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A BILL TO BE ENTITLED
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AN ACT
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relating to self-directed and semi-independent status of certain |
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health care regulatory agencies; making an appropriation. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 301, Occupations Code, is amended by |
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adding Subchapter B-1 to read as follows: |
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SUBCHAPTER B-1. SELF-DIRECTED AND SEMI-INDEPENDENT STATUS OF BOARD |
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Sec. 301.071. SELF-DIRECTED AND SEMI-INDEPENDENT STATUS. |
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Notwithstanding any other provision of law, the board is |
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self-directed and semi-independent as specified by this |
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subchapter. |
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Sec. 301.072. BUDGET, REVENUES, AND EXPENSES. (a) The |
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executive director shall submit to the board a budget annually |
|
using generally accepted accounting principles. Notwithstanding |
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any other provision of law, including the General Appropriations |
|
Act, the budget shall be adopted and approved only by the board. |
|
(b) The board shall be responsible for all direct and |
|
indirect costs of the board's existence and operation. The board |
|
may not directly or indirectly cause the general revenue fund to |
|
incur any cost. |
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(c) Subject to any limitations in this chapter, the board |
|
may set the amounts of fees, penalties, charges, and revenues |
|
required or permitted by statute or rule as necessary for the |
|
purpose of carrying out the functions of the board and funding the |
|
budget adopted and approved under Subsection (a). |
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(d) Except as provided by Subsection (e), all fees and funds |
|
collected by the board and any funds appropriated to the board shall |
|
be deposited in interest-bearing deposit accounts in the Texas |
|
Treasury Safekeeping Trust Company. The comptroller shall contract |
|
with the board for the maintenance of the deposit accounts under |
|
terms comparable to a contract between a commercial banking |
|
institution and the institution's customers. |
|
(e) The board shall annually remit $5.75 million to the |
|
general revenue fund. |
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(f) Periodically, the executive director shall submit to |
|
the board, as directed by the board, a report of the receipts and |
|
expenditures of the board. |
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(g) The fiscal year for the board begins on September 1 and |
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ends on August 31. |
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Sec. 301.073. AUDITS. (a) This subchapter does not affect |
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the duty of the state auditor to audit the board. The state auditor |
|
shall enter into a contract and schedule with the board to conduct |
|
audits, including financial reports and performance audits. |
|
(b) Not later than August 31 of each fiscal year, the board |
|
shall remit a nonrefundable retainer to the state auditor in an |
|
amount not less than $25,000. The board shall reimburse the state |
|
auditor for all costs, in excess of the nonrefundable retainer |
|
amounts paid each fiscal year, incurred in performing the audits |
|
and shall provide to the governor a copy of any audit performed. |
|
Sec. 301.074. RECORDS; REPORTING REQUIREMENTS. (a) The |
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board shall keep financial and statistical information as necessary |
|
to disclose completely and accurately the financial condition and |
|
results of operations of the board. |
|
(b) Before the beginning of each regular session of the |
|
legislature, the board shall submit to the legislature and the |
|
governor a report describing all of the board's activities in the |
|
previous biennium. The report must include: |
|
(1) an audit as required by Section 301.073; |
|
(2) a financial report of the previous fiscal year, |
|
including reports on financial condition and results of operations; |
|
(3) a description of all changes in fees imposed by the |
|
board; |
|
(4) a report on the number of examination candidates |
|
and license holders and the programs of study and enforcement |
|
activities of the board; and |
|
(5) a list of all new rules adopted or repealed. |
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(c) In addition to the reporting requirements of Subsection |
|
(b), not later than November 1 of each year, the board shall submit |
|
to the governor, the committee of each house of the legislature that |
|
has jurisdiction over appropriations, and the Legislative Budget |
|
Board a report that contains: |
|
(1) the salary for all board personnel and the total |
|
amount of per diem expenses and travel expenses paid for all board |
|
employees; |
|
(2) the total amount of per diem expenses and travel |
|
expenses paid for each member of the board; |
|
(3) the board's operating plan and annual budget; and |
|
(4) a detailed report of all revenue received and all |
|
expenses incurred by the board in the previous 12 months. |
|
Sec. 301.075. ABILITY TO CONTRACT. (a) To carry out and |
|
promote the objectives of this chapter, the board may enter into |
|
contracts and do all other acts incidental to those contracts that |
|
are necessary for the administration of the board's affairs and for |
|
the attainment of the board's purposes, except as limited by |
|
Subsection (b). |
|
(b) Any indebtedness, liability, or obligation of the board |
|
incurred under this section may not: |
|
(1) create a debt or other liability of this state or |
|
another entity other than the board; or |
|
(2) create any personal liability on the part of the |
|
members of the board or the board's employees. |
|
Sec. 301.076. PROPERTY. The board may: |
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(1) acquire by purchase, lease, gift, or any other |
|
manner provided by law and maintain, use, and operate any real, |
|
personal, or mixed property, or any interest in property, necessary |
|
or convenient to the exercise of the powers, rights, privileges, or |
|
functions of the board; |
|
(2) sell or otherwise dispose of any real, personal, |
|
or mixed property, or any interest in property, that the board |
|
determines is not necessary or convenient to the exercise of the |
|
board's powers, rights, privileges, or functions; |
|
(3) construct, extend, improve, maintain, and |
|
reconstruct, or cause to construct, extend, improve, maintain, and |
|
reconstruct, and use and operate all facilities necessary or |
|
convenient to the exercise of the powers, rights, privileges, or |
|
functions of the board; and |
|
(4) borrow money, as may be authorized from time to |
|
time by an affirmative vote of a two-thirds majority of the board, |
|
for a period not to exceed five years if necessary or convenient to |
|
the exercise of the board's powers, rights, privileges, or |
|
functions. |
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Sec. 301.077. ADMINISTRATIVE HEARINGS. (a) Not later than |
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August 31 of each fiscal year, the board shall remit a nonrefundable |
|
retainer to the State Office of Administrative Hearings in an |
|
amount not less than $50,000 for hearings conducted under this |
|
chapter. |
|
(b) The nonrefundable retainer shall be applied to the costs |
|
associated with conducting the hearings. If additional costs are |
|
incurred, the State Office of Administrative Hearings may assess |
|
and collect from the board reasonable fees, in excess of the |
|
nonrefundable retainer amount paid each fiscal year, associated |
|
with conducting a hearing under this chapter. |
|
Sec. 301.078. SUITS. (a) The office of the attorney |
|
general shall represent the board in any litigation. |
|
(b) Not later than August 31 of each fiscal year, the board |
|
shall remit a nonrefundable retainer to the office of the attorney |
|
general in an amount not less than $25,000. The nonrefundable |
|
retainer shall be applied to any services provided to the board. If |
|
additional litigation services are required, the attorney general |
|
may assess and collect from the board reasonable attorney's fees, |
|
in excess of the nonrefundable retainer amount paid each fiscal |
|
year, associated with any litigation under this section. |
|
Sec. 301.079. POST-PARTICIPATION LIABILITY. (a) If the |
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board no longer has status under this subchapter as a self-directed |
|
semi-independent agency for any reason, the board shall be liable |
|
for any expenses or debts incurred by the board during the time the |
|
board was a self-directed semi-independent agency. The board's |
|
liability under this section includes liability for any lease |
|
entered into by the board. This state is not liable for any expense |
|
or debt covered by this subsection, and money from the general |
|
revenue fund may not be used to repay the expense or debt. |
|
(b) If the board no longer has status under this subchapter |
|
as a self-directed semi-independent agency for any reason, |
|
ownership of any property or other asset acquired by the board |
|
during the time the board was a self-directed semi-independent |
|
agency, including unexpended fees in a deposit account in the Texas |
|
Treasury Safekeeping Trust Company, shall be transferred to this |
|
state. |
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Sec. 301.080. DUE PROCESS; OPEN GOVERNMENT. The board is: |
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(1) a governmental body for purposes of Chapters 551 |
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and 552, Government Code; and |
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(2) a state agency for purposes of Chapters 2001 and |
|
2005, Government Code. |
|
Sec. 301.081. MEMBERSHIP IN EMPLOYEES RETIREMENT SYSTEM. |
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Employees of the board are members of the Employees Retirement |
|
System of Texas under Chapter 812, Government Code, and the board's |
|
transition to semi-independent status as provided by this |
|
subchapter has no effect on the employees' membership or any |
|
benefits under that system. |
|
Sec. 301.082. GIFTS. (a) Notwithstanding any other law, |
|
the board may not accept a gift, grant, or donation: |
|
(1) from a party to an enforcement action; or |
|
(2) to pursue a specific investigation or enforcement |
|
action. |
|
(b) The board must: |
|
(1) report each gift, grant, or donation that the |
|
board receives as a separate item in the board's report required |
|
under Section 301.074(b); and |
|
(2) include with the report a statement indicating the |
|
purpose for which each gift, grant, or donation was donated and |
|
used. |
|
SECTION 2. Section 301.056, Occupations Code, is amended to |
|
read as follows: |
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Sec. 301.056. PER DIEM; REIMBURSEMENT. (a) Each board |
|
member is entitled to receive a per diem [as set by the General
|
|
Appropriations Act] for each day the member engages in the business |
|
of the board. |
|
(b) A board member is entitled to reimbursement for travel |
|
expenses incurred while conducting board business, including |
|
expenses for transportation, meals, and lodging[, as provided by
|
|
the General Appropriations Act]. |
|
SECTION 3. Section 301.059(c), Occupations Code, is amended |
|
to read as follows: |
|
(c) A person appointed to the board is entitled to |
|
reimbursement[, as provided by the General Appropriations Act,] for |
|
the travel expenses incurred in attending the training program |
|
regardless of whether the attendance at the program occurs before |
|
or after the person qualifies for office. |
|
SECTION 4. Section 301.155(a), Occupations Code, is amended |
|
to read as follows: |
|
(a) The board by rule shall establish fees in amounts |
|
reasonable and necessary to cover the costs of administering this |
|
chapter. [The board may not set a fee that existed on September 1,
|
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1993, in an amount less than the amount of that fee on that date.] |
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SECTION 5. Chapter 552, Occupations Code, is amended by |
|
designating Sections 552.001 through 552.012 as Subchapter A and |
|
adding a subchapter heading to read as follows: |
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SUBCHAPTER A. BOARD |
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SECTION 6. Chapter 552, Occupations Code, is amended by |
|
adding Subchapter B to read as follows: |
|
SUBCHAPTER B. SELF-DIRECTED AND SEMI-INDEPENDENT STATUS OF BOARD |
|
Sec. 552.051. SELF-DIRECTED AND SEMI-INDEPENDENT STATUS. |
|
Notwithstanding any other provision of law, the board is |
|
self-directed and semi-independent as specified by this |
|
subchapter. |
|
Sec. 552.052. BUDGET, REVENUES, AND EXPENSES. (a) The |
|
executive director shall submit to the board a budget annually |
|
using generally accepted accounting principles. Notwithstanding |
|
any other provision of law, including the General Appropriations |
|
Act, the budget shall be adopted and approved only by the board. |
|
(b) The board shall be responsible for all direct and |
|
indirect costs of the board's existence and operation. The board |
|
may not directly or indirectly cause the general revenue fund to |
|
incur any cost. |
|
(c) Subject to any limitations in this subtitle, the board |
|
may set the amounts of fees, penalties, charges, and revenues |
|
required or permitted by statute or rule as necessary for the |
|
purpose of carrying out the functions of the board and funding the |
|
budget adopted and approved under Subsection (a). |
|
(d) Except as provided by Subsection (e), all fees and funds |
|
collected by the board and any funds appropriated to the board shall |
|
be deposited in interest-bearing deposit accounts in the Texas |
|
Treasury Safekeeping Trust Company. The comptroller shall contract |
|
with the board for the maintenance of the deposit accounts under |
|
terms comparable to a contract between a commercial banking |
|
institution and the institution's customers. |
|
(e) Not later than August 31, 2012, the board shall remit |
|
$1.15 million to the general revenue fund, and not later than August |
|
31 of each subsequent fiscal year, the board shall remit $800,000 to |
|
the general revenue fund. |
|
(f) Periodically, the executive director shall submit to |
|
the board, as directed by the board, a report of the receipts and |
|
expenditures of the board. |
|
(g) The fiscal year for the board begins on September 1 and |
|
ends on August 31. |
|
Sec. 552.053. AUDITS. (a) This subchapter does not affect |
|
the duty of the state auditor to audit the board. The state auditor |
|
shall enter into a contract and schedule with the board to conduct |
|
audits, including financial reports and performance audits. |
|
(b) Not later than August 31 of each fiscal year, the board |
|
shall remit a nonrefundable retainer to the state auditor in an |
|
amount not less than $10,000. The board shall reimburse the state |
|
auditor for all costs, in excess of the nonrefundable retainer |
|
amounts paid each fiscal year, incurred in performing the audits |
|
and shall provide to the governor a copy of any audit performed. |
|
Sec. 552.054. RECORDS; REPORTING REQUIREMENTS. (a) The |
|
board shall keep financial and statistical information as necessary |
|
to disclose completely and accurately the financial condition and |
|
results of operations of the board. |
|
(b) Before the beginning of each regular session of the |
|
legislature, the board shall submit to the legislature and the |
|
governor a report describing all of the board's activities in the |
|
previous biennium. The report must include: |
|
(1) an audit as required by Section 552.053; |
|
(2) a financial report of the previous fiscal year, |
|
including reports on financial condition and results of operations; |
|
(3) a description of all changes in fees imposed by the |
|
board; |
|
(4) a report on the number of examination candidates, |
|
license holders, and registrants and the enforcement activities of |
|
the board; and |
|
(5) a list of all new rules adopted or repealed. |
|
(c) In addition to the reporting requirements of Subsection |
|
(b), not later than November 1 of each year, the board shall submit |
|
to the governor, the committee of each house of the legislature that |
|
has jurisdiction over appropriations, and the Legislative Budget |
|
Board a report that contains: |
|
(1) the salary for all board personnel and the total |
|
amount of per diem expenses and travel expenses paid for all board |
|
employees; |
|
(2) the total amount of per diem expenses and travel |
|
expenses paid for each member of the board; |
|
(3) the board's operating plan and annual budget; and |
|
(4) a detailed report of all revenue received and all |
|
expenses incurred by the board in the previous 12 months. |
|
Sec. 552.055. ABILITY TO CONTRACT. (a) To carry out and |
|
promote the objectives of this chapter, the board may enter into |
|
contracts and do all other acts incidental to those contracts that |
|
are necessary for the administration of the board's affairs and for |
|
the attainment of the board's purposes, except as limited by |
|
Subsection (b). |
|
(b) Any indebtedness, liability, or obligation of the board |
|
incurred under this section may not: |
|
(1) create a debt or other liability of this state or |
|
another entity other than the board; or |
|
(2) create any personal liability on the part of the |
|
members of the board or the board's employees. |
|
Sec. 552.056. PROPERTY. The board may: |
|
(1) acquire by purchase, lease, gift, or any other |
|
manner provided by law and maintain, use, and operate any real, |
|
personal, or mixed property, or any interest in property, necessary |
|
or convenient to the exercise of the powers, rights, privileges, or |
|
functions of the board; |
|
(2) sell or otherwise dispose of any real, personal, |
|
or mixed property, or any interest in property, that the board |
|
determines is not necessary or convenient to the exercise of the |
|
board's powers, rights, privileges, or functions; |
|
(3) construct, extend, improve, maintain, and |
|
reconstruct, or cause to construct, extend, improve, maintain, and |
|
reconstruct, and use and operate all facilities necessary or |
|
convenient to the exercise of the powers, rights, privileges, or |
|
functions of the board; and |
|
(4) borrow money, as may be authorized from time to |
|
time by an affirmative vote of a two-thirds majority of the board, |
|
for a period not to exceed five years if necessary or convenient to |
|
the exercise of the board's powers, rights, privileges, or |
|
functions. |
|
Sec. 552.057. ADMINISTRATIVE HEARINGS. (a) Not later than |
|
August 31 of each fiscal year, the board shall remit a nonrefundable |
|
retainer to the State Office of Administrative Hearings in an |
|
amount not less than $55,000 for hearings conducted under Chapter |
|
565. |
|
(b) The nonrefundable retainer shall be applied to the costs |
|
associated with conducting the hearings. If additional costs are |
|
incurred, the State Office of Administrative Hearings may assess |
|
and collect from the board reasonable fees, in excess of the |
|
nonrefundable retainer amount paid each fiscal year, associated |
|
with conducting a hearing under Chapter 565. |
|
Sec. 552.058. SUITS. (a) The office of the attorney |
|
general shall represent the board in any litigation. |
|
(b) Not later than August 31 of each fiscal year, the board |
|
shall remit a nonrefundable retainer to the office of the attorney |
|
general in an amount not less than $40,000. The nonrefundable |
|
retainer shall be applied to any services provided to the board. If |
|
additional litigation services are required, the attorney general |
|
may assess and collect from the board reasonable attorney's fees, |
|
in excess of the nonrefundable retainer amount paid each fiscal |
|
year, associated with any litigation under this section. |
|
Sec. 552.059. POST-PARTICIPATION LIABILITY. (a) If the |
|
board no longer has status under this subchapter as a self-directed |
|
semi-independent agency for any reason, the board shall be liable |
|
for any expenses or debts incurred by the board during the time the |
|
board was a self-directed semi-independent agency. The board's |
|
liability under this section includes liability for any lease |
|
entered into by the board. This state is not liable for any expense |
|
or debt covered by this subsection, and money from the general |
|
revenue fund may not be used to repay the expense or debt. |
|
(b) If the board no longer has status under this subchapter |
|
as a self-directed semi-independent agency for any reason, |
|
ownership of any property or other asset acquired by the board |
|
during the time the board was a self-directed semi-independent |
|
agency, including unexpended fees in a deposit account in the Texas |
|
Treasury Safekeeping Trust Company, shall be transferred to this |
|
state. |
|
Sec. 552.060. DUE PROCESS; OPEN GOVERNMENT. The board is: |
|
(1) a governmental body for purposes of Chapters 551 |
|
and 552, Government Code; and |
|
(2) a state agency for purposes of Chapters 2001 and |
|
2005, Government Code. |
|
Sec. 552.061. MEMBERSHIP IN EMPLOYEES RETIREMENT SYSTEM. |
|
Employees of the board are members of the Employees Retirement |
|
System of Texas under Chapter 812, Government Code, and the board's |
|
transition to semi-independent status as provided by this |
|
subchapter has no effect on the employees' membership or any |
|
benefits under that system. |
|
Sec. 552.062. GIFTS. (a) Notwithstanding any other law, |
|
the board may not accept a gift, grant, or donation: |
|
(1) from a party to an enforcement action; or |
|
(2) to pursue a specific investigation or enforcement |
|
action. |
|
(b) The board must: |
|
(1) report each gift, grant, or donation that the |
|
board receives as a separate item in the board's report required |
|
under Section 552.054(b); and |
|
(2) include with the report a statement indicating the |
|
purpose for which each gift, grant, or donation was donated and |
|
used. |
|
Sec. 552.063. HEALTH PROFESSIONS COUNCIL. Not later than |
|
August 31 of each fiscal year, the board shall remit a nonrefundable |
|
prorated assessment to the Health Professions Council in an amount |
|
not less than $81,848 for fiscal year 2012, $79,406 for fiscal year |
|
2013, and $79,000 for each subsequent fiscal year. The amount |
|
remitted shall be applied to the board's prorated assessment for |
|
the operation and maintenance of the shared regulatory database |
|
system. |
|
SECTION 7. Section 552.006(c), Occupations Code, is amended |
|
to read as follows: |
|
(c) A person appointed to the board is entitled to |
|
reimbursement[, as provided by the General Appropriations Act,] for |
|
the travel expenses incurred in attending the training program |
|
regardless of whether the attendance at the program occurs before |
|
or after the person qualifies for office. |
|
SECTION 8. Section 552.009, Occupations Code, is amended to |
|
read as follows: |
|
Sec. 552.009. PER DIEM; REIMBURSEMENT. (a) Each member of |
|
the board is entitled to a per diem [set by legislative
|
|
appropriation] for each day the member engages in board business. |
|
(b) A member is entitled to reimbursement for travel |
|
expenses [as prescribed by the General Appropriations Act]. |
|
SECTION 9. Section 564.051(c), Occupations Code, is amended |
|
to read as follows: |
|
(c) Funds and surcharges collected under this section |
|
[shall be deposited in the general revenue fund and] may only be |
|
used by the board to administer the program authorized by this |
|
section, including providing for initial evaluation and referral of |
|
an impaired pharmacist or pharmacy student by a qualified health |
|
professional and paying the administrative costs incurred by the |
|
board in connection with that funding. The money may not be used |
|
for costs incurred for treatment or rehabilitation after initial |
|
evaluation and referral. |
|
SECTION 10. Sections 301.165, 554.007(a), and 554.013, |
|
Occupations Code, are repealed. |
|
SECTION 11. (a) To provide a reasonable period for the |
|
Texas Board of Nursing and the Texas State Board of Pharmacy to |
|
establish the boards as self-directed and semi-independent under |
|
Subchapter B-1, Chapter 301, and Subchapter B, Chapter 552, |
|
Occupations Code, as added by this Act, the following amounts are |
|
appropriated from the general revenue fund to each board: |
|
(1) for the state fiscal year ending August 31, 2012, |
|
an amount equal to 50 percent of the amount of general revenue |
|
appropriated to the board for the state fiscal year ending August |
|
31, 2011; and |
|
(2) for the state fiscal year ending August 31, 2013, |
|
an amount equal to 50 percent of the amount of general revenue |
|
appropriated to the board for the state fiscal year ending August |
|
31, 2011. |
|
(b) Subject to Section 301.072 or 552.052, Occupations |
|
Code, as added by this Act, the appropriations made by Subsection |
|
(a) of this section may be spent by the board to which the |
|
appropriation is made as the board directs. Each board shall repay |
|
to the general revenue fund the appropriation made to the board for |
|
the state fiscal year ending August 31, 2012, not later than that |
|
date and as funds become available. Each board shall repay to the |
|
general revenue fund the appropriation made to the board for the |
|
state fiscal year ending August 31, 2013, not later than that date |
|
and as funds become available. The repayment of an appropriation |
|
under this subsection is required in addition to the funds required |
|
to be remitted to the general revenue fund under Section 301.072(e) |
|
or 552.052(e), Occupations Code, as added by this Act. |
|
(c) The transfer of the Texas Board of Nursing or the Texas |
|
State Board of Pharmacy to self-directed and semi-independent |
|
status under Subchapter B-1, Chapter 301, or Subchapter B, Chapter |
|
552, Occupations Code, as added by this Act, and the expiration of |
|
self-directed and semi-independent status of a board may not act to |
|
cancel, suspend, or prevent: |
|
(1) any debt owed to or by the board; |
|
(2) any fine, tax, penalty, or obligation of any |
|
party; |
|
(3) any contract or other obligation of any party; or |
|
(4) any action taken by the board in the |
|
administration or enforcement of the board's duties. |
|
(d) The Texas Board of Nursing and the Texas State Board of |
|
Pharmacy shall continue to have and exercise the powers and duties |
|
allocated to each board under law, except as specifically provided |
|
by this Act. |
|
(e) Title to or ownership of all supplies, materials, |
|
records, equipment, books, papers, and furniture used by the Texas |
|
Board of Nursing or the Texas State Board of Pharmacy is transferred |
|
to each respective board. This Act does not affect any property |
|
owned by either board on or before the effective date of this Act. |
|
(f) The Texas Board of Nursing shall pay rent to the state |
|
for the use and occupancy of state-owned office space. Reasonable |
|
rent shall be determined by the Texas Facilities Commission. |
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Aggregate rental payments may not be less than $278,000 each fiscal |
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year. |
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(g) The Texas State Board of Pharmacy shall pay rent to the |
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state for the use and occupancy of state-owned office space. |
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Reasonable rent shall be determined by the Texas Facilities |
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Commission. Aggregate rental payments may not be less than $162,000 |
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each fiscal year. |
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(h) If a conflict exists between this Act and another Act of |
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the 82nd Legislature, Regular Session, 2011, that relates to the |
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self-directed and semi-independent status of the Texas Board of |
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Nursing or the Texas State Board of Pharmacy, this Act controls |
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without regard to the relative dates of enactment. |
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SECTION 12. This Act takes effect September 1, 2011. |