TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 1. TEXAS DEPARTMENT OF HUMAN SERVICES

Chapter 19. NURSING FACILITY REQUIREMENTS FOR LICENSURE AND MEDICAID CERTIFICATION

The Texas Department of Human Services (DHS) proposes to amend §19.408, concerning grievances, and §19.1921, concerning general requirements for a nursing facility, in its Nursing Facility Requirements for Licensure and Medicaid Certification chapter. The purpose of the amendments is to implement House Bill 482 to ensure that family members and guardians are protected against retaliation for complaints or grievances against nursing facilities.

James R. Hine, Commissioner, has determined that for the first five-year period the sections are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the sections.

Mr. Hine also has determined that for each year of the first five years the sections are in effect, the public benefit anticipated as a result of adoption of the proposed sections will be to give family members and guardians the freedom to make legitimate complaints without fear of retaliation against them or a resident. There will be no adverse economic effect on small or micro businesses because the sections have no economic impact. There is no anticipated economic cost to persons who are required to comply with the proposed sections. There will be no anticipated effect on local employment in geographic areas affected by these sections.

Questions about the content of this proposal may be directed to Connie Pate at (512) 438- 3529 in DHS's Long Term Care Policy section. Written comments on the proposal may be submitted to Supervisor, Rules and Handbooks Unit-074, Texas Department of Human Services E-205, P.O. Box 149030, Austin, Texas 78714-9030, within 30 days of publication in the Texas Register .

Under §2007.003(b) of the Texas Government Code, the department has determined that Chapter 2007 of the Government Code does not apply to these rules. Accordingly, the department is not required to complete a takings impact assessment regarding these rules.

Subchapter E. RESIDENT RIGHTS

40 TAC §19.408

The amendment is proposed under the Health and Safety Code, Chapter 242, which authorizes DHS to license and regulate convalescent and nursing homes and related institutions.

The amendment implements the Health and Safety Code, §§242.001-242.268.

§19.408.Grievances.

(a) (No change.)

(b) A nursing facility may not retaliate or discriminate against a resident , a family member or guardian of the resident, or a volunteer because the resident, the resident's family member or guardian, a volunteer, or any other person:

(1)-(3) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 17, 2002.

TRD-200200234

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 438-3734


Subchapter T. ADMINISTRATION

40 TAC §19.1921

The amendment is proposed under the Health and Safety Code, Chapter 242, which authorizes DHS to license and regulate convalescent and nursing homes and related institutions.

The amendment implements the Health and Safety Code, §§242.001-242.268.

§19.1921.General Requirements for a Nursing Facility.

(a)-(d) (No change.)

(e) Each licensed facility must conspicuously and prominently post the information listed in paragraphs (1)-(11) of this subsection in an area of the facility that is readily [ and customarily ] available to residents, employees, and visitors [ the public ]. The posting must be in a manner that each item of information is directly visible at a single time. In the case of a licensed section that is part of a larger building or complex, the posting must be in the licensed section or public way leading to it [ thereto ]. Any exceptions must be approved by the Texas Department of Human Services (DHS). The following items must be posted:

(1)-(8) (No change.)

(9) a notice that employees, other staff, residents, volunteers, and family members and guardians of residents are protected from discrimination or retaliation as provided by the Health and Safety Code, §§242.133 and 242.1335; and that the facility has available for public inspection a copy of the Health and Safety Code, Chapter 242, Subchapter (E). [ in a form prescribed by DHS stating that: ]

[ (A) a person has a cause of action against a facility, or the owner or employee of the facility, that suspends or terminates the employment of the person or otherwise disciplines or discriminates against the person, for reporting the abuse or neglect of a facility resident to the person's supervisors, to DHS, or to a law enforcement agency, in accordance with the Health and Safety Code, Chapter 242; and]

[ (B) a person making a bad faith, malicious, or reckless report of abuse or neglect is subject to a criminal penalty, in accordance with the Health and Safety Code, Chapter 242; and]

[ (C) the facility has available for public inspection a copy of the Health and Safety Code, Chapter 242 (E), pertaining to abuse and neglect.]

(10)-(11) (No change.)

(f)-(m) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 17, 2002.

TRD-200200235

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 438-3734


Chapter 19. NURSING FACILITY REQUIREMENTS FOR LICENSURE AND MEDICAID CERTIFICATION

The Texas Department of Human Services (DHS) proposes new §19.805, concerning permanency planning for pediatric residents; and to amend §19.801, concerning resident assessment, §19.1911, concerning contents of the clinical record, and §19.1912, concerning additional clinical record service requirements, in its Nursing Facility Requirements for Licensure and Medicaid Certification chapter. The purpose of the amendments is to include permanency planning components in response to Senate Bill 368. Section 19.805 is added to specifically address nursing facility responsibilities regarding permanency planning.

James R. Hine, Commissioner, has determined that for the first five-year period the proposed sections will be in effect, there will be fiscal implications for state government as a result of enforcing or administering the sections.

The effect on state government for the first five-year period the sections will be in effect is an estimated additional cost of $150,000 in fiscal year (FY) 2002; $75,000 in FY 2003; $0 in FY 2004; $0 in FY 2005; and $0 in FY 2006.

Mr. Hine also has determined that for each year of the first five years the sections are in effect, the public benefit anticipated as a result of adoption of the proposed sections will be to aid in matching children in nursing facilities with community resources to achieve the goal of assisting families to keep their disabled children at home with community support. There will be a negligible effect on small or micro businesses as a result of enforcing or administering the sections because the only additional responsibilities for facilities will be additional telephone calls to the pediatric nurse specialist and the community resource coordination group in the county where the parent or guardian resides. This occurs only when a child is admitted to a facility. There is no anticipated economic cost to persons who are required to comply with the proposed sections. There will be no anticipated effect on local employment in geographic areas affected by these sections.

Questions about the content of this proposal may be directed to Connie Pate at (512) 438- 3529 in DHS's Long Term Care Policy section. Written comments on the proposal may be submitted to Supervisor, Rules and Handbooks Unit-074, Texas Department of Human Services E-205, P.O. Box 149030, Austin, Texas 78714-9030, within 30 days of publication in the Texas Register .

Under §2007.003(b) of the Texas Government Code, the department has determined that Chapter 2007 of the Government Code does not apply to these rules. Accordingly, the department is not required to complete a takings impact assessment regarding these rules.

Subchapter I. RESIDENT ASSESSMENT

40 TAC §19.801, §19.805

The amendment and new section are proposed under the Health and Safety Code, Chapter 242, which authorizes DHS to license and regulate convalescent and nursing homes and related institutions.

The amendment and new section implement the Health and Safety Code, §§242.001- 242.268.

§19.801.Resident Assessment.

The facility must conduct initially and periodically a comprehensive, accurate, standardized, reproducible assessment of each resident's functional capacity. In Medicaid-certified and dually certified nursing facilities, admission, annual, quarterly, and significant change assessments must be transmitted electronically to the Texas Department of Human Services (DHS).

(1)-(2) (No change.)

(3) Quarterly review assessment. A facility must assess a resident using the quarterly review instrument specified by DHS and approved by the Centers for Medicare & Medicaid Services (CMS) [ Health Care Financing Administration (HCFA) ] not less frequently than once every three months.

(4)-(5) (No change.)

(6) Automated data processing requirement for Medicaid-certified and dually certified facilities only.

(A) (No change.)

(B) Transmitting data. Within seven days after a facility completes a resident's assessment, a facility must be capable of transmitting to DHS information for each resident contained in the MDS in a format that conforms to standard record layouts and data dictionaries, and that passes standardized edits defined by CMS [ HCFA ] and DHS.

(C) (No change.)

(D) Data format. The facility must transmit data in the format specified by DHS and approved by CMS [ HCFA ].

(E) (No change.)

(7)-(11) (No change.)

(12) Pediatric resident assessment.

(A) Pediatric assessments should be performed by licensed facility staff experienced in the care and assessment of children. Parents or guardians should be included in the assessment process. The potential for community transition should be discussed with the parents or guardians whenever an assessment occurs.

(B)-(D) (No change.)

[ (E) The facility must coordinate educational opportunities for pediatric residents from birth to age three with the local office of Early Childhood Intervention (ECI).]

[ (F) The facility must coordinate educational opportunities for pediatric residents age three to 22 years with the local school district. See §19.1934 of this title (relating to Educational Requirements for Persons Under 22).]

[ (G) Not later than the third day after a child with a developmental disability is placed in a facility, the facility must notify:]

[ (i) the local community resource coordination group (CRCG); and]

[ (ii) the regional DHS office, which will notify the CRCG in the county of residence of the parent or guardian.]

(13) PASARR referrals for a client making a transition to a community-based setting. Each resident considered for transition to a community-based care setting must be identified to determine the presence of mental illness or mental retardation, regardless of whether the resident is receiving treatment or services for a mental illness or mental retardation. If the resident making the transition has ever been determined to meet the PASARR eligibility criteria, the facility must promptly notify the PASARR unit of DHS and the mental retardation authority in accordance with §19.2500(c) of this title (relating to Preadmission Screening and Resident Review (PASARR)) before the transition.

§19.805.Permanency Planning for Pediatric Residents.

(a) Definitions. The following words and terms, when used in this section, have the following meanings, unless the context clearly indicates otherwise.

(1) Permanency planning--a philosophy and planning process that focuses on the outcome of family support by facilitating a permanent living arrangement, with the primary feature of an enduring and nurturing parental relationship. Family-directed planning empowers the family of a child under the age of 18 to direct the development of supports and services that meet the child and family's personal outcomes as related to that child. Person-directed planning empowers the child who is between 18 and 22 years of age to direct the development of a plan of supports and services that meets the needs for self-determination.

(2) Child--a person with a developmental disability who is younger than 22 years of age; and

(3) Community resource coordination group (CRCG)--a coordination group established under the memorandum of understanding adopted under the Family Code, §264.003.

(b) Facility responsibilities regarding permanency planning.

(1) A Preadmission Screening and Resident Review (PASARR) must be requested on every child who is a potential admission to a nursing facility, as well as on all children currently residing in a nursing facility who have not had a previous PASARR completed. Documentation regarding the request for or completion of a PASARR must be kept in the chart.

(2) A facility must notify the following entities of the child's admission not later than the third day after a child is initially placed in a facility:

(A) the DHS pediatric nurse specialist via fax. Information must include the child's full name, date of birth, date of admission, Social Security number, Medicaid number (if available), the facility name and address, and the name, address, and telephone number of the child's parent or guardian;

(B) the CRCG in the county where the parent or guardian resides;

(C) the local office of Early Childhood Intervention (ECI) for children from birth to age three, with which the facility must coordinate educational opportunities; and

(D) the local school district for children from ages three to younger than 22 years of age, with which the facility must coordinate educational opportunities. See §19.1934 of this title (relating to Educational Requirements for Persons Under 22).

(3) The facility must notify the DHS pediatric nurse specialist within 14 days if there is a significant change of condition in a child residing in the facility.

(4) The facility must keep documentation regarding all the above notifications and a copy of the most current permanency plan documentation in a separate section in the front of each child's records.

(5) Each facility in which a child resides must:

(A) allow appropriate health and human services agencies and the individuals designated by DHS access to the child's records; and

(B) add the permanency planning goal to the care plan.

(6) The facility administrator must ensure that the social worker or other appropriate staff, as needed, will contribute to the development of the permanency plan.

(7) Subsection (b)(3) through (6) do not apply to short-stay care of less than 14 days; however, the facility must notify the DHS pediatric nurse specialist, the CRCG, and ECI or the local school district as required in (b)(2) subparagraphs (A) through (D).

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 17, 2002.

TRD-200200236

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 438-3734


Subchapter T. ADMINISTRATION

40 TAC §19.1911, §19.1912

The amendments are proposed under the Health and Safety Code, Chapter 242, which authorizes DHS to license and regulate convalescent and nursing homes and related institutions.

The amendments implement the Health and Safety Code, §§242.001-242.268.

§19.1911.Contents of the Clinical Record.

The clinical record of each resident must contain:

(1)-(2) (No change.)

(3) The comprehensive, interdisciplinary plan of care and services provided (see also §19.802 of this title (relating to Comprehensive Care Plans)) , and the permanency plan for pediatric residents younger than 22 years of age .

(4) The results of any Preadmission Screening and Resident Review [ preadmission screening and annual resident review ] conducted by the Texas Department of Human Services (DHS) or the Texas Department of Mental Health and Mental Retardation (TXMHMR).

(5)-(14) (No change.)

§19.1912.Additional Clinical Record Service Requirements.

(a)-(c) (No change.)

(d) Required record retention. Periodic thinning of active clinical records is permitted; however, the following items must remain in the active clinical record:

(1)-(7) (No change.)

(8) current lab and x-ray reports; [ and ]

(9) the admission record ; and [ . ]

(10) the current permanency plan.

(e) Readmissions.

(1) If a resident is discharged for 30 days or less and readmitted to the same facility, upon readmission, to update the clinical record, staff must:

(A)-(C) (No change.)

(D) obtain signed copies of the hospital or transferring facility history and physical and discharge summary. A transfer summary, containing this information is acceptable; [ and ]

(E) complete a new RAI and update the comprehensive care plan if evaluation of the resident indicates a significant change which appears to be permanent. If no such change has occurred, then update only the resident comprehensive care plan ; and [ . ]

(F) comply with §19.805 of this title (regarding Permanency Planning for Pediatric Residents).

(2) (No change.)

(f)-(h) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 17, 2002.

TRD-200200237

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 438-3734


Part 2. TEXAS REHABILITATION COMMISSION

Chapter 106. PURCHASE OF GOODS AND SERVICES BY TEXAS REHABILITATION COMMISSION

Subchapter K. HISTORICALLY UNDERUTILITZED BUSINESSES

40 TAC §106.355

The Texas Rehabilitation Commission (TRC) proposes a change to Title 40, Chapter 106, §106.355, concerning purchase of goods and services by TRC. The change is being proposed to update for the new name of the Texas Building and Procurement Commission.

Charles E. Harrison, Jr., Deputy Commissioner for Financial Services, has determined that for the first five-year period the section is in effect, there will be no material fiscal implications for state or local government.

Mr. Harrison also has determined that for each year of the first five years the section is in effect the public benefit anticipated as a result of enforcing the section will be the agency's compliance with Chapter 111, Human Resources Code. There will be no material effect on small businesses. There is no material anticipated economic cost to persons who are required to comply with the section as proposed. In accordance with Government Code, §2001.022, TRC has determined that the proposed rule will not affect a local economy.

Comments on the proposal may be submitted to Roger Darley, Assistant General Counsel, Texas Rehabilitation Commission, 4900 North Lamar Boulevard, Suite 7300, Austin, Texas 78751.

The amendment is proposed under the Texas Human Resources Code, Title 7, Chapter 111, §111.018 and §111.023, which provides the Texas Rehabilitation Commission with the authority to promulgate rules consistent with Title 7, Texas Human Resources Code.

No other statute, article, or code is affected by this proposal.

§106.355.Definitions.

In this subchapter, the following definitions apply.

(1) Economically Disadvantage Person--A person who is economically disadvantaged because of the person's identification as a member of a certain group, as defined in Texas Administrative Code, Title 1, Part 5, Chapter 111, Subchapter B, Rule 111.12, and who has suffered the effects of discriminatory practices or other similar insidious circumstances over which the person has no control.

(2) Good Faith Effort (GFE)--Evidence of certain criteria used by prime contractors to promote inclusion of HUBs in contracts over $100,000 or more as defined in TAC §111.13 and §111.14. When applied to agency GFE, the state auditor shall consider whether the agency; has adopted rules under §2161.003, Government Code; has used the Texas Building and Procurement Commission (TBPC) [ General Services Commission (GSC) ] directory and other resources to identify HUBs that are able to contract with the agency; made good faith, timely efforts to contact identified HUBs regarding contracting opportunities; and conducted its procurement program in accordance with the good faith methodology set out in TBPC [ GSC ] rules.

(3) Historically Underutilized Business (HUB)--A business entity that is a corporation, sole proprietorship, partnership, joint venture, etc. owned or operated by an economically disadvantaged person or persons as defined in Texas Administrative Code, Title 1, Part 5, Chapter 111, Subchapter B, Rule 111.12 with its principal place of business in Texas.

(4) HUB Subcontracting Plan (HSP)--a plan required to be submitted with bids, proposals, offers, or other applicable expressions of interest that determine or describe HUB subcontracting opportunities probable under the contract as defined in Texas Administrative Code, Title 1, Part 5, Chapter 111, Subchapter B, Rules 111.13 and 111.14.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on January 18, 2002.

TRD-200200270

Sylvia F. Hardman

Deputy Commissioner for Legal Services

Texas Rehabilitation Commission

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 424-4050


40 TAC §106.357

The Texas Rehabilitation Commission (TRC) proposes a change to Title 40, Chapter 106, §106.357, concerning purchase of goods and services by TRC. The change is being proposed to update for the new name of the Texas Building and Procurement Commission.

Charles E. Harrison, Jr., Deputy Commissioner for Financial Services, has determined that for the first five-year period the section is in effect, there will be no material fiscal implications for state or local government.

Mr. Harrison also has determined that for each year of the first five years the section is in effect the public benefit anticipated as a result of enforcing the section will be the agency's compliance with Chapter 111, Human Resources Code. There will be no material effect on small businesses. There is no material anticipated economic cost to persons who are required to comply with the section as proposed. In accordance with Government Code, §2001.022, TRC has determined that the proposed rule will not affect a local economy.

Comments on the proposal may be submitted to Roger Darley, Assistant General Counsel, Texas Rehabilitation Commission, 4900 North Lamar Boulevard, Suite 7300, Austin, Texas 78751.

The amendment is proposed under the Texas Human Resources Code, Title 7, Chapter 111, §111.018 and §111.023, which provides the Texas Rehabilitation Commission with the authority to promulgate rules consistent with Title 7, Texas Human Resources Code.

No other statute, article, or code is affected by this proposal.

§106.357.Adoption of Rules.

In accordance with Government Code §2161.003, TRC adopts the rules of the Texas Building and Procurement Commission [ General Services Commission ] at Title 1, Part 5, Chapter 111, Subchapter B, §§111.11 through 111.28, Texas Administrative Code (relating to the HUB Program), which rules were promulgated by the General Services Commission pursuant to Government Code, §2161.002.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on January 18, 2002.

TRD-200200271

Sylvia F. Hardman

Deputy Commissioner for Legal Services

Texas Rehabilitation Commission

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 424-4050


Chapter 117. SPECIAL RULES AND POLICIES

40 TAC §117.5

The Texas Rehabilitation Commission (TRC) proposes a change to Title 40, Chapter 117, §117.5, concerning purchase of goods and services by TRC. The change is being proposed to update for the new name of the Texas Building and Procurement Commission.

Charles E. Harrison, Jr., Deputy Commissioner for Financial Services, has determined that for the first five-year period the section is in effect, there will be no material fiscal implications for state or local government.

Mr. Harrison also has determined that for each year of the first five years the section is in effect the public benefit anticipated as a result of enforcing the section will be the agency's compliance with Chapter 111, Human Resources Code. There will be no material effect on small businesses. There is no material anticipated economic cost to persons who are required to comply with the section as proposed. In accordance with Government Code section 2001.022, TRC has determined that the proposed rule will not affect a local economy.

Comments on the proposal may be submitted to Roger Darley, Assistant General Counsel, Texas Rehabilitation Commission, 4900 North Lamar Boulevard, Suite 7300, Austin, Texas 78751.

The amendment is proposed under the Texas Human Resources Code, Title 7, Chapter 111, §111.018 and §111.023, which provides the Texas Rehabilitation Commission with the authority to promulgate rules consistent with Title 7, Texas Human Resources Code.

No other statute, article, or code is affected by this proposal.

§117.5.Charge for Copies of Public Records.

Except as otherwise specified, the Texas Rehabilitation Commission adopts by reference the definitions, methods, procedures and charges for public records established by the Texas Building and Procurement Commission [ General Services Commission ] as set forth in 1 TAC §§111.61-111.70.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on January 18, 2002.

TRD-200200272

Sylvia F. Hardman

Deputy Commissioner for Legal Services

Texas Rehabilitation Commission

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 424-4050


Part 20. TEXAS WORKFORCE COMMISSION

Chapter 841. WORKFORCE INVESTMENT ACT

Subchapter C. ELIGIBLE TRAINING PROVIDER CERTIFICATION SYSTEM

40 TAC §841.39, §841.45

The Texas Workforce Commission (Commission) proposes amendments to §841.39 and §841.45 regarding the Eligible Training Provider Certification System (ETPS) required under the Workforce Investment Act of 1998.

A key goal of the federal Workforce Investment Act (WIA) of 1998 (42 U.S.C.A. Section 2801 et seq.) is to improve the effectiveness and efficiency of federally-funded job training programs. WIA recognized Texas state statutes regarding the workforce development system as prior consistent state law. Specifically, the state statutes are grandfathered under the provisions of WIA and are codified primarily in Texas Government Code Chapter 2308 and Texas Labor Code Chapter 302. These state laws create the foundation upon which workforce reform in Texas regarding employment and training service delivery was built. The ETPS is an important component of the workforce reform and employment and training services in Texas.

The Commission has continued to work closely with representatives of the training provider community, Boards and partner agencies to provide formal and informal opportunities to improve the ETPS. The Commission oversees the operational aspects of the Texas workforce development system to ensure compliance with the WIA while providing options for the Boards and the training provider community. The Commission continues to seek options for streamlining processes, including those for the certification process and for performance reporting by eligible training providers. A key objective is to maximize participant access to education and training options, while minimizing providers' reporting burdens.

The purpose of Subchapter C is to address the ETPS as required under WIA. Changes are proposed for the purposes of streamlining the Initial Eligibility Application for non-exempt providers and to allow Boards discretion in the annual adoption of their local performance requirements for initial and subsequent eligibility determination.

Section 841.39 addresses the initial eligibility application for non-exempt providers. Changes are proposed to subsection (c) to decrease the number of required application items in an effort to further streamline the application submission and review process.

Section 841.45 addresses the annual adoption of standards of performance. Changes are proposed to allow Boards discretion in the annual adoption of their local performance requirements for initial and subsequent eligibility determination.

The Commission will solicit comments via the ETPS Advisory Committee regarding modifications to the automated ETPS necessitated by any adopted amendments.

Randy Townsend, Chief Financial Officer, has determined that for each year of the first five years the rule will be in effect, the following statements will apply:

There are no additional estimated costs to the state and to local governments expected as a result of enforcing or administering the rule;

There are no estimated reductions in costs to the state and to local governments as a result of enforcing or administering the rule;

There are no estimated losses or increases in revenue to the state or to local governments as a result of enforcing or administering the rule;

There are no foreseeable implications relating to costs or revenue of the state or local governments as a result of enforcing or administering the rule; and

There are no anticipated economic costs to persons required to comply with the rule.

Mr. Townsend, Chief Financial Officer, has determined that there is no anticipated adverse impact on small businesses as a result of enforcing or administering these rules because any regulatory burdens or impact on small businesses (including micro-businesses) as well as foreseeable adverse economic effects or costs, if any, would be a result of federal statute and regulations, which are the basis for these proposed rules. In addition, as far as can be determined, small businesses (including micro-businesses) are not required to do anything as a result of these rules that is not required to receive WIA funding for provision of training services. In the event that a Board, Board's contractor, or a subrecipient of the Agency is required to expend funds as a result of applying for the training provider certification, the expense may in part or whole be covered by the federal funds for WIA. The expenses may be more for larger entities and less for smaller entities. The expenses for any entity will be proportionate to the amount of training activities provided and for which certification is sought.

James Barnes, Director of Labor Market Information, has determined that there is no significant negative impact upon employment conditions in this state as a result of the proposed rule.

Luis Macias, Acting Director of Workforce and Development, has determined that for each year of the first five years the rule is in effect, the public benefit anticipated as a result of enforcing the rule will be to reduce the requirements upon eligible training providers for initial and subsequent certification.

Comments on the proposal may be submitted to John Moore, Texas Workforce Commission Building, 101 East 15th Street, Room 608, Austin, Texas 78778, (512) 463-3041. Comments may also be submitted via fax to (512) 463-1426 or e-mailed to: John.Moore@twc.state.tx.us. Comments must be received by the Agency within thirty days from the date of the publication in the Texas Register .

The amendments are proposed 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 Agency services and activities.

The rules impact Texas Labor Code Chapters 301 and 302.

§841.39.Initial Certification Process for Non-Exempt Providers.

(a) - (b) (No change.)

(c) All training provider applicants under this section shall provide the following information to the LWDB:

(1) the name, mailing address and physical address of the training facility;

[ (2) documentation of financial stability of the applicant, which may include audits or financial statements, unless the applicant is one of the following entities that are subject to regulatory or audit provisions of Texas or another state regarding financial stability: a public university, college, community or technical college;]

(2) [ (3) ] the name of the program(s) of training services submitted for WIA funding;

(3) [ (4) ] the total hours of instruction associated with each program of training services;

(4) [ (5) ] the cost of each program of training services, including tuition, fees, books, and any required tools, uniforms, equipment, or supplies;

(5) [ (6) ] a description of the skill set which will be acquired through each program of training services;

(6) [ (7) ] a list of occupations determined by using a coding system specified by the Commission, in which these skill sets are of primary interest;

(7) [ (8) ] if all of the occupations described in paragraph (6) [ (7) ] of this subsection are not on the Occupations in Demand List provided by the LWDB, evidence from employers, in a format and meeting specification set by the LWDB, that demonstrates that the occupation is in demand;

[ (9) description of the class size, instructor/student ratio;]

(8) [ (10) ] information on whether the students in the course are eligible for Title IV of the Higher Education Act funding (Pell grant);

(9) [ (11) ] an outline of the course or program curriculum, including criteria for successful completion; and

[ (12) the qualifications of the training instructors;]

[ (13) a description of any minimum entry level requirement (e.g. reading or math level, previous education requirements such as high school diploma or GED);]

[ (14) description of equipment utilized in the course and equipment/student ratio; and]

(10) [ (15) ] any additional information that is required by the LWDB in the LWDA in which the training provider is located.

(d) - (f) (No change.)

§841.45.Standards of Performance.

(a) (No change.)

(b) Each LWDB shall adopt local performance standards after [ within 30 calendar days of ] the Commission's annual publication of state performance standards. LWDB standards shall meet or exceed the standards adopted by the Commission.

(c) (No change.)

(d) Each LWDB shall notify the Commission upon adoption of local performance standards. Until such notification occurs, the LWDB's local performance standards shall be considered by the Commission to be consistent with state performance standards for the determination of initial or subsequent eligibility.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 15, 2002.

TRD-200200186

John Moore

Assistant General Counsel

Texas Workforce Commission

Earliest possible date of adoption: March 3, 2002

For further information, please call: (512) 463-2573