Texas 2021 87th Regular

Texas Senate Bill SB714 Introduced / Bill

Filed 03/11/2021

                    87R3491 DRS/ANG/CXP/JES-D
 By: Buckingham, et al. S.B. No. 714


 A BILL TO BE ENTITLED
 AN ACT
 relating to the continuation and functions of the Texas Department
 of Licensing and Regulation.
 ARTICLE 1. GENERAL POWERS AND DUTIES
 SECTION 1.01.  Section 51.002, Occupations Code, is amended
 to read as follows:
 Sec. 51.002.  APPLICATION OF SUNSET ACT. [(a)] The Texas
 Commission of Licensing and Regulation and the Texas Department of
 Licensing and Regulation are subject to Chapter 325, Government
 Code (Texas Sunset Act). Unless continued in existence as provided
 by that chapter, the commission and the department are abolished
 September 1, 2033 [2021].
 [(b)  The review of the commission and department by the
 Sunset Advisory Commission under this section may not include a
 review of any program that was transferred to the department on or
 after September 1, 2016.]
 SECTION 1.02.  Section 51.054, Occupations Code, is amended
 by amending Subsection (b) and adding Subsection (d) to read as
 follows:
 (b)  The training program must provide the person with
 information regarding:
 (1)  the law governing [legislation that created the]
 department operations [and the commission];
 (2)  the programs, functions, rules, and budget of
 [operated by] the department;
 (3)  the scope of and limitations on the rulemaking
 authority of the commission [role and functions of the department];
 (4)  [the rules of the department, with an emphasis on
 the rules that relate to disciplinary and investigatory authority;
 [(5)  the current budget for the department;
 [(6)]  the results of the most recent formal audit of
 the department;
 (5) [(7)]  the requirements of:
 (A)  laws relating to [the] open meetings, [law,
 Chapter 551, Government Code;
 [(B)  the] public information, [law, Chapter 552,
 Government Code;
 [(C)  the] administrative procedure, and
 disclosing conflicts of interest [law, Chapter 2001, Government
 Code]; and
 (B) [(D)]  other laws applicable to members of a
 state policy-making body in performing their duties [relating to
 public officials, including conflict-of-interest laws]; and
 (6) [(8)]  any applicable ethics policies adopted by
 the department or the Texas Ethics Commission.
 (d)  The executive director of the department shall create a
 training manual that includes the information required by
 Subsection (b). The executive director shall distribute a copy of
 the training manual annually to each member of the commission. Each
 member of the commission shall sign and submit to the executive
 director a statement acknowledging that the member received and has
 reviewed the training manual.
 SECTION 1.03.  Section 51.209, Occupations Code, is amended
 by adding Subsections (a-1) and (a-2) to read as follows:
 (a-1)  An advisory board shall meet at the call of the
 executive director or the presiding officer of the commission.
 (a-2)  Notwithstanding Chapter 551, Government Code, an
 advisory board may meet by telephone conference call,
 videoconference, or other similar telecommunication method. A
 meeting held by telephone conference call, videoconference, or
 other similar telecommunication method is subject to the
 requirements of Sections 551.125(c), (d), (e), and (f), Government
 Code.
 SECTION 1.04.  Subchapter D, Chapter 51, Occupations Code,
 is amended by adding Sections 51.2095 and 51.211 to read as follows:
 Sec. 51.2095.  INTERDISCIPLINARY ADVISORY BOARDS. The
 executive director or the presiding officer of the commission may
 appoint interdisciplinary advisory boards consisting of members
 from various businesses, industries, general trades, or
 occupations to provide expertise related to a program regulated by
 the department.
 Sec. 51.211.  RISK-BASED INSPECTIONS. (a) The commission
 shall adopt rules for conducting inspections based on risk to the
 public.
 (b)  The rules must provide for the prioritization of
 inspections based on the following factors:
 (1)  whether a license holder has repeatedly violated a
 law establishing a regulatory program administered by the
 department or a rule or order of the commission or executive
 director;
 (2)  the number of complaints filed against a license
 holder;
 (3)  negative publicity regarding a license holder; and
 (4)  any other risk-based factor identified by the
 commission.
 (c)  The commission may adopt rules that provide for the use
 of alternative inspection methods, including the use of
 videoconference technology or other methods instead of conducting
 an in-person inspection, in circumstances the commission considers
 appropriate.
 SECTION 1.05.  Section 51.252, Occupations Code, is amended
 by amending Subsections (a) and (c) and adding Subsection (b-2) to
 read as follows:
 (a)  The department shall maintain a system to promptly and
 efficiently act on complaints filed with the department. The
 department shall maintain information about parties to the
 complaint, the subject matter of the complaint, a summary of the
 results of the review or investigation of the complaint, and its
 disposition [The executive director shall establish methods by
 which consumers and service recipients are notified of the name,
 mailing address, and telephone number of the department for the
 purpose of directing complaints to the department. The department
 shall provide to the person filing the complaint and to each person
 who is a subject of the complaint information about the
 department's policies and procedures relating to complaint
 investigation and resolution].
 (b-2)  The department shall make information available
 describing its procedures for complaint investigation and
 resolution.
 (c)  The department [, at least quarterly and until final
 disposition of the complaint,] shall periodically notify the
 [person filing the] complaint parties [and each person who is a
 subject of the complaint] of the status of the complaint until final
 disposition [investigation] unless the notice would jeopardize an
 [undercover] investigation.
 SECTION 1.06.  Subchapter E, Chapter 51, Occupations Code,
 is amended by adding Sections 51.2521 and 51.255 to read as follows:
 Sec. 51.2521.  COMPLAINT INVESTIGATION. (a) The department
 shall assign priorities and investigate complaints based on risk to
 the public of the conduct alleged in the complaint.
 (b)  If the commission determines at any time that an
 allegation made or formal complaint submitted by a person is
 inappropriate or without merit, the commission shall dismiss the
 complaint and no further action may be taken. The commission may
 delegate to the department the duty to dismiss complaints under
 this subsection. The department shall inform the commission of all
 dismissals made under this subsection.
 Sec. 51.255.  STATISTICAL ANALYSIS OF COMPLAINTS. (a) The
 department shall make available on the department's Internet
 website a statistical analysis of the complaints received by the
 department.
 (b)  The analysis under this section must include aggregate
 information on the number, source, type, and disposition of
 complaints received during the preceding state fiscal year and must
 include, as applicable, the following information for each program
 regulated by the department:
 (1)  the number of license holders;
 (2)  the number of complaints received against license
 holders;
 (3)  the number of complaints resolved and the manner
 in which they were resolved, including:
 (A)  the number of complaints dismissed and the
 reasons for dismissal;
 (B)  the number of contested cases referred to and
 heard by the State Office of Administrative Hearings;
 (C)  the number of cases appealed to a district
 court;
 (D)  the number of complaints resulting in
 disciplinary action, the disciplinary action taken, and whether the
 disciplinary action was imposed by an agreed settlement or default
 order issued by the executive director or a final order issued by
 the commission;
 (E)  the manner in which complaints were resolved
 categorized by the nature of the alleged violation; and
 (F)  the number of complaints resolved,
 categorized by whether the complaint originated from department
 staff or from the public;
 (4)  the average time required to resolve a complaint;
 (5)  the average amount of administrative penalties
 assessed; and
 (6)  the number and amount of refunds ordered by the
 commission or executive director.
 SECTION 1.07.  Section 51.351, Occupations Code, is amended
 by adding Subsection (e) to read as follows:
 (e)  The department may take action under Section 51.353 for
 a violation identified during an inspection.
 SECTION 1.08.  Subchapter G, Chapter 51, Occupations Code,
 is amended by adding Sections 51.3531 and 51.359 to read as follows:
 Sec. 51.3531.  DENIAL OF LICENSE RENEWAL. The commission
 may deny the renewal of a license if the applicant is in violation
 of an order of the commission or the executive director.
 Sec. 51.359.  REFUND. (a) Subject to Subsection (b), the
 commission or executive director may order a license holder to pay a
 refund to a consumer as provided in an agreed settlement, default
 order, or commission order instead of or in addition to imposing an
 administrative penalty or other sanction.
 (b)  The amount of a refund ordered may not exceed the amount
 the consumer paid to the license holder for a service regulated by
 the department. The commission or executive director may not
 require payment of other damages or estimate harm in a refund order.
 SECTION 1.09.  Section 51.4012(a), Occupations Code, is
 amended to read as follows:
 (a)  Notwithstanding any other law, the commission may
 determine that a person is not eligible for a license based on the
 person's criminal history [or other information that indicates that
 the person lacks the honesty, trustworthiness, and integrity to
 hold a license issued by the department].
 SECTION 1.10.  Section 51.405, Occupations Code, is amended
 to read as follows:
 Sec. 51.405.  CONTINUING EDUCATION. (a) The commission
 shall recognize, prepare, or administer continuing education
 programs for license holders. A license holder must participate in
 the programs to the extent required by the commission to keep the
 person's license.
 (b)  The commission by rule may establish a minimum number of
 hours of continuing education required for license renewal.
 (c)  In adopting rules under this section for a program
 regulated by the department, the commission shall consult, if
 applicable, with the advisory board established for the program.
 SECTION 1.11.  Subchapter H, Chapter 51, Occupations Code,
 is amended by adding Section 51.409 to read as follows:
 Sec. 51.409.  FINANCIAL DISCLOSURE STATEMENT. (a) The
 commission by rule may require a person, other than an individual,
 applying for a license issued by the department to submit with the
 license application a financial disclosure statement. The rules
 may require any of the following information to be disclosed based
 on the type of license for which the application is submitted:
 (1)  the name of the applicable business entity;
 (2)  the name of each person who has a direct financial
 investment in the business;
 (3)  the name of each person, other than an individual,
 who:
 (A)  has a financial investment in the business;
 and
 (B)  is not otherwise disclosed under Subdivision
 (2);
 (4)  the total amount or percentage of the financial
 investment made by each person described by Subdivision (2); and
 (5)  the name of each of the following persons
 associated with the business, if the person is not otherwise
 disclosed under Subdivision (2) or (3):
 (A)  a partner;
 (B)  an officer;
 (C)  a director;
 (D)  a managing employee;
 (E)  an owner or person who controls the owner;
 and
 (F)  a person who acts as a controlling person of
 the business through the exercise of direct or indirect influence
 or control over the management of the business, the expenditure of
 money by the business, or a policy of the business, including:
 (i)  any management company, landlord,
 marketing company, or similar person who operates or contracts for
 the operation of the business and, if the business is a publicly
 traded corporation or is controlled by a publicly traded
 corporation, any officer or director of the corporation;
 (ii)  an individual who has a personal,
 familial, or other relationship with an owner, manager, landlord,
 tenant, or provider of a business that allows the individual to
 exercise actual control of the business; and
 (iii)  any other person the commission by
 rule requires to be included based on the person's exercise of
 direct or indirect influence or control other than a shareholder or
 lender of the corporation.
 (b)  The department may deny an application for a license or
 suspend or revoke a license on the grounds that a business has
 failed to disclose a relationship for which disclosure is required
 by rules adopted under this section.
 SECTION 1.12.  Section 755.025(a), Health and Safety Code,
 is amended to read as follows:
 (a)  The executive director shall require each boiler to be
 inspected internally and externally at the time of initial
 installation and at subsequent intervals in accordance with the
 rules for risk-based inspections adopted under Section 51.211,
 Occupations Code [as provided by this section]. The executive
 director may provide that the inspection be performed by any
 inspector.
 SECTION 1.13.  Section 755.026(a), Health and Safety Code,
 is amended to read as follows:
 (a)  With the approval of the executive director and the
 inspection agency that has jurisdiction for the power boiler, the
 interval between internal inspections may be extended in accordance
 with the rules for risk-based inspections adopted under Section
 51.211, Occupations Code [to a period not exceeding a total of 60
 months. For unfired steam boilers or steam collection or
 liberation drums of process steam generators, the inspection
 interval may be extended to the next scheduled downtime of the
 boiler, but not exceeding a total of:
 [(1)  84 months for unfired steam boilers;
 [(2)  120 months for steam collection or liberation
 drums of process steam generators manufactured before January 1,
 1970; or
 [(3)  144 months for steam collection or liberation
 drums of process steam generators manufactured on or after January
 1, 1970].
 SECTION 1.14.  Section 202.505, Occupations Code, is amended
 to read as follows:
 Sec. 202.505.  REEXAMINATION IF LICENSE SUSPENDED OR
 REVOKED. The department may refuse to reinstate a license or to
 issue a new license until a podiatrist has passed the regular
 license examination if the commission or executive director
 suspended or revoked the license for:
 (1)  failure to satisfy continuing education
 requirements [under Section 202.305]; or
 (2)  nonpayment of the license renewal fee.
 SECTION 1.15.  Section 402.207(c), Occupations Code, is
 amended to read as follows:
 (c)  An apprentice permit holder shall work under the
 supervision of a license holder for at least one year. [During the
 apprentice year, the apprentice permit holder shall complete 20
 hours of classroom continuing education as required by Section
 402.303 for a license holder.]
 SECTION 1.16.  Section 402.305, Occupations Code, is amended
 to read as follows:
 Sec. 402.305.  CONTINUING EDUCATION EXEMPTIONS. The
 department may renew the license of a license holder who does not
 comply with the applicable continuing education requirements [of
 Section 402.303 or 402.304] if the license holder:
 (1)  was licensed for the first time during the 24
 months before the reporting date; or
 (2)  submits proof from an attending physician that the
 license holder suffered a serious or disabling illness or physical
 disability that prevented compliance with the continuing education
 requirements during the 24 months before the reporting date.
 SECTION 1.17.  Section 802.062(b), Occupations Code, is
 amended to read as follows:
 (b)  An [The] inspection by the department must be conducted
 during the facility's normal business hours, and the licensed
 breeder or a representative of the licensed breeder must be given a
 reasonable opportunity to be present during the inspection.
 SECTION 1.18.  Section 1152.106, Occupations Code, is
 amended to read as follows:
 Sec. 1152.106.  [MEETINGS;] VOTE REQUIRED FOR ACTION.  [(a)
 The council shall meet at least semiannually at the call of the
 presiding officer or at the call of a majority of its members.
 [(b)]  A decision of the council is not effective unless it
 receives the affirmative vote of at least four members.
 SECTION 1.19.  Section 1953.106, Occupations Code, is
 amended to read as follows:
 Sec. 1953.106.  RENEWAL OF CERTIFICATE. [(a)] To renew a
 certificate of registration under this chapter, a professional
 sanitarian must:
 (1)  pay to the department a renewal fee prescribed by
 the commission by rule; and
 (2)  provide proof of completion of any applicable
 continuing education requirements prescribed by the commission by
 rule.
 SECTION 1.20.  Section 1958.104, Occupations Code, is
 amended to read as follows:
 Sec. 1958.104.  RULES REGARDING LICENSE APPLICATION. The
 commission shall adopt rules regarding a license application. The
 commission shall adopt rules that establish minimum requirements
 for a license, including:
 (1)  the type of license;
 (2)  the qualifications for the license, including any
 previous training required under Section 1958.106;
 (3)  renewal requirements for the license[, including
 ongoing continuing education required under Section 1958.106]; and
 (4)  liability insurance requirements for the license.
 SECTION 1.21.  Section 1958.106, Occupations Code, is
 amended to read as follows:
 Sec. 1958.106.  TRAINING [; CONTINUING EDUCATION]. (a) The
 commission shall adopt rules regarding training required under this
 chapter [and continuing education required for a license holder
 under this chapter].
 (b)  The rules may include requirements regarding training
 [and continuing education] providers, including rules
 establishing:
 (1)  accreditation by the department;
 (2)  curriculum requirements; and
 (3)  qualifications.
 SECTION 1.22.  Section 2308.159(c), Occupations Code, is
 amended to read as follows:
 (c)  A license holder may renew a license issued under this
 chapter by:
 (1)  submitting an application on a form prescribed by
 the executive director;
 (2)  submitting evidence demonstrating compliance with
 the requirements for the license type as required by this chapter or
 commission rule;
 (3)  paying a renewal fee; and
 (4)  completing any applicable continuing education
 requirements [as required by Section 2308.157].
 SECTION 1.23.  The heading to Section 2308.2065, Occupations
 Code, is amended to read as follows:
 Sec. 2308.2065.  FEES FOR NONCONSENT TOWS [; REFUNDS].
 SECTION 1.24.  The following provisions are repealed:
 (1)  Section 1001.058(h), Education Code;
 (2)  Section 469.053(e), Government Code;
 (3)  Section 754.012(d), Health and Safety Code;
 (4)  Section 754.0174, Health and Safety Code;
 (5)  Section 755.016, Health and Safety Code;
 (6)  Sections 755.025(b), (c), (d), and (e), Health and
 Safety Code;
 (7)  Sections 755.026(c) and (c-1), Health and Safety
 Code;
 (8)  Section 51.0021, Occupations Code;
 (9)  Section 51.252(d), Occupations Code;
 (10)  Section 202.305, Occupations Code;
 (11)  Section 202.5085, Occupations Code;
 (12)  Section 203.304, Occupations Code;
 (13)  Section 203.406, Occupations Code;
 (14)  Section 401.355, Occupations Code;
 (15)  Section 402.303, Occupations Code;
 (16)  Section 403.152, Occupations Code;
 (17)  Section 455.0571, Occupations Code;
 (18)  Section 506.105, Occupations Code;
 (19)  Section 605.261, Occupations Code;
 (20)  Section 701.303, Occupations Code;
 (21)  Section 701.512, Occupations Code;
 (22)  Section 802.062(a), Occupations Code;
 (23)  Section 802.065(e), Occupations Code;
 (24)  Section 1151.1581, Occupations Code;
 (25)  Section 1152.204, Occupations Code;
 (26)  Section 1302.208(a), Occupations Code;
 (27)  Section 1305.055, Occupations Code;
 (28)  Section 1305.168, Occupations Code;
 (29)  Section 1901.107(a), Occupations Code;
 (30)  Section 1952.1051, Occupations Code;
 (31)  Section 1958.056(b), Occupations Code;
 (32)  Section 2303.056(b), Occupations Code;
 (33)  Section 2308.055, Occupations Code;
 (34)  Section 2308.157, Occupations Code;
 (35)  Section 2308.2065(c), Occupations Code;
 (36)  Section 2309.056, Occupations Code; and
 (37)  Section 2309.106(a), Occupations Code.
 SECTION 1.25.  (a) Except as provided by Subsection (b) of
 this section, Section 51.054, Occupations Code, as amended by this
 article, applies to a member of the Texas Commission of Licensing
 and Regulation appointed before, on, or after the effective date of
 this Act.
 (b)  A member of the Texas Commission of Licensing and
 Regulation who, before the effective date of this Act, completed
 the training program required by Section 51.054, Occupations Code,
 as that law existed before the effective date of this Act, is only
 required to complete additional training on the subjects added by
 this article to the training program required by Section 51.054,
 Occupations Code. A member described by this subsection may not
 vote, deliberate, or be counted as a member in attendance at a
 meeting of the commission held on or after December 1, 2021, until
 the member completes the additional training.
 ARTICLE 2. DEREGULATION
 SECTION 2.01.  The following provisions of the Occupations
 Code are repealed:
 (1)  Chapter 1703;
 (2)  Chapter 1802; and
 (3)  Section 2052.002(11-a).
 SECTION 2.02.  Articles 18.19(c), (d), and (e), Code of
 Criminal Procedure, are amended to read as follows:
 (c)  If there is no prosecution or conviction for an offense
 involving the weapon seized, the magistrate to whom the seizure was
 reported shall, before the 61st day after the date the magistrate
 determines that there will be no prosecution or conviction, notify
 in writing the person found in possession of the weapon that the
 person is entitled to the weapon upon written request to the
 magistrate. The magistrate shall order the weapon returned to the
 person found in possession before the 61st day after the date the
 magistrate receives a request from the person. If the weapon is not
 requested before the 61st day after the date of notification, the
 magistrate shall, before the 121st day after the date of
 notification, order the weapon destroyed, sold at public sale by
 the law enforcement agency holding the weapon or by an auctioneer
 [licensed under Chapter 1802, Occupations Code], or forfeited to
 the state for use by the law enforcement agency holding the weapon
 or by a county forensic laboratory designated by the magistrate. If
 the magistrate does not order the return, destruction, sale, or
 forfeiture of the weapon within the applicable period prescribed by
 this subsection, the law enforcement agency holding the weapon may
 request an order of destruction, sale, or forfeiture of the weapon
 from the magistrate. Only a firearms dealer licensed under 18
 U.S.C. Section 923 may purchase a weapon at public sale under this
 subsection. Proceeds from the sale of a  seized weapon under this
 subsection shall be transferred, after the deduction of court costs
 to which a district court clerk is entitled under Article 59.05(f),
 followed by the deduction of auction costs, to the law enforcement
 agency holding the weapon.
 (d)  A person either convicted or receiving deferred
 adjudication under Chapter 46, Penal Code, is entitled to the
 weapon seized upon request to the court in which the person was
 convicted or placed on deferred adjudication. However, the court
 entering the judgment shall order the weapon destroyed, sold at
 public sale by the law enforcement agency holding the weapon or by
 an auctioneer [licensed under Chapter 1802, Occupations Code],  or
 forfeited to the state for use by the law enforcement agency holding
 the weapon or by a county forensic laboratory designated by the
 court if:
 (1)  the person does not request the weapon before the
 61st day after the date of the judgment of conviction or the order
 placing the person on deferred adjudication;
 (2)  the person has been previously convicted under
 Chapter 46, Penal Code;
 (3)  the weapon is one defined as a prohibited weapon
 under Chapter 46, Penal Code;
 (4)  the offense for which the person is convicted or
 receives deferred adjudication was committed in or on the premises
 of a playground, school, video arcade facility, or youth center, as
 those terms are defined by Section 481.134, Health and Safety Code;
 or
 (5)  the court determines based on the prior criminal
 history of the defendant or based on the circumstances surrounding
 the commission of the offense that possession of the seized weapon
 would pose a threat to the community or one or more individuals.
 (e)  If the person found in possession of a weapon is
 convicted of an offense involving the use of the weapon, before the
 61st day after the date of conviction the court entering judgment of
 conviction shall order destruction of the weapon, sale at public
 sale by the law enforcement agency holding the weapon or by an
 auctioneer [licensed under Chapter 1802, Occupations Code],  or
 forfeiture to the state for use by the law enforcement agency
 holding the weapon or by a county forensic laboratory designated by
 the court. If the court entering judgment of conviction does not
 order the destruction, sale, or forfeiture of the weapon within the
 period prescribed by this subsection, the law enforcement agency
 holding the weapon may request an order of destruction, sale, or
 forfeiture of the weapon from a magistrate. Only a firearms dealer
 licensed under 18 U.S.C. Section 923 may purchase a weapon at public
 sale under this subsection. Proceeds from the sale of a seized
 weapon under this subsection shall be transferred, after the
 deduction of court costs to which a district court clerk is entitled
 under Article 59.05(f), followed by the deduction of auction costs,
 to the law enforcement agency holding the weapon.
 SECTION 2.03.  Section 54.0405(d), Family Code, is amended
 to read as follows:
 (d)  A polygraph examination required as a condition of
 probation under Subsection (a) must be administered by an
 individual who is [:
 [(1)]  specified by the local juvenile probation
 department supervising the child [; and
 [(2)  licensed as a polygraph examiner under Chapter
 1703, Occupations Code].
 SECTION 2.04.  Sections 411.0074(c) and (d), Government
 Code, are amended to read as follows:
 (c)  The polygraph examination required by this section may
 only be administered by a polygraph examiner [licensed under
 Chapter 1703, Occupations Code,] who:
 (1)  is a peace officer commissioned by the department;
 or
 (2)  has a minimum of two years of experience
 conducting preemployment polygraph examinations for a law
 enforcement agency.
 (d)  The department and the polygraph examiner shall
 maintain the confidentiality of the results of a polygraph
 examination administered under this section, except that [:
 [(1)  the department and the polygraph examiner may
 disclose the results in accordance with Section 1703.306,
 Occupations Code; and
 [(2)  notwithstanding Section 1703.306, Occupations
 Code,] the department may disclose any admission of criminal
 conduct made during the course of an examination to another
 appropriate governmental entity.
 SECTION 2.05.  Section 245.053(d), Human Resources Code, is
 amended to read as follows:
 (d)  A polygraph examination required as a condition of
 release under Subsection (a) must be administered by an individual
 who is [:
 [(1)]  specified by the department [; and
 [(2)  licensed as a polygraph examiner under Chapter
 1703, Occupations Code].
 SECTION 2.06.  Section 252.022(a), Local Government Code, is
 amended to read as follows:
 (a)  This chapter does not apply to an expenditure for:
 (1)  a procurement made because of a public calamity
 that requires the immediate appropriation of money to relieve the
 necessity of the municipality's residents or to preserve the
 property of the municipality;
 (2)  a procurement necessary to preserve or protect the
 public health or safety of the municipality's residents;
 (3)  a procurement necessary because of unforeseen
 damage to public machinery, equipment, or other property;
 (4)  a procurement for personal, professional, or
 planning services;
 (5)  a procurement for work that is performed and paid
 for by the day as the work progresses;
 (6)  a purchase of land or a right-of-way;
 (7)  a procurement of items that are available from
 only one source, including:
 (A)  items that are available from only one source
 because of patents, copyrights, secret processes, or natural
 monopolies;
 (B)  films, manuscripts, or books;
 (C)  gas, water, and other utility services;
 (D)  captive replacement parts or components for
 equipment;
 (E)  books, papers, and other library materials
 for a public library that are available only from the persons
 holding exclusive distribution rights to the materials; and
 (F)  management services provided by a nonprofit
 organization to a municipal museum, park, zoo, or other facility to
 which the organization has provided significant financial or other
 benefits;
 (8)  a purchase of rare books, papers, and other
 library materials for a public library;
 (9)  paving drainage, street widening, and other public
 improvements, or related matters, if at least one-third of the cost
 is to be paid by or through special assessments levied on property
 that will benefit from the improvements;
 (10)  a public improvement project, already in
 progress, authorized by the voters of the municipality, for which
 there is a deficiency of funds for completing the project in
 accordance with the plans and purposes authorized by the voters;
 (11)  a payment under a contract by which a developer
 participates in the construction of a public improvement as
 provided by Subchapter C, Chapter 212;
 (12)  personal property sold:
 (A)  at an auction [by a state licensed
 auctioneer];
 (B)  at a going out of business sale held in
 compliance with Subchapter F, Chapter 17, Business & Commerce Code;
 (C)  by a political subdivision of this state, a
 state agency of this state, or an entity of the federal government;
 or
 (D)  under an interlocal contract for cooperative
 purchasing administered by a regional planning commission
 established under Chapter 391;
 (13)  services performed by blind or severely disabled
 persons;
 (14)  goods purchased by a municipality for subsequent
 retail sale by the municipality;
 (15)  electricity; or
 (16)  advertising, other than legal notices.
 SECTION 2.07.  Section 262.024(a), Local Government Code, is
 amended to read as follows:
 (a)  A contract for the purchase of any of the following
 items is exempt from the requirement established by Section 262.023
 if the commissioners court by order grants the exemption:
 (1)  an item that must be purchased in a case of public
 calamity if it is necessary to make the purchase promptly to relieve
 the necessity of the citizens or to preserve the property of the
 county;
 (2)  an item necessary to preserve or protect the
 public health or safety of the residents of the county;
 (3)  an item necessary because of unforeseen damage to
 public property;
 (4)  a personal or professional service;
 (5)  any individual work performed and paid for by the
 day, as the work progresses, provided that no individual is
 compensated under this subsection for more than 20 working days in
 any three month period;
 (6)  any land or right-of-way;
 (7)  an item that can be obtained from only one source,
 including:
 (A)  items for which competition is precluded
 because of the existence of patents, copyrights, secret processes,
 or monopolies;
 (B)  films, manuscripts, or books;
 (C)  electric power, gas, water, and other utility
 services; and
 (D)  captive replacement parts or components for
 equipment;
 (8)  an item of food;
 (9)  personal property sold:
 (A)  at an auction [by a state licensed
 auctioneer];
 (B)  at a going out of business sale held in
 compliance with Subchapter F, Chapter 17, Business & Commerce Code;
 or
 (C)  by a political subdivision of this state, a
 state agency of this state, or an entity of the federal government;
 (10)  any work performed under a contract for community
 and economic development made by a county under Section 381.004; or
 (11)  vehicle and equipment repairs.
 SECTION 2.08.  Section 263.153(c), Local Government Code, is
 amended to read as follows:
 (c)  A county that contracts with an auctioneer [licensed
 under Chapter 1802, Occupations Code,] who uses an Internet auction
 site offering online bidding through the Internet to sell surplus
 or salvage property under this subchapter having an estimated value
 of not more than $500 shall satisfy the notice requirement under
 this section by posting the property on the site for at least 10
 days unless the property is sold before the 10th day.
 SECTION 2.09.  Section 1101.005, Occupations Code, is
 amended to read as follows:
 Sec. 1101.005.  APPLICABILITY OF CHAPTER.  This chapter
 does not apply to:
 (1)  an attorney licensed in this state;
 (2)  an attorney-in-fact authorized under a power of
 attorney to conduct not more than three real estate transactions
 annually;
 (3)  a public official while engaged in official
 duties;
 (4)  an auctioneer [licensed under Chapter 1802] while
 conducting the sale of real estate by auction if the auctioneer does
 not perform another act of a broker;
 (5)  a person conducting a real estate transaction
 under a court order or the authority of a will or written trust
 instrument;
 (6)  a person employed by an owner in the sale of
 structures and land on which structures are located if the
 structures are erected by the owner in the course of the owner's
 business;
 (7)  an on-site manager of an apartment complex;
 (8)  an owner or the owner's employee who leases the
 owner's improved or unimproved real estate; or
 (9)  a transaction involving:
 (A)  the sale, lease, or transfer of a mineral or
 mining interest in real property;
 (B)  the sale, lease, or transfer of a cemetery
 lot;
 (C)  the lease or management of a hotel or motel;
 or
 (D)  the sale of real property under a power of
 sale conferred by a deed of trust or other contract lien.
 SECTION 2.10.  Section 2052.107, Occupations Code, is
 amended to read as follows:
 Sec. 2052.107.  OTHER COMBATIVE SPORTS LICENSES. Unless a
 person holds a license or registration issued under this chapter,
 the person may not act as a combative sports:
 (1)  professional contestant;
 (2)  manager of a professional contestant;
 (3)  referee; or
 (4)  judge [;
 [(5)  second;
 [(6)  matchmaker; or
 [(7)  event coordinator].
 SECTION 2.11.  Sections 33.25(b), (f), and (g), Tax Code,
 are amended to read as follows:
 (b)  The commissioners court of a county having a population
 of three million or more by official action may authorize a peace
 officer or the collector for the county charged with selling
 property under this subchapter by public auction to enter into an
 agreement with an auctioneer [a person who holds an auctioneer's
 license] to advertise the auction sale of the property and to
 conduct the auction sale of the property. The agreement may provide
 for on-line bidding and sale.
 (f)  The proceeds of a sale of property under this section
 shall be applied to:
 (1)  any compensation owed to or any expense advanced
 by the [licensed] auctioneer under an agreement entered into under
 Subsection (b) or a service provider under an agreement entered
 into under Subsection (c);
 (2)  all usual costs, expenses, and fees of the seizure
 and sale, payable to the peace officer conducting the sale;
 (3)  all additional expenses incurred in advertising
 the sale or in removing, storing, preserving, or safeguarding the
 seized property pending its sale;
 (4)  all usual court costs payable to the clerk of the
 court that issued the tax warrant; and
 (5)  taxes, penalties, interest, and attorney's fees
 included in the application for warrant.
 (g)  The peace officer or [licensed] auctioneer conducting
 the sale shall pay all proceeds from the sale to the collector
 designated in the tax warrant for distribution as required by
 Subsection (f).
 SECTION 2.12.  Section 460.406(c), Transportation Code, is
 amended to read as follows:
 (c)  The board of directors may authorize the negotiation of
 a contract without competitive sealed bids or proposals if:
 (1)  the aggregate amount involved in the contract is
 less than the greater of:
 (A)  $50,000; or
 (B)  the amount of an expenditure under a contract
 that would require a municipality to comply with Section
 252.021(a), Local Government Code;
 (2)  the contract is for construction for which not
 more than one bid or proposal is received;
 (3)  the contract is for services or property for which
 there is only one source or for which it is otherwise impracticable
 to obtain competition, including:
 (A)  items that are available from only one source
 because of patents, copyrights, secret processes, or natural
 monopolies;
 (B)  gas, water, and other utility services; and
 (C)  captive replacement parts or components for
 equipment;
 (4)  the contract is to respond to an emergency for
 which the public exigency does not permit the delay incident to the
 competitive process;
 (5)  the contract is for personal, professional, or
 planning services;
 (6)  the contract, without regard to form and which may
 include bonds, notes, loan agreements, or other obligations, is for
 the purpose of borrowing money or is a part of a transaction
 relating to the borrowing of money, including:
 (A)  a credit support agreement, such as a line or
 letter of credit or other debt guaranty;
 (B)  a bond, note, debt sale or purchase, trustee,
 paying agent, remarketing agent, indexing agent, or similar
 agreement;
 (C)  an agreement with a securities dealer,
 broker, or underwriter; and
 (D)  any other contract or agreement considered by
 the board of directors to be appropriate or necessary in support of
 the authority's financing activities;
 (7)  the contract is for work that is performed and paid
 for by the day as the work progresses;
 (8)  the contract is for the lease or purchase of an
 interest in land;
 (9)  the contract is for the purchase of personal
 property sold:
 (A)  at an auction [by a state licensed
 auctioneer];
 (B)  at a going out of business sale held in
 compliance with Subchapter F, Chapter 17, Business & Commerce Code;
 or
 (C)  by a political subdivision of this state, a
 state agency, or an entity of the federal government;
 (10)  the contract is for services performed by persons
 who are blind or have severe disabilities;
 (11)  the contract is for the purchase of electricity;
 (12)  the contract is one for an authority project and
 awarded for alternate project delivery using the procedures,
 requirements, and limitations under Subchapters E, F, G, H, and I,
 Chapter 2269, Government Code; or
 (13)  the contract is for fare enforcement officer
 services under Section 460.1092.
 SECTION 2.13.  Sections 503.024(b) and (d), Transportation
 Code, are amended to read as follows:
 (b)  For the purposes of Section 503.021, a person is not
 engaging in business as a dealer by:
 (1)  selling or offering to sell, if the sale or offer
 is not made to avoid a requirement of this chapter, a vehicle the
 person acquired for personal or business use to:
 (A)  a person other than a retail buyer if not sold
 or offered through an [a licensed] auctioneer; or
 (B)  any person if the sale or offer is made
 through an [a licensed] auctioneer;
 (2)  selling, in a manner provided by law for the forced
 sale of vehicles, a vehicle in which the person holds a security
 interest;
 (3)  acting under a court order as a receiver, trustee,
 administrator, executor, guardian, or other appointed person;
 (4)  selling a vehicle the person acquired from the
 vehicle's owner as a result of paying an insurance claim if the
 person is an insurance company;
 (5)  selling an antique passenger car or truck that is
 at least 25 years of age; or
 (6)  selling a special interest vehicle that is at
 least 12 years of age if the person is a collector.
 (d)  For the purposes of Section 503.021, an [a licensed]
 auctioneer is not engaging in business as a dealer by, as a bid
 caller, selling or offering to sell property, including a business
 that holds the title to any number of vehicles, to the highest
 bidder at a bona fide auction if:
 (1)  legal or equitable title does not pass to the
 auctioneer;
 (2)  the auction is not held to avoid a requirement of
 this chapter; and
 (3)  for an auction of vehicles owned legally or
 equitably by a person who holds a general distinguishing number,
 the auction is conducted at the location for which the general
 distinguishing number was issued.
 SECTION 2.14.  On the effective date of this Act:
 (1)  the Polygraph Advisory Committee is abolished;
 (2)  the Auctioneer Advisory Board is abolished; and
 (3)  money in the auctioneer education and recovery
 fund is transferred to the general revenue fund.
 SECTION 2.15.  On the effective date of this Act, a pending
 regulatory action, including a complaint investigation,
 disciplinary action, or administrative penalty proceeding, of the
 Texas Department of Licensing and Regulation with respect to a
 license, permit, or certification issued under a law repealed by
 this article, is terminated.
 SECTION 2.16.  On the effective date of this Act, a license,
 permit, or certification issued under a law repealed by this
 article expires.
 ARTICLE 3. BARBERING AND COSMETOLOGY
 SECTION 3.01.  Section 1603.001, Occupations Code, is
 amended to read as follows:
 Sec. 1603.001.  GENERAL DEFINITIONS. [(a)] In this
 chapter:
 (1)  "Advisory board" means the Barbering and
 Cosmetology Advisory Board.
 (2)  "Commission" means the Texas Commission of
 Licensing and Regulation.
 (3) [(2)]  "Department" means the Texas Department of
 Licensing and Regulation.
 (4)  "Establishment" means a place that holds a license
 issued under Subchapter E-2 in which barbering or cosmetology is
 practiced.
 (5) [(3)]  "Executive director" means the executive
 director of the department.
 (6)  "Manager" means the person who controls or directs
 the business of an establishment or directs the work of a person
 employed in an establishment.
 (7)  "School" means a place that holds a license issued
 under Subchapter E-3 to teach barbering or cosmetology.
 [(b)  Unless the context clearly indicates otherwise, the
 definitions in Chapters 1601 and 1602 apply to this chapter.]
 SECTION 3.02.  Subchapter A, Chapter 1603, Occupations Code,
 is amended by adding Sections 1603.0011, 1603.0012, 1603.0013, and
 1603.0014 to read as follows:
 Sec. 1603.0011.  DEFINITION OF BARBERING. In this chapter,
 "barbering" means:
 (1)  the practice of performing or offering or
 attempting to perform for compensation or the promise of
 compensation any of the following services:
 (A)  treating a person's mustache or beard by
 arranging, beautifying, coloring, processing, shaving, styling, or
 trimming;
 (B)  treating a person's hair by:
 (i)  arranging, beautifying, bleaching,
 cleansing, coloring, curling, dressing, dyeing, processing,
 shaping, singeing, straightening, styling, tinting, or waving;
 (ii)  providing a necessary service that is
 preparatory or ancillary to a service under Subparagraph (i),
 including bobbing, clipping, cutting, or trimming; or
 (iii)  cutting the person's hair as a
 separate and independent service for which a charge is directly or
 indirectly made separately from a charge for any other service;
 (C)  cleansing, stimulating, or massaging a
 person's scalp, face, neck, arms, or shoulders:
 (i)  by hand or by using a device, apparatus,
 or appliance; and
 (ii)  with or without the use of any cosmetic
 preparation, antiseptic, tonic, lotion, or cream;
 (D)  beautifying a person's face, neck, arms, or
 shoulders using a cosmetic preparation, antiseptic, tonic, lotion,
 powder, oil, clay, cream, or appliance;
 (E)  treating a person's nails by:
 (i)  cutting, trimming, polishing, tinting,
 coloring, cleansing, manicuring, or pedicuring; or
 (ii)  attaching false nails;
 (F)  massaging, cleansing, treating, or
 beautifying a person's hands;
 (G)  administering facial treatments; or
 (H)  weaving a person's hair by using any method
 to attach commercial hair to a person's hair or scalp;
 (2)  advertising or representing to the public in any
 manner that a person is a barber or is authorized to practice
 barbering; or
 (3)  advertising or representing to the public in any
 manner that a location or place of business is an establishment or
 school.
 Sec. 1603.0012.  DEFINITION OF COSMETOLOGY. (a)  In this
 chapter, "cosmetology" means the practice of performing or offering
 to perform for compensation any of the following services:
 (1)  treating a person's hair by:
 (A)  providing any method of treatment as a
 primary service, including arranging, beautifying, bleaching,
 cleansing, coloring, cutting, dressing, dyeing, processing,
 shaping, singeing, straightening, styling, tinting, or waving;
 (B)  providing a necessary service that is
 preparatory or ancillary to a service under Paragraph (A),
 including bobbing, clipping, cutting, or trimming a person's hair
 or shaving a person's neck with a safety razor; or
 (C)  cutting the person's hair as a separate and
 independent service for which a charge is directly or indirectly
 made separately from charges for any other service;
 (2)  treating a person's mustache or beard by
 arranging, beautifying, coloring, processing, styling, trimming,
 or shaving with a safety razor;
 (3)  cleansing, stimulating, or massaging a person's
 scalp, face, neck, or arms:
 (A)  by hand or by using a device, apparatus, or
 appliance; and
 (B)  with or without the use of any cosmetic
 preparation, antiseptic, tonic, lotion, or cream;
 (4)  beautifying a person's face, neck, or arms using a
 cosmetic preparation, antiseptic, tonic, lotion, powder, oil,
 clay, cream, or appliance;
 (5)  administering facial treatments;
 (6)  removing superfluous hair from a person's body
 using depilatories, preparations or chemicals, tweezers, or other
 devices or appliances of any kind or description;
 (7)  treating a person's nails by:
 (A)  cutting, trimming, polishing, tinting,
 coloring, cleansing, or manicuring; or
 (B)  attaching false nails;
 (8)  massaging, cleansing, treating, or beautifying a
 person's hands or feet;
 (9)  applying semipermanent, thread-like extensions
 composed of single fibers to a person's eyelashes; or
 (10)  weaving a person's hair.
 (b)  In this section, "safety razor" means a razor that is
 fitted with a guard close to the cutting edge of the razor that is
 intended to:
 (1)  prevent the razor from cutting too deeply; and
 (2)  reduce the risk and incidence of accidental cuts.
 Sec. 1603.0013.  SERVICES NOT CONSTITUTING BARBERING OR
 COSMETOLOGY. Barbering and cosmetology do not include:
 (1)  threading, which involves removing unwanted hair
 from a person by using a piece of thread that is looped around the
 hair and pulled to remove the hair and includes the incidental
 trimming of eyebrow hair; or
 (2)  servicing a person's wig, toupee, or artificial
 hairpiece on a person's head or on a block after the initial retail
 sale in any manner described by:
 (A)  Section 1603.0011(1)(B); or
 (B)  Section 1603.0012(a)(1).
 Sec. 1603.0014.  APPLICATION OF CHAPTER. This chapter does
 not apply to a person who:
 (1)  does not represent or advertise to the public
 directly or indirectly that the person is authorized by the
 department to practice barbering or cosmetology and the person is:
 (A)  licensed in this state to practice medicine,
 dentistry, podiatry, chiropractic, or nursing and operating within
 the scope of the person's license;
 (B)  a commissioned or authorized medical or
 surgical officer of the United States armed forces; or
 (C)  an inmate in the institutional division of
 the Texas Department of Criminal Justice who performs barbering or
 cosmetology during the person's incarceration;
 (2)  provides a service in an emergency;
 (3)  is in the business of or receives compensation for
 makeup applications only;
 (4)  provides a cosmetic service as a volunteer or an
 employee performing regular duties at a licensed nursing or
 convalescent custodial or personal care home to a patient residing
 in the home;
 (5)  owns, operates, or manages a licensed nursing or
 convalescent custodial or personal care home that allows a person
 with an operator license to perform cosmetic services for patients
 residing in the home on an occasional but not daily basis;
 (6)  provides an incidental cosmetic service, or owns,
 operates, or manages the location where that service is provided,
 if the primary purpose of the service is to enable or assist the
 recipient of the service to participate as the subject of:
 (A)  a photographic sitting at a permanent
 establishment that charges a fee exclusively for a photographic
 sitting;
 (B)  a television appearance; or
 (C)  the filming of a motion picture; or
 (7)  performs only natural hair braiding, including
 braiding a person's hair, trimming hair extensions only as
 applicable to the braiding process, and attaching commercial hair
 by braiding and without the use of chemicals or adhesives.
 SECTION 3.03.  Section 1603.002, Occupations Code, is
 amended to read as follows:
 Sec. 1603.002.  REGULATION OF BARBERING AND COSMETOLOGY BY
 DEPARTMENT OF LICENSING AND REGULATION. The department shall
 administer this chapter [and Chapters 1601 and 1602.  A reference
 in this chapter to the commission's or department's powers or duties
 applies only in relation to those chapters, except that this
 section does not limit the department's or commission's general
 powers under Chapter 51].
 SECTION 3.04.  Subchapter B, Chapter 1603, Occupations Code,
 is amended to read as follows:
 SUBCHAPTER B. [ADVISORY BOARDS FOR] BARBERING AND COSMETOLOGY
 ADVISORY BOARD
 Sec. 1603.051.  ADVISORY BOARD; MEMBERSHIP. The Barbering
 and Cosmetology Advisory Board consists of nine members appointed
 by the presiding officer of the commission, with the commission's
 approval, as follows:
 (1)  four members who each hold an individual
 practitioner license under Subchapter E-1, including:
 (A)  at least one holder of a Class A barber
 license; and
 (B)  at least one holder of a cosmetology operator
 license;
 (2)  two members who each hold an establishment
 license;
 (3)  two members who each hold a school license; and
 (4)  one member who represents the public.
 Sec. 1603.052.  DUTIES OF ADVISORY BOARD. (a) The advisory
 board [boards established under Chapters 1601 and 1602] shall
 advise the commission and the department on:
 (1)  education and curricula for applicants;
 (2)  the content of examinations;
 (3)  proposed rules and standards on technical issues
 related to barbering and cosmetology; and
 (4)  other issues affecting [administering this
 chapter and Chapters 1601 and 1602 regarding] barbering and [or]
 cosmetology[, as applicable].
 (b)  The advisory board shall respond to questions from the
 commission and the department regarding barbering and cosmetology.
 Sec. 1603.053.  TERMS; VACANCY. (a) Members of the
 advisory board serve staggered six-year terms, with the terms of
 three members expiring January 31 of each odd-numbered year.
 (b)  If a vacancy occurs during a member's term, the
 presiding officer of the commission, with the commission's
 approval, shall appoint a replacement to fill the unexpired term.
 Sec. 1603.054.  PRESIDING OFFICER; TERM. (a) Subject to
 Subsection (b), the presiding officer of the commission shall
 designate a member of the advisory board to serve as the presiding
 officer of the advisory board for a two-year term.
 (b)  The presiding officer of the commission shall designate
 each member of the advisory board who represents the public to serve
 as the presiding officer of the advisory board for at least one
 term.
 SECTION 3.05.  Section 1603.101, Occupations Code, is
 amended to read as follows:
 Sec. 1603.101.  RULES. The commission shall adopt rules
 consistent with this chapter for[:
 [(1)]  the administration of this chapter and the
 operations of the department in regulating barbering and
 cosmetology[; and
 [(2)  the administration of Chapters 1601 and 1602].
 SECTION 3.06.  Section 1603.103(a), Occupations Code, is
 amended to read as follows:
 (a)  Until the department determines, by inspection, that
 the person has established the school in compliance with this
 chapter, [Chapter 1601, or Chapter 1602,] a person may not operate a
 school licensed [or permitted] under this chapter[, Chapter 1601,
 or Chapter 1602].
 SECTION 3.07.  Sections 1603.104(a) and (d), Occupations
 Code, are amended to read as follows:
 (a)  The department may enter and inspect at any time during
 business hours:
 (1)  the place of business of any person regulated
 under this chapter[, Chapter 1601, or Chapter 1602]; or
 (2)  any place in which the department has reasonable
 cause to believe that a [certificate,] license[,] or permit holder
 is practicing in violation of this chapter[, Chapter 1601, or
 Chapter 1602] or in violation of a rule or order of the commission
 or executive director.
 (d)  An inspector who discovers a violation of this chapter[,
 Chapter 1601, or Chapter 1602] or of a rule or order of the
 commission or executive director shall:
 (1)  provide written notice of the violation to the
 license[, certificate,] or permit holder on a form prescribed by
 the department; and
 (2)  file a complaint with the executive director.
 SECTION 3.08.  Section 1603.1045, Occupations Code, is
 amended to read as follows:
 Sec. 1603.1045.  CONTRACT TO PERFORM INSPECTIONS. The
 department may contract with a person to perform for the department
 inspections of a school or establishment [, shop, or other facility
 under this chapter, Chapter 1601, or Chapter 1602].
 SECTION 3.09.  Subchapter C, Chapter 1603, Occupations Code,
 is amended by adding Section 1603.106 to read as follows:
 Sec. 1603.106.  CERTAIN BUILDING AND FACILITY STANDARDS
 PROHIBITED. The commission may not establish building or facility
 standards for a school that are not related to health and safety,
 including a requirement that a building or facility of the school
 have a specific:
 (1)  square footage of floor space;
 (2)  number of chairs; or
 (3)  number of sinks.
 SECTION 3.10.  Section 1603.151, Occupations Code, is
 amended to read as follows:
 Sec. 1603.151.  NOTIFICATION OF PUBLIC INTEREST INFORMATION
 AND PARTICIPATION. The commission by rule shall establish methods
 by which consumers and service recipients are notified of the name,
 mailing address, and telephone number of the department for the
 purpose of directing complaints to the department regarding
 barbering and cosmetology. The department may provide for that
 notice:
 (1)  on each registration form, application, or written
 contract for services of a person regulated under this chapter[,
 Chapter 1601, or Chapter 1602];
 (2)  on a sign prominently displayed in the place of
 business of each person regulated under this chapter[, Chapter
 1601, or Chapter 1602]; or
 (3)  in a bill for service provided by a person
 regulated under this chapter[, Chapter 1601, or Chapter 1602].
 SECTION 3.11.  The heading to Subchapter E, Chapter 1603,
 Occupations Code, is amended to read as follows:
 SUBCHAPTER E. GENERAL [CERTIFICATE,] LICENSE[,] AND PERMIT
 PROVISIONS [REQUIREMENTS]
 SECTION 3.12.  Subchapter E, Chapter 1603, Occupations Code,
 is amended by adding Section 1603.2001 to read as follows:
 Sec. 1603.2001.  RULES FOR ISSUANCE OF LICENSE OR PERMIT.
 (a) The commission by rule shall establish requirements for the
 issuance of:
 (1)  a license for an individual practitioner,
 establishment, or school; and
 (2)  a student permit.
 (b)  A requirement established for the issuance of a license
 must be the least restrictive requirement possible to ensure public
 safety without creating a barrier to entry into the licensed
 occupation.
 (c)  Requirements established under this section:
 (1)  for an individual practitioner specialty license
 may not be more stringent than requirements for a Class A barber
 license or a cosmetology operator license; and
 (2)  for a specialty establishment license may not be
 more stringent than requirements for an establishment license.
 (d)  The commission, as appropriate, shall establish
 standardized requirements within license categories.
 SECTION 3.13.  Sections 1603.201 and 1603.202, Occupations
 Code, are amended to read as follows:
 Sec. 1603.201.  APPLICATION FORM. An application for a
 [certificate,] license[,] or permit under this chapter must be made
 on a form prescribed [and provided] by the department.
 Sec. 1603.202.  DUPLICATE [CERTIFICATE,] LICENSE[,] OR
 PERMIT. The department shall issue a duplicate [certificate,]
 license[,] or permit to an applicant who:
 (1)  submits an application for a duplicate
 [certificate,] license[,] or permit to the department; and
 (2)  pays the required fee.
 SECTION 3.14.  Subchapter E, Chapter 1603, Occupations Code,
 is amended by adding Section 1603.2025 to read as follows:
 Sec. 1603.2025.  TEMPORARY LICENSE. (a)  The department may
 issue a temporary license.
 (b)  The commission by rule may establish requirements for
 the issuance of a temporary license.
 (c)  A temporary license expires on the 60th day after the
 date the license is issued. A temporary license may not be renewed.
 SECTION 3.15.  Sections 1603.203 and 1603.204, Occupations
 Code, are amended to read as follows:
 Sec. 1603.203.  PROVISIONAL [CERTIFICATE OR] LICENSE. (a)
 The department may issue a provisional [certificate or] license to
 an applicant currently licensed in another jurisdiction who seeks a
 [certificate or] license in this state and who:
 (1)  has been licensed in good standing in the
 profession for which the person seeks the [certificate or] license
 for at least two years in another jurisdiction, including a foreign
 country, that has requirements substantially equivalent to the
 requirements of this chapter [, Chapter 1601, or Chapter 1602, as
 appropriate]; and
 (2)  has passed a national or other examination
 recognized by the commission relating to the practice of that
 profession.
 (b)  A provisional [certificate or] license is valid until
 the date the department approves or denies the provisional
 [certificate or] license holder's application.  The department
 shall issue a [certificate or] license to the provisional
 [certificate or] license holder if:
 (1)  the provisional [certificate or] license holder is
 eligible to hold a [certificate or] license under this chapter
 [Chapter 1601 or Chapter 1602]; or
 (2)  the provisional [certificate or] license holder
 passes the part of the examination [under Chapter 1601 or Chapter
 1602] that relates to the applicant's knowledge and understanding
 of the laws and rules relating to the practice of the profession in
 this state and:
 (A)  the department verifies that the provisional
 [certificate or] license holder meets the academic and experience
 requirements for the [certificate or] license; and
 (B)  the provisional [certificate or] license
 holder satisfies any other [certificate or] license requirements.
 (c)  The department must approve or deny a provisional
 [certificate or] license holder's application for a [certificate
 or] license not later than the 180th day after the date the
 provisional [certificate or] license is issued. The department may
 extend the 180-day period if the results of an examination have not
 been received by the department before the end of that period.
 Sec. 1603.204.  RECIPROCAL [CERTIFICATE,] LICENSE[, OR
 PERMIT]. (a) A person who holds a license[, certificate, or
 permit] to practice barbering or cosmetology from another state or
 country that has standards or work experience requirements that are
 substantially equivalent to the requirements of this chapter [,
 Chapter 1601, or Chapter 1602] may apply for a license[,
 certificate, or permit] to perform the same acts of barbering or
 cosmetology in this state that the person practiced in the other
 state or country.
 (b)  The person must:
 (1)  submit an application for the license[,
 certificate, or permit] to the department; and
 (2)  pay fees in an amount prescribed by the
 commission, including any applicable license[, certificate, or
 permit] fee.
 (c)  A person issued a license[, certificate, or permit]
 under this section:
 (1)  may perform the acts of barbering or cosmetology
 stated on the license[, certificate, or permit]; and
 (2)  is subject to the renewal procedures and fees
 provided in this chapter [, Chapter 1601, or Chapter 1602] for the
 performance of those acts of barbering or cosmetology.
 SECTION 3.16.  Subchapter E, Chapter 1603, Occupations Code,
 is amended by adding Sections 1603.2041 and 1603.2042 to read as
 follows:
 Sec. 1603.2041.  INACTIVE STATUS. (a) The holder of a
 license issued under this chapter may place the license on inactive
 status by:
 (1)  applying to the commission on a form prescribed by
 the commission not later than the 10th day before the date the
 license expires; and
 (2)  paying the required fee.
 (b)  The holder of a license that has been placed on inactive
 status under this section is not required to comply with any
 continuing education requirements established by the commission
 under this chapter.
 (c)  To maintain inactive status, the holder of a license
 must reapply for inactive status on or before the second
 anniversary of the date the status is granted by submitting the
 required form accompanied by the required renewal fee.
 (d)  The holder of a license to practice barbering or
 cosmetology that has been placed on inactive status under this
 section may not perform or attempt to perform the practice of
 barbering or cosmetology.
 (e)  A person whose license is on inactive status under this
 section may return the person's license to active status by:
 (1)  applying to the commission for reinstatement of
 the license on the form prescribed by the commission;
 (2)  submitting written documentation that the person
 has completed any applicable continuing education requirements
 under this chapter within the preceding two years; and
 (3)  paying the required license fee.
 Sec. 1603.2042.  REINSTATEMENT OF EXPIRED LICENSE BY
 RETIREE. A license holder who retires from practice and whose
 license under Subchapter E-1 has been expired for more than five
 years may qualify for a new license by applying to the department
 and by:
 (1)  making a proper showing to the department,
 supported by a personal affidavit;
 (2)  paying the required examination fee;
 (3)  passing a satisfactory examination conducted by
 the department; and
 (4)  paying the fee for an original license.
 SECTION 3.17.  Sections 1603.208(a)(2) and (3), Occupations
 Code, are amended to read as follows:
 (2)  "Digitally prearranged remote service" means a
 barbering or cosmetology service performed for compensation by a
 person holding a license[, certificate of registration, or permit]
 under Subchapter E-1 [Chapter 1601 or 1602 or this chapter] that is:
 (A)  prearranged through a digital network; and
 (B)  performed at a location other than an
 establishment [a place of business that is] licensed [or permitted]
 under Subchapter E-2 [Chapter 1601 or 1602 or this chapter].
 (3)  "Remote service business" means a corporation,
 partnership, sole proprietorship, or other entity that, for
 compensation, enables a client to schedule a digitally prearranged
 remote service with a person holding a license[, certificate of
 registration, or permit] under Subchapter E-1 [Chapter 1601 or 1602
 or this chapter].
 SECTION 3.18.  Sections 1603.208(c), (d), (f), (g), and (i),
 Occupations Code, are amended to read as follows:
 (c)  Sections 1603.2108 and 1603.2109 [1601.453, 1601.455,
 1602.251(c), and 1602.407] do not apply to a digitally prearranged
 remote service scheduled through a remote service business.
 (d)  A person who holds a license[, certificate of
 registration, or permit] to practice barbering or cosmetology and
 who performs a digitally prearranged remote service shall:
 (1)  comply with this section and the rules adopted
 under this section; and
 (2)  practice within the scope of the person's
 license[, certificate of registration, or permit].
 (f)  Before a person licensed[, registered, or permitted] to
 practice barbering or cosmetology performs a digitally prearranged
 remote service for a client requesting the service, a remote
 service business must [shall] provide through the entity's digital
 network:
 (1)  the following information regarding the person who
 will perform the service:
 (A)  the person's first and last name;
 (B)  the [number of the] person's license number[,
 certificate of registration, or permit, as applicable]; and
 (C)  a photograph of the person;
 (2)  the following information regarding the business:
 (A)  Internet website address; and
 (B)  telephone number; and
 (3)  the department's Internet website address and
 telephone number and notice that the client may contact the
 department to file a complaint against the business or person.
 (g)  Within a reasonable time after completion of a digitally
 prearranged remote service, the remote service business shall issue
 to the client who requested the service a receipt that includes:
 (1)  the date the service was provided;
 (2)  a description of the service;
 (3)  the first and last name of the person who performed
 the service;
 (4)  the [number of the] person's license number[,
 certificate of registration, or permit, as applicable];
 (5)  the following information regarding the business:
 (A)  Internet website address; and
 (B)  telephone number; and
 (6)  the department's Internet website address and
 telephone number and notice that the client may contact the
 department to file a complaint against the business or person.
 (i)  A remote service business shall terminate a person's
 access to the business's digital network if the business or
 department determines the person violated:
 (1)  this chapter; or
 (2)  a rule adopted under this chapter[;
 [(3)  Chapter 1601 or 1602; or
 [(4)  a rule adopted under Chapter 1601 or 1602].
 SECTION 3.19.  Subchapter E, Chapter 1603, Occupations Code,
 is amended by adding Section 1603.209 to read as follows:
 Sec. 1603.209.  INFECTIOUS AND CONTAGIOUS DISEASES. (a) A
 person holding a license or permit issued under Subchapter E-1 may
 not perform any practice of barbering or cosmetology if the person
 knows the person is suffering from an infectious or contagious
 disease for which the person is not entitled to protection under the
 federal Americans with Disabilities Act of 1990 (42 U.S.C. Section
 12101 et seq.).
 (b)  A person holding an establishment or school license may
 not employ a person to perform any practice of barbering or
 cosmetology or to instruct in the practice of barbering or
 cosmetology if the license holder knows that the person is
 suffering from an infectious or contagious disease for which the
 person is not entitled to protection under the federal Americans
 with Disabilities Act of 1990 (42 U.S.C. Section 12101 et seq.).
 SECTION 3.20.  Chapter 1603, Occupations Code, is amended by
 adding Subchapters E-1, E-2, and E-3 to read as follows:
 SUBCHAPTER E-1. INDIVIDUAL PRACTITIONER LICENSES; STUDENT PERMIT;
 PRACTICE
 Sec. 1603.2101.  LICENSE OR PERMIT REQUIRED; USE OF CERTAIN
 TERMS WITHOUT LICENSE PROHIBITED. (a)  A person may not perform or
 offer or attempt to perform any act of barbering or cosmetology
 unless the person holds a license or permit issued under this
 subchapter to perform that act.
 (b)  Unless the person holds an appropriate license issued
 under this subchapter, a person may not directly or indirectly use
 or cause to be used as a professional or business identification,
 title, name, representation, asset, or means of advantage or
 benefit:
 (1)  the term "barber" or "barbering";
 (2)  the term "cosmetologist" or "cosmetology"; or
 (3)  any combination, variation, or abbreviation of the
 terms listed in Subdivisions (1) and (2).
 Sec. 1603.2102.  ISSUANCE OF LICENSE. The department shall
 issue a license to an applicant who:
 (1)  meets the applicable eligibility requirements;
 (2)  passes the applicable examination;
 (3)  pays the required fee;
 (4)  has not committed an act that constitutes a ground
 for denial of the license; and
 (5)  submits an application on a form prescribed by the
 department.
 Sec. 1603.2103.  INDIVIDUAL PRACTITIONER LICENSES. (a)  A
 person holding:
 (1)  a Class A barber license may perform any barbering
 service;
 (2)  a cosmetology operator license may perform any
 cosmetology service;
 (3)  a manicurist license may perform any service
 described by Section 1603.0012(a)(7) or (8);
 (4)  an esthetician license may perform any service
 described by Section 1603.0012(a)(3), (4), (5), (6), or (9);
 (5)  a manicurist/esthetician license may perform any
 service described by Section 1603.0012(a)(3), (4), (5), (6), (7),
 (8), or (9);
 (6)  a hair weaving specialist license may perform any
 service described by Section 1603.0012(a)(10);
 (7)  a hair weaving specialist/esthetician license may
 perform any service described by Section 1603.0012(a)(3), (4), (5),
 (6), (9), or (10); and
 (8)  an eyelash extension specialist license may
 perform any service described by Section 1603.0012(a)(9).
 (b)  The commission by rule shall provide for the issuance
 of:
 (1)  a Class A barber license to a person who holds a
 cosmetology operator license; and
 (2)  a cosmetology operator license to a person who
 holds a Class A barber license.
 Sec. 1603.2104.  WAIVER OF CERTAIN LICENSE REQUIREMENTS.
 (a) The department shall issue a license to an applicant for a
 Class A barber license described by Section 1603.2103(a)(1), a
 cosmetology operator license described by Section
 1603.2103(a)(2), an esthetician license described by Section
 1603.2103(a)(4), a hair weaving specialist license described by
 Section 1603.2103(a)(6), or a hair weaving specialist/esthetician
 license described by Section 1603.2103(a)(7) if the applicant:
 (1)  submits an application on a form prescribed by the
 department;
 (2)  pays the application fee; and
 (3)  provides proof that the applicant holds a current
 license to engage in the same or a similar activity issued by
 another jurisdiction that has license requirements substantially
 equivalent to those of this state.
 (b)  The department may waive any requirement for a license
 issued under this subchapter, other than a license listed in
 Subsection (a), for an applicant holding a license from another
 state or country that has license requirements substantially
 equivalent to those of this state.
 (c)  The department may not require a personal interview as
 part of the application process under this section.
 (d)  A license issued under this section may be renewed as
 provided by Subchapter G.
 Sec. 1603.2105.  STUDENT PERMIT. (a) A student enrolled in
 a school licensed under Subchapter E-3 must hold a permit stating
 the student's name and the name of the school.
 (b)  The department shall issue a student permit to an
 applicant who submits an application to the department for a
 student permit accompanied by the required fee.
 (c)  A separate application is required for each enrollment,
 reenrollment, or transfer enrollment. The application fee applies
 only to the first enrollment. The department may not charge the
 application fee for any later enrollment, reenrollment, or transfer
 enrollment.
 Sec. 1603.2106.  TRANSFER OF LICENSE OR PERMIT PROHIBITED.
 A license or permit issued under this subchapter is not
 transferable.
 Sec. 1603.2107.  DISPLAY OF LICENSE OR PERMIT. (a) The
 holder of a license issued under this subchapter shall display the
 original license and an attached photograph of the license holder
 in a conspicuous place near the license holder's work chair in the
 establishment in which the holder is working.
 (b)  The holder of a student permit issued under this
 subchapter shall display the permit in a reasonable manner at the
 school in which the permit holder is enrolled.
 Sec. 1603.2108.  LOCATION OF PRACTICE. A person holding a
 license or permit issued under this subchapter may practice
 barbering or cosmetology only at a licensed establishment or
 school.
 Sec. 1603.2109.  SERVICE AT UNLICENSED LOCATION. (a) In
 this section, "licensed facility" means:
 (1)  an establishment licensed under Subchapter E-2; or
 (2)  a school licensed under Subchapter E-3.
 (b)  A person holding a license or permit under this
 subchapter may perform a service within the scope of the license or
 permit at a location other than a licensed facility for a client:
 (1)  who, because of illness or physical or mental
 incapacitation, is unable to receive the service at a licensed
 facility; or
 (2)  in preparation for and at the location of a special
 event, including a wedding.
 (c)  An appointment for a service performed under this
 section must be made through a licensed facility.
 SUBCHAPTER E-2. ESTABLISHMENT LICENSES; OPERATION
 Sec. 1603.2201.  LICENSE REQUIRED. (a) A person may not
 own, operate, or manage an establishment in which an act of
 barbering or cosmetology is practiced unless the person holds a
 license issued under this subchapter to operate the establishment.
 (b)  A person may not lease space on the premises of a
 licensed establishment to engage in the practice of barbering or
 cosmetology as an independent contractor unless the person holds a
 license issued under Subchapter E-1.
 Sec. 1603.2202.  ISSUANCE OF LICENSE. The department shall
 issue the applicable establishment license under this subchapter to
 an applicant if:
 (1)  the applicant:
 (A)  owns the establishment;
 (B)  verifies the application;
 (C)  complies with the application requirements
 of this chapter;
 (D)  pays the required inspection and license
 fees; and
 (E)  has not committed an act that constitutes a
 ground for denial of a license; and
 (2)  the establishment:
 (A)  meets the commission's minimum health
 standards for an establishment; and
 (B)  complies with all commission rules.
 Sec. 1603.2203.  ESTABLISHMENT LICENSES. (a)  An
 establishment licensed as:
 (1)  an establishment may provide any barbering or
 cosmetology service;
 (2)  a manicurist specialty establishment may provide
 any service described by Section 1603.0012(a)(7) or (8);
 (3)  an esthetician specialty establishment may
 provide any service described by Section 1603.0012(a)(3), (4), (5),
 (6), or (9);
 (4)  a manicurist/esthetician specialty establishment
 may provide any service described by Section 1603.0012(a)(3), (4),
 (5), (6), (7), (8), or (9);
 (5)  a hair weaving specialty establishment may provide
 any service described by Section 1603.0012(a)(10);
 (6)  an eyelash extension specialty establishment may
 provide any service described by Section 1603.0012(a)(9);
 (7)  a mini-establishment may provide any barbering or
 cosmetology service; and
 (8)  a mobile establishment may provide any barbering
 or cosmetology service.
 (b)  In this section:
 (1)  "Mini-establishment" includes a room or suite of
 rooms that is one of a number of connected establishments in a
 single premises that open onto a common hallway or another
 configuration of operations as determined by commission rule in
 which a person practices under a license issued under Subchapter
 E-1.
 (2)  "Mobile establishment" means a facility that is
 readily movable and where barbering, cosmetology, or both are
 practiced other than at a fixed location.
 Sec. 1603.2204.  TRANSFER OF LICENSE PROHIBITED. A license
 issued under this subchapter is not transferable.
 Sec. 1603.2205.  USE OF ESTABLISHMENT AS SLEEPING QUARTERS
 PROHIBITED. (a) An owner or manager of a licensed establishment
 may not permit a person to sleep in a room used as part of the
 establishment.
 (b)  A person may not perform an act for which a license is
 required in a room in an establishment that is used as sleeping
 quarters.
 SUBCHAPTER E-3. SCHOOL LICENSES; OPERATION
 Sec. 1603.2301.  LICENSE REQUIRED. A person may not operate
 a school for instruction in the practice of barbering or
 cosmetology unless the person holds a license issued under this
 subchapter to operate the school.
 Sec. 1603.2302.  ISSUANCE OF LICENSE. The department shall
 issue a license under this subchapter to an applicant who:
 (1)  submits an application on a form prescribed by the
 department;
 (2)  pays the required fee;
 (3)  provides to the department adequate proof of
 financial responsibility; and
 (4)  satisfies any other requirements of this chapter
 or commission rule.
 Sec. 1603.2303.  SCHOOL LICENSES. The holder of a public
 secondary school license, private postsecondary school license, or
 public postsecondary school license may provide instruction in the
 barbering or cosmetology services for which the license holder has
 been approved by the department.
 Sec. 1603.2304.  CHANGE OF SCHOOL OWNERSHIP OR LOCATION.
 (a) If a licensed school changes ownership, the outgoing owner
 shall notify the department of the change not later than the 10th
 day before the date the change takes effect.
 (b)  A licensed school under this subchapter may not change
 the location of the school unless the school obtains approval from
 the department before the change by showing that the proposed
 location meets the requirements of this chapter and commission
 rules.
 Sec. 1603.2305.  SIGNS REQUIRED. The holder of a school
 license shall:
 (1)  place a sign on the front outside portion of the
 school's building in a prominent place that reads in at least
 10-inch block letters: "SCHOOL--STUDENT PRACTITIONERS"; and
 (2)  prominently display printed signs containing the
 information required by Subdivision (1) on each inside wall of the
 school.
 Sec. 1603.2306.  INFORMATION PROVIDED TO PROSPECTIVE
 STUDENT. The holder of a school license shall provide to each
 prospective student:
 (1)  a course outline;
 (2)  a schedule of the tuition and other fees assessed;
 (3)  the school's refund policy required under Section
 1603.3602;
 (4)  the school's grading policy and rules relating to
 incomplete grades;
 (5)  the school's rules of operation and conduct,
 including rules relating to absences;
 (6)  the department's name, mailing address, and
 telephone number for the purpose of directing complaints to the
 department; and
 (7)  the current job placement rates and employment
 rates of students who complete a course of instruction.
 Sec. 1603.2307.  COURSE LENGTH AND CURRICULUM CONTENT. (a)
 A licensed school shall design course length and curriculum content
 to reasonably ensure that a student develops the job skills and
 knowledge necessary for employment.
 (b)  A licensed school must submit to the commission for
 approval the course length and curriculum content for each course
 offered by the school. The school may not implement a course length
 and curriculum content without the approval of the commission.
 (c)  Before issuing or renewing a license under this
 subchapter, the department must require the school to account for
 each course length and curriculum content.
 Sec. 1603.2308.  REQUIRED COURSES. (a) A licensed school
 shall instruct students in the theory and practice of subjects
 necessary and beneficial to the practice of barbering and
 cosmetology.
 (b)  The commission by rule shall establish the subjects in
 which students shall receive instruction.
 Sec. 1603.2309.  DAILY ATTENDANCE RECORDS. (a) A licensed
 school shall maintain an attendance book showing a record of the
 students' daily attendance.
 (b)  The department may inspect a school's attendance record
 book at any time.
 Sec. 1603.2310.  INSTRUCTOR-TO-STUDENT RATIO. A licensed
 school must have at least one instructor for every 25 students on
 the school's premises.
 Sec. 1603.2311.  REPORTS TO DEPARTMENT. (a) A licensed
 school shall maintain a monthly progress report regarding each
 student attending the school. The report must certify the daily
 attendance record of each student and the number of credit hours
 earned by each student during the previous month.
 (b)  On a student's completion of a prescribed course of
 instruction, the school shall notify the department that the
 student has completed the required number of hours and is eligible
 to take the appropriate examination.
 (c)  The holder of a school license shall provide to the
 department:
 (1)  the current course completion rates of students
 who attend a course of instruction offered by the school; and
 (2)  job placement rates and employment rates of
 students who complete a course of instruction.
 Sec. 1603.2312.  ADDITIONAL DUTIES OF LICENSE HOLDER. (a)
 The holder of a school license shall:
 (1)  establish regular class and instruction hours and
 grades;
 (2)  hold examinations before issuing diplomas; and
 (3)  maintain a copy of the school's curriculum in a
 conspicuous place and verify that the curriculum is being followed.
 (b)  The holder of a school license may not require a student
 to work, be instructed, or earn credit for more than 48 hours in a
 calendar week.
 Sec. 1603.2313.  TRANSFER OF HOURS OF INSTRUCTION. (a) A
 student at a licensed school may transfer completed hours of
 instruction to another licensed school in this state.
 (b)  In order for the hours of instruction to be transferred,
 a transcript showing the completed courses and number of hours
 certified by the school in which the instruction was given must be
 submitted to the executive director.
 (c)  In evaluating a student's transcript, the executive
 director shall determine whether the agreed tuition has been paid.
 If the tuition has not been paid, the executive director shall
 notify the student that the student's transcript cannot be
 certified to the school to which the student seeks a transfer until
 proof is provided that the tuition has been paid.
 (d)  On evaluation and approval, the executive director
 shall certify in writing to the student and to the school to which
 the student seeks a transfer that:
 (1)  the stated courses and hours have been
 successfully completed; and
 (2)  the student is not required to repeat the hours of
 instruction.
 (e)  If a school's license has been expired for more than 30
 days, a student of that school may not transfer hours of instruction
 the student completed at that school.
 Sec. 1603.2314.  IDENTIFICATION OF AND WORK PERFORMED BY
 STUDENT. (a) Each licensed school shall maintain in a conspicuous
 place a list of the names and identifying pictures of the students
 who are enrolled in the school's courses.
 (b)  A school may not receive compensation for work done by a
 student unless the student has completed 10 percent of the required
 number of hours for a license under Subchapter E-1.
 (c)  If a school violates this section, the license of the
 school may be revoked or suspended.
 SECTION 3.21.  Section 1603.252(b), Occupations Code, is
 amended to read as follows:
 (b)  The executive director shall determine uniform
 standards for acceptable performance on an examination for a
 license under Subchapter E-1 [or certificate under Chapter 1601 and
 for a license or certificate under Chapter 1602].
 SECTION 3.22.  Sections 1603.253 and 1603.255, Occupations
 Code, are amended to read as follows:
 Sec. 1603.253.  WRITTEN EXAMINATION. The commission shall
 select an examination for each written examination required under
 this chapter[, Chapter 1601, or Chapter 1602].  The written
 examination must be:
 (1)  validated by an independent testing professional;
 or
 (2)  purchased from a national testing service.
 Sec. 1603.255.  EARLY EXAMINATION.  The commission by rule
 [department] may allow for the early written examination of a
 student [who has completed the following number of hours of
 instruction in a department-approved training program:
 [(1)  1,000 hours for a student seeking a Class A barber
 certificate in a private barber school;
 [(2)  900 hours for a student seeking an operator
 license in a private cosmetology school; or
 [(3)  900 hours for a student seeking a Class A barber
 certificate or operator license in a publicly funded barber or
 cosmetology school].
 SECTION 3.23.  Sections 1603.256(a) and (c), Occupations
 Code, are amended to read as follows:
 (a)  The commission may require a practical examination as it
 considers necessary for a license [or certificate] issued under
 Subchapter E-1 [Chapter 1601 or 1602].
 (c)  The following persons may administer a practical
 examination [required under this subchapter]:
 (1)  the department;
 (2)  a person with whom the department contracts under
 Section 1603.252;
 (3)  a licensed [barber] school[, private beauty
 culture school, or a public secondary or postsecondary beauty
 culture school] that is approved by the department to administer
 the examination under Section 1603.252; or
 (4)  the Windham School District.
 SECTION 3.24.  Subchapter G, Chapter 1603, Occupations Code,
 is amended to read as follows:
 SUBCHAPTER G. [CERTIFICATE,] LICENSE[, AND PERMIT] RENEWAL
 Sec. 1603.3001.  LICENSE TERMS. (a) Except as provided by
 Subsection (b), a license other than a temporary license expires on
 the second anniversary of the date the license is issued.
 (b)  A school license expires on the first anniversary of the
 date the license is issued.
 Sec. 1603.3002.  RENEWAL RULES. (a) The commission by rule
 may establish requirements for the renewal of a license issued
 under this chapter, including continuing education requirements.
 (b)  The commission may establish separate requirements for:
 (1)  the initial renewal of a license; and
 (2)  subsequent renewals of a license.
 (c)  Before establishing continuing education requirements
 under this section, the commission must consider the potential
 impact of continuing education with respect to:
 (1)  identifying and assisting trafficked persons; and
 (2)  providing license holders with opportunities to
 acquire new skills.
 Sec. 1603.3003.  ISSUANCE OF RENEWAL LICENSE. The
 department shall issue a renewal license on receipt of:
 (1)  a renewal application in the form prescribed by
 the department; and
 (2)  a renewal fee in an amount equal to the original
 license fee.
 Sec. 1603.3004.  RENEWAL WHILE IN ARMED FORCES. (a) The
 department may not require the holder of a Class A barber license
 described by Section 1603.2103(1), a cosmetology operator license
 described by Section 1603.2103(2), a manicurist license described
 by Section 1603.2103(3), an esthetician license described by
 Section 1603.2103(4), or a manicurist/esthetician license
 described by Section 1603.2103(5) who is serving on active duty in
 the United States armed forces to renew the person's license.
 (b)  The department shall issue a renewal license on
 application and payment of the required renewal fee not later than
 the 90th day after the date the person is released or discharged
 from active duty in the United States armed forces.
 Sec. 1603.301.  DENIAL OF RENEWAL DUE TO ADMINISTRATIVE
 PENALTY. The department may deny a person's request to renew a
 [certificate,] license[, or permit] issued under this chapter[,
 Chapter 1601, or Chapter 1602] if the person has not paid an
 administrative penalty imposed under Subchapter F, Chapter
 51.  This section does not apply if:
 (1)  the person's time to pay or request a hearing has
 not expired under Section 51.304;
 (2)  the person has requested a hearing under Section
 51.304, but the person's time to pay has not expired under Section
 51.307; or
 (3)  the penalty is stayed.
 SECTION 3.25.  The heading to Subchapter H, Chapter 1603,
 Occupations Code, is amended to read as follows:
 SUBCHAPTER H. PRACTICE PROVISIONS APPLICABLE TO MORE THAN ONE
 LICENSE TYPE [CHAPTERS 1601 AND 1602]
 SECTION 3.26.  Section 1603.351, Occupations Code, is
 amended to read as follows:
 Sec. 1603.351.  MINIMUM CURRICULUM FOR SCHOOLS; DISTANCE
 EDUCATION. (a)  The commission shall prescribe the minimum
 curriculum, including the subjects and the number of hours in each
 subject, taught by a licensed school [licensed under this chapter,
 Chapter 1601, or Chapter 1602].
 (a-1)  Notwithstanding any other law, the commission may
 adopt rules to:
 (1)  authorize a licensed school [licensed under this
 chapter, Chapter 1601, or Chapter 1602] to account for any hours of
 instruction completed under this chapter [those chapters] on the
 basis of clock hours or credit hours; and
 (2)  establish standards for determining the
 equivalency and conversion of clock hours to credit hours and
 credit hours to clock hours.
 (b)  The commission may adopt rules allowing distance
 education only for the theory portion of the curriculum taught by a
 licensed school [licensed under this chapter, Chapter 1601, or
 Chapter 1602].
 (c)  Distance education does not satisfy the requirements of
 the practical portion of the curriculum taught by a licensed school
 [licensed under this chapter, Chapter 1601, or Chapter 1602].
 SECTION 3.27.  Sections 1603.352(a) and (b), Occupations
 Code, are amended to read as follows:
 (a)  A person who holds a license[, certificate,] or permit
 issued under this chapter[, Chapter 1601, or Chapter 1602] and who
 performs a [barbering service described by Section 1601.002(1)(E)
 or (F) or a cosmetology] service described by Section
 1603.0012(a)(7) or (8) [1602.002(a)(8) or (9)] shall, before
 performing the service, clean, disinfect, and sterilize with an
 autoclave or dry heat sterilizer or sanitize with an ultraviolet
 sanitizer, in accordance with the sterilizer or sanitizer
 manufacturer's instructions, each metal instrument, including
 metal nail clippers, cuticle pushers, cuticle nippers, and other
 metal instruments, used to perform the service.
 (b)  The owner or manager of a licensed establishment or
 [barber shop, barber] school[, beauty shop, specialty shop, beauty
 culture school, or other facility licensed under this chapter,
 Chapter 1601, or Chapter 1602,] is responsible for providing an
 autoclave, a dry heat sterilizer, or an ultraviolet sanitizer for
 use in the establishment [shop] or school as required by Subsection
 (a).
 SECTION 3.28.  Subchapter H, Chapter 1603, Occupations Code,
 is amended by adding Sections 1603.353, 1603.354, 1603.355,
 1603.356, 1603.357, and 1603.358 to read as follows:
 Sec. 1603.353.  EMPLOYMENT OF LICENSE HOLDER. (a) A
 licensed school may not employ a person holding a license issued
 under Subchapter E-1 solely to perform the practices of barbering
 or cosmetology for which the person is licensed.
 (b)  A person holding a license for an establishment may not
 employ or lease to a person to practice barbering or cosmetology at
 the establishment unless the person holds a license issued under
 Subchapter E-1.
 Sec. 1603.354.  NECESSARY EQUIPMENT. The owner, operator,
 or manager of a licensed establishment or school shall equip the
 establishment or school with the facilities, supplies, appliances,
 furnishings, and materials necessary to enable a person employed on
 the premises to comply with this chapter.
 Sec. 1603.355.  DISPLAY OF LICENSE. A licensed school or
 establishment shall display the license in a conspicuous place in
 the school or establishment for which the license is issued.
 Sec. 1603.356.  DISPLAY OF HUMAN TRAFFICKING INFORMATION.
 (a) A licensed school or establishment shall display a sign
 approved by or acceptable to the commission or the department
 concerning services and assistance available to victims of human
 trafficking.
 (b)  The sign required by this section must:
 (1)  be in English, Spanish, and Vietnamese; and
 (2)  include a toll-free telephone number of a
 nationally recognized information and referral hotline for victims
 of human trafficking.
 (c)  The commission by rule shall establish requirements
 regarding the posting of signs under this section.
 Sec. 1603.357.  DISPLAY OF SANITATION RULES. A licensed
 school or establishment shall display a copy of the commission's
 sanitation rules.
 Sec. 1603.358.  OPERATION OF ESTABLISHMENT AND SCHOOL ON
 SINGLE PREMISES. A person may not operate an establishment or
 school on the same premises as another one of those facilities
 unless the facilities are separated by walls of permanent
 construction without an opening between the facilities.
 SECTION 3.29.  Chapter 1603, Occupations Code, is amended by
 adding Subchapter H-1 to read as follows:
 SUBCHAPTER H-1. FINANCIAL PROVISIONS APPLICABLE TO PRIVATE
 POSTSECONDARY SCHOOLS
 Sec. 1603.3601.  CANCELLATION AND SETTLEMENT POLICY. The
 holder of a private postsecondary school license shall maintain a
 cancellation and settlement policy that provides a full refund of
 money paid by a student if the student:
 (1)  cancels the enrollment agreement or contract not
 later than midnight of the third day after the date the agreement or
 contract is signed by the student, excluding Saturdays, Sundays,
 and legal holidays; or
 (2)  entered into the enrollment agreement or contract
 because of a misrepresentation made:
 (A)  in the advertising or promotional materials
 of the school; or
 (B)  by an owner or representative of the school.
 Sec. 1603.3602.  REFUND POLICY. (a) The holder of a private
 postsecondary school license shall maintain a refund policy to
 provide for the refund of any unused parts of tuition, fees, and
 other charges paid by a student who, at the expiration of the
 cancellation period established under Section 1603.3601:
 (1)  fails to enter the course of training;
 (2)  withdraws from the course of training; or
 (3)  is terminated from the course of training before
 completion of the course.
 (b)  The refund policy must provide that:
 (1)  the refund is based on the period of the student's
 enrollment, computed on the basis of course time expressed in
 scheduled hours, as specified by an enrollment agreement, contract,
 or other document acceptable to the department;
 (2)  the effective date of the termination for refund
 purposes is the earliest of:
 (A)  the last date of attendance, if the student
 is terminated by the school;
 (B)  the date the license holder receives the
 student's written notice of withdrawal; or
 (C)  10 school days after the last date of
 attendance; and
 (3)  the school may retain not more than $100 if:
 (A)  tuition is collected before the course of
 training begins; and
 (B)  the student fails to withdraw from the course
 of training before the cancellation period expires.
 Sec. 1603.3603.  WITHDRAWAL OR TERMINATION OF STUDENT. (a)
 If a student at a private postsecondary school begins a course of
 training that is scheduled to run not more than 12 months and,
 during the last 50 percent of the course, withdraws from the course
 or is terminated by the school, the school:
 (1)  may retain 100 percent of the tuition and fees paid
 by the student; and
 (2)  is not obligated to refund any additional
 outstanding tuition.
 (b)  If a student at a private postsecondary school begins a
 course of training that is scheduled to run not more than 12 months
 and, before the last 50 percent of the course, withdraws from the
 course or is terminated by the school, the school shall refund:
 (1)  90 percent of any outstanding tuition for a
 withdrawal or termination that occurs during the first week or
 first 10 percent of the course, whichever period is shorter;
 (2)  80 percent of any outstanding tuition for a
 withdrawal or termination that occurs after the first week or first
 10 percent of the course, whichever period is shorter, but within
 the first three weeks of the course;
 (3)  75 percent of any outstanding tuition for a
 withdrawal or termination that occurs after the first three weeks
 of the course but not later than the completion of the first 25
 percent of the course; and
 (4)  50 percent of any outstanding tuition for a
 withdrawal or termination that occurs not later than the completion
 of the first 50 percent of the course.
 (c)  A refund owed under this section must be paid not later
 than the 30th day after the date the student becomes eligible for
 the refund.
 Sec. 1603.3604.  INTEREST ON REFUND. (a) If tuition is not
 refunded within the period required by Section 1603.3603, the
 private postsecondary school shall pay interest on the amount of
 the refund for the period beginning the first day after the date the
 refund period expires and ending the day preceding the date the
 refund is made.
 (b)  If tuition is refunded to a lending institution, the
 interest shall be paid to that institution and applied against the
 student's loan.
 (c)  The commissioner of education shall annually set the
 interest rate at a rate sufficient to deter a school from retaining
 money paid by a student.
 (d)  The department may exempt a school from the payment of
 interest if the school makes a good faith effort to refund the
 tuition but is unable to locate the student. The school shall
 provide to the department on request documentation of the effort to
 locate the student.
 Sec. 1603.3605.  REENTRY OF STUDENT AFTER WITHDRAWAL. If a
 student voluntarily withdraws or is terminated after completing 50
 percent of the course at a private postsecondary school, the school
 shall allow the student to reenter at any time during the 48-month
 period following the date of withdrawal or termination.
 Sec. 1603.3606.  EFFECT OF STUDENT WITHDRAWAL. (a) A
 private postsecondary school shall record a grade of incomplete for
 a student who withdraws but is not entitled to a refund under
 Section 1603.3603 if the student:
 (1)  requests the grade at the time the student
 withdraws; and
 (2)  withdraws for an appropriate reason unrelated to
 the student's academic status.
 (b)  A student who receives a grade of incomplete may
 reenroll in the program during the 48-month period following the
 date the student withdraws and complete the subjects without
 payment of additional tuition.
 Sec. 1603.3607.  EFFECT OF PRIVATE POSTSECONDARY SCHOOL
 CLOSURE. (a) If a private postsecondary school closes, the
 department shall attempt to arrange for students enrolled in the
 closed school to attend another private postsecondary school.
 (b)  If a student from a closed school is placed in another
 private postsecondary school, the expense incurred by the school in
 providing training directly related to educating the student,
 including the applicable tuition for the period for which the
 student paid tuition, shall be paid from the barbering and
 cosmetology school tuition protection account.
 (c)  If a student from a closed private postsecondary school
 cannot be placed in another private postsecondary school, the
 student's tuition and fees shall be refunded as provided by Section
 1603.3602. If a student from a closed private postsecondary school
 does not accept a place that is available and reasonable in another
 private postsecondary school, the student's tuition and fees shall
 be refunded as provided by Section 1603.3603. A refund under this
 subsection shall be paid from the barbering and cosmetology school
 tuition protection account. The amount of the refund may not exceed
 $35,000.
 (d)  If another private postsecondary school assumes
 responsibility for the closed school's students and there are no
 significant changes in the quality of the training, the student
 from the closed school is not entitled to a refund under Subsection
 (c).
 Sec. 1603.3608.  BARBERING AND COSMETOLOGY SCHOOL TUITION
 PROTECTION ACCOUNT. (a) If on January 1 of any year the amount in
 the barbering and cosmetology school tuition protection account is
 less than $225,000, the department shall collect a fee from each
 private postsecondary school during that year by applying a
 percentage to the school's renewal fee at a rate that will bring the
 balance of the account to $225,000.
 (b)  The department shall administer claims made against the
 account.
 (c)  The comptroller shall invest the account in the same
 manner as other state funds.
 (d)  Sufficient money from the account shall be appropriated
 to the department for the purpose described by Section 1603.3607.
 (e)  Attorney's fees, court costs, or damages may not be paid
 from the account.
 Sec. 1603.3609.  RULES. The commission by rule may:
 (1)  adjust any tuition reimbursement limit
 established under this subchapter; and
 (2)  adopt procedures regarding the collection of fees
 from private postsecondary schools under Section 1603.3608.
 SECTION 3.30.  Section 1603.401, Occupations Code, is
 amended to read as follows:
 Sec. 1603.401.  DENIAL, SUSPENSION, OR REVOCATION. The
 department shall deny an application for issuance or renewal of, or
 shall suspend or revoke, a [certificate,] license[,] or permit if
 the applicant or person holding the [certificate,] license[,] or
 permit:
 (1)  engages in gross malpractice;
 (2)  knowingly continues to practice while having an
 infectious or contagious disease;
 (3)  knowingly makes a false or deceptive statement in
 advertising;
 (4)  advertises, practices, or attempts to practice
 under another person's name or trade name;
 (5)  engages in fraud or deceit in obtaining a
 [certificate,] license[,] or permit; or
 (6)  engages in an act that violates this chapter[,
 Chapter 51, Chapter 1601, or Chapter 1602] or a rule or order
 adopted or issued under this chapter [those chapters].
 SECTION 3.31.  The heading to Subchapter J, Chapter 1603,
 Occupations Code, is amended to read as follows:
 SUBCHAPTER J. OTHER [PENALTIES AND] ENFORCEMENT PROVISIONS
 SECTION 3.32.  Sections 1603.453 and 1603.454, Occupations
 Code, are amended to read as follows:
 Sec. 1603.453.  APPEAL BOND NOT REQUIRED. The department is
 not required to give an appeal bond in a cause arising under this
 chapter[, Chapter 1601, or Chapter 1602].
 Sec. 1603.454.  ENFORCEMENT BY ATTORNEY GENERAL. The
 attorney general shall represent the department in an action to
 enforce this chapter[, Chapter 1601, or Chapter 1602].
 SECTION 3.33.  The following provisions of the Occupations
 Code are repealed:
 (1)  Chapters 1601 and 1602;
 (2)  Sections 1603.104(b), (c), and (c-1);
 (3)  Section 1603.205;
 (4)  Section 1603.206;
 (5)  Section 1603.207;
 (6)  Section 1603.254;
 (7)  Section 1603.451;
 (8)  Section 1603.452;
 (9)  Section 1603.455; and
 (10)  Section 1603.456.
 SECTION 3.34.  (a) To ensure that licensed schools offering
 instruction in barbering and cosmetology maintain accreditation
 and that students of those schools continue to qualify for federal
 aid, the Texas Commission of Licensing and Regulation shall, as
 soon as practicable after the effective date of this Act, adopt any
 rules necessary for the orderly implementation of the changes in
 law made by this article to the licensing system and curricula
 requirements and standards for schools offering instruction in
 barbering and cosmetology.
 (b)  Not later than September 1, 2022:
 (1)  the Texas Commission of Licensing and Regulation
 shall adopt any additional rules necessary to implement the changes
 in law made by this article; and
 (2)  the Texas Department of Licensing and Regulation
 shall begin to issue licenses and permits under Subchapters E-1,
 E-2, and E-3, Chapter 1603, Occupations Code, as added by this
 article.
 SECTION 3.35.  Notwithstanding the repeal by this article of
 Chapters 1601 and 1602, and Sections 1603.205, 1603.206, and
 1603.207, Occupations Code, the Texas Department of Licensing and
 Regulation may continue to issue until September 1, 2022, a
 certificate, license, or permit under those provisions as they
 existed immediately before the effective date of this Act, and
 those provisions are continued in effect for that purpose.
 SECTION 3.36.  Notwithstanding the repeal by this article of
 Chapters 1601 and 1602, Occupations Code, until the Texas
 Commission of Licensing and Regulation adopts rules regarding
 written and practical examination requirements for the issuance of
 licenses under Chapter 1603, Occupations Code, as amended by this
 article, the Texas Department of Licensing and Regulation shall
 continue to operate under the requirements regarding written and
 practical examinations in former Chapters 1601 and 1602,
 Occupations Code, as those chapters were in effect immediately
 before the effective date of this Act, and those provisions are
 continued in effect for that purpose.
 SECTION 3.37.  (a) A certificate, license, or permit issued
 under former Chapter 1601 or 1602, Occupations Code, or under
 former Section 1603.205, 1603.206, or 1603.207, Occupations Code,
 before the effective date of this Act, continues to be valid until
 the certificate, license, or permit expires, and those chapters and
 sections are continued in effect for that purpose.
 (b)  A person who on the effective date of this Act holds a
 certificate, license, or permit issued under former Chapter 1601 or
 1602, Occupations Code, or under former Section 1603.205, 1603.206,
 or 1603.207, Occupations Code, is entitled on expiration of that
 certificate, license, or permit to issuance of a comparable license
 or permit under the applicable provision of Chapter 1603,
 Occupations Code, as amended by this article, if the person
 otherwise meets the requirements for the license or permit.
 SECTION 3.38.  Notwithstanding any other law, on the
 effective date of this Act, a person holding a permit under former
 Subchapter G, Chapter 1601, Occupations Code, a facility license
 under former Subchapter G, Chapter 1602, Occupations Code, or a
 license or permit under former Section 1603.205, 1603.206, or
 1603.207, Occupations Code, before the effective date of this Act
 may employ or contract with any qualified individual practitioner
 holding a certificate, license, or permit issued under Chapter 1601
 or 1602, Occupations Code, before the effective date of this Act,
 without regard to the chapter under which the practitioner was
 issued the certificate, license, or permit.
 SECTION 3.39.  Notwithstanding any other law, on the
 effective date of this Act, the holder of a license issued under
 former Section 1601.256, 1601.262, or 1601.263, Occupations Code,
 before the effective date of this Act may perform the services
 described by Sections 1603.0012(a)(6) and (9), Occupations Code, as
 added by this Act.
 SECTION 3.40.  (a) On the effective date of this Act, the
 Advisory Board on Barbering and the Advisory Board on Cosmetology
 are abolished.
 (b)  Not later than December 1, 2021, the presiding officer
 of the Texas Commission of Licensing and Regulation shall appoint
 members to the Barbering and Cosmetology Advisory Board in
 accordance with Section 1603.051, Occupations Code, as amended by
 this article.
 (c)  Notwithstanding Section 1603.053, Occupations Code, as
 added by this article, in making the initial appointments to the
 Barbering and Cosmetology Advisory Board, the presiding officer of
 the Texas Commission of Licensing and Regulation shall designate
 three members of the advisory board to serve terms expiring January
 31, 2023, three members to serve terms expiring January 31, 2025,
 and three members to serve terms expiring January 31, 2027.
 SECTION 3.41.  As soon as practicable after the effective
 date of this Act, the comptroller of public accounts shall transfer
 to the barbering and cosmetology school tuition protection account
 the unexpended and unencumbered balance of the barber school
 tuition protection account and the unexpended and unencumbered
 balance of the private beauty culture school tuition protection
 account.
 SECTION 3.42.  (a) The changes in law made by this article
 do not affect the validity of a disciplinary action or other
 proceeding that was initiated before the effective date of this Act
 and that is pending on the effective date of this Act. A
 disciplinary action that is pending on the effective date of this
 Act is governed by the law in effect immediately before the
 effective date of this Act, and the former law is continued in
 effect for that purpose.
 (b)  The repeal of a law by this article does not entitle a
 person to a refund of a certificate, license, or permit fee paid by the person before the effective date of this Act.
 ARTICLE 4. DRIVER TRAINING
 SECTION 4.01.  Section 1001.001, Education Code, is amended
 by adding Subdivisions (2-a), (6-a), (6-b), (14-b), (14-c), and
 (14-d) and amending Subdivisions (8), (9), (13), and (14-a) to read
 as follows:
 (2-a)  "Classroom instruction" includes instruction
 provided in a traditional classroom setting or another in-person
 setting or in an online setting.
 (6-a)  "Driver education instructor" means an
 individual who holds a license to teach or provide driver education
 issued under Section 1001.251.
 (6-b)  "Driver education provider" means an in-person
 driver education provider, an online driver education provider, or
 a parent-taught driver education provider.
 (8)  "Driver training" means:
 (A)  driver education provided by a driver
 education provider [school]; or
 (B)  driving safety training provided by a driving
 safety provider [school].
 (9)  "Driver training provider [school]" means a driver
 education provider [school] or driving safety provider [school].
 (13)  "Driving safety provider" means a business that
 provides a driving safety course [school" means an enterprise that:
 [(A)  maintains a place of business or solicits
 business in this state; and
 [(B)  is operated by an individual, association,
 partnership, or corporation for educating and training persons in
 driving safety].
 (14-a)  "In-person driver education provider" means a
 business that provides driver education courses in person,
 including behind-the-wheel training, observation hours, and driver
 license examinations.
 (14-b)  "National criminal history record information"
 has the meaning assigned by Section 22.081.
 (14-c)  "Online driver education provider" means a
 business that provides driver education courses to students
 remotely through the Internet.
 (14-d)  "Parent-taught driver education provider"
 means a business that provides driver education course materials
 through physical means or remotely through the Internet to persons
 who conduct parent-taught driver education under Section 1001.112.
 SECTION 4.02.  Section 1001.002(c), Education Code, is
 amended to read as follows:
 (c)  A driver education course is exempt from this chapter,
 other than Section 1001.055, if the course is:
 (1)  conducted by a vocational driver training provider
 that exclusively trains [school operated to train] or prepares
 [prepare] a person for a field of endeavor in a business, trade,
 technical, or industrial occupation;
 (2)  conducted by a school or training program that
 offers only instruction of purely avocational or recreational
 subjects as determined by the department;
 (3)  sponsored by an employer to train its own
 employees without charging tuition;
 (4)  sponsored by a recognized trade, business, or
 professional organization with a closed membership to instruct the
 members of the organization; or
 (5)  conducted by a school regulated and approved under
 another law of this state.
 SECTION 4.03.  Section 1001.003, Education Code, is amended
 to read as follows:
 Sec. 1001.003.  LEGISLATIVE INTENT REGARDING SMALL
 BUSINESSES. It is the intent of the legislature that commission
 rules that affect driver training providers [schools] that qualify
 as small businesses be adopted and administered so as to have the
 least possible adverse economic effect on the providers [schools].
 SECTION 4.04.  Section 1001.004(b), Education Code, is
 amended to read as follows:
 (b)  The department may charge a fee to each driver education
 provider [school] in an amount not to exceed the actual expense
 incurred in the regulation of driver education courses established
 under Section 1001.1015.
 SECTION 4.05.  Section 1001.051, Education Code, is amended
 to read as follows:
 Sec. 1001.051.  JURISDICTION OVER PROVIDERS [SCHOOLS]. The
 department has jurisdiction over and control of driver training
 providers [schools] regulated under this chapter.
 SECTION 4.06.  Sections 1001.053(a) and (b), Education Code,
 are amended to read as follows:
 (a)  The department and executive director, as appropriate,
 shall:
 (1)  administer this chapter;
 (2)  enforce minimum standards for driver training
 providers [schools] under this chapter;
 (3)  enforce rules adopted by the commission that are
 necessary to administer this chapter; and
 (4)  inspect a driver training provider [school or
 course provider] and reinspect the [school or course] provider for
 compliance with this chapter.
 (b)  The executive director may designate a person
 knowledgeable in the administration of regulating driver training
 providers [schools] to administer this chapter.
 SECTION 4.07.  Section 1001.054, Education Code, is amended
 to read as follows:
 Sec. 1001.054.  RULES RESTRICTING ADVERTISING. [(c)]  The
 commission by rule may restrict advertising by a branch location of
 an in-person [a] driver education provider [training school] so
 that the location adequately identifies the primary location of the
 provider [school] in a solicitation.
 SECTION 4.08.  Sections 1001.055(a), (a-1), and (a-2),
 Education Code, are amended to read as follows:
 (a)  The department shall provide to each licensed or exempt
 driver education [school and to each parent-taught course] provider
 [approved under this chapter] driver education certificates or
 certificate numbers to enable the [school or approved parent-taught
 course] provider to issue department-approved driver education
 certificates to certify completion of an approved driver education
 course and satisfy the requirements of Sections 521.204(a)(2),
 Transportation Code, 521.1601, Transportation Code, as added by
 Chapter 1253 (H.B. 339), Acts of the 81st Legislature, Regular
 Session, 2009, and 521.1601, Transportation Code, as added by
 Chapter 1413 (S.B. 1317), Acts of the 81st Legislature, Regular
 Session, 2009.
 (a-1)  A certificate issued by a driver education [school or
 parent-taught course] provider licensed [approved] under this
 chapter must:
 (1)  be in a form required by the department; and
 (2)  include an identifying certificate number
 provided by the department that may be used to verify the
 authenticity of the certificate with the [driver education school
 or approved parent-taught course] provider.
 (a-2)  A driver education [school or parent-taught course]
 provider licensed [approved] under this chapter that purchases
 driver education certificate numbers shall issue original and
 duplicate certificates in a manner that, to the greatest extent
 possible, prevents the unauthorized production or the misuse of the
 certificates. The [driver education school or approved
 parent-taught course] provider shall electronically submit to the
 department in the manner established by the department data
 identified by the department relating to issuance of
 department-approved driver education certificates with the
 certificate numbers.
 SECTION 4.09.  Sections 1001.056(a), (b), (c-1), (d), (e),
 and (g), Education Code, are amended to read as follows:
 (a)  In this section, "operator" means a person approved by a
 driving safety [course] provider to conduct an approved driving
 safety course.
 (b)  The department shall provide each licensed driving
 safety [course] provider with course completion certificate
 numbers to enable the provider to issue department-approved uniform
 certificates of course completion.
 (c-1)  A driving safety [course] provider shall provide for
 the issuance of original and duplicate certificates in a manner
 that, to the greatest extent possible, prevents the unauthorized
 production or the misuse of the certificates.
 (d)  A certificate under this section must:
 (1)  be in a form required by the department; and
 (2)  include an identifying number by which the
 department, a court, or the Department of Public Safety may verify
 its authenticity with the driving safety [course] provider.
 (e)  The commission by rule shall establish a fee for each
 course completion certificate number. A driving safety [course]
 provider that supplies a certificate to an operator shall collect
 from the operator a fee equal to the amount of the fee paid to the
 department for the certificate number.
 (g)  A driving safety [course] provider shall issue a
 duplicate certificate by United States mail or commercial or
 electronic delivery. The commission by rule shall determine the
 amount of the fee for issuance of a duplicate certificate under this
 subsection.
 SECTION 4.10.  Section 1001.058(b), Education Code, is
 amended to read as follows:
 (b)  The advisory committee consists of nine [eleven]
 members appointed for staggered six-year terms by the presiding
 officer of the commission, with the approval of the commission, as
 follows:
 (1)  three driver education providers [one member
 representing a driver education school that offers a traditional
 classroom course and in-car training];
 (2)  three driving safety providers [one member
 representing a driver education school that offers a traditional
 classroom course, alternative methods of instruction, or in-car
 training];
 (3)  [one member representing a driving safety school
 offering a traditional classroom course or providing an alternative
 method of instruction;
 [(4)  one member representing a driving safety course
 provider approved for a traditional classroom course and for an
 alternative method of instruction;
 [(5)  one member representing a driving safety course
 provider approved for a traditional classroom course or for an
 alternative method of instruction;
 [(6)]  one driver education [licensed] instructor;
 (4)  the division head [(7) one representative] of the
 Department of Public Safety driver license division or the division
 head's designee;
 [(8)  one member representing a drug and alcohol
 driving awareness program course provider;
 [(9)  one member representing a parent-taught course
 provider;] and
 (5)  one member of [(10) two members representing] the
 public.
 SECTION 4.11.  Section 1001.059(b), Education Code, is
 amended to read as follows:
 (b)  The department may collaborate with another state
 agency or contract with a licensed driver education provider
 [school] or a driver education instructor to create the course.
 SECTION 4.12.  Subchapter B, Chapter 1001, Education Code,
 is amended by adding Section 1001.060 to read as follows:
 Sec. 1001.060.  COORDINATION WITH DEPARTMENT OF PUBLIC
 SAFETY. (a) The department shall enter into a memorandum of
 understanding with the Department of Public Safety for:
 (1)  the interagency development of the content of
 driver's license examinations and examination reference materials;
 and
 (2)  any other matter the agencies consider
 appropriate.
 (b)  The memorandum of understanding must authorize the
 Department of Public Safety to share with the department any
 relevant information, including information related to examination
 results.
 SECTION 4.13.  The heading to Subchapter C, Chapter 1001,
 Education Code, is amended to read as follows:
 SUBCHAPTER C. [OPERATION OF] DRIVER EDUCATION AND DRIVING SAFETY
 CURRICULUM [SCHOOL]
 SECTION 4.14.  Section 1001.101, Education Code, is amended
 to read as follows:
 Sec. 1001.101.  ADULT AND MINOR DRIVER EDUCATION COURSE
 CURRICULUM AND TEXTBOOKS. (a) The commission by rule shall
 establish or approve the curriculum and designate the educational
 materials to be used in a driver education course for minors and
 adults, including a driver education course conducted by a school
 district, driver education provider [school], or parent or other
 individual under this chapter.
 (b)  The commission by rule shall prescribe the minimum
 number of hours of classroom instruction, observation instruction,
 and behind-the-wheel training that must be completed for a [A]
 driver education course to be approved under this chapter [must
 require the student to complete:
 [(1)  7 hours of behind-the-wheel instruction in the
 presence of a person who holds a driver education instructor
 license or who meets the requirements for a driver education course
 conducted by a parent or other individual under Section 1001.112;
 [(2)  7 hours of observation instruction in the
 presence of a person who holds a driver education instructor
 license or who meets the requirements for a driver education course
 conducted by a parent or other individual under Section 1001.112;
 and
 [(3)  30 hours of behind-the-wheel instruction,
 including at least 10 hours of instruction that takes place at
 night, in the presence of an adult who meets the requirements of
 Section 521.222(d)(2), Transportation Code].
 SECTION 4.15.  Sections 1001.1015(b) and (d), Education
 Code, are amended to read as follows:
 (b)  A driver education course under Subsection (a) must:
 (1)  provide at least the minimum number of hours of
 classroom instruction required by commission rule [be a six-hour
 course]; and
 (2)  include instruction in:
 (A)  alcohol and drug awareness;
 (B)  the traffic laws of this state;
 (C)  highway signs, signals, and markings that
 regulate, warn, or direct traffic; and
 (D)  the issues commonly associated with motor
 vehicle accidents, including poor decision-making, risk taking,
 impaired driving, distraction, speed, failure to use a safety belt,
 driving at night, failure to yield the right-of-way, and using a
 wireless communication device while operating a vehicle.
 (d)  A driving safety course [or a drug and alcohol driving
 awareness program] may not be approved as a driver education course
 under Subsection (a).
 SECTION 4.16.  Sections 1001.1016(b) and (c), Education
 Code, are amended to read as follows:
 (b)  The commission by rule shall require an in-person [a]
 driver education provider or online driver education provider
 [school providing a driver education course] to:
 (1)  in the manner described by the Americans with
 Disabilities Act of 1990 (42 U.S.C. Section 12101 et seq.), make
 reasonable modifications and provide aids and services when
 providing the classroom instruction portion of a driver education
 [the] course that are necessary to ensure that a student who is deaf
 or hard of hearing may fully participate in the course; and
 (2)  provide to the department the provider's
 [school's] plan for complying with the rules adopted under this
 section as a condition of obtaining a license under Section
 1001.211 or renewing a license [under Section 1001.303].
 (c)  The rules adopted under Subsection (b) must allow an
 in-person [a] driver education provider or online driver education
 provider [school] to comply with the requirements of this section
 by playing a video that presents the classroom instruction portion
 of the driver education course in a manner that complies with the
 requirements of this section.
 SECTION 4.17.  Subchapter C, Chapter 1001, Education Code,
 is amended by adding Section 1001.1017 to read as follows:
 Sec. 1001.1017.  COURSE APPROVAL. A driver training
 provider shall submit to the commission for approval the course
 length and curriculum content for each course offered by the
 provider.  The provider may implement a course length and
 curriculum content only after approval by the commission.
 SECTION 4.18.  Section 1001.112, Education Code, is amended
 to read as follows:
 Sec. 1001.112.  PARENT-TAUGHT DRIVER EDUCATION.  (a)  A
 person who is eligible under Subsection (b) may use course
 materials provided by a parent-taught driver education provider to
 conduct [The commission by rule shall provide for approval of] a
 driver education course approved under Section 1001.1017 for
 [conducted by the following persons with the noted relationship to]
 a person who is required to complete a driver education course to
 obtain a Class C license.
 (b)  A person is eligible to conduct a driver education
 course for another person as provided by Subsection (a) if the
 person:
 (1)  is either:
 (A)  a parent, stepparent, foster parent, legal
 guardian, grandparent, or step-grandparent of the other person; or
 (B) [(2)]  an individual who:
 (i) [(A)]  has been designated on a form
 prescribed by the department for purposes of this section by a
 parent or[, a] legal guardian of the other person[,] or by a judge
 of a court with jurisdiction over the other person [on a form
 prescribed by the department];
 (ii) [(B)]  is at least 25 years of age [or
 older];
 (iii) [(C)]  does not charge a fee for
 conducting the course; and
 (iv) [(D)]  has at least seven years of
 driving experience;
 (2)  has possessed [and
 [(E)  otherwise qualifies to conduct a course
 under Subsection (a-1).
 [(a-1)  The rules must provide that the student driver spend
 a minimum number of hours in classroom and behind-the-wheel
 instruction.
 [(a-2)  The rules must provide that the person conducting the
 course:
 [(1) possess] a valid license for the preceding three
 years that has not been suspended, revoked, or forfeited in the past
 three years for an offense that involves the operation of a motor
 vehicle;
 (3) [(2)]  has not been convicted of:
 (A)  criminally negligent homicide; or
 (B)  driving while intoxicated in the past seven
 years; and
 (4) [(3)]  has not been convicted during the preceding
 three years of:
 (A)  three or more moving violations described by
 Section 542.304, Transportation Code, including violations that
 resulted in an accident; or
 (B)  two or more moving violations described by
 Section 542.304, Transportation Code, that resulted in an accident.
 (c)  A person conducting a driver education course under this
 section may provide the classroom instruction portion, the
 behind-the-wheel training portion, or both portions.
 (d) [(b)]  The department may [approve a course described by
 Subsection (a) if the department determines that the course
 materials are at least equal to those required in a course approved
 by the department, and the department may] not require for a course
 conducted under this section that:
 (1)  the classroom instruction be provided in a room
 with particular characteristics or equipment; or
 (2)  the vehicle used for the behind-the-wheel training
 [instruction] have equipment other than the equipment otherwise
 required by law for operation of the vehicle on a highway while the
 vehicle is not being used for driver training.
 (e)  A parent-taught driver education provider [(c) The
 rules must provide a method by which:
 [(1)  approval of a course is obtained;
 [(2)  an applicant submits proof of completion of the
 course;
 [(3)  approval for delivering course materials by an
 alternative method, including electronic means, is obtained;
 [(4)  a provider of a course approved under this
 section] may administer to an applicant the highway sign and
 traffic law parts of the examination as provided by Section
 521.1655(a-1), Transportation Code, through electronic means[; and
 [(5)  an applicant submits proof of passage of an
 examination administered under Subdivision (4)].
 (f) [(d)  Completion of a driver education course approved
 under this section has the same effect under this chapter as
 completion of a driver education course approved by the department.
 [(e)] The department may not charge a fee for the submission
 of proof of:
 (1)  completion of a [the] course conducted under this
 section; or
 (2)  passage of an examination administered under
 Subsection (e) [(c)].
 SECTION 4.19.  Sections 1001.151(b) and (c), Education Code,
 are amended to read as follows:
 (b)  The commission by rule shall establish a fee for:
 (1)  an initial in-person driver education provider
 [school] license and for each branch location;
 (2)  an initial online driver education provider
 [driving safety school] license;
 (3)  an initial parent-taught driver education
 [course] provider license[, except that the executive director may
 waive the fee];
 (4)  an initial driving safety provider license;
 (5)  the annual renewal for a [course provider,]
 driving safety provider [school], driver education provider
 [school], or branch location of an in-person driver education
 provider, except that the executive director may waive the fee if
 revenue generated by the issuance of course completion certificate
 numbers and driver education certificates is sufficient to cover
 the cost of administering this chapter and Article 45.0511, Code of
 Criminal Procedure;
 (6) [(5)]  a change of address of a driver education
 provider [school, driving safety school,] or driving safety
 [course] provider; and
 (7) [(6)]  a change of name of:
 (A)  a driver education [school or course]
 provider or an owner of a driver education [school or course]
 provider; or
 (B)  a driving safety provider [school] or an
 owner of a driving safety provider [school;
 [(7)  each additional driver education or driving
 safety course at a driver training school; and
 [(8)  an initial application for approval of a driving
 safety course that has not been evaluated by the department].
 (c)  An application for an initial driver education [or
 driving safety] instructor license must be accompanied by a
 processing fee and an annual license fee, except that the
 department may not collect the processing fee from an applicant
 [for a driver education instructor license] who is currently
 teaching a driver education course in a public school in this state.
 SECTION 4.20.  The heading to Subchapter E, Chapter 1001,
 Education Code, is amended to read as follows:
 SUBCHAPTER E. LICENSING OF DRIVER TRAINING [SCHOOLS AND COURSE]
 PROVIDERS
 SECTION 4.21.  Section 1001.201, Education Code, is amended
 to read as follows:
 Sec. 1001.201.  LICENSE REQUIRED. A person may not provide:
 (1)  [operate a school that provides] a driver
 education course:
 (A)  in person unless the person holds an
 in-person [a] driver education provider [school] license; or
 (B)  online unless the person holds an online
 driver education provider license;
 (2)  driver education course materials to persons
 conducting parent-taught driver education under Section 1001.112
 unless the person holds a parent-taught driver education provider
 license; or
 (3)  [operate a school that provides] driving safety
 courses unless the person holds a driving safety provider [school]
 license[; or
 [(3)  operate as a course provider unless the person
 holds a course provider license].
 SECTION 4.22.  Section 1001.202, Education Code, is amended
 to read as follows:
 Sec. 1001.202.  LOCATIONS FOR IN-PERSON DRIVER EDUCATION
 PROVIDERS. An in-person [(a) A] driver education provider [school]
 that teaches a driver education course at one or more branch
 locations must obtain a separate in-person driver education
 provider [school] license for its main business location and for
 each branch location. An in-person [A] driver education provider
 [school] may not operate a branch location of a branch location.
 [(b)  A driving safety school may use multiple classroom
 locations to teach a driving safety course if each location is
 approved by the department.]
 SECTION 4.23.  Section 1001.204, Education Code, is amended
 to read as follows:
 Sec. 1001.204.  REQUIREMENTS FOR DRIVER EDUCATION PROVIDER
 [SCHOOL] LICENSE. (a) The commission by rule shall establish the
 criteria applicable to each [for a] driver education provider
 [school] license.
 (b)  The department shall approve an application for a driver
 education provider [school] license if the application is submitted
 on a form approved by the department, the application is
 accompanied by the fee, and the department determines that the
 applicant [school]:
 (1)  has courses, curricula, and instruction of a
 quality, content, and length that reasonably and adequately achieve
 the stated objective for which the courses, curricula, and
 instruction are offered;
 (2)  [has adequate space, equipment, instructional
 material, and instructors to provide training of good quality in
 the classroom and behind the wheel, if applicable;
 [(3)  has instructors who have adequate educational
 qualifications and experience;
 [(4)] provides to each student before enrollment or
 each person before contracting for driver education course
 materials, to the extent applicable:
 (A)  a copy of:
 (i)  the refund policy;
 (ii)  the schedule of tuition, fees, and
 other charges; and
 (iii)  the regulations relating to absence,
 grading policy, and rules of operation and conduct; and
 (B)  the department's name, mailing address,
 telephone number, and Internet website address for the purpose of
 directing complaints to the department;
 (3)  to the extent applicable, [(5)] maintains adequate
 records as prescribed by the department to show attendance and
 progress or grades and enforces satisfactory standards relating to
 attendance, progress, and conduct;
 (4) [(6)]  on completion of training, issues each
 student a certificate indicating the course name and satisfactory
 completion;
 (5) [(7)  complies with all county, municipal, state,
 and federal regulations, including fire, building, and sanitation
 codes and assumed name registration, if applicable;
 [(8)] is financially sound and capable of fulfilling
 its commitments for training;
 (6) [(9)]  maintains and publishes as part of its
 student enrollment contract or materials contract, as applicable,
 the proper policy for the refund of the unused portion of tuition,
 fees, and other charges if a student fails to take the course or
 withdraws or is discontinued from the provider [school] at any time
 before completion;
 (7) [(10)]  does not use erroneous or misleading
 advertising, either by actual statement, omission, or intimation,
 as determined by the department;
 (8) [(11)]  does not use a name similar to the name of
 another existing driver education provider [school] or
 tax-supported educational institution in this state, unless
 specifically approved in writing by the executive director;
 (9) [(12)]  submits to the department for approval the
 applicable course hour lengths and curriculum content for each
 course offered by the provider [school];
 (10) [(13)]  does not owe an administrative penalty for
 a violation of this chapter;
 (11)  meets all requirements applicable to the license
 type under Section 1001.2041, 1001.2042, or 1001.2043; and
 (12) [(14)]  meets any additional criteria required by
 the department, including any applicable inspection requirements[;
 and
 [(15)  provides adequate testing and security measures
 for the school's method of instruction].
 SECTION 4.24.  Subchapter E, Chapter 1001, Education Code,
 is amended by adding Sections 1001.2041, 1001.2042, and 1001.2043
 to read as follows:
 Sec. 1001.2041.  REQUIREMENTS FOR IN-PERSON DRIVER
 EDUCATION PROVIDER. Before an in-person driver education provider
 license may be issued, the department must determine that the
 applicant:
 (1)  has adequate space, equipment, instructional
 material, and driver education instructors to provide training of
 good quality in the classroom and behind the wheel; and
 (2)  complies with all county, municipal, state, and
 federal regulations, including fire, building, and sanitation
 codes and assumed name registration, if applicable.
 Sec. 1001.2042.  REQUIREMENTS FOR ONLINE DRIVER EDUCATION
 PROVIDER. Before an online driver education provider license may
 be issued, the department must determine that the applicant has:
 (1)  an adequate number of driver education instructors
 to provide training of good quality; and
 (2)  adequate testing and security measures to validate
 a student's identity and active participation in a driver education
 course.
 Sec. 1001.2043.  REQUIREMENTS FOR PARENT-TAUGHT DRIVER
 EDUCATION PROVIDER. (a) Before a parent-taught driver education
 provider license may be issued, the department must determine that
 the applicant has:
 (1)  an adequate method by which a person completing a
 parent-taught driver education course under Section 1001.112 using
 the provider's course materials may submit proof of:
 (A)  completion of the course; or
 (B)  passage of an examination administered by the
 provider under Section 1001.112(e);
 (2)  hired or contracted with only driver education
 instructors, if the provider elects to hire or contract with an
 instructor to assist with driver education; and
 (3)  adequate testing and security measures to validate
 a student's active participation in a driver education course.
 (b)  Except as specifically provided by this chapter, a
 parent-taught driver education provider that provides driver
 education course materials remotely through the Internet is not
 subject to any course or curriculum requirements established by the
 commission or department for online driver education providers.
 SECTION 4.25.  Section 1001.206, Education Code, is amended
 to read as follows:
 Sec. 1001.206.  REQUIREMENTS FOR DRIVING SAFETY [COURSE]
 PROVIDER LICENSE. (a) The commission by rule shall establish
 criteria for a driving safety [course] provider license.
 (b)  The department shall approve an application for a
 driving safety [course] provider license if the application is
 submitted on a form approved by the executive director, includes
 the fee, and [on inspection of the premises of the school] the
 department determines that the applicant:
 (1)  has driving safety courses, curricula, and
 instruction of a quality, content, and length that reasonably and
 adequately achieve the stated objective for which the courses,
 curricula, and instruction are offered [the course provider has an
 approved course that at least one licensed driving safety school is
 willing to offer];
 (2)  provides [the course provider has adequate
 educational qualifications and experience;
 [(3)  the course provider will:
 [(A)  develop and provide] to each student before
 enrollment:
 (A)  [driving safety school that offers the
 approved course] a copy of:
 (i)  the refund policy; [and]
 (ii)  the schedule of tuition, fees, and
 other charges; and
 (iii)  the regulations relating to absence,
 grading policy, and rules of operation and conduct; and
 (B)  [provide to the driving safety school] the
 department's name, mailing address, telephone number, and Internet
 website address for the purpose of directing complaints to the
 department;
 (3) [(4)  a copy of the information provided to each
 driving safety school under Subdivision (3) will be provided to
 each student by the school before enrollment;
 [(5)] not later than the 15th working day after the date
 a person successfully completes the course, issues [the course
 provider will issue] and delivers [deliver] to the person by United
 States mail or commercial or electronic delivery a uniform
 certificate of course completion indicating the course name and
 successful completion;
 (4) [(6)  the course provider] maintains adequate
 records as prescribed by the department to show attendance and
 progress or grades and enforces satisfactory standards relating to
 attendance, progress, and conduct;
 (5) [(7)  the course provider] complies with all
 county, municipal, state, and federal laws, including assumed name
 registration and other applicable requirements;
 (6) [(8)  the course provider] is financially sound and
 capable of fulfilling its commitments for training;
 (7) [(9)  the course provider] maintains and publishes
 as a part of its student enrollment contract the proper policy for
 the refund of the unused portion of tuition, fees, and other charges
 if a student fails to take the course or withdraws or is
 discontinued from the provider [school] at any time before
 completion;
 (8)  [(10)  the course provider] does not use erroneous
 or misleading advertising, either by actual statement, omission, or
 intimation, as determined by the department;
 (9)  [(11)  the course provider] does not use a name
 similar to the name of another existing driving safety provider
 [school] or tax-supported educational institution in this state,
 unless specifically approved in writing by the executive director;
 (10)  submits to the department for approval the
 applicable course hour lengths and curriculum content for each
 course offered by the provider;
 (11)  [(12)  the course provider] does not owe an
 administrative penalty for a violation of this chapter;
 (12)  provides adequate testing and security measures
 for the provider's method of instruction to validate a student's
 identity and active participation in a driving safety course; and
 (13)  [the course provider] meets any additional
 criteria required by the department.
 SECTION 4.26.  Section 1001.207, Education Code, is amended
 to read as follows:
 Sec. 1001.207.  BOND REQUIREMENTS: DRIVER EDUCATION
 PROVIDER [SCHOOL]. (a) Before a driver education provider
 [school] may be issued a license, the provider [school] must file a
 corporate surety bond with the department in the amount of:
 (1)  $10,000 [for the primary location of the school];
 and
 (2)  for an in-person driver education provider, $5,000
 for each branch location of the provider.
 (b)  A bond issued under Subsection (a) must be:
 (1)  issued in a form approved by the department;
 (2)  issued by a company authorized to do business in
 this state;
 (3)  payable to the department to be used only for
 payment of a refund due to a student or potential student;
 (4)  conditioned on the compliance of the provider
 [school] and its officers, agents, and employees with this chapter
 and rules adopted under this chapter; and
 (5)  issued for a period corresponding to the term of
 the license.
 (c)  Posting of a bond in the amount required under
 Subsection (a) satisfies the requirements for financial stability
 for driver education providers [schools] under this chapter.
 (d)  A driver education provider who files a bond under
 Subsection (a)(1) or provides an alternate form of security under
 Section 1001.210 to obtain one type of driver education provider
 license may not be required to file an additional bond under
 Subsection (a)(1) or provide an alternate form of security under
 Section 1001.210 for any other type of driver education provider
 license.
 SECTION 4.27.  Section 1001.209, Education Code, is amended
 to read as follows:
 Sec. 1001.209.  BOND REQUIREMENTS: DRIVING SAFETY [COURSE]
 PROVIDER. (a) Before a license may be issued to a driving safety
 [course] provider, the [course] provider must provide a corporate
 surety bond in the amount of $10,000.
 (b)  A bond issued under Subsection (a) must be:
 (1)  issued by a company authorized to do business in
 this state;
 (2)  payable to the department to be used:
 (A)  for payment of a refund due a student of the
 [course] provider's approved driving safety courses [course];
 (B)  to cover the payment of unpaid fees or
 penalties assessed by the executive director or the commission; or
 (C)  to recover any cost associated with providing
 course completion certificate numbers, including the cancellation
 of certificate numbers;
 (3)  conditioned on the compliance of the [course]
 provider and its officers, agents, and employees with this chapter
 and rules adopted under this chapter; and
 (4)  issued for a period corresponding to the term of
 the license.
 SECTION 4.28.  Section 1001.210, Education Code, is amended
 to read as follows:
 Sec. 1001.210.  ALTERNATE FORM OF SECURITY. Instead of the
 bond required by Section 1001.207 or 1001.209, a driver education
 provider [school] or driving safety [course] provider may provide
 another form of security that is:
 (1)  approved by the department; and
 (2)  in the amount required for a comparable bond under
 Section 1001.207 or 1001.209.
 SECTION 4.29.  Sections 1001.211(b) and (c), Education Code,
 are amended to read as follows:
 (b)  A license must be in a form determined by the department
 and must show in a clear and conspicuous manner:
 (1)  the date of issuance, effective date, and term of
 the license;
 (2)  the name and address of the driver training
 [school or course] provider;
 (3)  the authority for and conditions of approval; and
 (4)  any other fair and reasonable representation that
 is consistent with this chapter and that the department considers
 necessary.
 (c)  An applicant may obtain both a driver education provider
 [school] license and a driving safety provider [school] license.
 SECTION 4.30.  Sections 1001.213(b), (c), and (d), Education
 Code, are amended to read as follows:
 (b)  If a change in ownership of a driver training [school or
 course] provider is proposed, a new owner shall apply for a new
 [school or course] provider license at least 30 days before the date
 of the change.
 (c)  The commission by rule may establish fees for a new
 driver education [school or course] provider license under
 Subsection (b) and, if applicable, for each branch location of an
 in-person driver education provider if:
 (1)  the new owner is substantially similar to the
 previous owner; and
 (2)  there is no significant change in the management
 or control of the [driver education school or course] provider.
 (d)  The department may inspect a driver training provider's
 main [school] or [a] branch location, as applicable, after a change
 of ownership.
 SECTION 4.31.  Section 1001.214, Education Code, is amended
 to read as follows:
 Sec. 1001.214.  DUPLICATE LICENSE. A duplicate license may
 be issued to a driver training [school or course] provider if:
 (1)  the original license is lost or destroyed; and
 (2)  an affidavit of that fact is filed with the
 department.
 SECTION 4.32.  Section 1001.251(a), Education Code, is
 amended to read as follows:
 (a)  Except as authorized under Section 1001.112, a [A]
 person may not teach or provide driver education[, either as an
 individual or in a driver education school,] or conduct any phase of
 driver education[,] unless the person holds a driver education
 instructor license issued by the executive director.
 SECTION 4.33.  Section 1001.2511(e), Education Code, is
 amended to read as follows:
 (e)  The commission may adopt rules to administer this
 section, including rules establishing:
 (1)  deadlines for a person to submit fingerprints and
 photographs in compliance with this section;
 (2)  sanctions for a person's failure to comply with the
 requirements of this section, including suspension or revocation of
 or refusal to issue a license described by Subsection (a); and
 (3)  notification to a driver education provider
 [school] of relevant information obtained by the department under
 this section.
 SECTION 4.34.  Section 1001.2512, Education Code, is amended
 to read as follows:
 Sec. 1001.2512.  FEES FOR CRIMINAL HISTORY RECORD
 INFORMATION REVIEW. The commission by rule shall require a person
 submitting to a national criminal history record information review
 under Section 1001.2511 or the driver education provider [school]
 employing the person, as determined by the department, to pay a fee
 for the review in an amount not to exceed the amount of any fee
 imposed on an application for certification under Subchapter B,
 Chapter 21, for a national criminal history record information
 review under Section 22.0837.
 SECTION 4.35.  Section 1001.2513, Education Code, is amended
 to read as follows:
 Sec. 1001.2513.  CONFIDENTIALITY OF INFORMATION. A social
 security number, driver's license number, other identification
 number, or fingerprint record collected for a person to comply with
 Section 1001.2511:
 (1)  may not be released except:
 (A)  to provide relevant information to driver
 education providers [schools] or otherwise to comply with Section
 1001.2511;
 (B)  by court order; or
 (C)  with the consent of the person who is the
 subject of the information;
 (2)  is not subject to disclosure as provided by
 Chapter 552, Government Code; and
 (3)  shall be destroyed by the requestor or any
 subsequent holder of the information not later than the first
 anniversary of the date the information is received.
 SECTION 4.36.  Sections 1001.2514(a) and (d), Education
 Code, are amended to read as follows:
 (a)  A driver education provider [school] shall discharge or
 refuse to hire as an instructor an employee or applicant for
 employment if the department obtains information through a criminal
 history record information review that:
 (1)  the employee or applicant has been convicted of:
 (A)  a felony offense under Title 5, Penal Code;
 (B)  an offense on conviction of which a defendant
 is required to register as a sex offender under Chapter 62, Code of
 Criminal Procedure; or
 (C)  an offense under the laws of another state or
 federal law that is equivalent to an offense under Paragraph (A) or
 (B); and
 (2)  at the time the offense occurred, the victim of the
 offense described by Subdivision (1) was under 18 years of age or
 was enrolled in a public school.
 (d)  A driver education provider [school] may discharge an
 employee who serves as an instructor if the provider [school]
 obtains information of the employee's conviction of a felony or of a
 misdemeanor involving moral turpitude that the employee did not
 disclose to the provider [school] or the department. An employee
 discharged under this subsection is considered to have been
 discharged for misconduct for purposes of Section 207.044, Labor
 Code.
 SECTION 4.37.  Section 1001.2531(b), Education Code, is
 amended to read as follows:
 (b)  An applicant for a driver education instructor license
 under this section must:
 (1)  apply to the department on a form prescribed by the
 department and under rules adopted by the commission;
 (2)  submit with the application a nonrefundable
 application fee in an amount set by commission rule; and
 (3)  present satisfactory evidence to the department
 that the applicant:
 (A)  is at least 21 years of age; and
 (B)  [holds a high school diploma or high school
 equivalency certificate; and
 [(C)]  meets any other requirement established by
 commission rule.
 SECTION 4.38.  Sections 1001.255(a), (b), and (c), Education
 Code, are amended to read as follows:
 (a)  The department shall regulate as a driver education
 provider of the type determined appropriate by the department
 [school] a driver education instructor who:
 (1)  teaches driver education courses in a county
 having a population of 50,000 or less; and
 (2)  does not teach more than 200 students annually.
 (b)  An instructor described by Subsection (a) must submit to
 the department an application for an initial or renewal driver
 education provider [school] license, together with all required
 documentation and information.
 (c)  The executive director may waive initial or renewal
 driver education provider [school] license fees.
 SECTION 4.39.  Section 1001.301, Education Code, is amended
 to read as follows:
 Sec. 1001.301.  EXPIRATION OF DRIVER TRAINING [SCHOOL OR
 COURSE] PROVIDER LICENSE. The term of a driver training [education
 school, driving safety school, or course] provider license may not
 exceed one year.
 SECTION 4.40.  Section 1001.302, Education Code, is amended
 to read as follows:
 Sec. 1001.302.  EXPIRATION OF DRIVER EDUCATION INSTRUCTOR
 LICENSE. The term of a driver education instructor [or driving
 safety instructor] license may not exceed one year.
 SECTION 4.41.  Section 1001.351, Education Code, is amended
 to read as follows:
 Sec. 1001.351.  DRIVING SAFETY [COURSE] PROVIDER
 RESPONSIBILITIES. (a) Not later than the 15th working day after
 the course completion date, a driving safety [course] provider or a
 person at the [course] provider's facilities shall issue and
 deliver by United States mail or commercial or electronic delivery
 a uniform certificate of course completion to a person who
 successfully completes an approved driving safety course.
 (b)  A driving safety [course] provider shall electronically
 submit to the department in the manner established by the
 department data identified by the department relating to uniform
 certificates of course completion issued by the [course] provider.
 [(c)  A course provider shall conduct driving safety
 instructor development courses for its approved driving safety
 courses.]
 SECTION 4.42.  Section 1001.352, Education Code, is amended
 to read as follows:
 Sec. 1001.352.  FEES FOR DRIVING SAFETY COURSE. A driving
 safety [course] provider shall charge each student:
 (1)  at least $25 for a driving safety course; and
 (2)  a fee of at least $3 for course materials and for
 supervising and administering the course.
 SECTION 4.43.  Section 1001.353, Education Code, is amended
 to read as follows:
 Sec. 1001.353.  DRIVER TRAINING COURSE AT PUBLIC OR PRIVATE
 SCHOOL. A driver training provider [school] may conduct a driver
 training course at a public or private school for students of the
 public or private school as provided by an agreement with the public
 or private school. The course is subject to any law applicable to a
 course conducted at the main business location of the driver
 training provider [school].
 SECTION 4.44.  Section 1001.355, Education Code, is amended
 to read as follows:
 Sec. 1001.355.  WITHHOLDING CERTAIN RECORDS. A driver
 training provider [school] may withhold a student's diploma or
 certificate of completion until the student fulfills the student's
 financial obligation to the provider [school].
 SECTION 4.45.  Section 1001.356, Education Code, is amended
 to read as follows:
 Sec. 1001.356.  REQUIREMENT TO CARRY LICENSE. A driver
 education instructor [or driving safety instructor] shall carry the
 person's instructor license at all times while instructing a driver
 education course [or driving safety course].
 SECTION 4.46.  Section 1001.357, Education Code, is amended
 to read as follows:
 Sec. 1001.357.  CONTRACT WITH UNLICENSED DRIVER TRAINING
 PROVIDER [SCHOOL]. A contract entered into with a person for a
 course of instruction by or on behalf of a person operating an
 unlicensed driver training provider [school] is unenforceable.
 SECTION 4.47.  Section 1001.401, Education Code, is amended
 to read as follows:
 Sec. 1001.401.  CANCELLATION AND SETTLEMENT POLICY. As a
 condition for obtaining a driver training [education school license
 or course] provider license, the [school or course] provider must
 maintain a cancellation and settlement policy that provides a full
 refund of all money paid by a student if:
 (1)  the student cancels the enrollment contract before
 midnight of the third day, other than a Saturday, Sunday, or legal
 holiday, after the date the enrollment contract is signed by the
 student, unless the student successfully completes the course or
 receives a failing grade on the course examination; or
 (2)  the enrollment of the student was procured as a
 result of a misrepresentation in:
 (A)  advertising or promotional materials of the
 [school or course] provider; or
 (B)  a representation made by an owner or employee
 of the [school or course] provider.
 SECTION 4.48.  Section 1001.402, Education Code, is amended
 to read as follows:
 Sec. 1001.402.  TERMINATION POLICY. (a) As a condition for
 obtaining a driver training provider [education school] license,
 the provider [school] must maintain a policy for the refund of the
 unused portion of tuition, fees, and other charges if a student,
 after expiration of the cancellation period described by Section
 1001.401, does not enter the course or withdraws or is discontinued
 from the course at any time before completion.
 (b)  The policy must provide that:
 (1)  refunds are based on the period of enrollment
 computed on the basis of course time expressed in clock hours;
 (2)  the effective date of the termination for refund
 purposes is the earliest of:
 (A)  the last day of attendance, if the student's
 enrollment is terminated by the provider [school];
 (B)  the date the provider [school] receives
 written notice from the student; or
 (C)  the 10th school day after the last day of
 attendance;
 (3)  if tuition is collected in advance of entrance and
 if a student does not enter the course [school], terminates
 enrollment, or withdraws, the provider [school]:
 (A)  may retain not more than $50 as an
 administrative expense; and
 (B)  shall refund that portion of the student's
 remaining classroom tuition and fees and behind-the-wheel tuition
 and fees that corresponds to services the student does not receive;
 (4)  the provider [school] shall refund items of extra
 expense to the student, including instructional supplies, books,
 laboratory fees, service charges, rentals, deposits, and all other
 charges not later than the 30th day after the effective date of
 enrollment termination if:
 (A)  the extra expenses are separately stated and
 shown in the information provided to the student before enrollment;
 and
 (B)  the student returns to the provider [school]
 any provider [school] property in the student's possession; and
 (5)  refunds shall be completed not later than the 30th
 day after the effective date of enrollment termination.
 SECTION 4.49.  Section 1001.403, Education Code, is amended
 to read as follows:
 Sec. 1001.403.  REFUND FOR DISCONTINUED COURSE. On the
 discontinuation of a course by a driver training [education school
 or a course] provider that prevents a student from completing the
 course, all tuition and fees paid become refundable.
 SECTION 4.50.  Sections 1001.404(a) and (c), Education Code,
 are amended to read as follows:
 (a)  If a refund is not timely made, the driver training
 [education school or course] provider shall pay interest on the
 amount of the refund. Interest begins to accrue on the first day
 after the expiration of the refund period and ends on the day
 preceding the date the refund is made.
 (c)  The department may except a driver training [education
 school or course] provider from the payment of interest if the
 [school or course] provider makes a good-faith effort to refund
 tuition, fees, and other charges but is unable to locate the student
 to whom the refund is owed. On request of the department, the
 driver training [school or course] provider shall document the
 effort to locate a student.
 SECTION 4.51.  Subchapter I, Chapter 1001, Education Code,
 is amended by adding Section 1001.405 to read as follows:
 Sec. 1001.405.  APPLICABILITY TO PARENT-TAUGHT DRIVER
 EDUCATION PROVIDER. The commission shall adopt rules as necessary
 to ensure this subchapter applies as appropriate to a parent-taught
 driver education provider.
 SECTION 4.52.  Section 1001.451, Education Code, is amended
 to read as follows:
 Sec. 1001.451.  PROHIBITED PRACTICES. A person may not:
 (1)  use advertising that is false, misleading, or
 deceptive;
 (2)  fail to notify the department of the
 discontinuance of the operation of a driver training provider
 [school] before the 15th working day after the date of cessation of
 classes and make available accurate records as required by this
 chapter;
 (3)  issue, sell, trade, or transfer:
 (A)  a uniform certificate of course completion or
 driver education certificate to a person or driver training
 provider [school] not authorized to possess the certificate;
 (B)  a uniform certificate of course completion to
 a person who has not successfully completed an approved[, six-hour]
 driving safety course; or
 (C)  a driver education certificate to a person
 who has not successfully completed a department-approved driver
 education course;
 (4)  negotiate a promissory instrument received as
 payment of tuition or another charge before the student completes
 75 percent of the course, except that before that time the
 instrument may be assigned to a purchaser who becomes subject to any
 defense available against the provider [school] named as payee; or
 (5)  conduct any part of an approved driver education
 course [or driving safety course] without having an instructor
 adequately available [physically present in appropriate proximity]
 to the student for the type of instruction being given.
 SECTION 4.53.  Section 1001.452, Education Code, is amended
 to read as follows:
 Sec. 1001.452.  COURSE OF INSTRUCTION OR PROVISION OF
 MATERIALS. A driver training provider [school] may not conduct a
 course of instruction or provide driver education course materials,
 as applicable, in this state before the date the provider [school]
 receives the necessary [a] driver training provider [school]
 license from the department.
 SECTION 4.54.  The heading to Section 1001.453, Education
 Code, is amended to read as follows:
 Sec. 1001.453.  DISTRIBUTION OF WRITTEN INFORMATION ON
 DRIVING SAFETY [COURSE] PROVIDER.
 SECTION 4.55.  Sections 1001.453(a) and (b), Education Code,
 are amended to read as follows:
 (a)  A person may not distribute within 500 feet of a court
 with jurisdiction over an offense to which Article 45.0511, Code of
 Criminal Procedure, applies written information that advertises a
 driving safety [course] provider.
 (b)  The department may revoke the license of a driving
 safety [course] provider if the [course] provider or the [course]
 provider's agent, employee, or representative violates this
 section.
 SECTION 4.56.  Section 1001.455, Education Code, is amended
 to read as follows:
 Sec. 1001.455.  DENIAL, SUSPENSION, OR REVOCATION OF DRIVER
 EDUCATION INSTRUCTOR LICENSE. (a)  The executive director or the
 commission may deny an application for a driver education [an]
 instructor license or suspend or revoke the license of a driver
 education [an] instructor if the instructor:
 (1)  fails to meet a requirement for issuance of or
 holding a license under this chapter;
 (2)  permits or engages in misrepresentation, fraud, or
 deceit in applying for or obtaining a certificate, license, or
 permit;
 (3)  induces fraud or fraudulent practices on the part
 of an applicant for a driver's license or permit;
 (4)  permits or engages in any other fraudulent
 practice in an action between the applicant or license holder and
 the public;
 (5)  fails to comply with commission rules relating to
 driver instruction; or
 (6)  fails to comply with this chapter.
 SECTION 4.57.  Section 106.115(a), Alcoholic Beverage Code,
 is amended to read as follows:
 (a)  On the placement of a minor on deferred disposition for
 an offense under Section 49.02, Penal Code, or under Section
 106.02, 106.025, 106.04, 106.041, 106.05, or 106.07, the court
 shall require the defendant to attend an alcohol awareness program
 approved by the Texas Department of Licensing and Regulation under
 this section or [,] a drug education program approved by the
 Department of State Health Services in accordance with Section
 521.374, Transportation Code[, or a drug and alcohol driving
 awareness program approved by the Texas Education Agency]. On
 conviction of a minor of an offense under one or more of those
 sections, the court, in addition to assessing a fine as provided by
 those sections, shall require a defendant who has not been
 previously convicted of an offense under one of those sections to
 attend an alcohol awareness program or [,] a drug education
 program[, or a drug and alcohol driving awareness program]
 described by this subsection. If the defendant has been previously
 convicted once or more of an offense under one or more of those
 sections, the court may require the defendant to attend an alcohol
 awareness program or [,] a drug education program[, or a drug and
 alcohol driving awareness program] described by this subsection. If
 the defendant is younger than 18 years of age, the court may require
 the parent or guardian of the defendant to attend the program with
 the defendant. The Texas Department of Licensing and Regulation or
 Texas Commission of Licensing and Regulation, as appropriate:
 (1)  is responsible for the administration of the
 certification of approved alcohol awareness programs;
 (2)  may charge a nonrefundable application fee for:
 (A)  initial certification of the approval; or
 (B)  renewal of the certification;
 (3)  shall adopt rules regarding alcohol awareness
 programs approved under this section; and
 (4)  shall monitor, coordinate, and provide training to
 a person who provides an alcohol awareness program.
 SECTION 4.58.  Article 45.051(b-1), Code of Criminal
 Procedure, is amended to read as follows:
 (b-1)  If the defendant is younger than 25 years of age and
 the offense committed by the defendant is a traffic offense
 classified as a moving violation:
 (1)  Subsection (b)(8) does not apply;
 (2)  during the deferral period, the judge[:
 [(A)]  shall require the defendant to complete a
 driving safety course approved under Chapter 1001, Education Code;
 and
 [(B)  may require the defendant to complete an
 additional driving safety course designed for drivers younger than
 25 years of age and approved under Section 1001.111, Education
 Code; and]
 (3)  if the defendant holds a provisional license,
 during the deferral period the judge shall require that the
 defendant be examined by the Department of Public Safety as
 required by Section 521.161(b)(2), Transportation Code; a
 defendant is not exempt from the examination regardless of whether
 the defendant was examined previously.
 SECTION 4.59.  Section 28.012(a)(3), Education Code, is
 amended to read as follows:
 (3)  "Driver training provider [school]" has the
 meaning assigned by Section 1001.001.
 SECTION 4.60.  Section 28.012(e), Education Code, is amended
 to read as follows:
 (e)  Subject to rules adopted by the board, a school district
 or open-enrollment charter school may tailor the instruction
 developed under this section as appropriate for the district's or
 school's community. In tailoring the instruction, the district or
 school shall solicit input from local law enforcement agencies,
 driver training providers [schools], and the community.
 SECTION 4.61.  Section 29.902(c), Education Code, is amended
 to read as follows:
 (c)  A school district shall consider offering a driver
 education and traffic safety course during each school year. If the
 district offers the course, the district may:
 (1)  conduct the course and charge a fee for the course
 in the amount determined by the agency to be comparable to the fee
 charged by a driver education provider [school] that holds a
 license under Chapter 1001; or
 (2)  contract with a driver education provider [school]
 that holds a license under Chapter 1001 to conduct the course.
 SECTION 4.62.  Section 123.007, Government Code, is amended
 to read as follows:
 Sec. 123.007.  USE OF OTHER DRUG AND ALCOHOL AWARENESS
 PROGRAMS. In addition to using a drug court program established
 under this chapter, the commissioners court of a county or a court
 may use other drug awareness [or drug and alcohol driving
 awareness] programs to treat persons convicted of drug or alcohol
 related offenses.
 SECTION 4.63.  Section 521.165(e), Transportation Code, is
 amended to read as follows:
 (e)  The department may authorize an entity described by
 Subsection (a), including a driver education provider [school]
 described by Section 521.1655, to administer the examination
 required by Section 521.161(b)(2).
 SECTION 4.64.  Sections 521.1655(a) and (a-1),
 Transportation Code, are amended to read as follows:
 (a)  An in-person [A] driver education provider or online
 driver education provider [school] licensed under Chapter 1001,
 Education Code, may administer to a student of that provider
 [school] the vision, highway sign, and traffic law parts of the
 examination required by Section 521.161.
 (a-1)  A parent-taught driver education [course] provider
 licensed [approved] under Chapter 1001, Education Code, [Section
 521.205] may administer to a student of that course the highway sign
 and traffic law parts of the examination required by Section
 521.161.
 SECTION 4.65.  Sections 521.206(a) and (b), Transportation
 Code, are amended to read as follows:
 (a)  The department shall collect data regarding collisions
 of students taught by public schools, driver education providers
 [schools] licensed under Chapter 1001, Education Code, and other
 entities that offer driver education courses to students for which
 a uniform certificate of course completion is issued. The
 collision rate is computed by determining the number of an entity's
 students who complete a driver education course during a state
 fiscal year, dividing that number by the number of collisions that
 involved students who completed such a course and that occurred in
 the 12-month period following their licensure, and expressing the
 quotient as a percentage.
 (b)  The department shall collect data regarding the
 collision rate of students taught by course instructors approved
 under Section 1001.112, Education Code. The collision rate is
 computed by determining the number of students who completed a
 course taught [approved] under that section [Section 1001.112,
 Education Code,] during a state fiscal year, dividing that number
 by the number of collisions that involved students who completed
 such a course and that occurred in the 12-month period following
 their licensure, and expressing the quotient as a percentage.
 SECTION 4.66.  Section 521.222(a), Transportation Code, is
 amended to read as follows:
 (a)  The department may issue a learner license, including a
 Class A or Class B driver's learner license, to a person who:
 (1)  is 15 years of age or older but under 18 years of
 age;
 (2)  has satisfactorily completed and passed the
 classroom phase of an approved driver education course, which may
 be a course taught [approved] under Section 1001.112, Education
 Code;
 (3)  meets the requirements imposed under Section
 521.204(a)(3); and
 (4)  has passed each examination required under Section
 521.161 other than the driving test.
 SECTION 4.67.  Section 542.304(a), Transportation Code, as
 added by Chapter 1094 (H.B. 2048), Acts of the 86th Legislature,
 Regular Session, 2019, is amended to conform to Section 4.40,
 Chapter 1352 (S.B. 346), Acts of the 86th Legislature, Regular
 Session, 2019, and is further amended to read as follows:
 (a)  The department by rule shall designate the offenses
 involving the operation of a motor vehicle that constitute a moving
 violation of the traffic law for the purposes of:
 (1)  [Article 102.022(a), Code of Criminal Procedure;
 [(2)]  Section 1001.112(b)(4) [1001.112(a-2)],
 Education Code;
 (2) [(3)]  Section 411.110(f), Government Code; and
 (3) [(4)]  Sections 773.0614(b) and 773.06141(a),
 Health and Safety Code.
 SECTION 4.68.  The following provisions are repealed:
 (1)  Article 45.0511(u), Code of Criminal Procedure;
 (2)  Sections 1001.001(4), (7), (10), (11), and (14),
 Education Code;
 (3)  Section 1001.056(f), Education Code;
 (4)  Section 1001.1015(c), Education Code;
 (5)  Sections 1001.103 and 1001.111, Education Code;
 (6)  Section 1001.151(e), Education Code;
 (7)  Sections 1001.205 and 1001.208, Education Code;
 (8)  Section 1001.251(b), Education Code;
 (9)  Section 1001.2531(a), Education Code;
 (10)  Sections 1001.2532, 1001.2533, 1001.2534,
 1001.2535, 1001.303, 1001.304, 1001.354, 1001.3541, and 1001.3542,
 Education Code;
 (11)  the heading to Subchapter K, Chapter 1001,
 Education Code;
 (12)  Section 545.412(g), Transportation Code; and
 (13)  Section 545.413(i), Transportation Code.
 SECTION 4.69.  On December 1, 2021:
 (1)  the terms of members serving on the driver
 training and traffic safety advisory committee under Section
 1001.058, Education Code, immediately before that date expire; and
 (2)  the presiding officer of the Texas Commission of
 Licensing and Regulation shall appoint members of the driver
 training and traffic safety advisory committee in accordance with
 Section 1001.058, Education Code, as amended by this article, with
 initial terms as follows:
 (A)  three members to terms expiring February 1,
 2023;
 (B)  three members to terms expiring February 1,
 2025; and
 (C)  three members to terms expiring February 1,
 2027.
 SECTION 4.70.  Not later than January 1, 2022, the Texas
 Department of Licensing and Regulation and the Department of Public
 Safety of the State of Texas shall enter into the memorandum of
 understanding required by Section 1001.060, Education Code, as
 added by this article.
 SECTION 4.71.  (a) Not later than January 1, 2023, the Texas
 Commission of Licensing and Regulation shall adopt rules necessary
 to implement the changes in law made by this article to Chapter
 1001, Education Code.
 (b)  A driver education school license, driving safety
 school license, or course provider license issued under Chapter
 1001, Education Code, before the date the Texas Department of
 Licensing and Regulation implements the changes described in
 Subsection (a) of this section continues to be valid until the date
 the license expires.  On expiration of that license, the license
 holder shall apply for a new license under Chapter 1001, Education
 Code, as amended by this article, to continue to provide services
 for which a license is required by that chapter.
 SECTION 4.72.  The changes in law made by this article to
 Section 106.115, Alcoholic Beverage Code, and Article 45.051, Code
 of Criminal Procedure, with respect to participation in a
 court-ordered program or course, apply to a court order entered on
 or after the effective date of this Act. A court order entered
 before that date is governed by the law in effect on the date the
 order was entered, and the former law is continued in effect for
 that purpose.
 SECTION 4.73.  To the extent of any conflict, this article
 prevails over another Act of the 87th Legislature, Regular Session,
 2021, relating to nonsubstantive additions to and corrections in
 enacted codes.
 ARTICLE 5.  EFFECTIVE DATE
 SECTION 5.01.  This Act takes effect September 1, 2021.