1 | 1 | | 89R10602 JTZ-D |
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2 | 2 | | By: West S.B. No. 2562 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the regulation of referral agencies for assisted living |
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10 | 10 | | facilities; providing a civil penalty. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. Chapter 247, Health and Safety Code, is amended |
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13 | 13 | | by adding Subchapter F to read as follows: |
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14 | 14 | | SUBCHAPTER F. REFERRAL AGENCIES |
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15 | 15 | | Sec. 247.151. DEFINITIONS. In this subchapter: |
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16 | 16 | | (1) "Client" means an individual seeking assistance |
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17 | 17 | | with entering into an arrangement with an assisted living facility |
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18 | 18 | | through a referral agency. |
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19 | 19 | | (2) "Referral agency" means an individual or entity |
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20 | 20 | | that refers clients to assisted living facilities for a fee |
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21 | 21 | | collected from a client or facility. The term does not include: |
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22 | 22 | | (A) an assisted living facility or its employees; |
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23 | 23 | | or |
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24 | 24 | | (B) a resident, resident's family member, or |
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25 | 25 | | patron of an assisted living facility who refers a consumer to the |
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26 | 26 | | facility regardless of any discount or other remuneration the |
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27 | 27 | | facility pays to that individual. |
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28 | 28 | | Sec. 247.152. DISCLOSURE REQUIRED. (a) A referral agency |
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29 | 29 | | shall provide a written disclosure statement to each client before |
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30 | 30 | | referring the client to an assisted living facility. |
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31 | 31 | | (b) The disclosure statement must contain the following |
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32 | 32 | | information: |
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33 | 33 | | (1) a statement acknowledging the client may cease |
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34 | 34 | | using the services of the referral agency for any reason and at any |
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35 | 35 | | time; |
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36 | 36 | | (2) a statement that the client may elect not to |
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37 | 37 | | receive further communications from the referral agency; and |
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38 | 38 | | (3) a statement that the client on request to the |
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39 | 39 | | referral agency may receive a copy of the referral agency's privacy |
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40 | 40 | | policy. |
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41 | 41 | | (c) A referral agency and client shall each sign and date |
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42 | 42 | | the disclosure statement required by Subsection (a), either in |
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43 | 43 | | writing or electronically. |
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44 | 44 | | (d) A referral agency must provide a copy of the signed |
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45 | 45 | | disclosure statement to an assisted living facility on or before |
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46 | 46 | | the date the referral agency's client is admitted to the facility. |
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47 | 47 | | (e) An assisted living facility: |
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48 | 48 | | (1) may not pay a referral agency a referral fee until |
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49 | 49 | | the facility receives the copy of the signed disclosure statement |
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50 | 50 | | required under Subsection (d); and |
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51 | 51 | | (2) shall maintain the copy until the first |
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52 | 52 | | anniversary of the date the client who signed the statement is |
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53 | 53 | | admitted to the facility. |
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54 | 54 | | Sec. 247.153. LIMITATION ON REFERRALS. A referral agency |
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55 | 55 | | may not refer a client to more than a reasonable number of assisted |
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56 | 56 | | living facilities as prescribed by the commission for the purpose |
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57 | 57 | | of denying another referral agency a referral fee. |
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58 | 58 | | Sec. 247.154. CIVIL PENALTY. (a) At the request of the |
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59 | 59 | | commission, the attorney general shall bring an action to collect a |
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60 | 60 | | civil penalty from a referral agency that violates this subchapter. |
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61 | 61 | | (b) The civil penalty may not exceed $1,000 for each |
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62 | 62 | | violation. Each day of a continuing violation constitutes a |
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63 | 63 | | separate violation. |
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64 | 64 | | Sec. 247.155. RULES. The executive commissioner shall |
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65 | 65 | | adopt rules necessary to implement this subchapter. |
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66 | 66 | | SECTION 2. As soon as practicable after the effective date |
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67 | 67 | | of this Act, the executive commissioner of the Health and Human |
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68 | 68 | | Services Commission shall adopt rules necessary to implement |
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69 | 69 | | Subchapter F, Chapter 247, Health and Safety Code, as added by this |
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70 | 70 | | Act. |
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71 | 71 | | SECTION 3. This Act takes effect September 1, 2025. |
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