Texas Register

TITLE 40 SOCIAL SERVICES AND ASSISTANCE
PART 1TEXAS DEPARTMENT OF HUMAN SERVICES
CHAPTER 92LICENSING STANDARDS FOR ASSISTED LIVING FACILITIES
SUBCHAPTER BAPPLICATION PROCEDURES
RULE §92.17Criteria for Denying a License or Renewal of a License
ISSUE 01/24/2003
ACTION Proposed
Preamble No Rule Available

(a)The Texas Department of Human Services (DHS), after providing notice and opportunity for a hearing to the applicant or license holder, may deny an initial license or refuse to renew a license if an applicant, license holder, controlling person, or any person required to submit background and qualification information:

   (1)violates Health and Safety Code, Chapter 247; a section, standard or order adopted under Chapter 247; or a license issued under Chapter 247 in either a repeated or substantial manner;

   (2)commits an act described in §92.551(2)-(5) of this chapter (relating to When is an administrative penalty assessed?);

   [(1)substantially fails to comply with the requirements described in §92.41 of this title (relating to Standards for Type A, Type B, and Type E Assisted Living Facilities) including, but not limited to:]

    [(A)noncompliance that posed or poses a serious threat to health and safety, or]

    [(B)a failure to maintain compliance on a continuous basis;]

  (3) [(2)] aids, abets, or permits a substantial violation described in paragraphs (1)-(2) [paragraph (1)] of this subsection about which the applicant, manager, or affiliate had or should have had knowledge;

  (4) [(3)] fails to provide the required information, facts,or [and/or] references;

  (5) [(4)] provides the following false or fraudulent information:

    (A)knowingly submits false or intentionally misleading statements to DHS;

    (B)uses subterfuge or other evasive means of filing;

    (C)engages in subterfuge or other evasive means of filing on behalf of another who is unqualified for licensure;

    (D)knowingly conceals a material fact related to licensure; or

    (E)is responsible for fraud;

  (6) [(5)] fails to pay the following fees, taxes, and assessments when due:

    (A)licensing fees as described in §92.20 of this chapter [title] (relating to License Fees); or

    (B)franchise taxes, if applicable;

  (7) [(6)] discloses any of the following actions within the two-year period preceding the application:

    (A)operation of a facility that has been decertified or [and/or] had its contract canceled under the Medicare or Medicaid program in any state;

    (B)federal or state long-term care facility, assisted living facility, or similar facility sanctions or penalties, including but not limited to, monetary penalties, involuntary downgrading of the status of a facility license, proposals to decertify, directed plans of correction, or the denial of payment for new Medicaid admissions;

    (C)state or federal criminal convictions for any offense that provides a penalty of incarceration;

    (D)unsatisfied final judgments, excluding judgments wholly unrelated to the provision of care rendered in long-term care facilities;

    (E)eviction involving any property or space used as a facility in any state; or

    (F)suspension of a license to operate a health care facility, long-term care facility, assisted living facility, or a similar facility in any state; and

  (8) [(7)] violates [Texas] Health and Safety Code, §247.021.

(b)Concerning subsection (a)(7) [(a)(6)] of this section, DHS may consider exculpatory information provided by the applicant, manager, or affiliate and grant a license under subsection (a)(7) [(a)(6)] of this section if DHS finds the applicant, license holder, manager, or affiliate able to comply with the rules of this chapter.

(c)(No change.)

(d)Only final actions are considered for purposes of subsections (a)(7) [(a)(6)] and (c) of this section. An action is final when routine administrative and judicial remedies are exhausted. All actions, whether pending or final, must be disclosed.

(e) - (f)(No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on January 10, 2003

TRD-200300110

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: February 23, 2003

For further information, please call: (512) 438-3734



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