By Harris                                              S.B. No. 772
         77R526 PAM-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to requiring the Texas Department of Human Services to
 1-3     establish criteria for designating nursing facility operators with
 1-4     excellent operating records as eligible to acquire a license to
 1-5     operate another existing nursing facility on an expedited basis.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7           SECTION 1. Subchapter B, Chapter 242, Health and Safety Code,
 1-8     is amended by adding Section 242.0335 to read as follows:
 1-9           Sec. 242.0335.  EXPEDITED ISSUANCE OF CHANGE OF OWNERSHIP
1-10     LICENSE TO CERTAIN CURRENT LICENSE HOLDERS. (a)  The department
1-11     shall maintain, and keep current, a list of license holders that
1-12     operate an institution in this state and that have excellent
1-13     operating records according to the information available to the
1-14     department.  The department by rule shall establish specific
1-15     criteria for designating a license holder as eligible for the list.
1-16           (b)  The department shall establish a procedure under which a
1-17     listed license holder may be granted expedited approval in
1-18     obtaining a change of ownership license to operate another existing
1-19     institution in this state.  The procedure may involve allowing a
1-20     listed license holder to submit an affidavit demonstrating that the
1-21     license holder continues to meet the criteria for being listed and
1-22     continues to meet the requirements described by Subsection (c).
1-23           (c)  An applicant for a change of ownership license must meet
1-24     all applicable requirements that an applicant for renewal of a
 2-1     license must meet under this subchapter, including under Section
 2-2     242.032(d), and under rules that the department has adopted under
 2-3     this subchapter.  Any requirement relating to inspections or to an
 2-4     accreditation review applies only to institutions operated by the
 2-5     license holder at the time the application is made for the change
 2-6     of ownership license.
 2-7           SECTION 2. (a)  This Act takes effect September 1, 2001.
 2-8           (b)  The Texas Department of Human Services shall adopt rules
 2-9     under Section 242.0335, Health and Safety Code, as added by this
2-10     Act, on or before March 1, 2002.