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A BILL TO BE ENTITLED
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AN ACT
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relating to the registration of vision support organizations; |
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imposing a fee; requiring an occupational registration; providing a |
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civil penalty. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle A, Title 5, Business & Commerce Code, is |
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amended by adding Chapter 74 to read as follows: |
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CHAPTER 74. REGISTRATION OF VISION SUPPORT ORGANIZATIONS |
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Sec. 74.001. DEFINITIONS. In this chapter: |
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(1) "Business support services" means business, |
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management, consulting, or administrative services, facilities, or |
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staff provided for an optometrist or an entity that employs or |
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contracts with an optometrist to provide services or products, |
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including: |
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(A) office space, furnishings, equipment, |
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supplies, or inventory; |
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(B) staff employed by a vision support |
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organization; |
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(C) regulatory compliance; |
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(D) eye care equipment, supplies, or products; |
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(E) information systems; |
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(F) marketing or advertising; |
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(G) financial services; |
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(H) accounting, bookkeeping, or monitoring of |
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accounts receivable; |
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(I) payroll or benefits administration; |
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(J) billing and collection for services and |
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products; |
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(K) reporting and payment of federal or state |
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taxes; |
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(L) administration of interest expense or |
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indebtedness incurred to finance the operation of a business; |
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(M) insurance services; or |
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(N) group purchasing services. |
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(2) "Optometrist" means an individual optometrist or |
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therapeutic optometrist licensed to practice optometry in this |
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state. |
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(3) "Vision support organization" means an entity |
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that, under one or more agreements, provides two or more business |
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support services to an optometrist. |
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Sec. 74.002. REGISTRATION REQUIRED. (a) A vision support |
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organization shall annually register with the secretary of state. |
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(b) A vision support organization's registration under this |
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section is considered registration of any subsidiary, contractor, |
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or affiliate of the vision support organization through or with |
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which the vision support organization provides business support |
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services if the registration includes all required information from |
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each subsidiary, contractor, or affiliate of the vision support |
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organization as if that entity had filed individually. |
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Sec. 74.003. EXEMPTIONS. This chapter does not require |
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registration by: |
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(1) an accountant providing only accounting services; |
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(2) an attorney providing only legal counsel; |
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(3) an insurance company or insurance agent providing |
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only insurance policies to a business; |
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(4) entities providing only investment and financial |
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advisory services; |
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(5) an accredited college of optometry or college of |
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medicine in this state; |
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(6) an optometrist who has an ownership interest in |
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three or fewer locations; |
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(7) a community health center, as defined by Section |
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351.367(a), Occupations Code; and |
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(8) a nonprofit corporation governed by Chapter 22, |
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Business Organizations Code, and exempt from taxation under Section |
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501(a), Internal Revenue Code of 1986, as an organization described |
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by Section 501(c)(3) of that code, that performs eye care services |
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primarily for homeless, migrant, indigent, or medically |
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underserved populations. |
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Sec. 74.004. CONTENTS OF REGISTRATION; FEE. (a) The |
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registration required by Section 74.002 must include: |
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(1) the name and business address of the vision |
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support organization; |
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(2) the name and business address of each optometrist |
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and each entity that employs or contracts with an optometrist to |
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provide eye care services in this state with which the vision |
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support organization has entered into an agreement to provide two |
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or more business support services; |
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(3) the name of each optometrist who owns any portion |
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of the vision support organization; |
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(4) the name of each person who is not an optometrist |
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and owns five percent or more of the vision support organization; |
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and |
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(5) a list of all business support services provided |
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to each optometrist or each entity that employs or contracts with an |
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optometrist to provide eye care services. |
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(b) A registration and each corrected registration must be |
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accompanied by a fee set by the secretary of state in an amount |
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necessary to recover the costs of administering this chapter. |
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(c) A registration or corrected registration is not |
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effective until the vision support organization pays the fee |
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required by this section. |
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Sec. 74.005. TIMING OF REGISTRATION; CORRECTION REQUIRED. |
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(a) Except as provided by Subsection (b), the registration required |
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by Section 74.002 must be filed with the secretary of state not |
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later than January 31 of each year for which the registration is |
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effective. |
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(b) A vision support organization that initially meets the |
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requirement for registration under Section 74.002 after January 31 |
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shall file the registration required by that section not later than |
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the 90th day after the date an agreement to provide business support |
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services is executed. |
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(c) A vision support organization shall file a corrected |
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registration semiannually as necessary. |
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Sec. 74.006. FAILURE TO FILE REGISTRATION OR CORRECTION. |
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(a) A person who fails to file a registration or a corrected |
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registration as required by this chapter is liable to the state for |
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a civil penalty in an amount not to exceed $1,000. |
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(b) Each day a violation continues or occurs is a separate |
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violation for the purpose of imposing the civil penalty. |
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(c) The attorney general shall file suit to collect the |
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civil penalty provided by this section. The suit may be filed in |
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Travis County or any county where the vision support organization |
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provides business support services. |
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Sec. 74.007. INTERAGENCY MEMORANDUM. The secretary of |
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state shall enter into an interagency memorandum to share the |
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information collected by the secretary of state under this chapter |
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with any relevant state agency. |
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Sec. 74.008. APPLICABILITY. This chapter does not limit |
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business support services that may be provided to an optometrist by |
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a vision support organization, to the extent permitted under |
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Section 351.408, Occupations Code. |
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Sec. 74.009. LIMITATION ON OPTOMETRY BOARD RULEMAKING. The |
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Texas Optometry Board may not adopt any rule limiting the right of |
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an optometrist to contract with a vision support organization for |
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business support services that are otherwise legally permissible. |
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SECTION 2. Notwithstanding Section 74.002, Business & |
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Commerce Code, as added by this Act, a vision support organization |
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is not required to register under that section before February 1, |
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2024. |
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SECTION 3. This Act takes effect September 1, 2023. |