ADOPTED RULES An agency may take final action on a section 30 days after a proposal has been published in the Texas Register. The section becomes effective 20 days after the agency files the correct document with the Texas Register, unless a later date is specified or unless a federal statute or regulation requires implementation of the action on shorter notice. If an agency adopts the section without any changes to the proposed text, only the preamble of the notice and statement of legal authority will be published. If an agency adopts the section with changes to the proposed text, the proposal will be republished with the changes. TITLE 4. AGRICULTURE Part I. Texas Department of Agriculture Chapter 3. Boll Weevil Eradication Program Subchapter C. Prohibition of Planting of Cotton The Texas Department of Agriculture (the department) adopts amendments to sec.sec.3.50, 3.51 and 3.53, the repeal of sec.sec.3.54-3.57, and new sec.3.54, concerning the statewide boll weevil eradication program in Texas, without changes to the proposal published in the March 6, 1998, issue of the Texas Register (23 TexReg 2200). The amendments, repeal and new section are adopted to allow the department to revise its eradication program rules to bring the sections in compliance with statutory changes enacted by the 75th Legislature, Senate Bill 1814 and to make the sections more clear and concise. The amendments and new section will further implement provisions of the Texas Agriculture Code, Chapter 74, Subchapter D, relating to prohibition of planting of cotton in designated areas within an eradication zone, and will encourage full participation and compliance by cotton producers in the boll weevil eradication program, resulting in a decrease in the use of pesticides for boll weevil control and greater efficiency in the operation of the eradication program. The repeal, as adopted, deletes existing sections relating to notices and requirements for program participation and assessment of penalties and allows the department to incorporate those sections into Chapter 3, Subchapter D. The amendment to sec.3.50 adds references to the Texas Boll Weevil Eradication Foundation, Inc., recognized by statute as the designated entity to carry out the eradication program in Texas, and reflects changes in statutory authority resulting from the enactment of Senate Bill 1814 by the 75th Legislature. The amendment to sec.3.51 changes the definition of the foundation to reference the Texas Boll Eradication Weevil Foundation, Inc., and changes the definition of eradication zone to be consistent with statutory changes. The amendment to sec.3.53 reflects a clerical change in the title of that section. New sec.3.54 states the consequences for failing to comply with a prohibition on planting of cotton, and states the procedures to be followed should a grower fail to comply with a planting prohibition. No comments were received on the proposal. 4 TAC sec.sec.3.50, 3.51, 3.53, 3.54 The amendments to sec.sec.3.50, 3.51, 3.53 and new sec.3.54 are adopted under the authority of the Texas Agriculture Code (the Code), sec.74.120, which provides the department with the authority to adopt reasonable rules to carry out the purposes of Subchapters A, B, and D of the Code, Chapter 74; the Code, sec.74.118 which provides the department with the authority to adopt rules regarding areas where cotton may not be planted in an eradication zone, prohibiting the planting of noncommercial cotton in eradication zones, and requiring that all growers of commercial cotton in eradication zones participate in the eradication program; the Code, sec.12.016, which provides the department with the authority to adopt rules as necessary for the administration of its powers and duties under the Code; and Texas Government Code, sec.2001.004, which requires that the department adopt rules of practice stating the nature and requirements of all available formal and informal procedures. 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 April 29, 1998. TRD-9806029 Dolores Alvarado Hibbs Deputy General Counsel Texas Department of Agriculture Effective date: May 19, 1998 Proposal publication date: March 6, 1998 For further information, please call: (512) 463-7541 4 TAC sec.sec.3.54-3.57 The repeal of sec.3.54-3.57 is adopted under the authority of the Texas Agriculture Code (the Code), sec.74.120, which provides the department with the authority to adopt reasonable rules to carry out the purposes of Subchapters A, B, and D of the Code, Chapter 74; the Code, sec.12.016, which provides the department with the authority to adopt rules as necessary for the administration of its powers and duties under the Code; and Texas Government Code, which sec.2001.004, which requires that the department adopt rules of practice stating the nature and requirements of all available formal and informal procedures. 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 April 29, 1998. TRD-9806028 Dolores Alvarado Hibbs Deputy General Counsel Texas Department of Agriculture Effective date: May 19, 1998 Proposal publication date: March 6, 1998 For further information, please call: (512) 463-7541 Subchapter D. Requirements for Participation in the Eradication Program and Administrative Penalty Enforcement The Texas Department of Agriculture (the department) adopts the repeal of sec.sec.3.70-3.71, new sec.sec.3.70-3.78, and amendments to sec.sec.3.80-3.81, concerning the statewide boll weevil eradication program in Texas, without changes to the proposal published in the March 6, 1998, issue of the Texas Register (23 TexReg 2202). The repeal, new sections, and amendments are adopted in order to allow the department to revise its eradication program rules to bring the sections in compliance with statutory changes enacted by the 75th Legislature, Senate Bill 1814, and to make the sections more clear and concise. The new sections and amendments will further implement provisions of the Texas Agriculture Code, Chapter 74, Subchapter D, relating to requirements for participation in an boll weevil eradication program, assessment of administrative penalties for failure to comply, and exemptions from payment of an administrative penalty, and will encourage full participation and compliance by cotton producers in the boll weevil eradication program, resulting in a decrease in the use of pesticides for boll weevil control and greater efficiency in the operation of the program. The repeal of sec.sec.3.70 and 3.71 deletes current provisions for exemption from assessment penalties and allows the department to reorganize this subchapter and existing sections of Chapter 3, Subchapter C, relating to assessment of administrative penalties. New sec.sec.3.70 and 3.71 provide a statement of authority and purpose and definitions. New sec.3.72 provides requirements for participation in the boll weevil eradication program and new sec.3.73 provides for public notice of participation requirements. New sec.3.74 provides for administrative penalties to be assessed for non-payment of assessments and failure to timely report acreage to the foundation. New sec.3.75 provides for an appeal of a penalty assessed under these rules. New sec.3.76 provides the procedure to be followed in seeking an exemption from an administrative penalty assessed under sec.3.74, and new sec.3.77 states the criteria to be applied by the department in determining whether to grant a request for exemption. Proposed new sec.3.78 provides a method by which a grower may request the establishment of a payment plan for an administrative penalty for nonpayment of assessment. The amendment to sec.3.80 reorganizes and clarifies the procedures for placement of a lien, including notice provisions and provisions for curing a delinquency. The amendment to sec.3.81 provides for the retention by the department from lien foreclosure proceeds of any related administrative penalties due to the department. No comments were received on the proposal. 4 TAC sec.3.70, sec.3.71 The repeal of sec.3.70 and sec.3.71 is adopted under the authority of the Texas Agriculture Code (the Code), sec.74.120, which provides the department with the authority to adopt reasonable rules to carry out the purposes of Subchapters A, B, and D of the Code, Chapter 74; the Code, sec.12.016, which provides the department with the authority to adopt rules as necessary for the administration of its powers and duties under the Code; and Texas Government Code, which sec.2001.004, which requires that the department adopt rules of practice stating the nature and requirements of all available formal and informal procedures. 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 April 29, 1998. TRD-9806027 Dolores Alvarado Hibbs Deputy General Counsel Texas Department of Agriculture Effective date: May 19, 1998 Proposal publication date: March 6, 1998 For further information, please call: (512) 463-7541 4 TAC sec.sec.3.70-3.78, 3.80, 3.81 New sec.sec.3.70-3.78 and the amendments to sec.sec.3.80-3.81 are adopted under the authority of the Texas Agriculture Code (the Code), sec.74.120, which provides the department with the authority to adopt reasonable rules to carry out the purposes of Subchapters A, B, and D of the Code, Chapter 74; the Code, sec.74.115, which provides the department with the authority to assess administrative penalties for failure to pay an assessment; the Code, sec.74.118, which provides the department with the authority to assess administrative penalties for failure to meet the requirements of the rules regarding reporting of acreage; the Code, sec.74.116, which provides that the department by rule shall adopt criteria for exemption from payment of assessment penalties; the Code, sec.12.016, which provides the department with the authority to adopt rules as necessary for the administration of its powers and duties under the Code; and Texas Government Code, sec.2001.004, which requires that the department adopt rules of practice stating the nature and requirements of all available formal and informal procedures. 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 April 29, 1998. TRD-9806026 Dolores Alvarado Hibbs Deputy General Counsel Texas Department of Agriculture Effective date: May 19, 1998 Proposal publication date: March 6, 1998 For further information, please call: (512) 463-7541 Part II. Texas Animal Health Commission Chapter 35. Brucellosis Subchapter A. Eradication Brucellosis in Cattle 4 TAC sec.35.2 The Texas Animal Health Commission adopts an amendment to sec.35.2, concerning the general requirements relating to eradication of brucellosis in cattle, without changes to the proposed text as published in the January 30, 1998, issue of the Texas Register (23 TexReg 690) and will not be republished. The amendment standardizes vaccination ages of cattle. The amendment also deletes references and tables relating to the Complement Fixation test, and replaces references to the Brucellosis ring test with the Brucellosis Milk Surveillance Test. The amendment also clarifies that the hold order, rather than the quarantine, is used when a vaccinated suspect is located at a market and returned to the herd of origin. The amendment also requires that a hold order be placed on herds with fence line or across the road contact with a quarantined herd unless an epidemiological evaluation determines the hold order is unnecessary. Other adjacent or high risk herds may be placed under hold order. No comments were received regarding adoption of the amendment. The amendment is adopted under the Texas Agriculture Code, Chapter 161, Subchapter C, sec.161.061 and sec.161.064 which authorize the Commission to enact rules to eradicate communicable disease, and Chapter 163, Subchapter D, sec.161.061 and sec.161.064 which authorize the Commission to adopt rules relating to vaccination of cattle. 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 4, 1998. TRD-9806187 Kathryn A. Reed General Counsel Texas Animal Health Commission Effective date: May 24, 1998 Proposal publication date: January 30, 1998 For further information, please call: (512) 719-0714 4 TAC sec.35.3 The Texas Animal Health Commission adopts an amendment to sec.35.3, concerning the requirements for certified brucellosis free herds of cattle relating to eradication of brucellosis in cattle with changes to the proposed text as published in the January 30, 1998, issue of the Texas Register (23 TexReg 692). The amendment replaces language referring to a milk ring test with the Brucellosis Milk Surveillance Test. This change allows the state/federal laboratory more testing latitude. No comments were received regarding adoption of the amendment. The amendment is adopted under the Texas Agriculture Code, Chapter 161, Subchapter C, sec.161.041 and sec.161.046 which authorize the Commission to enact rules to eradicate communicable disease, and Chapter 163, Subchapter D, sec.163.064 which authorizes the Commission to adopt rules relating to the testing of cattle. sec.35.3. Requirements for Certified Brucellosis Free Herd of Cattle. (a)-(c) (No change.) (d) Qualifying methods. A herd may qualify by one or more of the following methods. (1) Initial certification. (A) Brucellosis Milk Surveillance Test (BMST). A minimum of four consecutive, negative brucellosis milk surveillance tests conducted at not less than 90-day intervals, followed by a negative herd blood test conducted within 90 days after the last negative brucellosis milk surveillance test. (B) (No change.) (2)-(3) (No change.) (e) Qualifying Standards. (1) Herd infection rates. The individual herd must disclose no evidence of infection at the time of initial certification or recertification. (A negative blood test and a complete epidemiological investigation may be used to resolve a suspicious BMST in qualifying a dairy herd.) (2)-(5) (No change.) (f) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 4, 1998. TRD-9806188 Kathryn A. Reed General Counsel Texas Animal Health Commission Effective date: May 24, 1998 Proposal publication date: January 30, 1998 For further information, please call: (512) 719-0714 Chapter 49. Equine 4 TAC sec.49.1 The Texas Animal Health Commission adopts an amendment to sec.49.1, concerning Equine Infectious Anemia: Identification and Handling of Infected Equine, with changes to the proposed text as published in the January 30, 1998, issue of the Texas Register (23 TexReg 693). The amendment allows the movement of a reactor equine directly to a livestock market, if sold for slaughter, provided that the animal is inspected and found to display no clinical signs of EIA, as well as, isolated from the other equine and held on the premise no longer than 24 hours. Comments were received for and against the proposed amendment. The commissioners ruled that the people against the regulations had valid comments in that having to test at the market would be unnecessarily burdensome to market sales. Comments from the Texas Horse Marketing Association support the original hardship exclusion proposed by the Texas Animal Health Commission wherein it approved the selling of untested equine at auctions. The original hardship exclusion provided for the sale of untested equine at auctions. If the untested equine was sold for slaughter, it would be tested at the plant. If not sold for slaughter, the bill of sale was to be stamped notifying the buyer that a current negative coggins was unavailable, and advising the buyer to quarantine the animal until it could be tested. One individual commented that it would be difficult for the horse-owning population of Texas to keep their animals healthy if sale barns and auctions were allowed an exemption on having a negative coggins test on every horse that comes out of their facility. As recently as mid-1994, the only action by the TAHC addressing EIA was to brand and identify test positive animals. Adjacent testing was not performed and there was no followup. As a result of insistence from the equine industry, particularly from Northeast Texas, the TAHC began strengthening and broadening their regulatory role on the EIA. Because of this, in late 1994, TAHC did extend their regulations to require a complete epidemiological investigation to be conducted each time a positive animal was disclosed. Equine judged to be exposed were required to be tested. Though the agency expected major opposition, this rule was easily implemented and accepted by Texas Horse Owners. After considerable additional hours of public testimony, both written and verbal, in May 1996 the Commission adopted regulations to require herd owners with equine participating in shows, fairs, and exhibitions, as well as horses changing ownership, to have a negative Coggins test within the past 12 months. This regulation, generated some opposition, particularly from horse marketers. This resulted in the exemption that equine could change ownership through public auctions without a negative test if buyers receive notice and information about it. The 12 TAHC commissioners are willing to take the entire responsibility for any dissatisfaction regarding this issue; however, after considering testimony, both written and verbal, their conclusions were: 1. The regulation had not been in place long enough and should not have been proposed to be changed, but left undisturbed for at least a year, possibly more. One of the complaints is that the EIA regulations change so often that no one can keep up with them. 2. Commission action has accelerated the EIA program, with several regulatory changes enacted and implemented since October 1994. As a result, the number of horses tested has doubled from 1996 to 1997, and the number of positive animals found and eliminated has doubled. Public education has also greatly increased. Finally, only 14 to 15 percent of horses that change ownership do so through a market. Considering all these factors, the Commission opted not to change the EIA regulations. The amendment is adopted under the Texas Agriculture Code, Chapter 161, Subchapter C, sec.161.041 and sec.161.046 which authorize the Commission to enact rules to eradicate equine infectious anemia, including rules regarding testing; and Subchapter G, sec.161.112 which authorizes the Commission to regulate the movement of animals from livestock markets and to require tests. sec.49.1. Equine Infectious Anemia (EIA): Identification and Handling of Infected Equine. (a)-(g) (No change.) (h) Movement of Reactors and Exposed Equine. (1) Reactor equine. Following official identification, a reactor must be accompanied by a VS Form 1-27 permit issued by an accredited veterinarian or other authorized state or federal personnel when moved from its home premises either: (A) Directly to a slaughter plant, slaughter-only market, or slaughter-only buying facility; or (B) Directly to an approved diagnostic or research facility; or (C) Directly to a livestock market to be sold for slaughter, provided that within 24 hours prior to entry, the equine is inspected by a TAHC veterinarian or a Texas USDA-accredited veterinarian to ensure the equine displays no clinical signs of EIA and has a normal temperature. The auction market must isolate the positive equine from other equine, pen the positive equine under a roof, and hold the positive equine on the premise for no longer than 24 hours. (2) (No change.) (i)-(k) (No change.) (l) Requirements for Change of Ownership. A negative EIA test within the previous 12 months is required for all equine changing ownership in Texas, including horses moving to slaughter: (1) if the animal is sold to slaughter, to be tested at the slaughter facility at Commission expense; or (2) if the animal is sold to other than slaughter, the auction market: (A) marks the buyer's sheet with a stamp provided by the Commission that has the following statement: "To the best of our knowledge, this horse(s) has not been tested for EIA and is being sold as is", and (B) provides the buyer with an educational pamphlet supplied by the Commission. 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 4, 1998. TRD-9806189 Kathryn A. Reed General Counsel Texas Animal Health Commission Effective date: May 24, 1998 Proposal publication date: January 30, 1998 For further information, please call: (512) 719-0714 TITLE 7. BANKING AND SECURITIES Part V. Office of Consumer Credit Commissioner Chapter 85. Rules of Operations for Pawnshops 7 TAC sec.85.2 The Office of Consumer Credit Commissioner (the agency) adopts the new amendment of sec.85.2, concerning pawnshop licensing. The amendment is adopted without changes to the proposed text as published in the March 27, 1998, issue of the Texas Register (23 TexReg 3144). The adopted amendment (deletion) would conflict with adoption of new sections governing practice and procedure before the agency and thus must be repealed because of the adoption. The new sections were adopted in the Texas Register as 7 TAC sec.sec.9.1-9.3. The agency received no comments regarding the proposal. The amendment is adopted under Government Code, sec.2001.004(1), which requires all administrative agencies to adopt rules of practice stating the nature and requirements of all available formal and informal procedures. The statutory provisions (as currently in effect) affected by the proposed amendment are Finance Code, Chapter 371, Subchapter B. 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 April 29, 1998. TRD-9805982 Leslie L. Pettijohn Commissioner Office of Consumer Credit Commissioner Effective date: May 19, 1998 Proposal publication date: March 27, 1998 For further information, please call: (512) 936-7600 TITLE 16. ECONOMIC REGULATION Part IX. Texas Lottery Commission Chapter 402. Bingo Regulation and Tax 16 TAC sec.402.554 The Texas Lottery Commission adopts an amendment to sec.402.554, relating to Instant Bingo with changes to the proposed text as published in the February 27, 1998, issue of the Texas Register (23 TexReg 1779). The following section has been changed from the proposed text: sec.402.554(d)(5). The amendment includes an alteration of the definition, appearance and description of instant bingo tickets. The amendment will allow more flexibility in the manufacturing and design of instant bingo tickets. The amendment will permit more innovative instant ticket or pull tab play for consumers. In addition, the amendment to the rule alters the approval and sale processes of instant bingo cards to provide greater security and integrity to the play of instant bingo games. The amendment to the rule complies with statutory changes to the definition of instant bingo in the Bingo Enabling Act, Texas Revised Civil Statutes, Article 179d, sec.2 subsection (26). The amendment is intended to expand the instant bingo games to include symbols, but not to in any way alter the nature of instant bingo games. The following interested groups or associations presented either written comments and/or oral comments: B.I.G.N.O.- Bingo is Good for Non-Profit Organizations, the Bingo Advisory Committee, Texas Bingo Distributors Association, National Association of Fundraising Ticket Manufacturers, and Bingo Interest Group. Additionally, comments were presented by hundreds of Bingo players, Commercial Lessors and Charitable Organizations. A public hearing on the amendments to the rule, as noticed in the February 27, 1998, Texas Register (23 TexReg 2127), was held on March 5, 1998. The comments, both written and oral, are discussed together as follows. The following is a summary of the comments received: All of the commenters generally supported the amendments to the Instant Bingo Rule. All of the comments received on the amendments to the rule concerned a change to subsection (d)(5) of the rule. The majority of commenters, including B.I.G.N.O.- Bingo is Good for Non-Profit Organizations, Texas Bingo Distributors Association, National Association of Fundraising Ticket Manufacturers, and Bingo Interest Group, did not support a proposed amendment to subsection (d)(5) of the rule. The proposed amendment to subsection (d)(5) of the rule would have required licensed organizations to keep in play a series of instant bingo cards until the series is completely sold out. This has always been an option in the rules, but was not a requirement of the Commission. The commenters felt that this proposed amendment denied current management discretion, was unfair and deceptive to players, would cause the distrust of players, would cause a loss of profits and was not similar to the practices of other states. All of these commenters expressed that the current rule, which allowed for discretion, was adequate to prohibit any conduct contrary to the integrity of the games. The Commission agrees that proposed subsection (d)(5) may reduce some organizations management discretion regarding the conduct of instant bingo games. The proposed amendment to subsection (d)(5) would prohibit an organization from withdrawing a deal of instant bingo cards after all winning cards of $5.00 or more had been cashed or the bingo occasion had ended. The Commission disagrees that the proposed amendment is unfair or deceptive to players. Each deal of instant bingo cards has a predetermined payout schedule. Therefore, all players stand an equal chance of winning the set amount within each deal. The Commission agrees there is a possibility players could perceive that the organization is somehow attempting to "cheat" the player by selling a deal of instant bingo cards with no large winners remaining. This perception could result in a sense of distrust among some players. The Commission disagrees that the proposed amendment would cause a loss of profits. As stated earlier, each deal of instant bingo games has a pre-approved payout schedule that is known to the organization before it sells even one card from that deal. The proposed amendment would not cause an organization to receive a profit less than was indicated on the deal when it goes into sale. The Commission disagrees that the proposed amendment is not similar to the practices of other states. Testimony submitted by one commenter, as well as, a survey conducted by the staff of the Charitable Bingo Division indicated that there is a broad spectrum of regulation regarding instant bingo games. The proposed subsection would not be dissimilar to the regulation imposed by other states. The Commission agrees that the current rule is "adequate" in regards to its ability to properly audit an organization's records pertaining to instant bingo games. More detailed record keeping procedures could be best addressed under a separate rule addressing audit requirements. The Commission may consider such a rule at a later date. Two commenters suggested that the Commission's data would not support a finding that the integrity of the games was in jeopardy such to require the proposed change to subsection (d)(5). The Commission agrees that there is limited data that has been reported regarding the violations of subsection (d)(5). A review of the investigations conducted by the Security Division reported that only four cases regarding a violation of subsection (d)(5)had been reported since the regulation of Charitable Bingo had been transferred to the Texas Lottery Commission on April 1, 1994. All of these complaints involved the same parties. Additionally, the audits conducted by the Audit Section have not detected a pattern of violations. Based on testimony given at the public hearing on March 5, 1998, the Commission agrees that rampant violations of this rule would have resulted in a greater number of violations being reported to the Commission. Therefore, the Commission recommends that the proposed amendment to subsection (d)(5) not be adopted and the language remain as it is currently written in the rule. One commenter supported the amendment to subsection (d)(5) stating that by allowing an organization to withdraw a deal of pull-tabs prior to its being sold out is granting a "license to steal." The Commission disagrees that the language in subsection (d)(5) grants anyone a "license to steal." Record keeping measures exist that make it possible for the Audit Section of the Charitable Bingo Division to determine if any funds from an organization's sales are missing. The Commission may consider a separate rule addressing audit requirements at a later date. Two commenters, including the Bingo Advisory Committee, stated that the amendment to subsection (d)(5) was good for bingo, was necessary out of fairness to the players, and the current practice altered the game of chance and placed the bingo workers in compromising situations. The Commission cannot acquire the necessary information to determine whether the proposed amendment to subsection (d)(5) is "good for bingo." The Commission disagrees that any player would be treated unfairly by the proposed amendment to subsection (d)(5) of the rule. There may be individuals associated with an organization who may attempt to circumvent the proposed amendment to (d)(5) of the rule but the proposed amendment in and of itself does not do anything to change the fairness of the game. The Commission disagrees that the proposed amendment would alter the game of chance. The payout structure of each deal of instant bingo games is approved by the Commission prior to the game being authorized for sale in the state. The payout structure is not changed by the proposed amendment to this rule. The Commission disagrees that this proposed amendment places any bingo worker in a compromising situation. Bingo workers will always have information regarding the number of winning cards left in a deal. The nature of instant bingo games, not the method of sale, places the bingo worker in a potentially compromising position. As stated in the Standards on Pull-tabs, adopted by the North American Gaming Regulators Association: "Because a limited number of people possess information about the financial status of the deal in play, and because those people may violate the integrity of the deal, the general public may be placed at an unfair disadvantage." The organization is still charged with the responsibility of conducting their games in a fair manner. One commenter sought clarification of the existing subsection (a)(2)(A) which has not been amended. The commenter inquired whether or not the Commission's seal can appear on either the front or the back of the instant bingo ticket. It does not matter to the Commission if the seal appears as described in subsection (a)(2)(A) on the front or the back of the instant bingo ticket. The amendment is adopted under Texas Revised Civil Statutes, Article 179d, sec.2 subsection (26), regarding instant bingo, sec.27(b) and sec.16, subsections (a), (c) and (d) which authorize the Texas Lottery Commission to adopt rules for the enforcement and administration of the Bingo Enabling Act and the Texas Government Code, sec.467.102 which authorizes the Texas Lottery Commission to adopt rules for the enforcement and administration of Texas Government Code Chapter 467 and the laws under the Commission's jurisdiction. sec.402.554. Instant Bingo. (a) Definitions. The following words and terms, when used in this section, shall have the following meanings, unless the context clearly indicates otherwise. (1) (No change.) (2) Instant Bingo Card -- The term Instant Bingo Card includes Instant Bingo, Pull Tab Bingo and/or Break-Open Bingo Cards. Instant Bingo means a device used to play a form of bingo consisting of an individual card with perforated break- open tabs, made from paper or paper products, the face of which is initially hidden from view to conceal numbers, letters or symbols. Each individual card must: (A) (No change.) (B) contain the name of the game on its face in a conspicuous location; (C)-(E) (No change.) (F) be constructed of cardboard and glued or otherwise securely sealed along all four edges of the card and between the individual break-open tabs on the card; (G) have letters, numbers, or symbols that are concealed behind perforated window tabs; (H) allow such letters, numbers , or symbols to be revealed only after the player has physically removed the perforated window tabs; and (I) prevent the determination of a winning or losing instant bingo ticket by any means other than the physical removal of the perforated window tabs by the player. (3) Instant bingo game -- A form of bingo played by the random selection of one or more individually prepackaged instant bingo cards from a series of instant bingo cards. Prize winners are determined by the preprinted appearance of letters, numbers , or symbols in a prescribed order, according to winning arrangements indicated on the reverse side of the card. (b) Approval of cards. (1) No instant bingo card may be sold or otherwise furnished to any person in this state or used in the conduct of bingo for public play unless and until three series or deals of an identical prototype of that card has first been presented to the commission by its manufacturer and has been approved by the commission for use within this state. (2)-(3) (No change.) (4) No licensed manufacturer may display or sell any instant bingo card which has been disapproved by the Texas Lottery Commission, after inspection of the card, because the card does not properly preserve the integrity or security of the Texas Lottery Commission. Disapproval of and prohibition to use, purchase, sell or otherwise distribute such card is effective immediately upon notice to the licensee. (c) Manufacturing requirements. (1)-(3) (No change.) (4) Each individual card must be constructed so that it is substantially impossible, in the opinion of the commission, to determine concealed letter(s), number(s) or symbol(s) until it has been opened by a player. Without limiting the requirements of the previous sentence of this paragraph, for all instant bingo cards offered for sale by a licensed organization on or after February 1, 1988, such cards shall be required to be constructed of cardboard and in such a manner so that cardboard gluing occurs on all four edges of the card and between the individual break-open tabs on the card. The glue must be of sufficient strength and type so as to prevent the undetectable separation of the card. (5)-(6) (No change.) (d) Prizes costs, sales, percentages. (1)-(3) (No change.) (4) No single prize on a winning instant bingo card may exceed $750. (5) A licensed organization may not withdraw a series of cards from play until the series is completely sold out, all winning cards of $5.00 or more have been cashed, or the bingo occasion ends. (6)-(7) (No change.) (e) Restrictions. (1) The commission's seal must be placed on all cards by a licensed manufacturer only. (2)-(3) (No change.) (f) (No change.) (g) Records. (1) Any licensed organization selling instant bingo cards must maintain a purchase log showing: (A) (No change.) (B) the name, address, and taxpayer number of the distributor from whom the cards were purchased. (2)-(3) (No change.) (4) Manufacturers or distributors must provide the following information on each invoice and other document used in connection with a sale: (A)-(E) (No change.) (F) Texas taxpayer number of the purchaser. (5) (No change.) (h)-(i) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 1, 1998. TRD-9806142 Kimberly L. Kiplin General Counsel Texas Lottery Commission Effective date: May 21, 1998 Proposal publication date: February 27, 1998 For further information, please call: (512) 344-5113 16 TAC sec.402.555 The Texas Lottery Commission adopts an amendment to sec.402.555 relating to card-minding devices with changes to the proposed text as published in the February 27, 1998, issue of the Texas Register (23 TexReg 1780). The following section has been changed from the proposed text: sec.402.555 (c)(1) and (f)(7). The amendment removes some of the restrictions and limitations that previously existed on the sale and use of bingo card-minding devices. Additionally, the amendment allows for more efficient and effective reporting requirements involving card-minding devices that will result in more accurate audits and provide for greater security. The amendment to the rule complies with statutory changes to the Bingo Enabling Act, Texas Revised Civil Statutes, Article 179d, sec.11, relating to gross sales limitations for card-minding devices. The following interested groups or associations presented either written comments and/or oral comments at a public hearing held on March 5, 1998: B.I.G.N.O.-Bingo is Good for Non-Profit Organizations, the Bingo Advisory Committee, Texas Bingo Distributors Association, and Bingo Interest Group. Additionally, comments were presented by Bingo players, Commercial Lessors and Charitable Organizations. These comments, both written and oral, are discussed together as follows. The following is a summary of the comments received: All of the commenters generally supported the amendments to the card-minding device rule. The comments received regarding specific subsections of the rules opposed a particular subsection or recommended changes to a subsection. Two commenters, Texas Bingo Distributors Association and Bingo Interest Group, were concerned that the term "registering" in subsection (c)(1) was confusing in that it could be interpreted to invoke the system service provider requirements of the Bingo Enabling Act. It was not the Commission's intention to raise any system service provider requirements in this subsection of the card-minding rule. The commenters suggested replacing the term "registering" with the term "monitoring." Since the term "monitoring" is currently used in 16 TAC sec.402.571, relating to System Service Providers, the Commission has changed the term "registering" to the term "recording." One commenter, Texas Bingo Distributors Association, had concerns with the language of subsection (d)(2) that requires a distributor to notify the Commission in writing on a form prescribed by the Commission of certain information when a card-minding unit is to be utilized in multiple locations since the distributor may not have the knowledge required to comply with this subsection. One commenter felt that the addition of subsection (d)(2) to the rule was "a very positive" addition to the rule. The Commission disagrees with the commenter who stated that a distributor may not have the knowledge required to comply with this subsection. Since distributors receive payment based on the use of the machines and distributors are required by subsection (f)(2) to maintain a log of the ownership and possession of the devices, each distributor providing card- minding devices should know where their devices are located and who is authorized to use them. The Commission agrees with the commenter who stated that the addition of subsection (d)(2) would be "a very positive" addition to the rule. With the addition of subsection (d)(2), smaller communities that otherwise might not be able to utilize card-minding devices may now have the opportunity to use them since it will be more cost effective for organizations to share the devices. One commenter, Texas Bingo Distributors Association, sought clarification of the language of subsection (d)(3) that requires a distributor to provide notice to the Commission in writing on a form prescribed by the Commission before a card- minding device is removed from a location. The commenter had questions regarding when a removal was for minor maintenance or temporary removal. Additionally, the commenter sought clarification if the distributor does not have the knowledge required to comply with this subsection. The Commission does not require notification when a commonly available component needs to be replaced. For example, a monitor, keyboard, lightpen or other commonly available component. Notification is required by the Commission under this subsection when there are any changes made to the Central Processing Unit or its internal workings. The Commission disagrees with the commenter that clarification is needed concerning situations where the distributor does not have the knowledge required to comply with this subsection. Since the distributors are responsible for the maintenance of the card-minding devices, each distributor providing card-minding devices should know what parts of the devices have been removed or replaced. One commenter, Texas Bingo Distributors Association, sought clarification of the language of subsection (d)(3) that requires "data files" to be supplied to the conductor by the distributor on a removal of the device under subsection (d)(3). The term "data files" is intended to mean all electronic files that contain information from the day-to-day bingo operations of the conductor. One commenter expressed disagreement with the Commission's proposed removal of subsection (d)(4) of the rule. This commenter felt that the removal of the requirement that the price of a cardface played through a card-minding device shall not be less than the price of a disposable paper cardface or bingo hardcard was wrong and would, in the long term, devalue electronics and cause resentment by paper players. The Commission disagrees with the commenter. Subsection (d)(4) has been in the rule since it was originally effective on April 22, 1996. Although it has the authority to do so, the Commission does not set the price for any other bingo products used in the state. The Commission lets the market set price. The deletion of this language may help generate additional sales and ultimately those additional sales will translate into additional charitable distributions for charities. Additionally, the deletion of this language may result in card-minding devices being affordable to a broader base of players than those who use them now. The Commission cannot acquire the necessary information to determine whether the proposed amendment to subsection (d)(4) would cause "resentment by paper players." One commenter expressed that the addition of subsection (f)(5) which requires the maintenance of transaction reports from the card-minding devices is a good management tool and is a good addition to the rules. The Commission agrees that the maintenance of an occasion sales transaction report by the organization is a good management tool. It will allow an organization to quickly identify trends in their sales. Additionally, the maintenance of an occasion sales transaction report will also facilitate any audit an organization may be subject to. The majority of commenters, including B.I.G.N.O.- Bingo is Good for Non-Profit Organizations, the Bingo Advisory Committee, Texas Bingo Distributors Association, and Bingo Interest Group commented in opposition to the addition of subsection (f)(7) which requires each conductor with card-minding device(s) to record all bingo sales, including card-minders sales and disposable cards on the point of sale register of the card-minding device. The Bingo Advisory Committee commented in opposition to the proposed addition of subsection (f)(7), which was originally their proposal. The majority of commenters, including B.I.G.N.O.- Bingo is Good for Non-Profit Organizations, the Bingo Advisory Committee, Texas Bingo Distributors Association, and Bingo Interest Group, expressed that the addition of subsection (f)(7) would require an excessive expense to be incurred by the conductors. The expense would be based on the fact that they already have cash registers, that some of them have more than one card-minding system, and that it would deter players because of delays in purchasing cards. The Commission disagrees that subsection (f)(7) would represent an excessive expense to conductors based on the fact that they already have cash registers. All organizations are required by sec.11(l) of the Bingo Enabling Act to have cash registers, whether or not they use card-minding devices. The Commission disagrees that subsection (f)(7) would result in an additional expense for organizations that have more than one card-minding system. The organization could record sales on either system. The Commission is not requiring that an organization record sales on more than one system that they use. The Commission disagrees that subsection (f)(7) would result in the delay of any games. Organizations could ring up sales on the card- minding device at the end of the occasion just like they currently do with their cash registers. The majority of commenters, including B.I.G.N.O.- Bingo is Good for Non-Profit Organizations, the Bingo Advisory Committee, Texas Bingo Distributors Association, and Bingo Interest Group, stated that they oppose subsection (f)(7) because it denies a conductor business management discretion. One commenter proposed that the "shall" in subsection (f)(7) be changed to read "may" in order to preserve conductor's discretion. The Commission disagrees that the proposed amendment to subsection (f)(7) denies a conductor its business management discretion. The conductor's discretion refers to the conduct of the games sponsored by the organization. The amendment to subsection (f)(7) relates to the form of record keeping to be required by the Commission. The Commission agrees with the commenter who recommends that the word "shall" in subsection (f)(7) be changed to "may." This will ensure that organizations with these devices who choose to utilize them for these record keeping purposes are able to do so while also allowing other organizations to utilize more traditional record keeping methods. Three commenters supported the addition of subsection (f)(7) stating that it was a "good change" for the bingo industry. The Commission cannot acquire the necessary information to determine whether the proposed amendment to subsection (f)(7) is a "good change" for the bingo industry. One commenter supported the addition of subsection (f)(7) stating that it will be a very effective mechanism to streamline the filing of reports and would provide the audit division with an excellent accounting mechanism. The Commission agrees that the addition of subsection (f)(7) will be a very effective mechanism to streamline the record keeping process for organizations conducting Charitable Bingo. This amendment could possibly be the first step in electronic filing of quarterly reports. The Commission may consider electronic filing of quarterly reports at a later date. The Commission agrees that subsection (f)(7) will provide the Audit Section with an excellent accounting mechanisms to ensure compliance with the Bingo Enabling Act. The amendment is adopted under Texas Revised Civil Statutes, Article 179d, sec.2, subsection (22), sec.11, and sec.16, subsections (a) and (d) which authorize the Texas Lottery Commission to adopt rules for the enforcement and administration of the Bingo Enabling Act and the Texas Government Code, sec.467.102 which authorizes the Texas Lottery Commission to adopt rules for the enforcement and administration of Texas Government Code Chapter 467 and the laws under the Commission's jurisdiction. sec.402.555. Card-minding Device. (a)-(b) (No change.) (c) Manufacturing Requirements. (1) Manufacturers of card minding devices must manufacture each card minding device in such a manner to ensure that the internal accounting system of the card-minding device is capable of recording all disposable bingo card and cardminder sales. (2)-(6) (No change.) (d) Distributor requirements. (1) Before initial use by a licensed authorized organization, each distributor that leases or sells a card-minding device must notify the commission in writing on a form prescribed by the commission of the make, model, serial number and dial-up telephone number of the card-minding device installed. (2) Each distributor that leases or sells a card-minding device must notify the commission in writing on a form prescribed by the commission of the make, model and serial number of each player unit that will be utilized at multiple locations. (3) Each distributor that leases or sells a card-minding device must notify the commission in writing on a form prescribed by the commission of the make, model and serial number of each device that is removed from a location. Before the complete removal or system hardware up-grade of any device, each licensed authorized distributor must supply a copy of the data files to each conductor who utilized the device. (e) (No change.) (f) Records. (1)-(4) (No change.) (5) Each conductor shall maintain an occasion sales transaction report generated from the card-minding device. (6) Manufacturers and distributors must provide and maintain for four years the following information on each invoice or other document used in connection with a sale or lease, as applicable: (A) date of sale or lease; (B) quantity sold or leased; (C) cost per card-minding device; (D) model and serial number of each card-minding device; (E) name and address of the purchaser or lessee; and (F) Texas taxpayer identification number of the purchaser or lessee. (7) Each conductor may record all bingo sales, including sales from card-minding devices and/or disposable cards, on the point of sale register of the card- minding device. (g) Restrictions. (1)-(2) (No change.) (3) No conductor shall require a player to use a card-minding device in playing bingo. (h) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 1, 1998. TRD-9806141 Kimberly L. Kiplin General Counsel Texas Lottery Commission Effective date: May 21, 1998 Proposal publication date: February 27, 1998 For further information, please call: (512) 344-5113 TITLE 22. EXAMINING BOARDS Part IV. Texas Cosmetology Commission Chapter 89. General Rules and Regulations 22 TAC sec.89.1 The Texas Cosmetology Commission adopts an amendment to sec.89.1, concerning administrative fines with changes as published in the February 27, 1998 edition of the Texas Register (22 TexReg 1781). The amendments are adopted as a result of the legislative session, and the passage of SB1131, to include all rules enforced by the commission. Delores Alspaugh, Interim Executive Director, has determined that for the first five-year period the rule is in effect, there will be fiscal implications for state or local government as a result of enforcing or administering the rule. Mrs. Alspaugh also has determined that for each year of the first five years the rule is in effect the public benefit anticipated as a result of enforcing the rule will be to ensure that all licensees comply with the requirements of the rules of the commission. There are anticipated economic costs to persons who are required to comply with the rule as adopted. The amendment is adopted under Section 35A, Article 8451a, V.T.C.S., which provides the commission with the authority to "issue rules consistent with this Act after a public hearing", to protect the public's health and safety. Article 8451a, V.T.C.S., is a effected by this adopted amended section. sec.89.1. Administrative Fines. (a) The commission shall set up a schedule of administrative fines in order to assess civil penalties. The commission desires to be both consistent and equitable and to consider and evaluate each case on an individual basis. The actual civil penalty which the commission assesses shall be based on the commission's consideration of the factors in The Cosmetology Act (Article 8451a, V.T.C.S.), but the fine for any one violation or rule adopted under The Cosmetology Act shall not exceed $1,000. (b) SCHEDULE OF FINES: In accordance with Article 8451a, V.T.C.S., the commission shall adopt the following fine schedules for the 1st, 2nd and 3rd violation of the following practitioner, facility, and independent contractor licensing rules. For the 4th and subsequent offenses, the provisions of Article 8451a, V.T.C.S. will apply: Figure 1: 22 TAC Rule 89.1(b) 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 April 30, 1998. TRD-9806078 Delores Alspaugh Interim Executive Director Texas Cosmetology Commission Effective date: May 20, 1998 Proposal publication date: February 27, 1998 For further information, please call: (512) 454-4674 Part XI. Board of Nurse Examiners Chapter 217. Licensure and Practice 22 TAC sec.217.5 The Board of Nurse Examiners adopts an amendment to sec.217.5 concerning Temporary License and Endorsement without changes in the proposed text as published in the April 3, 1998, issue of the Texas Register (23 TexReg 3412). The adopted amendment will harmonize the procedures and fees charged for eligibility determination for examination applicants, declaratory order petitioners and endorsees by equalizing the procedures and fees applied to all persons seeking licensure, regardless of the method of entry. No comments were received. The amendment is adopted under the Nursing Practice Act, (Texas Civil Statutes), Article 4514, sec.1, which provides the Board of Nurse Examiners with the authority and power to make and enforce all rules and regulations necessary for the performance of its duties and conducting of proceedings before it and Article 4525(a) which permits the Board to refuse to issue a license. Article 4525(a) is affected by this section. 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 4, 1998. TRD-9806175 Katherine A. Thomas, MN, RN Executive Director Board of Nurse Examiners Effective date: May 24, 1998 Proposal publication date: April 3, 1998 For further information, please call: (512) 305-6811 22 TAC sec.217.7 The Board of Nurse Examiners adopts amendments to sec.217.7 concerning Failure to Renew License without changes in the proposed text as published in the April 3, 1998, issue of the Texas Register (23 TexReg 3413). Senate Bill 617, passed during the 75th Legislative Session, included the provision that certain conditions could lead to the refusal of a license and that refusal based on these conditions does not entitle the individual to a hearing. The amendments implement and state the requirements for application of the statute. In addition, the amendments will provide the necessary requirements needed to reactivate a license which has been refused. No comments were received. The amendments are adopted under the Nursing Practice Act, (Texas Civil Statutes), Article 4514, sec.1, which provides the Board of Nurse Examiners with the authority and power to make and enforce all rules and regulations necessary for the performance of its duties and conducting of proceedings before it and Article 4525(a) which permits the Board to refuse to issue or renew a license. Article 4525(a) and (a-1) are affected by this section. 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 4, 1998. TRD-9806174 Katherine A. Thomas, MN, RN Executive Director Board of Nurse Examiners Effective date: May 24, 1998 Proposal publication date: April 3, 1998 For further information, please call: (512) 305-6811 Part XXIX. Texas Board of Professional Land Surveying Chapter 661. General Rules of Procedures and Practices 22 TAC sec.661.41 The Texas Board of Professional Land Surveying adopts an amendment to sec.661.41 concerning filing an application for certification as a surveyor-in-training or registration as a registered professional land surveyor. This adoption is without changes to the proposed text as published in the February 27, 1998 issue of the Texas Register. This rule is being amended to clarify the certification requirements for Surveyors-In-Training in other states, territories of possessions of the United States necessary to be considered for certification as a surveyor-in-training or registration as a registered professional land surveyor in Texas. Adoption of this rule will clearly define certification requirements for Surveyors-In- Training. No comments were received from any groups or associations concerning this rule amendment. The amendment is adopted under Article 5282c, sec.9, V.T.C.S., which provides the Texas Board of Professional Land Surveying with the authority to make and enforce all reasonable and necessary rules, regulations and bylaws not inconsistent with the Texas Constitution, the laws of this state and this Act. Applications, Examinations, and Licensing. 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 1, 1998. TRD-9806094 Sandy Smith Executive Director Texas Board of Professional Land Surveying Effective date: May 21, 1998 Proposal publication date: February 27, 1998 For further information, please call: (512) 452-9427 22 TAC sec.661.95 The Texas Board of Professional Land Surveying adopts new sec.661.95 concerning default judgment. This adoption is without changes to the proposed text as published in the January 23, 1998 issue of the Texas Register. This new rule is adopted in compliance with Texas Civil Statutes, Articles 6252 -13c and 13d, which provides the Texas Board of Professional Land Surveying with the authority to make and enforce all reasonable and necessary rules, regulations and bylaws not inconsistent with the Texas Constitution, the laws of this state and this Act. Adoption of this rule clearly defines the process by which the Administrative Law Judge is able to ener a default judgment adverse to the respondent who has failed to attend the hearing. No comments were received regarding this new rule. This rule is adopted under Article 5282c, sec.9, V.T.C.S., which provides the Texas Board of Professional Land Surveying with the authority to make and enforce all reasonable and necessary rules, regulations and bylaws not inconsistent with the Texas Constitution, the laws of this state and this Act. 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 1, 1998. TRD-9806093 Sandy Smith Executive Director Texas Board of Professional Land Surveying Effective date: Proposal publication date: May 21, 1998 For further information, please call: (512) 452-9427 Part XXXII. State Board of Examiners for Speech-Language Pathology and Audiology Chapter 741. Speech-Language Pathologists and Audiologists The State Board of Examiners for Speech-Language Pathology and Audiology (board), by majority vote on April 16, 1998, enters this order finally adopting amendments to sec.sec.741.2, 741.12, 741.32, 741.41, 741.62, 741.64, 741.65, 741.82, 741.84, 741.85, 741.91, 741.103, and 741.193 concerning speech-language pathology and audiology. Sections 741.62, 741.65, 741.82, 741.84, 741.85, and 741.103 are adopted with changes to the proposed text as published in the December 19, 1997, issue of the Texas Register (22 TexReg 12378) as a result of staff comments. Sections 741.2, 741.12, 741.32, 741.41, 741.64, 741.91, and 741.193 are adopted without changes and will not be republished. The adopted amendments clarify that speech-language pathologists may only perform those services for which they are trained; include "sale" in the definition of "Sale or purchase"; identify committees and appointment of members; remove the frequency of 500 hertz used during a hearing screening to coincide with the Texas Department of Health Hearing Screening Program; establish time frames for maintenance of client records and when documentation must be available; revise language concerning penalty for practicing without appropriate supervisory acceptance form on file in board office to more clearly reflect the actual discipline that shall be imposed; clarify when an applicant must pass the examination so that the language is consistent with the language in sec.741.103 relating to the documentation required to apply for licensure; clarify the initial client contact and how transcripts will be evaluated for applicants of the assistant license; clarify requirements for dual licenses; clarify documentation required if applicant is from out of state or graduated from a university not accredited by the American Speech-Language-Hearing Association's Council on Academic Accreditation; and add language to allow the executive secretary to designate another qualified person to handle specific aspects of the complaints procedures. The amendments provide clarification, a more precise definition of how transcripts are evaluated, insure continuing competency and effective regulation of speech-language pathologists and audiologists. The board received no public comments on these amendments during the comment period. However, the board is making the following minor changes due to staff comments to clarify the intent and improve the accuracy of the sections. Concerning sec.sec.741.62(m), 741.65(i), 741.82(m) and 741.85(i), the board changed the word "may" to "shall" because some form of disciplinary action will be imposed on each violator. Concerning sec.741.84(a)(2), the board corrected the tense of the word "reference" to "referenced". Concerning sec.741.85(e), the board deleted the title "speech-language pathology" and inserted the title "audiology" because the wrong professional was identified as the supervisor of an assistant in audiology. Concerning sec.741.103(a)(3), (b)(3), and (f)(6), the board has correctly identified the American Speech-Language-Hearing Association's board that evaluates an individual's credentials. The Council on Academic Accreditation evaluates training programs only. Subchapter A. Introduction 22 TAC sec.741.2 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4,1998. TRD-9806213 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter B. The Board 22 TAC sec.741.12 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4,1998. TRD-9806214 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter C. Testing Procedures and Equipment 22 TAC sec.741.32 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4, 1998. TRD-9806215 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter D. The Standards of Professional and Ethical Conduct 22 TAC sec.741.41 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4,1998. TRD-9806216 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter E. Requirements for Licensure and Registration of Speech-Language Pathologists 22 TAC sec.sec.741.62, 741.64, 741.65 The amendments are adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. sec.741.62. .Requirements for an Intern in Speech Language Pathology License. (a) - (l)(No change.) (m) An original intern plan and agreement of supervision form signed by the supervisor and applicant must be submitted. If a major change in the plan occurs, such as a change of supervisor, the intern must cease practicing. A new form must be submitted and approved by the board office. The board office shall notify the intern when he or she may resume practice. To continue to practice without a current intern plan and agreement of supervision form on file in the board office shall result in disciplinary action by the board. (n) - (r) (No change.) sec.741.65. Requirements for an Assistant in Speech-Language Pathology License. (a) (No change.) (b) An applicant for an assistant in speech-language pathology license must meet the following requirements: (1) a baccalaureate degree with an emphasis in communicative sciences and disorders; (2)-(3) (No change.) (4) the filing of original or certified copy of transcript(s) from a recognized regional accrediting agency, such as the Southern Association of Colleges and Universities, which shall be reviewed as follows: (A) the board shall only accept course work completed with a grade of at least a "C" or for credit; (B) the board shall consider a quarter hour of academic credit as two-thirds of a semester credit hour; (C) academic courses, the titles of which are not self-explanatory, must be substantiated through course descriptions in official school catalogs or bulletins or by other official means; and (D) degrees and/or course work received at foreign universities shall be acceptable only if such course work and clinical practicum hours can be verified as meeting the requirements of this paragraph. The applicant must bear all expenses incurred during the procedure; and (5) (No change.) (c) An applicant must possess a baccalaureate degree as required in subsection (b)(1) of this section; however, an applicant who does not possess a baccalaureate degree with an emphasis in communicative sciences or disorders but who completed 24 graduate hours in communicative sciences or disorders, which may include some leveling hours, may meet this requirement. The board or the board's designee will evaluate transcripts on a case-by-case basis to ensure equivalent academic preparation. (d) (No change.) (e) Direct supervision of speech-language pathology duties assigned to the assistant shall be provided by a licensed speech-language pathologist. (1) The initial client contact shall be conducted by the supervising licensed speech-language pathologist. This contact may include the evaluation of the client. Thereafter, the minimum supervision requirements for an assistant by the licensed speech-language pathologist shall be no less than two hours a week, at least half of which is direct on site supervision at the location where the assistant is employed. If an alternative arrangement is needed, the licensed speech-language pathologist must submit a proposed plan for review by the board or the appropriate committee to determine if the plan is acceptable. Indirect methods of supervision such as audio and/or video tape recording, telephone communication, numerical data, or other means of reporting may be utilized. (2)-(3) (No change.) (f)-(h) (No change.) (i) To practice without a current supervisory responsibility statement on file in the board office shall result in disciplinary action by the board. (j) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 4, 1998. TRD-9806217 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter F. Requirements for Licensure and Registration of Audiologists 22 TAC sec.sec.741.82, 741.84, 741.85 The amendments are adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. sec.741.82. Requirements for an Intern in Audiology License. (a) - (l)(No change.) (m) An original intern plan and agreement of supervision form signed by the supervisor and applicant must be submitted. If a major change in the plan occurs, such as a change of supervisor, the intern must cease practicing. A new form must be submitted and approved by the board office. The board office shall notify the intern when he or she may resume practice. To continue to practice without a current intern plan and agreement of supervision form on file in the board office shall result in disciplinary action by the board. (n) - (r) (No change.) sec.741.84. Requirements for a Provisional Audiology License. (a) The board may grant a provisional license to a person if the following requirements are met: (1) (No change.) (2) submits evidence of having passed the Educational Testing Service examination within the past ten years as referenced in sec.741.122 of this title (relating to Administration) or a state validated examination required for licensure in audiology; and (3) (No change.) (b) - (c) (No change.) (d) The board shall issue an audiology license to the provisional license holder if he or she submits the following: (1) (No change.) (2) an original or certified copy of a passing score taken within the past ten years from the Educational Testing Service as referenced in sec.741.122 of this title (relating to Administration). (e) (No change.) sec.741.85. Requirements for an Assistant in Audiology License. (a) (No change.) (b) An applicant for an assistant in audiology license must meet the following requirements: (1) a baccalaureate degree with an emphasis in communicative sciences and disorders; (2)-(3) (No change.) (4) the filing of an original or certified copy of transcript(s) from a recognized regional accrediting agency, such as the Southern Association of Colleges and Universities, which shall be reviewed as follows: (A) the board shall only accept course work completed with a grade of at least a "C" or for credit; (B) the board shall consider a quarter hour of academic credit as two-thirds of a semester credit hour; (C) academic courses, the titles of which are not self-explanatory, must be substantiated through course descriptions in official school catalogs or bulletins or by other official means; and (D) degrees and/or course work received at foreign universities shall be acceptable only if such course work and clinical practicum hours can be verified as meeting the requirements of this paragraph. The applicant must bear all expenses incurred during the procedure; and (5) (No change.) (c) An applicant must possess a baccalaureate degree as required in subsection (b)(1) of this section; however, an applicant who does not possess a baccalaureate degree with an emphasis in communicative sciences or disorders but who completed 24 graduate hours in communicative sciences or disorders, which may include some leveling hours, may meet this requirement. The board or the board's designee will evaluate transcripts on a case-by-case basis to ensure equivalent academic preparation. (d) (No change.) (e) Direct supervision of audiology duties assigned to the assistant shall be provided by a licensed audiologist. (1) The initial client contact shall be conducted by the supervising licensed audiologist. This contact may include the evaluation of the client. Thereafter, the minimum supervision requirements for an assistant by the licensed audiologist shall be no less than two hours a week, at least half of which is direct on site supervision at the location where the assistant is employed. If an alternative arrangement is needed, the licensed audiologist must submit a proposed plan for review by the board or the appropriate committee to determine if the plan is acceptable. Indirect methods of supervision such as audio and/or video tape recording, telephone communication, numerical data, or other means of reporting may be utilized. (2)-(3) (No change.) (f)-(h) (No change.) (i) To practice without a current supervisory responsibility statement on file in the board office shall result in disciplinary action by the board. (j)-(k) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 4,1998. TRD-9806218 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter G. Requirements for Dual Licensure as a Speech-Language Pathologist and Audiologist 22 TAC sec.741.91 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4, 1998. TRD-9806219 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter H. Application Procedures 22 TAC sec.741.103 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. sec.741.103. Required Application Materials. (a) An applicant applying for a speech-language pathology or audiology license under sec.741.61 of this title (relating to Requirements for a Speech-Language Pathology License) or sec.741.81 of this title (relating to Requirements for an Audiology License) must submit the following: (1) - (2) (No change.) (3) an original or certified copy of transcript(s) of all relevant course work which also verifies that the applicant possesses a minimum of a master's degree with a major in one of the areas of communicative sciences or disorders; however, an applicant who graduated from a college or university with a program not accredited by the American Speech-Language-Hearing Association, must submit an original letter from the American Speech-Language-Hearing Association stating the Clinical Certification Board accepted the course work and clinical practicum; (4) (No change.) (5) an original report of completed internship form obtained from the board office completed by the applicant's supervisor and signed by both the applicant and the supervisor; however, if the internship was completed out-of-state, the supervisor must also submit a copy of his or her diploma or transcript showing the master's degree in one of the areas of communicative sciences and disorders had been conferred and a copy of a valid license to practice in that state. If that state did not require licensure, the supervisor must submit an original letter from the American Speech-Language-Hearing Association stating the certificate of clinical competence is currently held in addition to proof of a master's degree in communicative sciences and disorders; and (6) (No change.) (b) An applicant applying for an intern in speech-language pathology license under sec.741.62 of this title (relating to Requirements for an Intern in Speech-Language Pathology License) or an intern in audiology license under sec.741.82 of this title (relating to Requirements for an Intern in Audiology License) must submit the following: (1) - (2)(No change.) (3) an original or certified copy of transcript(s) of all relevant course work which also verifies that the applicant possesses a minimum of a master's degree with a major in one of the areas of communicative sciences or disorders; however, an applicant who graduated from a college or university with a program not accredited by the American Speech-Language-Hearing Association, must submit an original letter from the American Speech-Language-Hearing Association stating the Clinical Certification Board accepted the course work and clinical practicum; (4) - (6)(No change.) (c) - (e)(No change.) (f) An applicant applying for a speech-language pathology temporary certificate of registration under sec.741.66 of this title (relating to Requirements for a Temporary Certificate of Registration in Speech-Language Pathology) or an audiology temporary certificate of registration under sec.741.86 of this title (relating to Requirements for a Temporary Certificate of Registration in Audiology) must submit the following: (1) - (3) (No change.) (4) an original course work and clinical experience form obtained from the board office completed by the director or designee of the college or university attended which verifies the applicant met the requirements established in sec.741.61(2)-(9) of this title or sec.741.81(2)-(9) of this title; (5) an original report of completed internship form obtained from the board office completed by the applicant's supervisor and signed by both the applicant and the supervisor; however, if the internship was completed out-of-state, the supervisor must also submit a copy of his or her diploma or transcript showing the master's degree in one of the areas of communicative sciences and disorders had been conferred and a valid copy of a license to practice in that state. If that state did not require licensure, the supervisor must submit an original letter from the American Speech-Language-Hearing Association stating the certificate of clinical competence is currently held in addition to proof of a master's degree in communicative sciences and disorders; and (6) an applicant who completed the internship in another state and graduated from a college or university with a program not accredited by the American Speech-Language-Hearing Association, must submit an original letter from the American Speech-Language-Hearing Association stating the Clinical Certification Board accepted the course work, clinical practicum and the clinical fellowship year. (g) - (h) (No change.) This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 4, 1998. TRD-9806220 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 Subchapter M. Denial, Probation, Suspension, or Revocation of Licensure or Registration 22 TAC sec.741.193 The amendment is adopted under Texas Civil Statutes, Article 4512j, sec.5 which provides the State Board of Examiners for Speech-Language Pathology and Audiology with the authority to adopt rules necessary to administer and enforce Article 4512j. 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 4, 1998. TRD-9806221 Teri Mata-Pistokache, Ph.D. Chairperson State Board of Examiners for Speech-Language Pathology and Audiology Effective date: May 24, 1998 Proposal publication date: December 19, 1997 For further information, please call: (512) 458-7236 TITLE 28. INSURANCE Part I. Texas Department of Insurance Chapter 1. General Administration Subchapter C. Maintenance Taxes and Fees 28 TAC sec.1.415 The Commissioner of Insurance adopts an amendment to sec.1.415, concerning the assessment of a maintenance tax surcharge authorized under Texas Insurance Code, Article 5.76-5, for the Texas Workers' Compensation Insurance Fund. The funds collected by the surcharge are used to service the bonded indebtedness of the Texas Workers' Compensation Insurance Fund. The section is adopted without changes to the proposed text as published in the March 27, 1998, issue of the Texas Register (23 TexReg 3188). A public hearing was held on April 30, 1998. The amendment is required to reflect the Texas Workers' Compensation Insurance Fund's decision to prepay a portion of its bonded indebtedness from the Fund's accumulated earnings. As a result of this decision, this year the Fund does not need the funds collected from the maintenance tax surcharge to service its bonded indebtedness. In subsequent years assessments will still be necessary to service the remaining outstanding debt of the Fund. On February 9, 1998, the commissioner adopted an assessment rate of .763% of an insurer's correctly reported gross workers' compensation insurance premiums for the calendar year 1997. This rate would have collected funds sufficient to pay current debt service on the bonds issued on behalf of the Texas Workers' Compensation Insurance Fund. As a result of the Fund's decision to prepay a portion of the indebtedness out of its accumulated earnings, no funds are needed from the maintenance tax surcharge, therefore the rate of assessment is reduced to 0.0% by this amendment. As a result of the amended section, the Comptroller of Public Accounts will refund an estimated $22,200,000 of insurer payments made pursuant to the previously adopted 1998 workers' compensation insurance maintenance tax surcharge. The Texas Workers' Compensation Insurance Fund and the Texas Public Finance Authority testified at the public hearing in favor of the amendment. No written comments were received regarding adoption of the amendment. The amendment is adopted under the Insurance Code, Articles 5.76-3, 5.76-5, 5.68 and 1.03A and the Texas Labor Code, sec.403.002. The Insurance Code, Article 5.76-3 establishes the Texas Workers' Compensation Insurance Fund. Article 5.76- 5 establishes the maintenance tax surcharge. Article 5.68 establishes the maintenance tax based on premiums for workers' compensation coverage. Article 1.03A authorizes the commissioner to adopt rules and regulations for the conduct and execution of the duties and functions of the department as authorized by statute. The Texas Labor Code, sec.403.002 establishes the maintenance tax for workers' compensation insurance companies. 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 4, 1998. TRD-9806182 Caroline Scott General Counsel and Chief Clerk Texas Department of Insurance Effective date: May 24, 1998 Proposal publication date: March 27, 1998 For further information, please call: (512) 463-6327 TITLE 30. ENVIRONMENTAL QUALITY Part I. Texas Natural Resource Conservation Commission Chapter 220. Regional Assessments of Water Quality The Texas Natural Resource Conservation Commission (commission) adopts sec.sec.220.1 - 220.7, sec.220.21 and sec.220.22, concerning the monitoring and assessment of water quality (Clean Rivers Program). Sections 220.1-220.5, 220.7, 220.21 and 220.22 are adopted without changes and will not be republished. Section 220.6 is adopted with changes to the proposed text as published in the November 7, 1997 issue of the Texas Register (22 TexReg 10897). EXPLANATION OF ADOPTED RULE Adopted new sec.sec.220.1-220.7 represent changes made to the program through legislation passed by the 75th Texas Legislature in 1997. Adopted new sec.220.21 and sec.220.22 represent a move of these sections from Chapter 320 to new Chapter 220 and the updating of references to be consistent with the new proposed rulemaking, and contain no program changes. The adopted new Chapter 220 will achieve consistency in the renumbering system for all water related rules to be contained in the 200 series under Title 30 of the Texas Administrative Code. This adopted rulemaking reflects and is limited only to changes made to the program through legislation passed by the 75th Texas Legislature. Legislation passed in 1991 by the 72nd Texas Legislature established the State of Texas Clean Rivers Program as authorized in the Texas Water Code sec.26.0135. The Texas Clean Rivers Program is administered by the commission and is implemented through contracts and cooperative agreements with river authorities and designated local governments. Changes to the fee schedule were developed in 1994 to reflect changes adopted by the 73rd Texas Legislature in 1993. The adopted rulemaking addresses changes in legislation adopted by the 75th Texas Legislature in 1997. A stakeholder's group representing a diversity of interests affected by the Texas Clean Rivers Program was organized in 1996 and was requested to provide information to the commission regarding problems with the Clean Rivers Program and to make recommendations for changes to address those problems. Two subcommittees were established, one to work on the development of program changes and the other to investigate alternative funding mechanisms for the program. The legislation adopted by the 75th Texas Legislature was developed by consensus of this ad hoc stakeholder group. The adopted rule implements only the changes adopted through the legislation. These rules establish the responsibilities of the commission, river authorities, designated local governments, and watershed and river basin steering committees for implementation of the program. Adopted sec.220.1, Purpose and Scope, describes or addresses the purpose and scope of the rule and its relationship to the implementation of the Clean Rivers Program. It generally describes the fees authorized to recover costs of implementation and the allocation of this revenue to the contracting planning agencies. FINAL REGULATORY IMPACT ANALYSIS The commission has reviewed the rulemaking in light of the regulatory analysis requirement of Texas Government, sec.2001.0225, has determined that the rulemaking is not subject to sec.2001.0225 because the rule does not meet the full applicability of a "major environmental rule" is defined in the act. The adopted rule will not have an adverse affect in a material way on the economy, environment or public health and safety of any sector of the state. The adopted rule does not exceed any federal standard and is required by state law, sec.26.0135, Texas Water Code, relating to Wastershed Monitoring and Assessment of Water Quality. The adopted rule does not exceed any expressed requirement of state law. There is no delegation agreement or contract directly applicable to the adopted rule. The rule adoption is made under a specific law, Texas Water Code, sec.26.0135, relating to Watershed Monitoring and Assessment of Water Quality. TAKINGS IMPACT ASSESSMENT The commission has prepared a Takings Impact Assessment for these rules pursuant to Texas Government Code Annotated sec.2007.043. The following is a summary of that assessment. The specific purpose of the rule is to provide regulatory guidelines for the administration and implementation of the State of Texas Clean Rivers Program authorized in the Texas Water Code, sec.26.0135. The rules will substantially advance this specific purpose by establishing responsibilities of the TNRCC, participating river authorities and designated local governments, and basin steering committees. Promulgation and enforcement of these rules will not burden private real property which is the subject of the rules. COASTAL MANAGEMENT PROGRAM (CMP) The executive director has reviewed the proposed rulemaking and found that the rule is neither identified in Coastal Coordination Act Implementation Rules, 31 TAC sec.505.11, relating to Actions and Rules Subject to the Coastal Management Program, nor will it affect any action/authorization identified in Coastal Coordination Act Implementation Rules, 31 TAC sec.505.11. Therefore, the proposed rule is not subject to the CMP. HEARINGS AND COMMENTS A public hearing was held on November 17, 1997 in Austin, Texas. There were no oral or written comments presented at the hearing. Written comments were received from Exxon Company, U.S.A.(Exxon), Texas Chemical Council, an individual, and a group which included the Aransas County Commissioners Court, Blackburn and Carter, Coalition to Save the Arroyo Colorado, Coalition to Protect Hynes Bay Area and the Aransas National Wildlife Refuge, Environmental Defense Fund, Lower Laguna Madre Foundation, Matagorda Bay Foundation, Henry, Lowerre, Johnson, Hess & Frederick, Sierra Club and the Texas Center for Policy Studies (Group). GENERAL COMMENTS The Texas Chemical Council supported adoption of the rules as published. DEFINITIONS AND ABBREVIATIONS (sec.220.2 (a)(6)) An individual requested information on the applicability of the rules to all river authorities. It was noted that a river authority may have only one county, but the quantity and quality of water in the watershed could have significant impacts downstream. The definition in sec.220.2 (a)(6) is consistent with the definition of a river authority included in HB 1190 (75th Texas Legislature) which amended sec.26.0135 of the Texas Water Code. The commission does not consider this section as a limitation on the participation in the program. The Lavaca-Navidad River Authority mentioned in the comment is a contracting planning agency and has participated in the program since its inception. Participants are required to contract with the commission to participate in the program. RESPONSIBILITIES OF RIVER AUTHORITIES AND DESIGNATED LOCAL GOVERNMENTS (sec.220.4 (A)(1)) An individual noted that each basin-wide steering committee membership should include a member of the local environmental community and stakeholders from outside the river authority boundary. Section 220.4(A)(1) is consistent with legislation that amended sec.26.0135 of the Texas Water Code and establishes the expected minimum membership for the basin-wide steering committees. In guidance documents for the program, the commission has encouraged each contracting planning agency to include all stakeholders affected by activities within a watershed and to provide appropriate representation of a cross-section of the stakeholder community. There is no limitation on the number of members on the steering committees, but emphasis is placed on the inclusion of all stakeholder interests in the process. An individual also noted that in addition to targeted monitoring discussed in sec.220.4 (a)(2), the program should support efforts to identify areas where pollution should be reduced below currently permitted standards. The commission is utilizing information from the Clean Rivers Program to support the development and implementation of water resources management program on a watershed basis. In the guidance documents for the program the commission encourages not only targeted monitoring, but also strategic monitoring to evaluate suspected or potential problem areas and long-term monitoring to support trend analyses in the watershed. Previous legislation limited the program to "assessment" of water quality data. The statutory amendments allow the development and implementation of additional data collection efforts to establish the watershed specific plans developed with the assistance of the basin-wide steering committee to manage the quality of water resources. REPORTING REQUIREMENTS (sec.220.6(c)) Exxon Company requested additional language that would insure that the financial report developed by the commission include an accounting of funds collected from and returned to each participating entity. The commission is required both by Texas Water Code, sec.26.0135(h) and by sec.220.6(c) to provide a financial report to the governor, lieutenant governor, and the speaker of the house of representatives which accounts for the costs recovered for this program. It is the intent of the commission that the financial report will include an accounting of funds collected from and returned to each participating entity in the program. The commission agrees to the addition of the following statement to sec.220.6(c) - "The financial report shall provide an accounting of the funds collected from and returned to each participating entity." WATER QUALITY ASSESSMENT FEES (sec.220.21(6)) An individual commented that they did not agree with the definitions of "contaminated" and "uncontaminated". The commission has made no change in response to this comment. The inclusion of sec.220.21 and sec.220.22 was for the purpose of renumbering to maintain consistency with the other rules of the agency. The definitions as presented here are consistent with definitions in Chapter 305, Subchapter M, of this title, related to other fees collected to recover costs of operating the wastewater permitting program. As the definitions are revised for other programs, appropriate changes will be made to this section. WATER QUALITY ASSESSMENT FEES (sec.220.21(d)) An individual and the Aransas County Commissioners Court, et al both expressed concern about the exemption of "aquaculture wastewater permits" from fees for this program. The commission has made no change in response to this comment. This rulemaking is limited to the specific changes authorized and made in the legislative amendment to sec.26.0135, Texas Water Code. No change regarding the methodology for assessing or collecting fees was made by the legislation. The commission originally exempted the aquaculture industry from being assessed fees during the previous major revision to the Clean Rivers Program rules in 1994. Aquaculture facilities were not readily identifiable in the state at that time, and the commission recognized that without proper knowledge of the industry, a fair and reasonable fee matrix could not be developed. At the present time, the commission has only seven active individual wastewater discharge permits for aquaculture facilities. The commission is currently gathering data regarding actual operation of these facilities including, the quantity of water that these facilities use and the quality of the discharge. The commission is also working with the industry and the industry's association to determine the numbers, size, and locations of these facilities. The commission will be using the information collected to develop a fair and reasonable fee matrix for assessing and collecting fees from this industry. During fiscal year 1999, which begins on September 1, 1998, the commission is scheduled to review the entire chapter (30 TAC 220), including the fee methodology of assessment, collection and allocation, in accordance with the rule review provision of adopted House Bill 1 (75th Texas Legislature, 1997) and will address any revisions through rulemaking once the review is completed. Subchapter A. Program for Monitoring and Assessment of Water Quality by Watershed and River Basin 30 TAC sec.sec.220.1-220.7 STATUTORY AUTHORITY The new sections are adopted under the Texas Water Code, sec.5.103 and sec.26.011 which provides the commission authority to adopt rules necessary to carry out its powers and duties and under the provisions of the Texas Water Code, and sec.26.0135 which provides the TNRCC with authority to establish the strategic and comprehensive monitoring of water quality and the periodic assessment of water quality in each watershed and river basin of the state. sec.220.6. Reporting Requirements. (a) Summary Reports. In the appropriate year of the permitting cycle developed in accordance with Texas Water Code, sec.26.0285 (30 TAC sec.305.71) relating to Basin Permitting, each river authority will submit a written summary report to the commission, the State Soil and Water Conservation Board, and Parks and Wildlife Department on the water quality of the watershed or river basin. (1) The summary report must identify concerns relating to the watershed or bodies of water, including an identification of bodies of water with impaired or potentially impaired uses, the cause and possible source or use impairment, and recommended actions that may be taken to address those concerns. (2) The summary report must discuss the public benefits from the water quality monitoring and assessment program, including efforts to increase public input in activities related to water quality and the effectiveness of targeted monitoring in assisting the permitting process. (3) Prior to submittal to the agencies listed in subsection (a) of this section, the river authority will present the report to the basin steering committee for approval and will also make the report available to water use and wastewater permit holders for review and comment. (4) All comments regarding satisfaction with or suggestions for modification of the report for the watershed, the operation and/or effectiveness of the monitoring and assessment program, and the use of funds shall be considered, summarized and submitted, along with the approved summary report, to the governor, the lieutenant governor, and the speaker of the house of representatives not later than 90 days after submission to the commission and other agencies listed in paragraphs (1) - (3) of this subsection. (b) Basin highlight reports. Each river authority and designated local government will develop a Basin Highlight Report annually to be provided to each member of the basin steering committee and all fee payers within the basin. This report should summarize Clean Rivers Program activities conducted in the basin. Procedures for electronic distribution should be developed to ensure most efficient availability to the public. (c) Financial report. The commission shall file a written report on or before December 1 of each even numbered year accounting for the costs recovered under this section with the governor, the lieutenant governor, and the speaker of the house of representatives. The financial report shall provide an accounting of the funds collected from and returned to each participating entity. Each river authority and designated local government shall have input and assist with the development of this report. 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 1, 1998. TRD-9806132 Kevin McCalla Director, Legal Services Texas Natural Resource Conservation Commission Effective date: June 1, 1998 Proposal publication date: November 7, 1997 For further information, please call: (512) 239-4640 Subchapter B. Program for Water Quality Assessment Fees 30 TAC sec.220.21, sec.220.22 STATUTORY AUTHORITY The new sections are adopted under the Texas Water Code, sec.5.103 and sec.26.011 which provides the commission authority to adopt rules necessary to carry out its powers and duties and under the provisions of the Texas Water Code, and sec.26.0135 which provides the TNRCC with authority to establish the strategic and comprehensive monitoring of water quality and the periodic assessment of water quality in each watershed and river basin of the state. This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 1, 1998. TRD-9806135 Kevin McCalla Director, Legal Services Texas Natural Resource Conservation Commission Effective date: June 1, 1998 Proposal publication date: November 7, 1997 For further information, please call: (512) 239-4640 Chapter 320. Regional Assessments of Water Quality The Texas Natural Resource Conservation Commission (commission) adopts the repeal of sec.sec.320.1- 320.9, sec.320.21 and 320.22, concerning Regional Assessments of Water Quality (Clean Rivers Program) without changes to the proposed text as published in the November 7, 1997, issue of the Texas Register (22 TexReg 10904). EXPLANATION OF ADOPTED RULE The adopted repeal of Chapter 320 enables a numbering change that implements a reorganization of commission rules by moving this chapter to the area of the Texas Administrative Code that is being reserved for rules related to water programs in Chapters 200-299. FINAL REGULATORY IMPACT ANALYSIS Mr. Minick has determined that a regulatory impact analysis is not required because the repeal is not a major environmental rule and will not have an adverse affect in a material way on the economy, environment or public health and safety of any sector of the state. TAKINGS IMPACT ASSESSMENT The commission has prepared a Takings Impact Assessment for these rules pursuant to Texas. Government Code Annotated sec.2007.043. The following is a summary of that assessment. The specific purpose of the rule is to provide regulatory guidelines for the administration and implementation of the State of Texas Clean Rivers Program authorized in the Texas Water Code, sec.26.0135. The rules will substantially advance this specific purpose by establishing responsibilities of the TNRCC, participating river authorities and designated local governments, and basin steering committees. Promulgation and enforcement of these rules will not burden private real property which is the subject of the rules. COASTAL MANAGEMENT PROGRAM (CMP) The executive director has reviewed the proposed rulemaking and found that the rule is neither identified in Coastal Coordination Act Implementation Rules, 31 TAC sec.505.11, relating to Actions and Rules Subject to the Coastal Management Program, nor will affect any action/authorization identified in Coastal Coordination Act Implementation Rules, 31 TAC sec.505.11. Therefore, the proposed rule is not subject to the CMP. HEARINGS AND COMMENTS A public hearing was held on November 17, 1997 in Austin, Texas. There were no oral or written comments presented at the hearing or received regarding the repealed sections. Program for Assessment of Water Quality by Watershed and River Basin 30 TAC sec.sec.320.1-320.9 STATUTORY AUTHORITY The repealed sections are adopted under the Texas Water Code, sec.5.103 which provides the commission authority to adopt rules necessary to carry out its powers and duties under the provisions of the Texas Water Code. This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 1, 1998. TRD-9806134 Kevin McCalla Director, Legal Services Texas Natural Resource Conservation Commission Effective date: June 1, 1998 Proposal publication date: November 7, 1997 For further information, please call: (512) 239-4640 Program for Water Quality Assessment by Watershed 30 TAC sec.320.21, sec.320.22 STATUTORY AUTHORITY The repeals are adopted under the Texas Water Code, sec.5.103 which provides the commission authority to adopt rules necessary to carry out its powers and duties under the provisions of the Texas Water Code. This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Filed with the Office of the Secretary of State on May 1, 1998. TRD-9806133 Kevin McCalla Director, Legal Services Texas Natural Resource Conservation Commission Effective date: June 1, 1998 Proposal publication date: November 7, 1997 For further information, please call: (512) 239-4640 TITLE 31. NATURAL RESOURCES AND CONSERVATION Part II. Texas Parks and Wildlife Department Chapter 53. Finance Subchapter H. Marine Safety Enforcement-Training and Certification Fees 31 TAC sec.53.60 The Texas Parks and Wildlife Commission adopts new sec.53.60, concerning fee schedules, without changes to the proposed text as published in the March 13, 1998, issue of the Texas Register (23 TexReg 2725). New sec.53.60 is necessary to implement the fees to recover the administrative cost of training and certifying marine safety enforcement officers and marine safety enforcement officer course instructors, and to implement the provisions of House Bill 966, Acts of the 75th Texas Legislature, 1997. The new section will function to impose fees for peace officers seeking certification as marine safety enforcement officers or marine safety enforcement officer course instructors. The department received no comments concerning adoption of the proposed rule. The new section is adopted under the provisions of House Bill 966, Acts of the 75th Texas Legislature, Regular Session, 1997, which amended Parks and Wildlife Code, sec.31.121 to authorize the commission to establish and collect a fee to recover the administrative costs associated with the certification of marine safety enforcement officers. 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 April 27, 1998. TRD-9805927 Bill Harvey Regulatory Coordinator Texas Parks and Wildlife Department Effective date: May 17, 1998 Proposal publication date: March 13, 1998 For further information, please call: (512) 389-4775 TITLE 40. SOCIAL SERVICES AND ASSISTANCE Part I. Texas Department of Human Services Chapter 79. Legal Services The Texas Department of Human Services (DHS) adopts the repeal of sec.sec.79.1601-79.1614; and adopts new sec.sec.79.1601-79.1613, without changes to the proposed as text published in the February 6, 1998, issue of the Texas Register (23 TexReg 938). The justification of the repeals and new sections is to organize and simplify the formal hearing rules that are used when appearing before and participating in a hearing before an administrative law judge. In addition, the new sections promulgate hearing rules as required by 1997 legislation, including Senate Bills 30, 84, and 637. The repeals and new sections will function by ensuring that a party to a hearing will be able to consult one set of hearing rules to determine how to proceed before an administrative judge in contested cases involving adverse actions by DHS. Also, Senate Bill 30 implementation costs will be offset by increased recoveries of benefit overissuances. During the public comment period, DHS received comments from the Texas Association of Licensed Facility Administrators and the Texas Health Care Association. A summary of the comments and DHS's responses follow: Comment: One commenter stated that a statement should be included in the rules as to which party has the burden of proof in a formal hearing. Response: Although DHS has the initial burden of proof in most cases, the burden of proof is a function of the substantive law of the particular case. It must be determined by the category of the case and should not be set in procedural rules. Comment concerning sec.79.1601(3): One commenter stated that the denial, suspension, revocation, or refusal to renew a medication aide permit was omitted from the definition of "adverse action." Response: This provision is located at sec.79.1601(3)(O) of the rule. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1601(3)(I): One commenter stated that the reference to an adverse action involving an intermediate or long-term care facility for the mentally retarded should clarify whether it also applies to long-term care facilities generally. Response: Adverse actions involving long-term care facilities are covered elsewhere in the definition of adverse actions; this subsection applies only to facilities for the mentally retarded. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1603: One commenter stated that DHS should advise all persons, not just nurse aides, of the consequences of waiving a right to a hearing or of failure to request a hearing. Response: The content of the notification to nurse aides is required by federal statute. No similar statutory provisions exist for notices of other types of adverse actions. Given the diversity of potential adverse actions and the different possible ramifications, it would be unduly burdensome for DHS to be required to notify all persons of all potential effects, including legal consequences, that could result from waiving the right to a hearing or of failure to request a hearing. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1604: One commenter stated that the times in which a party can request a hearing should be uniform. Response: All times for requesting hearings set out in the rule are statutorily prescribed and cannot be altered. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1604(h)(1): One commenter stated that the 20th day should be calculated from the date the notice is received by the party and not from the date it is sent. Response: This requirement is statutory and cannot be altered. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1606: One commenter stated that for nurse aide and medication aide hearings, the aide should be allowed to elect whether the hearing will be held in Austin or at the DHS office nearest the location where the aide resides. Response: The rule places venue for such hearings at the DHS office nearest the location where the aide resides. Since nurse aides and medication aides often do not have the means to travel to Austin for hearings and most if not all of the witnesses in such cases are in the area where the aide resides, DHS determined that it would best serve the interests of justice to hold such hearings in the regions. Any party may move to change the venue of any case, so if an aide wishes to have a hearing conducted in Austin, the aide may make a motion to transfer the case to Austin. Therefore, DHS is adopting the rule without change. Comment concerning sec.79.1608(d)-(e): One commenter stated that if a petitioner is required to file a statement of the case, this statement should only be required after the respondent's statement has been filed. Response: These statements represent the parties' positions as to the issues in the case and the rules, regulations, statutes, and other authorities that the parties contend are applicable to the case. These statements represent each side's position and are not responsive in nature. DHS is required to file a statement of the case in every case, but the petitioner may only be required to do so when the department requests it and the administrative law judge orders it. Therefore, DHS is adopting the rule without change. Subchapter Q. Formal Hearings 40 TAC sec.sec.79.1601-79.1614 The repeals are adopted under the Human Resources Code, Title 2, Chapter 22, which provides the department with the authority to administer public assistance programs. The repeals implement the Human Resources Code, sec.sec.22.001- 22.030. 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 April 28, 1998. TRD-9805958 Glenn Scott General Counsel, Legal Services Texas Department of Human Services Effective date: May 18, 1998 Proposal publication date: February 6, 1998 For further information, please call: (512) 438-3765 40 TAC sec.sec.79.1601-79.1613 The new sections are adopted under the Human Resources Code, Title 2, Chapter 22, which provides the department with the authority to administer public assistance programs. The new sections implement the Human Resources Code, sec.sec.22.001-22.030. 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 April 28, 1998. TRD-9805959 Glenn Scott General Counsel, Legal Services Texas Department of Human Services Effective date: May 18, 1998 Proposal publication date: February 6, 1998 For further information, please call: (512) 438-3765 TITLE 43. TRANSPORTATION Part I. Texas Department of Transportation Chapter 17. Vehicle Title and Registration Subchapter B. Motor Vehicle Registration 43 TAC sec.17.24 The Texas Department of Transportation adopts an amendment to sec.17.24, concerning disabled person license plates and placards. Section 17.24 is adopted with changes to the proposed text as published in the February 13, 1998, issue of the Texas Register (23 TexReg 1273) and will be republished. EXPLANATION OF ADOPTION OF AMENDMENTS House Bills 580 and 685, 75th Legislature, 1997, amended Transportation Code, sec.502.253 and sec.681.002. House Bill 580 amended the requirements to obtain disabled person identification placards and also required a hologram to be placed on each disabled person identification placard. House Bill 685 allows for an applicant to obtain more than one set of disabled person license plates for a motorcycle, passenger car, or light truck that is equipped with special equipment that will allow a person who has lost the use of one or both legs to operate the vehicle. Section 17.24 is amended to comply with House Bill 580 and House Bill 685 and to improve enforcement and issuance procedures for disabled person plates and placards. The amendments to sec.17.24 revise citations to reflect recodification into the Transportation Code, and require that windshield identification placards must contain a hologram and applicant's driver's license number or the number of a personal identification card issued to the applicant under Chapter 521. The amendments allow an applicant who is a non-resident serving in the United States Military on a military institution in Texas to use a current out- of-state driver's license for the application. In order to receive a disabled plate or insignia, the application must be: signed in the presence of a notary by a physician either licensed to practice medicine in this state, licensed by the United States Military if the physician practices medicine on a military installation in this state, or practicing medicine in a Veterans Administration medical facility in Texas; or in the form of a written prescription. Both statements must include a certification as to whether the disability is temporary or permanent and the disabled person's name. The amendments delete the acceptance of documentation from the Texas Rehabilitation Commission, the Texas Commission for the Blind, the Texas Handicap Association, and by sworn written statement. Additional sets of license plates may be issued for each vehicle that is specially equipped to allow operation by an operator who has lost the use of one or both legs. The amendments revise the expiration period from five years to four years; require that in order to renew a placard, the applicant must show an expired placard or a receipt showing that a disabled person placard was previously issued; and delete the requirement that disabled plates must be renewed in the county in which the owner resides. The section requires the owner to present the current year's license receipt instead of the previous year's in order to replace a disabled person license plate, and provides if the county cannot verify that the disabled person license plates were issued to the owner, the owner must refile an initial application. It clarifies that a disabled person is not exempt from payment of penalties and fees if the vehicle is parked within a municipal airport. The section allows a person from whom a placard was seized by a law enforcement officer under Transportation Code, sec.681.011 to request a hearing in accordance with sec.sec.1.21-1.61 of this title (relating to Contested Case Procedure) to determine if the revocation should continue or if the placard should be returned and the revocation rescinded. In sec.17.24(c)(2)(B) the department is correcting an error by inserting the word "number" after driver's license. In order to accommodate the Texas residents who use the Veteran Administration medical facilities in Texas, sec.17.024(c)(3)(B) has been revised to allow physicians at a Veteran Administration medical facility in Texas to sign the application or provide a written prescription in order for their patients to obtain a disabled persons plate or placard. RESPONSE TO COMMENTS No oral or written comments were received on the proposed amendment. STATUTORY AUTHORITY The amendment is adopted under Transportation Code, sec.201.101, which provides the Texas Transportation Commission with the authority to establish rules for the conduct of the work of the Texas Department of Transportation, and more specifically Transportation Code, Sections 502.253 and 681.002 which provide the department with the authority to issue disabled persons identification placards and license plates. sec.17.24. Disabled Person License Plates and Identification Placards. (a) Purpose. Transportation Code, Chapters 502 and 681, charges the department with the responsibility for issuing specially-designed license plates and identification placards for permanently and temporarily disabled persons. In order for the department to efficiently and effectively perform these duties, this section prescribes the policies and procedures for the application, issuance, and renewal of disabled person license plates and placards. (b) Issuance. (1) Disabled person license plates. (A) Vehicle. The department will issue specially designed license plates to permanently disabled persons or their transporters in lieu of regular passenger license plates, if the passenger vehicle, motorcycle, or light commercial vehicle: (i) has a manufacturer's rated carrying capacity of one ton or less; (ii) is used for non-commercial purposes; and (iii) is regularly operated by, or for the transportation of permanently disabled persons. (B) Identifying insignia. Disabled person license plates will include the international symbol of access. The department will issue disabled person insignia on those special category license plates that can accommodate the identifying insignia, and which are issued in accordance with sec.17.28 of this title (relating to Special Category License Plates, Symbols and Tabs). (C) License plate number. Disabled person license plates will bear a license plate number assigned by the department, or a personalized license plate number issued in accordance with sec.17.28 of this title (relating to Special Category License Plates, Symbols and Tabs). (2) Windshield identification placards. The department will issue removable windshield identification placards to temporarily or permanently disabled persons, and the transporters of permanently disabled persons. (A) Location. A person who has been issued a windshield identification placard shall suspend the placard from a vehicle's rearview mirror when the vehicle is parked in a disabled person parking space, or display the placard on the center portion of the dashboard if such vehicle does not have a rearview mirror. (B) Identifying insignia. Windshield identification placards will include the following information: (i) the international symbol of access; (ii) an identification number; (iii) the seal or other identification of the department; (iv) date of expiration; (v) the applicant's driver's license number or the number of a personal identification card issued to the applicant under Transportation Code, Chapter 521; and (vi) a hologram designed by the department. (c) Initial application. (1) Place of application. The following persons may file an application for disabled person license plates or identification placards with the county tax assessor-collector in the county in which the applicant resides: (A) the owner of a registered vehicle that is regularly operated by or for the transportation of a disabled person; and (B) a disabled person who is not a vehicle owner. (2) Application form. Such application must be made on a form prescribed by the director and shall, at a minimum, require the name, address, and signature of the disabled person, and: (A) the applicant's driver's license number or the number of a personal identification card issued to the applicant under Chapter 521; or (B) an out-of-state current driver's license number issued to a non-resident individual serving in the United States military at a military installation in this state. (3) Accompanying documentation. (A) Unless otherwise exempted by law or this section, an initial application for disabled person license plates and an identification placard must be accompanied by evidence that the operator or regularly transported person is disabled. (B) Such evidence of disability must contain a certification as to whether the disability is temporary or permanent and the disabled person's name, and be signed by a physician who is: (i) licensed to practice medicine in Texas; (ii) practicing medicine in the United States Military on a military installation; or (iii) practicing medicine in a Veterans Administration medical facility in Texas. (C) The evidence must be in the form of: (i) a disability statement, as it appears on the application for disabled person license plates or identification placards, which has been correctly completed and signed in the presence of a notary; or (ii) a written prescription. (4) Additional requirements. Applications for disabled person license plates and identification placards shall be accompanied by any fees or additional documentation as required by law. (5) Exemptions from accompanying documentation. The department will issue disabled person identification placards to an organization that regularly transports disabled persons in vehicles it owns or controls if such organization is prohibited by law from disclosing the identities of their clients. In such cases, the application may be made in the name of the organization. In addition, accompanying documentation described in paragraph (2) of this subsection will not be required. Such organizations shall present an "Exempt" Texas Vehicle Registration Receipt issued in accordance with sec.17.30 of this title (relating to Motor Vehicle Registration) for each disabled person identification placard requested. (6) Limitations. (A) The department may issue the following number of disabled license plates and placards to applicants who are permanently disabled: (i) one set of disabled person license plates and one permanently disabled person identification placard; (ii) no more than two permanently disabled person identification placards; or (iii) additional sets of license plates for each vehicle that is specially equipped to allow operation by an operator who has lost the use of one or both legs. (B) The department will issue no more than two temporarily disabled person identification placards to those with temporary disabilities. Disabled person license plates are not available to those with temporary disabilities. (d) Renewal. (1) License plates. Disabled person license plates are valid for a period of 12 months from the date of issuance, and are renewable as specified in sec.17.30(d) of this title (relating to Motor Vehicle Registration). (2) Identification placards. Permanently disabled person identification placards are valid for a period of four years from the month of issuance. (A) Place of renewal application. The applicant shall apply to the tax assessor- collector of the county in which the owner resides for disabled person identification placard renewal, prior to the expiration of the identification placard. (B) Accompanying documentation. In order to renew a permanently disabled person identification placard, an applicant shall present a copy of the previous identification placard application, expired placard, or a receipt showing that a disabled person placard was previously issued to the applicant. If such previous application, placard, or receipt is not available, the applicant shall reapply as described in subsection (c) of this section. (3) Temporarily disabled person identification placards. Temporarily disabled person identification placards are valid for six months from the month of issuance or until the termination of the applicant's disability, whichever occurs first. (A) Termination of disability. If a person's disability ends prior to the expiration of the identification placard, the placard shall be destroyed. (B) Renewal. If a person's temporary disability extends for more than the six- month period for which the placard was issued, such person must reapply for a new identification placard as described in subsection (c) of this section. (e) Replacement. (1) License plates. If disabled person license plates are lost, stolen, or mutilated, the owner may obtain replacement license plates by applying with the county tax assessor-collector. (A) Accompanying documentation. In order to replace permanently disabled person license plates, the owner shall present the current year's registration receipt and personal identification acceptable to the tax assessor- collector. (B) Absence of accompanying documentation. If the current year's registration receipt is not available and the county cannot verify that the disabled person license plates were issued to the owner, then the owner shall reapply in accordance with subsection (c) of this section. (2) Disabled person identification placards. If a disabled person identification placard becomes lost, stolen, or mutilated, the owner may obtain a new identification placard in accordance with subsection (c) of this section. (f) Transfer of disabled person license plates and identification placards. (1) License plates. (A) Transfer between persons. Disabled person license plates are non- transferrable between persons. An owner who sells or trades a vehicle to which disabled person license plates have been issued shall remove the disabled person license plates from the vehicle. The owner shall return the license plates to the department, and obtain appropriate replacement license plates to place upon the vehicle prior to any transfer of ownership. (B) Transfer between vehicles. Disabled person license plates are non- transferable between vehicles. (2) Identification placards. (A) Transfer between vehicles. Disabled person identification placards may be displayed in any vehicle in which the disabled person drives or is a passenger. (B) Transfer between persons. Disabled person identification placards are non- transferable between persons. (g) Refueling and parking privileges. (1) Refueling services. In accordance with Texas Civil Statutes, Article 8613 the department will provide a notice to an owner of a vehicle displaying disabled person license plates or an identification placard setting forth the provisions of the Refueling Services to Disabled Person Act which requires a facility that offers motor vehicle fuel for sale to the public to limit the charge to a disabled driver to the self-service price. (2) Parking privileges. The operator of a vehicle displaying disabled person license plates or an identification placard is granted the following parking privileges under Transportation Code, sec.681.006. (A) Any vehicle upon which disabled person license plates or a disabled person placard is displayed, when being operated by or for the transportation of a disabled person, shall be allowed to park for unlimited periods in any parking space or parking area designated specifically for the physically handicapped. (B) The owner of a vehicle on which disabled person license plates or a disabled person identification placard is displayed is exempt from the payment of fees or penalties imposed by a governmental authority for parking at a meter or in a space with a limitation on the length of time for parking, unless the vehicle is parked at a place or time that parking is prohibited, or unless the vehicle was not parking at the time by or for the transportation of a disabled person. This exemption does not apply to fees or penalties imposed by a: (i) branch of the United States government; or (ii) governmental unit for parking within the boundaries of a municipal airport. (h) Seizure and revocation of placard. A person from whom a placard was seized by a law enforcement officer under Transportation Code, sec.681.011 may request a hearing in accordance with sec.sec.1.21-1.61 of this title (relating to Contested Case Procedure) to determine if the revocation should continue or if the placard should be returned to the person and the revocation rescinded. 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 1, 1998. TRD-9806159 Bob Jackson Acting General Counsel Texas Department of Transportation Effective date: May 21, 1998 Proposal publication date: February 13, 1998 For further information, please call: (512) 463-8630 43 TAC sec.17.50 The Texas Department of Transportation adopts an amendment to sec.17.50, concerning exempt and alias vehicle registration. Section 17.50 is adopted without changes to the proposed text as published in the February 13, 1998, issue of the Texas Register (23 TexReg 1276) and will not be republished. EXPLANATION OF ADOPTION OF AMENDMENTS Senate Bill 557, 75th Legislature, 1997, amended Transportation Code, sec.502.201 to require the department to provide by rule for the issuance of specially designated license plates for vehicles that are exempt from registration fees. In addition, Senate Bill 557 amended Transportation Code, sec.502.2015 to provide that when an exempt agency applies for exempt license plates, the agency's name may appear in an emblem that is at least 100 square inches in size instead of two inches in height on the vehicle, and in a color different from the body of the vehicle so that it is clearly legible from a distance of 100 feet. Senate Bill 557 also requires that an agency provide a copy of the commissioner court order or municipal ordinance exempting county or city vehicles from the inscription requirements under Transportation Code, sec.721.005 in order to receive exempt license plates without the word "exempt." Section 17.50 is amended to comply with Senate Bill 557, to allow an exempt agency the option of using an agency emblem on the exempt vehicle instead of the name of the agency, and ensure exempt license plates are issued to qualified vehicles. Section 17.50 allows an exempt agency's identification to appear by an emblem, providing the emblem is 100 inches square and easily seen from a distance of 100 feet, and requires that agencies applying for exempt license plates for vehicles without the inscription must provide a copy of the order or ordinance as provided by Transportation Code, sec.721.005. RESPONSE TO COMMENTS No oral or written comments were received on the proposed amendment. STATUTORY AUTHORITY The amendment is adopted under Transportation Code, sec.201.101, which provides the Texas Transportation Commission with the authority to establish rules for the conduct of the work of the Texas Department of Transportation, and more specifically, Transportation Code, Chapter 502 which authorizes the department to carry out the provisions of those laws governing the issuance of motor vehicle registrations. 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 1, 1998. TRD-9806160 Bob Jackson Acting General Counsel Texas Department of Transportation Effective date: May 21, 1998 Proposal publication date: February 13, 1998 For further information, please call: (512) 463-8630