TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 1. TEXAS DEPARTMENT OF HUMAN SERVICES

Chapter 7. REFUGEE CASH ASSISTANCE PROGRAM

The Texas Department of Human Services (DHS) adopts amendments to §§7.201, 7.204, 7.211, 7.212, 7.301, 7.305, 7.306, 7.307, 7.401, 7.403, 7.405, 7.502, 7.601, 7.602, and 7.603 ; repeals of §§7.304, 7.402, and 7.501; and new §§7.304, 7.402, and 7.404 published in the March 23, 2001 issue of the Texas Register (26 TexReg 2326). The amendments, repeals, and new sections are adopted without changes and will not be republished.

The justification for the amendments, repeals, and new sections is to update obsolete language and adhere to federal regulations that were effective in April and June 2000. The updates allow easier access to basic services for the refugee population.

The department received no comments regarding adoption of the amendment.

Subchapter B. ELIGIBILITY CRITERIA

40 TAC §§7.201, 7.204, 7.211, 7.212

The amendments are adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The amendments implement the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102885

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


Subchapter C. ELIGIBILITY DETERMINATION

40 TAC §§7.301, 7.304 - 7.307

The new section and amendments are adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The new section and amendments implement the Human Resources Code, §§31.001-31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102886

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


40 TAC §7.304

The repeal is adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The repeal implements the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102887

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


Subchapter D. ELIGIBILITY FOR OTHER PROGRAMS

40 TAC §§7.401 - 7.405

The new sections and amendments are adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The new sections and amendments implement the Human Resources Code, §§31.001-31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102888

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


40 TAC §7.402

The repeal is adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The repeal implements the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102889

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


Subchapter E. CLIENT REPORTING REQUIREMENTS

40 TAC §7.501

The repeal is adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The repeal implements the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102890

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


40 TAC §7.502

The amendment is adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The amendment implements the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102891

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


Subchapter F. PENALTY PROVISIONS

40 TAC §§7.601 - 7.603

The amendments are adopted under the Human Resources Code, Title 2, Chapter 31, which authorizes the department to administer financial assistance programs.

The amendments implement the Human Resources Code, §§31.001- 31.0325.

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

Filed with the Office of the Secretary of State on May 23, 2001.

TRD-200102892

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: July 1, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 438-3108


Chapter 41. VENDOR FISCAL INTERMEDIARY PAYMENTS

40 TAC §§41.101, 41.103, 41.105

The Texas Department of Human Services (DHS) adopts new §41.101, in new Chapter 41 without changes to the proposed text published in the March 9, 2001, issue of the Texas Register (26 TexReg 2011) and will not be republished. New §41.103 and §41.105 are adopted with changes to the proposed text and will be republished.

The Vendor Fiscal Intermediary (VFI) model was piloted in DHS's Client Managed Attendant Services program and the Personal Attendant Services program of the Texas Rehabilitation Commission (TRC) under House Bill 2084 of the 75th Legislature. Justification for these new sections is to expand the model to other CCAD programs under Senate Bill 1586 of the 76th Legislature, which directs the Health and Human Services Commission (HHSC) to expand this model to other HHSC community programs.

The department received comments from the Texas Association for Home Care. A summary of the comments and the department's responses follows.

Comment: Under proposed §41.103(2), which "program requirements" are the VFI going to be expected to train the customers on?

Response: The VFI will be expected to train the customers on VFI requirements as specified in proposed §41.103 and §41.105.

Comment: Under proposed §41.103(3), the VFI should only be involved in the administrative aspects of payroll, taxes, etc., and should not be responsible for training the consumer in duties of the employer related to evaluation of the performance and knowledge of job duties of employees, and we would recommend that portion be deleted from the rule.

Response: DHS concurs with the comment and will change the proposed language for clarity.

Comment: Under proposed §41.103(4)(D), what liability coverage options are VFI going to be expected to provide the consumer information on when they do not provide workers' compensation?

Response: The VFI is only required to provide information regarding liability compensation coverage and to provide assistance in payment arrangements if the consumer requests it. DHS concurs with the comment and will change the proposed language for clarity.

Comment: Under proposed §41.103(4)(K), the payroll checks should be distributed according to the VFI's (not the consumer's) check distribution policy, but at least twice a month.

Response: DHS concurs with the comment and is deleting the word "consumer" for clarity.

Comment: Under proposed §41.103(5), licensed home and community support services agencies, which could potentially act as the VFIs, only perform checks on their own potential employees according to Chapter 250 of the Health and Safety Code. Since the attendant under the VFI model is not an employee of the VFI, how can the VFI perform the check?

Response: Any individual can perform a criminal history check. When the VFI performs this function, they do so at the direction of the consumer and not under Chapter 250 of the Health and Safety Code.

Comment: Under proposed §41.103(8), it is not clear who the "contractor" is. Does this refer to the state agency or VFI? Is a copy of the authorization given to the VFI? We would suggest "not to exceed the authorization given to the VFI by DHS."

Response: DHS concurs with the comment and will change the words "the contractor" to "DHS."

Comment: Under proposed §41.105(11), does the sentence, "The receipt must be marked paid." mean that the client has to pay first out-of-pocket rather than the VFI paying the vendor?

Response: The proposed section provides that when the consumer has purchased an item, the consumer must provide a receipt for that purchase to be reimbursed, or the consumer can submit an invoice and have the provider pay the vendor directly.

Comment: Under proposed §41.105(12), who ultimately makes the decision that services should be discontinued due to the consumer's inability or refusal to comply with responsibilities? What if the VFI and DHS disagree as to whether the client can use the VFI model again? Can the VFI decline clients who have refused to comply in the past?

Response: DHS concurs with the comment and will change the proposed language from "non-VFI" to "agency" for clarity. Proposed §41.105(16) specifies that DHS must concur with the VFI decision, and at that point, the consumer has a right to appeal. If DHS doe not concur with the decision to terminate the VFI model, termination does not occur.

Comment: Under proposed §41.104(13), the second sentence should read, "The consumer is the employer of record and retains control over the hiring, management, and firing of an individual providing personal assistance services" in order to be consistent with the definition under proposed §41.104(4).

Response: DHS concurs with the comment and will change the language as noted.

Comment: It is not clear in these rules whether a licensed home and community care support services agency that is providing back-up personal assistance can bill the VFI directly, or if the HCSSA must send a bill to the client, who then must send it to the VFI.

Response: The back-up personal assistance is one of the spending decisions that can be made by the consumer under proposed §41.105(6). The consumer is billed and the invoice may be sent to the consumer or directly to the VFI depending on the consumer's arrangements with the HCSSA.

The new chapter and sections are 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 §531.021, which provides the Health and Human Services Commission with the authority to administer federal medical assistance funds and Texas Government Code §531.051, which covers the voucher program for payment of certain services for persons with disabilities.

The new sections implement the Human Resources Code, §§22.001 - 22.030 and §§32.001 - 32.042.

§41.103.Generic Contractor Responsibilities under the Vendor Fiscal Intermediary (VFI) Model.

This rule applies to all Community Care for the Aged and Disabled (CCAD) and Medicaid Programs that offer the VFI model of payment, unless stated differently in program rules. Contractors for any VFI model within Texas Department of Human Services (DHS) CCAD programs must:

(1)

contract with DHS to handle payroll, prepare and file tax-related forms and reports for Workers' Compensation, state and federal unemployment, Medicare, and Federal Insurance Contributions Act (FICA), and pay for other approved related expenses;

(2)

train the consumer in VFI program requirements and any other legal requirements, such as the Occupational Safety and Health Act;

(3)

provide the consumer with information, orientation, and training, as needed, concerning fiscal and payroll responsibilities and obligations as employers of personal assistant(s) and;

(4)

act as the agent for the consumer for the purpose of:

(A)

registering the consumer as an employer, including providing assistance to the consumer in completing forms required to obtain an employer identification number (EIN) from federal agencies, state agencies, and unemployment insurance agencies;

(B)

taking the appropriate action to file for employer agent status with the federal and state tax authorities and successfully obtaining agent status;

(C)

making all deposits of unemployment taxes that are withheld according to the appropriate schedule;

(D)

assisting the consumer in acquiring workers' compensation insurance for the consumer's personal assistant who is the consumer's employee, if the consumer provides workers' compensation;

(E)

computing and paying federal and state employment taxes, including federal withholding FICA (employer and employee shares), local taxes (optional), unemployment compensation taxes, workers' compensation insurance (if applicable), and other payments required as appropriate, within specified timeframes;

(F)

preparing and filing income tax forms and reports within specified timeframes;

(G)

maintaining original and file copies of all forms needed to comply with federal, state, and local tax payment of unemployment compensation premiums, and all other reporting requirements of employers;

(H)

remitting the required forms to the appropriate state agency and maintaining copies of the forms in the consumer's file upon receipt of the required completed forms from the consumer. The VFI must return copies of all forms to the consumer for the consumer's permanent personnel records;

(I)

receiving and processing personal assistant care timesheets, processing the payroll for the consumer's personal assistant(s) upon receipt of the approved timesheets, preparing the payroll for the consumer's personal assistant(s), performing appropriate income tax, FICA, workers' compensation (if applicable), and other withholding according to federal and state regulations;

(J)

preparing payroll for the consumer's personal assistant(s) according to approved time sheets after making appropriate deductions;

(K)

distributing payroll checks to the consumer's personal assistant(s) according to the VFI's check distribution policy. Distribution must be at least twice a month;

(L)

providing, at the consumer's request, the consumer with regular summaries of payroll and deductions made on the consumer's behalf; and

(M)

answering questions and distributing information to concerned parties pertaining to the VFI's responsibilities.

(5)

at the request of the consumer, conduct checks of criminal conviction of personal assistants directly from the Texas Department of Public Safety (DPS) Conviction Data base website and provide the history of convictions to the consumer. If the consumer prefers to request the check from DPS, or to require the personal assistant to obtain the information from DPS, this task does not need to be performed by the VFI. The consumer cannot employ the personal assistant until after the criminal history check is obtained.

(A)

The VFI must also document that the consumer was informed of the criminal history results or that the consumer chose to obtain the criminal history information themselves or through the personal assistant rather than through the VFI. If there is a criminal record that prevents employment according to state law, the participant cannot hire the prospective personal assistant.

(B)

If there is a criminal history result that does not prevent employment by Chapter 250 of the Health and Safety Code, the VFI must document that the consumer was informed of the result. In this case, the VFI must document that the consumer was informed of the criminal history results and that the consumer prefers to hire an employee with a criminal history (when this is not prevented by Chapter 250 of the Health and Safety Code);

(6)

keep a record of expenses paid, related to personal assistant services.

(7)

based on each personal assistant's time sheets and other documentation, pay for each of the consumer's costs incurred relating to personal assistant services, such as substitute (back-up) personal assistants and health insurance, not to exceed the authorization given by the contractor. Invoice payment must be made within 30 working days of the VFI's receipt of the invoice;

(8)

pay costs incurred relating to personal assistance services, such as recruitment (including advertisement, travel, or telephone calls), and provision of substitute (backup) personal assistants, not to exceed the authorization given by DHS. Payment to the consumer must be made within 30 working days of the VFI receiving the receipt from the consumer;

(9)

serve as the consumer's fiscal intermediary for unexpended funds within the fiscal year;

(10)

maintain record keeping of the reimbursement received, payroll disbursed, and consumer account balances;

(11)

comply with all state and federal rules, laws, and regulations; and

(12)

retain an amount of the unit rate for personal assistant services approved by DHS as an administrative payment.

§41.105.Generic Consumer Responsibilities under the Vendor Fiscal Intermediary Model.

Consumers choosing the vendor fiscal intermediary (VFI) model within any Texas Department of Human Services (DHS) Community Care for the Aged and Disabled (CCAD) program must:

(1)

be capable of performing all employer tasks that the VFI model requires, or appoint a designated person to perform these employer tasks and participate in the training offered by the VFI as specified in §41.103(2) of this title (relating to generic contractor responsibilities under the vendor fiscal intermediary (VFI) model).

(2)

appoint the VFI as the consumer's fiscal and payroll agent;

(3)

request criminal history checks of personal assistant(s), either through the VFI, personal assistant, or directly from the Texas Department of Public Safety Conviction Data base website and consider this information in determining whether to hire the personal assistant(s) as per Chapter 250 of the Health and Safety Code. An individual cannot be hired as a personal assistant until the criminal history check is obtained;

(4)

provide substitute (backup) personal assistant(s);

(5)

resolve any employer/employee-related problems or disagreements directly with his personal assistant(s);

(6)

make payroll spending decisions pertaining to provisions of personal assistant services and wages and any personal assistant employment-related costs within the consumer's authorized individual service plan, including:

(A)

using the approved budget to cover related personal assistant employment expenses incurred by the consumer, such as recruitment, requesting a criminal history check or an open records check (which is more in-depth than a criminal check) of a potential employee, and provision of substitute (backup) personal assistants;

(B)

providing the personal assistant with one or more of the optional benefits selected from the following list: increased wages, paid vacation, health insurance, workers' compensation, work-related travel expenses, and bonus, holiday, overtime, and sick pay. If the consumer elects not to provide workers' compensation insurance coverage for the personal assistant, the consumer must disclose this election to the personal assistant by having the personal assistant sign a written notice that workers' compensation will not be provided;

(C)

purchasing more hours of personal assistant services by paying a decreased rate per hour when the consumer's services are at the maximum allowed by the program as long as the total amount does not exceed the authorized service plan amount for the category of service and the hours are used for the purpose of the program; and

(D)

purchasing other authorized services related to personal assistant services, provided the services are covered by the consumer's budget plan developed by the VFI in conjunction with the consumer. The VFI must not pay for services excluded from the service plan, non-allowable costs according to DHS rule, or for services that exceed the service plan.

(7)

not discriminate against personal assistants or applicants based on race, creed, color, national origin, sex, age, disability, or sexual orientation;

(8)

perform all other employer tasks except for employer-related administrative functions specifically assumed by the VFI;

(9)

notify the VFI of all personal assistant enrollments, substitutions, dismissals, and the reasons therefore;

(10)

specify the tasks the personal assistant is to perform for the consumer, the schedule the personal assistant will work for the consumer, the hourly rate (which must be at least the minimum wage level) the consumer will pay the personal assistant, timeframes (at least twice a month) the VFI will pay the personal assistant, and benefits the personal assistant will receive;

(11)

submit to the VFI receipts or invoices for personal assistance services related costs as specified in paragraph (6)(D) of this section. The consumer cannot receive reimbursement for those services lacking copies of receipts. The copy of the receipt or invoice must be legible, verify how purchase of an allowable service pertains to the personal assistant employment-related cost, and not be dated prior to the date the individual was certified eligible for the CCAD program or prior to the date the VFI option was chosen. Additionally, the copy of the receipt or invoice must include specifications of service purchased, date service was purchased, and the vendor's name and identifying information. The receipt must be marked paid. If the consumer does not provide required invoices, the VFI must not make payments;

(12)

accept services through a non-vendor fiscal intermediary model for three months if the consumer discontinues services through the VFI model. If services are discontinued due to consumer inability or refusal to comply with responsibilities, a VFI and DHS representative or designee must review consumer's plan for correction of previous deficiencies before re-initiation of the VFI model;

(13)

assume liability. Personal assistants of consumers participating in the VFI model are considered employees of the consumer. The consumer is the employer of record and retains control over the hiring, management, and firing of an individual providing personal assistance services. Personal assistants are not employees of the VFI or DHS, and the VFI and DHS are not responsible or liable for any negligent acts or omissions by the personal assistant or the employer;

(14)

assume all disability related training for the personal assistant including nature of the disability, type of care needed, steps in carrying out procedures, and safety precautions;

(15)

perform annual evaluations and provide ongoing feedback regarding job performance to all personal assistants;

(16)

change to the agency model on VFI's recommendation, if there is a documented, substantiated pattern of consumer's refusal or inability to comply with the responsibilities listed in paragraphs (1)-(15) of this section. With concurrence from the authorized DHS representative, this recommendation will be enacted immediately. A request for a hearing to appeal the decision may be made in accordance with program guidelines; and

(17)

consumer complaints regarding actions of the VFI or the personal assistant relating to abuse, neglect, and exploitation, will be addressed to the authorized Texas Department of Protective and Regulatory Services (TDPRS) representative.

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

Filed with the Office of the Secretary of State on May 21, 2001.

TRD-200102842

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Effective date: June 10, 2001

Proposal publication date: March 9, 2001

For further information, please call: (512) 438-3108


Part 11. TEXAS COMMISSION ON HUMAN RIGHTS

Chapter 338. EXEMPTED RESIDENTIAL REAL ESTATE-RELATED TRANSACTIONS

40 TAC §338.6

The Commissioners of the Texas Commission on Human Rights (TCHR) adopt amended §338.6, concerning Familial Status. This section is adopted without changes to the proposed text as published in the March 23, 2001, issue of the Texas Register (26 TexReg 2346) and will not be republished.

On April 2, 1999, HUD issued its final rule to implement amendments to the Housing for Older Persons Act of 1995 (HOPA). 64 Fed. Reg. 16324 (1999) (now codified at 24 C.F.R. §100.304-.308) The amendments modify the requirements for qualification for housing for persons who are 55 years of age or older portion of the "housing for older persons" exemption established in the federal Fair Housing Act.

Pursuant to §301.002(3) of the Texas Property Code, a purpose of the Texas Fair Housing Act is to provide rights and remedies substantially equivalent to those granted under federal law. The Commission provides, as detailed in §301.043(3) of the Texas Property Code, for an exemption for housing intended and operated for occupancy by at least one person 55 years of age or older for each housing unit as determined by Commission rules. Additionally, pursuant to 40 Texas Administrative Code §335.3, the Commission intends that its substantive rules impose obligations, rights, and remedies that are the same as provided by federal laws and regulations

This section sets forth the requirements for a facility seeking to claim the 55 and older exemption. A facility must show three factors: (1) that the housing is intended and operated for persons 55 years of age or older; (2) that at least 80% of the occupied units be occupied by at least one person who is 55 years or older; and (3) the housing facility or community publish and adhere to policies and procedures that demonstrate its intent to qualify for the exemption. The housing facility or community must also comply with rules for the verification of occupancy.

Section §338.6(d), establishes a good faith defense against civil money damages for a person who reasonably relies in good faith on the application of the housing for older persons exemption, even when, in fact, the housing facility or community does not qualify for the exemption.

No comments were received in response to the proposed rule amendment.

This rule is adopted under the Texas Property Code, Chapter 301, Section 301.062, and 40 Texas Administrative Code Chapter 336, Section 336.1 and Chapter 335, Section 335.4. Under the Texas Property Code, Section 301.062, the Commission may adopt rules as necessary to implement the Texas Fair Housing Act. The Texas Administrative Code Title 40, Sections 335.4 and 336.1, provide that the Commission may adopt rules and regulations to execute the duties and functions of the Texas Commission on Human Rights.

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

Filed with the Office of the Secretary of State on May 24, 2001.

TRD-200102933

Katherine A. Antwi

Interim Executive Director

Texas Commission on Human Rights

Effective date: June 13, 2001

Proposal publication date: March 23, 2001

For further information, please call: (512) 437-3458