Texas 2011 82nd Regular

Texas House Bill HB1181 Introduced / Bill

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                    82R3823 MCK-D
 By: Deshotel H.B. No. 1181


 A BILL TO BE ENTITLED
 AN ACT
 relating to abolishing the Texas Department of Rural Affairs and
 transferring its functions to the Texas Department of Housing and
 Community Affairs, Department of State Health Services, and
 Department of Agriculture.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 38.060(a), Education Code, is amended to
 read as follows:
 (a)  This section applies only to a school-based health
 center serving an area that:
 (1)  is located in a county with a population not
 greater than 50,000; or
 (2)  has been designated under state or federal law as:
 (A)  a health professional shortage area;
 (B)  a medically underserved area; or
 (C)  a medically underserved community by the
 [Texas] Department of State Health Services [Rural Affairs].
 SECTION 2.  Sections 51.918(a) and (c), Education Code, are
 amended to read as follows:
 (a)  The Texas Higher Education Coordinating Board, the
 [Texas] Department of State Health Services [Rural Affairs],
 medical schools, nursing schools, and schools of allied health
 sciences shall cooperate to improve and expand programs for rural
 areas.
 (c)  The [Texas] Department of State Health Services [Rural
 Affairs] shall develop relief service programs for rural physicians
 and allied health personnel to facilitate ready access to
 continuing medical education as well as to provide practice
 coverage for purposes other than continuing medical education.
 SECTION 3.  Section 58.007(b)(1), Education Code, is amended
 to read as follows:
 (1)  The Primary Care Residency Advisory Committee is
 created and shall consist of 12 members as follows:
 (A)  seven members shall be licensed physicians,
 one appointed by each of the following:
 (i)  the Texas Medical Association;
 (ii)  the Texas Osteopathic Medical
 Association;
 (iii)  the Texas Academy of Family
 Physicians;
 (iv)  the Texas Society of the American
 College of Osteopathic Family Physicians;
 (v)  the Texas Society of Internal Medicine;
 (vi)  the Texas Pediatric Society; and
 (vii)  the Texas Association of
 Obstetricians and Gynecologists;
 (B)  one member shall be appointed by the [Texas]
 Department of State Health Services [Rural Affairs];
 (C)  one member shall be appointed by the Bureau
 of Community Oriented Primary Care at the Department of State
 Health Services; and
 (D)  three members shall be members of the public,
 one appointed by each of the following:
 (i)  the governor;
 (ii)  the lieutenant governor; and
 (iii)  the speaker of the house of
 representatives.
 SECTION 4.  Section 61.0899, Education Code, is amended to
 read as follows:
 Sec. 61.0899.  ASSISTANCE IN CERTAIN RURAL HEALTH CARE LOAN
 REIMBURSEMENT AND STIPEND PROGRAMS. The board shall, in
 cooperation with the [Texas] Department of State Health Services
 [Rural Affairs] and the department's advisory panel established
 under Section 487.552, Government Code, ensure that the board seeks
 to obtain the maximum amount of funds from any source, including
 federal funds, to support programs to provide student loan
 reimbursement or stipends for graduates of degree programs in this
 state who practice or agree to practice in a medically underserved
 community.
 SECTION 5.  Section 403.1065(c), Government Code, is amended
 to read as follows:
 (c)  The available earnings of the fund may be appropriated
 to the [Texas] Department of State Health Services [Rural Affairs]
 for the purposes of Subchapter H, Chapter 487.
 SECTION 6.  Section 405.021(c), Government Code, is amended
 to read as follows:
 (c)  The secretary of state shall compile information
 received from [the Office of Rural Community Affairs,] the Texas
 Water Development Board, the Texas Transportation Commission, the
 Texas Department of Housing and Community Affairs, the Department
 of State Health Services, the Texas Commission on Environmental
 Quality, the Health and Human Services Commission, the Texas
 Cooperative Extension, councils of governments, an institution of
 higher education that receives funding from the state for projects
 that provide assistance to colonias, and any other agency
 considered appropriate by the secretary of state for purposes of
 the classification system.
 SECTION 7.  Section 481.0215(b), Government Code, is amended
 to read as follows:
 (b)  At the direction of the governor, the executive director
 of the department or its successor shall work with each state agency
 that administers a program relating to job training or job
 creation, including the Texas Workforce Commission, the Council on
 Workforce and Economic Competitiveness, the Department of
 Agriculture, and the Texas Department of Housing and Community
 [Office of Rural] Affairs, to address the challenges facing the
 agencies relating to job training and job creation.
 SECTION 8.  The heading to Chapter 487, Government Code, is
 amended to read as follows:
 CHAPTER 487. PROGRAMS AFFECTING [TEXAS DEPARTMENT OF] RURAL
 COMMUNITIES [AFFAIRS]
 SECTION 9.  Section 487.051, Government Code, is amended to
 read as follows:
 Sec. 487.051.  POWERS AND DUTIES OF TEXAS DEPARTMENT OF
 HOUSING AND COMMUNITY AFFAIRS. (a) In this section, "department"
 means the Texas Department of Housing and Community Affairs.
 (b)  The department shall:
 (1)  assist rural communities in the key areas of
 economic development, community development, [rural health,] and
 rural housing;
 (2)  serve as a clearinghouse for information and
 resources on [all] state and federal programs affecting economic
 development, community development, and housing in rural
 communities;
 (3)  in consultation with rural community leaders,
 locally elected officials, state elected and appointed officials,
 academic and industry experts, and the interagency work group
 created under this chapter, identify and prioritize policy issues
 and concerns relating to economic development, community
 development, and housing affecting rural communities in the state;
 (4)  make recommendations to the legislature to address
 the concerns affecting rural communities identified under
 Subdivision (3);
 (5)  monitor developments relating to economic
 development, community development, and housing that have a
 substantial effect on rural Texas communities, especially actions
 of state government, and compile an annual report describing and
 evaluating the condition of rural communities;
 (6)  administer the federal community development
 block grant nonentitlement program;
 (7)  [administer programs supporting rural health care
 as provided by this chapter;
 [(8)]  perform research to determine the most
 beneficial and cost-effective ways to improve the welfare of rural
 communities; and
 (8) [(9)     ensure that the department qualifies as the
 state's office of rural health for the purpose of receiving grants
 from the Office of Rural Health Policy of the United States
 Department of Health and Human Services under 42 U.S.C. Section
 254r;
 [(10)     manage the state's Medicare rural hospital
 flexibility program under 42 U.S.C. Section 1395i-4;
 [(11)]  seek state and federal money available for
 economic development in rural areas for programs under this
 chapter[;
 [(12)     in conjunction with the Department of
 Agriculture, regularly cross-train department employees with
 employees of the Department of Agriculture regarding the programs
 administered and services provided by each agency to rural
 communities; and
 [(13)     work with interested persons to assist volunteer
 fire departments and emergency services districts in rural areas].
 [(b)     The department may require department employees who
 work at locations other than the central office to be based in
 Department of Agriculture offices.]
 SECTION 10.  Subchapter C, Chapter 487, Government Code, is
 amended by adding Sections 487.0511 and 487.0512 to read as
 follows:
 Sec. 487.0511.  POWERS AND DUTIES OF DEPARTMENT OF STATE
 HEALTH SERVICES. (a) In this section, "department" means the
 Department of State Health Services.
 (b)  The department shall:
 (1)  assist rural communities in the area of rural
 health;
 (2)  serve as a clearinghouse for information and
 resources on all state and federal programs affecting rural health;
 (3)  in consultation with rural community leaders,
 locally elected officials, state elected and appointed officials,
 academic and industry experts, and the interagency work group
 created under this chapter, identify and prioritize policy issues
 and concerns affecting rural health in the state;
 (4)  make recommendations to the legislature to address
 the concerns affecting rural communities identified under
 Subdivision (3);
 (5)  monitor developments that have a substantial
 effect on rural health, especially actions of state government, and
 compile an annual report describing and evaluating the condition of
 rural communities;
 (6)  administer programs supporting rural health care
 as provided by this chapter;
 (7)  perform research to determine the most beneficial
 and cost-effective ways to improve health care in communities;
 (8)  ensure that the department qualifies as the
 state's office of rural health for the purpose of receiving grants
 from the Office of Rural Health Policy of the United States
 Department of Health and Human Services under 42 U.S.C. Section
 254r;
 (9)  manage the state's Medicare rural hospital
 flexibility program under 42 U.S.C. Section 1395i-4; and
 (10)  work with interested persons to assist volunteer
 fire departments and emergency services districts in rural areas.
 Sec. 487.0512.  POWERS AND DUTIES OF DEPARTMENT OF
 AGRICULTURE. (a) In this section, "department" means the
 Department of Agriculture.
 (b)  The department shall:
 (1)  assist rural communities regarding renewable
 energy and water projects;
 (2)  serve as a clearinghouse for information and
 resources on renewable energy and water projects in rural
 communities;
 (3)  in consultation with rural community leaders,
 locally elected officials, state elected and appointed officials,
 academic and industry experts, and the interagency work group
 created under this chapter, identify and prioritize policy issues
 and concerns affecting renewable energy and water projects in rural
 communities in the state;
 (4)  make recommendations to the legislature to address
 the concerns affecting rural communities identified under
 Subdivision (3); and
 (5)  monitor developments that have a substantial
 effect on rural Texas communities, especially actions of state
 government, and compile an annual report describing and evaluating
 renewable energy and water projects in rural communities.
 SECTION 11.  Section 487.053, Government Code, is amended to
 read as follows:
 Sec. 487.053.  GIFTS AND GRANTS. [(a)] The Texas Department
 of Housing and Community Affairs, Department of State Health
 Services, and Department of Agriculture [department] may accept
 gifts, grants, and donations from any organization for the purpose
 of funding any activity under this chapter, and the departments
 [department] shall actively seek funding from appropriate
 nonprofit foundations.
 [(b)     All gifts, grants, and donations must be accepted in an
 open meeting by a majority of the voting members of the board and
 reported in the public record of the meeting with the name of the
 donor and purpose of the gift, grant, or donation.]
 SECTION 12.  Sections 487.054(a) and (b), Government Code,
 are amended to read as follows:
 (a)  At least once each year, the following agency heads or
 their designees shall meet in Austin to discuss rural issues and to
 provide information showing the impact each agency has on rural
 communities for use in developing rural policy and compiling the
 annual reports [report] under Sections 487.051(b)(5),
 487.0511(b)(5), and 487.052(b)(5) [Section 487.051(a)(5)]:
 (1)  the commissioner of agriculture;
 (2)  the executive director of the Public Utility
 Commission of Texas;
 (3)  the director of the Texas AgriLife [Agricultural]
 Extension Service;
 (4)  the executive director of the Texas Department of
 Housing and Community Affairs;
 (5)  the commissioner of the Department of State Health
 Services;
 (6)  the executive administrator of the Texas Water
 Development Board;
 (7)  the executive director of the Parks and Wildlife
 Department;
 (8)  the commissioner of higher education;
 (9)  the comptroller;
 (10)  the executive director of the Texas Department of
 Transportation;
 (11)  the executive director of the Texas Commission on
 Environmental Quality;
 (12)  the executive director of the Texas Economic
 Development and Tourism Office;
 (13)  the commissioner of insurance;
 (14)  the commissioner of the Department of Aging and
 Disability Services;
 (15)  the commissioner of education;
 (16)  the executive commissioner of the Health and
 Human Services Commission;
 (17)  the executive director of the Texas Workforce
 Commission;
 (18)  the executive director of the Texas Historical
 Commission;
 (19)  a member of the Railroad Commission of Texas;
 (20)  the executive director of the State Soil and
 Water Conservation Board; and
 (21)  [the executive director of the department; and
 [(22)]  the head of any other agency interested in
 rural issues.
 (b)  The commissioner of agriculture [board] shall call the
 annual meeting.  The commissioner of agriculture [board] shall set
 the time and date of the meeting after consulting with the agency
 heads listed in Subsection (a).
 SECTION 13.  Section 487.0541(c), Government Code, is
 amended to read as follows:
 (c)  The work group shall meet at the call of the
 commissioner of agriculture [executive director of the
 department].
 SECTION 14.  Section 487.056, Government Code, is amended to
 read as follows:
 Sec. 487.056.  REPORT TO LEGISLATURE. (a) Not later than
 January 1 of each odd-numbered year, the Texas Department of
 Housing and Community Affairs, Department of State Health Services,
 and Department of Agriculture [department] shall each submit a
 biennial report to the legislature regarding that agency's [the
 activities of the department, the] activities [of the Texas Rural
 Foundation,] and any findings and recommendations relating to rural
 issues. The Texas Department of Housing and Community Affairs
 shall include in its report the activities of the Texas Rural
 Foundation.
 (b)  The Department of State Health Services [department]
 shall obtain information from each county about indigent health
 care provided in the county and information from each university,
 medical school, rural community, or rural health care provider that
 has performed a study relating to rural health care during the
 biennium. The department shall include the information obtained
 under this subsection in the department's report to the
 legislature.
 (c)  The Texas Department of Housing and Community Affairs
 [department] shall obtain information on the availability of
 housing in rural communities throughout the state for all income
 levels. The department shall include the information, and the
 department's assessment of the information, in the department's
 report to the legislature.
 SECTION 15.  Section 487.057(a), Government Code, is amended
 to read as follows:
 (a)  The Department of State Health Services [department]
 shall develop, implement, and update a rural health work plan.
 SECTION 16.  Sections 487.059(b), (c), and (e), Government
 Code, are amended to read as follows:
 (b)  If a member of the governing board of a state agency
 described by Subsection (c) [the board] or a committee established
 under this chapter, including an advisory committee, has a
 financial interest in an entity that applies for a monetary award,
 the board or committee member shall, before a vote on the monetary
 award, disclose the fact of the board or committee member's
 financial interest.  The board or committee shall enter the
 disclosure into the minutes of the meeting at which a vote on the
 monetary award is taken.  The board or committee member may not
 vote on or otherwise participate in a discussion or any other
 activity that relates to awarding the monetary award.  If the board
 or committee member does not comply with this subsection, the
 entity is not eligible for the monetary award.
 (c)  If the executive director or another [department]
 employee of the Texas Department of Housing and Community Affairs,
 Department of State Health Services, or Department of Agriculture
 has a financial interest in an entity that applies for a monetary
 award, the executive director or employee:
 (1)  shall, as soon as possible, disclose to the
 governing board of the agency [board] the fact of the director's or
 employee's financial interest;
 (2)  may not participate in staff evaluations regarding
 the monetary award; and
 (3)  if the executive director or employee under the
 agency's [department] procedures may vote, or make a recommendation
 concerning a vote, on a matter that involves the monetary award:
 (A)  shall disclose the fact of the director's or
 employee's financial interest before a vote on the monetary award,
 which the board or committee shall enter into the minutes of the
 meeting at which a vote on the monetary award is taken; and
 (B)  may not vote on or otherwise participate in a
 discussion or any other activity that relates to awarding the
 monetary award.
 (e)  Subsections (f) and (g) apply only to a member of the
 board or a committee who is employed by:
 (1)  an entity that offers to enter into a contract with
 the Texas Department of Housing and Community Affairs, Department
 of State Health Services, or Department of Agriculture
 [department]; or
 (2)  an entity that is under common ownership or
 governance with or otherwise affiliated with an entity that applies
 for a monetary award or offers to enter into a contract with the
 Texas Department of Housing and Community Affairs, Department of
 State Health Services, or Department of Agriculture [department].
 SECTION 17.  Section 487.060(a), Government Code, is amended
 to read as follows:
 (a)  In this section:
 (1)  "Colonia [, "colonia]" means a geographic area
 that:
 (A) [(1)]  is an economically distressed area as
 defined by Section 17.921, Water Code;
 (B) [(2)]  is located in a county any part of
 which is within 62 miles of an international border; and
 (C) [(3)]  consists of 11 or more dwellings that
 are located in close proximity to each other in an area that may be
 described as a community or neighborhood.
 (2)  "Department" means the Texas Department of Housing
 and Community Affairs.
 SECTION 18.  Section 487.061(a), Government Code, is amended
 to read as follows:
 (a)  The Department of State Health Services [department]
 shall establish a program to provide interested rural communities
 with:
 (1)  general information about emergency services
 districts;
 (2)  information and training related to the
 establishment of an emergency services district; and
 (3)  technical assistance related to the
 implementation of an emergency services district.
 SECTION 19.  Section 487.101, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Selection committee" means the Outstanding
 Rural Scholar Selection Committee.
 SECTION 20.  Sections 487.103(a), (b), and (c), Government
 Code, are amended to read as follows:
 (a)  The selection committee shall advise the commissioner
 [board] on the progress of the program.
 (b)  The selection committee is composed of 12 members
 appointed by the commissioner [board].
 (c)  The commissioner [board] shall consider geographical
 representation in making appointments to the selection committee.
 SECTION 21.  Sections 487.104(b) and (d), Government Code,
 are amended to read as follows:
 (b)  The selection committee shall make selections based on
 criteria approved by the commissioner [board] and adopted as a rule
 of the department.
 (d)  The selection committee shall recommend to the
 commissioner [board] guidelines to be used by rural communities in
 the selection of students for nomination and sponsorship as
 outstanding rural scholars.
 SECTION 22.  Section 487.107, Government Code, is amended to
  read as follows:
 Sec. 487.107.  AWARDING OF LOANS. (a) The selection
 committee shall recommend to the commissioner [board] guidelines
 for the awarding of forgivable loans to outstanding rural scholars.
 (b)  The commissioner [board], acting on the advice of the
 selection committee, shall award forgivable loans to outstanding
 rural scholars based on the availability of money in the fund.
 (c)  If in any year the fund is inadequate to provide loans to
 all eligible applicants, the commissioner [board] shall award
 forgivable loans on a priority basis according to the applicants'
 academic performance, test scores, and other criteria of
 eligibility.
 SECTION 23.  Section 487.108(a), Government Code, is amended
 to read as follows:
 (a)  On confirmation of an outstanding rural scholar's
 admission to a postsecondary educational institution, or on receipt
 of an enrollment report of the scholar at a postsecondary
 educational institution, and a certification of the amount of
 financial support needed, the selection committee annually shall
 recommend to the commissioner [board] that the commissioner [board]
 award a forgivable loan to the scholar in the amount of 50 percent
 of the cost of the scholar's tuition, fees, educational materials,
 and living expenses.
 SECTION 24.  Sections 487.109(b), (c), and (d), Government
 Code, are amended to read as follows:
 (b)  The sponsoring community shall report to the
 commissioner [board] the length of time the scholar practices as a
 health care professional in the community.
 (c)  If the commissioner [board] finds that a sponsoring
 community is not in need of the scholar's services and that the
 community is willing to forgive repayment of the principal balance
 and interest of the scholar's loan, the commissioner [board] by
 rule may provide for the principal balance and interest of one year
 of the scholar's loan to be forgiven for each year the scholar
 practices in another rural community in this state.
 (d)  Any amount of loan principal or interest that is not
 forgiven under this section shall be repaid to the department with
 reasonable collection fees in a timely manner as provided by
 commissioner [board] rule.
 SECTION 25.  Section 487.112, Government Code, is amended to
 read as follows:
 Sec. 487.112.  ADOPTION AND DISTRIBUTION OF RULES. (a) The
 commissioner [board] shall adopt reasonable rules to enforce the
 requirements, conditions, and limitations under this subchapter.
 (b)  The commissioner [board] shall set the rate of interest
 charged on a forgivable loan under this subchapter.
 (c)  The commissioner [board] shall adopt rules necessary to
 ensure compliance with the federal Civil Rights Act of 1964 (42
 U.S.C. Section 2000a et seq.) concerning nondiscrimination in
 admissions.
 SECTION 26.  Section 487.151, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Fund" means the health careers education fund.
 SECTION 27.  Section 487.154, Government Code, is amended to
 read as follows:
 Sec. 487.154.  LOANS. (a) The commissioner [board] may
 award forgivable educational loans to eligible students under this
 subchapter.
 (b)  The commissioner [board] may award forgivable loans to
 eligible students based on the availability of money in the fund.
 (c)  If in any year the fund is inadequate to provide loans to
 all eligible students, the commissioner [board] may award
 forgivable loans on a priority basis according to the students'
 academic performance, test scores, and other criteria of
 eligibility.
 SECTION 28.  Section 487.155(a), Government Code, is amended
 to read as follows:
 (a)  To be eligible to receive a loan under this subchapter,
 a student must:
 (1)  be sponsored by an eligible community;
 (2)  at the time of the application for the loan, be
 enrolled in high school or enrolled or accepted for enrollment in a
 postsecondary educational institution in this state;
 (3)  meet academic requirements as established by the
 commissioner [board];
 (4)  plan to complete a health care professional degree
 or certificate program;
 (5)  plan to practice as a health care professional in a
 qualified area of the state; and
 (6)  meet other requirements as established by the
 commissioner [board].
 SECTION 29.  Section 487.156(c), Government Code, is amended
 to read as follows:
 (c)  The commissioner [board] shall determine the percentage
 of educational expenses communities are required to provide under
 this section.
 SECTION 30.  Section 487.157(a), Government Code, is amended
 to read as follows:
 (a)  On confirmation of an eligible student's admission to a
 postsecondary educational institution, or on receipt of an
 enrollment report of the student at a postsecondary educational
 institution, and certification of the amount of financial support
 needed, the commissioner [board] may award a forgivable loan to the
 student in the amount of not more than the cost of the student's
 tuition, fees, educational materials, and living expenses.
 SECTION 31.  Section 487.158(b), Government Code, is amended
 to read as follows:
 (b)  The contract must provide that if the student does not
 provide the required services to the community or provides those
 services for less than the required time, the student is personally
 liable to the state for:
 (1)  the total amount of assistance the student
 receives from the department and the sponsoring community;
 (2)  interest on the total amount at a rate set by the
 commissioner [board]; and
 (3)  the state's reasonable expenses incurred in
 obtaining payment, including reasonable attorney's fees.
 SECTION 32.  Section 487.159(b), Government Code, is amended
 to read as follows:
 (b)  If the commissioner [board] finds that a sponsoring
 community is not in need of the student's services and that the
 community is willing to forgive repayment of the principal balance
 and interest of the student's loan, the commissioner [board] by
 rule may provide for the principal balance and interest of the
 student's loan to be forgiven if the student provides services in
 another qualified area in this state.
 SECTION 33.  Sections 487.161(b) and (c), Government Code,
 are amended to read as follows:
 (b)  The sponsoring community shall report to the
 commissioner [board] the length of time the student provides health
 care services in the community in accordance with the guidelines
 established by the commissioner [board].
 (c)  A postsecondary educational institution shall provide
 to the commissioner [board] a copy of the academic transcript of
 each student for whom the institution has received a release that
 complies with state and federal open records laws and that
 authorizes the provision of the transcript.
 SECTION 34.  Section 487.163, Government Code, is amended to
 read as follows:
 Sec. 487.163.  ADOPTION OF RULES. (a) The commissioner
 [board] shall adopt reasonable rules to enforce the requirements,
 conditions, and limitations of this subchapter.
 (b)  The commissioner [board] shall set the rate of interest
 charged on a forgivable loan under this subchapter.
 (c)  The commissioner [board] shall adopt rules necessary to
 ensure compliance with the federal Civil Rights Act of 1964 (42
 U.S.C. Section 2000a et seq.) concerning nondiscrimination in
 admissions.
 SECTION 35.  Section 487.201, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Medically underserved community" means:
 (A)  a community located in an area in this state
 with a medically underserved population;
 (B)  a community located in an area in this state
 designated by the United States secretary of health and human
 services as an area with a shortage of personal health services;
 (C)  a population group designated by the United
 States secretary of health and human services as having a shortage
 of personal health services;
 (D)  a community designated under state or federal
 law as a medically underserved community; or
 (E)  a community that the department considers to
 be medically underserved based on relevant demographic,
 geographic, and environmental factors.
 SECTION 36.  Sections 487.202(a), (d), and (e), Government
 Code, are amended to read as follows:
 (a)  The commissioner [board] shall establish and administer
 a program under this subchapter to increase the number of
 physicians providing primary care in medically underserved
 communities.
 (d)  The department may not pay more than $25,000 to a
 community in a fiscal year unless the commissioner [board] makes a
 specific finding of need by the community.
 (e)  The commissioner [board] shall establish priorities so
 that the neediest communities eligible for assistance under this
 subchapter are assured the receipt of a grant.
 SECTION 37.  Section 487.203, Government Code, is amended to
 read as follows:
 Sec. 487.203.  ELIGIBILITY. To be eligible to receive money
 from the department, a medically underserved community must:
 (1)  apply for the money; and
 (2)  provide evidence satisfactory to the commissioner
 [board] that it has entered into an agreement with a physician for
 the physician to provide primary care in the community for at least
 two years.
 SECTION 38.  Section 487.204, Government Code, is amended to
 read as follows:
 Sec. 487.204.  RULES. The commissioner [board] shall adopt
 rules necessary for the administration of this subchapter,
 including rules addressing:
 (1)  eligibility criteria for a medically underserved
 community;
 (2)  eligibility criteria for a physician;
 (3)  minimum and maximum community contributions to the
 start-up money for a physician to be matched with state money;
 (4)  conditions under which state money must be repaid
 by a community or physician;
 (5)  procedures for disbursement of money by the
 department;
 (6)  the form and manner in which a community must make
 its contribution to the start-up money; and
 (7)  the contents of an agreement to be entered into by
 the parties, which must include at least:
 (A)  a credit check for an eligible physician; and
 (B)  community retention of interest in any
 property, equipment, or durable goods for seven years.
 SECTION 39.  Section 487.251, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Medically underserved area" means an area
 designated by the United States secretary of health and human
 services as having:
 (A)  a shortage of personal health services or a
 population group that has such a shortage as provided by 42 U.S.C.
 Section 300e-1(7); or
 (B)  a health professional shortage as provided by
 42 U.S.C. Section 254e(a)(1).
 SECTION 40.  Section 487.252, Government Code, is amended to
 read as follows:
 Sec. 487.252.  TEXAS HEALTH SERVICE CORPS PROGRAM. (a) The
 commissioner [board] shall establish a program in the department to
 assist communities in recruiting and retaining physicians to
 practice in medically underserved areas.
 (b)  The commissioner [board] by rule shall establish:
 (1)  eligibility criteria for applicants;
 (2)  stipend application procedures;
 (3)  guidelines relating to stipend amounts;
 (4)  procedures for evaluating stipend applications;
 and
 (5)  a system of priorities relating to the:
 (A)  geographic areas covered;
 (B)  medical specialties eligible to receive
 funding under the program; and
 (C)  level of stipend support.
 SECTION 41.  Section 487.253(a), Government Code, is amended
 to read as follows:
 (a)  The commissioner [board] shall adopt rules necessary to
 administer this subchapter, and the department shall administer the
 program in accordance with those rules.
 SECTION 42.  Section 487.301, Government Code, is amended by
 amending Subdivision (1) and adding Subdivision (1-a) to read as
 follows:
 (1)  "Department" means the Department of State Health
 Services.
 (1-a)  "Public hospital" means a general or special
 hospital licensed under Chapter 241, Health and Safety Code, that
 is owned or operated by a municipality, county, municipality and
 county, hospital district, or hospital authority and that performs
 inpatient or outpatient services.
 SECTION 43.  Subchapter I, Chapter 487, Government Code, is
 amended by adding Section 487.3511 to read as follows:
 Sec. 487.3511.  DEFINITIONS. In this subchapter:
 (1)  "Board" means the governing board of the Texas
 Department of Housing and Community Affairs.
 (2)  "Department" means the Texas Department of Housing
 and Community Affairs.
 SECTION 44.  Section 487.401, Government Code, is amended to
 read as follows:
 Sec. 487.401.  ADMINISTRATION. (a) In this section:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (2)  "Department" means the Department of State Health
 Services.
 (b)  The commissioner [board] shall adopt rules that
 establish a procedure for designating a hospital as a rural
 hospital in order for the hospital to qualify for federal funds
 under 42 C.F.R. Part 412.
 (c) [(b)]  At the hospital's request, the department shall
 designate the hospital as a rural hospital if the hospital meets the
 requirements for a rural hospital under the commissioner's
 [board's] rules.
 SECTION 45.  Section 487.451, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Health care professional" means:
 (A)  an advanced nurse practitioner;
 (B)  a dentist;
 (C)  a dental hygienist;
 (D)  a laboratory technician;
 (E)  a licensed vocational nurse;
 (F)  a licensed professional counselor;
 (G)  a medical radiological technologist;
 (H)  an occupational therapist;
 (I)  a pharmacist;
 (J)  a physical therapist;
 (K)  a physician;
 (L)  a physician assistant;
 (M)  a psychologist;
 (N)  a registered nurse;
 (O)  a social worker;
 (P)  a speech-language pathologist;
 (Q)  a veterinarian;
 (R)  a chiropractor; and
 (S)  another appropriate health care professional
 identified by the board.
 SECTION 46.  Section 487.452(a), Government Code, is amended
 to read as follows:
 (a)  The commissioner [board], in collaboration with Area
 Health Education Center Programs, shall establish a community
 health care [healthcare] awareness and mentoring program for
 students to:
 (1)  identify high school students in rural and
 underserved urban areas who are interested in serving those areas
 as health care professionals;
 (2)  identify health care professionals in rural and
 underserved urban areas to act as positive role models, mentors, or
 reference resources for the interested high school students;
 (3)  introduce interested high school students to the
 spectrum of professional health care careers through activities
 such as health care camps and shadowing of health care
 professionals;
 (4)  encourage a continued interest in service as
 health care professionals in rural and underserved urban areas by
 providing mentors and community resources for students
 participating in training or educational programs to become health
 care professionals; and
 (5)  provide continuing community-based support for
 students during the period the students are attending training or
 educational programs to become health care professionals,
 including summer job opportunities and opportunities to mentor high
 school students in the community.
 SECTION 47.  Section 487.454, Government Code, is amended to
 read as follows:
 Sec. 487.454.  GRANTS; ELIGIBILITY. (a) Subject to
 available funds, the commissioner [board] shall develop and
 implement, as a component of the program, a grant program to support
 employment opportunities in rural and underserved urban areas in
 this state for students participating in training or educational
 programs to become health care professionals.
 (b)  In awarding grants under the program, the commissioner
 [board] shall give first priority to grants to training or
 educational programs that provide internships to students.
 (c)  To be eligible to receive a grant under the grant
 program, a person must:
 (1)  apply for the grant on a form adopted by the
 commissioner [board];
 (2)  be enrolled or intend to be enrolled in a training
 or educational program to become a health care professional;
 (3)  commit to practice or work, after licensure as a
 health care professional, for at least one year as a health care
 professional in a rural or underserved urban area in this state; and
 (4)  comply fully with any practice or requirements
 associated with any scholarship, loan, or other similar benefit
 received by the student.
 (d)  As a condition of receiving a grant under the program
 the student must agree to repay the amount of the grant, plus a
 penalty in an amount established by rule of the commissioner
 [board] not to exceed two times the amount of the grant, if the
 student becomes licensed as a health care professional and fails to
 practice or work for at least one year as a health care professional
 in a rural or underserved urban area in this state.
 SECTION 48.  Section 487.501, Government Code, is amended by
 amending Subdivision (1) and adding Subdivision (1-a) to read as
 follows:
 (1)  "Department" means the Department of State Health
 Services.
 (1-a)  "Rural community" means a rural area as defined
 by the department.
 SECTION 49.  Section 487.551, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Health professional" means a person other than
 a physician who holds a license, certificate, registration, permit,
 or other form of authorization required by law or a state agency
 rule that must be obtained by an individual to practice in a health
 care profession.
 SECTION 50.  Section 487.553, Government Code, is amended to
 read as follows:
 Sec. 487.553.  LOAN REIMBURSEMENT PROGRAM. The commissioner
 [board] shall establish a program in the department to assist
 communities in recruiting health professionals to practice in
 medically underserved communities by providing loan reimbursement
 for health professionals who serve in those communities.
 SECTION 51.  Section 487.554(a), Government Code, is amended
 to read as follows:
 (a)  The commissioner [board] shall establish a program in
 the department to assist communities in recruiting health
 professionals to practice in medically underserved communities by
 providing a stipend to health professionals who agree to serve in
 those communities.
 SECTION 52.  Section 487.555(e), Government Code, is amended
 to read as follows:
 (e)  A contract under this section must provide that a health
 professional who does not provide the required services to the
 community or provides those services for less than the required
 time is personally liable to the state for:
 (1)  the total amount of assistance the health
 professional received from the department and the medically
 underserved community;
 (2)  interest on the amount under Subdivision (1) at a
 rate set by the commissioner [board];
 (3)  the state's reasonable expenses incurred in
 obtaining payment, including reasonable attorney's fees; and
 (4)  a penalty as established by the commissioner
 [board] by rule to help ensure compliance with the contract.
 SECTION 53.  Section 487.556, Government Code, is amended to
 read as follows:
 Sec. 487.556.  POWERS AND DUTIES OF DEPARTMENT. (a) The
 commissioner [board] shall adopt rules necessary for the
 administration of this subchapter, including guidelines for:
 (1)  developing contracts under which loan
 reimbursement or stipend recipients provide services to qualifying
 communities;
 (2)  identifying the duties of the state, state agency,
 loan reimbursement or stipend recipient, and medically underserved
 community under the loan reimbursement or stipend contract;
 (3)  determining a rate of interest to be charged under
 Section 487.555(e)(2);
 (4)  ensuring that a loan reimbursement or stipend
 recipient provides access to health services to participants in
 government-funded health benefits programs in qualifying
 communities;
 (5)  encouraging the use of telecommunications or
 telemedicine, as appropriate;
 (6)  prioritizing the provision of loan reimbursements
 and stipends to health professionals who are not eligible for any
 other state loan forgiveness, loan repayment, or stipend program;
 (7)  prioritizing the provision of loan reimbursements
 and stipends to health professionals who are graduates of health
 professional degree programs in this state;
 (8)  encouraging a medically underserved community
 served by a loan reimbursement or stipend recipient to contribute
 to the cost of the loan reimbursement or stipend when making a
 contribution is feasible; and
 (9)  requiring a medically underserved community
 served by a loan reimbursement or stipend recipient to assist the
 department in contracting with the loan reimbursement or stipend
 recipient who will serve that community.
 (b)  The commissioner [board] by rule may designate areas of
 the state as medically underserved communities.
 (c)  The commissioner [board] shall make reasonable efforts
 to contract with health professionals from a variety of different
 health professions.
 SECTION 54.  Section 487.601, Government Code, is amended by
 amending Subdivision (1) and adding Subdivisions (1-a) and (1-b) to
 read as follows:
 (1)  "Commissioner" means the commissioner of the
 Department of State Health Services.
 (1-a)  "Department" means the Department of State
 Health Services.
 (1-b)  "Physician" means a person licensed to practice
 medicine in this state under Subtitle B, Title 3, Occupations Code.
 SECTION 55.  Section 487.608(a), Government Code, is amended
 to read as follows:
 (a)  The rural physician relief advisory committee is
 composed of the following members appointed by the commissioner
 [board]:
 (1)  a physician who practices in the area of general
 family medicine in a rural county;
 (2)  a physician who practices in the area of general
 internal medicine in a rural county;
 (3)  a physician who practices in the area of general
 pediatrics in a rural county;
 (4)  a representative from an accredited Texas medical
 school;
 (5)  a program director from an accredited primary care
 residency program;
 (6)  a representative from the Texas Higher Education
 Coordinating Board; and
 (7)  a representative from the Texas Medical Board.
 SECTION 56.  Section 487.651, Government Code, is amended by
 adding Subdivision (1-a) to read as follows:
 (1-a)  "Department" means the Texas Department of
 Housing and Community Affairs.
 SECTION 57.  Subchapter P, Chapter 487, Government Code, is
 amended by adding Section 487.7011 to read as follows:
 Sec. 487.7011.  DEFINITION. In this subchapter,
 "department" means the Texas Department of Housing and Community
 Affairs.
 SECTION 58.  Section 487.751, Government Code, is amended to
 read as follows:
 Sec. 487.751.  DEFINITIONS [DEFINITION]. In this
 subchapter:
 (1)  "Department" means the Texas Department of Housing
 and Community Affairs.
 (2)  "Rural [, "rural] county" means a county that has a
 population of not more than 125,000.
 SECTION 59.  Section 490A.003(a), Government Code, is
 amended to read as follows:
 (a)  The founding members of the network are:
 (1)  the Texas AgriLife [Cooperative] Extension
 Service of The Texas A&M University System;
 (2)  the IC2 Institute at The University of Texas at
 Austin;
 (3)  the College of Agricultural Sciences and Natural
 Resources at Texas Tech University;
 (4)  the Department of Agriculture;
 (5)  the Texas Workforce Commission;
 (6)  the Texas Department of Housing and Community
 [Rural] Affairs;
 (7)  the Texas Center for Rural Entrepreneurship;
 (8)  the Texas Economic Development Council;
 (9)  CoSERVE at The University of Texas--Pan American;
 (10)  the office of external affairs at Texas Southern
 University; and
 (11)  the John F. Baugh Center for Entrepreneurship at
 Baylor University.
 SECTION 60.  Section 531.02172(b), Government Code, is
 amended to read as follows:
 (b)  The advisory committee must include:
 (1)  representatives of health and human services
 agencies and other state agencies concerned with the use of
 telemedical consultations in the Medicaid program and the state
 child health plan program, including representatives of:
 (A)  the commission;
 (B)  the Department of State Health Services;
 (C)  [the Texas Department of Rural Affairs;
 [(D)]  the Texas Department of Insurance;
 (D) [(E)]  the Texas Medical Board;
 (E) [(F)]  the Texas Board of Nursing; and
 (F) [(G)]  the Texas State Board of Pharmacy;
 (2)  representatives of health science centers in this
 state;
 (3)  experts on telemedicine, telemedical
 consultation, and telemedicine medical services or telehealth
 services; and
 (4)  representatives of consumers of health services
 provided through telemedical consultations and telemedicine
 medical services or telehealth services.
 SECTION 61.  Section 535.051(b), Government Code, is amended
 to read as follows:
 (b)  The chief administrative officer of each of the
 following state agencies, in consultation with the governor, shall
 designate one employee from the agency to serve as a liaison for
 faith- and community-based organizations:
 (1)  [the Office of Rural Community Affairs;
 [(2)]  the Texas Commission on Environmental Quality;
 (2) [(3)]  the Texas Department of Criminal Justice;
 (3) [(4)]  the Texas Department of Housing and
 Community Affairs;
 (4) [(5)]  the Texas Education Agency;
 (5) [(6)]  the Texas Juvenile Probation Commission;
 (6) [(7)]  the Texas Veterans Commission;
 (7) [(8)]  the Texas Workforce Commission;
 (8) [(9)]  the Texas Youth Commission; and
 (9) [(10)]  other state agencies as determined by the
 governor.
 SECTION 62.  Section 614.152(3), Government Code, is amended
 to read as follows:
 (3)  "State fire agency" means the:
 (A)  firefighters' pension commissioner;
 (B)  [Texas] Department of State Health Services
 [Rural Affairs];
 (C)  service;
 (D)  Texas Commission on Fire Protection;
 (E)  Texas Engineering Extension Service of The
 Texas A&M University System; and
 (F)  Texas State Fire Marshal's Office of the
 Texas Department of Insurance.
 SECTION 63.  Section 772.011(b), Government Code, is amended
 to read as follows:
 (b)  The work group is composed of the heads of the following
 agencies or their designees:
 (1)  the [Texas] Department of Agriculture [Rural
 Affairs];
 (2)  the Texas Department of Housing and Community
 Affairs;
 (3)  the Texas Water Development Board;
 (4)  the Texas Department of Transportation;
 (5)  the Texas Commission on Environmental Quality;
 (6)  the Texas Workforce Commission;
 (7)  the Department of State Health Services;
 (8)  the Health and Human Services Commission;
 (9)  the General Land Office;
 (10)  the Texas Education Agency;
 (11)  the Texas Economic Development and Tourism
 Office;
 (12)  the Office of State-Federal Relations;
 (13)  the Texas Higher Education Coordinating Board;
 (14)  the attorney general's office;
 (15)  the secretary of state's office;
 (16)  the Department of Public Safety; and
 (17)  the Railroad Commission of Texas.
 SECTION 64.  Section 775.002(d), Government Code, is amended
 to read as follows:
 (d)  The following agencies shall designate an officer or
 employee of the agency to serve as the agency's liaison for colonia
 initiatives:
 (1)  the office of the attorney general;
 (2)  the Department of State Health Services;
 (3)  the Texas Department of Housing and Community
 Affairs;
 (4)  the Texas Commission on Environmental Quality;
 (5)  the Texas Water Development Board;
 (6)  [the Texas Department of Rural Affairs;
 [(7)]  the Office of State-Federal Relations;
 (7) [(8)] the Texas Department of Insurance; and
 (8) [(9)]  the Texas Department of Transportation.
 SECTION 65.  Section 2306.034(b), Government Code, is
 amended to read as follows:
 (b)  A person may not be a member of the board and may not be a
 department employee employed in a "bona fide executive,
 administrative, or professional capacity," as that phrase is used
 for purposes of establishing an exemption to the overtime
 provisions of the federal Fair Labor Standards Act of 1938 (29
 U.S.C. Section 201 et seq.) if:
 (1)  the person is an officer, employee, or paid
 consultant of a Texas trade association in the field of rural
 affairs, banking, real estate, housing development, or housing
 construction; or
 (2)  the person's spouse is an officer, manager, or paid
 consultant of a Texas trade association in the field of rural
 affairs, banking, real estate, housing development, or housing
 construction.
 SECTION 66.  Section 2306.1092(b), Government Code, is
 amended to read as follows:
 (b)  The council is composed of 15 [16] members consisting
 of:
 (1)  the director;
 (2)  one representative from each of the following
 agencies, appointed by the head of that agency:
 (A)  [the Office of Rural Community Affairs;
 [(B)]  the Texas State Affordable Housing
 Corporation;
 (B) [(C)]  the Health and Human Services
 Commission;
 (C) [(D)]  the Department of Assistive and
 Rehabilitative Services;
 (D) [(E)]  the Department of Aging and Disability
 Services; and
 (E) [(F)]  the Department of State Health
 Services;
 (3)  one representative from the Department of
 Agriculture who is:
 (A)  knowledgeable about the Texans Feeding
 Texans and Retire in Texas programs or similar programs; and
 (B)  appointed by the head of that agency;
 (4)  one member who is:
 (A)  a member of the Health and Human Services
 Commission Promoting Independence Advisory Committee; and
 (B)  appointed by the governor; and
 (5)  one representative from each of the following
 interest groups, appointed by the governor:
 (A)  financial institutions;
 (B)  multifamily housing developers;
 (C)  health services entities;
 (D)  nonprofit organizations that advocate for
 affordable housing and consumer-directed long-term services and
 support;
 (E)  consumers of service-enriched housing;
 (F)  advocates for minority issues; and
 (G)  rural communities.
 SECTION 67.  Section 86.011, Health and Safety Code, is
 amended to read as follows:
 Sec. 86.011.  BREAST CANCER SCREENING. (a) In this section,
 "department" means the Department of State Health Services.
 (b)  The department [Texas Department of Rural Affairs] may
 provide for breast cancer screening in counties with a population
 of 50,000 or less.
 (c) [(b)]  The department [Texas Department of Rural
 Affairs] may provide the breast cancer screening through contracts
 with public or private entities to provide mobile units and on-site
 screening services.
 [(c)     The Texas Department of Rural Affairs shall coordinate
 the breast cancer screening with programs administered by the Texas
 Cancer Council.]
 SECTION 68.  Sections 775.083(a), (b), and (c), Health and
 Safety Code, are amended to read as follows:
 (a)  On or before January 1 of each year, a district shall
 file with the [Texas] Department of State Health Services [Rural
 Affairs] an annual report that includes the following:
 (1)  the district's name;
 (2)  the name of each county in which the district is
 located;
 (3)  the district's business address;
 (4)  the name, mailing address, and term of office of
 each commissioner;
 (5)  the name, mailing address, and term of office of
 the district's general manager, executive director, and fire chief;
 (6)  the name of each legal counsel or other consultant
 for the district; and
 (7)  the district's annual budget and tax rate for the
 preceding fiscal year.
 (b)  The [Texas] Department of State Health Services [Rural
 Affairs] may not charge a fee for filing the report.
 (c)  The [Texas] Department of State Health Services [Rural
 Affairs] shall develop and maintain an Internet-based system that
 enables:
 (1)  a district to securely file the report and update
 the district's information; and
 (2)  the public to view, in a searchable format, the
 reports filed by districts under this section.
 SECTION 69.  Sections 776.083(a), (b), and (c), Health and
 Safety Code, are amended to read as follows:
 (a)  On or before January 1 of each year, a district shall
 file with the [Texas] Department of State Health Services [Rural
 Affairs] an annual report that includes the following:
 (1)  the district's name;
 (2)  the name of each county in which the district is
 located;
 (3)  the district's business address;
 (4)  the name, mailing address, and term of office of
 each commissioner;
 (5)  the name, mailing address, and term of office of
 the district's general manager, executive director, and fire chief;
 (6)  the name of each legal counsel or other consultant
 for the district; and
 (7)  the district's annual budget and tax rate for the
 preceding fiscal year.
 (b)  The [Texas] Department of State Health Services [Rural
 Affairs] may not charge a fee for filing the report.
 (c)  The [Texas] Department of State Health Services [Rural
 Affairs] shall develop and maintain an Internet-based system that
 enables:
 (1)  a district to securely file the report and update
 the district's information; and
 (2)  the public to view, in a searchable format, the
 reports filed by districts under this section.
 SECTION 70.  Section 204.104, Occupations Code, is amended
 to read as follows:
 Sec. 204.104.  RURAL PHYSICIAN ASSISTANT LOAN REIMBURSEMENT
 PROGRAM. (a) In this section, "department" means the Department of
 State Health Services.
 (b)  A program shall be established to provide student loan
 reimbursement for graduates of physician assistant training
 programs from any state who practice in rural health professional
 shortage areas and medically underserved areas identified by the
 department [Texas Department of Health]. The physician assistant
 board shall fund the program by designating annually a portion of
 the revenue generated under this chapter from physician assistant
 licensing fees.
 (c) [(b)]  The department [Texas Department of Rural
 Affairs] shall establish policies for and adopt rules to administer
 the loan program.
 (d) [(c)]  The physician assistant board shall authorize and
 the medical board shall transfer annually the funds designated
 under Subsection (b) [(a)] to the department [Texas Department of
 Rural Affairs] to administer the loan program.
 SECTION 71.  The following provisions are repealed:
 (1)  Section 12.040(f), Agriculture Code;
 (2)  Subchapter A, Chapter 487, Government Code;
 (3)  Subchapter B, Chapter 487, Government Code;
 (4)  Section 487.052, Government Code;
 (5)  Section 487.055, Government Code; and
 (6)  Section 487.058, Government Code.
 SECTION 72.  (a) On September 1, 2011, or as soon as
 practicable after that date, the Texas Department of Rural Affairs,
 Texas Department of Housing and Community Affairs, Department of
 State Health Services, and Department of Agriculture shall enter
 into a memorandum of understanding that provides a comprehensive
 plan to ensure the orderly transition of all programs operated by
 the Texas Department of Rural Affairs to those agencies. The
 memorandum of understanding must provide for:
 (1)  the transfer of the community development block
 grant nonentitlement program to the Texas Department of Housing and
 Community Affairs;
 (2)  the transfer of the rural health programs to the
 Department of State Health Services; and
 (3)  the transfer of the renewable energy demonstration
 pilot program and the desalination program to the Department of
 Agriculture.
 (b)  This section takes effect September 1, 2011.
 SECTION 73.  (a)  On the effective date of this Act, the
 Texas Department of Rural Affairs is abolished and all powers,
 duties, obligations, rights, contracts, bonds, appropriations,
 records, property, and personnel of those agencies are transferred
 to the Texas Department of Housing and Community Affairs,
 Department of State Health Services, and Department of Agriculture
 as provided for in the memorandum of understanding described by
 Section 72 of this Act.
 (b)  A rule, policy, procedure, or decision of the Texas
 Department of Rural Affairs continues in effect as a rule, policy,
 procedure, or decision of the Texas Department of Housing and
 Community Affairs, Department of State Health Services, or
 Department of Agriculture, as appropriate, until superseded by an
 act of that agency.
 SECTION 74.  Except as otherwise provided by this Act, this
 Act takes effect September 1, 2012.