Bill Text: TX HB2778 | 2023-2024 | 88th Legislature | Comm Sub

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Bill Title: Relating to the operation and administration of the State Office of Administrative Hearings.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2023-04-25 - Committee report sent to Calendars [HB2778 Detail]

Download: Texas-2023-HB2778-Comm_Sub.html

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88R22709 CJC-F
By: Leach H.B. No. 2778
Substitute the following for H.B. No. 2778:
By: Johnson of Dallas C.S.H.B. No. 2778

A BILL TO BE ENTITLED
AN ACT
relating to the operation and administration of the State Office of
Administrative Hearings.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 12.032, Agriculture Code, is amended to
read as follows:
Sec. 12.032. HEARINGS CONDUCTED BY [COOPERATION WITH] STATE
OFFICE OF ADMINISTRATIVE HEARINGS. (a) [The commissioner and the
chief administrative law judge of the State Office of
Administrative Hearings by rule shall adopt a memorandum of
understanding under which the State Office of Administrative
Hearings conducts hearings for the department under this code. The
memorandum of understanding shall require the chief administrative
law judge, the department, and the commissioner to cooperate in
connection with the hearings under this code and may authorize the
State Office of Administrative Hearings to perform any
administrative act, including giving of notice, that is required to
be performed by the department or the commissioner under this code.
The memorandum of understanding shall also require that hearings
under this section be held at a location agreed upon by the State
Office of Administrative Hearings and the department.
[(b)] For a hearing conducted by the State Office of
Administrative Hearings under this code, the department and the
commissioner retain the authority to decide whether the
administrative law judge conducting the hearing for the State
Office of Administrative Hearings shall:
(1) enter the final decision in the case after
completion of the hearing; or
(2) propose a decision to the department or the
commissioner for final consideration.
(b) [(c)] Any provision of this code that provides that the
department or the commissioner take an action at a hearing means:
(1) that the department or the commissioner shall take
the action after the receipt of a proposal for decision from the
State Office of Administrative Hearings regarding the hearing
conducted by that office; or
(2) if so directed by the department or the
commissioner, the State Office of Administrative Hearings shall
enter the final decision in the case after completion of the
hearing.
(c) [(d)] The department shall prescribe rules of procedure
for any cases not heard by the State Office of Administrative
Hearings.
[(e) The department by interagency contract shall reimburse
the State Office of Administrative Hearings for the costs incurred
in conducting administrative hearings for the department. The
department may pay an hourly fee for the costs of conducting these
hearings or a fixed annual fee negotiated biennially by the
department and the State Office of Administrative Hearings to
coincide with the department's legislative appropriations
request.]
(d) [(f)] This section does not apply to hearings held under
Chapter 103.
SECTION 2. Subchapter F, Chapter 411, Government Code, is
amended by adding Section 411.1411 to read as follows:
Sec. 411.1411. ACCESS TO CRIMINAL HISTORY RECORD
INFORMATION: STATE OFFICE OF ADMINISTRATIVE HEARINGS. (a) In this
section, "office" means the State Office of Administrative
Hearings.
(b) The office is entitled to obtain from the department
criminal history record information maintained by the department
that relates to a person who is:
(1) an employee of, or an applicant for employment
with, the office;
(2) a contractor, volunteer, or intern of the office,
or an applicant to serve in one of those capacities; or
(3) a current or proposed contractor or subcontractor
of the office.
(c) State criminal history record information obtained by
the office under Subsection (b) may not be released or disclosed to
any person except by court order or with the written consent of the
person who is the subject of the criminal history record
information.
(d) The office shall destroy criminal history record
information obtained under Subsection (b) that relates to:
(1) an applicant for employment after the applicant is
employed by the office or, if the applicant is not employed by the
office, after the office has made a final employment determination
regarding the applicant; or
(2) an employee, contractor, volunteer, or intern of
the office after the office has completed a criminal history record
information check on the person.
(e) In accordance with Section 411.087, the office may
obtain through the Federal Bureau of Investigation criminal history
record information maintained or indexed by the bureau that
pertains to a person about whom the office is entitled to obtain
criminal history record information from the department under
Subsection (b).
(f) Criminal history record information obtained by the
office from the Federal Bureau of Investigation under Subsection
(e) may not be released or disclosed to any person.
SECTION 3. Subchapter C, Chapter 2003, Government Code, is
amended by adding Section 2003.0401 to read as follows:
Sec. 2003.0401. DEPUTY CHIEF ADMINISTRATIVE LAW JUDGE. (a)
The chief administrative law judge may appoint one or more deputy
chief administrative law judges to assist with the administration
of the office. To be eligible for appointment as a deputy chief
administrative law judge, an individual must:
(1) be licensed to practice law in this state; and
(2) meet other requirements prescribed by the chief
administrative law judge.
(b) A deputy chief administrative law judge shall:
(1) perform the duties the chief administrative law
judge is required by law to perform when the chief administrative
law judge is absent or unable to act;
(2) supervise administrative law judges employed by
the office, including individuals appointed as senior or master
administrative law judges under Section 2003.0411; and
(3) perform other duties assigned by the chief
administrative law judge.
(c) A deputy chief administrative law judge serves at the
pleasure of the chief administrative law judge.
SECTION 4. Section 2003.041(c), Government Code, is amended
to read as follows:
(c) An administrative law judge employed by the office is
not responsible to or subject to the supervision, direction, or
indirect influence of any person other than the chief
administrative law judge or a deputy chief administrative law
judge, or a senior or master administrative law judge designated by
the chief administrative law judge. In particular, an
administrative law judge employed by the office is not responsible
to or subject to the supervision, direction, or indirect influence
of an officer, employee, or agent of another state agency who
performs investigative, prosecutorial, or advisory functions for
the other agency.
SECTION 5. Section 2003.0411(a), Government Code, is
amended to read as follows:
(a) The chief administrative law judge may appoint senior or
master administrative law judges to perform duties assigned by the
chief administrative law judge or a deputy chief administrative law
judge.
SECTION 6. Section 2003.045, Government Code, is amended to
read as follows:
Sec. 2003.045. OVERSIGHT OF ADMINISTRATIVE LAW JUDGES. The
chief administrative law judge or a deputy chief administrative law
judge may designate senior or master administrative law judges to
oversee the training, evaluation, discipline, and promotion of
administrative law judges employed by the office.
SECTION 7. Section 2003.055, Government Code, is amended to
read as follows:
Sec. 2003.055. EFFECTIVE USE OF TECHNOLOGY. The chief
administrative law judge shall develop and implement [a policy
requiring the chief administrative law judge and office employees
to research and propose] appropriate technological solutions to
improve the office's ability to perform its functions. The
technological solutions must:
(1) ensure that the public is able to easily find
information about the office on the Internet;
(2) ensure that persons who want to use the office's
services are able to:
(A) interact with the office through the
Internet; and
(B) access any service that can be provided
effectively through the Internet; [and]
(3) be cost-effective; and
(4) use, to the greatest extent practicable, the
technology standards of the Department of Information Resources and
the judicial committee on information technology [developed
through the office's planning processes].
SECTION 8. Subchapter C, Chapter 2003, Government Code, is
amended by adding Sections 2003.0551 and 2003.0552 to read as
follows:
Sec. 2003.0551. USE OF VIDEOCONFERENCING TECHNOLOGY FOR
ADMINISTRATIVE PROCEEDINGS. (a) In this section,
"videoconferencing technology" has the meaning assigned by Section
402.0213.
(b) Notwithstanding any other law, an administrative law
judge assigned to preside over a contested case or alternative
dispute resolution proceeding may order the use of
videoconferencing technology to conduct a proceeding the office is
authorized to conduct. The presiding judge and the parties and
their attorneys may participate in the proceeding from any location
when using videoconferencing technology.
(c) The office may assist a party in attending a proceeding
conducted by videoconferencing technology by making the technology
available for the party's use at the permanent location of the
office nearest to the party if:
(1) the party:
(A) is not represented by counsel; or
(B) is unable to participate in the proceeding
due to insufficient access to videoconferencing technology; and
(2) making the technology available does not pose a
credible risk to the health or safety of employees or other persons
physically present at the office.
(d) If a party objects within a reasonable time after the
party receives notice of an order under Subsection (b) authorizing
the use of videoconferencing technology to conduct a proceeding and
states good cause for the objection, the administrative law judge
presiding over the proceeding shall:
(1) consider the objection in a manner consistent with
the Texas Rules of Civil Procedure; and
(2) rule on the objection in a timely manner before the
scheduled proceeding.
Sec. 2003.0552. USE OF ELECTRONIC FILING TECHNOLOGY FOR
SERVICE OF ADMINISTRATIVE DECISIONS AND ORDERS. (a)
Notwithstanding any other law, the office may deliver a decision or
order issued by the office using:
(1) an electronic filing system, as defined by Section
72.031, that is approved by the Office of Court Administration of
the Texas Judicial System; or
(2) a method of electronic delivery other than the
system described by Subdivision (1), including by e-mail sent to
the current e-mail address of the party's attorney of record or, if
the party is not represented by counsel, to the party's current
e-mail address.
(b) The office may require a party and the party's attorney
of record to provide and maintain an e-mail address on file with the
office for the purpose of receiving electronic delivery of
documents and communications from the office.
SECTION 9. Section 40.066, Human Resources Code, is amended
to read as follows:
Sec. 40.066. HEARINGS CONDUCTED BY [COOPERATION WITH] STATE
OFFICE OF ADMINISTRATIVE HEARINGS. (a) If the State Office of
Administrative Hearings conducts a contested case hearing for the
department under Chapter 2001, Government Code, the [Except as
provided by Subsection (e), the department and the chief
administrative law judge of the State Office of Administrative
Hearings shall adopt a memorandum of understanding under which the
State Office of Administrative Hearings, on behalf of the
department, conducts all contested case hearings authorized or
required by law to be conducted by the department under the
administrative procedure law, Chapter 2001, Government Code.
[(b) The memorandum of understanding shall require the
chief administrative law judge, the department, and the
commissioner to cooperate in connection with a contested case
hearing and may authorize the State Office of Administrative
Hearings to perform any administrative act, including the giving of
notice, that is required to be performed by the department or
commissioner.
[(c) The] administrative law judge who conducts the [a
contested case] hearing [for the State Office of Administrative
Hearings on behalf of the department] shall enter the final
decision in the case after completion of the hearing.
[(d) The department by interagency contract shall reimburse
the State Office of Administrative Hearings for the costs incurred
in conducting contested case hearings for the department. The
department may pay an hourly fee for the costs of conducting those
hearings or a fixed annual fee negotiated biennially by the
department and the State Office of Administrative Hearings to
coincide with the department's legislative appropriations
request.]
(b) [(e)] This section does not apply to a personnel
grievance hearing involving a department employee.
(c) [(f)] Unless otherwise agreed by all parties to a
contested case, a hearing conducted by the State Office of
Administrative Hearings on behalf of the department under this
section must be held in the department's administrative region in
which the conduct at issue in the case occurred.
SECTION 10. Section 402.073, Labor Code, is amended to read
as follows:
Sec. 402.073. HEARINGS CONDUCTED BY [COOPERATION WITH]
STATE OFFICE OF ADMINISTRATIVE HEARINGS. (a) [The commissioner
and the chief administrative law judge of the State Office of
Administrative Hearings shall adopt a memorandum of understanding
governing administrative procedure law hearings under this
subtitle conducted by the State Office of Administrative Hearings
in the manner provided for a contested case hearing under Chapter
2001, Government Code. The memorandum of understanding must
address the payment of costs by parties to a medical fee dispute
under Section 413.0312.
[(b)] In a case in which a hearing is conducted by the State
Office of Administrative Hearings under Section 413.031 or 413.055,
the administrative law judge who conducts the hearing for the State
Office of Administrative Hearings shall enter the final decision in
the case after completion of the hearing.
(b) [(c)] In a case in which a hearing is conducted in
conjunction with Section [402.072,] 407.046, 408.023, 415.0215, or
415.034, and in other cases under this subtitle that are not subject
to Subsection (a) [(b)], the administrative law judge who conducts
the hearing for the State Office of Administrative Hearings shall
propose a decision to the commissioner for final consideration and
decision by the commissioner.
(c) [(d)] The notice of the commissioner's order must
include a statement of the right of the person to judicial review of
the order.
(d) [(e)] In issuing an order under this section, the
commissioner shall comply with the requirements applicable to a
state agency under Section 2001.058, Government Code.
SECTION 11. Section 524.031, Transportation Code, is
amended to read as follows:
Sec. 524.031. HEARING REQUEST. If, not later than the 15th
day after the date on which the person receives notice of suspension
under Section 524.011 or is presumed to have received notice under
Section 524.013, the department receives at its headquarters in
Austin, in writing[, including a facsimile transmission,] or by
another manner prescribed by the department, a request that a
hearing be held, a hearing shall be held as provided by this
subchapter.
SECTION 12. Section 524.032(b), Transportation Code, is
amended to read as follows:
(b) A hearing shall be rescheduled if, before the fifth day
before the date scheduled for the hearing, the person who requested
the hearing requests a [request for a] continuance [from the person
who requested the hearing is received in accordance with the
memorandum of understanding adopted under Section 524.033(c)].
Unless both parties agree otherwise, the hearing shall be
rescheduled for a date not earlier than the 30th [fifth] day after
the date the request for continuance is granted [received].
SECTION 13. Section 524.034, Transportation Code, is
amended to read as follows:
Sec. 524.034. HEARING LOCATION. A hearing under this
subchapter shall be held:
(1) at a location designated by the State Office of
Administrative Hearings:
(A) in the county of arrest if the arrest
occurred in a county with a population of 300,000 or more; or
(B) in the county in which the person is alleged
to have committed the offense for which the person was arrested or
not more than 75 miles from the county seat of the county in which
the person was arrested; or
(2) [with the consent of the person and the
department,] by videoconferencing technology as provided by
Section 2003.0551, Government Code [telephone conference call].
SECTION 14. Section 724.041(e), Transportation Code, is
amended to read as follows:
(e) A hearing shall be held:
(1) at a location designated by the State Office of
Administrative Hearings:
(A) in the county of arrest if the county has a
population of 300,000 or more; or
(B) in the county in which the person was alleged
to have committed the offense for which the person was arrested or
not more than 75 miles from the county seat of the county of arrest
if the population of the county of arrest is less than 300,000; or
(2) [with the consent of the person requesting the
hearing and the department,] by videoconferencing technology as
provided by Section 2003.0551, Government Code [telephone
conference call].
SECTION 15. The following provisions are repealed:
(1) Sections 2003.021(c) and (d), 2003.024(a-2),
2003.046, 2003.050(c), and 2003.108, Government Code;
(2) Section 22.018, Human Resources Code; and
(3) Sections 524.033(c) and (d), Transportation Code.
SECTION 16. Effective September 1, 2023, Section 40.004,
Insurance Code, is repealed.
SECTION 17. Except as otherwise provided by this Act, this
Act takes effect immediately if it receives a vote of two-thirds of
all the members elected to each house, as provided by Section 39,
Article III, Texas Constitution. If this Act does not receive the
vote necessary for immediate effect, this Act takes effect
September 1, 2023.