1-1                                   AN ACT
 1-2     relating to establishing a competitive grant program for projects
 1-3     that are designed to improve the quality of life for residents of a
 1-4     convalescent or nursing home and that could serve as a model of
 1-5     best practices for the convalescent and nursing home industry.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7           SECTION 1.  Subchapter K, Chapter 242, Health and Safety
 1-8     Code, is amended by adding Section 242.405 to read as follows:
 1-9           Sec. 242.405.  BEST PRACTICES/QUALITY OF LIFE COMPETITIVE
1-10     GRANT PROGRAM.  (a)  The department shall establish a best
1-11     practices/quality of life competitive grant program.  The purpose
1-12     of the grant program is to pay part of the costs of a project
1-13     proposed by an institution that is designed to improve the quality
1-14     of life for residents of the institution and that could serve as a
1-15     model of best practices for the industry.  The department shall
1-16     monitor the expenditure of grant money to ensure that the money is
1-17     being used for the intended purpose.
1-18           (b)  The legislature may appropriate money collected under
1-19     Section 242.066, including unexpended and unobligated amounts
1-20     collected under Section 242.066 during a previous state fiscal
1-21     biennium, to fund the grant program.
1-22           (c)  The department shall establish guidelines for the grant
1-23     program by rule, including guidelines that specify:
1-24                 (1)  the procedures for submitting a grant proposal;
1-25                 (2)  the criteria the department will follow in
 2-1     evaluating the proposals, which must include as a criterion that
 2-2     institutions with a demonstrated need for improvement will receive
 2-3     priority consideration under the grant program; and
 2-4                 (3)  the reports that a grant recipient must file to
 2-5     allow the department and the industry to evaluate the feasibility
 2-6     and success of the project.
 2-7           (d)  The department shall award each grant under a contract.
 2-8     A contract may further detail:
 2-9                 (1)  reports that the grant recipient must file; and
2-10                 (2)  monitoring of the project that the grant recipient
2-11     must allow.
2-12           (e)  The department shall post a summary on its Internet site
2-13     of best practices under this program and shall advise the industry
2-14     of the location of this best practices Internet site.
2-15           SECTION 2.  This Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 159 passed the Senate on
         March 29, 2001, by viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 159 passed the House on
         May 23, 2001, by a non-record vote.
                                             _______________________________
                                                Chief Clerk of the House
         Approved:
         _______________________________
                      Date
         _______________________________
                    Governor