The Texas Health and Human Services Commission (HHSC) adopts amendments to §92.2, concerning Definitions; and §92.16, concerning Change of Ownership, in Chapter 92, Licensing Standards for Assisted Living Facilities. The amendments are adopted with changes to the proposed text as published in the April 7, 2017, issue of the Texas Register (42 TexReg 1864).

BACKGROUND AND JUSTIFICATION

The adopted rules revise the definitions and rules regarding a change of ownership to simplify the process for determining when an assisted living facility (ALF) is required to obtain a new license as a result of a change of ownership. Under the adopted rules, a change of ownership occurs when the federal taxpayer identification number of the license holder changes. When this occurs the license holder is required to apply for a new license. If the ownership structure of the license holder changes but the license holder is the same legal entity, as evidenced by having the same federal taxpayer identification number, the license holder is not required to apply for a new license.

A change was made in §92.2, concerning Definitions, to the definition of "change of ownership" to clarify that any event that results in a change to the federal taxpayer identification number of the license holder of an ALF is considered a change of ownership.

COMMENTS

The 30-day comment period ended May 7, 2017. During this period, HHSC received comments regarding the proposed rules from two commenters, the Coalition for Nurses in Advanced Practice and Texas Assisted Living Association (TALA). A summary of the comments and HHSC’s responses follows.

Comment: Regarding the proposed amendment of §92.2, Definitions, a commenter requested that in the definition for "practitioner" the term "advanced practice registered nurse (APRN)" be used instead of using the phrase "a registered nurse approved by the Texas Board of Nursing to practice as an advanced practice registered nurse". The commenter stated this change would reflect current terminology and be consistent with terms used for the other professions listed in the definition as well as allow the APRN to be licensed in a state other than Texas.

Response: No change was made in response to this comment as the term "practitioner" is not related to the rule changes that are proposed. HHSC will consider this change in future rule amendments.

Comment: One commenter requested that definition of "disclosable interest" contain an exception for publicly traded corporations based on the definition of "controlling person" in Texas Health and Safety Code §247.005.

Response: HHSC did not add the exception for publicly traded companies to the definition of disclosable interest. However, to address the concern of the commenter, §92.16(k) was revised so that a license holder, that is a publicly traded company, is not required to notify HHSC if the license holder adds an owner with a disclosable interest.

STATUTORY AUTHORITY

The amendment is adopted under Texas Government Code, §531.0055, which requires that the HHSC executive commissioner shall adopt rules for the operation and provision of health and human services; and Texas Health and Safety Code, §247.025, which requires the HHSC executive commissioner to adopt rules related to the licensure an ALF.