read as follows:
3-21           Sec. 3.015.  ANNUAL REGISTRATION OF PHYSICIANS.  (a)  A
3-22     person qualified to practice medicine in this state, or who is
3-23     licensed for the practice of medicine by the board, shall register
3-24     annually as a practitioner with the board.  The initial annual
3-25     registration permit shall be issued with the license.
3-26           (b)  The annual registration permit fee as set by board rule
3-27     shall apply to each physician licensed by the board, whether or not
 4-1     the physician is practicing in this state, other than a retired
 4-2     physician or a physician licensed by the board whose only practice
 4-3     is voluntary charity care exempted as provided by rules adopted by
 4-4     the board.
 4-5           (c)  The board shall mail an annual registration permit
 4-6     renewal application to each practitioner at the practitioner's last
 4-7     known address according to the records of the board not later than
 4-8     the 30th day before the expiration date of the annual registration
 4-9     permit.
4-10           (d)  The board shall allow a 30-day grace period for renewing
4-11     the annual registration permit.  The grace period begins on the
4-12     date of the expiration of the annual registration permit.
4-13           (e)  A licensee may renew the licensee's annual registration
4-14     permit by submitting to the board, on or before the expiration date
4-15     of the annual registration permit, the required renewal application
4-16     and renewal fee.  Each annual registration permit renewal
4-17     application must include the name and mailing address of the
4-18     licensee, the address of each place where the licensee is engaged
4-19     in the practice of medicine, and other necessary information
4-20     required by the board.
4-21           (f)  If the licensee is licensed to practice medicine by
4-22     another state, the District of Columbia, a territory of the United
4-23     States, another country, or the uniformed services of the United
4-24     States, the renewal application must include a description of any
4-25     investigations the licensee knows are in progress and of any
4-26     sanctions imposed by or disciplinary matters pending in the state,
4-27     district, territory, country, or service.
 5-1           (g)  On receipt of a renewal application, and the appropriate
 5-2     fee, the board, after ascertaining, either from the records of the
 5-3     board or from other sources considered by the board to be reliable,
 5-4     that the applicant is a licensed practitioner of medicine in this
 5-5     state, shall issue to the licensee an annual registration permit
 5-6     certifying that the licensee has filed the renewal application and
 5-7     has paid the annual registration permit fee for that year and has
 5-8     completed the requirements for annual registration.
 5-9           (h)  If a licensee's annual registration permit has been
5-10     expired for 90 days or less, the licensee may renew the licensee's
5-11     annual registration permit by submitting to the board the required
5-12     renewal application, renewal fee, and a $50 late fee.
5-13           (i)  If a licensee's annual registration permit has been
5-14     expired for longer than 90 days but less than one year, the
5-15     licensee may  renew the licensee's annual registration permit by
5-16     submitting to the board the required renewal application, renewal
5-17     fee, and a $100 late fee.
5-18           (j)  If a licensee's annual registration permit has been
5-19     expired for more than one year and an investigation is not pending
5-20     with regard to the licensee, the licensee's license is canceled and
5-21     the licensee may not renew the licensee's annual registration
5-22     permit.  A physician whose license is canceled under this
5-23     subsection may obtain a new license by submitting to reexamination
5-24     and complying with the requirements, fees, and procedures for
5-25     obtaining a license.  The board may issue a new license without
5-26     examination to a person whose license is canceled for less than two
5-27     years.
 6-1           (k)  The board by rule may adopt a system under which annual
 6-2     registration permits expire on various dates during the year.  For
 6-3     the year in which the expiration date is changed, annual
 6-4     registration permit fees shall be prorated.  On renewal of the
 6-5     annual registration on the new expiration date, the total annual
 6-6     registration permit fee is payable.
 6-7           (l)  The filing of the renewal application, the payment of
 6-8     the appropriate fee, and the issuance of the registration permit do
 6-9     not entitle the registration applicant to practice medicine in this
6-10     state.  The applicant must also have been previously licensed as a
6-11     practitioner by the board, as prescribed by law, and the
6-12     applicant's license to practice medicine must be in full force and
6-13     effect.  In a prosecution for the unlawful practice of medicine,
6-14     the annual registration permit required by this Act may not be
6-15     treated as evidence that the holder of the registration permit is
6-16     lawfully entitled to practice medicine.
6-17           (m)  Practicing medicine as defined in this Act without an
6-18     annual registration permit for the current year is subject to all
6-19     penalties under this Act of practicing medicine without a license.
6-20           SECTION 3.  Subchapter C, Medical Practice Act (Article
6-21     4495b, Vernon's Texas Civil Statutes), is amended by adding
6-22     Section 3.021 to read as follows:
6-23           Sec. 3.021.  PHYSICIAN-IN-TRAINING PERMITS.  A physician not
6-24     otherwise licensed by the board who participates in a graduate
6-25     training program approved by the board may be issued a
6-26     physician-in-training permit as provided by board rule.  The permit
6-27     does not authorize the performance of medical acts unless an act is
 7-1     performed as part of a graduate medical education training program
 7-2     and under the supervision of a licensed practitioner of medicine.
 7-3     The board may discipline a physician whose permit has expired if
 7-4     the violation of the law occurred during the time that the permit
 7-5     was valid. If an investigation is pending on the date that the
 7-6     permit expires, the board may retain jurisdiction over the
 7-7     investigation.
 7-8           SECTION 4.  Subchapter C, Medical Practice Act (Article
 7-9     4495b, Vernon's Texas Civil Statutes), is amended by adding Section
7-10     3.035 to read as follows:
7-11           Sec. 3.035.  LICENSURE OF PHYSICIANS.  (a)  The board may
7-12     grant a license to practice medicine to any physician who qualifies
7-13     under this Act.
7-14           (b)  An application for a license must be in writing and on
7-15     forms prescribed by the board.  The board may allow or require by
7-16     board rule an applicant to use the Federation of State Medical
7-17     Boards' Credentials Verification System.
7-18           (c)  The application form must be accompanied by all fees,
7-19     documents, and photographs required by board rule.
7-20           (d)  An applicant for a license must subscribe to an oath in
7-21     writing before an officer authorized by law to administer oaths.
7-22     The written oath is a part of the application.
7-23           (e)  An applicant is not eligible for a license if:
7-24                 (1)  the applicant holds a medical license that is
7-25     currently restricted for cause, canceled for cause, suspended for
7-26     cause, or revoked by a state of the United States, a province of
7-27     Canada, or a uniformed service of the United States;
 8-1                 (2)  an investigation or a proceeding has been
 8-2     instituted against the applicant for the restriction, cancellation,
 8-3     suspension, or revocation in a state of the United States, a
 8-4     province of Canada, or a uniformed service of the United States; or
 8-5                 (3)  a prosecution is pending against the applicant in
 8-6     any state, federal, or Canadian court for any offense that under
 8-7     the laws of this state is a felony or a misdemeanor that involves
 8-8     moral turpitude.
 8-9           (f)  Each applicant shall present proof satisfactory to the
8-10     board that any medical school attended by the applicant outside
8-11     this state is substantially equivalent to a medical school of this
8-12     state, as determined by board rule.
8-13           (g)  An applicant who is a graduate of a medical school that
8-14     is located outside the United States or Canada shall present proof
8-15     satisfactory to the board that the applicant:
8-16                 (1)  is a graduate of a school whose curriculum meets
8-17     the requirements for an approved medical school as determined by a
8-18     committee of experts selected by the Texas Higher Education
8-19     Coordinating Board;
8-20                 (2)  has successfully completed three years of graduate
8-21     medical training in the United States or Canada that was approved
8-22     by the board;
8-23                 (3)  is eligible for a license to practice medicine in
8-24     the country in which the school is located except for any
8-25     citizenship requirements;
8-26                 (4)  possesses a valid certificate issued by the
8-27     Educational Commission for Foreign Medical Graduates; and
 9-1                 (5)  has the ability to communicate in English.
 9-2           (h)  All medical or osteopathic medical education received by
 9-3     the applicant in the United States must be accredited by an
 9-4     accrediting body officially recognized by the United States
 9-5     Department of Education as the accrediting body for medical
 9-6     education leading to the doctor of medicine degree or the doctor of
 9-7     osteopathy degree in the United States.  This subsection does not
 9-8     apply to postgraduate medical education or training.
 9-9           (i)  An applicant who is unable to comply with the
9-10     requirements of Subsection (h) of this section may be eligible for
9-11     an unrestricted license if the applicant:
9-12                 (1)  received the applicant's medical education in a
9-13     hospital or teaching institution sponsoring or participating in a
9-14     program of graduate medical education that is accredited by the
9-15     Accrediting Council for Graduate Medical Education, the American
9-16     Osteopathic Association, or the Texas State Board of Medical
9-17     Examiners in the same subjects as the medical or osteopathic
9-18     medical education as defined by board rule; or
9-19                 (2)  is a specialty board certified by a board approved
9-20     by the American Osteopathic Association or the American Board of
9-21     Medical Specialties.
9-22           (j)  The executive director shall review each license
9-23     application  and shall recommend to the board each  applicant
9-24     eligible for licensure.  The executive director also shall report
9-25     to the board the name of each applicant determined to be ineligible
9-26     for a license, accompanied by the reasons for the recommendation.
9-27           (k)  An applicant considered ineligible for a license by the
 10-1    executive director may request review of the recommendation by a
 10-2    committee of the board not later than the 20th day after receipt of
 10-3    the notice, and the executive director may refer any application to
 10-4    the committee for a recommendation concerning eligibility.  If the
 10-5    committee finds the applicant ineligible for a license, that
 10-6    recommendation, together with the reasons for the recommendation,
 10-7    shall be submitted to the full board unless the applicant requests
 10-8    a hearing not later than the 20th day after the date of receipt of
 10-9    notice of the committee's determination.  The hearing shall be
10-10    before an administrative law judge of the State Office of
10-11    Administrative Hearings and shall comply with Chapter 2001,
10-12    Government Code, the rules of the State Office of Administrative
10-13    Hearings, and the rules of the board.  The committee may refer any
10-14    application for determination of eligibility to the full board.
10-15    The board shall, after receiving the administrative law judge's
10-16    proposed findings of fact and conclusions of law, determine the
10-17    eligibility of the applicant.  The board shall issue a written
10-18    statement containing the reasons for the board's action to a
10-19    physician whose application is denied by the board.
10-20          (l)  Examination questions that may be used in the future,
10-21    examinations other than the one taken by the person requesting the
10-22    examination, and deliberations and records relating to the
10-23    professional character and fitness of applicants are confidential
10-24    and are not subject to disclosure under Chapters 551 and 552,
10-25    Government Code.
10-26          (m)  A report received or information gathered by the board
10-27    on an applicant is confidential and is not subject to disclosure
 11-1    under Chapter 552, Government Code.  However, the board may
 11-2    disclose the report to the appropriate licensing authorities in
 11-3    other states.  The board shall report all licensure actions to
 11-4    appropriate licensing authorities in other states and to the
 11-5    Federation of State Medical Boards.
 11-6          (n)  In addition to the requirements prescribed by this
 11-7    section, the board may require applicants to comply with other
 11-8    requirements that the board considers appropriate.
 11-9          SECTION 5.  Subchapter C, Medical Practice Act (Article
11-10    4495b, Vernon's Texas Civil Statutes), is amended by adding Section
11-11    3.038 to read as follows:
11-12          Sec. 3.038.  QUALIFICATIONS OF LICENSE APPLICANT.  To be
11-13    eligible for issuance of a license, each applicant must present
11-14    proof satisfactory to the board that the applicant:
11-15                (1)  is at least 21 years of age;
11-16                (2)  is of good professional character and has not
11-17    violated Section 3.08 of this Act;
11-18                (3)  has completed:
11-19                      (A)  60 semester hours of college courses other
11-20    than in medical school that are acceptable to The University of
11-21    Texas at Austin for credit on a bachelor of arts degree or a
11-22    bachelor of science degree;
11-23                      (B)  the entire primary, secondary, and
11-24    pre-medical education required in the country of medical school
11-25    graduation, if the medical school is located outside the United
11-26    States or Canada; or
11-27                      (C)  substantially equivalent courses as
 12-1    determined by board rule;
 12-2                (4)  is a graduate of a medical school that is located:
 12-3                      (A)  in the United States or Canada that is
 12-4    approved by board rule and has successfully completed one year of
 12-5    graduate medical training in the United States or Canada that is
 12-6    approved by board rule; or
 12-7                      (B)  outside the United States or Canada and has
 12-8    successfully completed three years of graduate medical training in
 12-9    the United States or Canada that is approved by board rule;
12-10                (5)  has successfully passed, after not more than three
12-11    attempts, an examination accepted or administered by the board; and
12-12                (6)  has successfully passed a Texas medical
12-13    jurisprudence examination as determined by board rule.
12-14          SECTION 6.  Subchapter C, Medical Practice Act (Article
12-15    4495b, Vernon's Texas Civil Statutes), is amended by adding
12-16    Section 3.055 to read as follows:
12-17          Sec. 3.055.  EXAMINATIONS ACCEPTED OR ADMINISTERED.  (a)  The
12-18    board may administer or accept the following examinations for
12-19    licensure as determined by rule:
12-20                (1)  a state board licensing examination;
12-21                (2)  the Medical Council of Canada examination or its
12-22    successor;
12-23                (3)  the National Board of Osteopathic Medical
12-24    Examiners examination or its successor;
12-25                (4)  the National Board of Medical Examiners
12-26    examination or its successor;
12-27                (5)  the Federation Licensing examination with a
 13-1    weighted average for one sitting on or before June 1, 1985;
 13-2                (6)  the Federation Licensing examination after June 1,
 13-3    1985;
 13-4                (7)  the United States Medical Licensing examination
 13-5    or its successor; or
 13-6                (8)  a combination of the National Board of Medical
 13-7    Examiners examination and Federation Licensing examination after
 13-8    June 1, 1985, or the United States Medical Licensing examination,
 13-9    Federation Licensing examination after June 1, 1985, and National
13-10    Board of Medical Examiners examination, as determined by board
13-11    rule.
13-12          (b)  Each examination used by the board for a license to
13-13    practice medicine shall be given in writing in English and in a
13-14    manner that is fair and impartial to each individual and to each
13-15    school or system of medicine.  An applicant who wishes to request a
13-16    reasonable accommodation due to a disability shall submit the
13-17    request on filing the application.
13-18          (c)  The examination shall include subjects generally taught
13-19    by medical schools, a knowledge of which is commonly and generally
13-20    required of candidates for the degree of doctor of medicine or
13-21    doctor of osteopathy conferred by schools in this state.
13-22          (d)  The board shall administer the Texas medical
13-23    jurisprudence examination to all applicants.
13-24          (e)  The minimum passing grade for each examination used by
13-25    the board shall be determined by board rule.
13-26          (f)  Examinations administered to evaluate basic medical
13-27    knowledge and clinical competency shall be prepared by a national
 14-1    testing service or prepared by the board and validated by qualified
 14-2    independent testing professionals.
 14-3          (g)  All questions, answers, and grades shall be preserved
 14-4    for one year as directed by the board by rule.
 14-5          (h)  Each applicant shall be given notice of the date and
 14-6    place of the examination if the examination is administered by the
 14-7    board.
 14-8          (i)  Not later than the 120th day after the date on which an
 14-9    examination is administered by the board, each examinee shall be
14-10    notified of the results of the examination.  However, if an
14-11    examination is graded or reviewed by a national testing service,
14-12    the board shall notify each examinee of the results of the
14-13    examination not later than the 30th day after the date the board
14-14    receives the results from the testing service.
14-15          (j)  All parts of the National Board of Osteopathic Medical
14-16    Examiners, National Board of Medical Examiners,  Medical Council of
14-17    Canada, and Federation Licensing examinations after June 1, 1985,
14-18    and United States Medical Licensing examinations must be passed not
14-19    later than the seventh anniversary of the initial attempt to pass
14-20    the licensing examination, except that an applicant who is a
14-21    graduate of a program designed to lead to a doctor of philosophy
14-22    degree and either a doctor of medicine degree or doctor of
14-23    osteopathy degree must pass each part of those examinations not
14-24    later than the second anniversary of the date the applicant is
14-25    awarded a doctor of medicine degree or a doctor of osteopathy
14-26    degree.
14-27          (k)  All parts of any examination used for licensure must be
 15-1    passed within three attempts.
 15-2          SECTION 7.  Subchapter C, Medical Practice Act (Article
 15-3    4495b, Vernon's Texas Civil Statutes), is amended by adding Section
 15-4    3.105 to read as follows:
 15-5          Sec. 3.105.  FEES.  (a)  Except as provided by Section 3.115
 15-6    of this Act, each fee, charge, and penalty received by the board
 15-7    shall be deposited in the medical licensing fund account in the
 15-8    general revenue fund and may be spent only for the enforcement of
 15-9    this Act, the prohibition of the unlawful practice of medicine, the
15-10    dissemination of information to prevent the violation of the laws,
15-11    and the prosecution of those who violate the laws.  All
15-12    distributions may be made only on written approval of the executive
15-13    director of the board or the executive director's designated
15-14    representative.
15-15          (b)  The board may set, charge, collect, receive, and deposit
15-16    any of the following fees, not to exceed the stated limit:
15-17                (1)  license, $900;
15-18                (2)  first annual registration permit, $200;
15-19                (3)  temporary license, $200;
15-20                (4)  renewal of annual registration permit, $200;
15-21                (5)  physician-in-training permit, $200;
15-22                (6)  endorsement to other state medical boards, $200;
15-23                (7)  duplicate license, $200; and
15-24                (8)  reinstated license after cancellation for cause,
15-25    $700.
15-26          (c)  The board may set and collect a charge for making copies
15-27    of records in the office of the board and for any material
 16-1    published by the board.
 16-2          (d)  The financial transactions of the board are subject to
 16-3    audit by the state auditor in accordance with Chapter 321,
 16-4    Government Code.
 16-5          (e)  The board shall file annually with the governor and the
 16-6    presiding officer of each house of the legislature a complete and
 16-7    detailed written report accounting for all funds received and
 16-8    disbursed by the board during the preceding fiscal year.  The
 16-9    annual report must be in the form and reported in the time provided
16-10    by the General Appropriations Act.
16-11          SECTION 8.  Subchapter C, Medical Practice Act (Article
16-12    4495b, Vernon's Texas Civil Statutes), is amended by adding Section
16-13    3.115 to read as follows:
16-14          Sec. 3.115.  DISPOSITION OF CERTAIN FEES.  (a)  An additional
16-15    $200 fee shall apply to each of the following fees:
16-16                (1)  license;
16-17                (2)  first annual registration permit;
16-18                (3)  renewal of annual registration permit; and
16-19                (4)  reinstated license after cancellation for cause.
16-20          (b)  Of each fee collected, $50 shall be deposited to the
16-21    credit of the foundation school fund and $150 shall be deposited to
16-22    the credit of the general revenue fund.  This subsection applies to
16-23    the disposition of the stated portion of each fee regardless of any
16-24    other provision of law providing for a different disposition of
16-25    funds.
16-26          SECTION 9.  The following sections of the Medical Practice
16-27    Act (Article 4495b, Vernon's Texas Civil Statutes) are repealed:
 17-1                (1)  Section 2.10, as added by Chapter 36, Acts of the
 17-2    73rd Legislature, Regular Session, 1993;
 17-3                (2)  Section 3.01;
 17-4                (3)  Section 3.02;
 17-5                (4)  Section 3.03;
 17-6                (5)  Section 3.0305;
 17-7                (6)  Section 3.031;
 17-8                (7)  Section 3.04;
 17-9                (8)  Section 3.05;
17-10                (9)  Section 3.10; and
17-11                (10)  Section 3.11A.
17-12          SECTION 10.  This Act takes effect September 1, 1999.
17-13          SECTION 11.  The importance of this legislation and the
17-14    crowded condition of the calendars in both houses create an
17-15    emergency and an imperative public necessity that the
17-16    constitutional rule requiring bills to be read on three several
17-17    days in each house be suspended, and this rule is hereby suspended.