AN ACT
1-1 relating to the management of a community mental health center
1-2 under certain circumstances.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subchapter A, Chapter 534, Health and Safety
1-5 Code, is amended by adding Sections 534.038, 534.039, and 534.040
1-6 to read as follows:
1-7 Sec. 534.038. APPOINTMENT OF MANAGER OR MANAGEMENT TEAM.
1-8 (a) The commissioner may appoint a manager or management team to
1-9 manage and operate a community center if the commissioner finds
1-10 that:
1-11 (1) the center or an officer or employee of the
1-12 center:
1-13 (A) intentionally, recklessly, or negligently
1-14 failed to discharge the center's duties under a contract with the
1-15 department;
1-16 (B) misused state or federal money;
1-17 (C) engaged in a fraudulent act, transaction,
1-18 practice, or course of business;
1-19 (D) endangers or may endanger the life, health,
1-20 or safety of a person served by the center;
1-21 (E) failed to keep fiscal records or maintain
1-22 proper control over center assets as prescribed by Chapter 783,
1-23 Government Code;
1-24 (F) failed to respond to a deficiency in a
2-1 review or audit;
2-2 (G) substantially failed to operate within the
2-3 functions and purposes defined in the center's plan; or
2-4 (H) otherwise substantially failed to comply
2-5 with this subchapter or department rules; and
2-6 (2) contract sanctions and intervention with the local
2-7 board of trustees failed to bring the center into compliance with
2-8 the center's plan or contract.
2-9 (b) The department shall give written notification to the
2-10 center and local agency or combination of agencies responsible for
2-11 making appointments to the local board of trustees regarding:
2-12 (1) the appointment of the manager or management team;
2-13 and
2-14 (2) the circumstances on which the appointment is
2-15 based.
2-16 (c) The commissioner may require the center to pay costs
2-17 incurred by the manager or management team.
2-18 (d) The center may appeal the commissioner's decision to
2-19 appoint a manager or management team as prescribed by board rule.
2-20 The filing of a notice of appeal stays the appointment unless the
2-21 commissioner based the appointment on a finding under Subsection
2-22 (a)(1)(D).
2-23 Sec. 534.039. POWERS AND DUTIES OF MANAGEMENT TEAM. (a) As
2-24 the commissioner determines for each appointment, a manager or
2-25 management team appointed under Section 534.038 may:
2-26 (1) evaluate, redesign, modify, administer, supervise,
3-1 or monitor a procedure, operation, or the management of a community
3-2 center;
3-3 (2) hire, supervise, discipline, reassign, or
3-4 terminate the employment of a center employee;
3-5 (3) reallocate a resource and manage an asset of the
3-6 center;
3-7 (4) provide technical assistance to an officer or
3-8 employee of the center;
3-9 (5) require or provide staff development;
3-10 (6) require that a financial transaction, expenditure,
3-11 or contract for goods and services must be approved by the manager
3-12 or management team;
3-13 (7) redesign, modify, or terminate a center program or
3-14 service;
3-15 (8) direct the executive director, local board of
3-16 trustees, chief financial officer, or a fiscal or program officer
3-17 of the center to take an action;
3-18 (9) exercise a power or duty of an officer or employee
3-19 of the center; or
3-20 (10) make a recommendation to the local agency or
3-21 combination of agencies responsible for appointments to the local
3-22 board of trustees regarding the removal of a center trustee.
3-23 (b) The manager or management team shall supervise the
3-24 exercise of a power or duty by the local board of trustees.
3-25 (c) The manager or management team shall report monthly to
3-26 the commissioner and local board of trustees on actions taken.
4-1 (d) A manager or management team appointed under this
4-2 section may not use an asset or money contributed by a county,
4-3 municipality, or other local funding entity without the approval of
4-4 the county, municipality, or entity.
4-5 Sec. 534.040. RESTORING MANAGEMENT TO CENTER. (a) Each
4-6 month, the commissioner shall evaluate the performance of a
4-7 community center managed by a manager or team appointed under
4-8 Section 534.038 to determine the feasibility of restoring the
4-9 center's management and operation to a local board of trustees.
4-10 (b) The authority of the manager or management team
4-11 continues until:
4-12 (1) the commissioner determines that the relevant
4-13 factors listed under Section 534.038(a)(1) no longer exist; or
4-14 (2) the department cancels its contract with the
4-15 center.
4-16 (c) Following a determination under Subsection (b)(1), the
4-17 commissioner shall terminate the authority of the manager or
4-18 management team and restore authority to manage and operate the
4-19 center to the center's authorized officers and employees.
4-20 SECTION 2. This Act takes effect September 1, 1999.
4-21 SECTION 3. The importance of this legislation and the
4-22 crowded condition of the calendars in both houses create an
4-23 emergency and an imperative public necessity that the
4-24 constitutional rule requiring bills to be read on three several
4-25 days in each house be suspended, and this rule is hereby suspended.
_______________________________ _______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 773 passed the Senate on
March 18, 1999, by the following vote: Yeas 31, Nays 0; and that
the Senate concurred in House amendment on May 28, 1999, by a
viva-voce vote.
_______________________________
Secretary of the Senate
I hereby certify that S.B. No. 773 passed the House, with
amendment, on May 26, 1999, by a non-record vote.
_______________________________
Chief Clerk of the House
Approved:
_______________________________
Date
_______________________________
Governor