Texas 2019 - 86th Regular

Texas House Bill HB1302 Compare Versions

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1	1	86R5051 JG-D
2	2	By: Davis of Harris H.B. No. 1302
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the creation of the Texas Mental Health Research
8	8	Institute; authorizing the issuance of bonds.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Title 12, Health and Safety Code, is amended by
11	11	adding Chapter 1002 to read as follows:
12	12	CHAPTER 1002. TEXAS MENTAL HEALTH RESEARCH INSTITUTE
13	13	SUBCHAPTER A. GENERAL PROVISIONS
14	14	Sec. 1002.0001. DEFINITIONS. In this chapter:
15	15	(1) "Institute" means the Texas Mental Health Research
16	16	Institute.
17	17	(2) "Oversight committee" means the Texas Mental
18	18	Health Research Institute Oversight Committee.
19	19	(3) "Research review committee" means the Texas Mental
20	20	Health Research Institute Research Review Committee.
21	21	Sec. 1002.0002. PURPOSE. The Texas Mental Health Research
22	22	Institute is established to:
23	23	(1) develop and implement a Texas mental health
24	24	research plan to promote synergistic collaboration in mental health
25	25	and substance use disorder research across university systems in
26	26	this state and advance the research component of the statewide
27	27	behavioral health strategic plan or any appropriate successor
28	28	statewide strategic plan relating to behavioral health;
29	29	(2) create and expedite innovation in mental health
30	30	and substance use disorder research to improve the health of the
31	31	residents of this state; and
32	32	(3) attract, create, or expand research capabilities
33	33	of university systems in this state in a manner that will promote a
34	34	substantial increase in mental health and substance use disorder
35	35	research.
36	36	SUBCHAPTER B. POWERS AND DUTIES OF INSTITUTE
37	37	Sec. 1002.0051. POWERS AND DUTIES. (a) The institute:
38	38	(1) may make grants to health-related institutions of
39	39	higher education to further the purpose of this chapter;
40	40	(2) may establish the appropriate standards and
41	41	oversight bodies to ensure the proper use of funds authorized under
42	42	this chapter;
43	43	(3) may employ necessary staff to provide
44	44	administrative support to the institute;
45	45	(4) shall continuously monitor grant contracts and
46	46	agreements authorized under this chapter and ensure that each grant
47	47	recipient complies with the terms and conditions of the contract;
48	48	(5) shall ensure that all grant proposals comply with
49	49	this chapter and rules adopted under this chapter before the
50	50	proposals are submitted to the oversight committee for approval;
51	51	and
52	52	(6) shall establish procedures to document that the
53	53	institute, its employees, and any committee members appointed under
54	54	this chapter comply with all rules governing conflicts of interest
55	55	and the peer review process developed under Section 1002.0252.
56	56	(b) The institute shall employ a chief compliance officer to
57	57	monitor and report to the oversight committee regarding compliance
58	58	with this chapter and rules adopted under this chapter.
59	59	(c) In addition to other duties under this chapter, the
60	60	chief compliance officer shall:
61	61	(1) ensure that all grant proposals comply with this
62	62	chapter and rules adopted under this chapter before the proposals
63	63	are submitted to the oversight committee for approval; and
64	64	(2) attend and observe research review committee
65	65	meetings to ensure compliance with this chapter and rules adopted
66	66	under this chapter.
67	67	Sec. 1002.0052. CHIEF EXECUTIVE OFFICER. (a) The
68	68	oversight committee shall hire a chief executive officer. The
69	69	chief executive officer shall perform the duties required under
70	70	this chapter or designated by the oversight committee.
71	71	(b) The chief executive officer must have a demonstrated
72	72	ability to lead and develop academic, commercial, and governmental
73	73	partnerships and coalitions.
74	74	Sec. 1002.0053. ANNUAL REPORT. Not later than January 31 of
75	75	each year, the institute shall prepare and submit to the governor,
76	76	the lieutenant governor, the speaker of the house of
77	77	representatives, and each standing committee of the legislature
78	78	having primary jurisdiction over mental health or substance use
79	79	issues and post on the institute's Internet website a written
80	80	report that outlines:
81	81	(1) the institute's activities under this chapter;
82	82	(2) a list of grant recipients during the preceding
83	83	state fiscal year, including the grant amount awarded to each
84	84	recipient;
85	85	(3) any applicant the institute is considering
86	86	awarding a grant;
87	87	(4) any research accomplishments made during the
88	88	preceding state fiscal year by a grant recipient; and
89	89	(5) the institute's future direction.
90	90	Sec. 1002.0054. INDEPENDENT FINANCIAL AUDIT FOR REVIEW BY
91	91	COMPTROLLER. (a) The institute shall annually commission an
92	92	independent financial audit of its activities from a certified
93	93	public accounting firm. The institute shall provide the audit to
94	94	the comptroller. The comptroller shall review and evaluate the
95	95	audit and annually issue a public report of that review. The
96	96	comptroller shall make recommendations concerning the institute's
97	97	financial practices and performance.
98	98	(b) The oversight committee shall review the annual
99	99	financial audit, the comptroller's report and evaluation of that
100	100	audit, and the financial practices of the institute.
101	101	Sec. 1002.0055. GRANT RECORDS. (a) The institute shall
102	102	maintain complete records of:
103	103	(1) the review of each grant application submitted to
104	104	the institute, including the score assigned to each grant
105	105	application reviewed, regardless of whether the grant application
106	106	is not funded by the institute or is withdrawn after submission to
107	107	the institute;
108	108	(2) each grant recipient's financial reports,
109	109	including the amount of matching funds dedicated to the research
110	110	specified for the grant award;
111	111	(3) each grant recipient's progress reports; and
112	112	(4) the institute's review of the grant recipient's
113	113	financial and progress reports.
114	114	(b) The institute shall have periodic audits made of any
115	115	electronic grant management system used to maintain records of
116	116	grant applications and grant awards under this section. The
117	117	institute shall address in a timely manner each weakness identified
118	118	in an audit of the system.
119	119	Sec. 1002.0056. GIFTS AND GRANTS. The institute may
120	120	solicit and accept gifts and grants from any source for the purposes
121	121	of this chapter.
122	122	SUBCHAPTER C. OVERSIGHT COMMITTEE
123	123	Sec. 1002.0101. COMPOSITION OF OVERSIGHT COMMITTEE. (a)
124	124	The oversight committee is the governing body of the institute.
125	125	(b) The oversight committee is composed of the following
126	126	nine members:
127	127	(1) three members appointed by the governor;
128	128	(2) three members appointed by the lieutenant
129	129	governor; and
130	130	(3) three members appointed by the speaker of the
131	131	house of representatives.
132	132	Sec. 1002.0102. TERMS; VACANCY. (a) Oversight committee
133	133	members appointed by the governor, lieutenant governor, and speaker
134	134	of the house of representatives serve at the pleasure of the
135	135	appointing office for staggered six-year terms, with the terms of
136	136	three members expiring January 31 of each even-numbered year.
137	137	(b) Not later than the 30th day after the date an oversight
138	138	committee member's term expires, the appropriate appointing
139	139	authority shall appoint a replacement.
140	140	(c) If a vacancy occurs on the oversight committee, the
141	141	appropriate appointing authority shall appoint a successor in the
142	142	same manner as the original appointment to serve for the remainder
143	143	of the unexpired term. The appropriate appointing authority shall
144	144	appoint the successor not later than the 30th day after the date the
145	145	vacancy occurs.
146	146	Sec. 1002.0103. OFFICERS. (a) The oversight committee
147	147	shall elect a presiding officer and assistant presiding officer
148	148	from among its members every two years. The oversight committee may
149	149	elect additional officers from among its members.
150	150	(b) The presiding officer and assistant presiding officer
151	151	may not serve in the position to which the officer was elected for
152	152	two consecutive terms.
153	153	(c) The oversight committee shall:
154	154	(1) establish and approve duties and responsibilities
155	155	for officers of the committee; and
156	156	(2) develop and implement policies that distinguish
157	157	the responsibilities of the oversight committee and the committee's
158	158	officers from the responsibilities of the chief executive officer
159	159	and the employees of the institute.
160	160	Sec. 1002.0104. EXPENSES. A member of the oversight
161	161	committee is not entitled to compensation but is entitled to
162	162	reimbursement as provided by the General Appropriations Act for
163	163	actual and necessary expenses incurred in attending meetings of the
164	164	committee or performing other official duties authorized by the
165	165	presiding officer.
166	166	Sec. 1002.0105. CONFLICT OF INTEREST. (a) The oversight
167	167	committee shall adopt conflict-of-interest rules, based on
168	168	standards adopted by the National Institutes of Health, to govern
169	169	members of the oversight committee, members of the research review
170	170	committee, and institute employees.
171	171	(b) Nothing in this chapter limits the authority of the
172	172	oversight committee to adopt additional conflict-of-interest rules
173	173	and standards.
174	174	Sec. 1002.0106. POWERS AND DUTIES. The oversight committee
175	175	shall:
176	176	(1) hire a chief executive officer;
177	177	(2) annually set priorities as prescribed by the
178	178	legislature for each grant program that receives money under this
179	179	chapter; and
180	180	(3) consider the priorities set under Subdivision (2)
181	181	in awarding grants under this chapter.
182	182	Sec. 1002.0107. RULEMAKING AUTHORITY. The oversight
183	183	committee may adopt rules to administer this chapter.
184	184	Sec. 1002.0108. CODE OF CONDUCT. The oversight committee
185	185	shall adopt a code of conduct applicable to each member of the
186	186	oversight committee, member of the research review committee, and
187	187	institute employee.
188	188	Sec. 1002.0109. FINANCIAL STATEMENT REQUIRED. Each member
189	189	of the oversight committee shall file with the chief compliance
190	190	officer a verified financial statement complying with Sections
191	191	572.022 through 572.0252, Government Code, as required of a state
192	192	officer by Section 572.021, Government Code.
193	193	SUBCHAPTER D. RESEARCH REVIEW COMMITTEE
194	194	Sec. 1002.0151. ESTABLISHMENT AND COMPOSITION OF RESEARCH
195	195	REVIEW COMMITTEE. The oversight committee shall establish the
196	196	research review committee. The chief executive officer, with
197	197	approval by a simple majority of the members of the oversight
198	198	committee, shall appoint as members of the research review
199	199	committee experts in the field of mental health and substance use
200	200	disorder research.
201	201	SUBCHAPTER E. FUNDING
202	202	Sec. 1002.0201. TEXAS MENTAL HEALTH RESEARCH FUND. (a) The
203	203	Texas mental health research fund is a dedicated account in the
204	204	general revenue fund.
205	205	(b) The Texas mental health research fund consists of:
206	206	(1) appropriations of money to the fund by the
207	207	legislature, except that the appropriated money may not include the
208	208	proceeds from the issuance of bonds authorized by Section 68,
209	209	Article III, Texas Constitution;
210	210	(2) gifts and grants, including grants from the
211	211	federal government, received for the fund; and
212	212	(3) interest earned on the investment of money in the
213	213	fund.
214	214	(c) The fund may be used only to pay for:
215	215	(1) grants for mental health or substance use disorder
216	216	research and for research facilities in this state to conduct
217	217	mental health or substance use disorder research;
218	218	(2) the purchase, subject to approval by the
219	219	institute, of research facilities by or on behalf of a state agency
220	220	or grant recipient;
221	221	(3) the operation of the institute; and
222	222	(4) debt service on bonds issued as authorized by
223	223	Section 68, Article III, Texas Constitution.
224	224	Sec. 1002.0202. ISSUANCE OF GENERAL OBLIGATION BONDS. (a)
225	225	The institute may request the Texas Public Finance Authority to
226	226	issue and sell general obligation bonds of the state as authorized
227	227	by Section 68, Article III, Texas Constitution.
228	228	(b) The Texas Public Finance Authority may not issue and
229	229	sell general obligation bonds authorized by this section before
230	230	January 1, 2020, and may not issue and sell more than $100 million
231	231	in general obligation bonds authorized by this section in a state
232	232	fiscal year.
233	233	(c) The institute shall determine, and include in its
234	234	request for issuing bonds, the amount, exclusive of costs of
235	235	issuance, of the bonds to be issued and the preferred time for
236	236	issuing the bonds.
237	237	(d) The Texas Public Finance Authority shall issue the bonds
238	238	in accordance with and subject to Chapter 1232, Government Code,
239	239	and Texas Public Finance Authority rules. The bonds may be issued
240	240	in installments.
241	241	(e) Proceeds of the bonds issued under this section shall be
242	242	deposited in separate funds or accounts, in the state treasury, as
243	243	prescribed by the proceedings authorizing the bonds.
244	244	(f) The proceeds of the bonds may be used only to:
245	245	(1) make grants authorized by Section 68, Article III,
246	246	Texas Constitution;
247	247	(2) purchase facilities approved by the institute;
248	248	(3) pay costs of operating the institute; or
249	249	(4) pay costs of issuing the bonds and related bond
250	250	administration costs of the Texas Public Finance Authority.
251	251	Sec. 1002.0203. AUTHORIZED USE OF FUNDS. (a) A grant
252	252	recipient awarded money from the Texas mental health research fund
253	253	established under Section 1002.0201 may use the money for research
254	254	consistent with the purposes of this chapter and in accordance with
255	255	a contract between the grant recipient and the institute.
256	256	(b) Except as otherwise provided by this section, money
257	257	awarded under this chapter may be used for authorized expenses,
258	258	including honoraria, salaries and benefits, travel, conference
259	259	fees and expenses, consumable supplies, other operating expenses,
260	260	contracted research and development, capital equipment, and
261	261	construction or renovation of state or private facilities.
262	262	SUBCHAPTER F. PROCEDURE FOR MAKING AWARDS
263	263	Sec. 1002.0251. INSTITUTIONS ELIGIBLE TO RECEIVE AWARDS.
264	264	The following health-related institutions of higher education are
265	265	eligible to receive awards under this chapter:
266	266	(1) Baylor College of Medicine;
267	267	(2) The Texas A&M University System Health Science
268	268	Center;
269	269	(3) Texas Tech University Health Sciences Center;
270	270	(4) Texas Tech University Health Sciences Center at El
271	271	Paso;
272	272	(5) University of North Texas Health Science Center at
273	273	Fort Worth;
274	274	(6) Dell Medical School at The University of Texas at
275	275	Austin;
276	276	(7) The University of Texas Medical Branch at
277	277	Galveston;
278	278	(8) The University of Texas Health Science Center at
279	279	Houston;
280	280	(9) The University of Texas Health Science Center at
281	281	San Antonio;
282	282	(10) The University of Texas Rio Grande Valley School
283	283	of Medicine;
284	284	(11) The University of Texas Health Science Center at
285	285	Tyler; and
286	286	(12) The University of Texas Southwestern Medical
287	287	Center.
288	288	Sec. 1002.0252. PEER REVIEW PROCESS. The research review
289	289	committee shall develop and oversee a peer review process for the
290	290	selection of mental health and substance use disorder research
291	291	projects. The peer review process must evaluate research projects
292	292	based on:
293	293	(1) to what extent the research project aligns with
294	294	the research component of the statewide behavioral health strategic
295	295	plan;
296	296	(2) to what extent the research project aligns with
297	297	state priorities and needs, including priorities and needs outlined
298	298	in the statewide behavioral health strategic plan;
299	299	(3) the anticipated impact and reach of the research
300	300	project on residents of this state; and
301	301	(4) the number of health-related institutions of
302	302	higher education participating in the research project.
303	303	Sec. 1002.0253. RULES FOR GRANT AWARD PROCEDURE. (a) The
304	304	oversight committee shall issue rules regarding the procedure for
305	305	awarding grants to an applicant under this chapter. The rules must
306	306	require the research review committee to score grant applications
307	307	and make recommendations to the oversight committee regarding the
308	308	award of research grants, including the creation of a prioritized
309	309	list that:
310	310	(1) ranks the grant applications in the order the
311	311	research review committee determines applications should be
312	312	funded; and
313	313	(2) includes information explaining how each grant
314	314	application on the list meets the research review committee's
315	315	standards for recommendation.
316	316	(b) In scoring and making recommendations to the oversight
317	317	committee under Subsection (a), the research review committee
318	318	shall, to the extent possible:
319	319	(1) give first priority to grant applications that
320	320	focus on one or more of the following focus areas:
321	321	(A) depression;
322	322	(B) first episode of psychosis;
323	323	(C) substance use disorder;
324	324	(D) bipolar disorder and schizophrenia; or
325	325	(E) community systems research; and
326	326	(2) give second priority to grant applicants that:
327	327	(A) ensure a collaborative approach to mental
328	328	health and substance use disorder research;
329	329	(B) ensure interdisciplinary or
330	330	interinstitutional collaboration; or
331	331	(C) enhance research superiority at
332	332	health-related institutions of higher education in this state by:
333	333	(i) creating new research superiority;
334	334	(ii) attracting existing research
335	335	superiority at health-related institutions of higher education
336	336	outside this state and other research entities; and
337	337	(iii) enhancing existing research
338	338	superiority in this state by attracting researchers and resources
339	339	from outside this state.
340	340	Sec. 1002.0254. FUNDING RECOMMENDATIONS. Two-thirds of the
341	341	members of the oversight committee present and voting must vote to
342	342	approve each funding recommendation of the research review
343	343	committee. If the oversight committee does not approve a funding
344	344	recommendation of the research review committee, a statement
345	345	explaining the reasons a funding recommendation was not followed
346	346	must be included in the minutes of the meeting.
347	347	Sec. 1002.0255. MAXIMUM AMOUNT OF ANNUAL AWARDS. The
348	348	oversight committee may not award more than $100 million in grants
349	349	under this chapter in a state fiscal year.
350	350	Sec. 1002.0256. PERIOD FOR AWARDS. The oversight committee
351	351	may not award money under this chapter after August 31, 2032.
352	352	Sec. 1002.0257. GRANT EVALUATION. (a) The oversight
353	353	committee shall require as a condition of a grant that the grant
354	354	recipient submit to regular inspection reviews of the grant project
355	355	by institute staff, including progress oversight reviews, to ensure
356	356	compliance with the terms of the award and to ensure the scientific
357	357	merit of the research.
358	358	(b) The chief executive officer shall determine the grant
359	359	review process under this section. The chief executive officer may
360	360	suspend or terminate in accordance with Subsection (f) grants that
361	361	do not meet contractual obligations.
362	362	(c) The chief executive officer shall report at least
363	363	annually to the oversight committee on the progress and continued
364	364	merit of each research program funded by the institute.
365	365	(d) The institute shall establish and implement reporting
366	366	requirements to ensure that each grant recipient complies with the
367	367	terms and conditions in the grant contract, including verification
368	368	of the amounts of matching funds dedicated to the research that is
369	369	the subject of the grant award to the grant recipient.
370	370	(e) The institute shall implement a system to:
371	371	(1) track the dates on which grant recipient reports
372	372	are due and are received by the institute; and
373	373	(2) monitor the status of any required report that is
374	374	not timely submitted to the institute by a grant recipient.
375	375	(f) The chief compliance officer shall monitor compliance
376	376	with this section and at least annually shall inquire into and
377	377	monitor the status of any required report that is not timely
378	378	submitted to the institute by a grant recipient. The chief
379	379	compliance officer shall notify the general counsel for the
380	380	institute and the oversight committee of a grant recipient that has
381	381	not maintained compliance with the reporting requirements or
382	382	matching funds provisions of the grant contract to allow the
383	383	institute to begin suspension or termination of the grant contract
384	384	under Subsection (b). This subsection does not limit other
385	385	remedies available under the grant contract.
386	386	SECTION 2. Section 51.955(c), Education Code, is amended to
387	387	read as follows:
388	388	(c) Subsection (b)(1) does not apply to a research contract
389	389	between an institution of higher education and the Cancer
390	390	Prevention and Research Institute of Texas or Texas Mental Health
391	391	Research Institute.
392	392	SECTION 3. (a) Not later than January 31, 2020, the
393	393	appropriate appointing authority shall appoint the members to the
394	394	Texas Mental Health Research Institute Oversight Committee as
395	395	required by Section 1002.0101, Health and Safety Code, as added by
396	396	this Act. The oversight committee may not take action until a
397	397	majority of the appointed members have taken office.
398	398	(b) Notwithstanding Section 1002.0101, Health and Safety
399	399	Code, as added by this Act, in making the initial appointments under
400	400	that section, the governor, lieutenant governor, and speaker of the
401	401	house of representatives shall designate one member of the Texas
402	402	Mental Health Research Institute Oversight Committee appointed by
403	403	that person to serve a term expiring January 31, 2022, one member
404	404	appointed by that person to serve a term expiring January 31, 2024,
405	405	and one member appointed by that person to serve a term expiring
406	406	January 31, 2026.
407	407	SECTION 4. This Act takes effect on January 1, 2020, but
408	408	only if the constitutional amendment proposed by the 86th
409	409	Legislature, Regular Session, 2019, providing for the
410	410	establishment of the Texas Mental Health Research Institute is
411	411	approved by the voters. If that amendment is not approved by the
412	412	voters, this Act has no effect.