TITLE 25.HEALTH SERVICES

Part 1. TEXAS DEPARTMENT OF HEALTH

Chapter 229. FOOD AND DRUG

Subchapter K. TEXAS FOOD ESTABLISHMENTS

The Texas Department of Health (department) adopts the repeal of §229.172, and new §229.172 concerning accreditation of food management programs, new §229.176 concerning certification of food managers, and new §229.177 concerning the certification of food managers in areas under Texas Department of Health permitting jurisdiction. Sections 229.172, 229.176, and 229.177 are adopted with changes to the proposed text that was published in the March 8, 2002, issue of the Texas Register (27 TexReg 1645). The repeal of §229.172 is adopted without changes, and therefore will not be republished.

Government Code, §2001.039 requires each state agency to review and consider for readoption each rule adopted by that agency pursuant to Government Code, Chapter 2001 (Administrative Procedure Act). Existing §229.172 has been reviewed and the department has determined that reasons for adopting the section continue to exist. However, because of substantial changes to the Texas Food Establishment rules and revisions to the recommendations of the Conference for Food Protection which serve as the guidance documents, existing §229.172 is being repealed and new §229.172 is adopted.

The department published a Notice of Intention to Review for §229.172 in the Texas Register on January 21, 2000 (25 TexReg 398). No comments were received as a result of the publication of the notice.

Section 229.172 is being amended to make the language consistent with the Texas Food Establishment Rules currently in place and with the National Conference for Food Protection Guidelines. In addition, the 77th Texas Legislature passed House Bill 251 which requires the department to develop new standards for certification based on passage of a department approved examination. New §229.176 proposes new standards which will provide this framework. House Bill 251 also provides the department with the statutory authority to require manager certification in those areas of the state under department permitting jurisdiction. New §229.177 implements this requirement. Certification of food managers supports demonstration of food safety knowledge, thereby reducing the risk of foodborne illness outbreaks caused by improper food preparation and handling techniques.

No comments were received during the comment period regarding the amended sections as proposed; however after department staff review, three changes were made for consistency within the proposed rules.

Change: Section 229.172(f)(3) was amended to include the words "site location" to be consistent with §229.176(e)(3).

Change: Sections 229.172(f)(3) and 229.176(e)(3) were amended to include the words "change of name" to be consistent within Chapter 229.

Change: In §229.177(c)(3), the word "in" was inserted before "§229.162(66)" for clearer understanding of the reference used in the paragraph.

25 TAC §229.172

The repeal is adopted under the Health and Safety Code, §438.042, which requires the department to adopt necessary regulations pursuant to the enforcement of Chapter 438; and §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for the performance of every duty imposed by law on the board, the department, and the commissioner of health.

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 June 17, 2002.

TRD-200203739

Susan K. Steeg

General Counsel

Texas Department of Health

Effective date: July 7, 2002

Proposal publication date: March 8, 2002

For further information, please call: (512) 458-7236


25 TAC §§229.172, 229.176, 229.177

New §229.172 is adopted under the Health and Safety Code, §438.042, which requires the department to adopt necessary regulations pursuant to the enforcement of Chapter 438, Subchapter D; and §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for the performance of every duty imposed by law on the board, the department, and the commissioner of health. New §229.176 is adopted under the Health and Safety Code, §438.102, which requires the department to adopt necessary regulations pursuant to the enforcement of Chapter 438, Subchapter G; and §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for the performance of every duty imposed by law on the board, the department, and the commissioner of health. New §229.177 is adopted under the Health and Safety Code, §437.0076, which provides the department with the statutory authority to adopt necessary regulations pursuant to the enforcement of Chapter 437; and §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for the performance of every duty imposed by law on the board, the department, and the commissioner of health.

§229.172.Accreditation of Certified Food Management Programs.

(a) Purpose. This section is intended to provide the framework for accrediting manager level food safety programs in accordance with the Texas Health and Safety Code (HSC), Chapter 438, Subchapter D. A uniform standard governing the accreditation of food safety programs enhances the recognition of reciprocity among regulatory agencies and reduces the expense of duplicate education incurred when food establishment managers work in multiple regulatory jurisdictions. Education of the food establishment manager provides more qualified personnel, thereby reducing the risk of foodborne illness outbreaks caused by improper food preparation and handling techniques.

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

(1) Accredited--A program approved by the department that meets the standards set forth in this section.

(2) Alternative training methods--Training other than classroom, including but not limited to distance learning, computerized training programs, and correspondence courses.

(3) Certificate--The documentation issued by the department or an organization that administers a department approved examination verifying that an individual has complied with the requirements of this section.

(4) Certification--The process whereby a certificate is issued.

(5) Certified food manager--A person who has demonstrated that they have the knowledge, skills and abilities required to protect the public from foodborne illness by means of successfully completing a food safety examination as described in this section.

(6) Certified food management program--A program accredited by the department that provides food safety education for food establishment managers and administers an approved examination for certification or recertification purposes.

(A) Certification program--A program whose course work consists of a minimum of 14 hours of instruction on food safety topics which may include traditional or alternative methods of training, including distance education, and at least a one-hour proctored department approved examination.

(B) Recertification program--A program whose course work consists of six hours of instruction on food safety topics, which may include traditional or alternative methods of training, including distance education, and a department approved proctored examination.

(7) Certified food management program instructor--An individual whose educational background and work experience meet the requirements for approval as a certified food management instructor as described in this section.

(8) Certified food management program licensee--The individual, corporation or company that is licensed by the department to operate certified food management programs.

(9) Certified food management program sponsor--An individual designated in writing to the department, by the licensee, as the person responsible for administrative management of the program.

(10) Conference for Food Protection--An independent national voluntary nonprofit organization to promote food safety and consumer protection.

(11) Continuing education--Documented professional education or activities that provide for the continued proficiency of a certified food management program instructor.

(12) Department--The Texas Department of Health.

(13) Examination administrator--An individual or individuals who are designated in writing to the department, by the licensee, who is responsible for administering food manager certification examinations.

(14) Food--A raw, cooked, or processed edible substance, ice, beverage or ingredient used or intended for use or for sale in whole or in part for human consumption, or chewing gum.

(15) Food establishment--An operation that stores, prepares, packages, serves, or otherwise provides food for human consumption such as: a food service establishment; retail food store; satellite or catered feeding location; catering operation, if the operation provides food directly to a consumer or to a conveyance used to transport people; market; remote catered operations; conveyance used to transport people; institution or food bank that relinquishes possession of food to a consumer directly or indirectly through a delivery service such as home delivery of grocery orders or restaurant takeout orders, or delivery service that is provided by common carriers.

(A) The term includes: an element of the operation such as a transportation vehicle or a central preparation facility that supplies a vending location or satellite feeding location, unless the vending or feeding location is permitted by the regulatory authority; a restaurant; a grocery store; an operation that is conducted in a mobile, roadside, stationary, temporary, or permanent facility or location; group residence; outfitter operations; bed and breakfast extended and bed and breakfast food establishments where consumption is on or of the premises; and regardless of whether there is a charge for the food.

(B) The term does not include: an establishment that offers only prepackaged foods that are not potentially hazardous; a produce stand that only offers whole, uncut fresh fruits and vegetables; a food processing plant; a kitchen in a private home if only food that is not potentially hazardous is prepared for sale or service at a function, such as a religious or charitable organization's bake sale; a bed and breakfast limited facility as defined in §229.162(4)(A) of this title; or a private home.

(16) Law--Applicable local, state and federal statutes, regulations and ordinances.

(17) Person--An association, corporation, individual, partnership or other legal entity, government or governmental subdivision or agency.

(18) Proctor--The examination administrator or a person who is designated to assist the examination administrator.

(19) Psychometric--Scientific measurement or quantification of human qualities, traits or behaviors.

(20) Reciprocity--Acceptance by state and local regulatory authorities of a Department approved food manager certificate.

(21) Regulatory authority--The state or local enforcement body or authorized representative having jurisdiction over the food establishment.

(22) Secure--Access limited to the certified food manager licensee or examination administrator.

(23) Single entity--A corporation that educates only its own employees.

(24) Traceable means--A method of mailing documents, which can be tracked in the event of loss or delay.

(c) Certified food manager.

(1) Certified food manager responsibilities. Responsibilities of a certified food manager include:

(A) identifying hazards in the day-to-day operation of a food establishment that provides food for human consumption;

(B) developing or implementing specific policies, procedures or standards aimed at preventing foodborne illness;

(C) coordinating training, supervising or directing food preparation activities, and taking corrective action as needed to protect the health of the consumer;

(D) training the food establishment employees on the principles of food safety; and

(E) conducting in-house self-inspections of daily operations on a periodic basis to ensure that policies and procedures concerning food safety are being followed.

(2) Certification by training and food safety examination. To be certified, a food manager must complete an accredited certification or recertification program and pass an examination that has been administered through a department accredited food management program.

(3) Certificate reciprocity. Department issued food management certificates shall be recognized statewide by regulatory authorities as the only valid proof of successful completion of a department accredited food management course.

(4) Certificate availability. The original food manager certificate shall be conspicuously posted at each food establishment.

(d) Licensing of certified food management program licensee. The department shall issue a license of accreditation to each certified food management program licensee who has demonstrated compliance with this section. A license issued under these rules will expire one year from the date of issuance. This license is not transferable on change of ownership, or site location.

(1) Application. A person wishing to apply for a certification or recertification certified food management program license shall submit an application to the department.

(2) Certified food management program license fee. The license application shall include the appropriate non-refundable fee.

(3) Examination security agreement. The licensee shall submit a signed security agreement for each examination administrator using a department examination.

(4) Certified food management program sponsor. The licensee may designate a program sponsor as the person responsible for the administrative management of the program.

(5) Certified food management program instructor. A list of all department certified food management program instructors who plan to teach an accredited certification or recertification course shall be provided to the department. An instructor application, along with other necessary documentation must be submitted for all non-certified instructors.

(6) Training methods. Training methods shall be designated on the application. Documentation must be provided to the department verifying that the time required to complete an alternative training program is equivalent to 14 hours of training for certification and six hours for recertification.

(7) Certification examination. Department approved examination(s) utilized by the certified food protection management programs shall be designated on the application.

(e) Licensing of single entity certified food management programs. In addition to the licensing requirements as specified in subsection (d) of this section, a corporation wishing to use a single entity option, which defers course length and topic requirements as specified HSC, §438.043(a), shall submit to the department:

(1) a copy of the course guide; and

(2) an outline of each topic and sub-topics.

(f) Responsibilities of a certified food management program licensee.

(1) Compliance with certified food management program law and rules. The licensee is responsible for compliance with applicable certified food management program law and rules.

(2) Payment of fees. All fees shall be non-refundable and paid as specified in subsection (p) of this section.

(3) Change of ownership, site location, or change of name. A new licensing application, to include non-refundable fee(s) as described in this section, shall be submitted prior to a change of license ownership, site location, or change of name.

(4) Certified food management program course content. All food management programs must be taught utilizing the course content established in the Conference for Food Protection's Standards for Accreditation of Food Protection Manager Certification Programs, and must meet the training and time requirements in subsection (d)(6) of this section.

(5) Change of program sponsor. The licensee shall notify the department in writing of the name of the new program sponsor.

(6) Change of examination administrator. The licensee shall submit a signed security agreement for each new examination administrator prior to administering the department examination. New examination administrators must receive instruction on administrative responsibilities for examination security and processing.

(7) Change of certified food management instructor. The licensee shall ensure that only a department certified food management instructor serves as the instructor for the food management program. All new instructors must complete the application for new instructors that must be submitted by the licensee to the department with the applicable documentation. All new instructors must receive instruction on the applicable law and rules and administrative responsibilities.

(8) Mailing of answer sheets. The licensee shall ensure that the answer sheets used for computerized grading shall be mailed to the department by traceable means. The completed answer sheets must be received by the department within seven working days of the examination date.

(g) Requirements for certification of certified food management program instructors. The instructors for all food management programs shall be department certified prior to teaching a class. Instructors meeting the qualifications will be approved for a five-year period. The application form shall be submitted to the department through the accredited certified food management program licensee.

(1) New food management instructors. A completed application for new instructors must be submitted to the department with the following documentation:

(A) the completed and signed application form;

(B) a copy of a valid food management certificate; and

(C) verification of education or experience in food safety documented by one of the following:

(i) an associate or higher college degree from an accredited institution in a major related to food safety or environmental health, evidenced by a copy of the candidate's diploma or transcript;

(ii) five years of food establishment work experience verified in an attached resume; or

(iii) one year of regulatory inspection experience verified in an attached resume.

(2) Nationally accredited program instructors. Nationally accredited program instructors who have met the minimum standards as set forth by this section shall be given reciprocity when instructing and administering a Conference for Food Protection accredited examination.

(h) Responsibilities of certified food management program instructors.

(1) Compliance with certified food management program law and rules. All certified instructors are responsible for compliance with applicable certified food management program law and rules.

(2) Training requirements. All certified instructors are responsible for instructing the course content as specified in subsection (f)(4) of this section, and meeting the training time requirements as specified in subsection (d)(6) of this section.

(3) Examination administrator. Instructors serving as the examination administrator must complete an examination security agreement prior to administering a department examination.

(i) Requirements for the renewal of certified food management program instructor certification. In order for an instructor to renew their instructor certification, they must comply with the requirements of this subsection.

(1) Instructor certification renewal. At least 60 days prior to the certificate expiration date, the department will mail instructors a renewal notice. In order for certification to be renewed, the instructor must return the completed renewal notice to the department prior to the expiration date along with required documentation.

(2) Continuing education requirements. An instructor must earn a minimum of 12 contact hours of continuing education credits before expiration of their certification.

(3) Accepted continuing education topics. Continuing education topics may include areas in food safety or instruction enhancement.

(4) Verification of continuing education. The following may be used for continuing education:

(A) a certificate of completion for a course or seminar with the participant's name, course name, date and number of contact hours earned;

(B) a college transcript with course description;

(C) a copy of a published professional research paper authored by the instructor that indicates the journal name and publication date;

(D) a signed and dated letter on official letterhead from an employer detailing the instructor's participation in company workshops or programs; or

(E) other documentation of attendance as approved by the department.

(5) Expiration of instructor certificate. Instructor certification expires upon the expiration date on the certificate. In order to be recertified, the instructor must submit a new food management instructor application.

(j) Responsibilities of the examination administrators.

(1) Compliance with certified food management program laws and rules. The examination administrator is responsible for compliance with the certified food management program laws and rules applicable to examination administration.

(2) Examination security agreement. An examination administrator must complete a security agreement and submit to the department through the certified food management program licensee. The department may not issue examinations to an examination administrator who does not have a signed security agreement on file with the department.

(3) Examination security. The examination administrator shall provide examination security at the examination site. All security measures shall be met and maintained at all times during examination storage, administration and issuance as described in this section.

(4) Mailing answer sheets. Answer sheets used for computerized grading shall be mailed to the department by traceable means. The completed answer sheets must be received at the department within seven working days of the examination date.

(5) Examination results. Candidates shall be informed of the process for receiving their certificate upon passing the examination. Candidates shall be informed of the reexamination process, in the event of examination failure.

(6) Replacement process for candidate certificate. Candidates shall be informed of the process for replacing lost or damaged certificates.

(k) Certified food manager certificates.

(1) Certificate issuance. Certified food manager certificates for candidates who complete an accredited program and pass the department examination will be mailed directly to the candidate at the address provided on the computerized grading sheet.

(2) Certificate period. A certified food manager certificate shall be valid for five years from the date of examination. All certificates issued prior to the effective date of these rules will expire on the expiration date as stated on the certificate.

(3) Certificate renewal. Renewal shall be achieved by completing a recertification program and passing a department approved examination. A renewal certificate shall be valid for five years from date of issuance.

(4) Certificate replacement. An individual requesting a certified food manager certificate replacement must submit a written request to the department with the appropriate non-refundable fee. Replacement certificates will bear the same expiration date as the original certificate.

(5) Expired certificates. Certified food managers whose certification has expired shall complete an accredited certification course and pass the final examination.

(6) Certification through single entity corporations. Candidates from accredited single entity corporations will receive food management certificates as described in this section, except that the food management certificate shall:

(A) clearly indicate that the certificate is for the single entity only;

(B) be recognized by regulatory authorities for only that single entity; and

(C) not receive reciprocity or recertification.

(l) Department examination criteria. The department examination shall meet accepted psychometric standards for reliability, validity and passing score. The department certification examination shall consist of 75 statistically valid questions to be administered at one time following the required training which precedes the examination. The department recertification examination shall consist of 50 statistically valid questions to be administered at one time following the required training which precedes the examination.

(m) National examination criteria. National food manager examinations recognized by the Conference for Food Protection shall be considered department approved examinations. Examination administrators for national examinations must implement and maintain all of the administrative procedures as outlined in the Conference for Food Protection Standards for Accreditation of Food Protection Manager Certification Programs.

(n) Site requirements for administration of the department examination and national examinations. Examination sites utilizing the department examination or a national examination must comply with all legal requirements for safety, health, and accessibility for all qualified candidates. Accommodations, lighting, space, comfort, and workspace for taking the examination must allow all candidates to perform at their highest level of competency. Requirements at each site include but are not limited to:

(1) accessibility in accordance with the requirements of the Americans with Disabilities Act must be available for all qualified examinees;

(2) sufficient spacing between each examinee in the area in which the actual testing is conducted, or other appropriate and effective methods, to preclude any examinee from viewing another candidate's examinations;

(3) acoustics that allow each examinee to hear instructions clearly, using an electronic audio system if necessary;

(4) adequate lighting at each examinee's work space for reading fine print; and

(5) appropriate ventilation and temperature for the health and comfort of examinees.

(o) Examination administration. Examination administrators shall implement and maintain the following examination administration procedures for a program utilizing the department examination.

(1) Security procedures shall be in place which protect the examination from compromise at all times. The examinations shall be stored and administered under secure conditions and shall be inventoried prior to and immediately following each administration of an examination. The examination may not be duplicated. Candidates shall have access to the examination only during examination administration.

(2) There shall be one proctor for every 35 candidates taking the examination. Proctors shall, by picture identification, confirm the accurate identity of each candidate. The examination administrator shall train and supervise the activities of any proctor(s).

(3) A candidate who speaks English as a second language may use a translation dictionary to translate English into their native language.

(4) An employee or a non-biased volunteer translator may be used as a translator of languages other than English to administer the examination orally. Translators shall be pre-approved by the examination administrator, and shall not compromise the integrity of the examination or the examination results of the candidate.

(5) Each candidate's examination results and personal information shall be held confidential. Such information may be made available only to the examinee and to persons designated in writing by the examinee in a dated document containing the examinee's original signature. The signed document must specify the name(s) of specific individuals the information may be released to and the exact information which may be provided. The department shall only release information in writing and only to appropriately designated and identified person(s).

(6) All completed answer sheets for the department examinations shall:

(A) be mailed by traceable means, and received by the department within seven working days of the examination date for grading and processing;

(B) be submitted in a condition acceptable for immediate scanning. Forms requiring extensive correction shall be returned to the examination administrator ungraded; and

(7) Only the department shall grade the department examination.

(p) Required fees. All fees are payable to the Texas Department of Health and are non- refundable. Fees must be submitted with the appropriate form that relates to the fee category.

(1) Certified food manager program license fee. A program fee shall be $300 per year for each certification or recertification program.

(2) Candidate fee. A candidate fee for those taking a department approved examination shall be $17. If the candidate fails the department examination, another candidate fee must be submitted to retake the examination.

(3) Replacement certificate. A replacement certificate fee for the department examination shall be $10.

(4) Late fee. Certified food manager licensees submitting a renewal application to the department after the expiration date shall pay an additional $100 as a late fee.

(q) Department examination related to late fees. Department examinations will not be provided to any licensee that is over 30 days delinquent in renewing a certified food management program license.

(r) Certified food management program registry. The department shall maintain a program registry of all accredited certification and recertification programs. The registry shall be made available on the department website.

(s) Department audits. Examination and classroom audits shall be conducted to assess program compliance. Audits may be based on analysis of data compiled by the department.

(t) Denial, suspension and revocation of program accreditation. An accredited food manager program license may be denied, suspended or revoked for the following reasons:

(1) an average quarterly candidate failure rate in any one quarter of 25% or higher on examinations;

(2) a licensee, examination administrator or proctor breaches the security agreement;

(3) a licensee is delinquent in payment of fees as described in this section; or

(4) violation of the provisions of this section.

(u) Denial, suspension and revocation procedures. Denial, suspension and revocation procedures under this section shall be conducted in accordance with the Administrative Procedure Act, Government Code, Chapter 2001.

§229.176.Certification of Food Managers.

(a) Purpose. This section is intended to provide the framework of certification programs for food managers in accordance with Texas Health and Safety Code (HSC), Chapter 438, Subchapter G. Certification of Food Managers supports demonstration of food safety knowledge, thereby reducing the risk of foodborne illness outbreaks caused by improper food preparation and handling techniques.

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

(1) Certificate--The documentation issued by the department or an organization that administers a department approved examination verifying that an individual has complied with the requirements of this section.

(2) Certification--The process whereby a certificate is issued.

(3) Certified food manager--A person who has demonstrated that he/she has the knowledge, skills and abilities required to protect the public from foodborne illness by means of successfully completing a food safety examination as described in this section.

(4) Certified food manager licensee--The individual, corporation, or company that is licensed by the department to administer a department approved examination for food manager certification and who complies with the examination site requirements.

(5) Certified food manager examination--A department approved examination for food manager certification.

(6) Conference for Food Protection--An independent national voluntary nonprofit organization promoting food safety and consumer protection.

(7) Department--The Texas Department of Health.

(8) Examination administrator--an individual designated in writing to the department by the licensee who is responsible for administering food manager certification examinations.

(9) Examination site--The physical location at which the department approved examination is administered.

(10) Food--A raw, cooked, or processed edible substance, ice, beverage, or ingredient used or intended for use or for sale in whole or in part for human consumption, or chewing gum.

(11) Food establishment--An operation that stores, prepares, packages, serves, or otherwise provides food for human consumption such as: a food service establishment; retail food store; satellite or catered feeding location; catering operation, if the operation provides food directly to a consumer or to a conveyance used to transport people; market; remote catered operations; conveyance used to transport people; institution or food bank that relinquishes possession of food to a consumer directly or indirectly through a delivery service such as home delivery of grocery orders or restaurant takeout orders, or delivery service that is provided by common carriers.

(A) The term includes: an element of the operation such as a transportation vehicle or a central preparation facility that supplies a vending location or satellite feeding location, unless the vending or feeding location is permitted by the regulatory authority; a restaurant; a grocery store; an operation that is conducted in a mobile, roadside, stationary, temporary, or permanent facility or location; group residence; outfitter operations; bed and breakfast extended and bed and breakfast food establishments where consumption is on or off the premises; and regardless of whether there is a charge for the food.

(B) The term does not include: an establishment that offers only prepackaged foods that are not potentially hazardous; a produce stand that only offers whole, uncut fresh fruits and vegetables; a food processing plant; a kitchen in a private home if only food that is not potentially hazardous is prepared for sale or service at a function, such as a religious or charitable organization's bake sale; a bed and breakfast limited facility as defined in §229.162(4)(A) of this title.

(12) Law--Applicable local, state and federal statutes, regulations and ordinances.

(13) Nonprofit organization--A civic or fraternal organization, charity, lodge, association, proprietorship or corporation possessing a 501(C) exemption under the Internal Revenue Code; or religious organizations meeting the definition of "church" under the Internal Revenue Code, §170(b)(1)(A)(I).

(14) Person--An association, corporation, partnership, individual or other legal entity, government or governmental subdivision or agency.

(15) Personal validation question--A question designed to establish the identity of the candidate taking a certified food manager examination by requiring an answer related to the candidate's personal information such as a driver's license number, address, date of birth, or other similar information that is unique to the candidate.

(16) Proctor--The examination administrator or a person who is designated to assist the examination administrator.

(17) Psychometric--Scientific measurement or quantification of human qualities, traits or behaviors.

(18) Reciprocity--Acceptance by state and local regulatory authorities of a department approved food manager certificate.

(19) Regulatory authority--The state or local enforcement body or authorized representative having jurisdiction over the food establishment.

(20) Secure--Access limited to the licensee or examination administrator.

(21) Traceable means--A method of mailing documents that can be tracked in the event of loss or delay.

(c) Certified food manager.

(1) Certified food manager responsibilities. Responsibilities of a certified food manager include:

(A) identifying hazards in the day-to-day operation of a food establishment that provides food for human consumption;

(B) developing or implementing specific policies, procedures or standards aimed at preventing foodborne illness;

(C) coordinating training, supervising or directing food preparation activities and taking corrective action as needed to protect the health of the consumer;

(D) training the food establishment employees on the principles of food safety; and

(E) conducting in-house self-inspection of daily operations on a periodic basis to ensure that policies and procedures concerning food safety are being followed.

(2) Certification by a food safety examination. To be certified, a food manager must pass a department approved examination or a national examination recognized by the Conference for Food Protection.

(3) Certificate reciprocity. A certificate issued to an individual who successfully completes a department approved examination shall be accepted as meeting the training and examination requirements under HSC, §438.046(b).

(4) Certificate availability. The original food manager certificate shall be conspicuously posted at each food establishment.

(d) Licensing of certified food manager licensee. The department shall issue a license to certified food manager licensees meeting the requirements of this subsection. A license issued under these rules shall expire one year from the date of issuance. A license is not transferable on change of ownership, or change of site location.

(1) Application. Persons wishing to apply for a certified food manager license shall submit an application to the department.

(2) Certified food manager licensee fee. The license application shall include the appropriate non-refundable fee as specified in subsection (o)(1) of this section.

(3) Examination security agreement. The licensee shall submit a signed security agreement for each examination administrator using a department examination.

(4) Certification examination. Department approved examination(s) utilized by the certified food manager licensee shall be designated on the application.

(5) Number of examination sites utilized. The license application shall indicate the number of examination sites to be utilized under the certified food manager license.

(e) Responsibilities of certified food manager licensee.

(1) Compliance with food manager laws and rules. The licensee is responsible for compliance with applicable food manager laws and rules.

(2) Payment of fees. All fees shall be non-refundable and paid as specified in subsection (o) of this section.

(3) Change of ownership, site location, or change of name. A new licensing application package, to include non-refundable fee(s) as described in this section, shall be submitted prior to a change of licensee ownership, site location, or change of name.

(4) Change of the examination administrator. The licensee shall submit a signed security agreement by a new examination administrator prior to administering the department examination.

(5) Examination administration. The licensee shall directly administer the department approved examination.

(f) Responsibilities of department examination administrators.

(1) Compliance with food manager laws and rules. The examination administrator is responsible for compliance with the food manager laws and rules applicable to examination administration.

(2) Examination security agreement. An examination administrator must complete, sign and date a security agreement and submit it to the department through the certified food manager licensee. The department may not issue examinations to examination administrators who do not have a signed security agreement on file with the department.

(3) Examination security. The examination administrator shall provide examination security at the examination site. All security measures specified in this section shall be met and maintained at all times during examination storage, administration and issuance.

(4) Mailing answer sheets. Answer sheets used for computerized grading shall be mailed to the department by traceable means. The completed answer sheets must be received at the department within seven working days of the examination date.

(5) Examination results. Candidates shall be informed of the process for receiving their certificate upon passing the examination. Candidates shall be informed of the reexamination process, in the event of examination failure.

(6) Replacement process for candidate certificate. Candidates shall be informed of the process for replacing lost or damaged certificates.

(g) Responsibilities for Internet examination providers.

(1) Compliance with food manager laws and rules. Internet examination providers are responsible for compliance with food manager laws and rules applicable to examination administration.

(2) Examination Security Agreement. Internet examination providers must submit the department security agreement signed by the certified food manager licensee.

(3) Examination Security. Candidates taking Internet examinations shall be advised on the application that outside training materials or assistance shall not be used during administration of the examination and that appropriate measures must be taken to assure that the examination is not compromised.

(h) Certified food manager certificates.

(1) General certificate issuance. Certificates shall be issued by the department or the organization that administers a department approved examination. Certificates issued after successful passage of a department approved examination shall be deemed to meet the requirements for food manager certification.

(2) Department certificate issuance. Certified food manager certificates for candidates who pass the department's examination will be mailed directly to the candidate at the address provided on the computerized grading sheets.

(3) Certificate period. A certified food manager certificate shall be valid for five years from the date of examination. All certificates issued prior to the effective date of these rules will expire on the expiration date as stated on the certificate.

(4) Certificate renewal. Renewal shall be achieved by passing an examination approved by the department. A renewal certificate shall be valid for five years from the date of issuance.

(5) Department certificate replacement. An individual requesting a certified food manager certificate replacement must submit a written request to the department with the appropriate non-refundable fee. Replacement certificates will bear the same expiration date as the original certificate.

(i) Department examination criteria. The department examination shall meet accepted psychometric standards for reliability, validity and passing score. The department examination shall consist of 75 statistically valid questions to be administered at one time following any voluntary training which may precede the examination.

(j) National examination criteria. National food manager examinations recognized by the Conference for Food Protection shall be considered department approved examinations. Examination administrators for national examinations must implement and maintain all of the administrative procedures as outlined in the Conference for Food Protection Standards for Accreditation of Food Protection Manager Certification Programs.

(k) Internet examination criteria. Documentation that Internet examination questions meet accepted psychometric standards for reliability, validity, and passing score shall be submitted to the department. Each candidate shall receive a unique form of the examination with regard to question sequence. Internet examinations shall consist of 75 statistically valid questions that are administered at one time following any voluntary training that may precede the examination.

(l) Site requirements for administration of the department examination and national examinations. Examination sites utilizing the department examination or a national examination must comply with all legal requirements for safety, health, and accessibility for all qualified candidates. Accommodations, lighting, space, comfort, and workspace for taking the examination must allow all candidates to perform at their highest level of competency. Requirements at each site include but are not limited to:

(1) accessibility in accordance with the requirements of the Americans with Disabilities Act must be available for all qualified examinees;

(2) sufficient spacing between each examinee in the area where the actual examination is conducted, or other appropriate and effective methods, to preclude any examinee from viewing other candidates' examinations;

(3) acoustics that allow each examinee to hear instructions clearly, using an electronic audio system if necessary;

(4) adequate lighting at each examinee's workspace for reading fine print; and

(5) appropriate ventilation and temperature for the health and comfort of examinees.

(m) Department examination administration. Examination administrators shall implement and maintain the following examination administration procedures for a program utilizing the department examination:

(1) Security procedures shall be in place, which protect the examination from compromise at all times. The examinations shall be stored and administered under secure conditions and shall be inventoried prior to and immediately following each administration of an examination. The examination may not be duplicated. Candidates shall have access to the examination only during examination administration;

(2) There shall be one proctor for every 35 candidates taking the examination. Proctors shall, by picture identification, confirm the accurate identity of each candidate. The examination administrator shall train and supervise the activities of any proctor(s);

(3) A candidate who speaks English as a second language may use a translation dictionary to translate English into their native language;

(4) An employee or a non-biased volunteer translator may be used as a translator of languages other than English to administer the examination orally. Translators shall be pre-approved by the examination administrator, and shall not compromise the integrity of the examination nor the examination results of the candidate;

(5) Each candidate's examination results and personal information shall be held confidential. Such information may be made available only to the examinee and to persons designated in writing by the examinee in a dated document containing the examinee's original signature. The signed document must specify the name(s) of specific individuals the information may be released to and the exact information which may be provided. The department shall only release information in writing and only to appropriately designated and identified person(s);

(6) All completed answer sheets for the department examinations shall:

(A) be mailed by traceable means, and received by the department within seven working days of the examination date for grading and processing;

(B) be submitted in a condition acceptable for immediate scanning. Forms requiring extensive correction shall be returned to the examination administrator ungraded; and

(7) Only the department shall grade the department examination.

(n) Internet examination administration.

(1) Registration requirements for Internet examinations. The licensee shall register the candidates and require the candidates to:

(A) verify their identity;

(B) provide responses to ten personal validation questions; and

(C) maintain examination security.

(2) Licensee examination disclosure information. The licensee shall inform the candidate that:

(A) reference materials shall not be used during the examination;

(B) the candidate shall not receive assistance from anyone during the examination; and

(C) examination questions may not be replicated in any fashion.

(3) Personal validation questions. The licensee shall verify a candidate's identity throughout the examination. The personal validation process must include the following elements:

(A) a minimum of five personal validation questions selected from the ten questions provided during registration shall be incorporated at various times during the examination;

(B) the personal validation questions must be randomly generated with respect to time and order;

(C) the same personal validation questions shall not be asked more than once during the same examination; and

(D) the examination session shall cease and the candidate shall be automatically exited from the examination if a candidate answers a personal validation question incorrectly.

(4) System support. The licensee of an approved Internet examination must include the following system capabilities and security measures:

(A) capability to browse or review previously completed examination questions;

(B) capability to navigate logically and systematically through the examination;

(C) technical support personnel for Internet examination issues;

(D) security of personal candidate information in transit and at rest;

(E) a back-up and disaster recovery system capability; and

(F) assurance that examination data is maintained in a secure and safe environment and readily available to the department.

(5) Reporting requirements for non-proctored Internet examination administrators. Internet examination administrators who administer examinations in non-proctored locations shall submit a semi-annual report to enable the department to evaluate examination security and system performance. The report shall include:

(A) statistical data to enable measurement of central tendency, ranges of examination scores, standard deviation, standard error of measurement, and examination cut score;

(B) the number of personal validation questions used; and

(C) the number of examinations discontinued due to incorrect responses to personal validation questions.

(6) Time allotment for non-proctored Internet examination providers. Time allotted for administration of non-proctored examinations shall not exceed 90 minutes.

(o) Required fees. All fees are payable to the Texas Department of Health and are non- refundable. Fees must be submitted with the appropriate form that relates to the fee category. Fees shall be:

(1) Certified food manager licensee fee. Certified food manager licensee fees shall be based on the number of sites at which the certified food manager licensee administers the examinations based on the following scale:

(A) one site - $200;

(B) two to ten sites - $500; or

(C) over ten sites - $1,000.

(2) Candidate fee. A candidate fee for those taking the department examination shall be $17. If the candidate fails the department examination, another candidate fee must be submitted to retake the examination.

(3) Replacement certificate fee. A replacement certificate fee for the department examination shall be $10.

(4) Late fee. A certified food manager licensee submitting a renewal application to the department after the expiration date shall pay an additional $100 as a late fee.

(p) Department examination related to late fees. Department examinations will not be provided to any licensee that is over 30 days delinquent in renewing a license.

(q) Certified food manager licensee registry. The department shall maintain a registry of all licensed certified food manager licensees. The registry shall be made available on the department website.

(r) Department audits. Audits of certified food manager licensees shall be conducted to assess compliance with these rules. Audits may be based on analysis of data compiled by the department.

(s) Denial, suspension and revocation of certified food manager license. A certified food manager license may be denied, suspended or revoked for the following reasons:

(1) a licensee, examination administrator, or proctor breaches the security agreement;

(2) a licensee is delinquent in payment of fees as described in this section; or

(3) violation of the provisions of this section.

(t) Denial, suspension and revocation procedures. Denial, suspension and revocation procedures under this section shall be conducted in accordance with the Administrative Procedure Act, Government Code, Chapter 2001.

§229.177.Certification of Food Managers in Areas Under Texas Department of Health Permitting Jurisdiction.

(a) Purpose. The purpose of this section is to implement a food manager certification requirement as authorized in the Texas Health and Safety Code (HSC), Chapter 437, §437.0076(b). Certification of food managers after testing on food safety principles reduces the risk of foodborne illness outbreaks caused by improper food preparation and handling techniques.

(b) Food manager certification required. One certified food manager must be employed by each food establishment permitted under HSC, §437.0055. Certification must be obtained by passing a department approved examination at an approved examination site, and meeting all requirements in HSC, Chapter 438, Subchapter G, and §229.176 of this title (relating to Certification of Food Managers).

(c) Food manager certification exemptions. The following food establishments are exempt from the requirements in subsection (b) of this section:

(1) establishments that handle only prepackaged food and do not package food as exempted in HSC, §437.0076(c);

(2) child care facilities as exempted by HSC, §437.0076(f);

(3) establishments that do not prepare or handle exposed potentially hazardous foods as defined in §229.162(66) of this title; or

(4) nonprofit organizations as defined in §229.371(9) of this title (relating to Permitting Retail Food Establishments).

(d) Responsibilities of a certified food manager. Responsibilities of a certified food manager include:

(1) identifying hazards in the day-to-day operation of a food establishment that provide food for human consumption;

(2) developing or implementing specific policies, procedures or standards to prevent foodborne illness;

(3) supervising or directing food preparation activities and ensuring appropriate corrective actions are taken as needed to protect the health of the consumer;

(4) training the food establishment employees on the principles of food safety; and

(5) performing in-house self-inspections of daily operations on a periodic basis to ensure that policies and procedures concerning food safety are being followed.

(e) Certificate reciprocity. A certificate issued to an individual who successfully completes a department approved examination shall be accepted as meeting the training and testing requirements under HSC, §438.046(b).

(f) Certificate posting. The original food manager certificate shall be posted in a location in the food establishment that is conspicuous to consumers.

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 June 17, 2002.

TRD-200203740

Susan K. Steeg

General Counsel

Texas Department of Health

Effective date: July 7, 2002

Proposal publication date: March 8, 2002

For further information, please call: (512) 458-7236


Subchapter O. LICENSING OF WHOLESALE DISTRIBUTORS OF DRUGS--INCLUDING GOOD MANUFACTURING PRACTICES

25 TAC §§229.251 - 229.255

The Texas Department of Health (department) adopts amendments to §§229.251 - 229.255, concerning the licensing of wholesale distributors of drugs - including good manufacturing practices. Sections 229.252 and 229.254 are adopted with changes to the proposed text as published in the March 8, 2002, issue of the Texas Register (27 TexReg 1655). Sections 229.251, 229.253 and 229.255 are adopted without changes and will not be republished.

The amendments clarify language and alphabetize defined terms to make them consistent with other division rules and clarify licensing fees for out-of-state wholesale drug distributors. In addition, the rules clarify compliance requirements for drug distributors with regard to the Texas Controlled Substances Act, and the Health and Safety Code, Chapter 481. The amendments implement Title 21, Code of Federal Regulations (CFR), Part 203, titled "Prescription Drug Marketing" to protect the public against drug diversion by establishing procedures, requirements, and minimum standards for distribution of prescription drugs and prescription drug samples.

Government Code, §2001.039 requires each state agency to review and consider for readoption each rule adopted by that agency pursuant to Government Code, Chapter 2001 (Administrative Procedure Act). The current rules have been reviewed and the department has determined that reasons for adopting the sections continue to exist; however, the rules need revisions as described in this preamble.

The department published a Notice of Intention to Review §§229.251 - 229.255 in the Texas Register on November 30, 2001 (26 TexReg 9933). No comments were received as a result of the publication of the notice.

The department received no public comments during the comment period for these amendments. However, the department is making the following changes due to staff comments to clarify the intent of and improve the accuracy of the sections.

Change: Concerning §229.252(a)(1)(D), the word "and" is added for proper formatting of the subparagraphs of the paragraph. The subparagraph was proposed as "no change".

Change: Concerning §229.254(a), the words "After an opportunity for a hearing" were deleted. This language is used in the sentence twice and deletion corrects the redundancy.

The amendments are adopted under the Health and Safety Code, §431.241, which provides the department with the authority to adopt necessary regulations pursuant to the enforcement of Chapter 431; and §12.001, which provides the Texas Board of Health (board) with the authority to adopt rules for the performance of every duty imposed by law on the board, the department, and the commissioner of health.

§229.252.Licensing Fee and Procedures.

(a) License fee.

(1) All wholesale distributors of drugs who are not manufacturers of drugs in Texas shall obtain a license annually with the Texas Department of Health (department). Except as provided for in paragraph (2) of this subsection, wholesale distributors of drugs who are not manufacturers of drugs in Texas shall pay a non-refundable licensing fee for each place of business operated as follows:

(A) $250 per distributor engaged in distribution only of compressed medical gases (no transfilling operations) having gross annual drug sales of $0-$20,000;

(B) $400 per wholesale distributor having gross annual drug sales of $0 - $199,999.99;

(C) $650 per wholesale distributor having gross annual drug sales of $200,000 - $19,999,999.99;

(D) $850 per wholesale distributor having gross annual drug sales greater than or equal to $20 million; and

(E) $0.00 per wholesale distributor engaged in the distribution of an over-the-counter drug by a charitable organization, as described in the Internal Revenue Code of 1986, §501(c)(3), to a nonprofit affiliate of the organization to the extent otherwise permitted by law.

(2) A wholesale distributor of drugs who is not a manufacturer of drugs, who is required to be licensed under this section and who is also required to be licensed as a device distributor under §229.439(a)(1) of this title (relating to Licensure Fees) or as a food wholesaler under §229.182(a)(3) of this title (relating to Licensing Fee and Procedures) shall pay a combined non-refundable licensing fee for each place of business. The licensing fee shall be based on the combined gross annual sales of these regulated products (foods, drugs, and/or devices) as follows:

(A) $200 for each place of business having combined gross annual sales of $0 - $199,999.99;

(B) $300 for each place of business having combined gross annual sales of $200,000 - $499,999.99;

(C) $400 for each place of business having combined gross annual sales of $500,000 - $999,999.99;

(D) $500 for each place of business having combined gross annual sales of $1 million - $9,999,999.99; and

(E) $750 for each place of business having combined gross annual sales greater than or equal to $10 million.

(3) All wholesale distributors of drugs who are manufacturers of drugs in Texas shall obtain a license annually with the department and shall pay a non-refundable licensing fee for each place of business operated as follows:

(A) $400 per wholesale distributor having gross annual drug sales of $0 - $199,999.99 (includes a compressed and/or liquid medical gas transfiller);

(B) $650 per wholesale distributor having gross annual drug sales of $200,000 - $19,999,999.99; and

(C) $850 per wholesale distributor having gross annual drug sales greater than or equal to $20 million.

(4) All out-of-state wholesale distributors of drugs who distribute drugs into the State of Texas must pay an annual non-refundable license fee as follows:

(A) $750 per out-of-state wholesale drug distributor; or

(B) $500 per out-of-state wholesale drug distributor with gross annual sales of $20 million or less, provided an outside audited statement demonstrating gross annual sales are less than $20 million is provided to the department.

(5) If the United States Food and Drug Administration (FDA) determines, with respect to a product that is a combination of a drug and a device, that the primary mode of action of the product is as a drug, a person who engages in wholesale distribution of the product is subject to licensing as described in this section.

(6) For the purpose of collecting licensing fees under this section, a person that distributes both its own manufactured drugs and drugs it does not manufacture must obtain only a wholesale distributor of drugs (manufacturing) license. However, when calculating the amount of the licensing fee, the manufacturer must include the total for all drugs manufactured and distributed from the place of business. In addition, drug warehousing locations operated by a drug distributor, including locations from which drugs are held for limited periods of time for distribution, and which are totally separate from any manufacturing location, must be individually licensed as drug distributors.

(7) A firm that has more than one business location may request a one-time prorating of fees when applying for a license for each new location. Upon approval by the department, the expiration date of the license for the new location will be the same as the expiration date of the firm's other licensed locations.

(b) License forms. Licensing forms may be obtained from the Texas Department of Health, Drugs and Medical Devices Division, 1100 West 49th Street, Austin, Texas 78756.

(c) License statement. The wholesale distributors' licensing statement shall be signed and verified by the owner, partner, president, or corporate designee, shall be made on the department furnished license form, and shall contain the following information:

(1) the legal name under which the business is conducted;

(2) the address of each place of business that is licensed;

(3) if a proprietorship, the name and residence address of the proprietor; if a partnership, the names and residence addresses of all partners; if a corporation, the date and place of incorporation and name and address of its registered agent in the state; or if any other type of association, then the names of the principals of such association;

(4) the names and residence addresses and valid driver's license of those individuals in an actual administrative capacity which, in the case of proprietorship, shall be the managing proprietor; partnership, the managing partner; corporation, the officers and directors; or those in a managerial capacity in any other type of association;

(5) for each place of business, the residence addresses of the individuals in charge thereof; and

(6) a list of categories which must be marked and adhered to in the determination and paying of the fee.

(d) Two or more places of business. If the wholesale distributor operates more than one place of business, the wholesale distributor shall license each place of business separately.

(e) Pre-licensing inspection. The applicant shall cooperate with any pre-licensing inspection by the department of the wholesale distributor's facilities. The department may accept reports from authorities in other jurisdictions to determine the extent of compliance with the minimum standards in this chapter for applicants located out-of-state.

(f) Issuance of license. The department may license a wholesale distributor of drugs who meets the requirements of this section and §229.253 of this title (relating to Minimum Standards for Licensing).

(1) The initial license shall be valid for one year from the start date of the regulated business activity which becomes the anniversary date.

(2) The renewal license shall be valid for one year from the anniversary date.

(g) Renewal of license.

(1) Each year, the wholesale distributor of drugs shall renew its license following the requirements of this section and §229.253 of this title (relating to Minimum Standards for Licensing).

(2) A person who holds a license issued by the department under the Health and Safety Code shall renew the license by filing an application for renewal on a form prescribed by the department, accompanied by the appropriate licensure fee. A licensee must file for renewal before the expiration date of the current license. A person who files a renewal application after the expiration date must pay an additional $100 as a delinquency fee.

(3) Failure to submit the renewal annually may subject the wholesale distributor of drugs to the enforcement provisions under Health and Safety Code, Chapter 431, and to the provisions of §229.254 of this title (relating to Refusal, Revocation, or Suspension of License).

(A) Amendment of license. A license that is amended, including a change of name, ownership, or a notification of a change in the location of a licensed place of business required under the Health and Safety Code, §431.206, will require submission of fees as outlined in subsection (a) of this section.

(B) Notification of change of location of place of business. Not fewer than 30 days in advance of the change, the licensee shall notify the commissioner of health (commissioner) or the commissioner's designee in writing of the licensee's intent to change the location of a licensed place of business. The notice shall include the address of the new location, and the name and residence address of the individual in charge of the business at the new location. Not more than 10 days after the completion of the change of location, the licensee shall notify the commissioner or the commissioner's designee in writing to verify the change of location, the address of the new location, and the name and residence address of the individual in charge of the business at the new address. Notice will be deemed adequate if the licensee provides the intent and verification notices to the commissioner or the commissioner's designee by certified mail, return receipt requested, mailed to the Texas Department of Health, 1100 West 49th Street, Austin.

(h) Exemption from licensing. Persons who engage in wholesale distribution of prescription drugs for use in humans are exempt from the licensing requirements of this subchapter, to the extent that it does not violate provisions of the Texas Dangerous Drug Act or the Texas Controlled Substances Act, the Health and Safety Code. The exemptions are:

(1) intracompany sales;

(2) the purchase or acquisition by a hospital or other health care entity that is a member of a group purchasing organization of a drug for its own use from the group purchasing organization or from other hospitals or health care entities that are members of such organizations;

(3) the sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug by a charitable organization, as described in the Internal Revenue Code of 1986, §501(c)(3), to a nonprofit affiliate of the organization to the extent otherwise permitted by law;

(4) the sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug among hospitals or other health care entities that are under common control. For the purpose of this subsection, "common control" means the power to direct or cause the direction of the management and policies of a person or an organization, whether by ownership of stock, voting rights, contract, or otherwise;

(5) the sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug for emergency medical reasons. For purposes of this section, "emergency medical reasons" includes transfers of prescription drugs by a retail pharmacy to another retail pharmacy to alleviate a temporary shortage;

(6) the sale, purchase, or trade of a drug, an offer to sell, purchase, or trade a drug, or the dispensing of a drug pursuant to a prescription;

(7) the distribution of drug samples by manufacturers' representatives or distributors' representatives; or

(8) the sale, purchase, or trade of blood and blood components intended for transfusion.

(i) Sale of food, drugs, or devices. The provisions of this section regarding the sale of food, drugs, or devices shall be considered to include the manufacture, production, processing, packaging, exposure, offer, possession, and holding of any such article for sale; and the sale, dispensing, and giving of any such article, and the supplying or applying of any such articles in the conduct of any food, drug or device place of business.

§229.254.Refusal, Revocation, or Suspension of License.

(a) The commissioner may refuse an application for a license or may refuse to license a wholesale distributor of drugs, or may revoke or suspend the license if the commissioner determines after providing an opportunity for hearing that the applicant or licensee:

(1) has been convicted of a felony or misdemeanor that involves moral turpitude, including but not limited to the illegal use, sale, or transportation of intoxicating liquors, narcotic drugs, barbiturates, amphetamines, desoxyephedrine, their compounds or derivatives, or any other dangerous or habit-forming drugs;

(2) is an association, partnership, or corporation and any officer or management employee, partner, or any officer or director of the corporation has been convicted of a felony or misdemeanor that involves moral turpitude, including but not limited to the illegal use, sale, or transportation of intoxicating liquors, narcotic drugs, barbiturates, amphetamines; desoxyephedrine, their compounds or derivatives, or any other dangerous or habit-forming drugs;

(3) has violated any provisions of the Texas, Food, Drug, and Cosmetic Act, Health and Safety Code, Chapter 431 or these sections;

(4) has failed to pay a license fee or an annual renewal fee for a license;

(5) has obtained or attempted to obtain a license by fraud or deception;

(6) has violated the Health and Safety Code, §431.021(1)(3), concerning the counterfeiting of a drug or the sale or holding for sale of a counterfeit drug;

(7) has violated the Health and Safety Code, Chapter 481 (Texas Controlled Substance Act), or the Health and Safety Code, Chapter 483 (Dangerous Drug Act); or

(8) has violated the rules of the director of the Department of Public Safety, including responsibility for a significant discrepancy in the records that state law requires the applicant or licensee to maintain.

(b) Any hearings for the refusal, revocation, or suspension of a license are governed by the department's formal hearing procedures in Chapter 1 of this title (relating to Texas Board of Health) and the Administrative Procedure Act, Government Code, Chapter 2001.

(c) If the department suspends a license, the suspension shall remain in effect until the department determines that the reason for the suspension no longer exists. If the suspension overlaps a renewal date, the suspended license holder shall comply with the renewal procedures in §229.252(g) of this title (relating to Licensing Fee and Procedures); however, the department may choose not to renew the license until the department determines that the reason for suspension no longer exists.

(d) If the department revokes or does not renew a license, a person may reapply for a license by complying with the requirements and procedures in §229.252(a) and (c) of this title at the time of reapplication. The department may refuse to issue a license if the reason for revocation or non-renewal continues to exist.

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 June 17, 2002.

TRD-200203738

Susan K. Steeg

General Counsel

Texas Department of Health

Effective date: July 7, 2002

Proposal publication date: March 8, 2002

For further information, please call: (512) 458-7236