By: Klick H.B. No. 3527 A BILL TO BE ENTITLED AN ACT relating to the criteria and requirements for the closure, consolidation, or consolidation plan of state supported living centers. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 533.083, Health and Safety Code, is amended to read as follows: Sec. 533.083. CRITERIA FOR CREATION, CLOSURE, OR CONSOLIDATION OF FACILITY. (a) The department shall establish objective criteria for determining when a new, expanded or enhanced program, service or facility may be needed and when a facility may be closed or consolidated, and shall have authority to create, close or consolidate such programs, services or facilities accordingly. (b) The executive commissioner by rule shall prescribe the procedure the department must use in determining when a state supported living center may be closed or consolidated with another state supported living center. The rules shall require the department to use a formula-based approach based on a state supported living center's: (1) changes in population; (2) operating costs; (3) costs per resident; and (4) compliance with federal law. (c) State supported living centers shall at all times be in substantial compliance with the United States Department of Justice Settlement Agreement Provisions. (d) If the department determines that a state supported living center must be closed or consolidated, the department shall develop: (1) a reasonable proposed timetable for actions necessary to close or consolidate the center; and (2) a strategy to minimize the adverse effects of closure on the local community and the employees and residents of the center, including job placement assistance. (e) The department shall identify four or more state supported living centers to begin closure and consolidation by August 31, 2015. SECTION 2. Subchapter D, Chapter 533, Health and Safety Code, is amended by adding Section 533.0831 to read as follows: Sec. 533.0831. CONSOLIDATION PLAN FOR STATE SUPPORTED LIVING CENTERS. (a) Upon the closure of the seventh of the existing thirteen state supported living centers, the department shall establish a plan for the consolidation of the remaining centers. The plan shall factor in: (1) the remaining number of residents; (2) projected future census; (3) projected maintenance and operating budgets of the remaining centers. (b) The plan shall include a study to determine the most appropriate, safe, and cost-effective facilities for remaining residents. Consolidation of remaining facilities shall include independent community living options information process, independent relocation services, and independent ombudsman services in all facilities. (c) If the study determines that, as part of continuing closure and consolidation expanded programs, enhanced services, a community residence serving no more than four individuals or a facility serving no more than six individuals is necessary, the department shall expand, enhance, or establish new community-based programs, services or facilities by entering into the following contracts: (1) one contract with the owner of the new and accredited facility; (2) one or more contracts with accredited and qualified service providers to provide the health services that are required by state law in a community-based program or facility; and (3) one contract with an outside entity to perform licensing, certification, accreditation, clinical and ethical reviews of the required contracted services described by Subsection (a)(2) and the new facility. (d) An entity contracted under Subsection (a)(3) must report to the appropriate agency or authority regarding the reviews conducted by the entity. SECTION 3. As soon as practicable after the effective date of this Act, the executive commissioner of the Health and Human Services Commission shall adopt rules required by Section 533.083(b), Health and Safety Code, as added by this Act. SECTION 4. This Act takes effect September 1, 2013.