By: Kolkhorst S.B. No. 820
 
  (Klick, et al.)
 
   
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the registration of vision support organizations;
  imposing a fee; requiring an occupational registration; providing a
  civil penalty.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle A, Title 5, Business & Commerce Code, is
  amended by adding Chapter 74 to read as follows:
  CHAPTER 74.  REGISTRATION OF VISION SUPPORT ORGANIZATIONS
         Sec. 74.001.  DEFINITIONS. In this chapter:
               (1)  "Business support services" means business,
  management, consulting, or administrative services, facilities, or
  staff provided for an optometrist or an entity that employs or
  contracts with an optometrist to provide services or products,
  including:
                     (A)  office space, furnishings, equipment,
  supplies, or inventory;
                     (B)  staff employed by a vision support
  organization;
                     (C)  regulatory compliance;
                     (D)  eye care equipment, supplies, or products;
                     (E)  information systems;
                     (F)  marketing or advertising;
                     (G)  financial services;
                     (H)  accounting, bookkeeping, or monitoring of
  accounts receivable;
                     (I)  payroll or benefits administration;
                     (J)  billing and collection for services and
  products;
                     (K)  reporting and payment of federal or state
  taxes;
                     (L)  administration of interest expense or
  indebtedness incurred to finance the operation of a business;
                     (M)  insurance services; or
                     (N)  group purchasing services.
               (2)  "Optometrist" means an individual optometrist or
  therapeutic optometrist licensed to practice optometry in this
  state.
               (3)  "Vision support organization" means an entity
  that, under one or more agreements, provides two or more business
  support services to an optometrist.
         Sec. 74.002.  REGISTRATION REQUIRED. (a) A vision support
  organization shall annually register with the secretary of state.
         (b)  A vision support organization's registration under this
  section is considered registration of any subsidiary, contractor,
  or affiliate of the vision support organization through or with
  which the vision support organization provides business support
  services if the registration includes all required information from
  each subsidiary, contractor, or affiliate of the vision support
  organization as if that entity had filed individually.
         Sec. 74.003.  EXEMPTIONS.  This chapter does not require
  registration by:
               (1)  an accountant providing only accounting services;
               (2)  an attorney providing only legal counsel;
               (3)  an insurance company or insurance agent providing
  only insurance policies to a business;
               (4)  entities providing only investment and financial
  advisory services;
               (5)  an accredited college of optometry or college of
  medicine in this state;
               (6)  an optometrist who has an ownership interest in
  three or fewer locations;
               (7)  a community health center, as defined by Section
  351.367(a), Occupations Code; and
               (8)  a nonprofit corporation governed by Chapter 22,
  Business Organizations Code, and exempt from taxation under Section
  501(a), Internal Revenue Code of 1986, as an organization described
  by Section 501(c)(3) of that code, that performs eye care services
  primarily for homeless, migrant, indigent, or medically
  underserved populations.
         Sec. 74.004.  CONTENTS OF REGISTRATION; FEE. (a) The
  registration required by Section 74.002 must include:
               (1)  the name and business address of the vision
  support organization;
               (2)  the name and business address of each optometrist
  and each entity that employs or contracts with an optometrist to
  provide eye care services in this state with which the vision
  support organization has entered into an agreement to provide two
  or more business support services;
               (3)  the name of each optometrist who owns any portion
  of the vision support organization;
               (4)  the name of each person who is not an optometrist
  and owns five percent or more of the vision support organization;
  and
               (5)  a list of all business support services provided
  to each optometrist or each entity that employs or contracts with an
  optometrist to provide eye care services.
         (b)  A registration and each corrected registration must be
  accompanied by a fee set by the secretary of state in an amount
  necessary to recover the costs of administering this chapter.
         (c)  A registration or corrected registration is not
  effective until the vision support organization pays the fee
  required by this section.
         Sec. 74.005.  TIMING OF REGISTRATION; CORRECTION REQUIRED.
  (a) Except as provided by Subsection (b), the registration required
  by Section 74.002 must be filed with the secretary of state not
  later than January 31 of each year for which the registration is
  effective.
         (b)  A vision support organization that initially meets the
  requirement for registration under Section 74.002 after January 31
  shall file the registration required by that section not later than
  the 90th day after the date an agreement to provide business support
  services is executed.
         (c)  A vision support organization shall file a corrected
  registration semiannually as necessary.
         Sec. 74.006.  FAILURE TO FILE REGISTRATION OR CORRECTION.
  (a) A person who fails to file a registration or a corrected
  registration as required by this chapter is liable to the state for
  a civil penalty in an amount not to exceed $1,000.
         (b)  Each day a violation continues or occurs is a separate
  violation for the purpose of imposing the civil penalty.
         (c)  The attorney general shall file suit to collect the
  civil penalty provided by this section. The suit may be filed in
  Travis County or any county where the vision support organization
  provides business support services.
         Sec. 74.007.  INTERAGENCY MEMORANDUM. The secretary of
  state shall enter into an interagency memorandum to share the
  information collected by the secretary of state under this chapter
  with any relevant state agency.
         Sec. 74.008.  APPLICABILITY. This chapter does not limit
  business support services that may be provided to an optometrist by
  a vision support organization, to the extent permitted under
  Section 351.408, Occupations Code.
         Sec. 74.009.  LIMITATION ON OPTOMETRY BOARD RULEMAKING.  The
  Texas Optometry Board may not adopt any rule limiting the right of
  an optometrist to contract with a vision support organization for
  business support services that are otherwise legally permissible.
         SECTION 2.  Notwithstanding Section 74.002, Business &
  Commerce Code, as added by this Act, a vision support organization
  is not required to register under that section before February 1,
  2024.
         SECTION 3.  This Act takes effect September 1, 2023.