TITLE 16.ECONOMIC REGULATION

Part 2. PUBLIC UTILITY COMMISSION OF TEXAS

Chapter 26. SUBSTANTIVE RULES APPLICABLE TO TELECOMMUNICATIONS SERVICE PROVIDERS

Subchapter P. TEXAS UNIVERSAL SERVICE FUND

16 TAC §26.420

The Public Utility Commission of Texas (commission) proposes an amendment to §26.420(f), relating to Assessments for the TUSF. The proposed amended rule will revise the existing rule to reflect the current assessment methodology adopted by the commission in Docket Number 21208 (see Docket Number 21208, Order Regarding TUSF Assessment of Intrastate Telecommunications Services Receipts, July 29, 2004). The Order in Docket Number 21208 was adopted in response to the decision of the United States Court of Appeals for the Fifth Circuit in AT&T Corp. v. Public Utility Commission of Texas , 373 F. 3d 641 (5th Cir. 2004) ( AT&T Decision ). Project Number 28708 is assigned to this proceeding.

Rosemary McMahill, Sr. Policy Analyst, Communications Industry Oversight Division, and Jim Tourtelott, Staff Attorney, Telecommunications Legal Section, have determined that, for each year of the first five-year period the proposed section is in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the section.

Ms. McMahill and Mr. Tourtelott have determined that, for each year of the first five years the proposed section is in effect, the public benefit anticipated as a result of enforcing this section will be the ability of the commission to ensure that providers are complying with the TUSF assessment mechanism and the AT&T Decision . There will be no adverse economic effect on small businesses or micro-businesses as a result of enforcing this section. There is some anticipated economic cost to persons who are required to comply with the section as proposed, but the public benefit of ensuring that providers are complying with the TUSF assessment mechanism should outweigh those costs.

Ms. McMahill and Mr. Tourtelott have also determined that for each year of the first five years the proposed section is in effect there should be no effect on a local economy, and therefore no local employment impact statement is required under Administrative Procedure Act (APA), Texas Government Code §2001.022.

Comments on the proposed section may be submitted to the Filing Clerk, Public Utility Commission of Texas, 1701 North Congress Avenue, P.O. Box 13326, Austin, Texas 78711-3326, within 30 days after publication. Sixteen copies of comments to the proposed amendment are required to be filed pursuant to §22.71(c) of this title. Reply comments may be submitted within 45 days after publication. Comments should be organized in a manner consistent with the organization of the proposed rule. All comments should refer to Project Number 28708.

This amended section is proposed under the Public Utility Regulatory Act, Texas Utilities Code Annotated §14.002 (Vernon 1998, Supplement 2005) (PURA), which provides the Public Utility Commission with the authority to make and enforce rules reasonably required in the exercise of its powers and jurisdiction; and specifically, PURA §56.023, which requires the commission to adopt procedures to fund the TUSF.

Cross Reference to Statutes: Public Utility Regulatory Act §14.002, and §56.023.

§26.420.Administration of Texas Universal Service Fund (TUSF).

(a) - (e) (No change.)

(f) Assessments for the TUSF.

(1) Providers subject to assessments. The TUSF assessments shall be payable by all telecommunications providers having access to the customer base; including but not limited to wireline and wireless providers of telecommunications services.

(2) Definitions. For the purposes of this section the following definitions apply:

(A) Actual intrastate telecommunications services receipts--Telecommunications services receipts that are clearly identifiable as intrastate telecommunications services receipts, as defined in subparagraph (E) of this paragraph.

(B) FCC--means the Federal Communications Commission.

(C) Interstate communications--Has the meaning assigned by 47 U.S.C. §153(22).

(D) International communications--Has the meaning assigned by 47 U.S.C. §153(17) (foreign communications).

(E) Intrastate telecommunications services receipts--Taxable telecommunications services receipts as reported by the telecommunications provider under Chapter 151 of the Texas Tax Code, with the exception of:

(i) Pay telephone service revenues received by providers of pay telephone services, which are exempt from the TUSF assessment pursuant to PURA §56.022(c)(2);

(ii) Telecommunications services receipts from interstate communications and international communications included in telecommunications services receipts reported under Chapter 151 of the Texas Tax Code; and

(iii) TUSF surcharges collected from customers.

(F) Receipts--Has the meaning assigned by Texas Tax Code §151.007.

(G) Safe-Harbor intrastate telecommunications services receipts--Means intrastate telecommunications receipts calculated by applying a commission-ordered percentage to telecommunications services receipts that are not clearly identifiable as intrastate.

(H) Telecommunications provider--Has the meaning assigned by PURA §51.002(10).

(I) Telecommunications services--Has the meaning assigned by Texas Tax Code §151.0103.

(3) [ (2) ] Basis for assessments. Assessments will be based upon the following:

(A) Actuals. Effective January 1, 2007, assessments [ Assessments ] shall be made to each telecommunications provider based upon its monthly taxable actual intrastate [ taxable ] telecommunications services receipts reported by that telecommunications provider under Chapter 151 of the Texas Tax Code.

(B) Commission-Ordered Safe Harbor. A telecommunications provider that is unable to calculate actual intrastate telecommunications services receipts by January 1, 2007, and does not meet the de minimus exemption in subparagraph (C) of this paragraph, may request, and the commission may grant for good cause, the modification or waiver of the requirement set forth in subparagraph (A) of this paragraph, to allow the telecommunications provider to calculate all or some of its intrastate taxable telecommunications receipts using the relevant commission-ordered safe-harbor percentage. Requests for waiver will be subject to administrative review unless the presiding officer determines at any point during the review that the request should be docketed. The presiding officer will issue an order approving, denying or docketing the request for waiver within 180 calendar days of the filing date of the waiver request.

(i) A request for waiver must contain, at a minimum:

(I) an affidavit from a corporate officer of the telecommunications provider attesting to the fact that the telecommunications provider is unable to calculate all or some of its actual intrastate telecommunications services receipts and, if applicable, that the telecommunications provider is using a safe harbor authorized by the FCC;

(II) a date by which the telecommunications provider will be able to calculate actual intrastate telecommunications services receipts;

(III) an explanation detailing why the telecommunications provider is unable to calculate actual intrastate telecommunications services receipts and why a waiver is necessary;

(IV) a detailed description of the safe-harbor percentage that is requested and how it will be applied;

(V) if applicable, a compliance tariff filing pursuant to paragraph (6)(C) of this subsection; and

(VI) any other information that the telecommunications provider believes will aid in rendering of a decision.

(ii) If a telecommunications provider requests a permanent waiver from reporting its TUSF assessment based on actual intrastate telecommunications services receipts, then the telecommunications provider must file a waiver containing all elements in clause (i) of this subparagraph, as well as an explanation detailing why a permanent waiver is required, and why it is in the public interest.

(iii) A telecommunications provider that has been granted a waiver shall apply, for the duration of that waiver, a safe-harbor percentage to its telecommunications services receipts using one of the methods described in subclauses (I) or (II) of this clause as follows:

(I) If a telecommunications provider is reporting interstate communications and international communications revenues for assessment for the federal universal service fund based on an FCC safe-harbor percentage, then the telecommunications provider shall apply the inverse of that percentage to its telecommunications services receipts as reported under Chapter 151 of the Texas Tax Code. The resulting total will be the telecommunications provider's safe-harbor-calculated total intrastate telecommunications services receipts to which the TUSF assessment rate shall apply pursuant to paragraph (4) of this subsection.

(II) If a telecommunications provider is not using an FCC safe-harbor percentage, the telecommunications provider shall apply a commission-ordered safe harbor percentage to its telecommunications services receipts under Chapter 151 of the Texas Tax Code as described in its waiver request approved by the commission. The resulting total will be the telecommunications provider's safe-harbor-calculated intrastate telecommunications services receipts to which the TUSF assessment rate shall apply pursuant to paragraph (4) of this subsection.

(iv) If a telecommunications provider that has been granted a waiver seeks to change its safe-harbor assessment methodology, or seeks an extension of its existing waiver, it must file another waiver request with the commission.

(v) A telecommunications provider may, at any time during the duration of its waiver and upon notice to the commission and the TUSF administrator, change its methodology to assess actual intrastate telecommunications services receipts. This will terminate any existing waiver.

[(B) Pay telephone service revenues received by providers of pay telephone services are exempt from the TUSF assessment pursuant to the Public Utility Regulatory Act §56.022(c)(2).]

(C) De minimus exemption. A telecommunications provider that is unable to calculate actual intrastate telecommunications services receipts by January 1, 2007, and whose TUSF assessment is less than $500 per month using the relevant commission-ordered safe-harbor percentage, is not required to file a waiver request pursuant to subparagraph (B) of this paragraph.

(D) [ (C) ] Intrastate telecommunications services receipts [ Revenue ] received by telecommunications providers from telecommunications services supplied to pay telephone providers for the provision of pay telephone services are [ is ] subject to TUSF assessment.

(4) [ (3) ] Assessment. Each telecommunications provider shall pay its TUSF assessment each month [ as calculated using the following procedures. ]

[ (A) Calculation of assessment rate. The TUSF administrator shall determine an assessment rate to be applied to all telecommunications providers on a periodic basis approved by the commission. ]

[ (B) ] [ Calculation of assessment amount. Payments to the TUSF shall be computed ] by multiplying the commission-approved assessment rate [ determined pursuant to subparagraph (A) of this paragraph ] by the basis for assessments as determined pursuant to paragraph (3) [ (2) ] of this subsection.

(5) [ (4) ] Reporting requirements. Each telecommunications provider shall [ be required to ] report its taxable intrastate telecommunications services receipts under Chapter 151 of the Tax Code to [ as required by ] the commission or the TUSF administrator. When reporting its intrastate telecommunications services receipts, each telecommunications provider shall report its total taxable telecommunications services receipts under Chapter 151 of the Tax Code, and indicate which methodology or methodologies (i.e. , actual and/or commission-ordered safe-harbor percentage) it used to arrive at its total intrastate telecommunications services receipts.

(6) [ (5) ] Recovery of assessments. A telecommunications provider may recover the amount of its TUSF assessment based on its intrastate telecommunications services receipts [ only ] from its retail customers who are subject to tax under Chapter 151 of the Texas Tax Code, except for Lifeline and/or [ , and ] Link Up services. For purposes of the recovery of the TUSF assessment, pay telephone providers are considered retail customers subject to Chapter 151 of the Texas Tax Code. The commission may order modifications in a telecommunications provider's method of recovery.

(A) Retail customers' bills. In the event a telecommunications provider chooses to recover its TUSF assessment through a surcharge added to its retail customers' bills : [ ; ]

(i) the surcharge must be listed on the retail customers' bills as "Texas Universal Service"; and

(ii) the surcharge must be assessed as a percentage of intrastate telecommunications services receipts on every retail customers' bill, except Lifeline and/or [ and ] Link Up services.

(B) Commission approval of surcharge mechanism. An ILEC choosing to recover the TUSF assessment through a surcharge on its retail customers' bills must file for commission approval of the surcharge mechanism.

(C) Tariff and/or price sheet changes. A certificated telecommunications utility [ provider ] choosing to recover the TUSF assessment through a surcharge on its retail customers' bills shall file the appropriate changes as necessary to its tariff and/or price sheet and provide supporting documentation for the method of recovery.

(D) Recovery period. A single universal service fund surcharge shall not recover more than one month of assessments.

(7) [ (6) ] Disputing assessments. Any telecommunications provider may dispute the amount of its TUSF assessment. The telecommunications provider should endeavor to first resolve the dispute with the TUSF administrator. If the telecommunications provider and the TUSF administrator are unable to satisfactorily resolve their dispute, either party may petition the commission to resolve the dispute. Pending final resolution of disputed TUSF assessment rates and/or amounts, the disputing telecommunications provider shall remit all undisputed amounts to the TUSF administrator by the due date.

(g) - (j) (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 March 30, 2006.

TRD-200601922

Adriana A. Gonzales

Rules Coordinator

Public Utility Commission of Texas

Earliest possible date of adoption: May 14, 2006

For further information, please call: (512) 936-7223


Part 4. TEXAS DEPARTMENT OF LICENSING AND REGULATION

Chapter 82. BARBERS

The Texas Department of Licensing and Regulation ("Department") proposes amendments to existing rules at 16 Texas Administrative Code, §§82.10, 82.20, 82.21, 82.26, 82.50, 82.51, 82.53, 82.70, 82.71, 82.72, 82.73, 82.80, 82.100, 82.101, 82.102, 82.104, 82.106, 82.107, 82.108, 82.114, and 82.120, regarding the barber program. The Department also proposes a new rule at 16 Texas Administrative Code, §82.74 and the repeal of a rule at 16 Texas Administrative Code, §82.32 regarding the barber program.

These proposed new, amended, and repealed rules are necessary to implement provisions of Senate Bill 411, 79th Legislature, Regular Session. Senate Bill 411 abolished the Texas State Board of Barber Examiners and transferred the licensing and regulation of barbering to the Department. These proposed rules are part of a third phase of rulemaking to implement the transfer of the barber program to the Department. The first and second phases of Department rules concerning the barber program became effective on December 8, 2005 and March 1, 2006, respectively. This phase of proposed rule changes reorganizes provisions for greater clarity and readability, simplifies definitions, and updates rule requirements, particularly reporting requirements for barber schools and curriculum requirements for obtaining barber licenses.

The headings of §§82.20, 82.26, 82.70, and 82.71 are amended for greater consistency.

Section 82.10 is amended to update definitions for better clarity and to conform to current law. In the definition of "beard" the phrase has been deleted that a beard shall only be trimmed, shaped or cut by a licensed barber. One reason for this change is that this part of the definition is no longer consistent with the definition of "cosmetology" in Texas Occupations Code, §1602.002, which allows a licensed cosmetologist to treat a person's beard or mustache by arranging, beautifying, coloring, processing, styling, or trimming. However, a cosmetologist may not shave a beard or mustache. Another reason for the change is that a definition is not the appropriate place to state a substantive prohibition on conduct.

Section 82.10 is also amended to add the word "horizontal" to the definition of "line of demarcation between 'the hair' and 'the beard'" for clarity. The definition of "sideburn" is reworded for clarity. In addition, the sentence stating that only a licensed barber shall trim, shape or cut the sideburns with any type of razor is deleted. This portion of the definition appears to be inconsistent with the statutory definition of "cosmetology," which allows a licensed cosmetologist to trim, shape or cut hair and mustaches or beards. The statutory definitions of "cosmetology" and "barbering" already prescribe that only a barber, and not a cosmetologist, may for compensation shave a person's beard or mustache.

Section 82.21(b) is amended to delete the word "teacher" because this provision does not in fact apply to a barber teacher. The teacher curriculum is only 1,000 hours, so a teacher cannot take advantage of the early examination provision. Subsection (f) is amended to add that the Department may require parental approval for practical examination models under 18 years of age. This provision is necessary because the minimum age of a model was lowered to 16 in a previous rulemaking. The Department needs the ability to ensure that a minor has parental consent to participate in a Department examination as a model. Subsection (i) is amended to simplify the language of that subsection and delete unnecessary words.

Section 82.32 is repealed because the substance of that section is being incorporated into new §82.74.

Section 82.50(b) is amended to clarify that, with the exception of initial inspections, the Department may conduct inspections of barber establishments without advance notice.

Section 82.51 is amended to clarify that the inspections referred to are "initial" inspections that occur before operation of an establishment, when an establishment relocates, or when a school changes ownership.

A grammatical change is made to §82.53(a).

Section 82.70(a) is amended to add barbershop and manicurist specialty shop to the list of licensees that may advertise in the yellow pages under "Barber." In addition, the text of subsection (b) is deleted. No one is required to take a barber refresher course, and the Department believes that it is unnecessary to prohibit a barber who is enrolled in a refresher course from being employed by or serving as the manager or instructor of a school. The remaining subsections are re-lettered.

New language is added to §82.71(g) to require, for the use of individuals who work in the shop, that a shop provide at least one sink, wash basin, or hand sanitizer for every three chairs. This requirement is similar to language that was in the rules prior to changes in sanitation provisions effective March 1, 2006. Licensees are required to wash their hands or use a liquid hand sanitizer in between each client, and the Department believes that it is necessary also to require shops to have adequate facilities for doing so. The new language of subsection (h) is identical to provisions in §§82.70 and 82.72, specifying who may advertise in the yellow pages under "Barber." The new language of subsection (k) requires an establishment to display, in a conspicuous place clearly visible to the public, a copy of the establishment's most recent Department inspection report. This requirement is necessary to keep public patrons of the establishment informed of the establishment's inspection results. Other changes to the section are minor wording changes for consistency.

Section 82.72 is amended to delete the optional student kit equipment from subsection (h). The Department believes it is unnecessary to list optional equipment in the rule, only equipment that is required. Deletion of this language should not have an effect on current school practices. In subsection (m) minor technical revisions are made, the obsolete word "photostatic" is deleted, and the requirement is deleted to submit two photographs of the student with a student permit application. The photographs are not needed with the application because the Department requires a government-issued photo identification for an examinee to gain entrance to an examination, and the proposed amendment in subsection (n) would require a school to affix the student's photograph to the student permit. New language in Subsection (n) is relocated from §82.73, with the modification regarding the school affixing the student's photograph to the permit. Subsection (o) is new language that requires a barber school to maintain an album of student permits, rather than the student displaying the permit at the student's station. Subsection (r) is amended to conform to provisions in §§82.70 and 82.71 concerning licensee advertising in the yellow pages under "Barber." Non-substantive revisions are made to subsections (w) and (x) for consistency in terminology.

New subsection (y) of §82.72 requires a school to submit an electronic record of each student's accrued hours to the Department no less than once per 15 days. However, a school may seek the Department's approval for a delay in electronic submission on a case-by-case basis. In addition, the Department may approve a school submitting required data in an alternate manner if the school demonstrates that the electronic reporting requirements would cause a substantial hardship to the school. Because of a statutory change, schools no longer submit written, monthly progress reports on student attendance to the Department. The electronic reporting requirement is necessary so that the Department can obtain information on students' accrued hours in a timely and efficient manner. New subsection (z) requires that a school maintain the monthly progress report of student attendance, which is required to be maintained by Texas Occupations Code, §1601.561(a), throughout the student's enrollment and for 48 months after the student completes the curriculum, withdraws, or is terminated. New subsection (aa) requires an establishment to display, in a conspicuous place clearly visible to the public, a copy of the establishment's most recent Department inspection report. This requirement is necessary to keep public patrons and students of the establishment informed of the establishment's inspection results.

Section 82.73 is amended to add new language to subsection (a) that a student shall not engage in dishonesty or misrepresentation relating to a student's accrued hours. As licensees of the Department, students should be held responsible for dishonesty related to accruing hours. Other provisions are deleted and with some modification, relocated to other sections.

For better readability, new §82.74 consolidates, with some modification, existing rule provisions concerning withdrawal, reentry, or transfer of students. Subsection (a) requires that a school electronically submit a student's withdrawal or termination to the Department. The current rule does not require this information to be submitted electronically. The time frame for the school submitting this information would be 15 days after the withdrawal or termination of the student, as opposed to the current seven days.

Section 82.80(b) is amended to eliminate the renewal fee for a student permit. A student permit expires after two years, so a student who requires a permit for longer than two years would need to apply for and receive a renewed permit. However, no fee would be charged for the renewal.

Section 82.100 is amended to remove from definitions the word "hard" from the phrase "hard, nonporous surfaces." This change is necessary for clarification because some surfaces that are non-porous and can be disinfected are not hard surfaces. Additionally, the definition of "disinfectant" is amended to make the reference to chlorine bleach solution consistent with other references to chlorine bleach.

Section 82.101(b) is amended to remove language that may be inconsistent with other references to chlorine bleach.

Section 82.102(c) is amended to clarify that other rules may require that chairs or dryers be disinfected prior to use for each client. This clarification is necessary because proposed amendments to other health and safety rules would require chairs to be disinfected in certain situations. Subsection (l) is amended to add that towels must be washed in hot water and chlorine bleach. To protect the health and safety of customers of barber establishments, the Department believes that the rules need to give direction to licensees on how towels are to be cleaned.

Section 82.104 is amended to add that facial chairs and beds are to be disinfected prior to providing service to each client. Based on input the Department has received concerning sanitation, the Department believes that a requirement to disinfect facial chairs and beds is needed. Language is also added that the chair or bed must be made of or covered in a non-porous material that can be disinfected. This language is necessary to ensure that the chair or bed is capable of being disinfected.

Section 82.106(d) is amended to clarify that certain implements must be sterilized, in addition to being cleaned and disinfected, in accordance with Texas Occupations Code, §§1601.506(e) and 1603.352(a). Corrections are made to the list of implements.

Section 82.107 is amended to add that electric drill bits used in manicure and pedicure services must be sterilized. Texas Occupations Code, §§1601.506(e) and 1603.352(a) require sterilization of all nondisposable instruments used to perform manicure and pedicure services.

Section 82.108 is amended to add a new subsection (g), which requires that footspa chairs shall be cleaned and disinfected prior to providing service to each client. The Department believes that this requirement is necessary because of the risk of infectious and contagious diseases being transmitted by footspas. Language is also added that the chair must be made of or covered in a non-porous material that can be disinfected. This language is necessary to ensure that the chair is capable of being disinfected.

Section 82.114(b) is amended to clarify that carpet in barber establishments is not limited to reception areas. Carpet is permitted in all areas except the specified areas in which floors are required not to be porous or absorbent.

Section 82.120 is amended to update curriculum requirements. Specific time requirements for full-time and part-time student teachers are deleted as unnecessary. The Department believes that the requirement to complete the course of instruction in not less than 26 weeks is sufficient. Wording throughout the rule is simplified and made more consistent. Hours of credit for school orientation is deleted and added to other, more substantive, topics. The curriculum for a class A barber certificate is amended to require eight hours of manicuring, rather than allowing manicuring to be an optional part of the curriculum. This change is necessary because, under Texas Occupations Code, Chapter 1601, a class A barber may perform any act of barbering, including manicuring. Subsection (j) states that the changes to §82.120 take effect September 1, 2006.

William H. Kuntz, Jr., Executive Director, has determined that for the first five-year period the proposed rules are in effect there will be no cost to state government and no cost to local government as a result of enforcing or administering the proposed rules. Although there will be a cost to the Department to develop electronic school reporting, the Department anticipates that the cost will be absorbed by current personnel and computer resources, especially in anticipation of future saved personnel costs. Additionally, although there may be some minimal loss of revenue to the Department because of the elimination of the student permit renewal fee, the Department anticipates a small volume of students who will study a barbering curriculum in excess of the two-year student permit term.

Mr. Kuntz also has determined that for each year of the first five-year period the proposed rules are in effect, the public benefit will be effective health and safety rules, efficient Department operations with electronic reporting, and rules that are easier to read and understand.

Mr. Kuntz has determined that there will be some economic cost to school permit holders, including small or micro-business, as a result of complying with the proposed electronic reporting rules. The Department anticipates that this cost will not be significant. Permit holders required to comply with electronic reporting may report by an alternate method approved by the Department if compliance with the proposed rules causes a substantial hardship.

Comments on the proposal may be submitted to Tamala Fletcher, Legal Assistant, Texas Department of Licensing and Regulation, P.O. Box 12157, Austin, Texas 78711, or facsimile (512) 475-3032, or electronically: tamala.fletcher@license.state.tx.us. The deadline for comments is 30 days after publication in the Texas Register .

16 TAC §§82.10, 82.20, 82.21, 82.26, 82.50, 82.51, 82.53, 82.70 - 82.74, 82.80, 82.100 - 82.102, 82.104, 82.106 - 82.108, 82.114, 82.120

The amendments and new rules are proposed under Texas Occupations Code, Chapters 51, 1601 and 1603 which authorizes the Department to adopt rules as necessary to implement these chapters. In particular, the rules implement provisions of Senate Bill 411, 79th Legislature, Regular Session.

The statutory provisions affected by the proposal are those set forth in Texas Occupations Code, Chapters 51, 1601 and 1603. No other statutes, articles, or codes are affected by the proposal.

§82.10.Definitions.

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

(1) - (4) (No change.)

(5) Beard--The beard extends from below the line of demarcation and includes all facial hair regardless of texture [ and shall only be trimmed, shaped or cut by a licensed barber ].

(6) - (12) (No change.)

(13) Line of Demarcation between "the hair" and "the beard"--The demarcation boundary between scalp hair ("the hair") and facial hair ("the beard") is a horizontal line drawn from the bottom of the ear.

(14) - (15) (No change.)

(16) Sideburn-- Part [ A sideburn may be part ] of a hair cut or style that is a continuation of the natural scalp hair growth, does [ and must ] not extend below the line of demarcation [ bottom of the ear lobe ], and is [ must ] not [ be ] connected to any other bearded area on the face. [ Only a licensed barber shall trim, shape or cut the sideburns with any type of razor. ]

§82.20. License [ Licensing, Permitting and Certification ] Requirements--Individuals.

(a) To be eligible for a Class A Barber Certificate, a Teacher's Certificate, Barber Technician License, Manicurist License, or Student Permit, an applicant must:

(1) submit the application on a Department approved form;

(2) pass the applicable examination;

(3) pay the fee required under §82.80; and

(4) meet other applicable requirements of the Act and this section.

(b) Class A Barber Certificate--To be eligible for a Class A barber certificate, an applicant must meet the eligibility requirements set forth in Texas Occupations Code §1601.253;

(c) Teacher's Certificate--To be eligible for a teacher's certificate, an applicant must meet the eligibility requirements set forth in Texas Occupations Code §1601.254;

(d) Barber Technician License--To be eligible for a Barber Technician License, an applicant must meet the eligibility requirements set forth in Texas Occupations Code §1601.256;

(e) Manicurist License--To be eligible for a Manicurist license, an applicant must meet the eligibility requirements set forth in Texas Occupations Code §1601.257;

(f) Student Permit--To be eligible for a Student permit, an applicant must meet the eligibility requirements set forth in Texas Occupations Code §1601.260;

(g) Registered Examination Proctor--To be eligible for an Examination Proctor registration, an applicant must:

(1) have held an active teacher's certificate for at least two of the five years preceding the application;

(2) hold an active teacher's certificate;

(3) obtain a certificate of completion from a department approved training course;

(4) submit a completed application for initial registration on a form approved by the department; and

(5) pay the applicable fee under §82.80.

(h) A license application is valid for one year from the date it is filed with the department.

§82.21.License Requirements--Examinations.

(a) (No change.)

(b) For a Class A barber [ or teacher ] certificate, a student is eligible to take the written examination when the department receives proof of completion of 1,000 curriculum hours, as specified by Texas Occupations Code, §1603.255, relating to early examination.

(c) - (e) (No change.)

(f) The examinee shall provide a model, of 16 years of age or older, on whom to demonstrate the practical work. The department may require parental approval for models under 18 years of age.

(g) - (h) (No change.)

(i) The department will notify an examinee if the examinee fails either the written or practical [ or both portions of the ] examination. [ If an examinee fails any part of the examination, he or she will be required to retake the entire failed portion, either written or practical, or both portions in the event the entire examination was failed. ]

(j) (No change.)

§82.26. License [ Licensing, Permitting, Certification and Registration ] Requirements--Renewals.

To renew a license, permit, registration or certificate, an applicant must:

(1) continue to meet the requirements for license, permit, registration or certificate issuance;

(2) comply with other applicable requirements of the Act or these rules;

(3) submit a completed renewal application on a form approved by the department; and

(4) pay the applicable fee under §82.80.

§82.50.Inspections--General.

(a) (No change.)

(b) Inspections shall be performed during the normal operating hours of the barber establishments. Except for initial inspections, the department may conduct inspections under the Act and this chapter without advance notice.

(c) - (d) (No change.)

§82.51.Initial Inspections--Inspection of Barber Establishments Before Operation.

(a) (No change.)

(b) The barber establishment owner shall request an initial inspection from the department and pay the permit fee required by §82.80. In order for the department to schedule the initial inspection in a timely manner, the initial inspection request and fee should be submitted to the department no later than forty five (45) calendar days prior to the opening date of the establishment.

(c) Upon receipt of the owner's request and the permit fee, the department shall schedule the initial inspection date and notify the owner.

(d) Upon completion of the initial inspection, the owner shall be advised in writing of the results. The inspection report will indicate whether the barber establishment meets or does not meet the minimum requirements of the Act and this chapter.

(e) - (f) (No change.)

§82.53.Risk-Based Inspections.

(a) Risk-based inspections are those required in addition to periodic inspections required under §82.52, for barber establishments determined by the department to be a greater risk to public health or safety. To [ In order to ] determine which establishments will be subject to risk-based inspections, the department has established criteria and frequencies for inspections. The owner of the barber establishment shall pay the fee required under §82.80 for each risk-based inspection, in a manner established by the department.

(b) - (g) (No change.)

§82.70.Responsibilities of Individuals [ Individual License Holders ].

(a) Only a permitted barber school , barbershop, or manicurist specialty shop or a licensed barber may advertise in the yellow pages of the telephone directory under "Barber."

(b) [ A licensed barber who is enrolled in a barber refresher course cannot at the same time be employed or serve as a manager or instructor in the school. ]

[ (c) ] License holders, including Class A barbers, teachers, barber technicians and manicurists are responsible for compliance with the health and safety standards of this chapter.

(c) [ (d) ] Licensees shall wear clean top and bottom outer garments and footwear while performing services authorized under the Act. Outer garments include tee shirts, blouses, sweaters, dresses, smocks, pants, jeans, shorts, and other similar clothing and does not include lingerie or see-through fabric.

(d) [ (e) ] Licensees shall notify the department in writing of any name change within thirty days of the change.

(e) [ (f) ] Licensees shall maintain a current mailing address on file with the department and must notify the department not later than thirty days following any change of mailing address.

(f) [ (g) ] Barbers or manicurists who lease space on the premises of a barbershop or manicurist specialty shop to engage in the practice of barbering as an independent contractor must obtain a booth rental permit.

§82.71.Responsibilities of Barbershops and Manicurist Specialty Shops [ Shop Owner and/or Shop Manager ].

(a) - (f) (No change.)

(g) A shop shall provide for the use of individuals who work in the shop at least one sink, wash basin, or hand sanitizer for every three chairs or stations.

(h) Only a permitted barber school, barbershop, or manicurist specialty shop or a licensed barber may advertise in the yellow pages of the telephone directory under "Barber."

(i) A shop is [ Permit holders are ] responsible for compliance with the health and safety standards of this chapter.

(j) [ (h) ] Alterations to the shop's floor plan must be in compliance with the requirements of the Act and this chapter.

(k) A barber establishment shall display in the establishment, in a conspicuous place clearly visible to the public, a copy of the establishment's most recent inspection report issued by the department.

(l) [ (i) ] Shops may establish rules of operation and conduct, which may include rules relating to clothing, that do not conflict with this chapter.

(m) [ (j) ] Shops [ Permit holders ] shall notify the department in writing of any name change of the shop within thirty days of the change.

(n) [ (k) ] Shops [ Permit holders ] shall maintain a current mailing address on file with the department and must notify the department not later than thirty days following any change of mailing address.

§82.72.Responsibilities of Barber Schools.

(a) - (g) (No change.)

(h) [ Optional equipment for the kit will be as follows: ]

[ (1) one razor strop; ]

[ (2) one razor hone; and ]

[ (3) one straight razor. ]

[ (i) ] No student may take instruction or accrue hours for practical work unless he or she is equipped with the tools required above.

(i) [ (j) ] Each barber school shall have:

(1) for each student in attendance on the practical floor, enrolled in a manicurist course outlined in §82.120, one complete manicure table, one complete set of manicuring implements for plain and sculptured nails, and one textbook with complete instructions;

(2) an adequate supply of permanent wave rods;

(3) a minimum of two canvas-type wig blocks;

(4) two mannequins, one long-haired and one short-haired;

(5) a minimum of one wig, one hairpiece, and one hairwoven piece;

(6) clock;

(7) bulletin board;

(8) fire extinguisher with current inspection report;

(9) teacher's desk in classroom; and

(10) if providing manicure or pedicure nail services, a department-approved sterilizer.

(j) [ (k) ] Each classroom consultant to theory instruction in a barber school shall have a valid Texas barber teacher's certificate, an academic degree or specialized training or expertise in the subject being taught if the subject pertains to material relating to barbering.

(k) [ (l) ] A student teacher may instruct theory only if assisted by a person holding a teaching certificate.

(l) [ (m) ] Whenever an approved barber school is without the services of at least one teacher who has a valid Texas barber teacher's certificate for all or any portion of three consecutive business days, no instruction may be provided, and no student shall accrue hours for either practical work or theory for the duration of such absence.

(m) [ (n) ] A barber school shall submit each application for student permit which shall include the following items : [ ; ]

(1) the [ The ] original of the application for student permit form ; and [ . ]

(2) proof [ Proof ] of a seventh-grade education or its equivalency. This shall be in the form of a transcript or [ photostatic ] copy of the diploma, equivalency certificate, or record.

[ (3) Two recent, identical, permanent-type photographs, size two-inch by two-inch, with applicant's signature on front. No Polaroid photographs will be accepted. ]

(n) [ (o) ] Application for a student permit must be sent to the department in complete form within ten days of actual date of enrollment. After the department receives the completed student permit application, the department will issue a student permit which gives the student the right to do barber service only in the school. The school shall affix to the student permit a current photograph furnished by the student. No student permit is valid unless this photograph is attached thereto.

(o) A barber school shall maintain one album displaying the student permits, including affixed picture, of all enrolled students. The permits shall be in alphabetical order. No student may accrue hours for practical work or theory unless the student's permit is displayed in accordance with this subsection.

(p) Each barber school approved by the department shall include in its instruction the curricula [ curriculum ] approved by the department.

(q) No business other than the teaching and practicing of barbering can be operated on the premises of a barber school, with the exception of vending machines or retail products directly relating to hair care.

(r) Only a permitted barber school , barbershop, or manicurist specialty shop or a licensed barber may advertise in the yellow pages of the telephone directory under "Barber."

(s) Schools may establish rules of operation and conduct, which may include rules relating to student clothing, that do not conflict with this chapter.

(t) A student enrolled in a barber school must wear a clean uniform or smock during school hours.

(u) Barber schools are responsible for compliance with the health and safety standards of this chapter.

(v) Alterations to the school's floor plan must be in compliance with the requirements of the Act and this chapter.

(w) Barber schools [ Permit holders ] shall notify the department in writing of any name change of the school within thirty days of the change.

(x) Barber schools [ Permit holders ] shall maintain a current mailing address on file with the department and must notify the department not later than thirty days following any change of mailing address.

(y) Barber schools shall submit an electronic record of each student's accrued hours, in a format prescribed by the department, no less frequently than one time per 15 days. The initial submission of student hours shall include all student hours accrued at the school. Delayed data submission(s) are permitted only upon department approval, and the department shall determine the period of time for which a school may delay the electronic submission of data on a case by case basis. Upon department approval, a school may submit data required under this subsection in an alternate manner and format as determined by the department, if the school demonstrates that the requirements of this subsection would cause a substantial hardship to the school.

(z) A school shall maintain and have available for department and/or student inspection the monthly progress report required by Texas Occupations Code, §1601.561(a), documenting the daily attendance record of each student and number of credit hours earned. The school shall maintain the monthly progress report throughout the period of the student's enrollment and for 48 months after the student completes the curriculum, withdraws, or is terminated.

(aa) A barber establishment shall display in the establishment, in a conspicuous place clearly visible to the public, a copy of the establishment's most recent inspection report issued by the department.

§82.73.Responsibilities of Students.

(a) A student shall not engage in any act of dishonesty or misrepresentation relating to a student's hours accrued under this chapter. [ After the department receives the completed student permit application the department will issue a student permit which gives the student the right to do barber service only in the school. Affixed to the student permit will be a current photograph furnished by the student to the school in accordance with §82.72. No student permit is valid unless this photograph is attached thereto. ]

(b) [ The student is responsible for ensuring that a student permit is on display at all times during the student's enrollment at or near the student's work station. No student may accrue hours for practical work or theory unless the permit is displayed in accordance with this subsection. ]

[ (c) When a student withdraws or otherwise interrupts his or her training in a barber school, for more than 60 days, after last date of attendance, the school shall send the student permit to the department within seven days after such withdraw, or interruption. The manager or owner of the barber school shall write on the permit the last day of the student's attendance and the number of credit hours accrued by the student and shall sign the student permit. ]

[ (d) If a student returns to the same barber school after interruption the school shall notify the department in writing and a student permit shall be reissued. ]

[ (e) When a barber school accepts a transfer of a student from another school the accepting school, shall on behalf of the student, submit to the department in writing the student's enrollment application and a request that the department issue a new student permit for the transferring student. ]

[ (1) Upon receipt of the accepting schools notification of transfer the department shall notify the school at which the student was formerly enrolled of such transfer. ]

[ (2) Upon receipt of the department's transfer notification the manager or owner of the barber school shall, within seven days of receipt of the department's transfer notification, send to the department the student permit with the following information written on the permit: ]

[ (A) the last day of the student's attendance; ]

[ (B) the number of credit hours accrued by the student; and ]

[ (C) the manager's or owner's signature. ]

[ (f) ] Students are responsible for compliance with the health and safety standards of this chapter.

(c) [ (g) ] Students shall maintain a current mailing address on file with the department and must notify the department not later than thirty days following any change of mailing address.

§82.74.Responsibilities--Withdrawal, Reentry, or Transfer of Student.

(a) Withdrawal. Except for a documented leave of absence, schools shall electronically submit a student's withdrawal or termination to the department within 15 calendar days after the withdrawal or termination. Except for a documented leave of absence, a school shall terminate a student who does not attend a barber curriculum for 60 days.

(b) Reentry. If a student returns to the same barber school after interruption, the school shall notify the department in writing, and a student permit shall be reissued.

(c) Transfer of student hours between Texas schools. When a barber school accepts a transfer of a student from another school, the accepting school shall notify the department of the transfer, on a form prescribed by the department, and request that the department issue a new student permit for the transferring student.

(1) Upon receipt of the accepting school's notification of transfer, the department shall notify the school at which the student was formerly enrolled of such transfer.

(2) Upon receipt of the department's transfer notification, the manager or owner of the barber school shall, within seven days of receipt of the department's transfer notification, send to the department the student permit with the following information written on the permit:

(A) the last day of the student's attendance;

(B) the number of credit hours accrued by the student; and

(C) the manager's or owner's signature.

(d) Transfer of student hours from out of state.

(1) A student may transfer to Texas hours of barber training received from a school of another state by providing the following to the department:

(A) an official transcript from the school attended, showing hours credited;

(B) a statement from the licensing authority of the other state showing hours credited; and

(C) proof of at least a seventh grade education.

(2) If the student has not completed 1,500 hours in another state, credit for hours completed will be given when he or she is enrolled in a Texas barber school and when a student permit is issued.

§82.80.Fees.

(a) (No change.)

(b) Renewal Fees:

(1) - (4) (No change.)

(5) Student Permit-- No charge [ $35 (includes $10 law and rules book fee) ]

(6) - (10) (No change.)

(c) - (i) (No change.)

§82.100.Health and Safety Definitions.

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

(1) Chlorine bleach solutions--A chemical used to destroy bacteria and to disinfect implements and [ hard, ] non-porous surfaces; solution should be mixed fresh at least once per day. As used in this chapter, chlorine bleach solutions fall into three categories based on concentration and exposure time:

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

(2) (No change.)

(3) Disinfect or disinfection--The use of chemicals to destroy pathogens on implements and other [ hard, ] non-porous surfaces to render an item safe for handling, use, and disposal.

(4) Disinfectant--In this chapter, one of the following department-approved chemicals:

(A) (No change.)

(B) a chlorine bleach solution used in accordance with this chapter [ consisting of 3/4 cup of 5.25% per gallon of water ]; or

(C) (No change.)

(5) EPA-registered bactericidal, fungicidal, and virucidal disinfectant- When used according to manufacturer's instructions, a chemical that is a low-level disinfectant used to destroy bacteria and to disinfect implements and [ hard, ] non-porous surfaces.

(6) - (9) (No change.)

§82.101.Health and Safety Standards--Department-Approved Disinfectants.

(a) (No change.)

(b) Chlorine bleach solutions shall be used as follows:

(1) (No change.)

(2) Chlorine bleach solutions shall be mixed daily [ at the following minimum standard: one-third (1/3) cup of 5.25% bleach per gallon of water ].

(3) - (6) (No change.)

(c) (No change.)

§82.102.Health and Safety Standards--General Requirements.

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

(c) Multi-use equipment, implements, tools or materials not addressed in this chapter shall be cleaned and disinfected before use on each client. Except as otherwise provided in this chapter, chairs [ Chairs ] and dryers do not need to be disinfected prior to use for each client.

(d) - (k) (No change.)

(l) Clean towels shall be used on each client. Towels must be washed in hot water and chlorine bleach.

(m) - (o) (No change.)

§82.104.Health and Safety Standards--Facial Services.

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

(c) Facial chairs and beds, including headrest for each, shall be cleaned and disinfected prior to providing service to each client. The chair or bed shall be made of or covered in a non-porous material that can be disinfected.

(d) - (g) (No change.)

§82.106.Health and Safety Standards--Manicure and Pedicure Services.

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

(d) After each client, the following implements shall be cleaned , [ and ] disinfected , and sterilized in accordance with the rule: metal pusher and files, cuticle nipper and scissors, tweezers, [ nail brushes, ] finger and toe nail clippers and electric drill [ file ] bits.

(e) - (g) (No change.)

§82.107.Health and Safety Standards--Electric Drill Bits.

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

(c) Immediately after cleaning all visible debris, diamond, carbide, natural and metal bits shall be disinfected by complete immersion in an appropriate disinfectant between clients , then sterilized in accordance with this chapter .

(d) (No change.)

§82.108.Health and Safety Standards--Footspas.

(a) - (f) (No change.)

(g) Footspa chairs shall be cleaned and disinfected prior to providing service to each client. The chair shall be made of or covered in a non-porous material that can be disinfected.

§82.114.Health and Safety Standards--Establishments.

(a) (No change.)

(b) All floors in areas where services under the Act are performed, including restrooms and areas where chemicals are mixed or where water may splash, must be of a material which is not porous or absorbent and is easily washable, except that anti-slip applications or plastic floor coverings may be used for safety reasons. Carpet is permitted in all other areas [ the reception area ].

(c) - (i) (No change.)

§82.120.Technical Requirements--Curricula.

(a) [ Full-time student teacher. A person enrolled in the six-month postgraduate course as a student teacher in an approved barber school shall complete a total of 26 consecutive weeks of training in such barber school. The full-time course shall consist of not less than: ]

[ (1) seven hours, 45 minutes per day for a five-day week; or ]

[ (2) six hours, 30 minutes per day for a six-day week. ]

[ (b) Part-time student teacher. A part-time student teacher at three-fourths time shall be required to attend school either: ]

[ (1) six hours per day for a five-day week for 33 weeks, plus an additional two days; or ]

[ (2) five hours per day for a six-day week for 33 weeks, plus an additional two days. ]

[ (c) Part-time student teacher requirements. On a part-time basis, a student teacher shall complete the course of 1,000 hours in not more than 18 months or shall surrender the student certificate, unless the student produces sufficient evidence of cause to the department in the form of an affidavit. ]

[ (d) ] Requirement for enrollment. No person may enroll in a teacher's course in an approved barber school before receiving a certificate of registration as a Class A barber.

(b) [ (e) ] The curriculum [ to prepare a student for the examination ] for the teacher's certificate consists [ will consist ] of 1,000 hours, to be completed in a course of not less than 26 weeks, as follows [ to include ]:

Figure: 16 TAC §82.120(b)

[ Figure: 16 TAC §82.120(e) ]

(c) [ (f) ] The curriculum [ to prepare a student for the examination ] for the class A barber certificate consists [ will consist ] of 1,500 hours , to be completed in a course of not less than nine months, as follows [ to include the following ]:

Figure: 16 TAC §82.120(c)

[ Figure: 16 TAC §82.120(f) ]

(d) [ (g) ] The curriculum [ to prepare a student for the examination ] for the manicurist license consists [ will consist ] of 600 hours, to be completed in a course of not less than 16 weeks, as follows [ to include ]:

Figure: 16 TAC §82.120(d)

[ Figure: 16 TAC §82.120(g) ]

(e) [ (h) ] The curriculum [ to prepare a student for the examination ] for the barber technician license [ will ] consists of 300 hours, to be completed in a course of not less than eight weeks, as follows [ to include ]:

Figure: 16 TAC §82.120(e)

[ Figure: 16 TAC §82.120(h) ]

(f) [ (i) ] The curriculum for a barber refresher course consists [ will consist ] of 300 hours as follows [ to include ]:

Figure: 16 TAC §82.120(f)

[ Figure: 16 TAC §82.120(i) ]

(g) The changes to this section, as adopted by the commission on June 5, 2006, take effect September 1, 2006.

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 April 3, 2006.

TRD-200601972

William H. Kuntz, Jr.

Executive Director

Texas Department of Licensing and Regulation

Earliest possible date of adoption: May 14, 2006

For further information, please call: (512) 463-6208


16 TAC §82.32

(Editor's note: The text of the following section proposed for repeal will not be published. The section may be examined in the offices of the Texas Department of Licensing and Regulation or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The repealed rules are proposed under Texas Occupations Code, Chapters 51, 1601 and 1603 which authorizes the Department to adopt rules as necessary to implement these chapters. In particular, the rules implement provisions of Senate Bill 411, 79th Legislature, Regular Session.

The statutory provisions affected by the repeal are those set forth in Texas Occupations Code, Chapters 51, 1601 and 1603. No other statutes, articles, or codes are affected by the proposal.

§82.32.Transfer of Student Hours from Out of State.

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 April 4, 2006.

TRD-200601993

William H. Kuntz, Jr.

Executive Director

Texas Department of Licensing and Regulation

Earliest possible date of adoption: May 14, 2006

For further information, please call: (512) 463-6208


Part 9. TEXAS LOTTERY COMMISSION

Chapter 402. CHARITABLE BINGO ADMINISTRATIVE RULES

Subchapter A. ADMINISTRATION

16 TAC §402.102

The Texas Lottery Commission proposes amendments to 16 TAC §402.102, relating to Bingo Advisory Committee. The purpose of the proposed amendments is to extend the duration of the existence of the Bingo Advisory Committee.

Kathy Pyka, Controller, has determined for each year of the first five years the proposed amendments are in effect there will be no fiscal implications to state or local government. There will be no impact on small or micro businesses, individuals, or local or state employment as a result of implementing the section.

William L. Atkins, Charitable Bingo Operations Director, Charitable Bingo Operations Division, has determined that for each of the first five years the amendments as proposed are in effect, the public benefit anticipated as a result of the proposed amendments is to continue the Bingo Advisory Committee so that the Committee may continue to advise the Commission as provided for in this rule and by statute.

Written comments on the proposed amendments may be submitted to Sandra Joseph, Assistant General Counsel, Texas Lottery Commission, P.O. Box 16630, Austin, Texas 78761-6630, by facsimile, or via the agency's website online public comment form. The Commission will hold a public hearing on this proposal at 11:00 a.m. on April 24, 2006, at 611 E. 6th Street, Austin, Texas. Comments must be received within 30 days after publication of the proposed amendments in the Texas Register in order to be considered.

The amendments are proposed under Occupations Code, §2001.054 which authorizes the Commission to adopt rules to enforce and administer the Bingo Enabling Act.

The amendments implement Occupations Code, Chapter 2001.

§402.102.Bingo Advisory Committee.

(a) - (i) (No change.)

(j) Duration. The BAC will automatically be abolished and cease to exist on August 31, 2007 [ 2006 ]. The BAC shall only remain in existence beyond August 31, 2007 [ 2006 ], if the Commission affirmatively votes to continue the Bingo Advisory Committee in existence.

(k) - (l) (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 March 29, 2006.

TRD-200601893

Kimberly L. Kiplin

General Counsel

Texas Lottery Commission

Earliest possible date of adoption: May 14, 2006

For further information, please call: (512) 344-5113