TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 1. TEXAS DEPARTMENT OF HUMAN SERVICES

Chapter 54. FAMILY VIOLENCE PROGRAM

The Texas Department of Human Services (DHS) adopts the repeal of §54.410 and §54.526 without changes to the proposed text as published in the February 25, 2000, issue of the Texas Register (25 TexReg 1566). Amendments to §§54.101, 54.204, 54.406, 54.521, 54.703, and 54.804, and new §§54.1001, 54.1005, 54.1101, 54.1207, 54.1302,54.140, 54.1403, 54.1404, and 54.1501 - 54.1503, are adopted with changes to the proposed text. Amendments to §§54.203, 54.205, 54.306, 54.308, 54.310 - 54.312, 54.402, 54.405, 54.407, 54.409, 54.414, 54.502, 54.504, 54.505, 54.507, 54.519, 54.606, 54.706, 54.707, 54.709, 54.710, 54.713, 54.718, 54.801, 54.806, and 54.808 - 54.811; new subchapters I, J, K, L, M, N, and O; and new §§54.410, 54.526, 54.527, 54.901 - 54.904, 54.1002 - 54.1004, 54.1006 - 54.1008, 54.1102 - 54.1114, 54.1201 - 54.1206, 54.1301, 54.1303, 54.1402, and 54.1405 - 54.1414, are adopted without changes to the proposed text and will not be republished.

At the request of the department the Texas Council on Family Violence convened a rules workgroup made up of advocates from across the state. Additionally, comments on the existing rules were solicited from all shelter center contractors. The workgroup met several times and recommended revisions to the department rules that clarify program, fiscal, and administrative requirements. The department utilized the recommendations in developing the amendments and one new rule. The new rule will function by ensuring that employees of shelter centers who are victims of domestic violence are offered assistance by their employer as they take steps to live free from violence.

The amendments and new sections will function by ensuring that employees who are victims of domestic violence are offered assistance by their employer as they take steps to live free from violence.

The Texas Council on Family Violence (TCFV) has suggested two rule changes that were communicated to DHS through TCFV committee reports. The department received comments from Aid to Victims of Domestic Abuse, National Training Center on Domestic and Sexual Violence, and The Women's Advocacy Project, Inc., regarding the proposed rules for special nonresidential projects. DHS reviewed 24 comments and as a result has revised 15 of the rules. A summary of the comments along with DHS's responses follows:

Shelter Centers

Comment: One committee comment recommended revising the following service definitions that are included in §54.101: counseling services, education arrangements for children, emergency medical care, emergency transportation, legal assistance, referral system to existing community services, and training and employment information.

Response: The definitions have been revised as recommended. The department believes the revisions will clarify services to be provided.

Comment: One comment recommended revising §54.521 as follows:

Confidentiality of Staff Records. Shelter Center must have written policies regarding:

(1) personnel information; and

(2) responses to requests made pursuant to the Texas Public Information Act.

Response: This rule has been revised as recommended.

Special Nonresidential Projects

Comment: There was a general comment concerning the introductory statement that there is no adverse effect on businesses because changes only affect nonprofit family violence organizations. There were three comments that the statement indicates that only current family violence contractors would be affected.

Response: The language should read: "There will be no adverse economic effect on large, small or micro businesses." It is our intention to include any eligible nonprofit organization providing family violence services and not to exclude new contractors.

Comments concerning §54.101(15): There were three comments that the definition of victim of family violence should be expanded or mirror the Family Code definition. The commenters explained that the current definition does not include victims of violence in dating relationships who have never lived together, violence between former household members, or violence between those who have never lived together but have a biological child together.

Response: This rule has not been revised. This rule reflects the definition of victim of family violence stated in Chapter 51 Human Resource Code, the statute that governs the DHS Family Violence Program. It would therefore be inappropriate for DHS to broaden the definition to include persons outside the household.

Comment concerning §54.101(15): One comment to asked why sexual abuse is differentiated from previously mentioned physical force and how "might also include" will be interpreted.

Response: Sexual abuse is differentiated because physical force may not be interpreted to include sexual abuse. The department believes those who are sexually/emotionally abused by batterers should be eligible for services; thus the sentence was added for clarification. DHS agrees that the language in the last sentence is unclear and is revising the last sentence of the rule to reflect this comment.

Comments concerning §54.1001(a): There were three comments that nonresidential special projects should not be mandated to have involvement or collaboration with the justice system, particularly if not relevant to the project or if it might discourage certain groups of people from participating in services.

Response: This rule has been revised to make it clear that collaboration with the justice system is not mandated; however, it is important that family violence contractors know how and when to contact law enforcement for safety purposes. Community resources will be further discussed in a management recommendation.

Comment concerning §54.1001(b): One comment asked why board minutes are required and whether information which is unrelated to the project must be included in board minutes.

Response: This rule has not been revised. Board minutes are relevant to demonstrate board accountability and the fulfillment of roles and responsibilities, and to document the existence of the corporation. It is important to note that the Texas Nonprofit Corporation Act requires corporations to keep minutes of the proceedings of their members and board of directors and committees having any authority of the board of directors (Tex.Civ.Stat. Art. 1396-2.23). DHS does not require a particular format for these minutes.

Comment concerning §54.1001(c): One comment asked that DHS define "on-site".

Response: This rule has not been revised. "On-site" means that the records are kept in the contractor's facilities. This is usually an administrative office or direct service facility.

Comment concerning §54.1005(d): One comment asked if it is necessary for DHS to have access to the organization's operating policies and procedures, personnel manual and files, and if the rule applies only to documents directly related to the special nonresidential project. The commenter suggested that this requirement may be cumbersome for small organizations.

Response: DHS requires access to the contractor's operating policies and procedures in order to ensure agency accountability and appropriate services for victims. These documents may also be used to monitor the contractor's performance. The rule has been revised to clarify that it applies only to documents related to the nonresidential special project.

Comment concerning §54.1005(e): One comment asked why it is necessary for the contractor to maintain a DHS Family Violence Special Nonresidential Project Manual and where the manual should be kept if services are being provided in a non-traditional social service setting.

Response: Maintenance of the DHS manual is necessary to ensure that staff has access to the minimum standards under which the funding was awarded. The manual should be kept in the direct service facility where services are performed. If a direct service facility is not available, the manual should be kept in the contractor's administrative office and be accessible to all staff funded under the DHS Special Nonresidential Project. The language is revised to reflect this comment.

Comment concerning §54.1101(f): One comment stated that getting a fidelity bond may be difficult for a small organization and that redlining of service providers by insurers is common in some communities. The commenter suggested that since the contracts for special nonresidential projects are relatively small and are cost reimbursement contracts this requirement may not be necessary.

Response: This rule has been revised to reflect this comment. DHS believes that the points outlined above are legitimate and as a result §54.1101(f) has been deleted.

Comment concerning §54.1206: One comment stated that the initial training requirements are not appropriate and may be cumbersome for small organizations.

Response: This rule has not been revised. The initial training requirement applies only to positions funded by DHS and assures minimal training for each funded staff position. DHS believes the initial training requirements are appropriate and that they ensure/document minimal training for each funded staff position. It is important to clarify that this applies only to positions funded by DHS and that the format and length of the training are left to the discretion of each contractor.

Comment concerning §54.1207: One comment stated that the record retention requirements are not reasonable. The commenter asked if this rule applies to contract workers and staff files not directly related to the project.

Response: This rule has been revised to clarify that record retention requirements apply only to DHS funded positions.

It should also be noted that the federal OMB curricular A-110 Subpart C.53 requires that all records pertinent to an award shall be retained for a period of three years from the date of submission of the final expenditure report.

Comments concerning §54.1301(c): There were two comments that the proposed rule uses the language "If face-to-face services are offered" and that this language is contradictory to the requirement of providing core services.

Response: This rule has not been revised. The core services specified in §54.1501 must be available to eligible clients but are not mandated to be provided by the contractor for all clients; therefore the core services do not necessarily require face-to-face direct services. For example, if an organization is funded to conduct community presentations on domestic violence, it will not be required to provide core services to all audience members; however, if an audience member discloses domestic violence and requests the core services, the organization must provide those services to that individual.

Comments concerning §54.1302(a): There were three comments that this rule assumes the contractor is providing family violence services only. The commenter asked how this rule applies to an organization that serves other types of clients (which might include batterers) in addition to family violence clients.

Response: DHS agrees that safety and security procedures should be specific to each contractor since the contractor may serve non-family violence clients. The rule has been revised to reflect this comment.

Other language contained in the original proposed rule will become a management recommendation.

Comment concerning §54.1302 and §54.1303: One comment was that reference is made to children's services yet the definition of family violence victim does not include children.

Response: This rule has not been revised. The DHS definition is based on Chapter 51 Human Resources Code which includes an individual who resides in the same household. Minors may be served independently of the adult victim, as described in §54.1402.

Comment concerning §54.1402: There was one comment that the rule refers to victims of family violence as defined in the DHS Family Violence Special Nonresidential Project Manual and goes on to describe services to minors, yet minors are not a part of the definition of family violence victim.

Response: This rule has not been revised. The DHS definition is based on Chapter 51 Human Resources Code which includes an individual who resides in the same household. Minors may be served independently of the adult victim, as described in §54.1402.

Comments concerning §54.1403: Two comments stated that the rule does not account for the fact that some persons receiving services are not considered formal clients. The commenters offered examples including clients served through school programs and women's meetings, etc. at which an intake form may not be completed.

Response: There may be projects related to group settings in which eligibility procedures may not apply. Therefore, depending on the type of project, DHS, with input from the contractor, will determine client eligibility procedures. The rule language is revised to reflect this comment.

Comments concerning §54.1403: There were three comments that subsection (a)(2) refers to the requirements as defined in the plan of operation if serving a specific underserved community, but (b)(1) is contradictory because it states "without regard to income." The commenter explains that this rule would preclude serving low-income people or welfare recipients.

Response: This rule has been revised. It is important to note that the federal Family Violence Prevention and Services Act under which these services are funded mandates that no income eligibility standard will be imposed on individuals receiving assistance or services supported with funds appropriated to carry out the Act (42 USCA 10402(d)). Subsection (a)(2) will be deleted to remove language that might be interpreted as contradictory. Remaining subsections of the rule (b) - (e) will be adopted as proposed.

Comments concerning §§54.1404 - 1414: There were three comments that these rules do not take different methods of service delivery into account but assume that formal, ongoing counseling services will be delivered by each special nonresidential project contractor.

Response: One rule in this section has been revised to clarify that the rule applies only to face-to-face services. The intent of these rules is not to mandate formal counseling services for each client, but to ensure confidentiality for all clients served. It is important to note that the Family Violence Prevention and Services Act requires DHS to provide a copy of the procedures developed and implemented that assure the confidentiality of records pertaining to any individual provided family violence prevention or treatment services by any program assisted under the Act. §54.1404(b) and (c) are revised to reflect these comments.

Comment concerning §54.1410: One comment was that releases of information should not have ending dates. The commenter cites examples when this could cause problems, such as if staff is waiting on return phone calls and the release period ends or the client terminates services earlier than expected and the release is still active. The commenter suggested having no end date but giving the client the option to rescind the release at any time.

Response: The proposed rule will not be revised. DHS believes that it is not feasible to ask clients to be responsible for rescinding releases, and it could be dangerous for clients to have a release without an ending date. In order to ensure that the client's confidentiality is adequately protected, DHS believes that an ending date is necessary.

Comments concerning §54.1501(10): There were three comments that special nonresidential projects should not be mandated to provide core services. Commenters indicated the requirement of core services is cumbersome, makes the project comprehensive rather than specialized, may be costly, and does not allow for innovation and diversity of services.

Regarding subsection (b), one commenter suggested that the answering machine requirement is not reasonable.

Response: While DHS does not intend to limit specialization or innovation of services, DHS believes certain core services are needed to promote safety for family violence victims regardless of the type of special project. It is important to note that requirements regarding information may be met through brochures or other written materials. DHS has funded over 50 of these types of projects since 1997 and has not previously received feedback from contractors or potential contractors indicating that the core services were unreasonable.

Core services are required to be available at the request of a client; however, it is not mandated that the contractor provide each of these services for each client. This rule has been revised to explain that the access to a 24 hour hotline may be provided directly or through a formal written agreement with a DHS-approved entity.

Comment concerning §54.1501(c): One comment was that this rule may not be realistic for contractors if the staff/volunteer works only at specified times or if the family violence project is a relatively small part of the staff's or volunteer's responsibilities.

Response: As a result of the deletion of subsection (b), this rule is changed to §54.1501(b), however the rule language has not been revised. It is important to note that DHS is not mandating direct access when the staff or volunteer is away from the office. There should be a designated system in place for leaving messages during regular business hours if the staff or volunteer is not available. This clarification will be explained through a management recommendation.

Comment concerning §54.1501(d)(1): One comment requested that DHS explain the phrase, "Callers have access to immediate intervention 24 hours a day." The commenter suggested that this is not reasonable and limits which contractors can apply for the funding.

Response: As a result of the deletion of subsection (b), this rule is changed to §54.1501(c). The rule has been revised to reflect this comment.

Comments concerning §54.1502: Three comments stated that it is unreasonable to mandate this type of orientation, especially if the contractor only meets with a client once or twice. Commenters also suggested that an orientation of this detail may be confusing and intimidating for some clients.

Response: DHS believes that this information is necessary to protect the basic rights of clients. Contractors have sole discretion regarding the length and format (verbal or written) of the orientation. The rule has been revised to clarify that it applies only to contractors providing face-to-face direct services.

Comment concerning §54.1503: One comment indicated that termination procedures are not necessary. The commenter explained that if a client wants to terminate services, he/she will do so and that the proposed rule presumes ongoing services.

Response: This rule has been revised to clarify that it applies to ongoing services.

In addition, the department has initiated minor editorial changes to the text of §54.204(1)(O) by deleting the period and adding a semicolon and the word "and"; to §54.406 by changing "Title 51, Chapter 2" to read "Title 2, Chapter 51"; to §54.703(b) by changing "with DPRS" to read "with TDPRS"; to §54.703(c)(1) by adding a comma after "Title 2"; to §54.804(c)(3)(E) by adding the word "and"; to §54.1001(a) by changing "effectively the deliver" to read "effectively deliver the"; and to §54.1206(a)(11) by changing "Family Violence Special Nonresidential Projects Manual" to read "Family Violence Special Nonresidential Project Provider Manual." These changes are incorporated to clarify and improve the accuracy of the sections.

Subchapter A. DEFINITIONS

40 TAC §54.101

The amendments are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments implement the Human Resources Code, Chapter 51.

§54.101.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.

(1)

Civil justice system--A network of courts and legal processes that enforce, redress, or protect private rights.

(2)

Community education--Heightening public awareness about family violence and the availability of services for victims of family violence.

(3)

Cooperation with criminal justice officials--Making efforts on behalf of victims of family violence to:

(A)

establish ongoing working relationships with the local criminal justice system, including but not limited to law enforcement, prosecutors, the courts, probation, and parole; and

(B)

educate the local criminal justice system about family violence and the need for policies that ensure safety for victims of family violence and hold batterers accountable.

(4)

Counseling services--Face-to-face intervention services for a resident or nonresident child/adult that provide safety planning, understanding and support, advocacy, case management, information and education, and resource assistance to victims of family violence.

(5)

Criminal justice system--a network of court and legal processes that deal with penal law and its enforcement; an offense against the state.

(6)

Crisis call hotline--A telephone number that is answered by trained shelter center volunteer(s), staff, or Texas Department of Human Services-approved services contractors who provide immediate intervention through safety planning (assess for danger); understanding and support; and information, education, and referrals to victims of family violence twenty-four hours a day, every day of the year.

(7)

Education arrangements for children--Services that result in a resident or nonresident child being in compliance with the compulsory attendance requirements found in the education code. Examples include providing clothing or supplies for school and conferring with school teachers or administrators. It does not include transportation.

(8)

Emergency medical care--Face-to-face assistance in responding to any urgent medical situation for the adult/child residents or nonresidents accessing shelter center services.

(9)

Emergency transportation--Arranging transportation

(A)

to and from emergency medical facilities for shelter residents and nonresidents, and/or

(B)

from a safe place to the shelter for persons being considered for acceptance as residents of the shelter and who are located within the shelter's service area.

(10)

Family violence special nonresidential project--A program that is established by a public or private nonprofit organization and provides at least one specialized family violence service as well as all required core services as described in the DHS Family Violence Special Nonresidential Project Provider Manual , Service Delivery section.

(11)

Legal assistance--Providing services directly to the client that include assisting adult/child residents or nonresidents in safety planning, identifying individual legal needs; legal rights and options; and providing support and accompaniment in their pursuit of those options.

(12)

Referral system to existing community services--Providing information and referring adult/child residents or nonresidents to existing community resources, including but not limited to medical care, legal assistance, Department of Protective and Regulatory Services, resource assistance, public assistance, counseling and treatment services, children's services, and other appropriate family violence services.

(13)

Training and employment information--Providing information and referrals to adult/child residents or nonresidents about employment training and employment opportunities, either directly or through formal arrangements with other agencies.

(14)

Twenty-four-hour-a-day shelter--A shelter that provides access, admittance, and temporary emergency shelter residence for victims of family violence twenty-four hours a day, every day of the year in a facility exclusively serving victims of family violence; a series of safe homes; or a designated section of another kind of emergency shelter. Motels may be used for overflow or in outlying counties but must not be used exclusively in place of one of the three types of shelters.

(15)

Victim of family violence--An adult who is subjected to physical force or the threat of physical force by another who is related by affinity or consanguinity to that adult, who is a former spouse of that adult, or who resides in the same household with that adult; or an individual, other than an individual using physical force or the threat of physical force, who resides in the same household with a victim of family violence as defined above. Victims of family violence may also have been subjected to sexual and/or emotional abuse by their batterers.

(16)

Volunteer recruitment and training program--A process for soliciting a diverse group of persons from the community and providing them with information about family violence and services for victims of family violence through a structured orientation in order to work as non-paid staff.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005469

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter B. BOARD OF DIRECTORS

40 TAC §§54.203 - 54.205

The amendments are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments implement the Human Resources Code, Chapter 51.

§54.204.Orientation.

New board members must:

(1)

be provided a board handbook which will include at a minimum:

(A)

board member job description;

(B)

current list of board members with mailing addresses and telephone numbers;

(C)

agency mission statement;

(D)

agency bylaws and a copy of the letter granting 501(c) (3) status;

(E)

committee list with assignments of all board members and staff;

(F)

committee descriptions;

(G)

policies of the agency;

(H)

organizational chart;

(I)

agency history;

(J)

program services list;

(K)

current budget, including funding sources and subcontractors;

(L)

brief description of contract provisions with attorneys, auditors, or other professionals;

(M)

basic information about family violence;

(N)

brief history of the Texas battered women's movement; and

(O)

brief summary of Texas laws that address family violence issues; and

(2)

have access to a copy of the Texas Non-Profit Corporation Act; and

(3)

have access to a copy of the Texas Department of Human Services Family Violence Program Provider Manual.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005470

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter C. CONTRACT STANDARDS

40 TAC §§54.306, 54.308, 54.310 - 54.312

The amendments are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments implement the Human Resources Code, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005471

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter D. FISCAL MANAGEMENT

40 TAC §§54.402, 54.405 - 54.407, 54.409, 54.410, 54.414

The amendments and new section are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments and new section implement the Human Resources Code, Chapter 51.

§54.406.General Management and Overhead Costs.

General management and overhead costs such as salaries, rent, and electricity, must be allocated between funding sources if the shelter center provides services other than those mandated in the Human Resources Code, Title 2, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005472

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


40 TAC §54.410

The repeal is adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The repeal implements the Human Resources Code, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005473

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter E. SHELTER PERSONNEL

40 TAC §§54.502, 54.504, 54.505, 54.507, 54.519, 54.521, 54.526, 54.527

The amendments and new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments and new sections implement the Human Resources Code, Chapter 51.

§54.521.Confidentiality of Staff Records.

Shelter centers must have written policies regarding:

(1)

personnel information; and

(2)

responses to requests made pursuant to the Texas Public Information Act.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005474

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


40 TAC §54.526

The repeal is adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The repeal implements the Human Resources Code, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005475

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter F. FACILITY SAFETY AND HEALTH

40 TAC §54.606

The amendment is adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendment implements the Human Resources Code, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005476

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter G. PROGRAM ADMINISTRATION

40 TAC §§54.703, 54.706, 54.707, 54.709, 54.710, 54.713, 54.718

The amendments are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments implement the Human Resources Code, Chapter 51.

§54.703.Client Eligibility and Minors.

(a)

Shelter centers that are not licensed to provide residential child care must not provide 24-hour-a-day shelter to a person less than 18 years old unless that person is accompanied by a parent, legal guardian, is legally emancipated, or is a minor mother.

(b)

The Texas Department of Protective and Regulatory Services (TDPRS) child care licensing. Shelter centers providing services to children and under the jurisdiction of the child care licensing regulations must have written policies and procedures ensuring compliance with TDPRS child care licensing rules and regulations.

(c)

Services to minors when parent is not receiving services. Shelter centers providing nonresidential services to minors when the parent is not receiving services must ensure the

(1)

minor self discloses that he/she resides in the same household with a victim of family violence as defined in the Human Resources Code (HRC), Title 2, Chapter 51; and

(2)

shelter center has parental consent to provide the minor with nonresidential services; or

(3)

shelter center complies with the Texas Family Code, Chapter 32.004, if parental consent is not obtained.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005477

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter H. SERVICE DELIVERY

40 TAC §§54.801, 54.804, 54.806, 54.808 - 54.811

The amendments are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The amendments implement the Human Resources Code, Chapter 51.

§54.804.Initial Delivery of Direct Services.

(a)

Initial delivery of adult resident direct services. Shelter centers must:

(1)

ensure and document that new adult residents have face-to-face contact with a staff person within 16 hours of the resident's admission.

(2)

have written procedures ensuring that each adult resident is provided an orientation within 16 hours of the resident's arrival about shelter center services. The orientation must be documented and include but not be limited to:

(A)

explanation of services available;

(B)

cooperative living agreement, an agreement between the shelter and the residents promoting health, safety, and daily shelter operations;

(C)

length of stay;

(D)

termination policy;

(E)

residents' rights;

(F)

nondiscrimination statement;

(G)

grievance procedures;

(H)

safety and security procedures, including medication;

(I)

confidentiality and limits of confidentiality, and

(J)

waivers of liability.

(b)

Initial delivery of adult nonresident direct services. Shelter centers must have written procedures ensuring that each adult nonresident is provided an orientation. The orientation must be documented and include but not be limited to:

(1)

explanation of services available;

(2)

termination policy;

(3)

nonresidents' rights;

(4)

nondiscrimination statement;

(5)

grievance procedures;

(6)

safety and security procedures;

(7)

confidentiality and limits of confidentiality; and

(8)

waivers of liability.

(c)

Initial delivery of children's direct services and designating an advocate. Shelter centers must

(1)

have written procedures ensuring that new child residents and/or parent residents will have face-to-face contact with the designated children's staff. This service must be documented;

(2)

designate at least one staff person, either paid or volunteer, to act as a children's advocate;

(3)

document in writing that the designated staff acting as children's advocate has the following:

(A)

knowledge of child development, parenting skills, and dynamics of family relationships;

(B)

sensitivity to the needs of children;

(C)

ability to respond in a constructive, supportive manner to the resident parent and child in crisis;

(D)

ability to plan and implement activities for children; and

(E)

knowledge of the local network of children's services; and

(4)

have services available that are specific to meet the needs of children.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005478

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter I. BOARD OF DIRECTORS

40 TAC §§54.901 - 54.904

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005479

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter J. CONTRACT AND FISCAL STANDARDS

40 TAC §§54.1001 - 54.1008

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1001.Eligibility to Contract.

(a)

To be eligible to apply for a contract, the applicant must be a public or private nonprofit organization. Funds will be awarded to organizations which best demonstrate the ability to effectively deliver the services outlined in the Request for Proposal published in the Texas Register and agree to comply with the criteria established in the Family Violence Special Nonresidential Project Provider Manual . The applicant will be required to demonstrate that services provided will meet a previously unmet need in the community. The special nonresidential project contractor must also demonstrate a system of referring victims of family violence, when appropriate, to at least one family violence shelter center. The special nonresidential project must provide DHS with evidence of ability to effectively utilize funds and community resources.

(b)

The special nonresidential project contractor must maintain and provide to the Texas Department of Human Services, as requested, the following documentation:

(1)

articles of incorporation;

(2)

by-laws;

(3)

tax exemption certification;

(4)

board minutes;

(5)

fiscal audits or financial statements;

(6)

informational materials;

(7)

case records, if applicable; and

(8)

other relevant material.

(c)

The documentation specified in subsection (b) of this section must be maintained by the special nonresidential project contractor in a readily accessible on-site location.

§54.1005.Contractor's Records.

(a)

Contractors must allow the Texas Department of Human Services (DHS) and all appropriate federal and state agencies or their representatives to inspect, monitor, or evaluate client records, books, and supporting documents pertaining to services provided. Contractors and subcontractors must make documents available at reasonable times and for reasonable periods.

(b)

Contractors must keep financial and supporting documents, statistical records, and any other records pertinent to the services for which a claim or cost report is submitted to DHS or its agent. The records and documents must be kept for a minimum of three years and 90 days after the end of the contract period. If any litigation, claims, or audit involving these records begins before the three-year period expires, the contractor must keep the records and documents for not less than three years and 90 days or until all litigation, claims, or audit findings are resolved.

(c)

Each contractor must maintain the following DHS contract documents:

(1)

a copy of the contract including approved budget and plan of operation;

(2)

contract amendments, budget revisions, and other correspondence with DHS;

(3)

copies of all monthly billing and client service forms and other DHS forms as required;

(4)

copies of contractor's audit reports and related correspondence; and

(5)

copies of DHS's monitoring and evaluation reports, documentation of corrective actions, and related correspondence.

(d)

The special nonresidential project contractor must maintain the following documentation in a readily accessible location:

(1)

the organization's operating policies and procedures related to the nonresidential special project;

(2)

personnel manual and staff personnel files related to the nonresidential special project; and

(3)

fiscal manual and accounting records that support DHS expenditures.

(e)

The special nonresidential project contractor must maintain at least one copy of the DHS Family Violence Special Nonresidential Project Provider Manual at all separate locations where services are performed or administered. Contractors must ensure that:

(1)

all staff and volunteers have access to the DHS Family Violence Special Nonresidential Project Provider Manual ; and

(2)

there are written procedures for the distribution and training of staff on manual revisions, policy interpretations, and the special nonresidential project contractor's operating policies and procedures.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005480

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter K. FISCAL MANAGEMENT

40 TAC §§54.1101 - 54.1114

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1101.Accounting System Requirements.

(a)

Special nonresidential project contractors must maintain an accounting system which records revenues and expenditures using generally accepted accounting principles.

(b)

Each special nonresidential project contractor must have a chart of accounts which lists all accounts by an assigned number.

(c)

Accounting records include the general ledger and all subsidiary ledgers. Supporting documentation for all revenues and expenditures must be maintained for all expenditures charged to the Texas Department of Human Services (DHS) contract. Supporting documentation includes, but is not limited to:

(1)

receipts or vouchers for revenues;

(2)

bank statements;

(3)

canceled checks;

(4)

deposit slips;

(5)

approved invoices;

(6)

receipts;

(7)

leases;

(8)

contracts;

(9)

time sheets;

(10)

inventory; and

(11)

cost allocation worksheets.

(d)

Financial records must identify all funding sources and expenditures by separate fund type, for example, fund accounting.

(e)

Special nonresidential project contractors must use a double entry accounting system. It can be cash, accrual, or modified accrual.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005481

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter L. PERSONNEL

40 TAC §§54.1201 - 54.1207

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1207.Record Retention.

All personnel documents, for positions funded by DHS, hiring information including applications, and all supervisory notes involving personnel decisions must be retained by the special nonresidential project contractor for three years and 90 days or until all litigation, claims, or audit findings are resolved, whichever is longer. Documents of contract workers must also be in compliance with record retention requirements.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005482

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter M. FACILITY SAFETY AND HEALTH

40 TAC §§54.1301 - 54.1303

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1302.Safety and Security.

(a)

Special nonresidential project contractors must have written policies and procedures to promote the safety and security of clients and staff as appropriate for the parameters of the special project.

(b)

Special nonresidential project facilities must have all exits clearly marked with appropriate exit signs.

(c)

Special nonresidential project contractors providing services to children must:

(1)

develop and endorse written nonviolent disciplinary policies and procedures regarding child clients;

(2)

comply with all applicable federal, state, and city regulations regarding smoking, including but not limited to the Pro-Children Act of 1994 and the Health and Safety Code, Chapter 161;

(3)

ensure the safety of children in special nonresidential project facilities and maintain the safety of children if staff or volunteers take them on outings; and

(4)

maintain a first aid kit in its facilities which is accessible to staff and volunteers.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005483

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter N. PROGRAM ADMINISTRATION STANDARDS

40 TAC §§54.1401 - 54.1414

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1401.Client Eligibility State and Federal Laws.

(a)

Eligible persons are victims of family violence as defined in the Family Violence Special Nonresidential Project Provider Manual .

(b)

When determining client eligibility, special nonresidential project contractors must have written policies and procedures ensuring compliance with all federal and state laws including:

(1)

Title VI of the Civil Rights Act of 1964 (Public Law 88-352);

(2)

Section 504 of the Rehabilitation Act of 1973 (Public Law 93-112);

(3)

the Americans with Disabilities Act of 1990 (Public Law 101-336); and

(4)

the Age Discrimination Act.

(c)

Special nonresidential project contractors must comply with all amendments to each, and all requirements imposed by the regulations issued pursuant to the acts listed in subsection (b) of this section.

(d)

Special nonresidential project contractors must comply with Chapter 73 of the Human Resources Code (relating to Civil Rights).

(e)

Special nonresidential project contractors must comply with the Texas Health and Safety Code, 85.113.

§54.1403.Client Eligibility Policies and Procedures.

(a)

Special nonresidential project contractors may be required to have written client eligibility and screening procedures that are based on an individual's status as a victim of family violence.

(b)

Special nonresidential project contractors must have written policies and procedures to ensure services to eligible victims of family violence:

(1)

without regard to income; and

(2)

who do not contribute, donate, or pay for these services.

(c)

When determining client eligibility, special nonresidential project contractors must not discriminate based on gender and/or sexual orientation.

(d)

Special nonresidential project contractors must have written procedures for access and delivery of services to non-English speaking persons and make every reasonable effort to serve non-English speaking persons.

(e)

Special nonresidential project contractors must have written policies outlining behaviors that preclude otherwise eligible individuals from receiving special nonresidential project contractor services.

§54.1404.Confidentiality Policy and Procedures.

(a)

Special nonresidential project contractors must have a written confidentiality policy which demonstrates that services will be delivered in a manner that ensures client confidentiality regarding records and information.

(b)

If face-to-face direct services are provided, special nonresidential project contractors must fully inform clients in writing what information is recorded, why, and the methods of collection.

(c)

If face-to-face direct services are provided, adult clients must be advised in writing of at least the following:

(1)

their right to see their records;

(2)

the special nonresidential project contractor's policy and practices on confidentiality;

(3)

the current status of confidentiality laws in Texas, such as privileged communications and mandatory reporting for child, elder, and disabled abuse;

(4)

what information is required to be reported and why, such as duty to warn and child abuse;

(5)

the special nonresidential project contractor's policy for responding to court orders;

(6)

the special nonresidential project contractor's policy for release of information;

(7)

when the records will be decoded or destroyed; and

(8)

what information will remain in the file once a client terminates services.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005484

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Subchapter O. SERVICE DELIVERY

40 TAC §§54.1501 - 54.1503

The new sections are adopted under the Human Resources Code, Title 2, Chapter 51, which provides the department with the authority to administer family violence programs.

The new sections implement the Human Resources Code, Chapter 51.

§54.1501.Required Core Services.

(a)

Family violence special nonresidential project contractors at a minimum must offer and be able to provide the following services to eligible family violence clients:

(1)

safety planning, including ongoing assessment of risk of violence and development of strategies to enhance safety, and appropriate family violence information regarding hotlines;

(2)

information about the person's legal rights and options and referral to legal resources;

(3)

information about the dynamics of family violence;

(4)

information about and referral to existing community resources, including but not limited to medical care, legal assistance, Texas Department of Protective and Regulatory Services, public assistance, counseling and treatment services, children's services, and other appropriate family violence services. Special nonresidential project contractors must maintain and make readily accessible to staff and volunteers a current printed referral list including telephone numbers of existing community resources for each county where services are provided; and

(5)

understanding and support of victims including active listening, addressing the needs identified by the individual, problem solving, and recognition that the victim is responsible for his/her own life decisions and the batterer is responsible for the violent behavior.

(b)

Family violence special nonresidential project contractors must provide telephone access to family violence staff or volunteers during regular business hours.

(c)

If hotline services are offered and funded by DHS, family violence special nonresidential project contractors must have written procedures assuring that:

(1)

callers have access to a hotline 24 hours a day every day of the year. This service must be provided directly or may be provided through a formal written agreement with a DHS-approved entity.

(2)

special nonresidential project contractors have written procedures to assess the victim's safety.

(3)

if special nonresidential project contractors have an arrangement with a DHS-approved contract service, they have a written policy that addresses how the special nonresidential project will provide immediate access to 24-hour-a-day hotline crisis intervention.

(4)

the hotline is answered 24 hours a day, every day of the year, by an individual trained in crisis intervention or who has immediate access to someone who has had this training. Blocks must be provided on agency numbers for outgoing calls to clients.

(5)

the hotline number is listed in all local telephone books and widely distributed or available from local telephone information services within the special nonresidential project's service area.

(6)

special nonresidential project contractors have a minimum of two telephone lines.

(7)

special nonresidential project contractors do not use an answering machine to answer their hotline.

(8)

special nonresidential project contractors have written procedures ensuring that collect calls from victims of family violence are accepted, and that there are no blocks on anonymous incoming calls.

(9)

all hotline calls and any related documentation is kept confidential.

(10)

if the hotline is used to screen for eligibility for services, the screening process complies with all state and federal laws.

(11)

hearing-impaired victims of family violence have equal access to the crisis call hotline.

(12)

special nonresidential project contractors have written procedures to respond to non-English speaking persons.

(13)

if violent family members call the crisis call hotline, special nonresidential project contractors offer appropriate information and referral to battering intervention services.

(14)

special nonresidential project contractors utilizing caller ID or any other technology that establishes a record of calls on the crisis call hotline develop written policies and procedures which:

(A)

ensure there will not be a breach of confidentiality to third parties;

(B)

limit access to the records generated by these devices; and

(C)

ensure training to staff on all caller ID policies and procedures.

§54.1502.Initial Delivery of Direct Services.

Initial delivery of adult client direct services. Special nonresidential project contractors providing face-to-face direct services must have written procedures ensuring that each adult client is provided information to include but not be limited to:

(1)

explanation of services available;

(2)

termination policy;

(3)

client rights;

(4)

nondiscrimination statement;

(5)

grievance procedures;

(6)

safety and security procedures;

(7)

confidentiality and limits of confidentiality; and

(8)

waivers of liability (if applicable).

§54.1503.Voluntary and Involuntary Termination of Services.

(a)

Special nonresidential project contractors providing ongoing face-to-face direct services must have written procedures for:

(1)

voluntary and involuntary termination of services; and

(2)

appealing terminations.

(b)

Clients must be informed in writing of their right to appeal a termination of services. Notice to the client must be provided and a fair hearing conducted according to the Texas Department of Human Services (DHS) rules for fair hearings as specified in Chapter 79 of this title (relating to Legal Services).

(c)

Special nonresidential project contractors must have written policies outlining behaviors for which services can be terminated. Threatening or inappropriate behaviors must be non-gender specific and must apply equally to all nonresidents.

(d)

For clients for whom services were previously terminated and who are requesting services, nonresidential centers must have written procedures that take the victim's safety into consideration.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 7, 2000.

TRD-200005485

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: August 27, 2000

Proposal publication date: February 25, 2000

For further information, please call: (512) 438-3765


Part 12. TEXAS BOARD OF OCCUPATIONAL THERAPY EXAMINERS

Chapter 362. DEFINITIONS

40 TAC §362.1

The Texas Board of Occupational Therapy Examiners adopts amendments to §362.1, Definitions, without changes to the proposed text as published in the May 19, 2000, issue of the Texas Register (25 TexReg 4505), and will not be republished. The amendment will add definitions for terms which are used in the rules, but which are not defined.

The definition of Health Care Condition as synonymous with Medical Condition will clear up confusion in terms.

No comments were received regarding these amendments.

The rule is adopted under the Occupational Therapy Practice Act, Title 3, Subchapter H, Chapter 454, Occupations Code, which provides the Texas Board of Occupational Therapy Examiners with the authority to adopt rules consistent with this Act to carry out its duties in administering this Act.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 1, 2000.

TRD-200005356

John Maline

Executive Director

Texas Board of Occupational Therapy Examiners

Effective date: August 21, 2000

Proposal publication date: May 19, 2000

For further information, please call: (512) 305-3962


Chapter 367. CONTINUING EDUCATION

40 TAC §367.1

The Texas Board of Occupational Therapy Examiners adopts amendments to §367.1, Continuing Education, without changes to the proposed text as published in the May 19, 2000, issue of the Texas Register (25 TexReg 4507), and will not be republished. With this rule there will be greater administrative efficiency and a reduction in confusion in reference to the random audit process. This amendment sets a time frame for retention of proof of continuing education documentation, and explains the audit, and the documentation required for the audit.

No comments were received regarding these amendments.

The rule is adopted under the Occupational Therapy Practice Act, Title 3, Subchapter H, Chapter 454, Occupations Code, which provides the Texas Board of Occupational Therapy Examiners with the authority to adopt rules consistent with this Act to carry out its duties in administering this Act.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 1, 2000.

TRD-200005355

John Maline

Executive Director

Texas Board of Occupational Therapy Examiners

Effective date: August 21, 2000

Proposal publication date: May 19, 2000

For further information, please call: (512) 305-3962


Chapter 372. PROVISIONS OF SERVICES

40 TAC §372.1

The Texas Board of Occupational Therapy Examiners adopts amendments to §372.1, Provision of Services, without changes to the proposed text as published in the May 19, 2000, issue of the Texas Register (25 TexReg 4507), and will not be republished. The amendment will clarify wording to reflect Legislative changes to the Act.

This amendment reflects changes, which allows OTRs and LOTs to accept referrals from all qualified health care providers.

No comments were received regarding these amendments.

The rule is adopted under the Occupational Therapy Practice Act, Title 3, Subchapter H, Chapter 454, Occupations Code, which provides the Texas Board of Occupational Therapy Examiners with the authority to adopt rules consistent with this Act to carry out its duties in administering this Act.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 1, 2000.

TRD-200005354

John Maline

Executive Director

Texas Board of Occupational Therapy Examiners

Effective date: August 21, 2000

Proposal publication date: May 19, 2000

For further information, please call: (512) 305-3962


Part 20. TEXAS WORKFORCE COMMISSION

Chapter 800. GENERAL ADMINISTRATION

Subchapter K. CONTRACT NEGOTIATION, MEDIATION, AND OTHER ASSISTED NEGOTIATION OR MEDITATION PROCESSES

40 TAC §§800.451 - 800.456, 800.461 - 800.463, 800.471-800.473, 800.481, 800.482, 800.491, 800.492

The Texas Workforce Commission (Commission) adopts new Chapter 800, Subchapter K, §§800.451 - 800.456, 800.461 - 800.463, 800.471 - 800.473, 800.481, 800.482, 800.491, and 800.492 relating to Contract Negotiation, Mediation, and Other Assisted Negotiation and Mediation Processes. Section 800.452 is adopted with changes to the proposed text as published in the June 16, 2000, issue of the Texas Register (25 TexReg 5857). Sections 800.451, 800.453 - 800.456, 800.461 - 800.463, 800.471 - 800.473, 800.481, 800.482, 800.491 and 800.492 are adopted without changes and will not be republished.

Background and Purpose: House Bill 826, 76th Legislature, Regular Session (1999), as codified at Texas Government Code, Chapter 2260, and particularly §2260.052(c), requires that the Commission adopt rules to establish negotiation and mediation provisions relating to certain claims. Texas Government Code §2260.052(c) also directed the Office of the Attorney General (OAG) and the State Office of Administrative Hearings (SOAH) to provide model rules for negotiation and mediation that units of state government with rulemaking authority may voluntarily adopt or modify as they deem appropriate and that units of state government without rulemaking authority may use as a practice guide. The OAG proposed model rules on March 31, 2000, relating to procedures for the negotiation and mediation of certain breach of contract claims asserted by contractors against the State of Texas, and the adopted rules were published in the May 26, 2000, issue of the Texas Register (25 TexReg 4719). An interagency dispute resolution working group, co-sponsored by the OAG and the Center for Public Policy Dispute Resolution at the University of Texas at Austin School of Law and consisting of representatives of state agencies, legislative offices, institutions of higher education, and contractors and vendors who do business with the state, assisted the OAG and SOAH with the development of the model rules.

Staff of the Agency participated in the interagency dispute resolution working group. There are only a few modifications to the model rules that the Commission proposed and adopts.

No public comments were received during the comment period.

Two clerical corrections were made to §800.452(10). In the adopted rules contained in this publication, the term "Agency" refers to the daily operations of the Texas Workforce Commission under the direction of the executive director. The term "Commission" refers to the three-member body of governance composed of Governor-appointed members.

Specifically, the Commission adopts new Subchapter K, relating to Contract Negotiation, Mediation, and Other Assisted Negotiation and Mediation Processes.

The adopted rules describe an approach that builds upon existing and recommended provisions contained in contracts entered into by the Agency.

The new sections are adopted under Texas Labor Code §301.061 and §302.002, which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Commission services and activities.

§800.452.Definitions.

The following words and terms, when used in this chapter, shall have the following meaning, unless the context clearly indicates otherwise:

(1)

Claim--A demand for damages by the contractor based upon the Agency's alleged breach of the contract.

(2)

Contract--A written contract between the Agency and a contractor by the terms of which the contractor agrees either:

(A)

to provide goods or services, by sale or lease, to or for the Agency; or

(B)

to perform a project as defined by Texas Government Code, §2166.001.

(3)

Contractor--Independent contractor who has entered into a contract directly with the Agency. The term does not include:

(A)

The contractor's subcontractor, officer, employee, agent or other person furnishing goods or services to a contractor;

(B)

An employee of the Agency; or

(C)

A student at an institution of higher education.

(4)

Counterclaim--A demand by the Agency based upon the contractor's claim.

(5)

Event--An act or omission or a series of acts or omissions giving rise to a claim, including but not limited to the following:

(A)

for goods or services:

(i)

the failure of the Agency to timely pay for goods and services;

(ii)

the failure to pay the balance due and owing on the contract price, including orders for additional work, after deducting any amount owed the Agency for work not performed under the contract or in substantial compliance with the contract terms;

(iii)

the suspension, cancellation, or termination of the contract;

(iv)

final rejection of the goods or services tendered by the contractor, in whole or in part;

(v)

repudiation of the entire contract prior to or at the outset of performance by the contractor; or

(vi)

withholding liquidated damages from final payment to the contractor.

(B)

for a project:

(i)

the failure to timely pay the unpaid balance of the contract price following final acceptance of the project;

(ii)

the failure to make timely progress payments required by the contract;

(iii)

the failure to pay the balance due and owing on the contract price, including orders for additional work, after deducting any amount owed the Agency for work not performed under the contract or in substantial compliance with the contract terms;

(iv)

the failure to grant time extensions to which the contractor is entitled under the terms of the contract;

(v)

the failure to compensate the contractor for occurrences for which the contract provides a remedy;

(vi)

suspension, cancellation or termination of the contract;

(vii)

rejection by the Agency, in whole or in part, of the "work," as defined by the contract, tendered by the contractor;

(viii)

repudiation of the entire contract prior to or at the outset of performance by the contractor;

(ix)

withholding liquidated damages from final payment to the contractor; or

(x)

refusal, in whole or in part, of a written request made by the contractor in strict accordance with the contract to adjust the contract price, the contract time, or the scope of work.

(6)

Goods--Supplies, materials or equipment.

(7)

Mediation--A consensual process in which an impartial third party, the mediator, facilitates communication between the parties to promote reconciliation, settlement, or understanding among them.

(8)

Negotiation--A consensual bargaining process in which the parties attempt to resolve a claim and counterclaim.

(9)

Parties--The contractor and the Agency that have entered into a contract in connection with which a claim of breach of contract has been filed under this chapter.

(10)

Project--As defined in Texas Government Code §2166.001, a building construction project that is financed wholly or partly by a specific appropriation, bond issue or federal money, including the construction of:

(A)

a building, structure, or appurtenant facility or utility, including the acquisition and installation of original equipment and original furnishing; and

(B)

an addition to, or alteration, modification, rehabilitation, or repair of an existing building, structure, or appurtenant facility or utility.

(11)

Services--The furnishing of skilled or unskilled labor or consulting or professional work, or a combination thereof, excluding the labor of an employee of the Agency.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on August 3, 2000.

TRD-200005423

J. Ferris Duhon

Assistant General Counsel

Texas Workforce Commission

Effective date: August 23, 2000

Proposal publication date: June 16, 2000

For further information, please call: (512) 463-8812