1-1 AN ACT
1-2 relating to establishing a temporary nursing facility license.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subchapter B, Chapter 242, Health and Safety
1-5 Code, is amended by adding Section 242.0335 to read as follows:
1-6 Sec. 242.0335. TEMPORARY CHANGE OF OWNERSHIP LICENSE.
1-7 (a) For purposes of this section, a temporary change of ownership
1-8 license is a temporary license issued to an applicant who proposes
1-9 to become the new operator of an institution existing on the date
1-10 the application is filed.
1-11 (b) After receiving an application for a temporary change of
1-12 ownership license, the department shall issue a temporary license
1-13 to the applicant if, after investigation, the department finds that
1-14 the applicant and any other person described by Section 242.032(d)
1-15 meet:
1-16 (1) the requirements established under Section
1-17 242.032(c); and
1-18 (2) the department's standards for background and
1-19 qualifications under Sections 242.032(d) and (e).
1-20 (c) The department shall issue or deny a temporary license
1-21 not later than the 30th day after the date of receipt of the
1-22 completed application.
1-23 (d) After the department issues a temporary change of
1-24 ownership license to the applicant, the department shall conduct an
1-25 inspection or survey of the nursing facility under Section 242.043
2-1 as soon as reasonably possible. During the period between the
2-2 issuance of the temporary license and the inspection or survey of
2-3 the nursing facility, the department may not place a hold on vendor
2-4 payments to the temporary license holder.
2-5 (e) After conducting an inspection or survey under
2-6 Subsection (d), the department shall issue a license under Section
2-7 242.033 to the temporary license holder if the nursing facility
2-8 passes the inspection or survey and meets the requirements of
2-9 Section 242.033. If the nursing facility fails to pass the
2-10 inspection or survey or meet the requirements of Section 242.033,
2-11 the department may:
2-12 (1) place a hold on vendor payments to the temporary
2-13 license holder; and
2-14 (2) take any other action authorized under this
2-15 chapter.
2-16 (f) If the applicant meets the requirements of Section
2-17 242.033 and passes an initial inspection or a subsequent inspection
2-18 before the temporary license expires, the license issued under
2-19 Section 242.033 is considered effective on the date requested in
2-20 the application for a temporary change of ownership.
2-21 (g) A temporary license issued under Subsection (b) expires
2-22 on the 91st day after the date the license was issued.
2-23 SECTION 2. This Act takes effect September 1, 2001. The
2-24 change in law made by this Act applies only in relation to an
2-25 application for a change of ownership license submitted on or after
2-26 January 1, 2002. An application for a change of ownership license
3-1 submitted before January 1, 2002, is governed by the law in effect
3-2 immediately before September 1, 2001, and that law is continued in
3-3 effect for that purpose.
_______________________________ _______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 37 passed the Senate on
February 14, 2001, by a viva-voce vote; and that the Senate
concurred in House amendment on April 4, 2001, by a viva-voce vote.
_______________________________
Secretary of the Senate
I hereby certify that S.B. No. 37 passed the House, with
amendment, on March 29, 2001, by a non-record vote.
_______________________________
Chief Clerk of the House
Approved:
_______________________________
Date
_______________________________
Governor