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Statutes > Texas > Health-and-safety-code > Title-4-health-facilities > Chapter-251-end-stage-renal-disease-facilities

HEALTH AND SAFETY CODE

TITLE 4. HEALTH FACILITIES

SUBTITLE B. LICENSING OF HEALTH FACILITIES

CHAPTER 251. END STAGE RENAL DISEASE FACILITIES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 251.001. DEFINITIONS. In this chapter:

(1) "Board" means the Texas Board of Health.

(2) "Commissioner" means the commissioner of public health.

(3) "Department" means the Texas Department of Health.

(4) "Dialysis" means a process by which dissolved substances are

removed from a patient's body by diffusion from one fluid

compartment to another across a semipermeable membrane.

(5) "Dialysis technician" means an individual who is not a

registered nurse or physician and who provides dialysis care

under the supervision of a registered nurse or physician.

(6) "End stage renal disease" means that stage of renal

impairment that appears irreversible and permanent and that

requires a regular course of dialysis or kidney transplantation

to maintain life.

(7) "End stage renal disease facility" means a facility that

provides dialysis treatment or dialysis training to individuals

with end stage renal disease.

(8) "Medical review board" means a medical review board that:

(A) is appointed by a renal disease network organization which

includes this state; and

(B) has a contract with the Health Care Financing Administration

of the United States Department of Health and Human Services

under Section 1881, Title XVIII, Social Security Act (42 U.S.C.

Section 1395rr).

(9) "Physician" means an individual who is licensed to practice

medicine under Subtitle B, Title 3, Occupations Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 14.790,

eff. Sept. 1, 2001.

Sec. 251.002. FEES. (a) The board shall set fees imposed by

this chapter in amounts reasonable and necessary to defray the

cost of administering this chapter.

(b) In setting fees under this section, the board shall consider

setting a range of license and renewal fees based on the number

of dialysis stations at each end stage renal disease facility and

the patient census.

(c) An end stage renal disease facility owned or operated by a

state agency is not required to pay fees imposed under this

chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.003. ADOPTION OF RULES. The board shall adopt rules to

implement this chapter, including requirements for the issuance,

renewal, denial, suspension, and revocation of a license to

operate an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER B. LICENSING OF END STAGE RENAL DISEASE FACILITIES

Sec. 251.011. LICENSE REQUIRED. Except as provided by Section

251.012, a person may not operate an end stage renal disease

facility without a license issued under this chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.012. EXEMPTIONS FROM LICENSING REQUIREMENT. The

following facilities are not required to be licensed under this

chapter:

(1) a home and community support services agency licensed under

Chapter 142 with a home dialysis designation;

(2) a hospital licensed under Chapter 241 that provides dialysis

only to:

(A) individuals receiving inpatient services from the hospital;

or

(B) individuals receiving outpatient services due to a disaster

declared by the governor or a federal disaster declared by the

president of the United States occurring in this state or another

state during the term of the disaster declaration; or

(3) the office of a physician unless the office is used

primarily as an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1280, Sec. 3.02, eff. September 1, 2009.

Sec. 251.013. ISSUANCE AND RENEWAL OF LICENSE. (a) An

applicant for a license under this chapter must submit an

application to the department on a form prescribed by the board.

(b) Each application must be accompanied by a nonrefundable

license fee.

(c) Each application must contain evidence that there is at

least one qualified physician on the staff of the facility and

that each dialysis technician on staff has completed the training

program required by this chapter.

(d) The department may grant a temporary initial license to an

applicant. The temporary initial license expires on the earlier

of:

(1) the date the department issues or denies the license; or

(2) the date six months after the date the temporary initial

license was issued.

(e) The department shall issue a license if, after inspection

and investigation, it finds the applicant meets the requirements

of this chapter and the standards adopted under this chapter.

(f) The license is renewable annually after submission of:

(1) the renewal application and fee; and

(2) an annual report on a form prescribed by the board.

(g) The annual report required under Subsection (f) must include

information related to the quality of care at the end stage renal

disease facility. The report must be in the form and documented

by evidence as required by board rule.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.014. MINIMUM STANDARDS. (a) The rules adopted under

Section 251.003 must contain minimum standards to protect the

health and safety of a patient of an end stage renal disease

facility, including standards for:

(1) the qualifications and supervision of the professional

staff, including physicians, and other personnel;

(2) the equipment used by the facility is compatible with the

health and safety of the patients;

(3) the sanitary and hygienic conditions in the facility;

(4) quality assurance for patient care;

(5) the provision and coordination of treatment and services by

the facility;

(6) clinical records maintained by the facility;

(7) design and space requirements for the facility for safe

access by patients and personnel and for ensuring patient

privacy;

(8) indicators of the quality of care provided by the facility;

and

(9) water treatment and reuse by the facility.

(b) The standards described in Subsection (a)(7) of this section

shall apply only:

(1) to a facility which initiates the provision of end stage

renal disease services on or after September 1, 1996; or

(2) to the area of a facility affected by design and space

modifications or renovations completed after September 1, 1996.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.015. MEDICAL REVIEW BOARD. (a) A medical review board

shall advise the board on minimum standards and rules to be

adopted under this chapter.

(b) The medical review board shall review the information on

quality of care provided in the annual report filed under Section

251.013(f) and other appropriate information provided to or

compiled by the department with respect to an end stage renal

disease facility. Based on the review, the medical review board

may advise the department about the quality of care provided by a

facility and recommend an appropriate corrective action plan

under Section 251.061 or other enforcement proceedings against

the facility.

(c) Information concerning quality of care provided to or

compiled by the department or medical review board and a

recommendation of the medical review board are confidential. The

information or recommendation may not be made available for

public inspection, is not subject to disclosure under Chapter

552, Government Code, and is not subject to discovery, subpoena,

or other compulsory legal process.

(d) The department, in its discretion, may release to a facility

information relating to that facility that is made confidential

under Subsection (c). Release of information to a facility under

this subsection does not waive the confidentiality of that

information or the privilege from compulsory legal process.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER C. DIALYSIS TECHNICIANS

Sec. 251.031. TRAINING REQUIRED. An individual may not act as a

dialysis technician employed by or working in an end stage renal

disease facility unless that individual is trained and competent

under this subchapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.032. MINIMUM REQUIREMENTS; TRAINING. The rules adopted

by the board under Section 251.003 shall establish:

(1) minimum standards for the curricula and instructors used to

train individuals to act as dialysis technicians;

(2) minimum standards for the determination of the competency of

individuals who have been trained as dialysis technicians;

(3) minimum requirements for documentation that an individual

has been trained and determined to be competent as a dialysis

technician and the acceptance of that documentation by another

end stage renal disease facility that may later employ the

individual; and

(4) the acts and practices that are allowed or prohibited for

dialysis technicians.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER D. INSPECTIONS

Sec. 251.051. INSPECTIONS. (a) The department may conduct an

inspection of an end stage renal disease facility to verify

compliance with this chapter, rules adopted under this chapter,

or a corrective action plan under Section 251.061.

(b) An inspection conducted under this section may be

unannounced.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.052. DISCLOSURE OF UNANNOUNCED INSPECTION; CRIMINAL

PENALTY. (a) A person commits an offense if the person

intentionally, knowingly, or recklessly discloses to an

unauthorized person the date or time of or any other fact about

an unannounced inspection of an end stage renal disease facility

before the inspection occurs.

(b) In this section, "unauthorized person" does not include:

(1) the department;

(2) the office of the attorney general; or

(3) any other person authorized by law to make an inspection or

to accompany an inspector.

(c) An offense under this section is a Class B misdemeanor.

(d) A person convicted under this section is not eligible for

state employment.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER E. ENFORCEMENT

Sec. 251.061. CORRECTIVE ACTION PLAN. (a) The department may

use a corrective action plan as an alternative to enforcement

action under this subchapter.

(b) Before taking enforcement action under this subchapter, the

department shall consider whether the use of a corrective action

plan under this section is appropriate. In determining whether to

use a corrective action plan, the department shall consider

whether:

(1) the end stage renal disease facility has violated this

chapter or a rule adopted under this chapter and the violation

has resulted in an adverse patient result;

(2) the facility has a previous history of lack of compliance

with this chapter, rules adopted under this chapter, or a

corrective action plan; or

(3) the facility fails to agree to a corrective action plan.

(c) The department may use a level one, level two, or level

three corrective action plan, as determined by the department in

accordance with this section, after inspection of the end stage

renal disease facility.

(d) A level one corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter, but the circumstances are not serious or

life-threatening. Under a level one corrective action plan, the

department shall require the facility to develop and implement a

corrective action plan approved by the department. The department

or a monitor may supervise the implementation of the plan.

(e) A level two corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are potentially serious or

life-threatening or if the department finds that the facility

failed to implement or comply with a level one corrective action

plan. Under a level two corrective action plan, the department

shall require the facility to develop and implement a corrective

action plan approved by the department. The department or a

monitor shall supervise the implementation of the plan.

Supervision of the implementation of the plan may include on-site

supervision, observation, and direction.

(f) A level three corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are serious or life-threatening or

if the department finds that the facility failed to comply with a

level two corrective action plan or to cooperate with the

department in connection with that plan. Under a level three

corrective action plan, the department shall require the facility

to develop and implement a corrective action plan approved by the

department. In connection with requiring a level three corrective

action plan, the department may seek the appointment of a

temporary manager under Subchapter F.

(g) A corrective action plan is not confidential. Information

contained in the plan may be excepted from required disclosure

under Chapter 552, Government Code, in accordance with that

chapter or other applicable law.

(h) The department shall select the monitor for a corrective

action plan. The monitor shall be an individual or team of

individuals and may include a professional with end stage renal

disease experience or a member of the medical review board. The

monitor may not be or include individuals who are current or

former employees of the facility that is the subject of the

corrective action plan or of an affiliated facility. The purpose

of the monitor is to observe, supervise, consult, and educate the

facility and the employees of the facility under a corrective

action plan. The facility shall pay the cost of the monitor.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.062. DENIAL, SUSPENSION, PROBATION, OR REVOCATION OF

LICENSE. (a) The department may deny, suspend, or revoke a

license issued under this chapter for a violation of this chapter

or a rule adopted under this chapter.

(b) The denial, suspension, or revocation of a license by the

department and the appeal from that action are governed by the

procedures for a contested case hearing under Chapter 2001,

Government Code.

(c) If the department finds that an end stage renal disease

facility is in repeated noncompliance with this chapter or rules

adopted under this chapter but that the noncompliance does not

endanger public health and safety, the department may schedule

the facility for probation rather than suspending or revoking the

facility's license. The department shall provide notice to the

facility of the probation and of the items of noncompliance not

later than the 10th day before the date the probation period

begins. The department shall designate a period of not less than

30 days during which the facility will remain under probation.

During the probation period, the facility must correct the items

that were in noncompliance and report the corrections to the

department for approval.

(d) The department may suspend or revoke the license of an end

stage renal disease facility that does not correct items that

were in noncompliance or that does not comply with this chapter

or the rules adopted under this chapter within the applicable

probation period.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996. Amended by Acts 2003, 78th Leg., ch. 802, Sec. 11, 12, eff.

June 20, 2003.

Sec. 251.0621. EMERGENCY SUSPENSION. The department may issue

an emergency order to suspend a license issued under this chapter

if the department has reasonable cause to believe that the

conduct of a license holder creates an immediate danger to the

public health and safety. An emergency suspension is effective

immediately without a hearing on notice to the license holder. On

written request of the license holder, the department shall

conduct a hearing not earlier than the 10th day or later than the

30th day after the date the hearing request is received to

determine if the emergency suspension is to be continued,

modified, or rescinded. The hearing and any appeal are governed

by the department's rules for a contested case hearing and

Chapter 2001, Government Code.

Added by Acts 2003, 78th Leg., ch. 802, Sec. 13, eff. June 20,

2003.

Sec. 251.063. INJUNCTION. (a) The department may petition a

district court for a temporary restraining order to restrain a

continuing violation of this chapter or a rule adopted under this

chapter if the department finds that the violation creates an

immediate threat to the health and safety of patients of an end

stage renal disease facility.

(b) A district court, on petition of the department and on a

finding that a person is violating this chapter or a rule adopted

under this chapter, may by injunction:

(1) prohibit a person from continuing the violation;

(2) restrain or prevent the operation of an end stage renal

disease facility without a license issued under this chapter; or

(3) grant other injunctive relief warranted by the facts.

(c) The attorney general may institute and conduct a suit

authorized by this section at the request of the department.

(d) Venue for a suit brought under this section is in the county

in which the end stage renal disease facility is located or in

Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.064. CRIMINAL PENALTY. (a) A person commits an

offense if the person violates Section 251.011 or 251.031.

(b) An offense under this section is a Class C misdemeanor.

(c) Each day of a continuing violation constitutes a separate

offense.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.065. CIVIL PENALTY. (a) A person who knowingly

violates this chapter or who knowingly fails to comply with a

rule adopted under this chapter is liable for a civil penalty of

not more than $1,000 for each violation if the department finds

that the violation threatens the health and safety of a patient

of an end stage renal disease facility.

(b) Each day of a continuing violation constitutes a separate

ground for recovery.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.066. ADMINISTRATIVE PENALTY. (a) The department may

assess an administrative penalty against a person who violates

this chapter or a rule adopted under this chapter.

(b) The penalty may not exceed $1,000 for each violation. Each

day of a continuing violation constitutes a separate violation.

(c) In determining the amount of an administrative penalty

assessed under this section, the department shall consider:

(1) the seriousness of the violation;

(2) the history of previous violations;

(3) the amount necessary to deter future violations;

(4) efforts made to correct the violation; and

(5) any other matters that justice may require.

(d) All proceedings for the assessment of an administrative

penalty under this chapter are subject to Chapter 2001,

Government Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.067. REPORT RECOMMENDING ADMINISTRATIVE PENALTY. (a)

If after investigation of a possible violation and the facts

surrounding that possible violation the department determines

that a violation has occurred, the department shall give written

notice of the violation to the person alleged to have committed

the violation. The notice shall include:

(1) a brief summary of the alleged violation;

(2) a statement of the amount of the proposed penalty, based on

the factors listed in Section 251.066(c); and

(3) a statement of the person's right to a hearing on the

occurrence of the violation, the amount of the penalty, or both

the occurrence of the violation and the amount of the penalty.

(b) Not later than the 20th day after the date the notice is

received, the person notified may accept the determination of the

department made under this section, including the recommended

penalty, or make a written request for a hearing on that

determination.

(c) If the person notified of the violation accepts the

determination of the department, the commissioner or the

commissioner's designee shall issue an order approving the

determination and ordering that the person pay the recommended

penalty.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.068. HEARING; ORDER. (a) If the person notified fails

to respond in a timely manner to the notice under Section

251.067(b) or if the person requests a hearing, the commissioner

or the commissioner's designee shall:

(1) set a hearing;

(2) give written notice of the hearing to the person; and

(3) designate a hearings examiner to conduct the hearing.

(b) The hearings examiner shall make findings of fact and

conclusions of law and shall promptly issue to the commissioner a

proposal for decision as to the occurrence of the violation and a

recommendation as to the amount of the proposed penalty if a

penalty is determined to be warranted.

(c) Based on the findings of fact and conclusions of law and the

recommendations of the hearings examiner, the commissioner by

order may find that a violation has occurred and may assess a

penalty, or may find that no violation has occurred.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.069. NOTICE AND PAYMENT OF ADMINISTRATIVE PENALTY;

JUDICIAL REVIEW; REFUND. (a) The commissioner or the

commissioner's designee shall give notice of the commissioner's

order under Section 251.068(c) to the person notified. The notice

must include:

(1) separate statements of the findings of fact and conclusions

of law;

(2) the amount of any penalty assessed; and

(3) a statement of the right of the person to judicial review of

the commissioner's order.

(b) Not later than the 30th day after the date the decision is

final as provided by Chapter 2001, Government Code, the person

shall:

(1) pay the penalty in full;

(2) pay the amount of the penalty and file a petition for

judicial review contesting the occurrence of the violation, the

amount of the penalty, or both the occurrence of the violation

and the amount of the penalty; or

(3) without paying the amount of the penalty, file a petition

for judicial review contesting the occurrence of the violation,

the amount of the penalty, or both the occurrence of the

violation and the amount of the penalty.

(c) Within the 30-day period, a person who acts under Subsection

(b)(3) may:

(1) stay enforcement of the penalty by:

(A) paying the amount of the penalty to the court for placement

in an escrow account; or

(B) giving to the court a supersedeas bond that is approved by

the court for the amount of the penalty and that is effective

until all judicial review of the board's order is final; or

(2) request the court to stay enforcement of the penalty by:

(A) filing with the court a sworn affidavit of the person

stating that the person is financially unable to pay the amount

of the penalty and is financially unable to give the supersedeas

bond; and

(B) giving a copy of the affidavit to the department by

certified mail.

(d) If the department receives a copy of an affidavit under

Subsection (c)(2), the department may file with the court, within

five days after the date the copy is received, a contest to the

affidavit. The court shall hold a hearing on the facts alleged in

the affidavit as soon as practicable and shall stay the

enforcement of the penalty on finding that the alleged facts are

true. The person who files an affidavit has the burden of proving

that the person is financially unable to pay the amount of the

penalty and to give a supersedeas bond.

(e) If the person does not pay the amount of the penalty and the

enforcement of the penalty is not stayed, the department may

refer the matter to the attorney general for collection of the

amount of the penalty.

(f) Judicial review of the order of the board:

(1) is instituted by filing a petition as provided by Subchapter

G, Chapter 2001, Government Code; and

(2) is under the substantial evidence rule.

(g) If the court sustains the occurrence of the violation, the

court may uphold or reduce the amount of the penalty and order

the person to pay the full or reduced amount of the penalty. If

the court does not sustain the occurrence of the violation, the

court shall order that no penalty is owed.

(h) When the judgment of the court becomes final, the court

shall proceed under this subsection. If the person paid the

amount of the penalty and if that amount is reduced or is not

upheld by the court, the court shall order that the appropriate

amount plus accrued interest be remitted to the person. The rate

of the interest is the rate charged on loans to depository

institutions by the New York Federal Reserve Bank, and the

interest shall be paid for the period beginning on the date the

penalty was paid and ending on the date the penalty is remitted.

If the person gave a supersedeas bond and if the amount of the

penalty is not upheld by the court, the court shall order the

release of the bond. If the person gave a supersedeas bond and if

the amount of the penalty is reduced, the court shall order the

release of the bond after the person pays the amount.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.070. PENALTY DEPOSITED TO STATE TREASURY. A civil or

administrative penalty collected under this chapter shall be

deposited in the state treasury to the credit of the general

revenue fund.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.071. RECOVERY OF COSTS. (a) The department may assess

reasonable expenses and costs against a person in an

administrative hearing if, as a result of the hearing, the

person's license is denied, suspended, or revoked or if

administrative penalties are assessed against the person. The

person shall pay expenses and costs assessed under this

subsection not later than the 30th day after the date of a board

order requiring the payment of expenses and costs is final. The

department may refer the matter to the attorney general for

collection of the expenses and costs.

(b) If the attorney general brings an action against a person

under Section 251.063 or 251.065 or to enforce an administrative

penalty assessed under Section 251.066, and an injunction is

granted against the person or the person is found liable for a

civil or administrative penalty, the attorney general may

recover, on behalf of the attorney general and the department,

reasonable expenses and costs.

(c) For purposes of this section, "reasonable expenses and

costs" include expenses incurred by the department and the

attorney general in the investigation, initiation, or prosecution

of an action, including reasonable investigative costs, court

costs, attorney's fees, witness fees, and deposition expenses.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

SUBCHAPTER F. TEMPORARY MANAGER

Sec. 251.091. APPOINTMENT BY AGREEMENT. (a) A person holding a

controlling interest in an end stage renal disease facility may,

at any time, request the department to assume the management of

the facility through the appointment of a temporary manager under

this subchapter.

(b) After receiving the request, the department may enter into

an agreement providing for the appointment of a temporary manager

to manage the facility under conditions considered appropriate by

both parties if the department considers the appointment

desirable.

(c) An agreement under this section must:

(1) specify all terms and conditions of the temporary manager's

appointment and authority; and

(2) preserve all rights of the individuals served by the

facility granted by law.

(d) The primary duty of the temporary manager is to ensure that

adequate and safe services are provided to patients until

temporary management ceases.

(e) The appointment terminates at the time specified by the

agreement.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.092. INVOLUNTARY APPOINTMENT. (a) The department may

request the attorney general to bring an action in the name and

on behalf of the state for the appointment of a temporary manager

to manage an end stage renal disease facility if:

(1) the facility is operating without a license;

(2) the department has denied, suspended, or revoked the

facility's license but the facility continues to operate;

(3) license denial, suspension, or revocation proceedings

against the facility are pending and the department determines

that an imminent or reasonably foreseeable threat to the health

and safety of a patient of the facility exists;

(4) the department determines that an emergency exists that

presents an immediate threat to the health and safety of a

patient of the facility;

(5) the facility is closing and arrangements for the care of

patients by other licensed facilities have not been made before

closure; or

(6) the department determines a level three corrective action

plan under Section 251.061 that includes appointment of a

temporary manager is necessary to address serious or

life-threatening conditions at the facility.

(b) After a hearing, a court shall appoint a temporary manager

to manage a facility if the court finds that the appointment of

the manager is necessary.

(c) The court order shall address the duties and authority of

the temporary manager, which may include management of the

facility and the provision of dialysis services to facility

patients until specified circumstances occur, such as new

ownership of the facility, compliance with this chapter and rules

adopted under this chapter, or closure of the facility.

(d) If possible, the court shall appoint as temporary manager an

individual whose background includes administration of end stage

renal disease facilities or similar facilities.

(e) Venue for an action under this section is in Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.093. FEE; RELEASE OF FUNDS. (a) A temporary manager

appointed under Section 251.092 is entitled to a reasonable fee

as determined by the court. The fee shall be paid by the

facility.

(b) The temporary manager may petition the court to order the

release to the manager of any payment owed the manager for care

and services provided to patients of the facility if the payment

has been withheld.

(c) Withheld payments that may be released under Subsection (b)

may include payments withheld by a governmental agency or other

entity before or during the appointment of the temporary manager,

including:

(1) Medicaid, Medicare, or insurance payments; or

(2) payments from another third party.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-4-health-facilities > Chapter-251-end-stage-renal-disease-facilities

HEALTH AND SAFETY CODE

TITLE 4. HEALTH FACILITIES

SUBTITLE B. LICENSING OF HEALTH FACILITIES

CHAPTER 251. END STAGE RENAL DISEASE FACILITIES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 251.001. DEFINITIONS. In this chapter:

(1) "Board" means the Texas Board of Health.

(2) "Commissioner" means the commissioner of public health.

(3) "Department" means the Texas Department of Health.

(4) "Dialysis" means a process by which dissolved substances are

removed from a patient's body by diffusion from one fluid

compartment to another across a semipermeable membrane.

(5) "Dialysis technician" means an individual who is not a

registered nurse or physician and who provides dialysis care

under the supervision of a registered nurse or physician.

(6) "End stage renal disease" means that stage of renal

impairment that appears irreversible and permanent and that

requires a regular course of dialysis or kidney transplantation

to maintain life.

(7) "End stage renal disease facility" means a facility that

provides dialysis treatment or dialysis training to individuals

with end stage renal disease.

(8) "Medical review board" means a medical review board that:

(A) is appointed by a renal disease network organization which

includes this state; and

(B) has a contract with the Health Care Financing Administration

of the United States Department of Health and Human Services

under Section 1881, Title XVIII, Social Security Act (42 U.S.C.

Section 1395rr).

(9) "Physician" means an individual who is licensed to practice

medicine under Subtitle B, Title 3, Occupations Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 14.790,

eff. Sept. 1, 2001.

Sec. 251.002. FEES. (a) The board shall set fees imposed by

this chapter in amounts reasonable and necessary to defray the

cost of administering this chapter.

(b) In setting fees under this section, the board shall consider

setting a range of license and renewal fees based on the number

of dialysis stations at each end stage renal disease facility and

the patient census.

(c) An end stage renal disease facility owned or operated by a

state agency is not required to pay fees imposed under this

chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.003. ADOPTION OF RULES. The board shall adopt rules to

implement this chapter, including requirements for the issuance,

renewal, denial, suspension, and revocation of a license to

operate an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER B. LICENSING OF END STAGE RENAL DISEASE FACILITIES

Sec. 251.011. LICENSE REQUIRED. Except as provided by Section

251.012, a person may not operate an end stage renal disease

facility without a license issued under this chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.012. EXEMPTIONS FROM LICENSING REQUIREMENT. The

following facilities are not required to be licensed under this

chapter:

(1) a home and community support services agency licensed under

Chapter 142 with a home dialysis designation;

(2) a hospital licensed under Chapter 241 that provides dialysis

only to:

(A) individuals receiving inpatient services from the hospital;

or

(B) individuals receiving outpatient services due to a disaster

declared by the governor or a federal disaster declared by the

president of the United States occurring in this state or another

state during the term of the disaster declaration; or

(3) the office of a physician unless the office is used

primarily as an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1280, Sec. 3.02, eff. September 1, 2009.

Sec. 251.013. ISSUANCE AND RENEWAL OF LICENSE. (a) An

applicant for a license under this chapter must submit an

application to the department on a form prescribed by the board.

(b) Each application must be accompanied by a nonrefundable

license fee.

(c) Each application must contain evidence that there is at

least one qualified physician on the staff of the facility and

that each dialysis technician on staff has completed the training

program required by this chapter.

(d) The department may grant a temporary initial license to an

applicant. The temporary initial license expires on the earlier

of:

(1) the date the department issues or denies the license; or

(2) the date six months after the date the temporary initial

license was issued.

(e) The department shall issue a license if, after inspection

and investigation, it finds the applicant meets the requirements

of this chapter and the standards adopted under this chapter.

(f) The license is renewable annually after submission of:

(1) the renewal application and fee; and

(2) an annual report on a form prescribed by the board.

(g) The annual report required under Subsection (f) must include

information related to the quality of care at the end stage renal

disease facility. The report must be in the form and documented

by evidence as required by board rule.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.014. MINIMUM STANDARDS. (a) The rules adopted under

Section 251.003 must contain minimum standards to protect the

health and safety of a patient of an end stage renal disease

facility, including standards for:

(1) the qualifications and supervision of the professional

staff, including physicians, and other personnel;

(2) the equipment used by the facility is compatible with the

health and safety of the patients;

(3) the sanitary and hygienic conditions in the facility;

(4) quality assurance for patient care;

(5) the provision and coordination of treatment and services by

the facility;

(6) clinical records maintained by the facility;

(7) design and space requirements for the facility for safe

access by patients and personnel and for ensuring patient

privacy;

(8) indicators of the quality of care provided by the facility;

and

(9) water treatment and reuse by the facility.

(b) The standards described in Subsection (a)(7) of this section

shall apply only:

(1) to a facility which initiates the provision of end stage

renal disease services on or after September 1, 1996; or

(2) to the area of a facility affected by design and space

modifications or renovations completed after September 1, 1996.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.015. MEDICAL REVIEW BOARD. (a) A medical review board

shall advise the board on minimum standards and rules to be

adopted under this chapter.

(b) The medical review board shall review the information on

quality of care provided in the annual report filed under Section

251.013(f) and other appropriate information provided to or

compiled by the department with respect to an end stage renal

disease facility. Based on the review, the medical review board

may advise the department about the quality of care provided by a

facility and recommend an appropriate corrective action plan

under Section 251.061 or other enforcement proceedings against

the facility.

(c) Information concerning quality of care provided to or

compiled by the department or medical review board and a

recommendation of the medical review board are confidential. The

information or recommendation may not be made available for

public inspection, is not subject to disclosure under Chapter

552, Government Code, and is not subject to discovery, subpoena,

or other compulsory legal process.

(d) The department, in its discretion, may release to a facility

information relating to that facility that is made confidential

under Subsection (c). Release of information to a facility under

this subsection does not waive the confidentiality of that

information or the privilege from compulsory legal process.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER C. DIALYSIS TECHNICIANS

Sec. 251.031. TRAINING REQUIRED. An individual may not act as a

dialysis technician employed by or working in an end stage renal

disease facility unless that individual is trained and competent

under this subchapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.032. MINIMUM REQUIREMENTS; TRAINING. The rules adopted

by the board under Section 251.003 shall establish:

(1) minimum standards for the curricula and instructors used to

train individuals to act as dialysis technicians;

(2) minimum standards for the determination of the competency of

individuals who have been trained as dialysis technicians;

(3) minimum requirements for documentation that an individual

has been trained and determined to be competent as a dialysis

technician and the acceptance of that documentation by another

end stage renal disease facility that may later employ the

individual; and

(4) the acts and practices that are allowed or prohibited for

dialysis technicians.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER D. INSPECTIONS

Sec. 251.051. INSPECTIONS. (a) The department may conduct an

inspection of an end stage renal disease facility to verify

compliance with this chapter, rules adopted under this chapter,

or a corrective action plan under Section 251.061.

(b) An inspection conducted under this section may be

unannounced.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.052. DISCLOSURE OF UNANNOUNCED INSPECTION; CRIMINAL

PENALTY. (a) A person commits an offense if the person

intentionally, knowingly, or recklessly discloses to an

unauthorized person the date or time of or any other fact about

an unannounced inspection of an end stage renal disease facility

before the inspection occurs.

(b) In this section, "unauthorized person" does not include:

(1) the department;

(2) the office of the attorney general; or

(3) any other person authorized by law to make an inspection or

to accompany an inspector.

(c) An offense under this section is a Class B misdemeanor.

(d) A person convicted under this section is not eligible for

state employment.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER E. ENFORCEMENT

Sec. 251.061. CORRECTIVE ACTION PLAN. (a) The department may

use a corrective action plan as an alternative to enforcement

action under this subchapter.

(b) Before taking enforcement action under this subchapter, the

department shall consider whether the use of a corrective action

plan under this section is appropriate. In determining whether to

use a corrective action plan, the department shall consider

whether:

(1) the end stage renal disease facility has violated this

chapter or a rule adopted under this chapter and the violation

has resulted in an adverse patient result;

(2) the facility has a previous history of lack of compliance

with this chapter, rules adopted under this chapter, or a

corrective action plan; or

(3) the facility fails to agree to a corrective action plan.

(c) The department may use a level one, level two, or level

three corrective action plan, as determined by the department in

accordance with this section, after inspection of the end stage

renal disease facility.

(d) A level one corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter, but the circumstances are not serious or

life-threatening. Under a level one corrective action plan, the

department shall require the facility to develop and implement a

corrective action plan approved by the department. The department

or a monitor may supervise the implementation of the plan.

(e) A level two corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are potentially serious or

life-threatening or if the department finds that the facility

failed to implement or comply with a level one corrective action

plan. Under a level two corrective action plan, the department

shall require the facility to develop and implement a corrective

action plan approved by the department. The department or a

monitor shall supervise the implementation of the plan.

Supervision of the implementation of the plan may include on-site

supervision, observation, and direction.

(f) A level three corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are serious or life-threatening or

if the department finds that the facility failed to comply with a

level two corrective action plan or to cooperate with the

department in connection with that plan. Under a level three

corrective action plan, the department shall require the facility

to develop and implement a corrective action plan approved by the

department. In connection with requiring a level three corrective

action plan, the department may seek the appointment of a

temporary manager under Subchapter F.

(g) A corrective action plan is not confidential. Information

contained in the plan may be excepted from required disclosure

under Chapter 552, Government Code, in accordance with that

chapter or other applicable law.

(h) The department shall select the monitor for a corrective

action plan. The monitor shall be an individual or team of

individuals and may include a professional with end stage renal

disease experience or a member of the medical review board. The

monitor may not be or include individuals who are current or

former employees of the facility that is the subject of the

corrective action plan or of an affiliated facility. The purpose

of the monitor is to observe, supervise, consult, and educate the

facility and the employees of the facility under a corrective

action plan. The facility shall pay the cost of the monitor.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.062. DENIAL, SUSPENSION, PROBATION, OR REVOCATION OF

LICENSE. (a) The department may deny, suspend, or revoke a

license issued under this chapter for a violation of this chapter

or a rule adopted under this chapter.

(b) The denial, suspension, or revocation of a license by the

department and the appeal from that action are governed by the

procedures for a contested case hearing under Chapter 2001,

Government Code.

(c) If the department finds that an end stage renal disease

facility is in repeated noncompliance with this chapter or rules

adopted under this chapter but that the noncompliance does not

endanger public health and safety, the department may schedule

the facility for probation rather than suspending or revoking the

facility's license. The department shall provide notice to the

facility of the probation and of the items of noncompliance not

later than the 10th day before the date the probation period

begins. The department shall designate a period of not less than

30 days during which the facility will remain under probation.

During the probation period, the facility must correct the items

that were in noncompliance and report the corrections to the

department for approval.

(d) The department may suspend or revoke the license of an end

stage renal disease facility that does not correct items that

were in noncompliance or that does not comply with this chapter

or the rules adopted under this chapter within the applicable

probation period.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996. Amended by Acts 2003, 78th Leg., ch. 802, Sec. 11, 12, eff.

June 20, 2003.

Sec. 251.0621. EMERGENCY SUSPENSION. The department may issue

an emergency order to suspend a license issued under this chapter

if the department has reasonable cause to believe that the

conduct of a license holder creates an immediate danger to the

public health and safety. An emergency suspension is effective

immediately without a hearing on notice to the license holder. On

written request of the license holder, the department shall

conduct a hearing not earlier than the 10th day or later than the

30th day after the date the hearing request is received to

determine if the emergency suspension is to be continued,

modified, or rescinded. The hearing and any appeal are governed

by the department's rules for a contested case hearing and

Chapter 2001, Government Code.

Added by Acts 2003, 78th Leg., ch. 802, Sec. 13, eff. June 20,

2003.

Sec. 251.063. INJUNCTION. (a) The department may petition a

district court for a temporary restraining order to restrain a

continuing violation of this chapter or a rule adopted under this

chapter if the department finds that the violation creates an

immediate threat to the health and safety of patients of an end

stage renal disease facility.

(b) A district court, on petition of the department and on a

finding that a person is violating this chapter or a rule adopted

under this chapter, may by injunction:

(1) prohibit a person from continuing the violation;

(2) restrain or prevent the operation of an end stage renal

disease facility without a license issued under this chapter; or

(3) grant other injunctive relief warranted by the facts.

(c) The attorney general may institute and conduct a suit

authorized by this section at the request of the department.

(d) Venue for a suit brought under this section is in the county

in which the end stage renal disease facility is located or in

Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.064. CRIMINAL PENALTY. (a) A person commits an

offense if the person violates Section 251.011 or 251.031.

(b) An offense under this section is a Class C misdemeanor.

(c) Each day of a continuing violation constitutes a separate

offense.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.065. CIVIL PENALTY. (a) A person who knowingly

violates this chapter or who knowingly fails to comply with a

rule adopted under this chapter is liable for a civil penalty of

not more than $1,000 for each violation if the department finds

that the violation threatens the health and safety of a patient

of an end stage renal disease facility.

(b) Each day of a continuing violation constitutes a separate

ground for recovery.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.066. ADMINISTRATIVE PENALTY. (a) The department may

assess an administrative penalty against a person who violates

this chapter or a rule adopted under this chapter.

(b) The penalty may not exceed $1,000 for each violation. Each

day of a continuing violation constitutes a separate violation.

(c) In determining the amount of an administrative penalty

assessed under this section, the department shall consider:

(1) the seriousness of the violation;

(2) the history of previous violations;

(3) the amount necessary to deter future violations;

(4) efforts made to correct the violation; and

(5) any other matters that justice may require.

(d) All proceedings for the assessment of an administrative

penalty under this chapter are subject to Chapter 2001,

Government Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.067. REPORT RECOMMENDING ADMINISTRATIVE PENALTY. (a)

If after investigation of a possible violation and the facts

surrounding that possible violation the department determines

that a violation has occurred, the department shall give written

notice of the violation to the person alleged to have committed

the violation. The notice shall include:

(1) a brief summary of the alleged violation;

(2) a statement of the amount of the proposed penalty, based on

the factors listed in Section 251.066(c); and

(3) a statement of the person's right to a hearing on the

occurrence of the violation, the amount of the penalty, or both

the occurrence of the violation and the amount of the penalty.

(b) Not later than the 20th day after the date the notice is

received, the person notified may accept the determination of the

department made under this section, including the recommended

penalty, or make a written request for a hearing on that

determination.

(c) If the person notified of the violation accepts the

determination of the department, the commissioner or the

commissioner's designee shall issue an order approving the

determination and ordering that the person pay the recommended

penalty.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.068. HEARING; ORDER. (a) If the person notified fails

to respond in a timely manner to the notice under Section

251.067(b) or if the person requests a hearing, the commissioner

or the commissioner's designee shall:

(1) set a hearing;

(2) give written notice of the hearing to the person; and

(3) designate a hearings examiner to conduct the hearing.

(b) The hearings examiner shall make findings of fact and

conclusions of law and shall promptly issue to the commissioner a

proposal for decision as to the occurrence of the violation and a

recommendation as to the amount of the proposed penalty if a

penalty is determined to be warranted.

(c) Based on the findings of fact and conclusions of law and the

recommendations of the hearings examiner, the commissioner by

order may find that a violation has occurred and may assess a

penalty, or may find that no violation has occurred.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.069. NOTICE AND PAYMENT OF ADMINISTRATIVE PENALTY;

JUDICIAL REVIEW; REFUND. (a) The commissioner or the

commissioner's designee shall give notice of the commissioner's

order under Section 251.068(c) to the person notified. The notice

must include:

(1) separate statements of the findings of fact and conclusions

of law;

(2) the amount of any penalty assessed; and

(3) a statement of the right of the person to judicial review of

the commissioner's order.

(b) Not later than the 30th day after the date the decision is

final as provided by Chapter 2001, Government Code, the person

shall:

(1) pay the penalty in full;

(2) pay the amount of the penalty and file a petition for

judicial review contesting the occurrence of the violation, the

amount of the penalty, or both the occurrence of the violation

and the amount of the penalty; or

(3) without paying the amount of the penalty, file a petition

for judicial review contesting the occurrence of the violation,

the amount of the penalty, or both the occurrence of the

violation and the amount of the penalty.

(c) Within the 30-day period, a person who acts under Subsection

(b)(3) may:

(1) stay enforcement of the penalty by:

(A) paying the amount of the penalty to the court for placement

in an escrow account; or

(B) giving to the court a supersedeas bond that is approved by

the court for the amount of the penalty and that is effective

until all judicial review of the board's order is final; or

(2) request the court to stay enforcement of the penalty by:

(A) filing with the court a sworn affidavit of the person

stating that the person is financially unable to pay the amount

of the penalty and is financially unable to give the supersedeas

bond; and

(B) giving a copy of the affidavit to the department by

certified mail.

(d) If the department receives a copy of an affidavit under

Subsection (c)(2), the department may file with the court, within

five days after the date the copy is received, a contest to the

affidavit. The court shall hold a hearing on the facts alleged in

the affidavit as soon as practicable and shall stay the

enforcement of the penalty on finding that the alleged facts are

true. The person who files an affidavit has the burden of proving

that the person is financially unable to pay the amount of the

penalty and to give a supersedeas bond.

(e) If the person does not pay the amount of the penalty and the

enforcement of the penalty is not stayed, the department may

refer the matter to the attorney general for collection of the

amount of the penalty.

(f) Judicial review of the order of the board:

(1) is instituted by filing a petition as provided by Subchapter

G, Chapter 2001, Government Code; and

(2) is under the substantial evidence rule.

(g) If the court sustains the occurrence of the violation, the

court may uphold or reduce the amount of the penalty and order

the person to pay the full or reduced amount of the penalty. If

the court does not sustain the occurrence of the violation, the

court shall order that no penalty is owed.

(h) When the judgment of the court becomes final, the court

shall proceed under this subsection. If the person paid the

amount of the penalty and if that amount is reduced or is not

upheld by the court, the court shall order that the appropriate

amount plus accrued interest be remitted to the person. The rate

of the interest is the rate charged on loans to depository

institutions by the New York Federal Reserve Bank, and the

interest shall be paid for the period beginning on the date the

penalty was paid and ending on the date the penalty is remitted.

If the person gave a supersedeas bond and if the amount of the

penalty is not upheld by the court, the court shall order the

release of the bond. If the person gave a supersedeas bond and if

the amount of the penalty is reduced, the court shall order the

release of the bond after the person pays the amount.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.070. PENALTY DEPOSITED TO STATE TREASURY. A civil or

administrative penalty collected under this chapter shall be

deposited in the state treasury to the credit of the general

revenue fund.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.071. RECOVERY OF COSTS. (a) The department may assess

reasonable expenses and costs against a person in an

administrative hearing if, as a result of the hearing, the

person's license is denied, suspended, or revoked or if

administrative penalties are assessed against the person. The

person shall pay expenses and costs assessed under this

subsection not later than the 30th day after the date of a board

order requiring the payment of expenses and costs is final. The

department may refer the matter to the attorney general for

collection of the expenses and costs.

(b) If the attorney general brings an action against a person

under Section 251.063 or 251.065 or to enforce an administrative

penalty assessed under Section 251.066, and an injunction is

granted against the person or the person is found liable for a

civil or administrative penalty, the attorney general may

recover, on behalf of the attorney general and the department,

reasonable expenses and costs.

(c) For purposes of this section, "reasonable expenses and

costs" include expenses incurred by the department and the

attorney general in the investigation, initiation, or prosecution

of an action, including reasonable investigative costs, court

costs, attorney's fees, witness fees, and deposition expenses.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

SUBCHAPTER F. TEMPORARY MANAGER

Sec. 251.091. APPOINTMENT BY AGREEMENT. (a) A person holding a

controlling interest in an end stage renal disease facility may,

at any time, request the department to assume the management of

the facility through the appointment of a temporary manager under

this subchapter.

(b) After receiving the request, the department may enter into

an agreement providing for the appointment of a temporary manager

to manage the facility under conditions considered appropriate by

both parties if the department considers the appointment

desirable.

(c) An agreement under this section must:

(1) specify all terms and conditions of the temporary manager's

appointment and authority; and

(2) preserve all rights of the individuals served by the

facility granted by law.

(d) The primary duty of the temporary manager is to ensure that

adequate and safe services are provided to patients until

temporary management ceases.

(e) The appointment terminates at the time specified by the

agreement.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.092. INVOLUNTARY APPOINTMENT. (a) The department may

request the attorney general to bring an action in the name and

on behalf of the state for the appointment of a temporary manager

to manage an end stage renal disease facility if:

(1) the facility is operating without a license;

(2) the department has denied, suspended, or revoked the

facility's license but the facility continues to operate;

(3) license denial, suspension, or revocation proceedings

against the facility are pending and the department determines

that an imminent or reasonably foreseeable threat to the health

and safety of a patient of the facility exists;

(4) the department determines that an emergency exists that

presents an immediate threat to the health and safety of a

patient of the facility;

(5) the facility is closing and arrangements for the care of

patients by other licensed facilities have not been made before

closure; or

(6) the department determines a level three corrective action

plan under Section 251.061 that includes appointment of a

temporary manager is necessary to address serious or

life-threatening conditions at the facility.

(b) After a hearing, a court shall appoint a temporary manager

to manage a facility if the court finds that the appointment of

the manager is necessary.

(c) The court order shall address the duties and authority of

the temporary manager, which may include management of the

facility and the provision of dialysis services to facility

patients until specified circumstances occur, such as new

ownership of the facility, compliance with this chapter and rules

adopted under this chapter, or closure of the facility.

(d) If possible, the court shall appoint as temporary manager an

individual whose background includes administration of end stage

renal disease facilities or similar facilities.

(e) Venue for an action under this section is in Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.093. FEE; RELEASE OF FUNDS. (a) A temporary manager

appointed under Section 251.092 is entitled to a reasonable fee

as determined by the court. The fee shall be paid by the

facility.

(b) The temporary manager may petition the court to order the

release to the manager of any payment owed the manager for care

and services provided to patients of the facility if the payment

has been withheld.

(c) Withheld payments that may be released under Subsection (b)

may include payments withheld by a governmental agency or other

entity before or during the appointment of the temporary manager,

including:

(1) Medicaid, Medicare, or insurance payments; or

(2) payments from another third party.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-4-health-facilities > Chapter-251-end-stage-renal-disease-facilities

HEALTH AND SAFETY CODE

TITLE 4. HEALTH FACILITIES

SUBTITLE B. LICENSING OF HEALTH FACILITIES

CHAPTER 251. END STAGE RENAL DISEASE FACILITIES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 251.001. DEFINITIONS. In this chapter:

(1) "Board" means the Texas Board of Health.

(2) "Commissioner" means the commissioner of public health.

(3) "Department" means the Texas Department of Health.

(4) "Dialysis" means a process by which dissolved substances are

removed from a patient's body by diffusion from one fluid

compartment to another across a semipermeable membrane.

(5) "Dialysis technician" means an individual who is not a

registered nurse or physician and who provides dialysis care

under the supervision of a registered nurse or physician.

(6) "End stage renal disease" means that stage of renal

impairment that appears irreversible and permanent and that

requires a regular course of dialysis or kidney transplantation

to maintain life.

(7) "End stage renal disease facility" means a facility that

provides dialysis treatment or dialysis training to individuals

with end stage renal disease.

(8) "Medical review board" means a medical review board that:

(A) is appointed by a renal disease network organization which

includes this state; and

(B) has a contract with the Health Care Financing Administration

of the United States Department of Health and Human Services

under Section 1881, Title XVIII, Social Security Act (42 U.S.C.

Section 1395rr).

(9) "Physician" means an individual who is licensed to practice

medicine under Subtitle B, Title 3, Occupations Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 14.790,

eff. Sept. 1, 2001.

Sec. 251.002. FEES. (a) The board shall set fees imposed by

this chapter in amounts reasonable and necessary to defray the

cost of administering this chapter.

(b) In setting fees under this section, the board shall consider

setting a range of license and renewal fees based on the number

of dialysis stations at each end stage renal disease facility and

the patient census.

(c) An end stage renal disease facility owned or operated by a

state agency is not required to pay fees imposed under this

chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.003. ADOPTION OF RULES. The board shall adopt rules to

implement this chapter, including requirements for the issuance,

renewal, denial, suspension, and revocation of a license to

operate an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER B. LICENSING OF END STAGE RENAL DISEASE FACILITIES

Sec. 251.011. LICENSE REQUIRED. Except as provided by Section

251.012, a person may not operate an end stage renal disease

facility without a license issued under this chapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.012. EXEMPTIONS FROM LICENSING REQUIREMENT. The

following facilities are not required to be licensed under this

chapter:

(1) a home and community support services agency licensed under

Chapter 142 with a home dialysis designation;

(2) a hospital licensed under Chapter 241 that provides dialysis

only to:

(A) individuals receiving inpatient services from the hospital;

or

(B) individuals receiving outpatient services due to a disaster

declared by the governor or a federal disaster declared by the

president of the United States occurring in this state or another

state during the term of the disaster declaration; or

(3) the office of a physician unless the office is used

primarily as an end stage renal disease facility.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1280, Sec. 3.02, eff. September 1, 2009.

Sec. 251.013. ISSUANCE AND RENEWAL OF LICENSE. (a) An

applicant for a license under this chapter must submit an

application to the department on a form prescribed by the board.

(b) Each application must be accompanied by a nonrefundable

license fee.

(c) Each application must contain evidence that there is at

least one qualified physician on the staff of the facility and

that each dialysis technician on staff has completed the training

program required by this chapter.

(d) The department may grant a temporary initial license to an

applicant. The temporary initial license expires on the earlier

of:

(1) the date the department issues or denies the license; or

(2) the date six months after the date the temporary initial

license was issued.

(e) The department shall issue a license if, after inspection

and investigation, it finds the applicant meets the requirements

of this chapter and the standards adopted under this chapter.

(f) The license is renewable annually after submission of:

(1) the renewal application and fee; and

(2) an annual report on a form prescribed by the board.

(g) The annual report required under Subsection (f) must include

information related to the quality of care at the end stage renal

disease facility. The report must be in the form and documented

by evidence as required by board rule.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.014. MINIMUM STANDARDS. (a) The rules adopted under

Section 251.003 must contain minimum standards to protect the

health and safety of a patient of an end stage renal disease

facility, including standards for:

(1) the qualifications and supervision of the professional

staff, including physicians, and other personnel;

(2) the equipment used by the facility is compatible with the

health and safety of the patients;

(3) the sanitary and hygienic conditions in the facility;

(4) quality assurance for patient care;

(5) the provision and coordination of treatment and services by

the facility;

(6) clinical records maintained by the facility;

(7) design and space requirements for the facility for safe

access by patients and personnel and for ensuring patient

privacy;

(8) indicators of the quality of care provided by the facility;

and

(9) water treatment and reuse by the facility.

(b) The standards described in Subsection (a)(7) of this section

shall apply only:

(1) to a facility which initiates the provision of end stage

renal disease services on or after September 1, 1996; or

(2) to the area of a facility affected by design and space

modifications or renovations completed after September 1, 1996.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.015. MEDICAL REVIEW BOARD. (a) A medical review board

shall advise the board on minimum standards and rules to be

adopted under this chapter.

(b) The medical review board shall review the information on

quality of care provided in the annual report filed under Section

251.013(f) and other appropriate information provided to or

compiled by the department with respect to an end stage renal

disease facility. Based on the review, the medical review board

may advise the department about the quality of care provided by a

facility and recommend an appropriate corrective action plan

under Section 251.061 or other enforcement proceedings against

the facility.

(c) Information concerning quality of care provided to or

compiled by the department or medical review board and a

recommendation of the medical review board are confidential. The

information or recommendation may not be made available for

public inspection, is not subject to disclosure under Chapter

552, Government Code, and is not subject to discovery, subpoena,

or other compulsory legal process.

(d) The department, in its discretion, may release to a facility

information relating to that facility that is made confidential

under Subsection (c). Release of information to a facility under

this subsection does not waive the confidentiality of that

information or the privilege from compulsory legal process.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER C. DIALYSIS TECHNICIANS

Sec. 251.031. TRAINING REQUIRED. An individual may not act as a

dialysis technician employed by or working in an end stage renal

disease facility unless that individual is trained and competent

under this subchapter.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.032. MINIMUM REQUIREMENTS; TRAINING. The rules adopted

by the board under Section 251.003 shall establish:

(1) minimum standards for the curricula and instructors used to

train individuals to act as dialysis technicians;

(2) minimum standards for the determination of the competency of

individuals who have been trained as dialysis technicians;

(3) minimum requirements for documentation that an individual

has been trained and determined to be competent as a dialysis

technician and the acceptance of that documentation by another

end stage renal disease facility that may later employ the

individual; and

(4) the acts and practices that are allowed or prohibited for

dialysis technicians.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER D. INSPECTIONS

Sec. 251.051. INSPECTIONS. (a) The department may conduct an

inspection of an end stage renal disease facility to verify

compliance with this chapter, rules adopted under this chapter,

or a corrective action plan under Section 251.061.

(b) An inspection conducted under this section may be

unannounced.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.052. DISCLOSURE OF UNANNOUNCED INSPECTION; CRIMINAL

PENALTY. (a) A person commits an offense if the person

intentionally, knowingly, or recklessly discloses to an

unauthorized person the date or time of or any other fact about

an unannounced inspection of an end stage renal disease facility

before the inspection occurs.

(b) In this section, "unauthorized person" does not include:

(1) the department;

(2) the office of the attorney general; or

(3) any other person authorized by law to make an inspection or

to accompany an inspector.

(c) An offense under this section is a Class B misdemeanor.

(d) A person convicted under this section is not eligible for

state employment.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER E. ENFORCEMENT

Sec. 251.061. CORRECTIVE ACTION PLAN. (a) The department may

use a corrective action plan as an alternative to enforcement

action under this subchapter.

(b) Before taking enforcement action under this subchapter, the

department shall consider whether the use of a corrective action

plan under this section is appropriate. In determining whether to

use a corrective action plan, the department shall consider

whether:

(1) the end stage renal disease facility has violated this

chapter or a rule adopted under this chapter and the violation

has resulted in an adverse patient result;

(2) the facility has a previous history of lack of compliance

with this chapter, rules adopted under this chapter, or a

corrective action plan; or

(3) the facility fails to agree to a corrective action plan.

(c) The department may use a level one, level two, or level

three corrective action plan, as determined by the department in

accordance with this section, after inspection of the end stage

renal disease facility.

(d) A level one corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter, but the circumstances are not serious or

life-threatening. Under a level one corrective action plan, the

department shall require the facility to develop and implement a

corrective action plan approved by the department. The department

or a monitor may supervise the implementation of the plan.

(e) A level two corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are potentially serious or

life-threatening or if the department finds that the facility

failed to implement or comply with a level one corrective action

plan. Under a level two corrective action plan, the department

shall require the facility to develop and implement a corrective

action plan approved by the department. The department or a

monitor shall supervise the implementation of the plan.

Supervision of the implementation of the plan may include on-site

supervision, observation, and direction.

(f) A level three corrective action plan is appropriate if the

department finds that the end stage renal disease facility is not

in compliance with this chapter or rules adopted under this

chapter and the circumstances are serious or life-threatening or

if the department finds that the facility failed to comply with a

level two corrective action plan or to cooperate with the

department in connection with that plan. Under a level three

corrective action plan, the department shall require the facility

to develop and implement a corrective action plan approved by the

department. In connection with requiring a level three corrective

action plan, the department may seek the appointment of a

temporary manager under Subchapter F.

(g) A corrective action plan is not confidential. Information

contained in the plan may be excepted from required disclosure

under Chapter 552, Government Code, in accordance with that

chapter or other applicable law.

(h) The department shall select the monitor for a corrective

action plan. The monitor shall be an individual or team of

individuals and may include a professional with end stage renal

disease experience or a member of the medical review board. The

monitor may not be or include individuals who are current or

former employees of the facility that is the subject of the

corrective action plan or of an affiliated facility. The purpose

of the monitor is to observe, supervise, consult, and educate the

facility and the employees of the facility under a corrective

action plan. The facility shall pay the cost of the monitor.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.062. DENIAL, SUSPENSION, PROBATION, OR REVOCATION OF

LICENSE. (a) The department may deny, suspend, or revoke a

license issued under this chapter for a violation of this chapter

or a rule adopted under this chapter.

(b) The denial, suspension, or revocation of a license by the

department and the appeal from that action are governed by the

procedures for a contested case hearing under Chapter 2001,

Government Code.

(c) If the department finds that an end stage renal disease

facility is in repeated noncompliance with this chapter or rules

adopted under this chapter but that the noncompliance does not

endanger public health and safety, the department may schedule

the facility for probation rather than suspending or revoking the

facility's license. The department shall provide notice to the

facility of the probation and of the items of noncompliance not

later than the 10th day before the date the probation period

begins. The department shall designate a period of not less than

30 days during which the facility will remain under probation.

During the probation period, the facility must correct the items

that were in noncompliance and report the corrections to the

department for approval.

(d) The department may suspend or revoke the license of an end

stage renal disease facility that does not correct items that

were in noncompliance or that does not comply with this chapter

or the rules adopted under this chapter within the applicable

probation period.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996. Amended by Acts 2003, 78th Leg., ch. 802, Sec. 11, 12, eff.

June 20, 2003.

Sec. 251.0621. EMERGENCY SUSPENSION. The department may issue

an emergency order to suspend a license issued under this chapter

if the department has reasonable cause to believe that the

conduct of a license holder creates an immediate danger to the

public health and safety. An emergency suspension is effective

immediately without a hearing on notice to the license holder. On

written request of the license holder, the department shall

conduct a hearing not earlier than the 10th day or later than the

30th day after the date the hearing request is received to

determine if the emergency suspension is to be continued,

modified, or rescinded. The hearing and any appeal are governed

by the department's rules for a contested case hearing and

Chapter 2001, Government Code.

Added by Acts 2003, 78th Leg., ch. 802, Sec. 13, eff. June 20,

2003.

Sec. 251.063. INJUNCTION. (a) The department may petition a

district court for a temporary restraining order to restrain a

continuing violation of this chapter or a rule adopted under this

chapter if the department finds that the violation creates an

immediate threat to the health and safety of patients of an end

stage renal disease facility.

(b) A district court, on petition of the department and on a

finding that a person is violating this chapter or a rule adopted

under this chapter, may by injunction:

(1) prohibit a person from continuing the violation;

(2) restrain or prevent the operation of an end stage renal

disease facility without a license issued under this chapter; or

(3) grant other injunctive relief warranted by the facts.

(c) The attorney general may institute and conduct a suit

authorized by this section at the request of the department.

(d) Venue for a suit brought under this section is in the county

in which the end stage renal disease facility is located or in

Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.064. CRIMINAL PENALTY. (a) A person commits an

offense if the person violates Section 251.011 or 251.031.

(b) An offense under this section is a Class C misdemeanor.

(c) Each day of a continuing violation constitutes a separate

offense.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.065. CIVIL PENALTY. (a) A person who knowingly

violates this chapter or who knowingly fails to comply with a

rule adopted under this chapter is liable for a civil penalty of

not more than $1,000 for each violation if the department finds

that the violation threatens the health and safety of a patient

of an end stage renal disease facility.

(b) Each day of a continuing violation constitutes a separate

ground for recovery.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.066. ADMINISTRATIVE PENALTY. (a) The department may

assess an administrative penalty against a person who violates

this chapter or a rule adopted under this chapter.

(b) The penalty may not exceed $1,000 for each violation. Each

day of a continuing violation constitutes a separate violation.

(c) In determining the amount of an administrative penalty

assessed under this section, the department shall consider:

(1) the seriousness of the violation;

(2) the history of previous violations;

(3) the amount necessary to deter future violations;

(4) efforts made to correct the violation; and

(5) any other matters that justice may require.

(d) All proceedings for the assessment of an administrative

penalty under this chapter are subject to Chapter 2001,

Government Code.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.067. REPORT RECOMMENDING ADMINISTRATIVE PENALTY. (a)

If after investigation of a possible violation and the facts

surrounding that possible violation the department determines

that a violation has occurred, the department shall give written

notice of the violation to the person alleged to have committed

the violation. The notice shall include:

(1) a brief summary of the alleged violation;

(2) a statement of the amount of the proposed penalty, based on

the factors listed in Section 251.066(c); and

(3) a statement of the person's right to a hearing on the

occurrence of the violation, the amount of the penalty, or both

the occurrence of the violation and the amount of the penalty.

(b) Not later than the 20th day after the date the notice is

received, the person notified may accept the determination of the

department made under this section, including the recommended

penalty, or make a written request for a hearing on that

determination.

(c) If the person notified of the violation accepts the

determination of the department, the commissioner or the

commissioner's designee shall issue an order approving the

determination and ordering that the person pay the recommended

penalty.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.068. HEARING; ORDER. (a) If the person notified fails

to respond in a timely manner to the notice under Section

251.067(b) or if the person requests a hearing, the commissioner

or the commissioner's designee shall:

(1) set a hearing;

(2) give written notice of the hearing to the person; and

(3) designate a hearings examiner to conduct the hearing.

(b) The hearings examiner shall make findings of fact and

conclusions of law and shall promptly issue to the commissioner a

proposal for decision as to the occurrence of the violation and a

recommendation as to the amount of the proposed penalty if a

penalty is determined to be warranted.

(c) Based on the findings of fact and conclusions of law and the

recommendations of the hearings examiner, the commissioner by

order may find that a violation has occurred and may assess a

penalty, or may find that no violation has occurred.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.069. NOTICE AND PAYMENT OF ADMINISTRATIVE PENALTY;

JUDICIAL REVIEW; REFUND. (a) The commissioner or the

commissioner's designee shall give notice of the commissioner's

order under Section 251.068(c) to the person notified. The notice

must include:

(1) separate statements of the findings of fact and conclusions

of law;

(2) the amount of any penalty assessed; and

(3) a statement of the right of the person to judicial review of

the commissioner's order.

(b) Not later than the 30th day after the date the decision is

final as provided by Chapter 2001, Government Code, the person

shall:

(1) pay the penalty in full;

(2) pay the amount of the penalty and file a petition for

judicial review contesting the occurrence of the violation, the

amount of the penalty, or both the occurrence of the violation

and the amount of the penalty; or

(3) without paying the amount of the penalty, file a petition

for judicial review contesting the occurrence of the violation,

the amount of the penalty, or both the occurrence of the

violation and the amount of the penalty.

(c) Within the 30-day period, a person who acts under Subsection

(b)(3) may:

(1) stay enforcement of the penalty by:

(A) paying the amount of the penalty to the court for placement

in an escrow account; or

(B) giving to the court a supersedeas bond that is approved by

the court for the amount of the penalty and that is effective

until all judicial review of the board's order is final; or

(2) request the court to stay enforcement of the penalty by:

(A) filing with the court a sworn affidavit of the person

stating that the person is financially unable to pay the amount

of the penalty and is financially unable to give the supersedeas

bond; and

(B) giving a copy of the affidavit to the department by

certified mail.

(d) If the department receives a copy of an affidavit under

Subsection (c)(2), the department may file with the court, within

five days after the date the copy is received, a contest to the

affidavit. The court shall hold a hearing on the facts alleged in

the affidavit as soon as practicable and shall stay the

enforcement of the penalty on finding that the alleged facts are

true. The person who files an affidavit has the burden of proving

that the person is financially unable to pay the amount of the

penalty and to give a supersedeas bond.

(e) If the person does not pay the amount of the penalty and the

enforcement of the penalty is not stayed, the department may

refer the matter to the attorney general for collection of the

amount of the penalty.

(f) Judicial review of the order of the board:

(1) is instituted by filing a petition as provided by Subchapter

G, Chapter 2001, Government Code; and

(2) is under the substantial evidence rule.

(g) If the court sustains the occurrence of the violation, the

court may uphold or reduce the amount of the penalty and order

the person to pay the full or reduced amount of the penalty. If

the court does not sustain the occurrence of the violation, the

court shall order that no penalty is owed.

(h) When the judgment of the court becomes final, the court

shall proceed under this subsection. If the person paid the

amount of the penalty and if that amount is reduced or is not

upheld by the court, the court shall order that the appropriate

amount plus accrued interest be remitted to the person. The rate

of the interest is the rate charged on loans to depository

institutions by the New York Federal Reserve Bank, and the

interest shall be paid for the period beginning on the date the

penalty was paid and ending on the date the penalty is remitted.

If the person gave a supersedeas bond and if the amount of the

penalty is not upheld by the court, the court shall order the

release of the bond. If the person gave a supersedeas bond and if

the amount of the penalty is reduced, the court shall order the

release of the bond after the person pays the amount.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.070. PENALTY DEPOSITED TO STATE TREASURY. A civil or

administrative penalty collected under this chapter shall be

deposited in the state treasury to the credit of the general

revenue fund.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

Sec. 251.071. RECOVERY OF COSTS. (a) The department may assess

reasonable expenses and costs against a person in an

administrative hearing if, as a result of the hearing, the

person's license is denied, suspended, or revoked or if

administrative penalties are assessed against the person. The

person shall pay expenses and costs assessed under this

subsection not later than the 30th day after the date of a board

order requiring the payment of expenses and costs is final. The

department may refer the matter to the attorney general for

collection of the expenses and costs.

(b) If the attorney general brings an action against a person

under Section 251.063 or 251.065 or to enforce an administrative

penalty assessed under Section 251.066, and an injunction is

granted against the person or the person is found liable for a

civil or administrative penalty, the attorney general may

recover, on behalf of the attorney general and the department,

reasonable expenses and costs.

(c) For purposes of this section, "reasonable expenses and

costs" include expenses incurred by the department and the

attorney general in the investigation, initiation, or prosecution

of an action, including reasonable investigative costs, court

costs, attorney's fees, witness fees, and deposition expenses.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1996.

SUBCHAPTER F. TEMPORARY MANAGER

Sec. 251.091. APPOINTMENT BY AGREEMENT. (a) A person holding a

controlling interest in an end stage renal disease facility may,

at any time, request the department to assume the management of

the facility through the appointment of a temporary manager under

this subchapter.

(b) After receiving the request, the department may enter into

an agreement providing for the appointment of a temporary manager

to manage the facility under conditions considered appropriate by

both parties if the department considers the appointment

desirable.

(c) An agreement under this section must:

(1) specify all terms and conditions of the temporary manager's

appointment and authority; and

(2) preserve all rights of the individuals served by the

facility granted by law.

(d) The primary duty of the temporary manager is to ensure that

adequate and safe services are provided to patients until

temporary management ceases.

(e) The appointment terminates at the time specified by the

agreement.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.092. INVOLUNTARY APPOINTMENT. (a) The department may

request the attorney general to bring an action in the name and

on behalf of the state for the appointment of a temporary manager

to manage an end stage renal disease facility if:

(1) the facility is operating without a license;

(2) the department has denied, suspended, or revoked the

facility's license but the facility continues to operate;

(3) license denial, suspension, or revocation proceedings

against the facility are pending and the department determines

that an imminent or reasonably foreseeable threat to the health

and safety of a patient of the facility exists;

(4) the department determines that an emergency exists that

presents an immediate threat to the health and safety of a

patient of the facility;

(5) the facility is closing and arrangements for the care of

patients by other licensed facilities have not been made before

closure; or

(6) the department determines a level three corrective action

plan under Section 251.061 that includes appointment of a

temporary manager is necessary to address serious or

life-threatening conditions at the facility.

(b) After a hearing, a court shall appoint a temporary manager

to manage a facility if the court finds that the appointment of

the manager is necessary.

(c) The court order shall address the duties and authority of

the temporary manager, which may include management of the

facility and the provision of dialysis services to facility

patients until specified circumstances occur, such as new

ownership of the facility, compliance with this chapter and rules

adopted under this chapter, or closure of the facility.

(d) If possible, the court shall appoint as temporary manager an

individual whose background includes administration of end stage

renal disease facilities or similar facilities.

(e) Venue for an action under this section is in Travis County.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.

Sec. 251.093. FEE; RELEASE OF FUNDS. (a) A temporary manager

appointed under Section 251.092 is entitled to a reasonable fee

as determined by the court. The fee shall be paid by the

facility.

(b) The temporary manager may petition the court to order the

release to the manager of any payment owed the manager for care

and services provided to patients of the facility if the payment

has been withheld.

(c) Withheld payments that may be released under Subsection (b)

may include payments withheld by a governmental agency or other

entity before or during the appointment of the temporary manager,

including:

(1) Medicaid, Medicare, or insurance payments; or

(2) payments from another third party.

Added by Acts 1995, 74th Leg., ch. 608, Sec. 1, eff. Sept. 1,

1995.