CHAPTER 531. HEALTH AND HUMAN SERVICES COMMISSION

GOVERNMENT CODE

TITLE 4. EXECUTIVE BRANCH

SUBTITLE I. HEALTH AND HUMAN SERVICES

CHAPTER 531. HEALTH AND HUMAN SERVICES COMMISSION

SUBCHAPTER A. GENERAL PROVISIONS; ORGANIZATION OF COMMISSION

Sec. 531.001. DEFINITIONS. In this subtitle:

(1) "Caseload standards" means the minimum and maximum number of

cases that an employee can reasonably be expected to perform in a

normal work month based on the number of cases handled by or the

number of different job functions performed by the employee.

(1-a) "Child health plan program" means the child health plan

program established under Chapters 62 and 63, Health and Safety

Code.

(2) "Commission" means the Health and Human Services Commission.

(3) "Executive commissioner" means the executive commissioner of

the Health and Human Services Commission.

(4) "Health and human services agencies" includes the:

(A) Department of Aging and Disability Services;

(B) Department of State Health Services;

(C) Department of Assistive and Rehabilitative Services; and

(D) Department of Family and Protective Services.

(5) "Professional caseload standards" means caseload standards

that are established or are recommended for establishment for

employees of health and human services agencies by management

studies conducted for health and human services agencies or by an

authority or association, including the Child Welfare League of

America, the National Eligibility Workers Association, the

National Association of Social Workers, and associations of state

health and human services agencies.

(6) "Section 1915(c) waiver program" means a federally funded

Medicaid program of the state that is authorized under Section

1915(c) of the federal Social Security Act (42 U.S.C. Section

1396n(c)).

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 1997, 75th Leg., ch. 165, Sec. 14.01,

eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 1022, Sec. 97, eff.

Sept. 1, 1997; Acts 1999, 76th Leg., ch. 7, Sec. 2, eff. Sept. 1,

1999; Acts 1999, 76th Leg., ch. 899, Sec. 1, eff. Sept. 1, 1999;

Acts 1999, 76th Leg., ch. 1460, Sec. 8.01, eff. Sept. 1, 1999;

Acts 2001, 77th Leg., ch. 53, Sec. 1, eff. Sept. 1, 2001; Acts

2001, 77th Leg., ch. 957, Sec. 6, eff. Sept. 1, 2001; Acts 2001,

77th Leg., ch. 1429, Sec. 9.007, eff. Sept. 1, 2001; Acts 2003,

78th Leg., ch. 198, Sec. 1.01(a) to 1.01(c), 2.01, eff. Sept. 1,

2003; Acts 2003, 78th Leg., ch. 1276, Sec. 9.009, eff. Sept. 1,

2003.

Sec. 531.002. HEALTH AND HUMAN SERVICES COMMISSION;

RESPONSIBILITY. (a) The Health and Human Services Commission is

an agency of the state.

(b) The commission is the state agency with primary

responsibility for ensuring the delivery of state health and

human services in a manner that:

(1) uses an integrated system to determine client eligibility;

(2) maximizes the use of federal, state, and local funds; and

(3) emphasizes coordination, flexibility, and decision-making at

the local level.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.003. GOALS. The commission's goals are to:

(1) maximize federal funds through the efficient use of

available state and local resources;

(2) provide a system that delivers prompt, comprehensive,

effective services to the people of this state by:

(A) improving access to health and human services at the local

level; and

(B) eliminating architectural, communications, programmatic, and

transportation barriers;

(3) promote the health of the people of this state by:

(A) reducing the incidence of disease and disabling conditions;

(B) increasing the availability of health care services;

(C) improving the quality of health care services;

(D) addressing the high incidence of certain illnesses and

conditions of minority populations;

(E) increasing the availability of trained health care

professionals;

(F) improving knowledge of health care needs;

(G) reducing infant death and disease;

(H) reducing the impact of mental disorders in adults;

(I) reducing the impact of emotional disturbances in children;

(J) increasing participation in nutrition programs;

(K) increasing nutritional education; and

(L) reducing substance abuse;

(4) foster the development of responsible, productive, and

self-sufficient citizens by:

(A) improving workforce skills;

(B) increasing employment, earnings, and benefits;

(C) increasing housing opportunities;

(D) increasing child-care and other dependent-care services;

(E) improving education and vocational training to meet specific

career goals;

(F) reducing school dropouts;

(G) reducing teen pregnancy;

(H) improving parental effectiveness;

(I) increasing support services for people with disabilities;

(J) increasing services to help people with disabilities

maintain or increase their independence;

(K) improving access to work sites, accommodations,

transportation, and other public places and activities covered by

the federal Americans with Disabilities Act of 1990 (42 U.S.C.

Section 12101 et seq.); and

(L) improving services to juvenile offenders;

(5) provide needed resources and services to the people of this

state when they cannot provide or care for themselves by:

(A) increasing support services for adults and their families

during periods of unemployment, financial need, or homelessness;

(B) reducing extended dependency on basic support services; and

(C) increasing the availability and diversity of long-term care

provided to support people with chronic conditions in settings

that focus on community-based services with options ranging from

their own homes to total-care facilities;

(6) protect the physical and emotional safety of all the people

of this state by:

(A) reducing abuse, neglect, and exploitation of elderly people

and adults with disabilities;

(B) reducing child abuse and neglect;

(C) reducing family violence;

(D) increasing services to truants and runaways, children at

risk of truancy or running away, and their families;

(E) reducing crime and juvenile delinquency;

(F) reducing community health risks; and

(G) improving regulation of human services providers; and

(7) improve the coordination and delivery of children's

services.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.004. SUNSET PROVISION. The Health and Human Services

Commission is subject to Chapter 325 (Texas Sunset Act). Unless

continued in existence as provided by that chapter, the

commission is abolished and this chapter expires September 1,

2013.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 1999, 76th Leg., ch. 1460, Sec. 1.01,

eff. Sept. 1, 1999; Acts 2003, 78th Leg., ch. 198, Sec. 1.02,

eff. Sept. 1, 2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

928, Sec. 3.01, eff. June 15, 2007.

Acts 2009, 81st Leg., 1st C.S., Ch.

2, Sec. 2.05, eff. July 10, 2009.

Sec. 531.005. EXECUTIVE COMMISSIONER. (a) The commission is

governed by an executive commissioner appointed by the governor

with the advice and consent of the senate.

(b) The executive commissioner shall be appointed without regard

to race, color, disability, sex, religion, age, or national

origin.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 2003, 78th Leg., ch. 198, Sec. 1.02A,

eff. Sept. 1, 2003.

Sec. 531.0055. EXECUTIVE COMMISSIONER: GENERAL RESPONSIBILITY

FOR HEALTH AND HUMAN SERVICES AGENCIES. (a) In this section and

in Section 531.0056, "agency director" means the commissioner of

a health and human services agency.

(b) The commission shall:

(1) supervise the administration and operation of the Medicaid

program, including the administration and operation of the

Medicaid managed care system in accordance with Section 531.021;

(2) perform information systems planning and management for

health and human services agencies under Section 531.0273, with:

(A) the provision of information technology services at health

and human services agencies considered to be a centralized

administrative support service either performed by commission

personnel or performed under a contract with the commission; and

(B) an emphasis on research and implementation on a

demonstration or pilot basis of appropriate and efficient uses of

new and existing technology to improve the operation of health

and human services agencies and delivery of health and human

services;

(3) monitor and ensure the effective use of all federal funds

received by a health and human services agency in accordance with

Section 531.028 and the General Appropriations Act;

(4) implement Texas Integrated Enrollment Services as required

by Subchapter F, except that notwithstanding Subchapter F,

determining eligibility for benefits under the following programs

is the responsibility of and must be centralized by the

commission:

(A) the child health plan program;

(B) the financial assistance program under Chapter 31, Human

Resources Code;

(C) the medical assistance program under Chapter 32, Human

Resources Code;

(D) the nutritional assistance programs under Chapter 33, Human

Resources Code;

(E) long-term care services, as defined by Section 22.0011,

Human Resources Code;

(F) community-based support services identified or provided in

accordance with Section 531.02481; and

(G) other health and human services programs, as appropriate;

and

(5) implement programs intended to prevent family violence and

provide services to victims of family violence.

(c) The commission shall implement the powers and duties given

to the commission under Sections 531.0246, 531.0247, 2155.144,

and 2167.004.

(d) After implementation of the commission's duties under

Subsections (b) and (c), the commission shall implement the

powers and duties given to the commission under Section 531.0248.

Nothing in the priorities established by this section is intended

to limit the authority of the commission to work simultaneously

to achieve the multiple tasks assigned to the commission in this

section, when such an approach is beneficial in the judgment of

the commission. The commission shall plan and implement an

efficient and effective centralized system of administrative

support services for health and human services agencies. The

performance of administrative support services for health and

human services agencies is the responsibility of the commission.

The term "administrative support services" includes, but is not

limited to, strategic planning and evaluation, audit, legal,

human resources, information resources, purchasing, contract

management, financial management, and accounting services.

(e) Notwithstanding any other law, the executive commissioner

shall adopt rules and policies for the operation of and provision

of health and human services by the health and human services

agencies. In addition, the executive commissioner, as necessary

to perform the functions described by Subsections (b), (c), and

(d) in implementation of applicable policies established for an

agency by the executive commissioner, shall:

(1) manage and direct the operations of each health and human

services agency;

(2) supervise and direct the activities of each agency director;

and

(3) be responsible for the administrative supervision of the

internal audit program for all health and human services

agencies, including:

(A) selecting the director of internal audit;

(B) ensuring that the director of internal audit reports

directly to the executive commissioner; and

(C) ensuring the independence of the internal audit function.

(f) The operational authority and responsibility of the

executive commissioner for purposes of Subsection (e) at each

health and human services agency includes authority over and

responsibility for the:

(1) management of the daily operations of the agency, including

the organization and management of the agency and agency

operating procedures;

(2) allocation of resources within the agency, including use of

federal funds received by the agency;

(3) personnel and employment policies;

(4) contracting, purchasing, and related policies, subject to

this chapter and other laws relating to contracting and

purchasing by a state agency;

(5) information resources systems used by the agency;

(6) location of agency facilities; and

(7) coordination of agency activities with activities of other

state agencies, including other health and human services

agencies.

(g) Notwithstanding any other law, the operational authority and

responsibility of the executive commissioner for purposes of

Subsection (e) at each health and human services agency includes

the authority and responsibility to adopt or approve, subject to

applicable limitations, any rate of payment or similar provision

required by law to be adopted or approved by the agency.

(h) For each health and human services agency, the executive

commissioner shall implement a program to evaluate and supervise

the daily operations of the agency. The program must include

measurable performance objectives for each agency director and

adequate reporting requirements to permit the executive

commissioner to perform the duties assigned to the executive

commissioner under this section.

(i) To facilitate the operations of a health and human services

agency in accordance with this section, the executive

commissioner may delegate a specific power or duty given under

Subsection (f) or (g) to an agency director. The agency director

shall, at the request of the executive commissioner, assist in

the development of rules and policies for the operation and

provision of health and human services by the agency. The agency

director acts on behalf of the executive commissioner in

performing the delegated function and reports to the executive

commissioner regarding the delegated function and any matter

affecting agency programs and operations.

(j) The executive commissioner shall adopt rules to implement

the executive commissioner's authority under this section.

(k) The executive commissioner and each agency director shall

enter into a memorandum of understanding in the manner prescribed

by Section 531.0163 that:

(1) clearly defines the responsibilities of the agency director

and the executive commissioner, including:

(A) the responsibility of the agency director to report to the

governor and to report to and implement policies of the executive

commissioner; and

(B) the extent to which the agency director acts as a liaison

between the agency and the commission;

(2) establishes the program of evaluation and supervision of

daily operations required by Subsection (h); and

(3) describes each delegation of a power or duty made under

Subsection (i) or other law.

(l) Notwithstanding any other law, the executive commissioner

has the authority to adopt policies and rules governing the

delivery of services to persons who are served by each health and

human services agency and the rights and duties of persons who

are served or regulated by each agency.

(m) The executive commissioner shall establish standards for the

use of electronic signatures in accordance with the Uniform

Electronic Transactions Act (Chapter 322, Business & Commerce

Code), with respect to any transaction, as defined by Section

322.002, Business & Commerce Code, in connection with the

administration of health and human services programs.

Added by Acts 1999, 76th Leg., ch. 1460, Sec. 2.01, eff. Sept. 1,

1999. Amended by Acts 2003, 78th Leg., ch. 198, Sec. 1.03, eff.

Sept. 1, 2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

755, Sec. 2, eff. September 1, 2007.

Acts 2009, 81st Leg., R.S., Ch.

87, Sec. 11.009, eff. September 1, 2009.

Sec. 531.0056. APPOINTMENT OF AGENCY DIRECTOR BY EXECUTIVE

COMMISSIONER. (a) The executive commissioner shall appoint an

agency director for each health and human services agency with

the approval of the governor.

(b) An agency director appointed by the executive commissioner

serves at the pleasure of the executive commissioner.

(c) In addition to the requirements of Section 531.0055(k)(1),

the memorandum of understanding required by that section must

clearly define the responsibilities of the agency director.

(d) The terms of the memorandum of understanding shall outline

specific performance objectives, as defined by the executive

commissioner, to be fulfilled by the agency director, including

the performance objectives outlined in Section 531.0055(h).

(e) Based upon the performance objectives outlined in the

memorandum of understanding, the executive commissioner shall

perform an employment evaluation of the agency director.

(f) The executive commissioner shall submit the evaluation to

the governor not later than January 1 of each even-numbered year.

Added by Acts 1999, 76th Leg., ch. 1460, Sec. 2.01, eff. Sept. 1,

1999. Amended by Acts 2003, 78th Leg., ch. 198, Sec. 1.04, eff.

Sept. 1, 2003.

Sec. 531.0057. MEDICAL TRANSPORTATION SERVICES. (a) The

commission shall provide medical transportation services for

clients of eligible health and human services programs.

(b) The commission may contract with any public or private

transportation provider or with any regional transportation

broker for the provision of public transportation services.

Added by Acts 2007, 80th Leg., R.S., Ch.

268, Sec. 3(b), eff. September 1, 2007.

Sec. 531.006. ELIGIBILITY. (a) A person is not eligible for

appointment as commissioner if the person or the person's spouse

is an employee, officer, or paid consultant of a trade

association in a field under the commission's jurisdiction.

(b) A person who is required to register as a lobbyist under

Chapter 305 because of the person's activities for compensation

in or on behalf of a profession related to a field under the

commission's jurisdiction may not serve as commissioner.

(c) A person is not eligible for appointment as commissioner if

the person has a financial interest in a corporation,

organization, or association under contract with the Texas

Department of Mental Health and Mental Retardation, a local

mental health or mental retardation authority, or a community

center.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.007. TERM. The commissioner serves a two-year term

expiring February 1 of each odd-numbered year.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.008. DIVISIONS OF COMMISSION. (a) Subject to

Subsection (c), the executive commissioner may establish

divisions within the commission as necessary for effective

administration and for the discharge of the commission's

functions.

(b) Subject to Subsection (c), the executive commissioner may

allocate and reallocate functions among the commission's

divisions.

(c) The executive commissioner shall establish the following

divisions and offices within the commission:

(1) the eligibility services division to make eligibility

determinations for services provided through the commission or a

health and human services agency related to:

(A) the child health plan program;

(B) the financial assistance program under Chapter 31, Human

Resources Code;

(C) the medical assistance program under Chapter 32, Human

Resources Code;

(D) the nutritional assistance programs under Chapter 33, Human

Resources Code;

(E) long-term care services, as defined by Section 22.0011,

Human Resources Code;

(F) community-based support services identified or provided in

accordance with Section 531.02481; and

(G) other health and human services programs, as appropriate;

(2) the office of inspector general to perform fraud and abuse

investigation and enforcement functions as provided by Subchapter

C and other law;

(3) the office of the ombudsman to:

(A) provide dispute resolution services for the commission and

the health and human services agencies; and

(B) perform consumer protection functions related to health and

human services;

(4) a purchasing division as provided by Section 531.017; and

(5) an internal audit division to conduct a program of internal

auditing in accordance with Government Code, Chapter 2102.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 2003, 78th Leg., ch. 198, Sec. 1.05,

eff. Sept. 1, 2003.

Sec. 531.0081. OFFICE OF MEDICAL TECHNOLOGY. (a) In this

section, "office" means the office of medical technology.

(b) The commission shall establish the office of medical

technology within the commission. The office shall explore and

evaluate new developments in medical technology and propose

implementing the technology in the medical assistance program

under Chapter 32, Human Resources Code, if appropriate and

cost-effective.

(c) Office staff must have skills and experience in research

regarding health care technology.

Added by Acts 2005, 79th Leg., Ch.

349, Sec. 10, eff. September 1, 2005.

Sec. 531.009. PERSONNEL. (a) The commissioner shall employ a

medical director to provide medical expertise to the commissioner

and the commission and may employ other personnel necessary to

administer the commission's duties.

(b) The commissioner or the commissioner's designated

representative shall develop an intra-agency career ladder

program, one part of which must require the intra-agency posting

of all non-entry-level positions concurrently with any public

posting.

(c) The commissioner or the commissioner's designated

representative shall develop a system of annual performance

evaluations based on measurable job tasks. All merit pay for

commission employees must be based on the system established

under this subsection.

(d) The commissioner shall provide to commission employees as

often as is necessary information regarding their qualifications

under this chapter and their responsibilities under applicable

laws relating to standards of conduct for state employees.

(e) The commissioner or the commissioner's designated

representative shall prepare and maintain a written policy

statement that implements a program of equal employment

opportunity to ensure that all personnel transactions are made

without regard to race, color, disability, sex, religion, age, or

national origin.

(f) The policy statement described by Subsection (e) must

include:

(1) personnel policies, including policies relating to

recruitment, evaluation, selection, training, and promotion of

personnel, that show the intent of the commission to avoid the

unlawful employment practices described by Chapter 21, Labor

Code; and

(2) an analysis of the extent to which the composition of the

commission's personnel is in accordance with state and federal

law and a description of reasonable methods to achieve compliance

with state and federal law.

(g) The policy statement described by Subsection (e) must:

(1) be updated annually;

(2) be reviewed by the state Commission on Human Rights for

compliance with Subsection (f)(1); and

(3) be filed with the governor's office.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 1997, 75th Leg., ch. 165, Sec. 14.18,

eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1460, Sec. 1.02,

eff. Sept. 1, 1999.

Sec. 531.010. MERIT SYSTEM. (a) The commission may establish a

merit system for its employees.

(b) The merit system may be maintained in conjunction with other

state agencies that are required by federal law to operate under

a merit system.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.011. PUBLIC INPUT INFORMATION AND COMPLAINTS. (a) The

commission shall develop and implement policies that provide the

public a reasonable opportunity to appear before the commission

and to speak on any issue under the commission's jurisdiction.

(b) The commission shall develop and implement routine and

ongoing mechanisms, in accessible formats, to:

(1) receive consumer input;

(2) involve consumers in planning, delivery, and evaluation of

programs and services under the jurisdiction of the commission;

and

(3) communicate to the public regarding the input received by

the commission under this section and actions taken in response

to that input.

(c) The commission shall prepare information of public interest

describing the functions of the commission and the commission's

procedures by which complaints are filed with and resolved by the

commission. The commission shall make the information available

to the public and appropriate state agencies.

(d) The commissioner by rule shall establish methods by which

the public, consumers, and service recipients can be notified of

the mailing addresses and telephone numbers of appropriate agency

personnel for the purpose of directing complaints to the

commission. The commission may provide for that notification:

(1) on each registration form, application, or written contract

for services of a person regulated by the commission;

(2) on a sign prominently displayed in the place of business of

each person regulated by the commission; or

(3) in a bill for service provided by a person regulated by the

commission.

(e) The commission shall keep an information file about each

complaint filed with the commission relating to:

(1) a license holder or entity regulated by the commission; or

(2) a service delivered by the commission.

(f) If a written complaint is filed with the commission relating

to a license holder or entity regulated by the commission or a

service delivered by the commission, the commission, at least

quarterly and until final disposition of the complaint, shall

notify the parties to the complaint of the status of the

complaint unless notice would jeopardize an undercover

investigation.

(g) In addition to the information file maintained under

Subsection (e), the commission shall maintain an information file

on a complaint received by the commission relating to any matter

or agency under the jurisdiction of the commission.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 1997, 75th Leg., ch. 165, Sec. 14.02(a),

eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1460, Sec. 1.03,

eff. Sept. 1, 1999.

Sec. 531.012. ADVISORY COMMITTEES. The commissioner may appoint

advisory committees as needed.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995.

Sec. 531.013. ELECTRONIC AVAILABILITY OF TECHNICAL ASSISTANCE.

(a) Health and human services agencies shall, in conjunction

with the Department of Information Resources, coordinate and

enhance their existing Internet sites to provide technical

assistance for human services providers. The commission shall

take the lead and ensure involvement of agencies with the

greatest potential for cost savings.

(b) Assistance under this section may include information in the

following subjects:

(1) case management;

(2) contract management;

(3) financial management;

(4) performance measurement and evaluation;

(5) research; and

(6) other matters the commission considers appropriate.

(c) Assistance under this section must include information on

the impact of federal and state welfare reform changes on human

services providers.

(d) Assistance under this section may not include any

confidential information regarding a client of a human services

provider.

(e) Expired.

Added by Acts 1997, 75th Leg., ch. 147, Sec. 1, eff. Sept. 1,

1997.

Sec. 531.014. CONSOLIDATION OF REPORTS. The commission may

consolidate any annual or biennial reports required to be made

under this chapter or another law if:

(1) the consolidated report is submitted not later than the

earliest deadline for the submission of any component of the

consolidated report; and

(2) each person required to receive a component of the

consolidated report receives the consolidated report and the

consolidated report identifies the component of the report the

person was required to receive.

Added by Acts 1999, 76th Leg., ch. 1460, Sec. 1.04, eff. Sept. 1,

1999.

Sec. 531.0141. REPORT TO SECRETARY OF STATE. (a) In this

section, "colonia" means a geographic area that:

(1) is an economically distressed area as defined by Section

17.921, Water Code;

(2) is located in a county any part of which is within 62 miles

of an international border; and

(3) consists of 11 or more dwellings that are located in close

proximity to each other in an area that may be described as a

community or neighborhood.

(b) To assist the secretary of state in preparing the report

required under Section 405.021, the commission on a quarterly

basis shall provide a report to the secretary of state detailing

any projects funded by the commission that provide assistance to

colonias.

(c) The report must include:

(1) a description of any relevant projects;

(2) the location of each project;

(3) the number of colonia residents served by each project;

(4) the exact amount spent or the anticipated amount to be spent

on each colonia served by each project;

(5) a statement of whether each project is completed and, if

not, the expected completion date of the project; and

(6) any other information, as determined appropriate by the

secretary of state.

(d) The commission shall require an applicant for funds

administered by the commission to submit to the commission a

colonia classification number, if one exists, for each colonia

that may be served by the project proposed in the application.

If a colonia does not have a classification number, the

commission may contact the secretary of state or the secretary of

state's representative to obtain the classification number. On

request of the commission, the secretary of state or the

secretary of state's representative shall assign a classification

number to the colonia.

Added by Acts 2007, 80th Leg., R.S., Ch.

341, Sec. 3, eff. June 15, 2007.

Sec. 531.015. NEW FACILITIES IN CERTAIN COUNTIES. A health and

human services agency is prohibited from establishing a new

facility in a county with a population of less than 200,000 until

the agency provides notification about the facility, its

location, and its purpose to each state representative and state

senator that represents all or part of the county, the county

judge that represents the county, and the mayor of any

municipality in which the facility would be located.

Added by Acts 1999, 76th Leg., ch. 1460, Sec. 1.05, eff. Sept. 1,

1999.

For expiration of this section, see Subsection (g).

Sec. 531.016. EQUAL ACCESS TO FACILITIES, SERVICES, AND

TREATMENT. (a) The commission, the Texas Youth Commission, and

the Texas Juvenile Probation Commission shall periodically

review, document, and compare the accessibility and funding of

facilities, services, and treatment provided to females under 18

years of age to the accessibility and funding of facilities,

services, and treatment provided to males in the same age group.

(b) The commission shall coordinate the review, documentation,

and comparison required by Subsection (a).

(c) The areas of review required by Subsection (a) must include:

(1) the nature, extent, and effectiveness of services offered

for females under 18 years of age within the areas of teen

pregnancy, physical and sexual abuse, and alcohol and drug abuse,

services for runaway and homeless females, and services for

females involved in gangs or other delinquent activity; and

(2) the equity of services offered to persons under 18 years of

age with respect to gender within the areas of physical and

sexual abuse, alcohol and drug abuse, and services offered to

runaway and homeless youth.

(d) Each health and human services agency or other state agency

that provides facilities, services, treatment, or funding subject

to the review required by Subsection (a) shall identify existing

differences within the agency in the allocation and expenditures

of money and services for males under 18 years of age in

comparison to females in the same age group. Each agency shall

submit a report to the commission describing any differences

identified.

(e) Each agency described by Subsection (d) shall:

(1) develop a plan to address any lack of services for females

under 18 years of age reported by the agency; and

(2) submit a report to the commission on the progress made under

the plan.

(f) The commission shall assemble the agency reports submitted

under Subsections (d) and (e) and prepare an executive summary to

be delivered to the members of the legislature not later than

July 1 of each even-numbered year.

(g) This section expires September 1, 2011.

Added by Acts 2007, 80th Leg., R.S., Ch.

263, Sec. 20, eff. June 8, 2007.

Sec. 531.0161. NEGOTIATED RULEMAKING AND ALTERNATIVE DISPUTE

PROCEDURES. (a) The commission shall develop and implement a

policy, for the commission and each health and human services

agency, to encourage the use of:

(1) negotiated rulemaking procedures under Chapter 2008 for the

adoption of rules for the commission and each agency; and

(2) appropriate alternative dispute resolution procedures under

Chapter 2009 to assist in the resolution of internal and external

disputes under the commission's or agency's jurisdiction.

(b) The procedures relating to alternative dispute resolution

must conform, to the extent possible, to any model guidelines

issued by the State Office of Administrative Hearings for the use

of alternative dispute resolution by state agencies.

Added by Acts 2003, 78th Leg., ch. 198, Sec. 1.06, eff. Sept. 1,

2003.

Sec. 531.0162. USE OF TECHNOLOGY. (a) The commission shall

develop and implement a policy requiring the agency commissioner

and employees of each health and human services agency to

research and propose appropriate technological solutions to

improve the agency's ability to perform its functions. The

technological solutions must:

(1) ensure that the public is able to easily find information

about a health and human services agency on the Internet;

(2) ensure that persons who want to use a health and human

services agency's services are able to:

(A) interact with the agency through the Internet; and

(B) access any service that can be provided effectively through

the Internet;

(3) be cost-effective and developed through the commission's

planning process; and

(4) meet federal accessibility standards for persons with

disabilities.

(b) The commission shall develop and implement a policy

described by Subsection (a) in relation to the commission's

functions.

(c) Subject to available appropriations, the commission shall

use technology whenever possible in connection with the adult

protective services program of the Department of Family and

Protective Services to:

(1) provide for automated collection of information necessary to

evaluate program effectiveness using systems that integrate

collection of necessary information with other routine duties of

caseworkers and other service providers; and

(2) consequently reduce the time that caseworkers and other

service providers are required to use in gathering and reporting

information necessary for program evaluation.

(d) The commission shall include representatives of the private

sector in the technology planning process used to determine

appropriate technology for the adult protective services program

of the Department of Family and Protective Services.

Added by Acts 2003, 78th Leg., ch. 198, Sec. 1.06, eff. Sept. 1,

2003.

Amended by:

Acts 2005, 79th Leg., Ch.

268, Sec. 2.17, eff. September 1, 2005.

Sec. 531.0163. MEMORANDUM OF UNDERSTANDING. (a) The memorandum

of understanding under Section 531.0055(k) must be adopted by the

executive commissioner by rule in accordance with the procedures

prescribed by Subchapter B, Chapter 2001, for adopting rules,

except that the requirements of Section 2001.033(a)(1)(A) or (C)

do not apply with respect to any part of the memorandum of

understanding that:

(1) concerns only internal management or organization within or

among health and human services agencies and does not affect

private rights or procedures; or

(2) relates solely to the internal personnel practices of health

and human services agencies.

(b) The memorandum of understanding may be amended only by

following the procedures prescribed under Subsection (a).

Added by Acts 2003, 78th Leg., ch. 198, Sec. 1.06, eff. Sept. 1,

2003.

Sec. 531.017. PURCHASING DIVISION. (a) The commission shall

establish a purchasing division for the management of

administrative activities related to the purchasing functions of

the commission and the health and human services agencies.

(b) The purchasing division shall:

(1) seek to achieve targeted cost reductions, increase process

efficiencies, improve technological support and customer

services, and enhance purchasing support for each health and

human services agency; and

(2) if cost-effective, contract with private entities to perform

purchasing functions for the commission and the health and human

services agencies.

Added by Acts 2003, 78th Leg., ch. 198, Sec. 2.02(a), eff. Sept.

1, 2003.

Sec. 531.018. CERTAIN CONTRACTS FOR HEALTH CARE PURPOSES; REVIEW

BY ATTORNEY GENERAL. (a) This section applies to any contract

with a contract amount of $250 million or more:

(1) under which a person provides goods or services in

connection with the provision of medical or health care services,

coverage, or benefits; and

(2) entered into by the person and:

(A) the commission;

(B) a health and human services agency; or

(C) any other state agency under the jurisdiction of the

commission.

(b) Notwithstanding any other law, before a contract described

by Subsection (a) may be entered into by the agency, a

representative of the office of the attorney general shall review

the form and terms of the contract and may make recommendations

to the agency for changes to the contract if the attorney general

determines that the office of the attorney general has sufficient

subject matter expertise and resources available to provide this

service.

(c) An agency described by Subsection (a)(2) must notify the

office of the attorney general at the time the agency initiates

the planning phase of the contracting process. A representative

of the office of the attorney general or another attorney

advising the agency under Subsection (d) may participate in

negotiations or discussions with proposed contractors and may be

physically present during those negotiations or discussions.

(d) If the attorney general determines that the office of the

attorney general does not have sufficient subject matter

expertise or resources available to provide the services

described by this section, the office of the attorney general may

require the state agency to enter into an interagency agreement

or to obtain outside legal services under Section 402.0212 for

the provision of services described by this section.

(e) The state agency shall provide to the office of the attorney

general any information the office of the attorney general

determines is necessary to administer this section.

Added by Acts 2005, 79th Leg., Ch.

1011, Sec. 1, eff. September 1, 2005.

Sec. 531.019. ADMINISTRATIVE AND JUDICIAL REVIEW OF CERTAIN

DECISIONS. (a) In this section, "public assistance benefits"

means benefits provided under a public assistance program under

Chapter 31, 32, or 33, Human Resources Code.

(b) The proceedings of a hearing related to a decision regarding

public assistance benefits contested by an applicant for or

recipient of the benefits that is conducted by the commission or

a health and human services agency to which the commission

delegates a function related to the benefits must be recorded

electronically. Notwithstanding Section 2001.177, the cost of

preparing the record and transcript required to be sent to a

reviewing court may not be charged to the applicant for or

recipient of the benefits.

(c) Before an applicant for or recipient of public assistance

benefits may appeal a decision of a hearing officer for the

commission or a health and human services agency related to those

benefits, the applicant or recipient must request an

administrative review by an appropriate attorney of the

commission or a health and human services agency, as applicable,

in accordance with rules of the executive commissioner. Not

later than the 15th business day after the date the attorney

receives the request for administrative review, the attorney

shall complete an administrative review of the decision and

notify the applicant or recipient in writing of the results of

that review.

(d) Except as provided by this section, Subchapters G and H,

Chapter 2001, govern an appeal of a decision made by a hearing

officer for the commission or a health and human services agency

related to public assistance benefits brought by an applicant for

or recipient of the benefits.

(e) For purposes of Section 2001.171, an applicant for or

recipient of public assistance benefits has exhausted all

available administrative remedies and a decision, including a

decision under Section 31.034 or 32.035, Human Resources Code, is

final and appealable on the date that, after a hearing:

(1) the hearing officer for the commission or a health and human

services agency reaches a final decision related to the benefits;

and

(2) the appropriate attorney completes an administrative review

of the decision and notifies the applicant or recipient in

writing of the results of that review.

(f) For purposes of Section 2001.171, an applicant for or

recipient of public assistance benefits is not required to file a

motion for rehearing with the commission or a health and human

services agency, as applicable.

(g) Judicial review of a decision made by a hearing officer for

the commission or a health and human services agency related to

public assistance benefits is under the substantial evidence rule

and is instituted by filing a petition with a district court in

Travis County, as provided by Subchapter G, Chapter 2001.

(h) An appeal described by Subsection (d) takes precedence over

all civil cases except workers' compensation and unemployment

compensation cases.

(i) The appellee is the commission.

Added by Acts 2007, 80th Leg., R.S., Ch.

1161, Sec. 1, eff. September 1, 2007.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1351, Sec. 10(a), eff. September 1, 2009.

Sec. 531.0191. SERVICES PROVIDED BY CONTRACTOR TO PERSONS WITH

LIMITED ENGLISH PROFICIENCY. (a) Each contract with the

commission or a health and human services agency that requires

the provision of call center services or written communications

related to call center services must include performance

standards that measure the effectiveness, promptness, and

accuracy of the contractor's oral and written communications with

persons with limited English proficiency. Each person who seeks

to enter into a contract described by this subsection shall

include in the bid or other applicable expression of interest for

the contract a proposal for providing call center services or

written communications related to call center services to persons

with limited English proficiency.

(b) The proposal required under Subsection (a) must include a

language access plan that describes how the contractor will

achieve any performance standards described in the request for

bids, proposals, or other applicable expressions of interest.

The plan must also describe how the contractor will:

(1) identify persons who need language assistance;

(2) provide language assistance measures, including the

translation of forms into languages other than English and the

provision of translators and interpreters;

(3) inform persons with limited English proficiency of the

language services available to them and how to obtain them;

(4) develop and implement qualifications for bilingual staff;

and

(5) monitor compliance with the language access plan.

(c) In determining which bid or other applicable expression of

interest offers the best value, the commission or a health and

human services agency, as applicable, shall evaluate the extent

to which the proposal for providing call center services or

written communications related to call center services in

languages other than English will provide meaningful access to

the services for persons with limited English proficiency.

(d) In determining the extent to which a proposal will provide

meaningful access under Subsection (c), the agency shall

consider:

(1) the language access plan developed under Subsection (b);

(2) the number or proportion of persons with limited English

proficiency in the agency's eligible service population;

(3) the frequency with which persons with limited English

proficiency seek information regarding the agency's programs;

(4) the importance of the services provided by the agency's

programs; and

(5) the resources available to the agency.

(e) The agency must avoid selecting a contractor that the agency

reasonably believes will:

(1) provide information in languages other than English that is

limited in scope;

(2) unreasonably delay the provision of information in languages

other than English; or

(3) provide program information, including forms, notices, and

correspondence, in English only.

(f) This section does not apply to 2-1-1 services provided by

the Texas Information and Referral Network.

Added by Acts 2007, 80th Leg., R.S., Ch.

1110, Sec. 1, eff. June 15, 2007.

Renumbered from Government Code, Section 531.019 by Acts 2009,

81st Leg., R.S., Ch.

87, Sec. 27.001(35), eff. September 1, 2009.

Sec. 531.020. OFFICE OF COMMUNITY COLLABORATION. The executive

commissioner shall establish within the commission an office of

community collaboration. The office is responsible for:

(1) collaborating with community, state, and federal

stakeholders to improve the elements of the health care system

that are involved in the delivery of Medicaid services; and

(2) sharing with Medicaid providers, including hospitals, any

best practices, resources, or other information regarding

improvements to the health care system.

Added by Acts 2005, 79th Leg., Ch.

349, Sec. 1, eff. September 1, 2005.

SUBCHAPTER B. POWERS AND DUTIES

Sec. 531.021. ADMINISTRATION OF MEDICAID PROGRAM. (a) The

commission is the state agency designated to administer federal

medical assistance funds.

(b) The commission shall:

(1) plan and direct the Medicaid program in each agency that

operates a portion of the Medicaid program, including the

management of the Medicaid managed care system and the

development, procurement, management, and monitoring of contracts

necessary to implement the Medicaid managed care system;

(2) adopt reasonable rules and standards governing the

determination of fees, charges, and rates for medical assistance

payments under Chapter 32, Human Resources Code, in consultation

with the agencies that operate the Medicaid program; and

(3) establish requirements for and define the scope of the

ongoing evaluation of the Medicaid managed care system conducted

in conjunction with the Texas Health Care Information Council

under Section 108.0065, Health and Safety Code.

(c) The commission in its adoption of reasonable rules and

standards under Subsection (b)(2) shall include financial

performance standards that, in the event of a proposed rate

reduction, provide private ICF-MR facilities and home and

community-based services providers with flexibility in

determining how to use medical assistance payments to provide

services in the most cost-effective manner while continuing to

meet the state and federal requirements of the Medicaid program.

(d) In adopting rules and standards required by Subsection

(b)(2), the commission may provide for payment of fees, charges,

and rates in accordance with:

(1) formulas, procedures, or methodologies prescribed by the

commission's rules;

(2) applicable state or federal law, policies, rules,

regulations, or guidelines;

(3) economic conditions that substantially and materially affect

provider participation in the Medicaid program, as determined by

the commissioner; or

(4) available levels of appropriated state and federal funds.

(e) Notwithstanding any other provision of Chapter 32, Human

Resources Code, Chapter 533, or this chapter, the commission may

adjust the fees, charges, and rates paid to Medicaid providers as

necessary to achieve the objectives of the Medicaid program in a

manner consistent with the considerations described by Subsection

(d).

(f) In adopting rates for medical assistance payments under

Subsection (b)(2), the executive commissioner may adopt

reimbursement rates for appropriate nursing services provided to

recipients with certain health conditions if those services are

determined to provide a cost-effective alternative to

hospitalization. A physician must certify that the nursing

services are medically appropriate for the recipient for those

services to qualify for reimbursement under this subsection.

(g) In adopting rates for medical assistance payments under

Subsection (b)(2), the executive commissioner may adopt

cost-effective reimbursement rates for group appointments with

medical assistance providers for certain diseases and medical

conditions specified by rules of the executive commissioner.

Added by Acts 1995, 74th Leg., ch. 76, Sec. 8.002(a), eff. Sept.

1, 1995. Amended by Acts 1997, 75th Leg., ch. 1262, Sec. 1, eff.

Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1460, Sec. 3.01, eff.

Sept. 1, 1999; Acts 2003, 78th Leg., ch. 198, Sec. 2.03, eff.

Sept. 1, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

349, Sec. 11(a), eff. September 1, 2005.

Sec. 531.0211. MANAGED CARE MEDICAID PROGRAM: RULES; EDUCATION

PROGRAMS. (a) In adopting rules to implement a managed care

Medicaid program, the commission shall establish guidelines for,

and require managed care organizations to provide, education

programs for providers and clients using a variety of techniques

and mediums.

(b) A provider education program must include information on:

(1) Medicaid policies, procedures, eligibility standards, and

benefits;

(2) the specific problems and needs of Medicaid clients; and

(3) the rights and responsibilities of Medicaid clients under

the bill of rights and the bill of responsibilities prescribed by

Section 531.0212.

(c) A client education program must present information in a

manner that is easy to understand. A program must include

information on:

(1) a client's rights and responsibilities under the bill of

rights and the bill of responsibilities prescribed by Section

531.0212;

(2) how to access health care services;

(3) how to access complaint procedures and the client's right to

bypass the managed care organization's internal complaint system

and use the notice and appeal procedures otherwise required by

the Medicaid program;

(4) Medicaid policies, procedures, eligibility standards, and

benefits;

(5) the policies and procedures of the managed care

organization; and

(6) the importance of prevention, early intervention, and

appropriate use of services.

Added by Acts 1997, 75th Leg., ch. 165, Sec. 14.03(a), eff. Sept.

1, 1997.

Sec. 531.02111. BIENNIAL MEDICAID FINANCIAL REPORT. (a) The

commission shall prepare a biennial Medicaid financial report

covering each state agency that administers any part of the state

Medicaid program and each of the Medicaid programs operated or

administered by those agencies.

(b) The report must include:

(1) for each state agency described by Subsection (a):

(A) a description of each of the Medicaid programs administered

or operated by the agency; and

(B) an accounting of all funds related to the state Medicaid

program received and disbursed by the agency during the period

covered by the report, including:

(i) the amount of any federal medical assistance funds allocated

to the agency for the support of each of the Medicaid programs

operated or administered by the agency;

(ii) the amount of any funds appropriated by the legislature to

the agency for each of those programs; and

(iii) the amount of medical assistance payments and related

expenditures made by or in connection with each of those

programs; and

(2) for each Medicaid program identified in the report:

(A) the amount and source of funds or other revenue received by

or made available to the agency for the program; and

(B) the information required by Section 531.02112(b).

(c) The report must cover the three-year period ending on the

last day of the previous fiscal year.

(d) The commission may request from any appropriate state agency

information necessary to complete the report. Each agency shall

cooperate with the commission in providing information for the

report.

(e) Not later than December 1 of each even-numbered year, the

commission shall submit the report to the governor, the

lieutenant governor, the speaker of the house of representatives,

the presiding officer of each standing committee of the senate

and house of representatives having jurisdiction over health and

human services issues, the state auditor, and the comptroller.

Added by Acts 2001, 77th Leg., ch. 209, Sec. 1, eff. May 21,

2001.

Sec. 531.02112. QUARTERLY REPORT OF MEDICAID EXPENDITURES. (a)

The commission shall prepare a report, on a quarterly basis,

regarding the Medicaid expenditures of each state agency that

administers or operates a Medicaid program.

(b) The report must identify each agency's expenditures by

Medicaid program and must include for each program:

(1) the amount spent on each type of service or benefit provided

by or under the program;

(2) the amount spent on program operations, including

eligibility determination, claims processing, and case

management; and

(3) the amount spent on any other administrative costs.

(c) The commission shall submit the report to the governor,

legislature, state auditor, and comptroller.

Added by Acts 2001, 77th Leg., ch. 209, Sec. 1, eff. May 21,

2001.

Sec. 531.02113. OPTIMIZATION OF MEDICAID FINANCING. The

commission shall ensure that the Medicaid finance system is

optimized to:

(1) maximize the state's receipt of federal funds;

(2) create incentives for providers to use preventive care;

(3) increase and retain providers in the system to maintain an

adequate provider network;

(4) more accurately reflect the costs borne by providers; and

(5) encourage the improvement of the quality of care.

Added by Acts 2005, 79th Leg., Ch.

349, Sec. 2(a), eff. September 1, 2005.

For expiration of this section, see Subsection (g).

Sec. 531.02114. PILOT PROJECT TO SIMPLIFY, STREAMLINE, AND REDUCE

COSTS ASSOCIATED WITH MEDICAID COST REPORTING AND AUDITING

PROCESS FOR CERTAIN PROVIDERS. (a) In this section:

(1) "Pilot project" means the pilot project to simplify,

streamline, and reduce costs associated with the Medicaid cost

reporting and auditing process for providers implemented by the

commission under this section.

(2) "Provider" means a private ICF-MR facility or home and

community-based services waiver program provider.

(b) The commission shall develop and implement a pilot project

to simplify, streamline, and reduce costs associated with the

Medicaid cost reporting and auditing process for private ICF-MR

facilities and home and community-based services waiver program

providers.

(c) The executive commissioner by rule shall, with the

assistance of the work group established under Subsection (d),

adopt cost reporting and auditing processes and guidelines

similar to standard business financial reporting processes and

guidelines. The rules must:

(1) require that cost report forms:

(A) not exceed 20 letter-size pages in length, including any

appendices; and

(B) be distributed to providers at least one month before the

beginning of the applicable reporting period;

(2) require that a provider summarize information regarding

program revenue, administrative costs, central office costs,

facility costs, and direct-care costs, including the hourly wage

detail of direct-care staff;

(3) allow a provider to electronically submit cost reports;

(4) require the filing of cost reports in alternating years as

follows:

(A) in even-numbered years, private ICF-MR facility providers;

and

(B) in odd-numbered years, home and community-based services

waiver program providers;

(5) allow a provider to request and receive from the commission

information, including reports, relating to the services provided

by the provider that is maintained by the commission in a

database or under another program or system to facilitate the

cost reporting process; and

(6) require that each provider receive a full audit by the

commission's office of inspector general at least once during the

period the pilot project is in operation.

(d) In developing the pilot project, the commission shall

establish a work group that reports to the executive commissioner

and is responsible for:

(1) developing and proposing cost report forms and processes,

audit processes, and rules necessary to implement the pilot

project;

(2) developing:

(A) a plan for monitoring the pilot project's implementation;

and

(B) recommendations for improving and expanding the pilot

project to other Medicaid programs;

(3) establishing an implementation date for the pilot project

that allows the commission to have sufficient information related

to the pilot project for purposes of preparing the commission's

legislative appropriations request for the state fiscal biennium

beginning September 1, 2009;

(4) monitoring wage levels of the direct-care staff of providers

to assess the value and need for minimum spending levels; and

(5) submitting a quarterly report to the lieutenant governor,

the speaker of the house of representatives, the senate finance

committee, and the house appropriations committee regarding the

status of the pilot project.

(e) The executive commissioner shall determine the number of

members of the work group described by Subsection (d). The

executive commissioner shall ensure that the work group includes

members who represent:

(1) public and private providers of ICF-MR services and home and

community-based waiver program services;

(2) experienced cost report preparers who have received cost

report training from the commission;

(3) accounting firms licensed under Chapter 901, Occupations

Code, that are familiar with the provision of program services

described by Subdivision (1);

(4) commission staff; and

(5) other interested stakeholders, as determined by the

executive commissioner.

(f) Not later than September 1, 2012, the commission shall

submit a report to the legislature that:

(1) evaluates the operation of the pilot project; and

(2) makes recommendations regarding the continuation or

expansion of the pilot project.

(g) This section expires September 1, 2013.

Added by Acts 2007, 80th Leg., R.S., Ch.

894, Sec. 1, eff. September 1, 2007.

Sec. 531.0212. MEDICAID BILL OF RIGHTS AND BILL OF

RESPONSIBILITIES.