1-1     By:  Moncrief                                          S.B. No. 691
 1-2           (In the Senate - Filed February 13, 2001; February 15, 2001,
 1-3     read first time and referred to Committee on Health and Human
 1-4     Services; March 12, 2001, reported favorably by the following vote:
 1-5     Yeas 8, Nays 0; March 12, 2001, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the creation of an assisted living facility trust fund.
 1-9           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-10           SECTION 1.  Subchapter D, Chapter 242, Health and Safety
1-11     Code, is amended by adding Sections 242.0965 and 242.0975 to read
1-12     as follows:
1-13           Sec. 242.0965.  ASSISTED LIVING FACILITY TRUST FUND AND
1-14     EMERGENCY ASSISTANCE FUNDS.  (a)  The assisted living facility
1-15     trust fund is a trust fund with the comptroller and shall be made
1-16     available to the department for expenditures without legislative
1-17     appropriation to make emergency assistance funds available to an
1-18     assisted living facility.
1-19           (b)  A trustee of an assisted living facility may use the
1-20     emergency assistance funds only to alleviate an immediate threat to
1-21     the health or safety of the residents.  The use may include
1-22     payments for:
1-23                 (1)  food;
1-24                 (2)  medication;
1-25                 (3)  sanitation services;
1-26                 (4)  minor repairs;
1-27                 (5)  supplies necessary for personal hygiene; or
1-28                 (6)  services necessary for the personal care, health,
1-29     and safety of the residents.
1-30           (c)  A court may order the department to disburse emergency
1-31     assistance funds to an assisted living facility if the court finds
1-32     that:
1-33                 (1)  the assisted living facility has inadequate funds
1-34     accessible to the trustee for the operation of the assisted living
1-35     facility;
1-36                 (2)  an emergency exists that presents an immediate
1-37     threat to the health and safety of the residents; and
1-38                 (3)  it is in the best interests of the health and
1-39     safety of the residents that funds are immediately available.
1-40           (d)  The department shall disburse money from the assisted
1-41     living facility trust fund as ordered by the court in accordance
1-42     with board rules.
1-43           (e)  Any unencumbered amount in the assisted living facility
1-44     trust fund in excess of $500,000 at the end of each fiscal year
1-45     shall be transferred to the credit of the general revenue fund and
1-46     may be appropriated only to the department for its use in
1-47     administering and enforcing Chapter 247.
1-48           Sec. 242.0975.  ADDITIONAL LICENSE FEE--ASSISTED LIVING
1-49     FACILITIES.  (a)  In addition to the license fee provided by
1-50     Section 247.024, the department shall adopt an annual fee to be
1-51     charged and collected if the amount of the assisted living facility
1-52     trust fund is less than $500,000.  The fee shall be deposited to
1-53     the credit of the assisted living facility trust fund created by
1-54     this subchapter.
1-55           (b)  The department may charge and collect a fee under this
1-56     section more than once each year only if necessary to ensure that
1-57     the amount in the assisted living facility trust fund is sufficient
1-58     to make the disbursements required under Section 242.0965.  If the
1-59     department makes a second or subsequent assessment under this
1-60     subsection in any year, the department shall notify the governor
1-61     and the Legislative Budget Board.
1-62           (c)  The department shall set the fee on the basis of the
1-63     number of beds in assisted living facilities required to pay the
1-64     fee and in an amount necessary to provide not more than $500,000 in
 2-1     the fund.
 2-2           SECTION 2.  The section heading of Section 242.097, Health
 2-3     and Safety Code, is amended to read as follows:
 2-4           Sec. 242.097.  ADDITIONAL LICENSE FEE--NURSING AND
 2-5     CONVALESCENT HOMES.
 2-6           SECTION 3.  This Act takes effect immediately if it receives
 2-7     a vote of two-thirds of all the members elected to each house, as
 2-8     provided by Section 39, Article III, Texas Constitution.  If this
 2-9     Act does not receive the vote necessary for immediate effect, this
2-10     Act takes effect September 1, 2001.
2-11                                  * * * * *