By:  Madla                                             S.B. No. 358
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the continuation and functions of the Texas Department
 1-2     of Mental Health and Mental Retardation.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 532.002, Health and Safety Code, is
 1-5     amended to read as follows:
 1-6           Sec. 532.002.  SUNSET PROVISION.  The Texas Department of
 1-7     Mental Health and Mental Retardation is subject to Chapter 325,
 1-8     Government Code (Texas Sunset Act).  Unless continued in existence
 1-9     as provided by that Act, the department is abolished and this
1-10     chapter expires September 1, 2011 [1999].
1-11           SECTION 2.  Chapter 532, Health and Safety Code, is amended
1-12     by adding Section 532.0035 to read as follows:
1-13           Sec. 532.0035.  BOARD TRAINING.  (a)  A person who is
1-14     appointed to and qualifies for office as a member of the board may
1-15     not vote, deliberate, or be counted as a member in attendance at a
1-16     meeting of the board until the person completes a training session
1-17     that complies with this section.
1-18           (b)  The training program must provide the person with
1-19     information regarding:
1-20                 (1)  the legislation that created the department and
1-21     board;
1-22                 (2)  the programs operated by the department;
1-23                 (3)  the roles and functions of the department;
1-24                 (4)  the rules of the department with an emphasis on
 2-1     the rules that relate to disciplinary and investigatory authority;
 2-2                 (5)  the current budget for the department;
 2-3                 (6)  the results of the most recent formal audit of the
 2-4     department;
 2-5                 (7)  the requirements of:
 2-6                       (A)  the open meetings law, Chapter 551,
 2-7     Government Code;
 2-8                       (B)  the public information law, Chapter 552,
 2-9     Government Code;
2-10                       (C)  the administrative procedure law, Chapter
2-11     2001, Government Code; and
2-12                       (D)  other laws relating to public officials,
2-13     including conflict-of-interest laws; and
2-14                 (8)  any applicable ethics policies adopted by the
2-15     department or the Texas Ethics Commission.
2-16           (c)  A person appointed to the board is entitled to
2-17     reimbursement, as provided by the General Appropriations Act, for
2-18     the travel expenses incurred in attending the training program
2-19     regardless of whether the attendance at the program occurs before
2-20     or after the person qualifies for office.
2-21           SECTION 3.  Subsections (d) and (e), Section 532.016, Health
2-22     and Safety Code, are amended to read as follows:
2-23           (d)  The commissioner or the commissioner's designee shall
2-24     prepare and maintain a written policy statement that implements [to
2-25     assure implementation of] a program of equal employment opportunity
2-26     to ensure that [under which] all personnel decisions [transactions]
 3-1     are made without regard to race, color, disability [handicap], sex,
 3-2     religion, age, or national origin.  The policy statement must
 3-3     include:
 3-4                 (1)  personnel policies, including policies relating to
 3-5     recruitment, evaluation, selection, [appointment,] training, and
 3-6     promotion of personnel, that show the intent of the department to
 3-7     avoid the unlawful employment practices described by Chapter 21,
 3-8     Labor Code;
 3-9                 (2)  an analysis of the extent to which the composition
3-10     of the department's personnel is in accordance with state and
3-11     federal law and a description of reasonable methods to achieve
3-12     compliance with state and federal law[;]
3-13                 [(2)  a comprehensive analysis of the department work
3-14     force that meets federal and state guidelines]; and
3-15                 (3)  procedures by which a determination can be made of
3-16     significant underutilization in the department work force of all
3-17     persons for whom federal or state guidelines encourage a more
3-18     equitable balance and reasonable methods to appropriately address
3-19     those areas of significant underutilization.
3-20           (e)  The [A] policy statement [prepared under Subsection (d)]
3-21     must:
3-22                 (1)  [cover an annual period;]
3-23                 [(2)]  be updated [at least] annually;
3-24                 (2)  be reviewed by the state Commission on Human
3-25     Rights for compliance with Subsection (d)(1); and
3-26                 (3)  be filed with the governor's office [governor].
 4-1           SECTION 4.  Subchapter A, Chapter 533, Health and Safety
 4-2     Code, is amended by adding Section 533.013 to read as follows:
 4-3           Sec. 533.013.  DUPLICATION OF REHABILITATION SERVICES.  The
 4-4     department shall enter into an agreement with the Texas
 4-5     Rehabilitation Commission that defines the roles and
 4-6     responsibilities of the department and the commission regarding the
 4-7     agencies' shared client populations.  The agreement must establish
 4-8     methods to prevent the duplication and fragmentation of employment
 4-9     services provided by the agencies.
4-10           SECTION 5.  Section 533.032, Health and Safety Code, is
4-11     amended to read as follows:
4-12           Sec. 533.032.  LONG-RANGE PLANNING [PLAN].  (a)  The
4-13     department shall have a long-range plan covering at least six years
4-14     that includes at least the provisions required by Sections 531.022
4-15     and 531.023, Government Code [Section 10, Article 4413(502),
4-16     Revised Statutes], and Chapter 2056, Government Code.  The plan
4-17     must cover the provision of services in and policies for
4-18     state-operated institutions and ensure that the medical needs of
4-19     the most medically fragile persons the department serves are met.
4-20           (b)  In developing the plan, the department shall:
4-21                 (1)  solicit input from:
4-22                       (A)  local authorities for mental health and
4-23     mental retardation;
4-24                       (B)  community representatives;
4-25                       (C)  consumers of mental health and mental
4-26     retardation services and family members of consumers of services;
 5-1     and
 5-2                       (D)  other interested persons; and
 5-3                 (2)  consider the report developed under Subsection
 5-4     (c).
 5-5           (c)  The department shall develop a report containing
 5-6     information and recommendations regarding the most efficient
 5-7     long-term use and management of the department's campus-based
 5-8     facilities.  The report must:
 5-9                 (1)  project future bed requirements for state schools
5-10     and state hospitals;
5-11                 (2)  document the methodology used to develop the
5-12     projection of future bed requirements;
5-13                 (3)  project maintenance costs for institutional
5-14     facilities;
5-15                 (4)  recommend strategies to maximize the use of
5-16     institutional facilities; and
5-17                 (5)  specify how each state school and state hospital
5-18     will:
5-19                       (A)  serve and support the communities and
5-20     consumers in its service area; and
5-21                       (B)  fulfill statewide needs for specialized
5-22     services.
5-23           (d)  In developing the report under Subsection (c) the
5-24     department shall consider:
5-25                 (1)  the medical needs of the most medically fragile of
5-26     its clients; and
 6-1                 (2)  the provision of services to clients with severe
 6-2     and profound mental retardation.
 6-3           (e)  The department shall:
 6-4                 (1)  attach the report to the department's legislative
 6-5     appropriations request for each biennium;
 6-6                 (2)  at the time the department presents its
 6-7     legislative appropriations request, present the report to the:
 6-8                       (A)  governor;
 6-9                       (B)  governor's budget office;
6-10                       (C)  lieutenant governor;
6-11                       (D)  speaker of the house of representatives;
6-12                       (E)  Legislative Budget Board; and
6-13                       (F)  Health and Human Services Commission; and
6-14                 (3)  update the department's long-range plan biennially
6-15     and include the report in the plan.
6-16           SECTION 6.  Subchapter B, Chapter 533, Health and Safety
6-17     Code, is amended by adding Section 533.0325 to read as follows:
6-18           Sec. 533.0325.  CONTINUUM OF SERVICES IN CAMPUS FACILITIES.
6-19     The board by rule shall establish criteria regarding the uses of
6-20     the department's campus-based facilities to ensure that a full
6-21     continuum of services is available.
6-22           SECTION 7.  Subchapter B, Chapter 533, Health and Safety
6-23     Code, is amended by adding Section 533.0345 to read as follows:
6-24           Sec. 533.0345.  STATE AGENCY SERVICES STANDARDS.  (a)  The
6-25     department by rule shall develop model program standards for mental
6-26     health services for use by each state agency that provides or pays
 7-1     for mental health services.  The department shall provide the model
 7-2     standards to each agency that provides mental health services as
 7-3     identified by the Health and Human Services Commission.
 7-4           (b)  Model standards developed under Subsection (a) must be
 7-5     designed to improve the consistency of mental health services
 7-6     provided by or through a state agency.
 7-7           (c)  Biennially the department shall review the model
 7-8     standards developed under Subsection (a) and determine whether each
 7-9     standard contributes effectively to the consistency of service
7-10     delivery by state agencies.
7-11           SECTION 8.  Subchapter B, Chapter 533, Health and Safety
7-12     Code, is amended by adding Section 533.0351 to read as follows:
7-13           Sec. 533.0351.  LOCAL AUTHORITY ADVISORY COMMITTEE.  (a)  In
7-14     this section "local authority" means a local mental health or
7-15     mental retardation authority.
7-16           (b)  The commissioner shall establish a nine-member local
7-17     authority advisory committee to assist the commissioner in
7-18     developing policies for the operation of local authorities.
7-19           (c)  The committee is composed of representatives of local
7-20     authorities, the public, consumers of local authority services, and
7-21     family members of those consumers, appointed by the commissioner.
7-22     In appointing the members, the commissioner shall ensure a balanced
7-23     representation of:
7-24                 (1)  different regions of this state;
7-25                 (2)  rural and urban counties; and
7-26                 (3)  single-county and multi-county local authorities.
 8-1           (d)  Except for the members representing the public or
 8-2     consumers or family members of consumers, members appointed to the
 8-3     advisory committee must have expertise in the day-to-day operations
 8-4     of a local authority.
 8-5           (e)  The advisory committee shall:
 8-6                 (1)  review rules and proposed rules related to local
 8-7     authority functions and recommend to the commissioner the
 8-8     development of rules on that subject;
 8-9                 (2)  advise the commissioner regarding evaluation and
8-10     coordination of initiatives related to local authority functions;
8-11                 (3)  advise and assist the department in developing a
8-12     method of contracting with local authorities that will result in
8-13     contracts that are flexible and responsive to:
8-14                       (A)  the needs and services of local programs;
8-15     and
8-16                       (B)  the department's performance expectations;
8-17                 (4)  coordinate and monitor activities of work groups
8-18     whose actions may affect local authority functions;
8-19                 (5)  report to the board on the committee's activities
8-20     and recommendations at least once each fiscal quarter; and
8-21                 (6)  work with the commissioner as the commissioner
8-22     directs.
8-23           (f)  For any recommendation the committee makes to the
8-24     department, the department shall provide to the committee a written
8-25     response regarding any action taken on the recommendation or the
8-26     reasons for the department's inaction on the subject of the
 9-1     recommendation.
 9-2           (g)  The committee is subject to Chapter 2110, Government
 9-3     Code.  The department by rule shall provide, in accordance with
 9-4     Section 2110.008, Government Code, that the committee is abolished
 9-5     on September 1, 2007, unless the board affirmatively votes to
 9-6     continue the committee in existence.
 9-7           SECTION 9.  Subchapter B, Chapter 533, Health and Safety
 9-8     Code, is amended by adding Section 533.0356 to read as follows:
 9-9           Sec. 533.0356.  LOCAL BEHAVIORAL HEALTH AUTHORITIES.  (a)  In
9-10     this section, "commission" means the Texas Commission on Alcohol
9-11     and Drug Abuse.
9-12           (b)  The department and the commission jointly may designate
9-13     a local behavioral health authority in a local service area to
9-14     provide mental health and chemical dependency services in that
9-15     area.  The board and the commission may delegate to an authority
9-16     designated under this section the authority and responsibility for
9-17     planning, policy development, coordination, resource allocation,
9-18     and resource development for and oversight of mental health and
9-19     chemical dependency services in that service area.  An authority
9-20     designated under this section has:
9-21                 (1)  all the responsibilities and duties of a local
9-22     mental health authority provided by Section 533.035 and by
9-23     Subchapter B, Chapter 534; and
9-24                 (2)  the responsibility and duty to ensure that
9-25     chemical dependency services are provided in the service area as
9-26     described by the statewide service delivery plan adopted under
 10-1    Section 461.0124.
 10-2          (c)  In the planning and implementation of services, the
 10-3    authority shall give proportionate priority to mental health
 10-4    services and chemical dependency services that ensures that funds
 10-5    purchasing services are utilized in accordance with specific
 10-6    regulatory and statutory requirements that govern the respective
 10-7    funds.
 10-8          (d)  A local mental health authority may apply to the
 10-9    department and commission for designation as a local behavioral
10-10    health authority.
10-11          (e)  The department and commission, by contract or by a
10-12    case-rate or capitated arrangement or another method of allocation,
10-13    may disburse money, including federal money, to a local behavioral
10-14    health authority for services.
10-15          (f)  A local behavioral health authority, with the approval
10-16    of the department or the commission as provided by contract, shall
10-17    use money received under Subsection (e) to ensure that mental
10-18    health and chemical dependency services are provided in the local
10-19    service area at the same level as the level of services previously
10-20    provided through:
10-21                (1)  the local mental health authority; and
10-22                (2)  the commission.
10-23          (g)  In determining whether to designate a local behavioral
10-24    health authority for a service area and in determining the
10-25    functions of the authority if designated, the department and
10-26    commission shall solicit and consider written comments from any
 11-1    interested person including community representatives, persons who
 11-2    are consumers of the proposed services of the authority, and family
 11-3    members of those consumers.
 11-4          (h)  An authority designated under this section shall
 11-5    consider ultimate costs and benefits and client care issues to
 11-6    ensure:
 11-7                (1)  consumer choices of services; and
 11-8                (2)  the best use of public money in:
 11-9                      (A)  assembling a network of service providers;
11-10    and
11-11                      (B)  determining whether to become a provider of
11-12    a service or to contract that service to another organization.
11-13          (i)  An authority designated under this section shall
11-14    demonstrate to the department and the commission that services
11-15    involving state funds that the authority provides directly or
11-16    through a subcontractor comply with relevant state standards.
11-17          (j)  The board and the commission jointly may adopt rules to
11-18    govern the operations of local behavioral health authorities.  The
11-19    department and the commission jointly may assign the local
11-20    behavioral health authority the duty of providing a single point of
11-21    entry for mental health and chemical dependency services.
11-22          SECTION 10.  Section 533.038, Health and Safety Code, is
11-23    amended by adding Subsection (d) to read as follows:
11-24          (d)  A person with mental retardation, or a person's legally
11-25    authorized representative, seeking residential services shall
11-26    receive a clear explanation of programs and services for which the
 12-1    person is determined to be eligible, including state schools,
 12-2    community ICF-MR programs waiver services under Section 1915(c),
 12-3    federal Social Security Act, or other services.  The programs and
 12-4    services chosen by the person or the person's legally authorized
 12-5    representative shall be documented in the person's record.  If the
 12-6    chosen programs or services are not available, the person or the
 12-7    person's legally authorized representative shall be given
 12-8    assistance in gaining access to alternative services and the
 12-9    selected waiting list.
12-10          SECTION 11.  Subchapter B, Chapter 533, Health and Safety
12-11    Code, is amended by adding Section 533.039 to read as follows:
12-12          Sec. 533.039.  CLIENT SERVICES OMBUDSMAN.  (a)  The
12-13    commissioner shall employ an ombudsman responsible for assisting a
12-14    person, or a parent or guardian of a person, who has been denied
12-15    service by the department, a department program or facility, or a
12-16    local mental health or mental retardation authority.
12-17          (b)  The ombudsman shall:
12-18                (1)  explain and provide information on department and
12-19    local mental health or mental retardation authority services,
12-20    facilities, and programs and the rules, procedures, and guidelines
12-21    applicable to the person denied services; and
12-22                (2)  refer the person to an appropriate program,
12-23    facility, or service of the department or any other entity, if any.
12-24          SECTION 12.  Subsection (a), Section 534.004, Health and
12-25    Safety Code, is amended to read as follows:
12-26          (a)  The local agency or organizational combination of local
 13-1    agencies that establishes a community center shall prescribe:
 13-2                (1)  the application procedure for a position on the
 13-3    board of trustees;
 13-4                (2)  the procedure and criteria for making appointments
 13-5    to the board of trustees;
 13-6                (3)  the procedure for posting notice of and filling a
 13-7    vacancy on the board of trustees; and
 13-8                (4)  the grounds and procedure for removing a member of
 13-9    the board of trustees[; and]
13-10                [(5)  a procedure to ensure that an appointed member of
13-11    a board of trustees appointed by a local agency or organizational
13-12    combination of local agencies primarily located in only one county
13-13    serves not more than four consecutive and complete two-year terms].
13-14          SECTION 13.  Section 534.005, Health and Safety Code, is
13-15    amended to read as follows:
13-16          Sec. 534.005.  Terms; Vacancies.  (a)  Appointed members of
13-17    the board of trustees who are not members of a local agency's
13-18    governing body serve staggered two-year terms.  In appointing the
13-19    initial members, the appointing authority shall designate not less
13-20    than one-third or more than one-half of the members to serve
13-21    one-year terms and shall designate the remaining members to serve
13-22    two-year terms.
13-23          (b)  A vacancy on a board of trustees composed of qualified
13-24    voters is filled by appointment for the remainder of the unexpired
13-25    term.
13-26          [(c)  If the local agency or organizational combination of
 14-1    local agencies that appoints the board of trustees is primarily
 14-2    located in only one county, a person appointed to the board of
 14-3    trustees may not serve more than four consecutive and complete
 14-4    two-year terms.]
 14-5          SECTION 14.  Section 534.007, Health and Safety Code, is
 14-6    amended to read as follows:
 14-7          Sec. 534.007.  PROHIBITED ACTIVITIES BY FORMER OFFICERS OR
 14-8    EMPLOYEES; OFFENSE.  (a)  A [For one year after the date on which
 14-9    a] former officer or employee of a community center who ceases
14-10    [terminates] service or employment with the center[, the
14-11    individual] may not represent any person or receive compensation
14-12    for services rendered on behalf of any person regarding a
14-13    particular matter in which the former officer or employee
14-14    participated during the period of employment, either through
14-15    personal involvement or because the case or proceeding was a matter
14-16    within the officer's or employee's official[, directly or
14-17    indirectly, attempt or aid in the attempt to procure a contract
14-18    with the community center in which the individual served or was
14-19    employed if the contract relates to a program or service in which
14-20    the individual was directly concerned or for which the individual
14-21    had administrative] responsibility.
14-22          (b)  This section does not apply to:
14-23                (1)  a former employee who is compensated on the last
14-24    date of service or employment below the amount prescribed by the
14-25    General Appropriations Act for [step 1,] salary group 17, Schedule
14-26    A, or salary group 9, Schedule B, of the position classification
 15-1    salary schedule; or
 15-2                (2)  a former officer or employee who is employed by a
 15-3    state agency or another community center.
 15-4          (c)  Subsection (a) does not apply to a proceeding related to
 15-5    policy development that was concluded before the officer's or
 15-6    employee's service or employment ceased.
 15-7          (d)  A former officer or employee of a community center
 15-8    commits an offense if the former officer or employee violates this
 15-9    section.  An offense under this section is a Class A misdemeanor.
15-10          (e)  In this section:
15-11                (1)  "Participated" means to have taken action as an
15-12    officer or employee through decision, approval, disapproval,
15-13    recommendation, giving advice, investigation, or similar action.
15-14                (2)  "Particular matter" means a specific
15-15    investigation, application, request for a ruling or determination,
15-16    proceeding related to the development of policy, contract, claim,
15-17    charge, accusation, arrest, or judicial or other proceeding.
15-18          SECTION 15.  Subsection (b), Section 534.065, Health and
15-19    Safety Code, is amended to read as follows:
15-20          (b)  The mental health or mental retardation authority may
15-21    [shall] renew the contract only if the contract meets the criteria
15-22    provided by Section 533.016 [if the authority finds that:]
15-23                [(1)  funding is available;]
15-24                [(2)  the authority plans to continue the services;]
15-25                [(3)  the provider is in substantial compliance with
15-26    each material provision of the contract, unless the authority
 16-1    determines that the provision is not legal and enforceable under
 16-2    applicable state and federal law;]
 16-3                [(4)  the provider is providing a reasonably adequate
 16-4    level of service in accordance with the contract and at a
 16-5    reasonable cost;]
 16-6                [(5)  the provider agrees to a renewal contract that is
 16-7    substantially in compliance with a model contract developed by the
 16-8    department under Section 534.055;]
 16-9                [(6)  the provider was during the term of any contract
16-10    with the authority and is at the time of renewal in compliance with
16-11    applicable laws governing the subject matter of the contract; and]
16-12                [(7)  neither the provider nor any of its officers,
16-13    directors, or principal employees has been convicted or found by a
16-14    final administrative decision to have been guilty of fraud or abuse
16-15    in the provision of health care services under a contract with a
16-16    state or federal agency].
16-17          SECTION 16.  Chapter 461, Health and Safety Code, is amended
16-18    by adding Section 461.0128 to read as follows:
16-19          Sec. 461.0128.  STATE AGENCY SERVICES STANDARDS.  (a)  The
16-20    commission by rule shall develop model program standards for
16-21    substance abuse services for use by each state agency that provides
16-22    or pays for substance abuse services.  The commission shall provide
16-23    the model standards to each agency that provides substance abuse as
16-24    identified by the Health and Human Services Commission.
16-25          (b)  Model standards developed under Subsection (a) must be
16-26    designed to improve the consistency of substance abuse services
 17-1    provided by or through a state agency.
 17-2          (c)  Biennially the commission shall review the model
 17-3    standards developed under Subsection (a) and determine whether each
 17-4    standard contributes effectively to the consistency of service
 17-5    delivery by state agencies.
 17-6          SECTION 17.  Chapter 461, Health and Safety Code, is amended
 17-7    by adding Section 461.0129 to read as follows:
 17-8          Sec. 461.0129.  LOCAL BEHAVIORAL HEALTH AUTHORITIES.  The
 17-9    commission may designate and provide services through local
17-10    behavioral health authorities as provided by Section 533.0356 and
17-11    rules adopted jointly with the Texas Board of Mental Health and
17-12    Mental Retardation.
17-13          SECTION 18.  (a)  The changes in law made by Section
17-14    532.0035, Health and Safety Code, as added by this Act, apply only
17-15    to a member of the Texas Board of Mental Health and Mental
17-16    Retardation appointed on or after the effective date of this Act.
17-17    The qualifications of a board member appointed before the effective
17-18    date of this Act are governed by the law as it existed immediately
17-19    before that date and the former law is continued in effect for that
17-20    purpose.
17-21          (b)  The changes in law to Section 534.007, Health and Safety
17-22    Code, made by this Act apply only to a person who ceases employment
17-23    on or after the effective date of this Act.  The relationship
17-24    between a community center and a former employee who terminated
17-25    employment before the effective date of this Act is governed by
17-26    Section 534.007, Health and Safety Code, as it existed immediately
 18-1    before the effective date of this Act, and the former law is
 18-2    continued in effect for that purpose.
 18-3          (c)  The changes in law to Subsection (b), Section 534.065,
 18-4    Health and Safety Code, made by this Act apply only to a contract
 18-5    considered for renewal on or after the effective date of this Act.
 18-6    Actions related to the renewal of a contract that are taken before
 18-7    the effective date of this Act and a contract renewed before that
 18-8    date are governed by Section 534.065, Health and Safety Code, as it
 18-9    existed immediately before the effective date of this Act, and the
18-10    former law is continued in effect for that purpose.
18-11          SECTION 19.  This Act takes effect September 1, 1999.
18-12          SECTION 20.  The importance of this legislation and the
18-13    crowded condition of the calendars in both houses create an
18-14    emergency and an imperative public necessity that the
18-15    constitutional rule requiring bills to be read on three several
18-16    days in each house be suspended, and this rule is hereby suspended.