ADOPTED RULES
An agency may take final action on a section 30 days after a proposal has been 
published in the Texas Register. The section becomes effective 20 days after the 
agency files the correct document with the Texas Register, unless a later date 
is specified or unless a federal statute or regulation requires implementation 
of the action on shorter notice.
If an agency adopts the section without any changes to the proposed text, only 
the preamble of the notice and statement of legal authority will be published. 
If an agency adopts the section with changes to the proposed text, the proposal 
will be republished with the changes.

TITLE 7. BANKING AND SECURITIES
PART II. Texas Department of Banking
CHAPTER 26. Perpetual Care Cemeteries
7 TAC sec.26.1
The Texas Department of Banking (the department) adopts amendments to sec.26.1, 
concerning fees and assessments, without changes to the proposed text as 
published in the June 24, 1997, issue of the Texas Register (22 TexReg 5987). 
The text will not be re published. The amendments to sec.26.1 clarify that a 
cemetery corporation with more than one perpetual care cemetery is charged an 
examination fee for examining the trust fund records of each cemetery, a filing 
fee for each notice of intent to operate a perpetual care cemetery in Texas 
filed with the department, and a filing fee for each annual statement of funds 
for a perpetual care cemetery that the cemetery corporation files with the 
department. The section as amended more clearly states existing practices by the 
department as they are understood by industry. In addition, several definitions 
have been deleted because the terms are already defined in the Health and Safety 
Code, sec.712.001(b). The amendment conforms departmental interpretation of 
relevant statutory law and the existing section. 
No comments were received on the proposal. 
Amendments to this section are adopted pursuant to directives under the Health 
and Safety Code, sec.sec.712.0031, 712.042(a), and 712.044(b). Section 712.0031 
requires that notice of intent to operate a perpetual care cemetery in this 
state be accompanied by a filing fee of $500; sec.712.042(a) and sec.712.044(b) 
permit the Department to set "reasonable and necessary" fees "to defray the cost 
of administering this chapter." 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 8, 1997.
TRD-9710343
Everette D. Jobe
General Counsel
Texas Department of Banking
Effective date: August 28, 1997
Proposal publication date: June 24, 1997
For further information, please call: (512) 475-1300

TITLE 16. ECONOMIC REGULATION
PART III. Texas Alcoholic Beverage Commission
CHAPTER 33.Licensing
License and Permit Surcharges
16 TAC sec.33.23
The Texas Alcoholic Beverage Commission adopts an amendment to sec.33.23, 
concerning annual surcharges for all holders of permits and licenses without 
changes to the proposed text as published in the July 1, 1997, issue of the 
Texas Register (22 TexReg 6150 and 6195-96). 
The amendment changes the surcharges for all licenses and permits, effective 
October 1, 1997. The amendment is adopted to effectuate the mandates of the 
General Appropriations Act, 75th Legislature, Article V, Alcoholic Beverage 
Commission. 
No comments were received regarding adoption of the amendment.
The amendment is adopted under the Alcoholic Beverage Code, Subchapter B, 
sec.5.31, which provides the Texas Alcoholic Beverage Commission with the 
authority to prescribe and publish rules necessary to carry out the provisions 
of the Alcoholic Beverage Code and sec.5.50(b) which specifically mandates the 
surcharges and the General Appropriations Act, 75th Legislature, Article V, 
Alcoholic Beverage Commission. 
Cross reference to statute: Alcoholic Beverage Code, sec.11.32, sec.11.35 and 
sec.61.35, are affected by this rule. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 7, 1997.
TRD-9710275
Doyne Bailey
Administrator
Texas Alcoholic Beverage Commission
Effective date: October 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 206-3204

CHAPTER 50.Alcohol Awareness and Education
16 TAC sec.50.4
The Texas Alcoholic Beverage Commission adopts an amendment to sec.50.4, 
concerning administration of an alcoholic beverage seller/server certification 
program without changes to the text as published in the July 1, 1997, issue of 
the Texas Register (22 TexReg 6150). 
Subsection (a) of the rule was amended to allow notification of class 
cancellations to be made by fax and to require that such notice be given to the 
agency three days prior to the scheduled class date. The amendment allows easier 
notification by training providers and allows the agency to set time to make 
necessary inquiries into cancellations. 
Subsections (c), (f), (g) and (i) were amended to allow broader scope for agency 
evaluations of programs and to more specifically require that the program 
content be relevant to the topic under discussion and to the approved 
curriculum. The agency believes these amendments will enhance program quality by 
requiring presentations to be more focused and specific and by subjecting the 
programs to evaluation of substantive content. 
Subsection (p) was amended to express the intent of that subsection more 
directly.
Subsection (q) was amended to allow certified schools to pay fees by several 
methods. This increases convenience to the schools and decreases costs of 
operations. This subsection is also amended to allow the agency to insure 
payment of fees in the event of dishonored payments. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under the Alcoholic Beverage Code, Chapter 5, 
Subchapter B, sec.5.31, which provides the Alcoholic Beverage Commission with 
the authority to promulgate rules consistent with the Alcoholic Beverage Code. 
Cross Reference to Statute: Alcoholic Beverage Code, sec.106.14, is affected by 
this rule. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 7, 1997.
TRD-9710273
Doyne Bailey
Administrator
Texas Alcoholic Beverage Commission
Effective date: August 27, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 206-3204

16 TAC sec.50.5
The Texas Alcoholic Beverage Commission adopts an amendment to sec.50.5, 
concerning the denial, revocation or suspension of approval of seller/server 
training programs without changes to the proposed text as published in the July 
1, 1997, issue of the Texas Register (22 TexReg 6152). 
Subsection (c)(5) was amended to prohibit alcoholic beverage permittees from 
offering seller/server training. Allowing permittees to offer such a service to 
sellers and servers could result in unlawful relations between tiers of the 
industry as forbidden by various provisions of Chapter 102 and sec.108.06 of the 
Alcoholic Beverage Code. 
Subsection (c)(6) and (7) were amended to prohibit providers from operating 
without paying necessary fees. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under the Alcoholic Beverage Code, Chapter 5, 
Subchapter B, sec.5.31, which provides the Alcoholic Beverage Commission with 
the authority to promulgate rules consistent with the Alcoholic Beverage Code. 
Cross Reference to Statute: Alcoholic Beverage Code, sec.106.14, is affected by 
this rule. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 7, 1997.
TRD-9710274
Doyne Bailey
Administrator
Texas Alcoholic Beverage Commission
Effective date: August 27, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 206-3204

TITLE 22. EXAMINING BOARDS
PART VI. Texas State Board of Registration for Professional Engineers
CHAPTER 131.Practice and Procedure
The Texas State Board of Registration for Professional Engineers adopts the 
repeal of sec.sec.131.51-131.58, 131.71-131.73, 131.81, 131.91-131.93, 131.101, 
131.111-131.120, 131.131-131.133, 131.137-131.141, 131.151-131.157, 131.162-
131.167, and 131.224, new sec.sec.131.20, 131.51-131.55, 131.71-131.73, 131.81, 
131.91-131.94, 131.101, 131.111-131.116, 131.131-131.133, 131.151-131.156, 
131.162-131.167, and amendments to sec.sec.131.105, 131.106, 131.161, 131.171-
131.173, and 131.182, concerning practice and procedure. New sec.sec.131.51, 
131.52, 131.54, 131.71, 131.72, 131.81, 131.91-131.93, 131.101, 131.111-131.114, 
131.116, 131.131, 131.133, 131.152, 131.155, 131.167 and the amendments to 
sec.sec.131.105, 131.171, 131.173 are adopted with changes to the proposed text 
as published in the July 1, 1997, issue of the Texas Register (22 TexReg 6153). 
The new sec.sec.131.120, 131.53, 131.55-131.58, 131.94, 131.115, 131.132, 
131.151, 131.154, 131.156, 131.162-131.166, amendments to sec.sec.131.106, 
131.161, 131.172, 131.182, and repeals to sec.sec.131.51-131.58, 131.71-131.73, 
131.81, 131.91-131.93, 131.101, 131.111-131.120, 131.131-131.133, 131.137-
131.141, 131.151-131.157, 131.162-131.167, and 131.224 are adopted without 
changes and will not be republished. 
The repeal of sec.sec.131.51-131.58, 131.71-131.73, 131.81, 131.91-131.93, 
131.101, 131.111-131.120, 131.131-131.133, 131.137-131.141, 131.151-131.157, 
131.162-131.167 allows for the adoption of new sections. Sections 131.56-131.58, 
131.117-131.120, 131.137-131.141, and 131.157 were not replaced. However, some 
of the language contained in these repeals was incorporated into new sections 
under different undesignated head titles. The language contained in repealed 
sec.131.224 is adopted as new sec.131.167. 
The new sections and amendments provide consistency with the provisions of 
Senate Bill 623, concerning: an application for a license; reference statements; 
engineering experience; educational requirements; engineering examinations; the 
board's review of an application for a license; and licenses. New 
sec.sec.131.151-131.156 provide clear and concise professional conduct and 
ethics rules. New sec.sec.131.162-131.167 provide clear and concise compliance 
and sealing requirements. 
The amendment to sec.131.105 provides clarification of the examination analysis 
procedures. The amendment to sec.131.106 adds the reference of the Texas 
Engineering Practice Act, sec.22 which authorizes the disciplinary actions 
available to the board. The amendment to sec.131.161 clarifies situations which 
the board will conduct inquires in accordance with the Texas Engineering 
Practice Act. The amendment to sec.131.182 removes the existing reference to 
sec.131.137 which is and provides the new reference to sec.131.167, concerning 
disciplinary actions. 
The board received no comments opposing the adoption of these sections. However, 
two professional engineers speaking as private citizens, commented that some of 
the terminology in the rules needed to be clarified in areas to be consistent. 
The board agreed and has incorporated those changes into the adopted rules. 

Bylaws and Definitions
22 TAC sec.131.20
The new section is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 

sec.131.20.Committees.
(a) The board chairman shall appoint the following standing committees as stated 
in paragraphs (1) and (2) of this subsection, composed of four board members at 
least one of whom is a public member. The board chairman shall appoint a 
committee chairman to serve concurrently with the board chairman's term. 
(1) Licensing Committee. The committee shall meet no less than twice during the 
chairman's term to evaluate issues and possibly develop proposed actions for the 
full board on licensing issues. The committee may participate in activities such 
as evaluating rules concerning licensing of engineers; conducting personal 
interviews of applicants; evaluating applications; participating in national and 
international engineering licensing activities on the board's behalf; providing 
general guidance to the executive director on licensing issues; and evaluating 
any other issue indirectly or directly relating to engineering licensing. 
(2) Enforcement Committee. The committee shall meet no less than twice during 
the chairman's term to evaluate issues and possibly develop proposed actions for 
the full board on enforcement issues. The committee may participate in 
activities such as evaluating rules concerning enforcement of the Texas 
Engineering Practice Act (Act); reviewing the progress of major enforcement 
cases or groups of cases; suggesting sanctions for violations of the Act; 
participation in national and international engineering law enforcement 
activities on the board's behalf; providing general guidance to the executive 
director on enforcement issues; and evaluating any other issue indirectly or 
directly relating to engineering law enforcement. 
(b) The board chairman shall appoint a General Issues Committee that shall meet 
no less than twice during the chairman's term to evaluate issues and possibly 
develop proposed actions for the full board on issues of importance to the board 
and the profession. Such issues might include engineering ethics, 
professionalism in practice, legislation, board management, engineering business 
issues, education, and continuing professional competency. The committee shall 
be composed of three board members at least one of whom is a public member, and 
one of whom is the vice chairman of the board. The vice chairman of the board 
shall be the committee chairman for a period concurrent with the board 
chairman's term. 
(1) The committee chairman and the board chairman may appoint ad hoc committees 
composed of committee members, other board members, and other persons to address 
particular issues. 
(2) The committee chair shall establish a specific purpose and duration for each 
ad hoc committee. Ad hoc committees previously appointed may be reappointed in 
part or in whole for a specific purpose and duration.
(3) Ad hoc committees shall be limited to investigating and evaluating issues 
assigned, and making a report to the General Issues Committee with 
recommendations concerning possible board positions, actions or inactions. The 
General Issues Committee shall receive the report of each ad hoc committee 
publicly, and shall recommend appropriate action, if any, to the full board. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 6, 1997.
TRD-9710280
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Application for Registration
22 TAC sec.sec.131.51-131.58
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710281
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Application for License
22 TAC sec.sec.131.51-131.55
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623. 

sec.131.51.Authority. 
The Texas Board of Professional Engineers shall receive, evaluate and process 
all applications for a professional engineer license issued under the authority 
of the Texas Engineering Practice Act (Act). Applications for an original 
license shall be accepted from all persons who assert through the application 
process that, to the best of their knowledge, they meet the minimum 
qualifications of the Act, sec.12. Applications from nonresidents holding a 
valid license issued by a proper authority in another public jurisdiction shall 
be accepted from all persons who assert through the application process that, to 
the best of their knowledge, they meet the minimum qualifications of the Act, 
sec.12. The board has the authority under the Act to issue a license to 
applicants that, subsequent to review and evaluation, are found to have met all 
requirements of the Act and board rules. The board has the authority under the 
Act to deny a license to any applicant found not to have met all requirements of 
the Act and board rules. Applications that do not demonstrate the qualifications 
required shall be subject to non-approval. The board may also, at its 
discretion, select the sections or subsections under which the application shall 
be accepted and processed.

sec.131.52.Applications for a Professional Engineer License. 
(a) The board may issue a license only to applicants who submit sufficient 
evidence that they have credentials meeting the minimum requirements set forth 
in Texas Engineering Practice Act (Act), sec.12(a) (1) or (2).
(b) All persons must pass, or believe to the best of their knowledge that they 
are eligible for waiver from the Fundamentals of Engineering examination and 
Principles and Practice of Engineering examination, before submitting an 
application. 
(c) Applicants must speak and write the English language. Proficiency in English 
may be evidenced by possession of an accredited bachelor of science degree 
taught exclusively in English, or passage of the Test of English as a Foreign 
Language (TOEFL) with a score of at least 550 and passage of the Test of Spoken 
English (TSE) with a score of at least 45, or other evidence such as significant 
academic or work experience in English acceptable to the executive director. 
(d) Applicants requesting waivers of all or part of the examinations, the TOEFL, 
the TSE, or a commercial evaluation of non-accredited degrees shall submit the 
requests and supporting reasoning to the executive director in writing. 
(e) Applications for a license shall be submitted on forms prescribed by the 
board, sworn under oath and accompanied by the current application fee. 
(f) In addition to the application form, applicants shall submit their: 
(1) social security number, as required under Texas Family Code, sec.231.302; 
(2) supplementary experience record; 
(3) official transcript(s) of degree(s); 
(4) four reference statements required under sec.131.71(b) of this title 
(relating to References), or required to meet sec.131.81(a)(3) of this title 
(relating to Experience Evaluation) or sec.131.101(g) of this title (relating to 
Engineering Examinations Required for a License to Practice as a Professional 
Engineer) if those sections are applicable; 
(5) current application fee; 
(6) verification of examination(s); 
(7) verification of a current license, if applicable;
(8) a completed Texas Ethics of Engineering Examination;
(9) scores of TOEFL and TSE, if applicable; 
(10) a commercial evaluation of a non-accredited degree;
(11) statement describing criminal convictions, if any;
(12) written requests for waivers, if applicable. 
(g) Applicants shall indicate a primary branch of engineering under which 
experience has been gained. Applicants seeking permission to take the Principles 
and Practice of Engineering examination shall indicate a primary branch for 
which there is an available National Council of Examiners for Engineering and 
Surveying (NCEES) examination. The available branches and their corresponding 
alphabetical code are: 
(1) (F) agricultural; 
(2) (K) chemical; 
(3) (C) civil; 
(4) (X) control systems; 
(5) (E) electrical; 
(6) (V) environmental; 
(7) (H) fire protection; 
(8) (L) industrial; 
(9) (M) mechanical; 
(10) (I) mining/mineral; 
(11) (J) metallurgical; 
(12) (U) manufacturing; 
(13) (N) nuclear; 
(14) (P) petroleum; 
(15) (B) structural. 
(h) Applications shall be accepted for processing on the date the application 
and fee are received. Applicants shall be notified by the board at the earliest 
possible opportunity of deficiencies found during initial review of their 
application. Applications shall be held no more than 30 days from the date of 
notification for applicants to correct those deficiencies. Failure to correct 
the deficiencies may be cause for non-approval of the application. Thirty-day 
extensions may be granted by the executive director.
(i) Once an application is accepted, the fee shall not be returned, and the 
application and all submissions shall become a permanent part of the board 
records. 

sec.131.54.Applications from Former Texas License Holders. 
(a) Persons whose original license has been expired for two or more years may be 
reissued a license provided they apply for a new license and meet current 
requirements. 
(b) The applicant shall: 
(1) prepare an application form and submit it with current application fee; 
(2) complete all sections of the application form and list all employment 
engagements; 
(3) provide a supplementary experience record for all employment engagements 
from the date the license expired describing at least the last four years of 
experience; 
(4) provide a professional engineer reference, conforming to sec.131.71(b) of 
this title (relating to References), sec.131.81(a)(3) of this title (relating to 
Experience Evaluation), and sec.131.101(g) of this title (relating to 
Engineering Examinations Required for a License to Practice as a Professional 
Engineer) for each engineering engagement since the license expired verifying a 
supplementary experience record describing at least the last four years of 
engineering experience; 
(5) provide a written request for a waiver of examinations, if applicable; 
(6) submit transcripts for engineering degrees conferred after issuance of 
original license: 
(7) pass the Texas Ethics of Engineering Examination.
(c) The board may waive the submission of other materials required in sec.131.52 
of this title (relating to Applications for a Professional Engineer License) 
provided those materials are already available in the board records. Applicants 
must submit a written waiver request to the executive director. The board shall 
process the application and issue a new license and serial number if the 
application is approved. 
(d) Any license issued to a former Texas license holder shall be assigned a new 
serial number. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710282
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

References
22 TAC sec.sec.131.71-131.73
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710283
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.71-131.73
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623. 

sec.131.71. References. 
(a) Applicants shall provide references to verify all engineering experience 
claimed to meet the minimum years of experience required under the Texas 
Engineering Practice Act, sec.12(a)(1) or (2), unless more experience is being 
verified to meet the requirements of sec.131.81(a)(3) of this title (relating to 
Experience Evaluation) or sec.131.101(g) of this title (relating to Engineering 
Examinations Required for a License to Practice as a Professional Engineer). 
Experience that is unsupported by references may not be considered. 
(b) Applicants for a license shall provide at least five references to the 
board, unless more references are required to meet the requirements of 
sec.131.81(a)(3) of this title (relating to Experience Evaluation) or 
sec.131.101(g) of this title (relating to Engineering Examinations Required for 
a License to Practice as a Professional Engineer). At least three of these 
references shall be currently licensed professional engineers who have personal 
knowledge of the applicant's engineering experience. References on file with the 
board from previous applications may be used with the approval of the executive 
director. Professional engineers who have not worked with an applicant may 
review and judge the applicant's experience and may serve as a licensed engineer 
reference; such review shall be noted on the reference statement. 
(c) All references shall be individuals with personal knowledge of the 
applicant's character, reputation, and general suitability for holding a 
license. If possible, references should include individuals who directly 
supervised the applicants. 
(d) Professional engineers who provide reference statements and who are licensed 
in a jurisdiction other than Texas shall include a copy of their pocket card or 
other verification to indicate that their license is current and valid. 
(e) The board members and staff may, at their discretion, consider any, all or 
none of the responses from references. 

sec.131.72.Reference Statements. 
(a) The applicant shall send the board's reference statement form and a complete 
copy of the applicable portion(s) of the supplementary experience record to each 
reference. 
(b) For a reference statement to be considered complete, the reference shall: 
(1) accurately complete the reference statement in detail;
(2) review and evaluate all applicable portions of the supplementary experience 
record; 
(3) signify agreement or disagreement with the information written by the 
applicant and add any comments or concerns on the reference statement. 
(c) For a reference statement to be considered secure, the reference shall place 
the completed reference statement and signed supplementary experience record in 
an envelope. After sealing the envelope, the reference's signature shall be 
placed across the sealed flap of the envelope and covered with transparent tape. 
The reference shall return the sealed envelope to the applicant. 
(d) Applicants shall enclose all of the sealed reference envelopes with the 
application when submitted to the board. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710284
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Engineering Experience
22 TAC sec.131.81
The repeal is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), which 
provide the Texas State Board of Registration for Professional Engineers with 
the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710285
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.131.81
The new section is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623.
Texas Civil Statutes, Article 3271a, sec.12 is affected by the proposed new 
section.

sec.131.81.Experience Evaluation.
(a) Applicants shall submit a supplementary experience record to the board as a 
part of the application. The supplementary experience record is a written 
narrative documenting all of the applicant's engineering experience acquired 
after completion of the first degree used to meet the requirements of Board 
sec.131.91 of this title (relating to Educational Requirements for Applicants). 
(1) The supplementary experience record shall be written in the first person, 
shall clearly describe the engineering work that the applicant personally 
performed, and shall delineate the role of the applicant in any group 
engineering activity. 
(2) The supplementary experience record should provide an overall description of 
the nature and scope of the work, with an emphasis on detailed descriptions of 
the engineering work personally performed by the applicant. 
(3) References must be provided to verify enough of the supplementary experience 
record to cover at least the minimum amount of time needed by the applicant for 
issuance of a license. Applicants applying under Texas Engineering Practice Act 
(Act), sec.12(a)(1) shall provide references for at least four years of 
engineering experience; applicants applying under the Act, sec.12(a)(2) shall 
provide references for at least eight years of engineering experience. 
Applicants seeking a waiver from any examination requirement shall provide 
references for an additional eight years beyond that listed in this subsection. 
(4) Parts of the supplementary experience record that are to be verified by 
references shall be written in sufficient detail to allow the board reviewer to 
document the minimum amount of experience required and to allow the reference to 
recognize and verify the quality and quantity of the experience claimed. 
(b) The board shall evaluate the character and quality of the experience found 
in the supplementary experience record and shall determine if the work is 
satisfactory to the board for the purpose of issuing a license to the applicant. 
The board shall evaluate the supplementary experience record for evidence of the 
applicant's competency to be placed in responsible charge of engineering work of 
a similar character. 
(1) Satisfactory engineering work shall be of a nature such that its adequate 
performance requires engineering education, training, or experience. The 
application of engineering education, training and experience must be 
demonstrated through the application of the mathematical, physical, and 
engineering sciences. Such work must be fully described in the supplementary 
experience record. Satisfactory engineering experience shall include an 
acceptable combination of the following types of engineering activities: 
(A) design, conceptual design, or conceptual design coordination for engineering 
works, products or systems; 
(B) development or optimization of plans and specifications for engineering 
works, products, or systems; 
(C) analysis, consultation, investigation, evaluation, planning or other related 
services for engineering works, products, or systems; 
(D) planning the use or alteration of land, water, or other resources; 
(E) engineering for program management and for development of operating and 
maintenance manuals; 
(F) engineering for construction, or review of construction;
(G) performance of engineering surveys, studies, or mapping;
(H) engineering for materials testing and evaluation; 
(I) expert engineering testimony; 
(J) teaching of engineering subjects in an EAC/ABET accredited program; 
(K) any other work of a mechanical, electrical, electronic, chemical, hydraulic, 
pneumatic, geotechnical, or thermal nature that requires engineering education, 
training or experience for its adequate performance.
(2) In the review of engineering experience, the board shall consider additional 
elements unique to the history of the applicant. Such elements should include, 
at a minimum: 
(A) whether the experience was sufficiently complex and diverse, and of an 
increasing standard of quality and responsibility; 
(B) whether the quality of the engineering work shows minimum technical 
competency; 
(C) whether the submitted materials indicate good character and reputation; 
(D) whether the experience was gained by working under the supervision of a 
professional engineer; 
(E) whether the experience was gained in violation of the Act; 
(F) whether more than one year of total experience credit may be granted for 
non-EAC/ABET accredited teaching experience; 
(G) whether the experience was gained in one dominant branch;
(H) whether non-traditional engineering experience such as sales or military 
service provides sufficient depth of practice; and 
(I) whether short engagements have had an impact upon professional growth. 
(3) engineering experience may be considered satisfactory for the purpose of 
licensing provided that: 
(A) the experience is gained during an engagement longer than three months in 
duration; 
(B) the experience, when taken as a whole, meets the minimum time; 
(C) the experience is not anticipated and has actually been gained at the time 
of application; 
(D) the experience includes at least two years of US experience not including 
time claimed for educational credit, or otherwise includes experience that would 
show a familiarity with US codes and engineering practice; 
(E) the time granted for the experience claimed does not exceed the calendar 
time available for the periods of employment or education claimed.
(c) One year of experience credit may be granted for each post-baccalaureate 
engineering degree earned by applicants who would be eligible for licensing 
under the Act, sec.12(a)(1) without such degree, not to exceed two years; 
provided the degree is EAC/ABET accredited or is earned from a program that is 
EAC/ABET accredited at the undergraduate level in the same discipline.
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710286
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Education
22 TAC sec.sec.131.91-131.93
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710287
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.91-131.94
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623.

sec.131.91.Educational Requirements for Applicants.
Applicants for a license shall have earned one of the following degrees or 
degree combinations listed in this section: 
(1) Accredited degrees, under the Texas Engineering Practice Act (the Act), 
sec.12(a)(1), as described in subparagraphs (A) and (B) of this paragraph: 
(A) all engineering degree programs approved by: 
(i) The Engineering Accreditation Commission of the Accreditation Board for 
Engineering and Technology, United States (EAC/ABET); 
(ii) The Institution of Engineers, Australia (IEAust); 
(iii) The Canadian Engineering Accreditation Board of the Canadian Council of 
Professional Engineers (CEAB); 
(iv) The Institution of Engineers of Ireland (IEI); 
(v) The Institution of Professional Engineers New Zealand (IPENZ);
(vi) The Engineering Council, United Kingdom (ECUK) (Graduates of UK programs 
must have a diploma showing graduation with honors.); and
(vii) Consejo de Acreditacion de la Ensenanza de la Ingenieria, Mexico (Council 
of Accreditation for Engineering Education, C.A.); 
(B) a bachelor's degree in one of the mathematical, physical, or engineering 
sciences, plus a graduate degree in engineering, provided that: 
(i) the graduate degree is obtained from a college having an EAC/ABET accredited 
bachelor's degree in the same discipline; or 
(ii) the combination of the degrees is acceptable to the Board as equivalent in 
EAC/ABET approved curricula content, and the combination of degrees contain 
sufficient design curricula to provide minimal competency in the use of 
engineering algorithms and procedures. 
(2) Non-accredited bachelor or graduate degrees acceptable to the board, under 
the Act, sec.12(a)(2) as described in subparagraphs (A) and (B) of this 
paragraph: 
(A) a bachelor of engineering technology program that is accredited by the 
Technology Accreditation Commission of the Accreditation Board for Engineering 
and Technology (TAC/ABET); 
(B) other bachelor or graduate degrees in engineering, mathematical, physical, 
or engineering science approved by the executive director. Such degree programs 
must include, as a minimum, the courses listed in clauses (i) and (ii) of this 
subparagraph or these courses must be taken in addition to the bachelor or 
graduate degree program: 
(i) 8 semester hours (12 quarter hours) of mathematics beyond trigonometry, 
including differential and integral calculus; and 
(ii) 20 semester hours (30 quarter hours) of engineering sciences which include 
subjects such as mechanics, thermodynamics, electrical and electronic circuits, 
and others selected from material sciences, transport phenomena, computer 
science and comparable subjects depending on the discipline or branch of 
engineering. Course work should incorporate hands-on laboratory work as 
described in the EAC/ABET criteria, and shall contain a sufficient design 
program to provide minimal competency in the use of engineering algorithms and 
procedures.

sec.131.92.Degrees from Non-Accredited Programs.
(a) Applicants having degrees from non-accredited programs must furnish at their 
own expense, an evaluation of all such degrees from a commercial evaluation 
service selected by the board. The degree evaluation must be sent directly to 
the board by the evaluation service. 
(b) A commercial evaluation may be waived by the executive director if the 
degree is earned from a United States institution and sufficient resources are 
available for the board to evaluate it, or if the degree program does not 
contain curricula that is deemed by the executive director to be an integral 
part of the applicant's engineering education. 
(c) Upon receipt or waiver of a commercial evaluation, the executive director 
shall evaluate the curricula of non-accredited programs under the standards of 
sec.131.91 of this title (relating to Educational Requirements for Applicants). 

sec.131.93.Transcripts. 
(a) Official transcripts (including either grades or mark sheets and proof that 
the degree was conferred) shall be provided for each degree utilized to meet the 
educational requirements for licensing. Non-accredited degree holders shall also 
provide a transcript from each school where more than 15 semester hours were 
earned towards the degree. The applicant is responsible for ordering and paying 
for all such transcripts, which shall be forwarded directly to the board office 
by the respective registrars. Additional academic information including but not 
limited to grades and transfer credit shall be submitted to the board at the 
request of the executive director. 
(b) If transcripts cannot be transmitted directly to the board from the issuing 
institution, the executive director may recommend alternatives to the Licensing 
Committee for its approval. 
(c) The commercial evaluation of a degree will not be accepted in lieu of an 
official transcript. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710288
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Examinations
22 TAC sec.131.101
The repeal is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), which 
provide the Texas State Board of Registration for Professional Engineers with 
the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710289
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.101, 131.105, 131.106
The amendments and new section are adopted under Texas Civil Statutes, Article 
3271a, sec.8(a), which provide the Texas State Board of Registration for 
Professional Engineers with the authority to promulgate rules in accordance with 
Senate Bill 623.

sec.131.101.Engineering Examinations Required for a License to Practice as a 
Professional Engineer.
(a) Written examinations prescribed by the board shall consist of experience and 
knowledge examinations and an ethics of engineering examination for the purpose 
of determining the applicant's qualifications to design and supervise 
engineering works, ensuring the safety of life, health, and property.
(1) All examinations shall be in the English language. 
(2) Experience and knowledge examinations shall be an eight-hour Fundamentals of 
Engineering examination and Principles and Practice of Engineering examination 
prepared by the National Council of Examiners for Engineering and Surveying 
(NCEES). 
(A) Examinations shall be held in Austin or places designated by the board as 
scheduled by NCEES. 
(B) Examinations may be scheduled by obtaining the necessary forms from the 
board office and submitting it to the board with the appropriate fee. 
(C) Engineering students may schedule the Fundamentals of Engineering 
examination and Principles and Practice of Engineering examination at their 
participating school through the engineering dean's office. 
(D) Individuals who plan to take an examination must have their completed 
examination scheduling form and the appropriate fee in the board office by the 
close of regular business on the date established by the examination policy 
adopted by the board. 
(E) The principles and practice of engineering examination is open only to 
licensed engineers and to applicants who have received board approval to take 
it. 
(F) Examination fees shall be not be refunded. 
(3) The Texas Ethics of Engineering Examination shall be open book and shall be 
prepared and administered by the board. Each applicant must satisfactorily 
complete this examination and submit it with the application.
(b) The board shall adopt an examination policy at least once a year which shall 
include at least the following as listed in paragraphs (1)-(4) of this 
subsection: 
(1) the places where the examinations shall be held; 
(2) the dates of the examinations and the deadline date for an examinee to 
schedule an examination; 
(3) fees for each examination; 
(4) types of examinations offered. 
(c) An undergraduate student who is within two full-time regular semesters (not 
including summer sessions) of graduating and who is enrolled in an EAC/ABET-
accredited engineering program, a TAC/ABET-accredited four year baccalaureate 
technical program, or an engineering-related science program of four years or 
more that has been approved by the board, may take the Fundamentals of 
Engineering examination and Principles and Practice of Engineering examination 
at their school provided the school administers the examination as prescribed by 
the board. 
(d) A graduate student may take the Fundamentals of Engineering examination and 
Principles and Practice of Engineering examination at their school provided the 
school administers the examination as prescribed by the board, that student is 
enrolled in an EAC/ABET-accredited graduate degree program or in a graduate 
program at an institution which has an EAC/ABET-accredited undergraduate degree 
program in that discipline, and the student has: 
(1) a baccalaureate degree that is EAC/ABET-accredited; 
(2) an engineering or engineering-related science program degree that has been 
approved by the board; or 
(3) a non-engineering related curriculum or other degree in which the student 
has provided evidence acceptable to the executive director as meeting the 
minimum requirements of Texas Engineering Practice Act (Act), sec.12(a)(1) or 
(2). 
(e) Persons who appear to meet the educational requirements for a license and 
who have not passed the Fundamentals of Engineering examination and Principles 
and Practice of Engineering examination while in college may apply to the board 
to take the examination in Austin or at other sites designated by the board. 
(f) It is the intent of the board to utilize the examination as an integral part 
of the licensing process; all applicants are expected to have passed the 
examinations or to offer sufficient evidence of their qualifications in the 
absence of passage of the examinations. The board may waive one or both of the 
experience and knowledge examinations for applicants who do not pose a threat to 
the public health, safety, or welfare; request a waiver in writing; and meet one 
of the following requirements listed in paragraphs (1)-(3) of this subsection: 
(1) persons who have 12 or more years of engineering experience and meet the 
educational requirements of the Act, sec.12(a)(1); or 
(2) persons who have 16 years of engineering experience and meet the educational 
requirements of the Act, sec.12(a)(2); or 
(3) persons who have: 
(A) a Ph.D. degree in engineering from a recognized college or university that 
offers an EAC/ABET-approved undergraduate or master's degree program in a 
related branch of engineering; and 
(B) applied under the Act, sec.12(a)(1); and 
(C) taught in an EAC/ABET program for at least six years.
(g) Applicants requesting a waiver from any examination(s) shall file any 
additional information needed to substantiate the eligibility for the waiver 
with the application. Applicants who have never been licensed in any 
jurisdiction shall provide at least nine references, five of which shall be from 
licensed professional engineers. The board shall review all elements of the 
application including waiver request(s) and shall grant waivers through the 
application review and evaluation process. 
(h) Applicants providing an official verification from an NCEES member board 
certifying that they have passed at least the eight-hour examination in that 
state shall not be required to take that examination again. 
(i) The following shall apply to the Fundamentals of Engineering examination and 
Principles and Practice of Engineering examination. 
(1) The following individuals may register to take the Fundamentals of 
Engineering examination and Principles and Practice of Engineering examination:
(A) license holders who wish to take the examination for record purposes; 
(B) applicants for a license approved by the board; 
(C) other persons who have been approved or directed by the board to take the 
examination. 
(2) Applicants approved to take the Fundamentals of Engineering examination and 
Principles and Practice of Engineering examination:
(A) shall be advised of the first examination date for which they are eligible; 
(B) shall be solely responsible for timely registration for the examination and 
any payment of examination fees; 
(C) shall have no more than four consecutive examination opportunities, 
including the examination given on the date of the first available examination, 
to pass the examination. No extensions shall be granted under any circumstances.
(3) Applications for applicants who do not pass the examination within the 
allotted time shall be non-approved. 
(4) After an application has been non-approved for not passing the examination, 
an applicant may immediately apply for a license under the law and rules in 
place when submitting the new application. 
(5) There are two groups of the Fundamentals of Engineering examination and 
Principles and Practice of Engineering examination offered.
(A) Group 1 examinations are offered both in the spring and fall of each year 
and include the following branches of engineering: chemical, civil, electrical, 
environmental, mechanical, and structural examinations I and II. 
(B) Group 2 examinations are offered only in the fall and include examinations 
in the following branches of engineering: agriculture, control systems, fire 
protection, industrial, manufacturing, metallurgical, mining/mineral, nuclear, 
and petroleum.

sec.131.105.Examination Analysis.
(a) In accordance with the Texas Engineering Practice Act, sec.14(c), a written 
analysis will be provided to anyone failing an examination:
(1) provided the analysis has not been previously given to the applicant with 
the written notice of failure; and 
(2) provided a written request is received in the board office during the period 
the actual examination is retained in the board files. 
(b) No further review or regrading is available for the Fundamentals of 
Engineering examination and Principles and Practice of Engineering examination.
(c) Further, privileges of viewing the Fundamentals of Engineering examination 
and Principles and Practice of Engineering examination results or requesting 
regrading, etc., as permitted by the uniform examination procedures set out by 
the National Council of Examiners for Engineering and Surveying (NCEES), may 
also be available: 
(1) only at the dates and times made available by the board in the letter of 
failure notice; and 
(2) provided that any costs associated with regrading by NCEES will be paid by 
the examinee.
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 6, 1997.
TRD-9710290
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Board Review of Application
22 TAC sec.sec.131.111-131.120
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710301
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.111-131.116
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623. 

sec.131.111.Reviewing, Evaluating and Processing Applications. 
All references to the executive director in this section shall allow for the 
delegation of authority by the executive director to other staff members. The 
following list of activities as shown in this section shall be conducted in 
order:
(1) application is received at the board office in Austin, Texas; 
(2) the executive director shall review it for completeness;
(3) the executive director shall accept the application as complete for 
processing and evaluating, or shall accept the application and notify the 
applicant at the earliest possible time of information not yet submitted, and 
give the applicant 30 days to complete it; 
(4) the executive director or a professional engineer designee shall review and 
evaluate the qualifications found in the application and issue a recommendation 
of approval, non-approval or personal interview;
(5) the executive director may approve the application without further board 
action if the applicant: 
(A) is applying under Texas Engineering Practice Act, sec.12(a) (1); 
(B) has more than six years of experience; 
(C) is not requesting a waiver of examinations; 
(D) is recommend for a license without reservation by all references; 
(E) is of a character and reputation acceptable to the board; and 
(F) has not violated the Act or board rules. 
(6) The application shall be circulated among the professional engineer board 
members if any of the six conditions listed in paragraph (5) (A) -(F) of this 
section are not met. 
(A) The application is approved if the first reviewing board member agrees with 
an executive director recommendation of approval. 
(B) Circulation shall continue until a majority vote is cast if an application 
receives a recommendation of non-approval or personal appearance by the 
executive director or the first board member. 
(7) The approval of an application shall be either:
(A) to take the Fundamentals of Engineering examination and Principles and 
Practice of Engineering examination; or 
(B) to issue a license to an applicant who has passed the principles and 
practice of engineering examination or who has had that examination waived. 
(8) When the process is complete and a decision has been reached, the board 
shall complete the consideration of the application through the issuance or 
denial of a license and confirm such action in the regular order of business at 
the next quarterly board meeting. 

sec.131.112.Processing of Non-approved Applications.
(a) If the applicant does not submit all documents required in the time allowed 
for such submittals, the application shall be reviewed and evaluated and shall 
be recommended for non-approval. 
(b) If a majority of engineer board members vote to non-approve an application 
on the basis of information available to the board that the applicant does not 
meet the requirements of the Texas Engineering Practice Act, sec.12(a)(1) or 
(2), the application shall be non-approved. 
(c) The applications of applicants who do not pass the Fundamentals of 
Engineering examination and Principles and Practice of Engineering examination 
in the prescribed time shall be non-approved. 
(d) The applicant shall be advised in writing of the Board's action. 
(e) Although records of all submittals from an applicant shall be available to 
the board during subsequent applications, previous board actions shall not 
prejudice a subsequent application from the same person.
(f) A record of this action shall be made a part of the minutes of the next 
regular board meeting. 

sec.131.113.Reconsideration of Non-Approved Applications or Examination Waivers. 
(a) Reconsideration is not available to persons whose application is non-
approved because of the failure to pass the principles and practice of 
engineering examination. 
(b) If the application is voted non-approved because of the merits of the 
application, the completeness or incompleteness of the application, or if the 
board did not grant a request to waive one or more examinations, then the 
applicant may initiate a request that the application be reconsidered provided: 
(1) the request is in writing; 
(2) the request includes additional information bearing on the deficiency of the 
original application; 
(3) the request is received at the board office by the close of business on or 
before the 60th calendar day from the date of the letter notifying the applicant 
of non-approval; and 
(4) no previous reconsideration has been given during this application. 
(c) If a valid request for reconsideration is received, the application shall 
repeat the process of application review. Applicants whose applications or 
requests for an examination waiver are non-approved under reconsideration may 
request a personal interview. 

sec.131.114.Personal Interviews of Applicants.
(a) The Licensing Committee of the board may schedule and conduct a personal 
interview: 
(1) by issuing an invitation to provide additional information or clarify 
information submitted in support of the application; 
(2) by approving a request from an applicant to review and possibly recommend an 
altered decision of a reconsideration for an application that has been voted 
non-approved, or where a waiver of an examination has not been granted. 
(b) A request to appear before the Licensing Committee must be made in writing 
and received at the board office by the close of business on or before the 60th 
calendar day from the date of the letter notifying the applicant that the 
reconsideration was non-approved. 
(c) An applicant appearing for a personal interview shall be scheduled by the 
executive director to appear at the next appropriate Licensing Committee 
meeting. 
(d) The executive director may excuse and reschedule an applicant for a personal 
interview for cause. The committee may withdraw an invitation or permission for 
a personal interview for any reason including a previous failure to appear. 
(e) The personal interview is not to be construed as a hearing, but is held to 
obtain additional or clarifying information in support of an application. 
(f) The acceptance or refusal of the board's invitation or the Board's 
disapproval of an applicant's request for a personal interview shall not 
prejudice the board's consideration of a future application. 
(g) The Licensing Committee shall recommend approval or non-approval of an 
application to the full board at the next regular board meeting. Applicants who 
have appeared for a personal interview may appear and testify before the full 
board at this time. Requests for reconsideration of an examination waiver 
request shall be forwarded to the board for approval only if the committee finds 
such a waiver in order. If the committee does not recommend a waiver, the 
previous board approval or non-approval is sustained. These actions shall 
constitute the last administrative appeal available to the applicant. 

sec.131.116.Issuance of License.
(a) A license as a professional engineer shall be issued upon the approval of 
the application by the board.
(b) The fee which accompanied the application is applied toward the required 
licensing fee for the first partial year of licensure.
(c) The new license holder shall be assigned a serial number issued 
consecutively in the order of approval.
(d) The applicant shall be advised by the executive director of:
(1) the approval;
(2) the serial number;
(3) instructions to obtain a seal;
(4) the instructions to return a recent, wallet-size, portrait photograph.
(e) The applicant shall:
(1) obtain a seal(s);
(2) place the seal imprint(s) on the form provided by the board and return it to 
the board office;
(3) furnish the wallet-size portrait photograph to the board for its files.
(f) Any applicant who fails to furnish an acceptable seal impression or portrait 
within a period of 60 days after the notice is mailed shall be in violation of 
the Texas Engineering Practice Act, sec.22 and board rules and shall be subject 
to sanctions.
(g) The printed license shall bear the signature of the chairman and the 
secretary of the board, bear the seal of the board, and bear the full name and 
license number of the license holder.
(h) The printed license shall be uniform and of a design approved by the board. 
Any new designs for a printed license shall be made available to all license 
holders upon request and payment of a replacement certificate fee.
(i) A license issued by the board is as a professional engineer, regardless of 
branch designations or specialty practices. practice is restricted only by the 
license holder's professional judgment and applicable board rules regarding 
professional practice and ethics.
(j) The records of the board shall indicate a branch considered by the board or 
license holder to be dominant. The branch designation is limited to those 
branches listed in sec.131.52 of this title (relating to Applications for a 
Professional Engineer License) and those identified in paragraphs (1)-(9) of 
this subsection:
(1) (A) aeronautical/aerospace;
(2) (R) biomedical;
(3) (Q) engineering sciences;
(4) (G) geological;
(5) (O) ocean;
(6) (T) textile;
(7) (D) ceramic;
(8) (S) sanitary;
(9) (Y) other.
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 6, 1997.
TRD-9710291
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Registration
22 TAC sec.sec.131.131-131.133, 131.137-131.141
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710292
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Licensing
22 TAC sec.sec.131.131-131.133
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623.

sec.131.131.Regular and Temporary Licenses. 
All licenses issued by the board shall be considered regular licenses and are 
fully renewable annually until such time as the board takes specific action to 
prevent such, a provision of the Texas Engineering Practice Act prevents such, 
or the license holder requests that the license be temporary. When the license 
holder so requests, the holder's regular license shall be converted to temporary 
status and may only be renewed twice. A temporary license holder shall be 
subject to all other rules and legal requirements to which a holder of a regular 
license is subject. The executive director shall be also be authorized to 
convert a regular license to a temporary license at the time the regular license 
is issued provided a request for such has been received. 

sec.131.133.Professional Designations.
License holders may publicly represent themselves as any type of engineer. The 
term "licensed professional engineer" and "registered professional engineer" and 
variations of those terms are interchangeable and may be used at the license 
holders discretion. Certificates, seals, and other official documentation 
showing earlier terminology shall be considered valid for all purposes.
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710293
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Professional Conduct and Ethics
22 TAC sec.sec.131.151-131.157
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710294
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.151-131.156
The new sections are adopted under Texas Civil Statutes, Article 3271a, 
sec.8(a), which provide the Texas State Board of Registration for Professional 
Engineers with the authority to promulgate rules in accordance with Senate Bill 
623.

sec.131.152.Engineers Shall Be Objective and Truthful.
(a) Engineers shall issue statements only in an objective and truthful manner. 
Engineers should strive to make affected parties aware of the engineers' 
professional concerns regarding particular actions or projects, and of the 
consequences of engineering decisions or judgments that are overruled or 
disregarded. 
(b) The issuance of oral or written assertions in the practice of engineering 
which are fraudulent, deceitful, or misleading or on which in any manner 
whatsoever tend to create a misleading impression constitutes misconduct. 
(c) The engineer shall disclose a possible conflict of interest to a potential 
or current client or employer upon discovery of the possible conflict. 
(d) An engineer commits misconduct by accepting employment when a reasonable 
probability exists that the engineer's own financial, business, property, or 
personal interests may affect any professional judgment, decisions, or practices 
exercised on behalf of the client or employer. 
(e) Engineers shall only issue work conforming with the board's sealing rules. 
However, an engineer, as a third party, may alter, complete, correct, revise, or 
add to the work of another engineer when engaged to do so by a client, provided: 
(1) the client furnishes the documentation of such work submitted to the client 
by the first engineer; 
(2) the first engineer is notified in writing by the second engineer of the 
engagement immediately upon acceptance of the engagement; and 
(3) any work altered, completed, corrected, revised, or added to shall have a 
seal affixed by the second engineer. The second engineer then becomes 
responsible for any alterations, additions or deletions to the original design 
including any effect or impact of those changes on the original engineer's 
design. 

sec.131.155.Engineers' Responsibility to the Profession. 
(a) Engineers shall engage in professional and business activities in an honest 
and ethical manner. Engineers should strive to promote responsibility, 
commitment, and ethics both in the education and practice phases of engineering. 
They should attempt to enhance society's awareness of engineers' 
responsibilities to the public and encourage the communication of these 
principles of ethical conduct among engineers. 
(b) The engineer shall: 
(1) endeavor to meet all of the applicable professional practice requirements of 
federal, state and local statutes, codes, regulations, rules or ordinances in 
the performance of engineering services; 
(2) exercise reasonable care or diligence to prevent the engineer's partners, 
associates, and employees from engaging in conduct which, if done by the 
engineer, would violate any provision of the Texas Engineering Practice Act, 
general board rule, or any of the professional practice requirements of federal, 
state and local statutes, codes, regulations, rules or ordinances in the 
performance of engineering services; and 
(3) exercise reasonable care to prevent the association of the engineer's name, 
professional identification, seal, firm or business name in connection with any 
venture or enterprise which the engineer knows, or should have known, is 
engaging in trade, business or professional practices of a fraudulent, 
deceitful, or dishonest nature, or any action which violates any provision of 
the Texas Engineering Practice Act or board rules. 
(c) The engineer shall not: 
(1) aid or abet, directly or indirectly, any unlicensed person, or business 
entity in the unlawful practice of engineering; 
(2) maliciously injure or attempt to injure or damage the professional 
reputation of another by any means. This does not preclude an engineer from 
giving a frank but private appraisal of engineers or other persons or firms when 
requested by a client or prospective employer; 
(3) retaliate against a person who provides reference material for an 
application for a license; 
(4) give, offer or promise to pay or deliver, directly or indirectly, any 
commission, gift, favor, gratuity, benefit, or reward as an inducement to secure 
any specific engineering work or assignment; 
(5) accept compensation or benefits from more than one party for services 
pertaining to the same project or assignment; 
(6) solicit professional employment in any false or misleading advertising; 
(7) submit or request, orally or in writing, a competitive bid to perform 
engineering services for a political subdivision of the State of Texas unless 
specifically authorized by state law. 
(A) For purposes of this section, the board considers competitive bidding to 
perform engineering services to include the submission of any monetary cost 
information in the initial step of selecting qualified engineers. Cost 
information or other information from which cost can be derived must not be 
submitted until the second step of negotiating a contract at a fair and 
reasonable cost. 
(B) This section does not prohibit competitive bidding in the private sector. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 6, 1997.
TRD-9710295
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Compliance and Enforcement
22 TAC sec.sec.131.161-131.167
The amendment and new sections are adopted under Texas Civil Statutes, Article 
3271a, sec.8(a), which provide the Texas State Board of Registration for 
Professional Engineers with the authority to promulgate rules in accordance with 
Senate Bill 623.

sec.131.167. Disciplinary Actions.
(a) Under the authority and provisions of the Texas Engineering Practice 
Act(Act), sec.8 and sec.22, the board shall take disciplinary action against a 
license holder who is found censurable for a violation of law or rules. A 
disciplinary action may be composed of any one or combination of the following 
listed in paragraphs (1)-(6) of this subsection: 
(1) revocation of a license; 
(2) suspension of a license; 
(3) probation of a suspended license; 
(4) refusal to renew a license; 
(5) issuance of a formal or informal reprimand; 
(6) assessment of an administrative penalty under the Act, sec.22C. 
(b) All disciplinary actions issued by the board will take the form of a board 
order. All disciplinary actions shall be permanently recorded and made available 
upon request as public information. Except for an informal reprimand, all 
disciplinary actions shall be published in the board newsletter, may be released 
in a press release, and shall be transmitted to the National Council of 
Examiners for Engineering and Surveying. 
(c) A license holder whose license has expired for nonpayment of renewal fees 
continues to be subject to all provisions of the Act and board rules governing 
license holders until the license is revoked by the board or becomes non-
renewable under the Act, sec.16(e). 
(d) Upon determination that sufficient probable cause exists to indicate that a 
violation of law or rules may have occurred, the executive director shall notify 
the license holder, here after referred to in this section as "respondent", by 
personal service or by certified or registered mail of the alleged violation. 
The respondent shall be afforded an opportunity to present rebuttals, arguments 
and evidence to the board prior to the initiation of disciplinary proceedings. 
If a respondent does not respond, the board may proceed with a contested case 
hearing. 
(e) If, after evaluation of the respondent's response a violation appears 
evident, the executive director shall initiate disciplinary action. Before 
proceeding with the formal contested case hearing process, the respondent shall 
have an opportunity to resolve the allegations informally. 
(1) The license holder may request an informal conference to present additional 
evidence and discuss particulars of the allegation. Upon receipt of such a 
request the executive director shall schedule a conference at the board office 
or other location, and shall appoint an informal conference committee composed 
of one board member, the executive director, and legal counsel; the committee 
may meet and act provided that no more than one committee member is absent. 
Other persons designated by the respondent or the executive director may be 
present as resources or as legal counsel to respondent. The informal conference 
committee shall hear the particulars of the allegations, and shall recommend: 
(A) dismissal by the executive director; 
(B) a proposal for an agreed board order for disciplinary actions that will be 
presented to the board for acceptance or rejection; or 
(C) scheduling of a formal hearing. 
(2) The executive director may also offer the respondent a consent order that 
will be presented to the board for acceptance or rejection. If the respondent 
declines such an offer, or if the board rejects it, the procedures in paragraphs 
(1) or (3) of this subsection will be followed.
(3) Any board action under this subsection which is not informally disposed by 
agreed or consent order, will be considered a contested case and will be handled 
in accordance with applicable law and board rules.
(f) Criminal convictions shall be handled as shown in paragraphs (1)-(3) of this 
subsection: 
(1) The board shall follow the requirements of Texas Civil Statutes, Article 
6252-13c, and shall revoke the license of any license holder incarcerated as a 
result of a felony conviction, or violation of felony probation or parole, or 
revocation of mandatory supervision subsequent to being licensed as a 
professional engineer. 
(2) The board may take any of the actions set out in subsection (a) of this 
section when a license holder is convicted of a misdemeanor or a felony without 
incarceration if the crime directly relates to the license holder's duties and 
responsibilities as a professional engineer. 
(3) Any license holder whose license has been revoked under the provisions of 
this subsection may apply for a new license upon release from incarceration, but 
the application shall be subject to additional scrutiny relating to the 
incarceration. Such scrutiny shall be in accordance with Texas Civil Statutes, 
Article 6252-13c. 
(g) The board, the executive director, an administrative law judge, and the 
participants in an informal conference may arrive at a greater or lesser 
sanction than suggested in these rules. Allegations and disciplinary actions 
will be set forth in the final board order and the severity of the disciplinary 
action will be based on the factors listed in paragraphs (1)-(9) of this 
subsection: 
(1) the seriousness of the acts or omissions; 
(2) the number of prior disciplinary actions taken against the respondent; 
(3) the severity of penalty necessary to deter future violations; 
(4) efforts or resistance to correct the violations; 
(5) any hazard to the health, safety, property or welfare of the public; 
(6) any actual damage, physical or otherwise, caused by the violations; 
(7) any economic benefit gained through the violations;
(8) the economic harm to property or the environment caused by the violation; 
(9) any other matters impacting justice and public welfare.
(h) The following is a table of suggested sanctions the board may levy against 
license holders for specific infractions of the Act or rules; the minimum 
administrative penalty will be $100 per violation:
Figure 1: 22 TAC sec.131.167(h) 
(i) The following is a table of suggested sanctions that may be imposed against 
unlicensed individuals for specific infractions of the Act; the minimum 
administrative penalty will be $100 per violation:
Figure 2: 22 TAC sec.131.167(i) 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710296
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.sec.131.162-131.167
The repeals are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710297
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Complaints
22 TAC sec.sec.131.171-131.173
The amendments are adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 

sec.131.171.General. 
(a) Complaints alleging violations of the Texas Engineering Practice Act(Act) or 
board rules must be made in good faith and be accompanied by sufficient 
information and factual evidence for the executive director to determine if 
probable cause exists. The board is not responsible for proving the basis of a 
complaint. If probable cause cannot be found, the executive director shall 
dismiss the allegation without further action. 
(b) Complaints shall normally be submitted in writing along with copies or 
originals of all supporting evidence; however, the executive director may 
initiate an inquiry based on any information establishing probable cause. 
(c) The board may proceed or not proceed with an investigation, regardless of 
any civil or criminal actions with any of the parties involved. Withdrawal of a 
complaint shall not impact an on-going investigation. 
(d) The board will receive and investigate confidential complaints against 
license holders or any other person who may have violated this Act. The board 
shall maintain the confidentiality of the complaint during the investigation of 
the complaint. The investigation phase of the complaint shall be considered 
complete for the purposes of maintaining confidentiality when formal charges 
have been filed. 

sec.131.173. Complaints Against Unlicensed Persons, or Firms, Partnerships and 
Other Entities. 
(a) Complaints alleging violations of the Texas Engineering Practice Act(Act) or 
board rules should be submitted in writing, but need not be on complaint forms. 
(b) The executive director may accept an oral complaint if the allegation can be 
substantiated by documents readily available to the board. 
(c) Upon determination that a violation of the Act or board rules has occurred, 
the board may take one or more of the following actions listed in paragraphs 
(1)-(4) of this subsection: 
(1) enter into an agreement of voluntary compliance; or 
(2) file an injunctive suit to obtain compliance; or 
(3) file a criminal complaint with the appropriate prosecuting authority as 
provided by the Act, sec.23; or 
(4) impose an administrative penalty against any person or entity as provided 
under the Act, sec.22C. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 6, 1997.
TRD-9710298
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

Hearings - Contested Cases
22 TAC sec.131.182
The amendment is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), 
which provide the Texas State Board of Registration for Professional Engineers 
with the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710299
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

22 TAC sec.131.224
The repeal is adopted under Texas Civil Statutes, Article 3271a, sec.8(a), which 
provide the Texas State Board of Registration for Professional Engineers with 
the authority to promulgate rules in accordance with Senate Bill 623. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority.
Issued in Austin, Texas, on August 6, 1997.
TRD-9710300
John R. Speed, P.E.
Executive Director
Texas State Board of Registration for Professional Engineers
Effective date: September 1, 1997
Proposal publication date: July 1, 1997
For further information, please call: (512) 440-7723

PART XIII. Texas Board of Nursing Facility Administrators
CHAPTER 241.Nursing Facility Administrators
22 TAC sec.241
(Editor's Note: In order to comply with Senate Bill 84, Act of May 28, 1997, 
Senate Bill 84, sec.1.04, 75th Legislature, Regular Session, which transfers all 
functions, obligations, rights, contracts, records, and rules from the Texas 
Board of Nursing Facility Administrators, Title 22, Part XIII, Chapter 241, 
Nursing Facility Administrators to the Texas Department of Human Services, Title 
40, Part I, Chapter 18, Nursing Facility Administrators. The transfer is 
effective September 1, 1997.
The Texas Register is administratively transferring the following rules listed 
in the conversion chart published in this issue under the Tables and graphics 
section. The table lists the old rule numbers and the new rule numbers that 
correspond to them.)
Figure: 40 TAC Chapter 18

TITLE 25. HEALTH SERVICES
PART II. Texas Department of Mental Health and Mental Retardation
CHAPTER 401. System Administration
SUBCHAPTER B. Interagency Agreements
25 TAC sec.401.58
The Texas Department of Mental Health and Mental Retardation (TDMHMR) adopts 
amendments to sec.401.58, concerning Interagency Agreements, without changes to 
the proposed text as published in the February 11, 1997, issue of the Texas 
Register (22 TexReg 1559).
No changes were made to the text of the memorandum of understanding (MOU) 
referenced in the section which is adopted by reference. The text of the MOU was 
published for public comment in the February 11, 1997, issue of the Texas 
Register (22 TexReg 1600) as rules of the Texas Department of Human Services 
(TDHS) at 40 TAC sec.72.501 (relating to Memorandum of Understanding Concerning 
the Capacity Assessment of Persons Who are Elderly and Persons with Mental 
Retardation and/or Developmental Disabilities). TDHS adopted the MOU in the 
Tuesday, July 21, 1997, issue of the Texas Register without changes to the 
proposed text. 
The MOU between TDHS and TDMHMR is required by the Texas Health and Safety Code, 
sec.533.044. It defines who may initiate and administer the assessment tool and 
requires both agencies to write a final report on the results of the capacity 
assessment tool pilot study, develop the final version of the assessment tool, 
and implement use of the tool at nursing facilities which are licensed by TDHS 
and at residential service facilities which contract with or are operated by 
TDMHMR. 
Written comments were received from the following public individuals and 
entities: the parent/guardian of state school resident, Garland; Parent 
Association for the Retarded of Texas, Austin; Tarrant County Mental Health and 
Mental Retardation Services, Fort Worth; and Sweetbriar Development Center; West 
Columbia. 
Two commenters noted that the MOU text in (d) calls for the initiation of a 
capacity assessment by the interdisciplinary team at nursing facilities and the 
planning team at residential care facilities. The commenters noted that nursing 
facilities have planning teams and residential care facilities have 
interdisciplinary teams, and requested that the designations be reversed. 
Similar language exists in (e) of the MOU, the commenters stated. The department 
agrees with the observation and will review and revise the language as necessary 
when the final MOU is proposed for adoption after completion of the pilot 
project report. 
Two commenters expressed concern with language in (e)(2) of the MOU which 
specifies that the assistance by nursing home team members other than the social 
worker in the administration of the assessment was optional, noting that the 
assessment should not be one person's opinion of the individual's capacity. The 
commenters further stated that the IDT at residential care facilities must 
review and approve the results of the capacity assessment. The department 
responds that the language will be reviewed and revised as necessary when the 
final MOU and final rules are proposed for adoption after completion of the 
pilot project report. 
A commenter suggested that the licensed or certified professional designated by 
the team of a residential care facility to conduct the assessment would be a 
qualified mental retardation professional (QMRP) and that there is no formal 
system in place to license or certify QMRPs. The department responds that the 
language will be reviewed and revised as necessary when the final MOU is 
proposed for adoption after completion of the pilot project report and when 
rules implementing use of the capacity assessment tool in residential care 
facilities are proposed. 
A commenter questioned why the assessment tool was not attached to the proposal 
upon distribution and asked whether community centers with residential programs 
will be held accountable for use of the tool prior to final adoption of the MOU. 
The department responds that this MOU addresses only the statutorily required 
pilot projects and, therefore, the assessment tool was not distributed with the 
proposal. Only those residential care facilities chosen as pilot sites are 
required to use the assessment tool under the terms of this MOU. The assessment 
tool is to be revised based upon the results of the pilot projects and will be 
distributed along with final rules at a later date for review and comment. 
The section is adopted under the Texas Health and Safety Code, sec.532.015, 
which provides the Texas Mental Health and Mental Retardation Board with broad 
rulemaking authority, and with sec.533.044, which requires the MOU to be adopted 
by rule. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 8, 1997.
TRD-9710404
Ann Utley
Chair, Texas MHMR Board
Texas Department of Mental Health and Mental Retardation
Effective date: September 1, 1997
Proposal publication date: February 11, 1997
For further information, please call: (512) 206-4516

TITLE 40. SOCIAL SERVICES AND ASSISTANCE
PART I. Texas Department of Human Services
CHAPTER 18.Nursing Facility Administrators
40 TAC sec.18
(Editor's Note: In order to comply with Senate Bill 84, Act of May 28, 1997, 
Senate Bill 84, sec.1.04, 75th Legislature, Regular Session, which transfers all 
functions, obligations, rights, contracts, records, and rules from Title 22, 
Part XIII, Chapter 241, the Texas Board of Nursing Facility Administrators, to 
the Texas Department of Human Services, Title 40, Part I, Chapter 18, Nursing 
Facility Administrators. The transfer is effective September 1, 1997. 
The Texas Register is administratively transferring the following rules listed 
in the conversion chart published in this issue under the Tables and graphics 
section. The table lists the old rule numbers and the new rule numbers that 
correspond to them.)
Figure: 40 TAC Chapter 18

CHAPTER 19.Nursing Facilities Requirements for Licensure and Medicaid 
Certification
SUBCHAPTER BB.Nursing Facility Program Cost Determination Process 
40 TAC sec.19.2701
The Texas Department of Human Services (DHS) adopts an amendment to sec.19.2701 
without changes to the proposed text published in the June 13, 1997, issue of 
the Texas Register (22 TexReg 5741). 
Justification for the amendment is that DHS will have the flexibility it needs 
to incorporate ongoing costs initially paid through the voucher system into the 
daily rate, while safeguarding against paying providers twice for the same 
service. 
The amendment will function by allowing the reporting of voucherable costs on 
nursing facility cost reports if department procedures pertaining to the voucher 
indicate that such costs are to be reported. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under the Human Resources Code, Title 2, Chapters 22 
and 32, which authorizes the department to administer public and medical 
assistance programs; and under Texas Government Code, sec.531.021, which 
provides the Health and Human Services Commission with the authority to 
administer federal medical assistance funds. 
The amendment implements the Human Resources Code, sec.sec.22.001-22.030 and 
sec.sec.32.001-32.042. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 8, 1997.
TRD-9710383
Glenn Scott
General Counsel, Legal Services
Texas Department of Human Services
Effective date: September 1, 1997
Proposal publication date: June 13, 1997
For further information, please call: (512) 438-3765

CHAPTER 47.Primary Home Care
Claims Payment
40 TAC sec.47.3906
The Texas Department of Human Services (DHS) adopts an amendment to sec.47.3906, 
without changes to the proposed text published in the June 13, 1997, issue of 
the Texas Register (22 TexReg 5741). 
The justification for the amendment is to require a provider agency to obtain 
written approval from DHS only if the agency intends to use a form which 
deviates in format and/or in information from the DHS designed form. DHS is also 
reducing the administrative recoupment exception from 17% to 12%, and clarifying 
that DHS applies an administrative exception to the provider agency's entire pay 
period if the signature, date, or the total pay period number of hours is 
corrected. If the correction is only on the record of time for a particular day, 
DHS applies the error only to the number of units corrected for that day. 
The amendment will function by simplifying the process for using substitute DHS 
forms, reducing the Primary Home Care administrative exception, and providing 
public access to correct information concerning the penalty for improper 
correction of the timesheet. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under the Human Resources Code, Title 2, Chapters 22 
and 32, which provides the department with the authority to administer public 
and medical assistance programs and under Texas Government Code, sec.531.021, 
which provides the Health and Human Services Commission with the authority to 
administer federal medical assistance funds. 
The amendment implements the Human Resources Code, sec.sec.22.001-22.030 and 
32.001-32.041. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 8, 1997.
TRD-9710384
Glenn Scott
General Counsel, Legal Services
Texas Department of Human Services
Effective date: September 1, 1997
Proposal publication date: June 13, 1997
For further information, please call: (512) 438-3765

CHAPTER 49.Contracting for Community Care Services
40 TAC sec.49.11
The Texas Department of Human Services (DHS) adopts an amendment to sec.49.11, 
without changes to the proposed text published in the June 13, 1997, issue of 
the Texas Register (22 TexReg 5742). 
The justification for the amendment is to require a provider agency to obtain 
written approval from DHS only if the agency intends to use a form which 
deviates in format and/or in information from the DHS designed form. It 
additionally clarifies that the provider agency must not preprint or pre-enter 
any information on the service delivery portion of any form used to document 
services provided. 
The amendment will function by providing a simplified process for using 
substitute DHS forms. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under the Human Resources Code, Title 2, Chapters 22 
and 32, which provides the department with the authority to administer public 
and medical assistance programs and under Texas Government Code, sec.531.021, 
which provides the Health and Human Services Commission with the authority to 
administer federal medical assistance funds. 
The amendment implements the Human Resources Code, sec.sec.22.001-22.030 and 
32.001-32.041. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 8, 1997.
TRD-9710382
Glenn Scott
General Counsel, Legal Services
Texas Department of Human Services
Effective date: September 1, 1997
Proposal publication date: June 13, 1997
For further information, please call: (512) 438-3765

PART II. Texas Rehabilitation Commission
CHAPTER 117.Special Rules and Policies
40 TAC sec.117.6
The Texas Rehabilitation Commission adopts new sec.117.6, concerning an 
education assistance program, without changes to the proposed text as published 
in the July 8, 1997, issue of the Texas Register (22 TexReg 6413). 
The section is being adopted to add a new rule to Chapter 117 regarding a 
program for employees to receive education assistance. 
No comments were received regarding adoption of the new section. 
The new section is adopted under the Texas Human Resources Code, Title 7, 
Chapter 111, sec.111.052(b)(6)(7), which provides the Texas Rehabilitation 
Commission with the authority to promulgate rules consistent with Title 7, Texas 
Human Resources Code. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 2, 1997.
TRD-9710317
Charles W. Schiesser
Chief of Staff
Texas Rehabilitation Commission
Effective date: August 27, 1997
Proposal publication date: July 8, 1997
For further information, please call: (512) 424-4050

PART XX. Texas Workforce Commission
CHAPTER 800.General Administration 
[Allocation of Funds]
SUBCHAPTER B.Allocation and Funding
40 TAC sec.sec.800.51-800.57, 800.59, 800.60
The Texas Workforce Commission adopts new sec.sec.800.51-800.57, 800.59, and 
800.60, concerning the allocation of funds to local workforce development areas. 
Sections 800.53-800.57 and 800.59 are adopted with non-substantive changes to 
the proposed text as published in the June 17, 1997, issue of the Texas Register 
(22 TexReg 5820). Sections 800.51-800.52, and 800.60 are adopted without changes 
and will not be republished.
The purpose of this rule is to interpret Texas Labor Code, sec.302.062, as 
enacted in House Bill 1863, 74th Legislature (1995), relating to the allocation 
of available funds for workforce training and services from the Texas Workforce 
Commission to workforce areas. The sections provide the framework for 
facilitating allocation of funds for Jobs Opportunities and Basic Skills/ 
Temporary Assistance for Needy Families (JOBS/TANF), Food Stamp Employment and 
Training, Jobs Training Partnership Act, Child Care Services and Employment 
Services Programs. The new sections specify the method the Commission will 
employ in carrying out the allocation of funds to the local workforce 
development areas. It is the intent of the Commission to allocate funds to 
workforce areas for the purpose of meeting or exceeding statewide performance 
measures as set forth in the state General Appropriations Act. This subchapter 
sets forth the level required by law to be allocated to workforce areas. The 
Commission is committed, whenever possible, to allocating an amount of funds 
available for workforce training and services greater than the minimum level set 
by law. 
Based on a review of the proposed new rules, the following non-substantive 
changes were made. The phrase "Temporary Assistance to Needy Families" was 
changed to "Temporary Assistance for Needy Families" in sec.800.53. The 
abbreviation to Food Stamp Employment and Training Program "FSET" was changed to 
"FS E & T." The cross-reference to specific sections was eliminated from section 
sec.800.59 and a reference to Subchapter B was added. For consistency, all 
percentages are spelled out and indicated numerically within parenthesis. 
The following comments were received concerning the proposed rules. Following 
each comment is the Commission's response. 
Comment: Concerning the aggregate effect of the allocation methodologies set 
forth in the rule, a commenter opposed the change in funding when compared to 
past statewide allocation patterns. 
Response: The Commission believes that the allocation methodologies contained in 
the rule reflect the mandates in Texas Labor Code, sec.302.062, irrespective of 
past statewide allocation patterns. This section provides that the Commission 
must allocate funds for workforce training and services to local workforce 
development areas across the state according to federal allocation formulas or 
needs-based formulas. As such, the Commission disagrees with the comment because 
it believes the methodologies utilized will provide a more effective use of 
funds given the limited resources available consistent with the intent of 
statute. 
Comment: Concerning sec.800.53, which determines JOBS/TANF allocations, some 
commenters opposed the emphasis placed on two-parent families by the formula. 
Several commenters urged the Commission to allocate JOBS/TANF funds equally, 
based upon the "all family" participation rates. Several commenters opposed any 
attempt to shift funding from single-parent to two-parent families. A commenter 
suggested an allocation that serves single-parent families as well as two-parent 
families. Several commenters asked why the Commission chose to meet federal 
participation rates, rather than focus on "needs" derived purely from local 
demographic, economic, or geographic data. A commenter asked the Commission why 
it was necessary to serve or to place strong emphasis on serving two-parent 
families, when, in their opinion, doing so is not required by federal law or 
regulation. Several commenters protested a possible reduction in funding to 
their local workforce board area resulting from the statewide shift in funding 
for training and education programs. A commenter requested that the Commission 
strike sec.800.53(b)(1) through (3), and insert new (b) that would require 
allocation of funds based on the overall proportion of TANF families residing in 
a local workforce area with work requirements to the statewide total number of 
JOBS/TANF families with work requirements. A commenter stated that 
sec.800.53(b)(3) is vague and says that any weight can be used between (b)(1) 
and (b)(2) if they are balanced according to the method set forth in (b)(3). A 
commenter asked why the Commission did not add a criterion to allocate funding 
based on the number of "hard to serve" welfare recipients in a local workforce 
development area. 
Response: The Legislature appropriated funds expressly for the purposes of 
effectively serving the state's TANF population, while also satisfying federally 
mandated work participation rates for the categories of two-parent families and 
all families, as set forth in federal statute. This direction was provided to 
the Commission in the course of legislative appropriations hearings and in the 
finally approved performance measures for TANF funds, wherein it was decided the 
Commission would serve 5,299 two-parent family federal participants per month, 
and 16,607 all-family federal participants per month in fiscal 1998. The 
proposed allocation rule is consistent with these purposes. Any shift in 
resources from one area of the state to another can be attributed to the need to 
serve two-parent families, who reside primarily in the southern part of the 
state. Rather than withhold services, however, from any clients who need them, 
the Commission's goal is to maximize the number of clients who can be served 
effectively and to allocate appropriated resources in such a way as to satisfy 
the state's need to meet federal work participation rates. In response to the 
question of weights, a specific ratio between subsection (b)(1) and ((2) was not 
established so that the Commission could respond to changes in federal 
requirements, changes in demographics, and changes in costs. While the 
Commission realizes that many of the so-called "hard to serve" Jobs 
Opportunities and Basic Skills (JOBS) clients received little to no services in 
the past, it intends to make services available to all tiers of clients in the 
upcoming biennium. However, based on the availability of TANF funds and related 
performance measures for FY 1998-99, this represents the best use of resources. 
As such, the Commission disagrees with the comments because it believes this 
more effective use of funds is consistent with the intent of statute. 
Comment: Concerning sec.800.53, which determines JOBS/TANF allocations, a 
commenter urged the use of "one-time only" grants for two-parent families, as 
used successfully in other states. 
Response: Regarding the use of "one-time only" grants of cash assistance to TANF 
recipients, the proposed rule does not contemplate the use of JOBS/TANF 
employment and training funds for this purpose. The Texas Department of Human 
Services is considering this type of assistance 
Comment: Concerning sec.800.53, which determines JOBS/TANF allocations, a 
commenter urged the Commission to interpret "equitable", within the context of 
sec.800.53, to mean that all eligible recipients would have the opportunity to 
earn a living wage. 
Response: While the Commission agrees that all JOBS/TANF recipients should have 
an equal and ample opportunity to earn a living wage, the reference to 
"equitable", as it applies to this rule under Texas Labor Code, sec.302.062(c), 
relates to the distribution of funds among the local workforce development 
areas. The Commission meets this legislative mandate of an equitable 
distribution by allocating funds under sec.800.53 based on the relative 
proportions of two-parent families and single-parent families with federal work 
participation requirements residing in each local workforce development area. 
Comment: Concerning sec.800.53, which determines JOBS/TANF allocations, a 
commenter asserted that cost differentials for serving two-parent families 
versus single-parent families are unsubstantiated. The commenter also stated 
that the proposed methodology penalizes poor women and children in urban areas. 
The commenter urged the Commission to develop methodology that results in 
similar dollars allocated per family served, regardless of geographic location. 
Regarding the disparity of funds allocated per parent between Dallas ($371) and 
Hidalgo/Willacy ($1200), another commenter asked if it cost more to serve 
parents in one place versus the other. 
Response: Cost includes direct program plus administrative and overhead costs. 
Costs to serve these two populations are based on historical information derived 
from the JOBS Program as it has operated since its inception in 1990. It should 
also be noted that costs are shown per federal participant. Typically, two or 
more persons must participate in the program to achieve one federal participant. 
There are many reasons a person can be involved in the TANF Employment Program, 
yet not be countable as a federal participant, including situations in which 
clients fail to participate as scheduled, or situations in which clients may be 
between component activities or waiting for a training activity to commence. 
However, implementation of state and federal welfare reform has caused 
significant changes to the cash assistance program, requiring revisions to these 
historical costs. Examples of the changes follow. 
One of the changes includes differences in the new two-parent caseload from the 
former Unemployed Parent, or AFDC-UP, Program under JOBS. The new population 
appears to have less work history and education compared to clients 
participating in the old JOBS program. The Commission estimates that this trend 
may require additional resources to be spent serving 2-parent families. Another 
of the changes includes higher participation requirements for two-parent 
families, with each participant required to be involved in 35 hours per week of 
approved work activities. Staff-intensive services such as monitoring a broad 
array of activities to reach the 35-hour objective, and development of work 
experience positions in the public or private sector, were factored into the 
original cost estimates. 
The Commission disagrees with the comments because it strongly believes the 
allocation methods are a valid exercise of statutory authority as the methods 
are in harmony with the general objectives of the Commission's enabling statute 
and result in the most effective use of the limited funds. 
Comment: A commenter was concerned that service-cost assumptions for two-parent 
and single-parent families were not included in the rule. 
Response: Service-cost assumptions were not included in the proposed rule as 
those assumptions may vary in accordance with economic circumstances and federal 
TANF regulations which have yet to be proposed. It was the desire of the 
Commission to create a rule that establishes a needs-based formula under Texas 
Labor Code, sec.302.062(c), while maintaining flexibility and responsiveness 
during the Commission's budget process for each fiscal year in order to address 
the uncertainties of a rapidly evolving system. 
Comment: Concerning sec.800.53, which determines JOBS/TANF allocations, a 
comment was submitted relating that the proposed methodology would result in 
"maldistribution" of funds relative to "needs"; however, the comment did not 
contain definition of "needs". Another commenter proposed that meeting federal 
participation rates was not a "need" to be considered when allocating funds. 
Response: The Commission disagrees and has determined that giving greater 
priority to the state's two-parent TANF families addresses a "need," as 
indicated by the Legislature in the General Appropriations Act and the 
performance measures assigned to the JOBS/TANF appropriations for the fiscal 
1998-99 biennium. Those measures require the Commission to serve 5,299 federal 
participants each month in the two-parent family category and 16,607 federal 
participants each month in the all-family category during FY 1998. This 
determination is a valid exercise of statutory authority and is in harmony with 
the general objective of the Commission's enabling statute. 
Comment: A commenter requested that the Commission add a new sec.800.53(c) which 
would establish "hold harmless" and "stop gain" provisions for sec.800.53.
Response: The Commission declines to include "hold harmless" and "stop gain" 
provisions within the rule as such provisions are addressed in the Texas Labor 
Code sec.302.062(d) and S.B. 1262 (75th Legislature, 1997).
Comment: Concerning sec.800.54, which determines Food Stamp Employment and 
Training allocations, a commenter was opposed to the change in funding when 
compared to past statewide allocation patterns. 
the Texas Department of Human Services, was operated on a less-than-statewide 
basis, and in fact, was offered to needy Texans in only 56 out of the state's 
254 counties. Pursuant to federal food stamp law and sec.302.062(b), the 
Commission intends to allocate funding for this program on a statewide basis.
Comment: Concerning sec.800.55, which determines Job Training Partnership Act 
(JTPA) allocations, commenters were opposed to the change in funding when 
compared to past statewide allocation patterns. 
Response: Applying Texas Labor Code, sec.302.062(b), the Commission has utilized 
in the allocation rule the formula as set forth in the federal Job Training 
Partnership Act. (29 U.S.C. Chapter 19). The amount of money allocated to the 
state of Texas is appropriated by Congress and is subject to change annually. As 
such, the Commission disagrees with the comment and believes the methodologies 
utilized will provide a more effective use of funds given the limited resources 
available, consistent with the intent of statute. 
Comment: Concerning sec.800.56, which determines Child Care Services 
allocations, a commenter suggested that there is insufficient funding for child 
care services in Texas, especially in her area. 
Response: The Commission agrees, and would assert that, despite additional 
appropriations for child care services in the upcoming biennium, there is always 
the need for more funding to serve low-income families in this state. Given 
limited resources, the Commission believes its allocation rule for child care 
services, which is based on demographic factors, best distributes funding 
throughout the state of Texas. 
Comment: A commenter stated that other factors which may impact the amount of 
child care services used or the cost of services in a particular local workforce 
development area of the state should be included in the allocation 
methodologies. The factors mentioned by the commenter included the proportion of 
children enrolled in combinations of full and part time care, the number of 
children in part- week versus full-week care, the number of self-arranged care 
providers chosen by parents, the possibility of employer-paid care, and cultural 
factors which can result in extended-family members who are willing and 
available to care for children without reimbursement. 
Response: The Commission believes that the proposed rule takes into account 
differences in use of full time, part time and part week care by including a 
factor based on the "average unit rate" paid for care. The Commission agrees 
that there are also other factors which may influence an individual parent's use 
of child care services. However, those factors are numerous and cannot readily 
be measured or predicted. The inclusion of a demographic factor, measuring the 
potential number of eligible children, as a predictor of actual need for care, 
is the most reliable measure that can be used on a statewide basis. These 
demographic factors are based on population statistics that are used by many 
other programs and state agencies in determining potential need for services. 
Comment: Concerning sec.800.56, relating to the term "base amount" that is used 
several times in that section, a commenter asked how those amounts were going to 
be established. 
Response: In determining the "base amounts" used in the allocations for child 
care services, the Commission anticipates taking the following into account 
during the budget process: resource room - costs associated with initial 
stocking and on-going operation of a resource room of child development 
materials; 
Child Care Management Services (CCMS) operations - cost for core staff 
(including salaries, overhead, and fringe) needed for any CCMS contractor, 
regardless of size; 
oversight - cost for core staff in each local workforce development area 
(including salaries, overhead, and fringe) needed to oversee and manage a CCMS 
contractor regardless of the size of the contractor; and 
child care training - costs associated with managing the procurement and 
oversight of training for child care staff, regardless of the total training 
budget for an individual local workforce development area. 
Comment: Concerning sec.800.56(h), which determines child care training 
allocations, a commenter was opposed to the change in funding when compared to 
past statewide allocation patterns. The commenter notes that the formula is 
weighted unfairly in favor of rural areas, which have higher percentages of 
family day homes and fewer staff. The commenter goes on to state that the number 
of staff who need training, which is largely a function of urban child care, 
should be the predominant allocation criterion. Another commenter found the 
proposed methodology inequitable, favoring rural areas by assigning the same 
weight to registered family day homes and small centers as to large urban 
centers, which have more children and staff. 
Response: While the Commission acknowledges that there are greater numbers of 
child care staff in urban areas than in rural areas, the relatively higher costs 
for training staff in rural areas justifies the equal weighting of urban and 
rural facilities. As such, the Commission disagrees with the comment because it 
believes the methodologies utilized will provide a more effective use of funds 
given the limited resources available, consistent with the intent of statute. 
Comment: Concerning sec.800.56 generally and sec.800.56(i) specifically, a 
commenter argued that more administrative funding was necessary and requested 
that the Commission consider a higher base amount for CCMS operations or other 
equitable method of allocating operation funds to ensure sufficient 
administrative funding. 
Response: As stated previously, the CCMS operations base amount consists of the 
cost for core staff (including salaries, overhead, and fringe) needed for any 
CCMS contractor, regardless of size. The Commission will examine those costs 
within the context of the Commission's annual budget processes and will welcome 
comments and information regarding this issue. 
Comment: Concerning sec.800.60, which provides for the modification or 
reallocation of funding previously allocated, several commenters expressed 
concern that a deobligation of funds could render a recipient incapable of 
performance with regard to long- term financial commitments, such as real estate 
leases. 
Response: Prior to any modification or reallocation of funds, the Commission 
will provide notice of the proposed reallocation and an opportunity for public 
comment. Information relative to long-term financial commitments may be 
submitted to the Commission during that process. 
Comment: Concerning sec.800.60, which provides for the modification or 
reallocation of funding previously allocated, a commenter suggested the 
Commission add language restricting the exercise of such power to specific 
periods of time during a year, so that funding recipients could anticipate when 
deobligation would occur in the event of a failure to achieve program goals. 
Response: Given the uncertainties and difficulties of a substantially new state 
workforce system, the Commission, utilizing the criteria set forth in 
sec.800.60(a), believes it is justified in maintaining flexibility, based on the 
intent of H.B. 1863 to distribute limited funds in the most effective manner. 
The Commission is aware that this exercise of authority may affect an area's 
ability to plan for delivery of workforce training and services and will take 
that into account. 
Comment: Concerning the application of Texas Labor Code, sec.302.061, which sets 
the maximum amount of funding the state may reserve for state-level functions, 
to allocations made by the Commission; several commenters asked the Commission 
to adopt, by rule, a limit of 5 to 15%, rather than rely on the statutorily 
established 20 %. Several commenters suggested a reservation of less than the 
statutorily permitted maximum of 20% when the Commission adopts a budget for 
state fiscal year 1997. 
Response: As delineated in the proposed rule at sec.800.51(a), the Commission is 
committed, whenever possible, to allocating an amount of funds available for 
workforce training services that is greater than the minimum levels set out in 
state and federal law and regulations. A lower level of funding for state-level 
administrative functions was not utilized in the allocation rule as these costs 
are now uncertain, particularly in light of the transition of workforce 
planning, oversight, evaluation, and the delivery of training and services to 
local workforce development boards. We anticipate reserving less for state-level 
administration in future years, but want to preserve flexibility in meeting 
state-level costs necessary to successfully implement H.B. 1863. 
Comment: Two commenters asked whether the Commission would apply Texas Labor 
Code, sec.302.062(d), to the TANF allocation and to all categorical programs 
encompassed by the rule. 
Response: The Commission will endeavor to comply with the limitations under 
sec.302.062(d). However, the Commission has authority in S.B. 1262 (75th 
Legislature, 1997) to allocate funds available to the State under the federal 
Personal Responsibility and Work Opportunity Reconciliation Act for TANF, Food 
Stamp Employment and Training, and child care services in a manner appropriate 
to ensure compliance with federal work participation requirements and ensure 
full utilization of the funding. Also, funding received under the Job Training 
Partnership Act (JTPA) has separate federal "hold harmless" requirements found 
in sec.202(b)(2)(A) and sec.262(b)(2)(A) of the JTPA (codified as 29 U.S.C. 
sec.1602 and sec.1642) which are different from the provision enacted in H.B. 
1863. 
Comment: A commenter asked why the proposed rule did not contain the degree of 
specificity found in federal JTPA or Employment Services (ES) regulations. 
Response: It was the desire of the Commission to establish a needs-based formula 
in compliance with Texas Labor Code, sec.302.062(c), while maintaining 
responsiveness to the uncertainties of a rapidly evolving system. Toward that 
end, the Commission's rule is intended to cover situations which may arise 
during fiscal 1998, yet be open to revision or amendment upon changes in federal 
law or regulations, particularly with regard to the JOBS/TANF allocation, for 
which federal rules have yet to be proposed. 
Comment: Concerning the allocation of funds to workforce development areas where 
a history of questioned or disallowed costs exists, a commenter suggested the 
Commission add stringent audit requirements to the rule. 
Response: The Commission agrees; however, it believes that adding stringent 
auditing requirements would be more appropriate to a sanctions rule, which it 
expects to propose in the near future. 
Comment: A commenter asked why the Commission established block grant 
methodology only for the programs encompassed by the rule. 
Response: The Commission has allocated funds according to the provisions of 
Texas Labor Code, sec.302.062, and in accordance with this rule. The Legislature 
stipulated which program funds were not subject to block granting in 
sec.302.062(g). 
Comment: A commenter asked whether serving 5,299 two-parent TANF families would 
meet federal participation rates. 
Response: Given the fact that federal TANF regulations are not yet proposed, the 
Commission, relying on caseload estimates provided by the Texas Department of 
Human Services, has projected it must be able to count 5,299 two-parent families 
as meeting the 35-hours-per-week individual work participation requirement in 
order to meet the statewide work participation requirement of 75% of two-parent 
families participating in work activities each month during fiscal 1998. 
Historically, the State has had to provide JOBS services to at least twice that 
number to attain the targeted number of federal participants. 
Comment: A commenter requested that the Commission disburse to local workforce 
boards Economically Dislocated Worker Assistance Act (EDWAA) funds in excess of 
the statutorily-mandated minimum of 66%. The commenter suggested that the state 
did not require 33% of EDWAA funds for state-level activities. 
Response: The portion of the Title III funds retained by the Governor for state-
level activities is recommended by the Texas Council on Workforce and Economic 
Competitiveness (TCWEC) and approved by the Governor on an annual basis. In the 
past, these funds have been used for unforeseen worker dislocations around the 
state, and at this point, the Commission believes it is prudent to continue to 
hold these funds in reserve for that purpose. 
Comment: A commenter requested that the Commission put together and review a 
six-year history of how and when displaced worker money has been expended in the 
past, in order to formulate a better plan for 1997 and 1998. 
Response: The Commission agrees and will take this comment under consideration 
as it prepares its plans for use of state-level funds. However, at this time the 
Commission believes the methodologies utilized will provide a most effective use 
of funds given the limited resources available consistent with the intent of 
statute. 
Comment: A commenter asked whether the $25 million in the Commission's two 
columns of statistics would serve 5,300 two-parent families and 5,300 single-
parent families. 
Response: The nature of this comment relates to the availability of funds for 
services to JOBS/TANF recipients and not the language of the allocation rule, 
and thus, the Commission declines to respond. However, the Commission has 
clearly stated its intent to meet or exceed the performance targets for TANF 
funding, as set by the Legislature, which call for serving 5,299 two-parent 
federally countable participants, with 16,607 recipients in the all-family 
category. 
Oral and written comments that did not clearly voice support or opposition to 
the proposal, but suggested changes, were received from: State Representative 
Gerard Torres, District 143, Jacinto City, Texas; Tech Prep of the RGV, Inc.; 
Tom Hoy; Valley Oak Tree Learning Centers; Joe Flores, representing Valley Oak 
Tree Learning Centers and stated he was with "the CCMS Advisory Council;" and 
Tom Wilkinson, Executive Director of the administrative and fiscal entity for 
the Brazos Valley Local Workforce Development Board. 
Oral and written comments against the rule, or portions of the rule, were 
received from: Dallas County Community College District; Lockheed Martin IMS; 
West Texas Opportunities, Inc.; Houston Galveston Area Council; Honorable Judge 
John Willy, County Judge, Brazoria County; Tarrant County legislative 
delegation; Tarrant County Workforce Development Board; Russell Dougherty; 
Selina Hunt; Dora Deleon; Mary A. Osuna; Whatha Crump; Felicia Williams; Richard 
Mayfield; Lalesa Mason; Michael Keel; Hector Ayala; Near Southeast/Polytechnic 
Heights Collaborative; State Representative Kim Brimer, District 96 of 
Arlington, Texas; Associated Catholic Charities; Honorable Judge Robert Eckels, 
County Judge, Harris County; Honorable Judge James D. Yarbrough, County Judge, 
County of Galveston; Honorable Judge Tom Vandergriff, County Judge, Tarrant 
County; Rural Capital Workforce Development Board; Initiatives for Children, 
Inc.; Securities America, Inc.; David M. Munson; North Central Texas Workforce 
Development Board; Allen Outreach; We Care; State Representative Jerry Madden, 
District 67 of Richardson, Texas; City of McAllen, Texas; Gulf Coast Workforce 
Board; College of the Mainland in Texas City; Dallas Workforce Development 
Board; Power Advocates for Children; CCMS, Golden Crescent; United Way of the 
Texas Gulf Coast; Welfare Reform Partners Group; Houston Works; and Freeport 
Salvation Army. 
The new sections are adopted under Texas Labor Code, Title 4, which provides the 
Texas Workforce Commission with the authority to adopt, amend, or rescind such 
rules as it deems necessary for the effective administration of this Act. 

sec.800.53.JOBS/TANF Program.
(a) Funds available to the Commission under the JOBS/TANF program (Job 
Opportunities and Basic Skills (JOBS) under Temporary Assistance for Needy 
Families program (TANF) as authorized at 42 U.S.C. sec.sec.601 et. seq.) will be 
allocated to the workforce areas using a need-based formula, in order to meet 
state and federal requirements, as set forth in subsection (b) of this section. 
(b) At least 80% of the JOBS/TANF program funds, excluding Investment in Long- 
Term Success for TANF Recipients components, will be allocated to the workforce 
areas on the basis of: 
(1) the relative proportion of the total number of two-parent families with 
JOBS/TANF work requirements residing within the workforce area to the statewide 
total number of two-parent families with JOBS/TANF work requirements, and 
(2) the relative proportion of the total number of single-parent families with 
JOBS/TANF work requirements residing within the workforce area to the statewide 
total of single-parent families with JOBS/TANF work requirements.
(3) Funding will be divided between paragraphs (1) and (2) of this subsection 
based on the need to meet federal participation rates for both the two-parent 
families and all families, as required by federal law. 
(c) No more than 10% of JOBS /TANF funds expended as part of a workforce area's 
allocation shall be used for administrative costs, as defined by the appropriate 
federal regulations and Commission policy. 

sec.800.54.Food Stamp Employment and Training Program. 
(a) Funds available to the Commission under the Food Stamp Employment and 
Training program (FS E & T) (7 U.S.C. sec.2015(d)) will be allocated to the 
workforce areas using a need-based formula, as set forth in subsection (b) of 
this section. 
(b) At least 80% of the FS E & T funds will be allocated to the workforce areas 
on the basis of the relative proportion of the total unduplicated number of 
mandatory work registrants receiving food stamps residing within the workforce 
area to the statewide total unduplicated number of mandatory work registrants 
receiving food stamps. 
(c) No more than 10% of the funds expended as part of a workforce area's 
allocation shall be used for administrative costs, as defined by the appropriate 
federal regulations and Commission policy.

sec.800.55.Job Training Partnership Act Program. 
(a) Funds available to the Commission under the Job Training Partnership Act 
(JTPA) (29 U.S.C. Chapter 19) will be allocated to workforce areas based on 
service delivery areas within the workforce area using federally approved 
formulas. Funds must be used within the appropriate service delivery area 
pursuant to JTPA. 
(b) At least 77% of the funds under JTPA Title IIA-Adult Training Program will 
be allocated according to the service delivery areas. 
(c) One hundred percent of the JTPA Title IIB-Summer Youth Employment and 
Training Program funds will be allocated according to the service delivery 
areas. 
(d) At least 82% of the JTPA Title IIC-Youth Training Program funds will be 
allocated according to the service delivery areas. 
(e) At least 60% of JTPA Title III-Employment and Training Assistance for 
Dislocated Workers funds will be allocated according to substate areas. 

sec.800.56.Child Care Services.
(a) Funds available to the Commission for child care services will be allocated 
to the workforce areas using need-based formulas, as set forth in subsection (b) 
of this section. 
(b) For JOBS/TANF child care, funds will be allocated among workforce areas on 
the basis of: 
(1) the relative proportion of the total number of children aged 0-12 years in 
single parent households with JOBS/TANF work requirements residing within the 
workforce area to the statewide total number of children aged 0-12 years in 
single parent households with JOBS/TANF work requirements;
(2) the relative proportion of the total number of children aged 0-12 years in 
two-parent households with JOBS/TANF work requirements residing within the 
workforce area to the statewide total number of children aged 0-12 years in two-
parent households with JOBS/TANF work requirements; and 
(3) an adjustment for average net unit rates for JOBS/TANF child care. 
(c) For At-Risk child care, funds will be allocated among workforce areas on the 
basis of: 
(1) the relative proportion of the total number of children aged 0-12 years in 
families at or below 75% of the state median income residing within the 
workforce area to the statewide total number of children aged 0-12 years in 
families at or below 75% of the state median income, and 
(2) an adjustment for average net unit rates for At-Risk child care. 
(d) For Food Stamp Employment and Training child care, funds will be allocated 
among workforce areas on the basis of: 
(1) the relative proportion of the total number of children aged 6-12 years in 
households of mandatory food stamp work registrants residing within the 
workforce area to the statewide total number of children aged 6-12 years in 
households of mandatory food stamp work registrants, and 
(2) an adjustment for average net unit rates for Food Stamp Employment and 
Training child care. 
(e) For transitional child care, funds will be allocated among workforce areas 
as follows: 
(1) fifty percent will be based on the relative proportion of the average number 
of children residing within the workforce area receiving transitional child care 
during the first three quarters of the state fiscal year preceding the state 
fiscal year for which the allocation is being calculated to the statewide 
average number of children receiving transitional child care during the first 
three quarters of the state fiscal year preceding the state fiscal year for 
which the allocation is being calculated; 
(2) fifty percent will be based on the relative proportion of the total state 
fiscal year JOBS child care allocation for the workforce area for the state 
fiscal year for which the allocation is being calculated to the total state 
fiscal year statewide JOBS child care allocation for the state fiscal year for 
which the allocation is being calculated; and 
(3) an adjustment for average net unit rates for transitional child care. 
(f) For locally matched initiatives for child care and quality improvements, 
funds will be allocated among workforce areas on the basis of the relative 
proportion of children aged 0-12 years in families at or below 75% of the state 
median income residing within the workforce area to the statewide total of 
children aged 0-12 years in families at or below 75% of the state median income. 
(g) For Early Childhood Development Resources, funds will be allocated among 
workforce areas on the basis of: 
(1) an equal base amount needed for a resource room in each workforce area, and 
(2) remaining funds allocated as follows: 
(A) thirty percent will be based on the relative proportion of the total number 
of Child Care Management Services (CCMS) vendors that are registered family 
homes and those that are group day homes located within the workforce area to 
the statewide total number of CCMS vendors that are registered family homes and 
group day homes; 
(B) forty-five percent will be based on the relative proportion of the total 
number of CCMS vendors that are licensed centers located within the workforce 
area to the statewide total number of CCMS vendors that are licensed centers; 
and 
(C) twenty-five percent will be based on the relative proportion of the average 
number of children per day receiving Commission-funded child care services 
located within the workforce area to the statewide average number of children 
per day receiving Commission-funded child care services. 
(h) For child care training, funds will be allocated among workforce areas on 
the basis of: 
(1) an equal base amount for child care training in each workforce area, and 
(2) the relative proportion of the total number of licensed and registered child 
care facilities located within the workforce area to the statewide total number 
of licensed and registered child care facilities.
(i) For CCMS operations, funds will be allocated among local workforce 
development areas on the basis of: 
(1) an equal base amount for CCMS operations, and 
(2) the remaining funds allocated as follows: 
(A) seventy percent will be based on the relative proportion of the average 
number of children receiving Commission-funded child care services within the 
workforce area to the statewide average number of children receiving Commission-
funded child care services; 
(B) fifteen percent will be based on the relative proportion of the total number 
of CCMS vendors located within the workforce area to the statewide total number 
of CCMS vendors; and 
(C) fifteen percent will be based on the relative proportion of the total number 
of licensed and registered child care facilities located within the workforce 
area to the statewide total number of licensed and registered child care 
facilities. 
(j) For management and oversight of child care services, funds will be allocated 
among workforce areas on the basis of: 
(1) an equal base amount for management and oversight of child care services 
within each workforce area, and 
(2) the relative proportion of the average number of children per day receiving 
Commission-funded child care services located within the workforce area to the 
statewide average number of children per day receiving Commission-funded child 
care services. 

sec.800.57.Employment Services.
At least 80% of the funds available to the Commission for the Employment 
Services program under sec.7(a) of the Wagner-Peyser Act (29 U.S.C. Chapter 4B) 
will be utilized by the Commission within the workforce areas according to the 
established federal formula, as follows: 
(1) Two-thirds will be based on the relative proportion of the total civilian 
labor force residing within the workforce area to the statewide total civilian 
labor force, and 
(2) One-third will be based on the relative proportion of the total number of 
unemployed individuals residing within the workforce area to the statewide total 
number of unemployed individuals. 

sec.800.59.Funds not Allocated.
Funds not allocated under 40 TAC Chapter 800, Subchapter B relating to 
allocation and funding to the workforce areas will be used by the Commission for 
purposes authorized by state and federal laws and regulations. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on August 7, 1997.
TRD-9710305
Esther L. Hajdar
Deputy Director of Legal Services
Texas Workforce Commission
Effective date: August 27, 1997
Proposal publication date: June 17, 1997
For further information, please call: (512) 463-8812