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 16. ECONOMIC REGULATION
PART VIII. Texas Racing Commission
CHAPTER 309.Operation of Racetracks
SUBCHAPTER A.General Provisions
Operations
16 TAC sec.309.60
The Texas Racing Commission adopts an amendment to sec.309.60, concerning the 
possession, sale, and consumption of alcoholic beverages in the stable or kennel 
area of a pari-mutuel racetrack. The amendment is adopted without changes to the 
proposed text published in the July 22, 1997 issue of the Texas Register (22 
TexReg 6812). The amendment was presented to the Commission as a petition for 
rulemaking under 16 Tex. Admin. Code sec.307.303. The petitioner is the Texas 
Quarter Horse Association, the officially designated breed registry for quarter 
horses in Texas. The amendment is adopted to ensure that a pari-mutuel racetrack 
will be able to offer the sale of alcoholic beverages in conjunction with sales 
and other special events, which will have the effect of promoting the horse and 
greyhound racing industries. 
The amendment establishes a procedure by which the Commission may grant to a 
racetrack a temporary waiver of the general prohibition relating to alcoholic 
beverages in the stable or kennel area. The waiver may only be granted for a 
special event and is subject to certain conditions. 
No comments were received regarding the adoption of the proposal. 
The amendment is adopted under the Texas Civil Statutes, Article 179e, sec.3.02, 
which authorize the Commission to adopt rules for conducting racing with 
wagering and for administering the Texas Racing Act; and sec.6.06, which 
authorizes the Commission to adopt rules on all matters relating to the 
operation of racetracks. 
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 September 16, 1997.
TRD-9712403
Paula C. Flowerday
General Counsel
Texas Racing Commission
Effective date: Octoer 15, 1997
Proposal publication date: July 22, 1997
For further information, please call: (512) 833-6907

TITLE 19. EDUCATION
PART II. Texas Education Agency
CHAPTER 61.School Districts
SUBCHAPTER CC.Commissioner's Rules Concerning School Facilities 
19 TAC sec.61.1032
The Texas Education Agency (TEA) adopts new sec.61.1032, concerning 
instructional facilities allotment. The new section specifies the method for 
determining allotments, the application process, relevant definitions, and 
requirements for school district information. The new section is adopted with 
changes to the proposed text as published in the August 12, 1997, issue of the 
Texas Register (22 TexReg 7442). 
In House Bill 5, the 75th Texas Legislature repealed the school facilities 
assistance grant program and replaced it with the Instructional Facilities 
Allotment. The new program operates to equalize access to funding through a 
guaranteed yield approach for new debt, either as school district bonds or as 
lease-purchase arrangements. The legislature appropriated $100 million each year 
of the current biennium to fund the state's share of the debt service costs. 
The following changes have been made since the section was proposed.
In sec.61.1032(k)(3), the last sentence was expanded to clarify that the 90-day 
time period, relating to the date of sale/pricing or authorizing order, actually 
constitutes an extension that begins with the prospective date identified in the 
application. 
In sec.61.1032(s), the September 1, 1997, date has been amended to September 8, 
1997, to conform with the actual closing date for the initial application cycle. 
The following public comments have been received regarding adoption of the new 
section. 
Issue: the effect of temporary provisions that control how districts apply and 
receive allotments in the first application cycle. 
Comment. The law firm of Leonard & Hurt and Boles Independent School District 
(ISD) commented that the requirements for eligibility make it difficult for some 
districts to participate in the initial application cycle because lease-purchase 
arrangements must have completed the 60-day waiting period to be considered. The 
initial application cycle did not allow for a 60-day period to elapse from the 
time the application was distributed to the closing date for the application 
cycle. 
Agency Response. The agency does not agree to change the closing date of the 
initial application cycle. The initial application cycle is intended to cover 
primarily indebtedness which already exists and which will significantly impact 
tax rates for the first time in the 1997-1998 school year. Some allowance was 
made for school districts which had taken significant action to plan for a new 
debt that would occur early in the fall of 1997, and which would impact tax 
rates for the 1997 tax year. A second cycle of applications will end December 
15, 1997, in which districts that did not meet the eligibility requirements of 
the first cycle will have an opportunity to receive an allotment.
Issue: The calculation of tax rates for Texas Education Code, (TEC), Chapter 42, 
in lease-purchase arrangements. 
Comment. Boles ISD commented that the proposed rule requires that the local 
share of the allotment be subtracted from the tax effort recognized in TEC, 
Chapter 42, for guaranteed yield purposes. This may result in less ability to 
use lease-purchase arrangements for financing facilities than if no such 
reduction was made. 
Agency Response. The agency does not agree to change the calculation of tax 
rates for TEC, Chapter 42, purposes for lease-purchase arrangements. The basis 
of this reduction in tax effort for TEC, Chapter 42, guaranteed-yield purposes 
is the statutory provision in TEC, sec.46.004, that directs that the local share 
of the lease-purchase be treated as bond taxes for purposes of TEC, Chapter 46. 
Senate Bill 1873 amended the calculation of tax effort for purposes of the 
guaranteed yield in TEC, Chapter 42, to specifically exclude taxes collected to 
pay the local share of the cost of an instructional facility for which the 
district receives assistance under TEC, Chapter 46. It is believed that the 
legislative intent of these provisions was to prevent credit for tax effort from 
being given simultaneously for the same funds under more than one state aid 
formula. 
Issue: Forms of debt eligible for state assistance under the instructional 
facilities allotment.
Comment. Boles ISD and Kenedy ISD commented that the proposed rule requires that 
a lease-purchase be in the form authorized by Local Government Code, 
sec.271.004, which inhibits the use of other financing arrangements, such as 
time warrants. 
Agency Response. The agency does not agree to make the proposed change.
The statute does not define the term "lease-purchase". The agency believes the 
limitation of lease-purchase arrangements to those authorized under Local 
Government Code, sec.271.004, best reflects legislative intent. The new section 
is adopted under the Texas Education Code, sec.46.002, as added by House Bill 4, 
75th Texas Legislature, which authorizes the commissioner of education to adopt 
rules for the administration of the Instructional Facilities Allotment. 

sec.61.1032.Instructional Facilities Allotment.
(a) Definitions. The following definitions apply to the instructional facilities 
allotment governed by this section: 
(1) Instructional facility - real property, an improvement to real property, or 
a necessary fixture of an improvement to real property that is used 
predominantly for teaching the curriculum required by Texas Education Code 
(TEC), sec.28.002. 
(2) Noninstructional facility - a facility that may occasionally be used for 
instruction, but the predominant use is for purposes other than teaching the 
curriculum required by TEC, sec.28.002. 
(3) Necessary fixture - equipment necessary to the use of a facility for its 
intended purposes, but which is permanently attached to the facility such as 
lighting and plumbing. 
(4) Debt service - as used in this section, debt service shall include payments 
of principal and interest on bonded debt or the amount of a payment under an 
eligible lease-purchase arrangement. 
(b) Application process. A school district must complete an application 
requesting funding under the Instructional Facilities Allotment. The 
commissioner may require supplemental information to be submitted at an 
appropriate time after the application is filed to reflect changes in amounts 
and conditions related to the debt. The application shall contain at a minimum 
the following: 
(1) a description of the needs and projects to be funded with the debt issue or 
other financing, with an estimate of cost of each project and a categorization 
of projects according to instructional and noninstructional facilities or other 
uses of funds; 
(2) a description of the debt issuance or other financing proposed for funding, 
including a projected schedule of payments covering the life of the debt; 
(3) an estimate of the weighted average maturity of bonded debt; and 
(4) drafts of official statements or contracts that fully describe the debt, as 
soon as available. 
(c) District eligibility. All school districts legally authorized to enter into 
eligible debt arrangements as defined in subsection (d) of this section are 
eligible to apply for an Instructional Facilities Allotment.
(d) Debt eligibility. In order to be eligible for state funding under this 
section, a debt service requirement must meet all of the criteria of this 
subsection. 
(1) The debt service must be an obligation of the school district which is 
entered into pursuant to the issuance of bonded debt under TEC, Chapter 45, 
Subchapter A; an obligation for refunding bonds as defined in TEC, sec.46.007; 
or an obligation under a lease-purchase arrangement authorized by Local 
Government Code, sec.271.004. 
(2) The taxes levied for the eligible bonded debt were first levied for the 1997 
tax year or later and collected in the 1997-1998 school year or later. The first 
payment under a lease-purchase arrangement must be scheduled to occur on or 
after September 1, 1997. 
(3) Eligible bonded debt must have a weighted average maturity of at least eight 
years. The term of a lease-purchase agreement must be for at least eight years. 
For purposes of this section, a weighted average maturity shall be calculated by 
dividing bond years by the issue price, where "bond years" is defined as the 
product of the dollar amount of bonds divided by 1,000 and the number of years 
from the dated date to the stated maturity, and "issue price" is defined as the 
par value of the issue plus accrued interest, less original issue discount or 
plus premium.
(4) Funds raised by the district through the issuance of bonded debt must be 
used for an instructional facility purpose as defined by TEC, sec.46.001. The 
facility acquired by entering into a lease- purchase agreement must be an 
instructional facility as defined by TEC, sec.46.001.
(5) If the bonded debt is for a refunding or a combination of refunding and new 
debt, the refunding portion must meet the same eligibility criteria with respect 
to dates of first debt service as a new issue. 
(6) Application for funding of the bonded debt service or lease-purchase 
payments must be made prior to the sale of the bonds or the passage of an order 
by the school district board of trustees authorizing a lease-purchase 
arrangement. 
(e) Biennial limitation on access to allotment. The cumulative amount of new 
debt service for which a district may receive approvals for funding within a 
biennium shall be the greater of $100,000 per year or $250 per student in 
average daily attendance per year. A district may submit multiple applications 
for approval during the same biennium. Timely application before the sale of 
bonds or authorizing order for a lease- purchase must be made to ensure 
eligibility of the debt for program participation. The calculation of the 
limitation on assistance shall be based on the highest annual amount of debt 
service that occurs within the state fiscal biennium in which payment of state 
assistance begins. Increases in debt service payment requirements in subsequent 
biennia must receive approval through additional applications. The limitation on 
the allotment for subsequent biennia shall be the total dollar amount of debt 
service approved for the allotment, based on the calculation of the limitation 
on assistance at the time of approval. 
(f) Finality of award. Awards of assistance under TEC, Chapter 46, will be made 
based on the information available at the close of the application cycle. 
Changes in the terms of the issuance of debt, either in the length of the 
payment schedule or the applicable interest rate, that occur after the time of 
the award of assistance will not result in an increase in the debt service 
considered for award. Any reduction in debt service requirements resulting from 
changes in the terms of issuance of debt shall result in a reduction in the 
amount of the award of assistance. 
(g) Data sources. 
(1) For purposes of determining the limitation on assistance and prioritization, 
the projected average daily attendance as submitted to the legislature by the 
Texas Education Agency (TEA) in March of an odd-numbered year, as required by 
TEC, sec.42.254, shall be used. 
(2) For purposes of prioritization, the final property values certified by the 
Comptroller of Public Accounts for the tax year preceding the year in which 
assistance is to begin shall be used. If final property values are unavailable, 
the most recent projection of property values shall be used. 
(3) For purposes of both the calculation of the limitation on assistance and 
prioritization, the commissioner may consider, prior to the close of an 
application cycle, adjustments to data values determined to be erroneous. 
(4) All final calculations of assistance earned shall be based on property 
values as certified by the Comptroller for the preceding school year, and the 
final average daily attendance for the current school year. 
(h) Allocation of debt service between qualified and nonqualified projects. Debt 
service shall be allocated among qualified and nonqualified purposes and among 
eligible and ineligible categories of debt. The method used for allocation among 
qualified and nonqualified purposes shall be on the basis of pro rata value of 
the instructional facility versus the noninstructional purposes over the life of 
the debt service, unless a different basis is indicated in the bond order. The 
method of allocation of debt service between eligible and ineligible categories 
must be the same method selected for approval by the Attorney General. 
(i) Payments and deposits. 
(1) Payment of state assistance shall be made as soon as practicable after 
September 1 of each year. No payments shall be made until the sale of bonds is 
determined to be final or the contract for lease-purchase financing has been 
assigned. 
(2) Funds received from the state for bonded debt must be deposited to the 
interest and sinking fund of the school district and must be considered in 
setting the tax rate necessary to service the debt. 
(3) Funds received from the state for lease-purchase agreements must be 
deposited to the general fund of the district and used for lease-purchase 
payments. 
(4) A final determination of state assistance for a school year will be made 
using final attendance data and property value information as may be affected by 
TEC, sec.42.257. Additional amounts owed to districts shall be paid along with 
assistance in the subsequent school year, and any reductions in payments shall 
be subtracted from payments in the subsequent school year. 
(5) As an alternative method of adjustment of payments, the commissioner may 
increase or decrease allocations of state aid under TEC, Chapter 42, to reflect 
appropriate increases or decreases in assistance under TEC, Chapter 46. 
(j) Approval of Attorney General required. All bond issues and all lease-
purchase arrangements must receive approval from the Attorney General before a 
deposit of state funds will be made in the accounts of the school district. 
(k) Deadlines. 
(1) Two application cycles will be conducted each year. Applications shall be 
received by 5:00 p.m., on June 15 and December 15 of each year, or the last 
official business day that precedes these dates. 
(2) An application received after the deadline shall be considered a valid 
application for the subsequent period unless withdrawn by the submitting 
district before the end of the subsequent period. 
(3) An application may be submitted no earlier than 90 calendar days prior to 
the prospective sale date/pricing date of the bond issue or the date the school 
board adopts the order authorizing a lease-purchase agreement. If the sale or 
pricing of bonds or adoption of an order authorizing a lease-purchase agreement 
is delayed, an extension shall be granted for up to 90 additional days beyond 
the date identified in the application as the prospective sale date/pricing date 
of the bond issue or the date the school board adopts the order authorizing a 
lease purchase agreement. If completion of the sale or agreement has not taken 
place by the end of the extension period, the TEA shall consider the application 
withdrawn. 
(4) The voters of the school district may not submit an application for bonded 
debt prior to the successful passage of an authorizing proposition. An 
application for a lease-purchase agreement may not be submitted prior to the end 
of the 60-day waiting period in which voters may petition for a referendum, or 
until the results of the referendum, if called, approve the agreement. 
(l) Prioritization and notice of award. Upon close of the application cycle, all 
eligible applications shall be ranked in order of property wealth per student in 
average daily attendance. State assistance will be awarded beginning with the 
district with the lowest property wealth and continue until all available funds 
have been utilized. If a district has not previously received any assistance due 
to a lack of appropriated funds, its property wealth for prioritization shall be 
reduced by 10% for each biennium in which assistance was not provided. Each 
district shall be notified of the amount of assistance awarded and its position 
in the rank order for the application cycle. 
(m) Bond taxes. A school district that receives state assistance must levy and 
collect sufficient interest and sinking fund taxes to meet its local share of 
the debt service requirement for which state assistance is granted. Failure to 
levy and collect sufficient taxes shall result in pro rata reduction of state 
assistance. 
(n) Exclusion from taxes. The taxes collected for bonded debt service for which 
funding under TEC, Chapter 46, is granted shall be excluded from the tax 
collections used to determine the amount of state aid under TEC, Chapter 42. 
(o) Calculation of bond tax rate (BTR) for lease-purchase arrangements. The 
value of BTR in the formula for state assistance for a lease-purchase 
arrangement shall be calculated based on the lease-purchase payment requirement, 
not to exceed the relevant limitations described in this section. The lease-
purchase payment shall be divided by the guaranteed level (FYL), then by average 
daily attendance (ADA), then by 100. The value of BTR shall be subtracted from 
the value of district tax rate (DTR) as computed in TEC, sec.42.302, prior to 
limitation imposed by TEC, sec.42.303. 
(p) Continued treatment of taxes and lease-purchase payments. Once approved for 
funding under TEC, Chapter 46, a district may not select whether taxes 
associated with the bonded debt are considered for purposes stated in TEC, 
Chapter 46, or Chapter 42. Until approved for assistance under TEC, Chapter 46, 
taxes collected for debt service may be considered in the calculation of state 
aid in TEC, Chapter 42. Bonded debt service or lease-purchase payments that were 
excluded from consideration for state assistance due to prioritization or due to 
the limitation on assistance may be considered for state assistance in 
subsequent biennia through additional applications. A modified application may 
be provided for previously rejected debt service or lease-purchase payments. 
(q) Variable rate bonds. Variable rate bonds are eligible for state assistance 
under the Instructional Facilities Allotment. For purposes of calculating the 
biennial limitation on access to the allotment, the payment requirement for a 
variable rate bond shall be valued at the interest rate specified in the 
official statement (or draft) as the rate to be used in calculating the minimum 
amount a district must budget for payment of interest cost and the scheduled 
minimum mandatory redemption amount, if applicable. For purposes of calculating 
state assistance, the lesser of the actual interest rate or that used for the 
calculation of the limitation on access to the allotment shall be used. A 
district may exercise its ability to make payments in amounts in excess of the 
minimum, but the excess amount shall not be used in determining the value of BTR 
or in the calculation of state assistance in that year. 
(r) Reports required. The commissioner may require such information and reports 
as are necessary to assure compliance with applicable laws. The commissioner may 
require immediate notification by the district of relevant financing activities 
such as refunding or refinancing of bond issues, renegotiation of lease-purchase 
terms, change in use of bond proceeds, or other actions taken by the district 
that might affect state funding requirements. 
(s) Temporary provision. This subsection provides for an initial application 
cycle with a deadline for applications of September 8, 1997. This subsection 
expires on January 1, 1998. The requirement to apply for assistance prior to 
issuance of debt is waived for the initial application cycle. To be eligible for 
the initial application, the debt service must meet the following criteria, 
notwithstanding other provisions of this section to the contrary: 
(1) The election authorizing bonded debt must be held on or before September 30, 
1997. For lease- purchase agreements, the end of the 60-day waiting period in 
which voters may petition for a referendum, or the referendum, if called, must 
occur on or before September 30, 1997. 
(2) The sale or pricing of bonds or adoption of an order authorizing a lease-
purchase agreement must take place on or before December 31, 1997. 
(3) All requirements of subsection (d)(1)-(5) of this section must be met. A 
payment made prior to the 1997-1998 school year for debt service on eligible 
bonded debt sold in the 1996-1997 school year does not invalidate the 
eligibility of the debt service for state assistance so long as the payment was 
not made from taxes levied for that debt, the sale of the bonds occurred after 
the adoption of the district tax rates for tax year 1996, and the district had 
no opportunity to levy taxes for the initial payment in 1996-1997. 
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 September 22, 1997.
TRD-9712612
Criss Cloudt
Associate Commissioner, Policy Planning and Research
Texas Education Agency
Effective date: October 13, 1997
Proposal publication date: August 12, 1997
For further information, please call: (512) 463-9701

CHAPTER 74.Curriculum Requirements
The Texas Education Agency (TEA) adopts amendments to sec.74.3 and 
sec.sec.74.11-74.13, concerning curriculum requirements, with changes to the 
proposed text as published in the August 1, 1997, issue of the Texas Register 
(22 TexReg 7118). The sections establish definitions, requirements, and 
procedures related to required curriculum and graduation requirements. 
The adopted amendments would provide school districts the option of offering the 
technology applications courses in the recently adopted 19 TAC Chapter 126, 
Texas Essential Knowledge and Skills (TEKS) for Technology Applications, 
beginning in the 1997-1998 school year for state high school graduation credit. 
The adopted amendments will align the graduation requirements with the Texas 
essential knowledge and skills. All students entering Grade 9 during the 1997-
1998 school year must have one technology applications graduation credit. In 
addition to the technology applications courses, courses from 19 TAC Chapter 
120, TEKS for Business Education, and 19 TAC Chapter 123, TEKS for Technology 
Education/Industrial Technology Education, are also to receive state high school 
technology applications graduation credit. The adopted amendments would revise 
the technology applications graduation requirement under the minimum, 
recommended, and distinguished achievement graduation plans. 
Under Senate Bill 1, a rule adopted by the State Board of Education (SBOE) 
normally does not take effect until the beginning of the school year that begins 
at least 90 days after the date the rule is adopted. However, the Bill provides 
that a board rule may take effect earlier under certain circumstances. The SBOE, 
by an affirmative vote of two-thirds of the board members, proposes an earlier 
effective date for the adopted amendments. The earlier date would allow schools 
to begin offering these courses in the 1997-1998 school year on a voluntary 
basis. 
The following changes have been made since the section was proposed.
In sec.74.3(b)(2)(K)(iii)-(v), language has been amended to indicate that 
graduation credit for Computer Mathematics will be phased out on August 31, 
1998, rather than August 31, 1999. In July 1997, the State Board of Education 
adopted the TEKS for mathematics with an implementation date of September 1, 
1998. This change was also made in sec.sec.74.11(d)(10)(C)-(E), 74.12(b)(10)(C)-
(E), and 74.13(a)(1)(J)(iii)-(v). 
The following public comments have been received since the sections were 
proposed. 
General Comments. 
An individual and a representative of the Association of Texas Technology 
Education commented in support of several technology education courses listed 
from which students may select for state high school technology applications 
credit. 
Agency Response. The agency agrees with these comments. 

SUBCHAPTER A.Required Curriculum
19 TAC sec.74.3
The amendment is adopted under the Texas Education Code (TEC), sec.28.002, which 
directs the SBOE to adopt rules related to essential knowledge and skills and 
required curricula, and sec.28.025, which directs the SBOE to adopt rules that 
determine curriculum requirements for the minimum, recommended, and advanced 
high school programs that are consistent with the required curriculum under TEC, 
sec.28.002. 

sec.74.3.Description of a Required Secondary Curriculum. 
(a) (No change.) 
(b) Secondary Grades 9-12. 
(1) (No change.) 
(2) The school district must offer the courses listed in this paragraph and 
maintain evidence that students have the opportunity to take these courses: 
(A)-(J) (No change.) 
(K) technology applications - one unit of credit selected from a variety of 
computer-related courses including: 
(i) all courses in Chapter 126 of this title (relating to Texas Essential 
Knowledge and Skills for Technology Applications); 
(ii) the following courses in Chapter 120 of this title (relating to Texas 
Essential Knowledge and Skills for Business Education): Business Computer 
Information Systems I and II, Business Computer Programming, Telecommunications 
and Networking, and Business Image Management and Multimedia; 
(iii) the following courses in Chapter 123 of this title (relating to Texas 
Essential Knowledge and Skills for Technology Education/Industrial Technology 
Education): Computer Applications, Technology Systems (modular computer 
laboratory-based), Communication Graphics (modular computer laboratory-based), 
and Computer Multimedia and Animation Technology; and 
(iv) Business Computer Applications I and II, Business Computer Programming I 
and II, Computer Applications, Computer Science I and II, Microcomputer 
Applications, Business Information Processing, Industrial Technology Computer 
Applications, and Computer Mathematics as provided in Chapter 75, Subchapter D, 
of this title (relating to Essential Elements - Grades 9-12) until August 31, 
1998. 
(L) (No change.) 
(3) (No change.) 
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 September 22, 1997.
TRD-9712613
Criss Cloudt
Associate Commissioner, Policy Planning and Research
Texas Education Agency
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-9701

SUBCHAPTER B.Graduation Requirements
19 TAC sec.sec.74.11-74.13
The amendments are adopted under the Texas Education Code (TEC), sec.28.002, 
which directs the SBOE to adopt rules related to essential knowledge and skills 
and required curricula, and sec.28.025, which directs the SBOE to adopt rules 
that determine curriculum requirements for the minimum, recommended, and 
advanced high school programs that are consistent with the required curriculum 
under TEC, sec.28.002. 

sec.74.11.High School Graduation Requirements.
(a)-(c) (No change.) 
(d) A student must complete at least 22 credits to receive a minimum high school 
program diploma. Credit may be awarded without prior instruction under Texas 
Education Code, sec.28.023 (relating to Credit by Examination), or sec.39.023(i) 
(relating to end-of-course tests). A student must demonstrate proficiency in the 
following. 
(1)-(9) (No change.) 
(10) Technology applications - one credit, which may be satisfied by: 
(A) all courses in Chapter 126 of this title (relating to Texas Essential 
Knowledge and Skills for Technology Applications); 
(B) the following courses in Chapter 120 of this title (relating to Texas 
Essential Knowledge and Skills for Business Education): Business Computer 
Information Systems I or II, Business Computer Programming, Telecommunications 
and Networking, or Business Image Management and Multimedia; 
(C) the following courses in Chapter 123 of this title (relating to Texas 
Essential Knowledge and Skills for Technology Education/Industrial Technology 
Education): Computer Applications, Technology Systems (modular computer 
laboratory-based), Communication Graphics (modular computer laboratory-based), 
or Computer Multimedia and Animation Technology; or 
(D) Business Computer Applications I or II, Business Computer Programming I or 
II, Computer Applications, Computer Science I or II, Microcomputer Applications, 
Business Information Processing, Industrial Technology Computer Applications, or 
Computer Mathematics as provided in Chapter 75, Subchapter D, of this title 
(relating to Essential Elements - Grades 9-12) until August 31, 1998. 
(11) (No change.) 
(e)-(h) (No change.) 

sec.74.12.Recommended High School Program.
(a) (No change.) 
(b) Academic core components. College Board advanced placement and International 
Baccalaureate courses may be substituted for requirements in appropriate 
proficiency areas. Credit may be awarded without prior instruction under Texas 
Education Code, sec.28.023 (relating to Credit by Examination), or sec.39.023(i) 
(relating to end-of-course tests). The student must demonstrate proficiency in 
the following. 
(1)-(9) (No change.) 
(10) Technology applications - one credit, which may be satisfied by: 
(A) all courses in Chapter 126 of this title (relating to Texas Essential 
Knowledge and Skills for Technology Applications); 
(B) the following courses in Chapter 120 of this title (relating to Texas 
Essential Knowledge and Skills for Business Education): Business Computer 
Information Systems I or II, Business Computer Programming, Telecommunications 
and Networking, or Business Image Management and Multimedia; 
(C) the following courses in Chapter 123 of this title (relating to Texas 
Essential Knowledge and Skills for Technology Education/Industrial Technology 
Education): Computer Applications, Technology Systems (modular computer 
laboratory-based), Communication Graphics (modular computer laboratory-based), 
or Computer Multimedia and Animation Technology; or 
(D) Computer Science I or II, Business Computer Applications I or II, Business 
Computer Programming I or II, Computer Applications, Microcomputer Applications, 
Business Information Processing, Industrial Technology Computer Applications, or 
Computer Mathematics as provided in Chapter 75, Subchapter D, of this title 
(relating to Essential Elements - Grades 9-12) until August 31, 1998. 
(11) (No change.) 
(c)-(d) (No change.) 
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 September 22, 1997.
TRD-9712614
Criss Cloudt
Associate Commissioner, Policy Planning and Research
Texas Education Agency
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-9701

TITLE 31. NATURAL RESOURCES AND CONSERVATION
PART X. Texas Water Development Board
CHAPTER 363.Financial Assistance Programs
The Texas Water Development Board (board) adopts new sec.363.18 and amendments 
to sec.sec.363.2, 363.42, and 363.43, concerning Financial Assistance Programs 
without changes to the proposed text as published in the August 1, 1997 issue of 
the Texas Register (22 TexReg 7126) and will not be republished. 
New sec.363.18 provides an option for water supply corporations to execute a 
promissory note and loan agreement instead of issuing bonds to secure financial 
assistance through the Water Supply Account. Amendment to sec.363.2 adds a 
definition for corporation. Amendments to sec.363.42 and sec.363.43 add 
provisions for execution of a promissory note and loan agreement to fulfill 
requirements for loan closing and/or release of funds. 

SUBCHAPTER A.General Provisions
31 TAC sec.363.2
No written comments were received on the proposed amendments and new section. 
The amendment is adopted under the authority of the Texas Water Code, sec.6.101 
which provide the Texas Water Development Board with the authority to adopt 
rules necessary to carry out the powers and duties in the Water Code and other 
laws of the State. 
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 September 19, 1997.
TRD-9712529
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 5, 1997
For further information, please call: (512) 463-7981

General Application Procedures
31 TAC sec.363.18
The new section is adopted under the authority of the Texas Water Code, 
sec.6.101 which provide the Texas Water Development Board with the authority to 
adopt rules necessary to carry out the powers and duties in the Water Code and 
other laws of the State. 
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 September 19, 1997.
TRD-9712531
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-7981

Formal Action by the Board
31 TAC sec.363.33
The Texas Water Development Board (the board) adopts an amendment to sec.363.33, 
concerning Interest Rates for Loans and Purchase of Board's Interest in State 
Participation Projects without changes to the proposed text as published in the 
August 5, 1997, issue of the Texas Register (22 TexReg 7204) and will not be 
republished. The amendment will insure that the interest rates set for loans 
will not be higher than allowed under federal tax law applicable to the proceeds 
to be used by the Board in providing the loan. 
No comments were received on the proposed amendment. 
The amendment is adopted under the authority of the Texas Water Code, sec.6.101 
and sec.17.176 which provides the Texas Water Development Board with the 
authority to adopt rules necessary to carry out the powers and duties in the 
Water Code and other laws of the State and the authority to establish lending 
rates in the use of the proceeds of bonds sold by 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 September 19, 1997.
TRD-9712527
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 5, 1997
For further information, please call: (512) 463-7981

Prerequisites to Release of State Funds
31 TAC sec.sec.363.42-363.43
The amendments are adopted under the authority of the Texas Water Code, 
sec.6.101 which provide the Texas Water Development Board with the authority to 
adopt rules necessary to carry out the powers and duties in the Water Code and 
other laws of the State. 
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 September 19, 1997.
TRD-9712530
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-7981

CHAPTER 371.Drinking Water State Revolving Fund
The Texas Water Development Board (board) adopts new sec.371.40 and amendments 
to sec.sec.371.2, 371.71, and 371.72, concerning the Drinking Water State 
Revolving Fund without changes to the proposed text as published in the August 
1, 1997 issue of the Texas Register (22 TexReg 7127) and will not be 
republished. 
New sec.371.40 provides an option for water supply corporations to execute a 
promissory note and loan agreement instead of issuing bonds to secure financial 
assistance through the Drinking Water State Revolving Fund. Amendment to 
sec.371.2 adds a definition for corporation. Amendments to sec.sec.371.71 and 
371.72 add provisions for execution of a promissory note and loan agreement to 
fulfill requirements for loan closing and/or the release of funds. 
No written comments were received on the proposed amendments and new section.

Introductory Provisions
31 TAC sec.371.2
The amendment is adopted under the authority of the Texas Water Code, sec.6.101 
and sec.15.605 which provide the Texas Water Development Board with the 
authority to adopt rules necessary to carry out the powers and duties in the 
Water Code and other laws of the State, including the SRF Program. 
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 September 19, 1997.
TRD-9712532
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-7981

Program Requirements
31 TAC sec.sec.371.13, 371.14, 371.16, 371.17, 371.19, 371.20, 371.23 
The Texas Water Development Board (board) adopts amendments to sec.sec.371.13, 
371.14, 371.16, 371.17, 371.19 and 371.20 and new sec.371.23 concerning the 
Drinking Water State Revolving Fund without changes to the proposed text as 
published in the August 5, 1997, issue of the Texas Register (22 TexReg 7205) 
and will not be republished. 
The amendments provide for a new Drinking Water State Revolving Fund program for 
source water protection. The amendments also provide correction to Chapter 371 
pursuant to changes in federal guidance requirements. Amendment to sec.371.13 
concerning projects eligible for assistance corrects projects that consolidate 
water supplies. Amendments to sec.371.14 add clarification regarding authorized 
source water protection activities that may be funded. Amendment to sec.371.16 
concerning eligible land costs adds acquisition of land or conservation 
easements as an eligible cost for the source water protection program. Three 
definitions are added in sec.371.19 concerning the rating process that are 
applicable to source water protection. Additionally, new sec.371.19(h) is added 
to provide criteria for source water protection priority ratings. Section 371.20 
concerning the intended use plan is amended to add new sec.371.20(b)(1)(F) 
concerning requirements for listing projects in the intended use plan. New 
sec.371.23 provides criteria and methods for the distribution of funds for 
source water protection. 
No written comments were received on the proposed amendments and new section. 
The amendments and new section are adopted under the authority of the Texas 
Water Code, sec.6.101 and sec.15.605 which provide the Texas Water Development 
Board with the authority to adopt rules necessary to carry out the powers and 
duties in the Water Code and other laws of the State, including the SRF Program. 
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 September 19, 1997.
TRD-9712528
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 5, 1997
For further information, please call: (512) 463-7981

Application for Assistance
31 TAC sec.371.40
The new section is adopted under the authority of the Texas Water Code, 
sec.6.101 and sec.15.605 which provide the Texas Water Development Board with 
the authority to adopt rules necessary to carry out the powers and duties in the 
Water Code and other laws of the State, including the SRF Program. 
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 September 19, 1997.
TRD-9712533
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-7981

Prerequisites to Release of Funds
31 TAC sec.sec.371.71-371.72
The amendments are adopted under the authority of the Texas Water Code, 
sec.6.101 and sec.15.605 which provide the Texas Water Development Board with 
the authority to adopt rules necessary to carry out the powers and duties in the 
Water Code and other laws of the State, including the SRF Program. 
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 September 19, 1997.
TRD-9712534
Craig D. Pedersen
Executive Administrator
Texas Water Development Board
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-7981

TITLE 34. PUBLIC FINANCE
PART IX. Texas Bond Review Board
CHAPTER 190.Allocation of State's Limit on Certain Private Activity Bonds
SUBCHAPTER A.Program Rules
34 TAC sec.sec.190.1-190.8
The Texas Bond Review Board adopts amendments to sec.sec.190.1 - 190.8, 
concerning application dates and allocation of private activity bonds, without 
changes to the proposed text as published in the July 29, 1997, issue of the 
Texas Register (22 TexReg 7025). 
The program rules are amended to comply with changes in Texas Civil Statutes, 
Article 5190.9a, as amended. 
Generally, the amendments will allow more applications to receive a reservation 
and more applications to successfully close their bond transactions. 
No comments were received regarding adoption of the amendments. 
The amendments are adopted under Texas Civil Statutes, Article 5190.9a, as 
amended, which give the Texas Bond Review Board the authority to adopt rules 
governing the implementation and administration of the allocation of the state's 
ceiling on private activity bonds. 
Texas Civil Statutes, Article 5190.9a is affected by these adopted amendments.
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 September 18, 1997.
TRD-9712449
Albert L. Barcarisse
Executive Director
Texas Bond Review Board
Effective date: October 8, 1997
Proposal publication date: July 29, 1997
For further information, please call: (512) 463-1741

TITLE 37. PUBLIC SAFETY AND CORRECTIONS
PART VI. Texas Department of Criminal Justice
CHAPTER 151.General Provisions
37 TAC sec.151.25
The Texas Department of Criminal Justice adopts new sec.151.25, concerning the 
prohibition of the use or possession of tobacco products on TDCJ property, with 
certain exceptions without changes to the proposed text as published in the July 
29, 1997, issue of the Texas Register (22 TexReg 7029). 
This policy is applicable to all employees of, persons in the custody of, 
visitors to the Texas Department of Criminal Justice (TDCJ) and privately 
operated secure correctional facilities under contract with TDCJ. TDCJ is 
committed to providing a safe and healthy environment and working conditions for 
employees and offenders. TDCJ recognizes an employee's choice to use tobacco 
products, while balancing the security need to control contraband. All offenders 
and persons visiting offenders are prohibited from possessing or using any 
tobacco products. TDCJ employees and persons on TDCJ property conducting 
official State business are authorized to possess and use tobacco products in 
accordance with the procedures outlined in this new section and in TDCJ's 
Personnel Directive PD-91 "Work Cycles and Compensable Hours of Work." 
No comments were received regarding adoption of the new section. 
The new section is adopted under Texas Government Code, sec.492.013, which gives 
the Board general rulemaking authority; Texas Government Code, sec.493.006(b) 
and sec.494.010; and Texas Health and Safety Code, sec.341.016(a). 
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 September 22, 1997.
TRD-9712568
Carl Reynolds
General Counsel
Texas Department of Criminal Justice
Effective date: October 13, 1997
Proposal publication date: July 29, 1997
For further information, please call: (512) 463-9693

CHAPTER 161.Community Justice Assistance Division Administration 
37 TAC sec.161.21
The Texas Department of Criminal Justice - Community Justice Assistance Division 
(TDCJ-CJAD) adopts an amendment to sec.161.21, concerning Role of the Judicial 
Advisory Council without changes to the proposed text as published in the August 
1, 1997, issue of the Texas Register (22 TexReg 7129). 
The TDCJ-CJAD is adopting either enactment of new standards or enhancements to 
existing standards. Among new standards are provisions for a standardized 
educational screening instrument, deletion of certain Community Supervision 
Officer (CSO) eligibility requirements, training requirements for Community 
Supervision and Corrections Department supervisory and management staff, limits 
on attempts to pass the CSO certification examination, training requirements for 
residential facility personnel, and deletion of requirements for annual HIV/AIDS 
training. Enhancements include changes in time allotted for completion of case 
classification, SCS assessments, and supervision plans. 
The amendment represents an effort to improve Community Supervision and 
Corrections Departments resulting in increased public safety. 
No comments were received regarding adoption of the amendment. 
The amendment is adopted under Texas Government Code: sec.493.003(b), which 
establishes the Judicial Advisory Council; and sec.509.003, which gives the 
Board of Criminal Justice authority to adopt reasonable rules establishing 
minimum standards for the operations and programs of community supervision and 
corrections departments.
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 September 22, 1997.
TRD-9712571
Carl Reynolds
General Counsel
Texas Department of Criminal Justice
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-9693

CHAPTER 163.Community Justice Assistance Division Standards 
The Texas Department of Criminal Justice - Community Justice Assistance Division 
(TDCJ-CJAD) adopts the repeal of sec.163.34 concerning Prohibition on Carrying 
Handguns; and amendments to sec.sec.163.3 concerning Objectives; 163.21 
concerning Administration; 163.25 concerning Community Justice Councils, Task 
Forces, and Plans; 163.31 concerning Sanctions, Programs, and Services; 163.33 
concerning Community Supervision Officers; 163.35 concerning Supervision; 163.37 
concerning Reports and Records; 163.41 concerning Medical and Psychological 
Information; 163.43 concerning Funding and Financial Management; 163.46 
concerning Allocation Formula For Community Corrections Program; and 163.47 
concerning Contested Matters without changes to the proposed text as published 
in the August 1, 1997, issue of the Texas Register (22 TexReg 7130). 
The TDCJ-CJAD is adopting either the enactment of new standards or enhancements 
to existing standards. Among new standards are provisions for a standardized 
educational screening instrument, deletion of certain Community Supervision 
Officer (CSO) eligibility requirements, training requirements for Community 
Supervision and Corrections Department supervisory and management staff, limits 
on attempts to pass the CSO certification examination, training requirements for 
residential facility personnel, and deletion of requirements for annual HIV/AIDS 
training. Enhancements include changes in time allotted for completion of case 
classification, SCS assessments, and supervision plans. 
One comment was received by the Director of Cameron-Willacy County Community 
Supervision and Corrections Department regarding sec.163.33 Community 
Supervision Officers. The director was opposed to this standard which would 
"continue to specify certain degree requirements (such as criminal justice, 
sociology, etc.) and would also require the CSCD Director to justify in writing 
any deviation from those specific degree requirements." The previous standard 
required the TDCJ-CJAD Director to approve any deviation from this standard. The 
new standard, as proposed, provides the CSCD Director with approval authority 
for any deviations from this standard instead of the TDCJ-CJAD Director which 
provides (the CSCD Director) flexibility in hiring practices. After 
consideration of the comment, and the exhaustive process of consulting with CSCD 
and judicial personnel regarding the proposed changes, the new standard is 
adopted without change from the proposal. 
The adoption is an effort to improve Community Supervision and Corrections 
Departments resulting in increased public safety.

37 TAC sec.163.34
The repeal is adopted under Texas Government Code: sec.509.003, which gives the 
Board of Criminal Justice authority to adopt reasonable rules establishing 
minimum standards for the operations and programs of community supervision and 
corrections departments; sec.509.007, which governs the requirements for 
community justice plans; sec.509.008, which governs community supervision 
officer certification standards; sec.509.009, which allows TDCJ-CJAD to provide 
training to community supervision officers; sec.509.011, which provides for 
state aid to CSCDs; sec.509.012, which provides for the refusal or suspension of 
state aid for non-compliance with TDCJ-CJAD standards; sec.76.009 and 
sec.76.010, which govern the use of state aid to provide facilities, utilities, 
and equipment for CSCDs; and sec.492.013, which grants the Board general 
rulemaking authority. 
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 September 22, 1997.
TRD-9712569
Carl Reynolds
General Counsel
Texas Department of Criminal Justice
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-9693

37 TAC sec.sec.163.3, 163.21, 163.25, 163.31, 163.33, 163.35, 163.37, 163.41, 
163.43, 163.46, 163.47
The amendments are adopted under Texas Government Code: sec.509.003, which gives 
the Board of Criminal Justice authority to adopt reasonable rules establishing 
minimum standards for the operations and programs of community supervision and 
corrections departments; sec.509.007, which governs the requirements for 
community justice plans; sec.509.008, which governs community supervision 
officer certification standards; sec.509.009, which allows TDCJ-CJAD to provide 
training to community supervision officers; sec.509.011, which provides for 
state aid to CSCDs; sec.509.012, which provides for the refusal or suspension of 
state aid for non-compliance with TDCJ-CJAD standards; sec.76.009 and 
sec.76.010, which govern the use of state aid to provide facilities, utilities, 
and equipment for CSCDs; and sec.492.013, which grants the Board general 
rulemaking authority.
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 September 22, 1997.
TRD-9712570
Carl Reynolds
General Counsel
Texas Department of Criminal Justice
Effective date: October 13, 1997
Proposal publication date: August 1, 1997
For further information, please call: (512) 463-9693

PART VII. Texas Commission on Law Enforcement Officer Standards and Education
CHAPTER 211.Administration Division
37 TAC sec.211.21
The Texas Commission on Law Enforcement Officer Standards and Education adopts 
amendments to sec.211.21, concerning fees and payments, without changes to the 
proposal as published in the July 4, 1997, issue of the Texas Register (22 
TexReg 6255). 
Section 211.21 was amended in response to a provision in House Bill 1, the 
General Appropriations Act for the 1998-99 biennium, which granted the 
Commission approximately $1.5 million over the biennium for new programs 
contingent upon the Commission instituting a fee program which provides for the 
collection of a $100 fee for establishing a person's eligibility to reinstate a 
license that has lapsed. Staff reasoned, and the Commissioners concurred, that 
because the processes for reinstating a suspended license and for issuing an 
endorsement of eligibility based on out-of-state training or education were at 
least, if not more, labor-intensive as the process of reactivating a license, 
and because they are similar requests, that the $100 fee should also apply to 
those applications. 
No comments were received regarding the amendment of this section. 
The Commission is authorized to adopt rule amendments by Texas Government Code 
sec.415.010 (Vernon 1996). 
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 September 17, 1997.
TRD-9712428
Edward T. Laine
Chief, Professional Standards and Administrative Operations
Texas Commission on Law Enforcement Officer Standards and Education
Effective date: November 1, 1997
Proposal publication date: July 4, 1997
For further information, please call: (512) 450-0188

37 TAC sec.211.30
The Texas Commission on Law Enforcement Officer Standards and Education adopts 
amendments to sec.211.30, concerning specific authority to waive rules, without 
changes to the proposed text as published in the July 4, 1997, issue of the 
Texas Register (22 TexReg 6255). 
A new provision was added in subsection (a) allowing the Executive Director to 
waive the rules of the Commission "for other reasons as may be authorized by 
law." Staff reasoned, and the Commissioners concurred, that the original intent 
of this section was to allow the Executive Director flexibility to achieve the 
goals of the Commission under specific circumstances. There are a number of 
statutory provisions which allow the Commission to waive certain requirements if 
good cause or a hardship exist; however, there was no specific provision in the 
Commission's rules that explicitly allowed the Executive Director to waive the 
rules of the commission in these cases. 
No comments were received regarding the amendment of this section. 
The Commission is authorized to adopt rule changes by Texas Government Code 
sec.415.010 (Vernon 1996). 
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 September 17, 1997.
TRD-9712432
Edward T. Laine
Chief, Professional Standards and Administrative Operations
Texas Commission on Law Enforcement Officer Standards and Education
Effective date: November 1, 1997
Proposal publication date: July 4, 1997
For further information, please call: (512) 450-0188

37 TAC sec.sec.211.85, 211.103, 211.106
The Texas Commission on Law Enforcement Officer Standards and Education adopts 
the repeal of sec.sec.211.85, 211.103, and 211.106 regarding proficiency 
certificates, without changes to the proposed text as published in the July 4, 
1997, issue of the Texas Register (22 TexReg 6256). 
Sections 211.85, 211.103, and 211.106 will be repealed and replaced by 
sec.sec.221.15, 221.17, 221.19, 221.21, 221.23, 221.25, 221.27, and 221.29, 
which were developed pursuant to an ongoing reorganization of the Commission's 
rules. The reorganization plan was developed by staff and considered by the 
Commission's Ad Hoc Rules Committee in response to concerns that the 
Commission's Administrative Code had become outdated, too complex and difficult 
to understand. Included in this ongoing reorganization is a schedule developed 
by staff for renumbering certain sections of the rules as a way to more clearly 
label specific topics and to more fully utilize the chapter numbers available in 
the Administrative Code for the Commission's rules. 
No comments were received regarding the repeal of these sections. 
The Commission is authorized to adopt rule changes by Texas Government Code 
sec.415.010 (Vernon 1996). 
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 September 17, 1997.
TRD-9712431
Edward T. Laine
Chief, Professional Standards and Administrative Operations
Texas Commission on Law Enforcement Officer Standards and Education
Effective date: November 1, 1997
Proposal publication date: July 4, 1997
For further information, please call: (512) 450-0188

37 TAC sec.211.88
The Texas Commission on Law Enforcement Officer Standards and Education adopts 
the repeal of sec.211.88, concerning reporting responsibilities of individuals, 
without changes to the proposal as published in the July 4, 1997, issue of the 
Texas Register (22 TexReg 6256). 
Section 211.88 will be repealed and replaced by sec.217.88, which was developed 
pursuant to an ongoing reorganization of the Commission's rules. The 
reorganization plan was developed by staff and considered by the Commission's Ad 
Hoc Rules Committee in response to concerns that the Commission's Administrative 
Code had become outdated, to complex and difficult to understand. Included in 
this ongoing reorganization is a schedule developed by staff for renumbering 
certain sections of the rules as a way to more clearly label specific topics and 
to more fully utilize the chapter numbers available in the Administrative Code 
for the Commission's rules. 
No comments were received regarding the repeal of this section. 
The Commission is authorized to adopt rule changes by Texas Government Code 
sec.415.010 (Vernon 1996). 
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 September 17, 1997.
TRD-9712429
Edward T. Laine
Chief, Professional Standards and Administrative Operations
Texas Commission on Law Enforcement Officer Standards and Education
Effective date: November 1, 1997
Proposal publication date: July 4, 1997
For further information, please call: (512) 450-0188

CHAPTER 217. Licensing Requirements Division
37 TAC sec.217.88
The Texas Commission on Law Enforcement Officer Standards and Education adopts 
new sec.217.88, concerning reporting responsibilities of individuals, without 
changes to the proposed text as published in the July 4, 1997, issue of the 
Texas Register (22 TexReg 6257). 
This section was developed pursuant to an ongoing reorganization of the 
Commission's rules. The reorganization plan was developed by staff and 
considered by the Commission's Ad Hoc Rules Committee in response to concerns 
that the Commission's Administrative Code had become outdated, too complex and 
difficult to understand. Included in this ongoing reorganization is a schedule 
for renumbering certain sections of the rules as a way to more clearly label 
specific topics and to more fully utilize the chapter numbers available in the 
Administrative Code for the Commission's rules. This new section will replace 
current sec.211.88, concerning reporting responsibilities of individuals. No 
substantive changes were made to the provisions of the current section. 
References to obsolete standards were deleted. 
No comments were received regarding the adoption of this new section. 
The Commission is authorized to adopt new rules by Texas Government Code 
sec.415.010 (Vernon 1996).
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 September 17, 1997.
TRD-9712430
Edward T. Laine
Chief, Professional Standards and Administrative Operations
Texas Commission on Law Enforcement Officer Standards and Education
Effective date: November 1, 1997
Proposal publication date: July 4, 1997
For further information, please call: (512) 450-0188

TITLE 40. SOCIAL SERVICES AND ASSISTANCE
PART III. Texas Commission on Alcohol and Drug Abuse
CHAPTER 148.Facility Licensure
SUBCHAPTER D.Programs Services
Treatment Levels
40 TAC sec.sec.148.211-148.214
Due to technical error, a portion of the following adopted rule submitted by the 
Texas Commission on Alcohol and Drug Abuse was inadvertently omitted from the 
September 26, 1997 issue of the Texas Register. The rule will become effective 
on October 7, 1997.
The Texas Commission on Alcohol and Drug Abuse adopts amendments to 
sec.sec.148.211-148.214, concerning treatment levels. Sections 148.212-148.214 
are adopted with changes to the proposed text as published in the July 8, 1997, 
issue of the Texas Register (22 TexReg 6415). Section 148.211 is adopted without 
changes and will not be republished. 
The amendments are adopted to require Level II, III, and IV programs to provide 
counseling, to limit counselor caseloads to 20 clients in residential Level IV 
programs, and to clarify existing requirements. 
Language has been restored to sec.sec.148.212, 148.213, and 148.214 describing 
the type of client appropriate for each level of treatment. The counseling hours 
required in sec.148.212 and 148.214 have been lowered from the proposed version. 
Section 148.214 expands allowed services to include life skills training as is 
allowed in the other levels of service. 
These rules describe service requirements that apply to four specific levels of 
service. 
The commission received comments from the Association of Substance Abuse Service 
Providers of Texas, Burke Center, and Christian Farms Treehouse, which are 
summarized below. 
Comment: Do not omit language that describes the type of client appropriate for 
each level of treatment. 
Response: The commission accepts this suggestion. 
Comment: The proposed rules specifies minimum hours of counseling for each 
level. There appears to be a hybrid activity that is not purely counseling or 
education in the traditional sense. This activity combines elements of 
counseling and education and plays a significant role in various treatment 
modalities. In the context of an overall program, we believe this activity needs 
to be recognized. 
Response: The commission believes most of these hybrid activities would be 
classified as "life skills training". Recognizing that such activities can be as 
important as traditional counseling, the rules have been revised to require 
three hours of counseling and fourteen hours of additional counseling, 
education, or life skills training for Level II, and two hours of counseling and 
eight hours of additional counseling, education, or life skills training for 
Level III. It is believed this will give providers greater flexibility in 
implementing their programs. 
Comment: As written, this standard does not allow for sufficient flexibility to 
provide for decreasing transitional services and PRN drop in counseling. The 
concept of "averaging" is fine in theory, however, in real life it sets up a 
tendency to "front load" services that may or may not really be necessary. The 
recommendation was to not require minimum hours of service; instead allow for 
the program to implement services sufficient to meet the clients individual 
needs as identified in the treatment plan. 
Response: The commission believes that eliminating all requirements for minimum 
hours does not ensure clients will receive adequate treatment. While many 
providers would provide excellent care without any rules whatsoever, we are 
charged with the responsibility to protect clients from those who are unable to 
deliver appropriate treatment without some structure. The concept of averaging 
hours over the course of a client's stay allows a smoother transition from one 
level of service to another and also accommodates other fluctuations in the 
intensity of services needed by an individual client during treatment. The 
number of hours required at each level was recommended by a diverse group of 
providers, and the recommendations were built around the concept of averaging. 
It is expected that most clients at a given level of treatment will need more 
than the listed number of hours during some phases and less than the listed 
number during others. 
Comment: It is agreed that the requirement of one hour per week of individual 
counseling constitutes sound practice of this level of care; however, there is 
concern that meeting this requirement will force hiring of additional staff and 
add to the expense of providing services to a program which is already woefully 
underfunded. 
Response: The commission does not think a provider can meet the requirements for 
individualized treatment without at least one hour of individual counseling per 
week. The program is required to develop an individualized treatment plan, 
review the client's progress and make revisions to the plan, develop an 
individualized discharge plan, and help clients resolve individual issues during 
the course of treatment. These activities cannot take place without regular one-
to-one contact. 
The amendments are adopted under the Texas Health and Safety Code, Title 6, 
Chapter 464, which provides the Texas Commission on Alcohol and Drug Abuse with 
the authority to adopt rules and standards for licensure of chemical dependency 
treatment facilities. 
The code affected by the adopted rules is the Texas Health and Safety Code, 
Title 6, Subtitle B, 464. 

sec.148.212.Level II Treatment.
(a) All clients admitted to Level II shall be: 
(1) medically stable; and 
(2) able to participate in treatment. 
(b) The program shall have enough staff to provide close supervision and 
individualized treatment. 
(c) Counselor caseloads shall not exceed ten clients for each counselor. 
(d) Direct care staff shall be awake and on site during all hours of program 
operation. The direct care staff-to-client ratio shall be at least 1:16 during: 
(1) the hours clients are awake in residential programs; and
(2) all hours of operation in outpatient programs. 
(e) Counselors shall complete a comprehensive client assessment within three 
individual service days of admission for all clients transferred from Level I or 
admitted directly to a Level II program. 
(f) An individualized treatment plan shall be completed for all clients within 
five individual service days of admission. 
(g) The facility shall deliver an average of 20 hours of structured activities 
per week for each client, including: 
(1) three hours of chemical dependency counseling (including at least one hour 
of individual counseling); 
(2) 14 hours of additional counseling, chemical dependency education, or life 
skills training; and 
(3) three hours of structured social and/or recreational activities. 
(h) Each residential client shall have an opportunity to participate in physical 
recreation at least weekly. 
(i) Program staff shall offer related services to identified significant others. 

sec.148.213.Level III Treatment.
(a) All clients admitted to Level III shall be: 
(1) medically stable, and 
(2) able to function with limited supervision and support.
(b) The program shall have enough staff to meet treatment needs within the 
context of the program description. 
(c) Counselor caseloads shall not exceed 16 clients per counselor.
(d) Direct care staff shall be awake and on site during all hours of program 
operation. The direct care staff-to-client ratio shall be at least 1:16 during: 
(1) the hours clients are awake in residential programs; and
(2) all hours of operation in outpatient programs. 
(e) For clients transferred from Level I or admitted directly to this level of 
treatment, counselors shall complete a comprehensive client assessment within 
five individual service days of admission. 
(f) All clients shall have an individualized treatment plan within seven 
individual service days of admission. 
(g) The facility shall deliver an average of ten hours of structured activities 
per week for each client, including at least two hours of chemical dependency 
counseling (with at least one hour of individual counseling every two weeks) and 
eight hours of additional counseling, chemical dependency education, or life 
skills training. 

sec.148.214.Level IV Treatment.
(a) All clients admitted to Level IV programs shall be: 
(1) medically stable; and 
(2) able to function with minimal structure and support.
(b) A Level IV program shall not admit a client transferred directly from Level 
I without written justification in the client record.
(c) The program shall have enough staff to provide clients with adequate support 
and guidance. 
(d) Counselor caseloads shall not exceed 20 clients per counselor in residential 
programs. Outpatient programs shall set limits on counselor caseload size that 
ensure effective, individualized treatment and rehabilitation. Criteria used to 
set the caseload size shall be documented. 
(e) The program shall be adequately staffed during hours of operation to ensure 
effective service delivery. 
(f) In residential programs, the awake direct care staff-to-client ratio shall 
be at least 1:16 during the hours clients are awake. At least one staff person 
shall be on site and accessible to clients during sleeping hours. 
(g) For clients transferred from Level I or admitted directly to this level of 
treatment, counselors shall complete a comprehensive client assessment within: 
(1) five individual service days of admission in residential programs; and 
(2) 45 calendar days of admission in outpatient programs.
(h) All clients shall have an individualized treatment plan within: 
(1) seven individual service days of admission in residential programs; and 
(2) 45 calendar days of admission in outpatient programs.
(i) The facility shall deliver an average of two hours of structured activities 
per week for each client, including at least one hour of chemical dependency 
counseling and one hour of additional counseling, life skills training, or 
chemical dependency education. 
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 September 17, 1997.
TRD-9712356
Mark S. Smock
Deputy for Finance and Administration
Texas Commission on Alcohol and Drug Abuse
Effective date: October 7, 1997
Proposal publication date: July 8, 1997
For further information, please call: (512) 349-6609