5000, Administrative Actions
5100, Waivers and Variances
Revision 24-1; Effective Feb. 20, 2024
Waivers and variances are tools to help child care operations comply with minimum standards within a specified period, without compromising the safety of children served by the operation.
Human Resources Code Sections 42.042(e-5), 42.042(j) and 42.048(c)
Evaluating Risk
A waiver or variance is not an entitlement. CCR evaluates the risk to children before granting a waiver or variance. CCR may not grant a waiver or variance if child safety would be negatively impacted. When granting a waiver or variance, staff place conditions on the waiver or variance to ensure that children are not at risk.
Determining the Appropriate Action
A waiver may be appropriate if the economic impact of compliance is great enough to make compliance impractical.
A variance may be appropriate if there is good and just cause for the operation to meet the purpose of the standard in a different way.
CCR may only grant a waiver or variance for a specified period. A waiver or variance expires on the date specified by the supervisor, which the supervisor lists in CLASS.
26 TAC Sections 745.8301, 745.8311 and 745.8313
5110 Receiving a Waiver or Variance Request
Revision 24-1; Effective Feb. 20, 2024
CCR staff may receive a waiver or variance request from the operation in CLASS, by mail or email.
Waiver or Variance Request Received in CLASS
The inspector assigned to the operation will receive a CLASS To-Do to process the waiver or variance request if the operation submits the request through the operation’s CCR Online Account.
Waiver or Variance Request Received by Mail or Email
The inspector may receive either Form 2937 Child Care Regulation Waiver/Variance Request, or a letter with all the same information from the operation by mail or email. The inspector uploads the request to CLASS Document Library and enters the request in CLASS within one day after receiving the request.
For All Waiver or Variance Requests
The inspector:
- uploads all documentation to CLASS Document Library; and
- verifies the waiver or variance request is only for:
- one operation;
- one minimum standard number or subsection; and
- one foster home, if a child-placing agency is requesting a waiver or variance for a minimum standard relating to foster care.
If the request is for more than one operation, one minimum standard or subsection, or one foster home, the inspector contacts the operation to discuss if the operation should submit a separate waiver or variance request.
References:
5141.1 Entering the Request in CLASS
26 TAC Section 745.8305
5120 Decision Guidelines for Recommending to Grant or Deny a Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
CCR staff determine if the requested waiver or variance is appropriate and consider its potential impact on child safety. The CCR inspector recommends denying a waiver or variance that could negatively impact the safety of the children in the care of the operation.
CCR presumes that a waiver or variance would negatively impact child safety and would not be appropriate if:
- the operation requesting the waiver or variance is currently on an enforcement action or heightened monitoring; and
- the operation is requesting to waive or vary a minimum standard that is a basis for the enforcement action or heightened monitoring.
Procedure
When deciding to recommend granting or denying a request, the inspector considers if:
- The operation has demonstrated the ability to maintain compliance with minimum standards, administrative rules, and statutes for the past five years.
- The operation has any current or past enforcement actions.
- The operation is on heightened monitoring (RCCR only).
- Any economic factors or other constraints affect the operation’s ability to comply.
- The operation can comply with the minimum standards without a waiver or variance.
- There are risk variables at the operation, such as the operation experiencing a staff shortage or location of the operation.
- The operation has other waivers or variances in effect.
- The operation’s permit status has any relevance.
- The operation was previously granted a waiver or variance and if the operation complied with the conditions.
- To conduct an inspection before making the decision.
- Granting this request will negatively impact child safety.
- The length of time requested for the waiver or variance is reasonable or a shorter time is more appropriate.
Additional Considerations for Foster Homes
When determining whether to recommend granting a waiver or variance request for a foster home, the inspector considers the following factors:
- the compliance history of the foster home;
- whether the foster home may use the exception criteria in 26 TAC Section 749.2551(b), if the request is to increase the maximum number of foster children a foster home may care for ;
- any limitations in state or federal law, including that CCR:
- may only issue a waiver if the home is a kinship foster home;
- may not grant a request that would result in a foster home’s total capacity exceeding eight foster children; and
- may not grant a request that would result in a foster home’s foster care capacity exceeding six foster children unless the operation:
- is requesting a variance for 26 TAC Section 749.2551(b)(1); and
- is not able to use the exception criteria in 26 TAC Section 749.2551(b)(1) to increase the foster home’s foster care capacity.
References:
26 TAC Sections 745.8313 and 745.8315
Human Resources Code Section 42.0463(a)(2)
42 United States Code Section 672(c)(1)(B)
5121 Waiver or Variance Request for a Minimum Standard with Requirements in Federal or State Law
Revision 24-1; Effective Feb. 20, 2024
CCR cannot waive or vary a requirement in minimum standards that is in Chapter 42, Human Resources Code, or any other Texas statute or federal law.
Exception: Texas Human Resources Code Section 42.042(e-5) allows for a licensed child care center or a registered child care home to request a waiver on a standard relating to nutrition, physical activity or screen time if the economic impact of compliance is great enough to make compliance impractical.
References:
26 TAC Section 745.8307
Human Resources Code Sections 42.042(e-3) and 42.042(e-5)
5130 Conditions and Time Frames for the Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
The CCR inspector establishes conditions and time frames for all granted waivers and variances. The conditions include what CCR determines is necessary to protect the health and safety of children in care.
Each condition must be observable and measurable by CCR staff and the operation. CCR staff:
- do not re-state the minimum standards in the conditions, but describe specific circumstances that the operation must address; and
- evaluate the operation’s compliance with the conditions during certain types of inspections at the operation.
When deciding on conditions for the waiver or variance, the inspector considers the same factors as outlined in 5120 Decision Guidelines for Recommending to Grant or Deny a Waiver or Variance.
References:
Evaluating the Conditions of a Waiver or Variance, 5160
26 TAC Sections 745.8311 and 745.8317
5131 Establishing Conditions for a Granted Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
Procedure
When establishing conditions, the inspector ensures that the conditions include details about:
- the specific person the request applies to;
- the name of the foster home if the request is for a foster home;
- the measures the operation must take to reduce risk and protect the children;
- steps the operation must take toward meeting the standard;
- any dates when CCR requires supporting documentation from the operation;
- documentation or other observable items that must be available at the operation; and
- other restrictions or requirements placed on the operation.
References:
5150 When an Operation Disagrees with Conditions or Expiration Date on the Waiver or Variance
26 TAC Section 745.8311
5132 Waiver and Variance Expiration Time Frame
Revision 24-1; Effective Feb. 20, 2024
When setting time frames for the waiver or variance, the inspector ensures:
- the dates are reasonable based on risk to children; and
- the expiration date is three years or less from the date the request is granted.
26 TAC Section 745.8317
5140 Time Frames for Processing a Waiver or Variance Request
Revision 24-1; Effective Feb. 20, 2024
Procedure
CCR staff take the actions per the time frames outlined in the table below:
Staff Person Responsible | Action(s) | Timeframe |
---|---|---|
CCR Inspector |
| Within 15 days of receiving the request from the operation. |
CCR Supervisor | Makes the final decision whether to grant or deny the waiver or variance | Within 15 days of receiving the recommendation from the CCR inspector. |
CCR Staff | Notify the operation of the final decision | Within five days of the supervisor making the final decision. |
References:
5141.4 Supervisor’s Review of the Waiver or Variance Request
5142 Notifying the Operation of Waiver or Variance Decision
26 TAC Section 745.8307
5141 Documenting the Waiver or Variance Decision in CLASS
Revision 24-1; Effective Feb. 20, 2024
5141.1 Entering the Request in CLASS
Revision 24-1; Effective Feb. 20, 2024
Procedure
If the operation submits Form 2937, Child Care Regulation Waiver/Variance Request, or a request with the same information as collected on form 2937, the inspector enters the following information on the Waiver Variance Detail page in CLASS:
- if the request is a waiver or a variance;
- for CPS contractors only, the relationship of the children, if the request is for a foster home;
- the Original Receive Date as the date CCR received the request;
- comments in the Licensing Representative Comments box:
- the comments should include the reason for the request and relevant specific details, such as the names and ages of children, the name of the person the request pertains to, if applicable, and the justification for the request;
- the applicable minimum standard number; and
- the date the request was completed.
The inspector uploads the paper request and supporting documentation to CLASS Document Library per 1432 Storage of Photographs, Video, Audio, Scanned Documents and Other Digital Files in CLASS Document Library.
5141.2 Recommending, Documenting, and Granting a Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
Procedure
To recommend that CCR grant a waiver or variance request on the Waiver/Variance Detail page in CLASS, the inspector:
- selects Grant from the Recommendation drop-down menu;
- enters the Recommendation Date;
- documents the rationale for granting the request in the Documentation narrative field in the Licensing Representative Recommendation section; and
- enters the Effective Date, Expiration Date and conditions in the Waiver/Variance Specifics section.
When entering conditions in CLASS, the inspector follows 5131 Establishing Conditions for a Granted Waiver or Variance.
5141.3 Recommending and Documenting Denial of a Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
Procedure
To recommend the denial of a waiver or variance request, the inspector takes the following actions in the Licensing Representative Recommendation section of the Waiver/Variance Detail page in CLASS:
- selects Denied from the Recommendation drop-down menu;
- enters the date of the decision in the Recommendation Date field; and
- documents the rationale in the Documentation narrative field.
5141.4 Supervisor's Review of the Waiver or Variance Request
Revision 24-1; Effective Feb. 20, 2024
Procedure
The supervisor considers the same factors as the inspector when recommending granting the request outlined in 5120 Decision Guidelines for Recommending to Grant or Deny a Waiver or Variance.
The supervisor grants or denies the waiver or variance request within 15 days of receiving notice of the inspector’s recommendation.
The supervisor takes the following actions in the Supervisor Decision section of the Waiver/Variance Details page in CLASS:
- enters the Decision Date;
- documents the rationale for granting or denying the request in the Documentation narrative field;
- selects Granted or Denied from the Waiver/Variance Status drop-down menu; and
- selects a Reason only if denying the waiver or variance request.
5141.5 Denying a Duplicate Waiver or Variance Request
Revision 24-1; Effective Feb. 20, 2024
Procedure
If CCR determines that an operation submitted a duplicate of an existing waiver or variance, the inspector recommends denying the request and follows the policy and procedure in 5141.3 Recommending and Documenting Denial of a Waiver or Variance. The supervisor then selects “Duplicate Request” from the Reason drop-down menu in the Supervisor Decision section.
5142 Notifying the Operation of Waiver or Variance Decision
Revision 24-1; Effective Feb. 20, 2024
Procedure
Within five days of the supervisor’s decision, the inspector sends the operation notice of the decision using CLASS Form 2937 Decision on Waiver/Variance Letter (page 2).
CCR Grants the Waiver or Variance Request
If CCR grants the waiver or variance request, the inspector generates and sends CLASS Form 2937 Decision on Waiver/Variance Letter (page 2) from the Waiver/Variance Detail page in CLASS to the operation.
CCR Denies the Waiver or Variance Request
If CCR denies the waiver or variance request, the inspector generates CLASS Form 2937 Decision on Waiver/Variance Letter (page 2) from the Waiver/Variance Detail page in CLASS. Then the inspector enters the reason for the denial on the CLASS Form 2937 Decision on Waiver/Variance Letter and sends the letter to the operation.
In Both Cases
If the operation indicated on Form 2937, Child Care Regulation Waiver/Variance Request, to be notified by email, the inspector sends CLASS Form 2937 Decision on Waiver/Variance Letter to the operation’s contact email address in CLASS.
If the operation indicated on Form 2937, Child Care Regulation Waiver/Variance Request, to be notified by certified mail, the inspector includes a certified mail number in the letter and mails the letter to the operation.
5143 Updating Administrative Review
Revision 24-1; Effective Feb. 12, 2024
Procedure
After finalizing and sending the decision letter, the inspector completes both fields of the Notifications and Administrative Review section by following the policy and procedures in 5600 Administrative Reviews.
Reference: 5150 When an Operation Disagrees with Conditions or the Expiration Date on the Waiver or Variance
5150 When an Operation Disagrees with Conditions or the Expiration Date on the Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
If the operation disagrees with the conditions or expiration date that CCR sets on the waiver or variance, the operation may:
- contact the CCR supervisor to discuss concerns; or
- request an administrative review of the decision.
The operation may request an administrative review without first contacting the supervisor. If the operation contacts the supervisor first, but a mutual agreement cannot be made, the operation may request an administrative review.
Reference: 26 TAC Section 745.8321
5151 Operation Contacts the Supervisor to Address Concerns with Conditions or Expiration Date on the Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
Procedure
An operation that wants to amend conditions or the expiration date of a granted waiver or variance may contact the supervisor by calling, emailing, or mailing a letter to request a meeting to discuss items of concern.
If the operation contacts the CCR supervisor to address concerns with the conditions or expiration date on the waiver or variance, the supervisor takes the following steps in CLASS:
- documents the discussion as a Chronology (type, Waiver/Variance); and
- makes the changes on the Waiver/Variance Detail page if the supervisor approves the changes; or
- leaves the conditions or expiration date as originally documented if the supervisor does not approve the changes.
The supervisor advises the operation of the right to request an administrative review if the operation continues to disagree with the supervisor’s decision about the original conditions or expiration date on the granted waiver or variance.
Reference: 26 TAC Section 745.8321
5160 Evaluating the Conditions of a Waiver or Variance
Revision 24-1; Effective Feb. 20 2024
Evaluating Conditions of a Waiver or Variance During an Inspection
The inspector evaluates the operation’s compliance with the conditions on the waiver or variance during the following types of inspections:
- initial;
- monitoring;
- follow-up, if the inspection is relevant to the waiver or variance; and
- investigation, if the investigation is relevant to the waiver or variance.
For operations on heightened monitoring (RCCR only), the heightened monitoring inspector evaluates the operation’s compliance with the conditions on the waiver or variance during at least one inspection per month.
When evaluating conditions during an inspection, the inspector selects the check box titled The following items regarding risk were evaluated on the Inspection Details page in CLASS or CLASSMate. While at the operation, the inspector evaluates:
- the conditions of the waiver or variance;
- if conditions were met;
- if circumstances at the operation have changed that may affect the status of the waiver or variance; and
- if unintended risk to children is observed because of the waiver or variance.
If the operation is not meeting a condition, the inspector cites 26 TAC Section 745.8311(b) as deficient for the operation not meeting the condition.
Reference: 4152 Reviewing Restrictions, Conditions, Waivers, and Variances
Evaluating Conditions Outside of an Inspection
When evaluating conditions outside of an inspection, the inspector:
- documents the evaluation as a CLASS Chronology (type, Waiver/Variance); and
- includes a description of documentation that the operation submitted to CCR and if the operation has met the conditions.
Examples of when CCR may evaluate conditions outside of an inspection:
- Reviewing documentation that the operation submitted to CCR, including:
- proof of enrollment in courses;
- transcripts;
- training certificates or logs;
- proof of GED completion; and
- medical visit documentation; and
- Evaluating conditions of a waiver or variance for a listed family home.
If the operation is not meeting a condition, staff cite 26 TAC Section 745.8311(b) by assessment for not meeting the condition.
Reference: 5180 Revoking a Waiver or Variance
5170 Renewing a Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
If the operation cannot come into compliance with the minimum standard by the expiration date, the operation may request to renew the waiver or variance. The operation submits a new waiver or variance request to CCR at least 35 days before the expiration date of the current waiver or variance.
If the operation does not request a new waiver or variance, the operation must comply with the minimum standard, even if a new request related to the standard is pending review by CCR.
Procedure
When deciding to recommend granting or denying a request to renew a waiver or variance, the inspector considers the following:
- The operation’s compliance with the conditions of the original waiver or variance.
- The operation’s overall compliance history since CCR granted the original waiver or variance request.
- If there have been any changes to the operation since CCR granted the original waiver or variance request. If so, if the changes may affect child safety.
References:
5120 Decision Guidelines for Recommending to Grant or Deny a Waiver or Variance
5130 Conditions and Time Frames for the Waiver or Variance
5140 Time Frames for Processing a Waiver or Variance Request
26 TAC Section 745.8309
5180 Revoking a Waiver or Variance
Revision 24-1; Effective Feb. 202, 2024
The CCR supervisor may revoke a waiver or variance that CCR previously granted, based upon:
- the waiver or variance not addressing a risk to children that currently exists;
- circumstances at the operation supporting the decision to grant the waiver or variance changed;
- the operation not meeting conditions;
- the waiver or variance requiring an additional or alternative condition; or
- a combination of any of the criteria above.
Procedure
Protocol to Recommend Revoking a Waiver or Variance
The CCR inspector who determines that a waiver or variance should be revoked consults with the supervisor about a recommended course of action. The inspector documents the consultation as a CLASS Chronology using type, Waiver/Variance. Note: CLASS uses the term “rescind” instead of “revoke”.
Notifying the Operation of the Revocation of the Waiver or Variance
If the supervisor agrees with the inspector’s recommendation to revoke the waiver or variance, the supervisor:
- generates a letter on CLASS HHSC letterhead to explain CCR’s revocation of the waiver or variance;
- includes in the letter the operation’s right to request an administrative review within 15 days of receiving the letter;
- sends the letter by certified mail; and
- notifies the program administrator about the revocation of the waiver or variance.
References:
5150 When an Operation Disagrees with Conditions or Expiration Date on the Waiver or Variance
5190 Documenting Outcomes for Waiver or Variance
26 TAC Sections 745.8319 and 745.8321
5181 Amending Conditions of a Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
The CCR supervisor may amend the conditions of a waiver or variance that CCR previously granted, based upon:
- the waiver or variance not addressing a risk to children that currently exists;
- circumstances at the operation that supported the decision to grant the waiver or variance changing;
- the operation not meeting conditions;
- the waiver or variance requiring an additional or alternative condition; or
- a combination of any of the criteria above.
Procedure
Protocol to Recommend Amending Conditions of a Waiver or Variance
The CCR inspector who determines that the conditions for a waiver or variance should be amended consults with the supervisor about a recommended course of action. The inspector documents the consultation as a CLASS Chronology (type, Waiver/Variance).
Notifying the Operation of the Amendments to a Waiver or Variance
If the supervisor agrees with the inspector’s recommendation to amend the waiver or variance, the supervisor:
- updates the conditions in CLASS; and
- generates and sends the updated CLASS Form 2937 Decision on Waiver/Variance Letter (page 2) which lists the updated conditions.
References:
5150 When an Operation Disagrees with Conditions or Expiration Date on the Waiver or Variance
5190 Documenting Outcomes for Waiver or Variance
26 TAC Sections 745.8319 and 745.8321
5190 Documenting Outcomes for Waiver or Variance
Revision 24-1; Effective Feb. 20, 2024
Procedure
The inspector verifies the status of any expiring waiver or variance. The inspector completes the Result and Outcome Date fields in the Outcome section on the Waiver/Variance Detail page in CLASS.
The inspector does not select an outcome when a waiver (W) or variance (V) is denied.
If | Then, select one of the following Results: |
---|---|
The current waiver or variance is no longer needed |
|
The operation requests to renew the waiver or variance | New W/V request |
CCR revokes the waiver or variance | Rescinded |
The waiver or variance has expired |
|
The operation closes | Operation closed |
5200, Fees
February 2020
CCL must charge fees for permits and for conducting background checks unless an operation is exempt from such fees. All revenue collected from fees with the exception of the $1 per background check fee is deposited in the state’s general revenue fund.
Human Resources Code §42.0521; 42.054; 42.056
5210 Types and Amounts of Fees
February 2020
Fees may be charged as follows:
- Application fee
- Initial license fee
- Initial license renewal fee
- Full license fee
- Annual fee
- Amendment fee (for an increase in capacity)
- Background check fee
Human Resources Code §§42.054; 42.056(c); 42.153(c); 42.159(e); 42.203(c); 42.206(e)
26 TAC §745.501
Fee Amounts
The chart below lists the fees required for child care operations to obtain or maintain a permit, although some operations may be exempt from certain fees. See 5211 Exemption from Fees.
Type of Fee | Licensed Child Care Operations (except CPAs) | Child-Placing Agencies | Registered Child Care Homes | Listed Family Homes | Temporary Shelter/Small Employer Based |
---|---|---|---|---|---|
Application | $35 | $35 | $35 | $20 | $35 |
Initial License | $35 | $50 | N/A | N/A | N/A |
Initial License Renewal | $35 | $50 | N/A | N/A | N/A |
Full License | $35 + $1* capacity | $100 | N/A | N/A | N/A |
Annual | $35 + $1* capacity | $100 | $35 | $20 | N/A |
Background Check | $2/background check | $2/background check | $2/background check | $2/background check | $2/background check |
Amendment (Capacity Increase) | $1* capacity increase | N/A | N/A | N/A | N/A |
Also see 5212 Fees for Multiple Licenses.
Human Resources Code §§42.153(c); 42.159(e); 42.203(c); 42.206(e)
26 TAC §§745.505; 745.507; 745.509; 745.521
5211 Exemptions from Fees
July 2021
Certified Operations
Certified or state-run operations are exempt from all fees.
Certain Nonprofit Operations
A nonprofit residential child care operation regulated under Chapter 42 of the Human Resources Code must pay the application fees but is exempt from paying permit and background check fees if the operation:
- does not charge for the care that the operation provides; or
- provides residential care for children in the managing conservatorship of DFPS.
Also see 3322 Fee Exemptions for Certain Residential Operations
5211.1 Residential Child Care Operations that Provide Care to Children in the Managing Conservatorship of DFPS
Listed Family Homes that Provide Care to Related Children
A listed family home is exempt from all fees if all of the following conditions are met:
- The caregiver provides care to children related to them.
- The care is provided in the child’s home.
- HHSC has received a Texas Workforce Commission Listed Home Fee Waiver Authorization certificate exempting the provider from paying fees.
- Care is not provided to related or unrelated children in the caregiver’s home.
If the status of the listed home changes and is no longer exempt from paying fees, then the listed home’s next annual fee is not due until the anniversary of the issuance date the following year.
See 3121.1 Documenting Fee Exemptions in CLASS
Texas Human Resources Code §42.054(g)
26 TAC §745.503
5211.1 Residential Child Care Operations that Provide Care to Children in the Managing Conservatorship of DFPS
October 2020
Procedure
CCR staff select “Yes” from the Exempt from Operation Fees drop-down box after the application is accepted for an operation planning to contract with DFPS to provide care for children in the managing conservatorship of DFPS.
If the operation has not obtained a contract with DFPS at the time of full permit issuance, the inspector changes the selection to “No” from the Exempt from Operations Fee drop-down box. The inspector generates the Initial Fee Invoice and Full Permit Fee Invoice to be paid by the operation prior to issuing the full permit.
An operation with a DFPS contract at the time of full permit issuance remains exempt from future fees as long as the operation maintains the contract. However, if the operation does not maintain its contract, the operation may be exempt from paying an annual fee if the operation provided care to children in DFPS conservatorship at any time during the 12-month period immediately preceding the anniversary date of the operation’s license.
See 3322 Fee Exemptions for Certain Residential Operations
5212 Fees for Multiple Licenses
February 2020
If an applicant or permit holder wants separate licenses for different types of operations at the same location, a fee must be paid for each license.
See 2200 Types of Child Care Permits and Multiple Operations.
5220 Sending Fee Invoices and Receiving Payments
February 2020
Licensing sends an invoice to an applicant or operation for each fee the applicant or operation must pay. Licensing staff ensures the invoice is sent to the applicant or operation and resends the invoice to the operation, if necessary.
See 5230 Fee Invoices.
5221 Emailing or Mailing Invoices to the Applicant or Operation
February 2020
Procedure
Operation or Applicant Has Contact Email Address
If the applicant or operation has a contact email address in CLASS, CLASS sends a system-generated email to the applicant or operation that includes the invoice.
Operation or Applicant Does Not Have Contact Email Address
If the applicant or operation does not have a contact email address in CLASS, Licensing staff must print a copy of the invoice on the Invoice and Payment Summary page in CLASS and mail it to the applicant or operation. Licensing staff includes a return envelope addressed to:
HHSC Accounts Receivable
P.O. Box 149055
Austin, TX 78714-9055
26 TAC §745.515
5221.1 Resending a Fee Invoice
February 2020
If an invoice is returned via email as undeliverable or the applicant or operation does not receive the invoice, Licensing staff resends the invoice to the corrected or new email or mailing address.
Procedure
Licensing staff first verifies that the invoice was sent to the email or mailing address that is listed in CLASS. If staff concludes that the address is no longer valid, staff contacts the applicant or operation to obtain the correct email address or mailing address and updates the information on the operation’s Main page in CLASS. Staff then resends the invoice via email if the operation or applicant has a contact email address. Otherwise, staff resends the invoice via mail.
5222 How an Operation Submits Payment
February 2020
Licensing does not collect fee payments directly.
Procedure
An applicant or operation may submit a payment by:
- Submitting the payment through the operation’s online Child Care Licensing Account; or
- Mailing the payment, along with the invoice, to HHSC Accounts Receivable.
The invoice sent to the applicant or operation includes the:
- invoice number;
- type of fee due;
- fee amount;
- instructions for submitting payments; and
- consequences for not paying the fee.
See 5220 Sending Fee Invoices and Receiving Payments
5222.1 Receiving a Payment at a Licensing Office
February 2020
Procedure
If an applicant or operation submits a mailed payment directly to a Licensing office, Licensing staff who received the payment takes the following steps:
- Enters all payment details on the Payments Sent to ARTS tracking log located on the CCL SharePoint site; and
- Sends the payment and related invoice to HHSC Accounts Receivable.
If no invoice was included with the payment, staff prints the invoice from the operation’s Invoice & Payment Summary page in CLASS and sends the payment and invoice to HHSC Accounts Receivable. If Licensing staff is unable to locate the invoice on the operation’s Invoice & Payment Summary page, staff sends the payment to HHSC Accounts Receivable with the operation name, operation number, and as much other identifying information as possible.
Licensing staff informs the applicant or operation how to submit future payments.
5222.11 Reconciling a Payment Received by a Licensing Office
February 2020
Procedure
By the fifth day of each month, a designated Licensing staff in each district must reconcile the payments entered on the Payments Sent to ARTS tracking log by completing a CLASS review and updating the log.
5230 Fee Invoices
February 2020
A unique invoice number is assigned to each fee the operation must pay. The invoice and all payment events related to the invoice are displayed on the Invoice & Payment Summary page in CLASS. Depending on the fee type, an invoice may be automatically generated by CLASS or generated by Licensing staff as further described in this section.
5231 Application Fee Invoice
February 2020
The applicant must pay an application fee before Licensing staff can accept an application for a permit, unless the applicant is exempt from paying the application fee.
If the application is withdrawn or the permit is not issued, the application fee is not refunded. If the applicant reapplies within 30 days after withdrawing the applicant’s original application, the applicant does not have to pay a new application fee.
Procedure
CLASS automatically generates an Application Fee Invoice when:
- An applicant submits an e-Application; or
- Licensing enters the application in CLASS and saves the operation’s Main page for the first time.
Texas Human Resources Code §§42.054; 42.153(c); 42.159(e)
26 TAC §§745.401; 745.503; 745.505; 745.507; 745.509; 745.519; 745.521
See:
3220 Reviewing and Accepting the Application for a Permit
5210 Types and Amounts of Fees
5211 Exemption from Fees
5221 Emailing or Mailing Invoices to the Applicant or Operation
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
5232 Initial Permit Fee Invoice
February 2020
Before Licensing issues an initial license to an applicant for a license, the applicant must pay the initial license fee, unless the applicant is exempt from paying permit fees.
If the operation withdraws the application after paying the initial license fee and an initial license is not issued, the initial license fee may be refunded.
Procedure
Licensing staff creates and sends the Initial Permit Fee Invoice to the applicant after:
- notifying the applicant of the results of the application inspection via CLASS Form 2936; and
- determining the applicant has met the criteria to receive an initial license.
Licensing staff create and send the Initial Permit Fee Invoice by taking the following steps on the Invoice & Payment Summary page in CLASS:
- select Add Fee Invoice button;
- select Initial Permit Fee Invoice from the Add Fee Invoice drop-down menu;
- select Yes to confirm the action; and
- send the invoice to the applicant.
Texas Human Resources Code §42.054
26 TAC §§745.503; 745.509; 745.519
See:
3412 Criteria for Issuing an Initial License
5210 Types and Amounts of Fees
5211 Exemption from Fees
5221 Emailing or Mailing Invoices to the Applicant or Operation
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
5233 Initial Permit Renewal Fee Invoice
February 2020
The operation must pay an initial license renewal fee if Licensing staff determine that the initial license must be renewed, unless the operation is exempt from paying permit fees.
Procedure
Licensing staff create and send the Initial Permit Renewal Fee Invoice upon determining that the initial license must be renewed.
Licensing staff create and send the Initial Permit Renewal Fee Invoice by taking the following steps on the Invoice & Payment Summary page in CLASS:
- select Add Fee Invoice button;
- select Initial Permit Fee Invoice from the Add Fee Invoice drop-down menu;
- select Yes to confirm the action; and
- send the invoice to the operation.
See:
3520 Renewing an Initial License
5210 Types and Amounts of Fees
5211 Exemption from Fees
5221 Emailing or Mailing Invoices to the Applicant or Operation
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
5234 Full Permit Fee Invoice for a Licensed Operation
Revision 22-5; Effective Nov. 4, 2022
Before CCR issues a full license, the inspector confirms whether the operation paid the fee for the full license, unless the operation is exempt from paying permit fees.
If the operation failed to pay the fee before the initial or renewed initial license expiration date, CCR staff denies issuance of the full license.
Texas Human Resources Code Section 42.054
26 TAC Sections 745.503, 745.509
Procedure
CCR staff create and send the Full Permit Fee Invoice after the supervisor has approved issuing the full license, as outlined in 3531.1 Criteria for Issuing A Full License when an Operation Has an Initial License.
To create and send the Full Permit Fee Invoice, CCR staff take the following steps on the Invoice & Payment Summary page in CLASS:
- select Add Fee Invoice button;
- select Full Permit Fee Invoice from the Add Fee Invoice drop-down menu;
- select Yes to confirm the action; and
- send the invoice to the operation.
See:
3322 Fee Exemptions for Certain Residential Operations
3531.1 Criteria for Issuing a Full License When an Operation Has an Initial License
5210 Types and Amounts of Fees
5211 Exemption from Fees
5221 Emailing or Mailing Invoices to the Applicant or Operation
5270 Fee Refund Guidelines
7600 Adverse Actions
Appendix 5000-2 Licensing Fees
5235 Annual Permit Fee Invoice
February 2020
An operation must pay an annual fee by the anniversary date of the full permit issuance, unless the operation is exempt from paying the annual fee.
Procedure
CLASS automatically generates the Annual Permit Fee Invoice 35 days prior to the anniversary of the issuance of the operation’s full permit.
If CLASS generates the Annual Permit Fee Invoice for an operation that is exempt from paying the annual fee, Licensing staff:
- indicate on the operation’s Main page in CLASS that the operation is exempt from fees; and
- cancel the Annual Permit Fee Invoice with the reason Operation is Exempt on the operation’s Invoice and Payment Summary page in CLASS.
Texas Human Resources Code §42.054
26 TAC §§745.503; 745.505; 745.507; 745.509; 745.515
See:
5210 Types and Amounts of Fees
5211 Exemption from Fees
5220 Sending Fee Invoices and Receiving Payments
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
Appendix 5000-3 Invoice Cancellation Reasons
5236 Capacity Increase Fee Invoice (Also Known as Amendment Fee)
Revision 23-2; Effective June 26, 2023
If a licensed operation with a full permit submits a request to increase the operation’s capacity, the inspector follows the policies in 3811 When and How to Evaluate a Change in an Operation before approving or rejecting the request.
If the permit holder pays for the capacity increase but CCR does not approve the capacity increase, CCR refunds the payment.
Procedure
CLASS automatically generates the Capacity Fee Invoice when CCR staff approve the operation’s request to increase capacity in CLASS.
If an operation changes or withdraws its request to increase capacity, CCR staff do not cancel the Capacity Fee Invoice. CCR staff follow 3823.2 Changing the Operation’s Capacity in CLASS. CLASS automatically cancels the Capacity Fee Invoice.
The fee is not prorated. If a license is amended to reduce capacity, the permit holder does not receive a refund for the permit holder’s last annual fee payment. The reduction is reflected in the next annual fee payment.
26 TAC Sections 745.509(10); 745.519
Also see:
3820 How to Evaluate and Process Amendments to a Permit
5210 Types and Amounts of Fees
5211 Exemption from Fees
5220 Sending Fee Invoices and Receiving Payments
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
5237 Background Check Fee Invoice
February 2020
An applicant or permit holder incurs a background check fee every time a background check is submitted for an individual, unless the operation is exempt from paying background check fees.
Procedure
CLASS automatically generates the Background Check Fee Invoice on a quarterly basis.
26 TAC §§745.503; 745.505; 745.507; 745.509; 745.521
See:
5210 Types and Amounts of Fees
5211 Exemption from Fees
5220 Sending Fee Invoices and Receiving Payments
5270 Fee Refund Guidelines
Appendix 5000-2 Licensing Fees
5240 Verification of Fee Payments
February 2020
Licensing staff must verify that an operation has fully paid all required fee invoices throughout the application, monitoring and permit renewal processes.
26 TAC §§745.477; 745.505; 745.507; 745.509; 745.521
5241 Invoice Status and Actions Taken
February 2020
Procedure
Each invoice has an Invoice Status, which changes when additional invoice events occur.
The chart below lists each possible Invoice Status that could be displayed on the Invoice & Payment Summary page in CLASS and any subsequent action that occurs.
Invoice Status | Description | Action |
---|---|---|
Not Paid | The status when an invoice is first created. Displays until a payment is made or the invoice is canceled. |
|
Paid in Full | The status when the operation submits a payment for the full amount of the invoice. | No further action. |
Partially Paid | The status when an operation submits a payment that is less than the full amount of the invoice. | If the operation has a contact email address, CLASS generates and sends an invoice with an updated balance. If the operation does not have a contact email address, Licensing staff prints the updated invoice and mails it to the operation. |
Overpaid | The status when an operation submits a payment that is greater than the full amount of the invoice. | Licensing staff initiate a refund, as outlined in 5270 Fee Refund Guidelines. |
Cancelled | The status when Licensing staff cancels an invoice. | No further action. |
See:
5243 Additional Steps to Verify Fee Payments
5260 Cancelling Invoices
5242 How to Verify the Fee Invoice Status
February 2020
Procedure
Licensing staff determines the status of an invoice by locating the particular invoice on the Invoice & Payment Summary page in CLASS. Staff then identifies whether the invoice has been paid by assessing the information in the Invoice Status column.
See:
5241 Invoice Status and Actions Taken
5243 Additional Steps to Verify Fee Payments
February 2020
Procedure
Licensing staff takes additional steps to verify a payment when:
- the Invoice Status is Not Paid or Partially Paid; and
- the applicant or operation presents evidence, including the date and amount of the payment, that the operation submitted a payment.
5243.1 Linking an Unlinked Payment to an Invoice
October 2020
The first step CCR staff takes to verify a payment is to review the Unlinked Payments section on the operation’s Invoice & Payment Summary page in CLASS. Payments listed in the Unlinked Payments section have been linked to the operation, but are not associated with an invoice.
Procedure
CCR staff may contact the operation to verify which invoice the unlinked payment should be applied to. CCR staff links the payment to the invoice by taking the following actions in the Unlinked Payments section on the operation’s Invoice & Payment Summary page in CLASS:
- finds the row with the Payment Received event for the payment to be linked;
- selects the ‘link’ icon in the Action column;
- selects one or more invoices to apply the payment; and
- enters the amount to be applied to each invoice (the total amount applied must equal the payment amount).
5243.2 Linking a Payment to Multiple Invoices
October 2020
CCR staff may link a payment in the Unlinked Payments section in CLASS to multiple invoices. CCR staff follow the process detailed in 5243.1 Linking an Unlinked Payment to an Invoice. The total amount applied between the invoices must equal the total amount of the payment.
5243.3 Linking a Payment to an Operation
October 2020
If the operation does not have any unlinked payments on the operation’s Invoice & Payment Summary page in CLASS that match the date and amount of the operation's payment, CCR staff conducts a search for the payment through the Payment Verification page in CLASS (located in CLASS Tools). Payments on the Payment Verification page in CLASS have not been associated with an operation or an invoice.
Procedure
CCR staff accesses the Payment Verification page in CLASS and conducts a search for the payment. If CCR staff identifies the payment through the search, staff:
- searches for the operation;
- attaches the payment to the operation by selecting the check box next to the payment and saving the page;
- confirms that the payment has been moved to the Unlinked Payments section of the selected operation by using the Invoice & Payment Summary link at the top of the page; and
- links the payment to the correct invoice by following the procedures outlined in 5243.1 Linking an Unlinked Payment to an Invoice.
5243.4 Linking a Payment to a Different Invoice
October 2020
The Update/Query Payments page in CLASS allows staff to take actions on payments that have already been linked to an operation or an invoice. CCR may unlink a payment from an invoice by linking it to a new operation or by linking it to the same operation. Either option results in the payment being displayed in the Unlinked Payments table of the selected operation.
Procedure
If CCR staff determines that the operation’s payment was linked to the incorrect operation or an incorrect invoice, staff takes the following steps on the Update/Query Payment page (located under CLASS Tools) in CLASS:
- searches for the payment in CLASS;
- searches for the operation;
- selects the check box next to the payment and saves the page;
- confirms that the payment has been moved to the Unlinked Payments section of the selected operation by using the Invoice & Payment Summary link at the top of the page; and
- links the payment to the correct invoice by following the procedures outlined in 5243.1 Linking an Unlinked Payment to an Invoice.
5250 Handling Changes to Payments
October 2020
A correction to a payment occurs when the Accounts Receivable Tracking System (ARTS) makes a change to how ARTS originally processed a manual payment. A correction can occur for the following reasons:
- payment returned as non-sufficient funds (NSF);
- the whole or a portion of the payment is refunded; or
- other errors in the original data entry.
5251 Payment Returned as Non-Sufficient Funds (NSF)
Revision 22-4; Effective Sept. 15, 2022
Procedure
A Non-Sufficient Funds (NSF) event occurs when a fee payment is declined due to the account not having enough funds to cover the payment. When an NSF event occurs, CLASS updates the Invoice Status and adds a Non-Sufficient Funds event for the applicable invoice. Licensing staff follow up with the operation when staff:
- receives notice that an NSF for an annual fee payment has posted in CLASS; or
- observes during an initial or monitoring inspection or while reviewing the operation’s permit renewal application that an NSF for any other fee payment has posted in CLASS.
If the operation has a contact email address in CLASS, CLASS automatically resends the invoice with the updated balance after an NSF is posted in CLASS. Licensing staff follow up with the operation by phone, email, or inspection to ensure payment and take any required action.
Unlinked Non-Sufficient Funds
If Licensing staff observe a payment with an associated NSF payment event in the Unlinked Payments section of the Invoice and Payment Summary page or on the Payment Verification page in CLASS, staff refer to the Linking Payment Changes to an Invoice document located on the CCL SharePoint site for instructions on linking payments and NSF events to an invoice.
Also see:
3924.2 Verifying Fee and Administrative Penalty Payments
4141 Preparing for Application, Initial, and Monitoring Inspections
4300 Conducting a Follow-Up with an Operation
Appendix 5000-2 Licensing Fees
5252 Payment Refunded
February 2020
Licensing staff initiate a refund when:
- an applicant or operation overpays a fee invoice (Invoice Status is Overpaid); or
- when the operation requests a refund and Licensing staff determine the operation is eligible for a refund.
26 TAC §745.519
Procedure
If the correct invoice number is submitted with the refund request, CLASS adds a Refund Issued event for the applicable invoice on the Invoice and Payment Summary page after ARTS processes the refund.
Unlinked Refunds
If Licensing staff observe a payment with an associated refunded payment event in the Unlinked Payments section of the Invoice and Payment Summary page or on the Payment Verification page in CLASS, staff refer to the Linking NSFs, Refunds, and Payment Reversals/Corrections to an Invoice document located on the CCL SharePoint site for instructions on linking payments and refunds to an invoice.
See:
5270 Fee Refund Guidelines
5253 Payment Corrected
February 2020
Procedure
When the Accounts Receivable Tracking System (ARTS) processes a reversal and correction for a fee payment previously posted in CLASS, CLASS updates the Invoice Status and adds a Reversal and Correction event for the applicable invoice. A Reversal and Correction may occur when ARTS:
- Moves a payment to a different invoice or operation;
- Splits a payment originally linked to one invoice to multiple invoices; or
- Makes corrections to other details associated with the payment.
Unlinked Reversals and Corrections
If Licensing staff observe a payment with an associated Reversal or Correction event in the Unlinked Payments section of the Invoice and Payment Summary page in CLASS, staff refer to the Linking NSFs, Refunds, and Payment Reversals/Corrections to an Invoice document located on the CCL SharePoint site for instructions on linking payments and associated reversals and corrections to an invoice.
5260 Cancelling Invoices
February 2020
Licensing staff may cancel certain fee invoices if the invoice was created in error, including when an invoice is created for a fee that the operation is exempt from paying.
Texas Human Resources Code §42.054(g)
26 TAC §745.503
See 5211 Exemptions from Fees
Procedure
Licensing staff locates the invoice to be cancelled on the Operation’s Invoice & Payment Summary page in CLASS. Licensing staff then:
- selects the Cancel icon in the Action column;
- selects the reason for the cancellation; and
- selects Yes to confirm the cancellation.
See Appendix 5000-3 Invoice Cancellation Reasons
5270 Fee Refund Guidelines
February 2020
No refund is made if a permit is revoked or relinquished.
Fees that have been paid may be refunded only under certain conditions. Those conditions are outlined in the following refund chart:
Refund Chart
Type of Fee | Conditions for Refund |
---|---|
Application fee when issuance was late | Fee is refunded after appeal |
Application fee | Nonrefundable fee |
Initial license fee | Refunded if the application is withdrawn or the initial license is not issued |
Full license fee | Refunded if the initial license expires with no full license being issued |
Background check fee | Nonrefundable |
Amendment to license fee | Refunded if the amendment is not issued |
All annual fees | Nonrefundable |
All fees | Refunded if the fee is overpaid |
Texas Human Resources Code §42.054
26 TAC §745.519
Procedure
Within 30 calendar days of determining the refund is due, Licensing staff completes the HHSC Refund Request Form to process a refund, as outlined in the CCL Job Aid: How to Complete the ARTS Refund Request document located on the CCL SharePoint site.
5300, Warning Letters
5310 When to Issue a Warning Letter
Revision 22-4; Effective Sept. 20, 2022
CCR staff send CLASS Form 2999 Warning Letter to notify the governing body of a child care operation that CCR has identified risks and may recommend or impose an enforcement action if the operation’s compliance history does not improve.
The basis of the warning letter may be any of the following:
- a single inspection, assessment or investigation;
- an enforcement team conference (RC only); or
- the operation’s overall compliance history.
The warning letter prompts the operation to:
- resolve patterns of deficiencies in a timely manner; and
- maintain compliance with the law, administrative rules, and minimum standard rules on an ongoing basis.
Two Warning Letters within 24 Months
If CCR staff issues two warning letters within 24 months, the CCR inspector consults with the CCR supervisor to determine whether to recommend an enforcement action or consider taking other actions if the operation's compliance history does not improve.
5311 Creating the Warning Letter
Revision 22-4; Effective Sept. 20, 2022
Procedure
The CCR inspector creates a new warning letter from the Warning Letter List page in CLASS.
Next, on the Warning Letter Detail page, the inspector selects the appropriate option from the Reasons dropdown in the Warning Letter Details section.
- If the reason is a single inspection, investigation, assessment, or enforcement team conference (ETC), the inspector selects the associated ID or number in the applicable field.
- If the reason is Recent or Overall Compliance History, the inspector documents the reason for sending the warning letter in the Reason Explanation field.
Once the final version of CLASS Form 2999 Warning Letter is saved the CCR inspector:
- sends the letter and copy of the CLASS report Compliance/Sampling Report Detail to the operation; and
- enters the planned date of the follow-up inspection in the Follow Up Date field on the Warning Letter Detail page.
If the CCR inspector needs to make a change to the Follow Up Date field after the Warning Letter Detail page has been saved the inspector consults with the supervisor.
See 5313 Following-Up to a Warning Letter
5312 Stopping a Warning Letter
Revision 22-4; Effective Sept. 20, 2022
Before the final version of CLASS Form 2999 Warning Letter is saved, the CCR inspector may stop the warning letter to make changes on the Warning Letter Detail page.
Procedure
To stop CLASS Form 2999 Warning Letter, the CCR inspector:
- selects the Stop Warning Letter checkbox; and
- enters the reason for stopping the warning letter in the Reason field.
After the warning letter is stopped, the Warning Letter Detail page becomes view only and changes cannot be made to the page.
5313 Following-Up to a Warning Letter
Revision 22-4; Effective Sept. 20, 2022
Within 60 days of the date CCR staff save the final version CLASS Form 2999 Warning Letter, the CCR inspector conducts a follow-up inspection to discuss with the director or administrator or person in charge:
- the reason CCR sent the warning letter;
- the operation’s compliance history report;
- the steps the operation has taken to address CCR’s concerns about the operation’s compliance history since receiving the warning letter; and
- the steps the operation will take or continue to take in the future to address CCR’s concerns about the operation’s compliance history.
During the inspection, the CCR inspector informs the operation that CCR may recommend or impose an enforcement action if the operation’s compliance history does not improve.
If needed, the CCR inspector also follows-up on deficiencies not yet corrected and for which the compliance date has passed.
See 4300 Conducting a Follow-Up with an Operation
5400, Controlling Person
Revision 23-3; Effective Sept. 22, 2023
CCR staff conduct all of the following activities related to controlling persons for operations other than temporary shelter child care operations and small employer-based child care operations:
- Obtain information on all controlling persons from applicants.
- Ensure that CCR has the most current information on all controlling persons for operations with permits.
- Conduct searches in the CLASS and Adverse Action Record-Sharing (AARS) systems to search for controlling persons at operations that are applying for a permit.
- Conduct searches in the CLASS system for controlling persons at operations that have a permit.
- Enter information on controlling persons into the CLASS system.
- Determine eligibility for persons in the role of a controlling person.
- Notify the controlling person, applicant, or operation about the controlling person’s eligibility for the role of controlling person.
- Monitor operations for compliance with statutes, administrative rules, and minimum standards related to controlling person.
- Work with Child Care Enforcement on due process activities associated with controlling persons who are designated because an operation that the person was a controlling person for had a permit revoked.
5410 Definitions of Terms Related to Controlling Persons
5411 Definition of Controlling Person
Revision 23-3; Effective Sept. 22, 2023
A controlling person is a person who, either alone or in connection with others, has the ability to directly or indirectly influence or direct the management, expenditures or policies of an operation.
Human Resources Code Section 42.002(18)
Certified (state-operated), licensed, listed and registered applicants and operations must identify persons serving in the role of a controlling person at the operation.
A controlling person of a child care operation includes any of the following:
- An owner of the operation.
- A member of the governing body of the operation, including, as applicable, an executive, an officer, a board member and a partner.
- A sole proprietor.
- The sole proprietor’s spouse.
- The primary caregiver at a child care home.
- The spouse of the primary caregiver at a child care home.
- A person who manages, administrates or directs the operation or its governing body, including but not limited to:
- a child care center, program, operation or site director; or
- a licensed administrator.
- A person who, either alone or in connection with others, has the ability to influence or direct the management, expenditures or policies of the operation. For example, a person may have influence over the operation because of a personal, familial or other relationship with the governing body, manager or other controlling person of the operation.
26 TAC Section 745.901(a)
A person does not have to be present at the operation or hold an official title at the operation or governing body to be a controlling person.
26 TAC Section 745.901(b)
An employee, lender, secured creditor or landlord of the operation is not a controlling person, unless the person meets the requirements listed above.
26 TAC Section 745.901(c)
5411.1 Persons Who are Ineligible to be a Controlling Person
March 2013
A person may not serve as a controlling person at an operation regulated by Licensing if the person:
- is ineligible to receive a permit (see 3222 How to Determine Whether the Applicant Is Eligible to Apply);
- has been denied a permit for a substantive reason;
- has had a permit revoked;
- voluntarily closed an operation or relinquished a permit after Licensing notified the operation of the intent to revoke a permit;
- voluntarily closed an operation or relinquished a permit after Licensing notified the operation of a decision to revoke a permit;
- was a controlling person for an operation at the time the conduct occurred that resulted in the permit being revoked;
- was a controlling person for an operation that closed or relinquished a permit after Licensing notified the operation of the intent to revoke a permit; and
- who was a controlling person for an operation that closed or relinquished a permit after Licensing notified the operation of a decision to revoke a permit.
Human Resources Code §§42.062, 42.072(c-1), (g)
40 TAC §745.911
5412 Definition of a Match for Controlling Persons
September 2012
In regard to controlling persons, a match exists when a search in the CLASS or HHSC Adverse Action Record-Sharing (AARS) systems reveals that a person is:
- a designated controlling person;
- a sustained controlling person;
- ineligible to receive a permit (see 3222 How to Determine Whether the Applicant is Eligible to Apply); or
- listed in the AARS system.
5420 When and How Applicants and Operations Submit Information on Controlling Persons
5421 When Applicants and Operations Submit Information on Controlling Persons
March 2013
Licensed Operations and Registered Family Homes
The applicant, permit holder, or head of the governing body of a licensed operation or registered family home submits information on controlling persons:
- when submitting an application;
- within two days after a person becomes a controlling person at the operation; or
- within two days after a person ceases to be a controlling person at the operation.
26 TAC §§744.305(a)(6), 746.305(a)(6), 747.303(a)(6), 748.103(13); 749.103(18), 750.103(11)
40 TAC §745.903
Listed Family Homes
The applicant or permit holder of a listed family home submits information on controlling persons:
- when submitting an application; or
- within two days after a person becomes a controlling person at the operation.
40 TAC §745.903
5422 How Applicants and Operations Submit Controlling Person Information
September 28, 2018
Applicants for a License
An applicant for a license completes Form 2760 Controlling Person-Child Care Regulation, to submit controlling person information to Licensing. Before submitting Form 2760, the applicant, designee, or head of the governing body signs the form to indicate that the information submitted is correct.
40 TAC §745.903
See:
3223 Evaluating an Application for Completeness
5433 Reviewing Form 2760 Controlling Person-Child Care Regulation, for Completeness
Applicants for a Registration or Listing
An applicant for a registration or listing submits controlling person information by:
- completing Form 2760 Controlling Person-Child Care Regulation, if a paper application is being submitted; or
- entering information for all controlling persons online through the applicant's online Child Care Licensing Account, if an e-application is being submitted.
If an applicant is submitting Form 2760, the applicant, designee, or head of the governing body must sign the form to indicate that the information submitted is correct.
40 TAC §745.903
See:
3223 Evaluating an Application for Completeness
3610 Listing Application
5433 Reviewing Form 2760 Controlling Person-Child Care Regulation for Completeness
Operations with a Permit – Submit New Controlling Person
An operation with a permit submits information on a new controlling person by:
- entering information for the new controlling person online through the operation's online Child Care Licensing Account, if the operation has an online account; or
- completing a new Form 2760 Controlling Person-Child Care Regulation, if the operation does not have an online account.
If the operation is submitting Form 2760, the permit holder, designee, or head of the governing body must sign the form to indicate that the information submitted is correct.
See 5433 Reviewing Form 2760 Controlling Person-Child Care Regulation for Completeness.
Exception: Temporary shelter child care operations and small employer-based child care operations are not required to submit controlling person information.
Operations with a Permit – Submit Updates on Current Controlling Persons
If a person ceases to be a controlling person at an operation or if the controlling person’s contact information has changed, an operation submits this information by:
- entering the information online through the operation's online Child Care Licensing Account; or
- contacts the inspector to provide the updated information, if the operation does not have an online account.
Exception: Temporary shelter child care operations and small employer-based child care operations are not required to submit controlling person information.
5422.1 Controlling Persons at a Child-Placing Agency (CPA)
December 2012
A person may serve as a controlling person for:
- the CPA’s main office;
- one or more of the CPA’s branch offices; or
- any combination of the above.
The chart below outlines which CPA office can submit controlling person information, based upon which office the person serves as a controlling person:
If a Person Serves as a Controlling Person for a … | The Office that Can Submit Controlling Person Information is … |
---|---|
CPA main office | Main office only |
CPA branch office | Branch office where the person serves as a controlling person OR Main office |
5430 Processing and Reviewing the Information on Controlling Persons Submitted by an Operation
5431 Processing Information on a Controlling Person During the Application Process
August 2020
After accepting an application but before issuing a permit to an applicant, CCR staff determine whether each person whose name was submitted by the applicant is eligible to be a controlling person. CCR staff processes and document the decision, as follows:
- Reviews the controlling person information that the applicant submitted (see 5433 Reviewing Form 2760 Controlling Person-Child Care Regulation for Completeness and 5434 Reviewing Controlling Person Information Submitted Online).
- Conducts a Controlling Person Search and a Global Person Search in the CLASS system and searches the HHSC Adverse Action Record Sharing (AARS) system for records on the person.
- Associates (links) a controlling person’s existing record with the applicant’s record in CLASS or adds a new record for the controlling person, under the applicant’s record in CLASS (see 5442 Searching for and Adding a Controlling Person Record in CLASS).
- Determines the person’s eligibility to be a controlling person by resolving any matches found as a result of searches conducted in the CLASS or AARS system.
- Documents the person’s eligibility in CLASS.
- Notifies the controlling person or applicant about the person’s eligibility.
Exception: An applicant applying for a permit to operate a shelter child care operation or small employer-based child care operation is not required to submit information on controlling persons.
See:
1500 Conducting a Search in CLASS
5420 When and How Applicants and Operations Submit Information on Controlling Persons
5433 Reviewing Form 2760 Controlling Person-Child Care Regulation for Completeness
5434 Reviewing Controlling Person Information Submitted Online
5440 Conducting Searches for Controlling Persons in the CLASS and AARS Systems and Adding Controlling Persons to CLASS
5442 Searching for and Adding a Controlling Person Record in CLASS
5450 Determining and Documenting the Eligibility of a Controlling Person
5460 Notifying an Applicant, Permit Holder, or Controlling Person About a Person’s Eligibility to Serve as a Controlling Person
26 TAC§745.913
5432 Processing Information on New Controlling Persons When Submitted by an Operation that Has a Permit
October 2013
Within 10 days after an operation with a permit (other than a temporary shelter child care operation or small employer-based child care operation) submits information on a new controlling person for the operation (see 5421 When Applicants and Operations Submit Information on Controlling Persons and 5422 How Applicants and Operations Submit Controlling Person Information), the inspector determines whether each person is eligible to be a controlling person and documents the decision, as follows:
- Reviews the information that the operation submitted (see 5433 Reviewing Form 2760 Controlling Person-Child Care Regulation for Completeness and 5434 Reviewing Controlling Person Information Submitted Online).
- Conducts a Controlling Person Search and a Global Person Search in the CLASS system for a record on the person.
- Associates (links) the controlling person’s existing record with the record for an operation in CLASS or adds a new record for the controlling person under the record for the operation’s record in CLASS (5442 Searching for and Adding a Controlling Person Record in CLASS).
- Determines the person’s eligibility to be a controlling person by resolving any matches found as a result of the search in CLASS.
- Documents the person’s eligibility in CLASS.
- Notifies the controlling person or operation about the person’s eligibility.
See:
1500 Conducting a Search in CLASS
5420 When and How Applicants and Operations Submit Information on Controlling Persons
5440 Conducting Searches for Controlling Persons in the CLASS and AARS Systems and Adding Controlling Persons to CLASS
5450 Determining and Documenting the Eligibility of a Controlling Person
5460 Notifying an Applicant, Permit Holder, or Controlling Person About a Person’s Eligibility to Serve as a Controlling Person
40 TAC§745.913
5432.1 Processing Updates to Controlling Person Information When an Operation Has a Permit
September 28, 2018
If an operation notifies Licensing staff of updates to information about a current controlling person for the operation (for example, updating a controlling person’s mailing address), Licensing staff enter the updated information in CLASS within 15 days from when the operation notified staff of the change.
If an operation submits updates to information about a current controlling person online through the operation’s online Child Care Licensing Account, the information in CLASS is automatically updated by the system unless CLASS determines that there is a conflict or error with the data entered. If CLASS determines there is a conflict or error, Licensing staff process the update submitted online within 15 days of the day staff received the notice that the update has a conflict or error.
5432.11 Controlling Person Online Updates – Conflict Errors Automatically Entered by CLASS
September 28, 2018
When an operation or applicant submits updates to controlling person information online in the operation or applicant’s online Child Care Licensing Account, CLASS determines whether there is a conflict error with the data submitted. CLASS automatically determines and selects the conflict error on the Controlling Person – Update submitted by Operation – CONFLICT page. The inspector must review the information on the page and select the Invalidate Submission button to clear the inspector’s To Do and notify the operation of the error.
Below is a chart that explains the different conflict errors.
Conflict Error | Is automatically selected by CLASS when … |
---|---|
Controlling person not active | The operation is attempting to update a controlling person record that the inspector has already end dated in CLASS (that is, the controlling person’s status in CLASS is Withdrawn, Rejected, or Inactive). |
Duplicate SSN | The operation is attempting to update a controlling person record with an SSN that is already associated with a different CP record (that is, a different person) in CLASS. |
SSN entered does not match the SSN in CLASS | The operation is attempting to update a controlling person record by entering a SSN for the person, but the inspector has already entered a SSN for the same controlling person record in CLASS and the SSNs do not match. |
Last active CP cannot be end-dated | The operation is attempting to enter an end date for the only active controlling person in CLASS (that is, there are no other controlling persons in Pending, Identified, or Review status). |
5433 Reviewing Form 2760 Controlling Person Child Care Regulation for Completeness
December 2012
When an applicant or operation submits Form 2760 Controlling Person-Child Care Regulation, the inspector reviews the form to ensure that it is complete and signed by the applicant, permit holder, designee, or head of the governing body.
If the inspector receives Form 2760 as part of an application, the inspector cannot accept the application if Form 2760 is not complete and signed by the applicant, designee, or head of the governing body. See 3223.1 If the Application is Incomplete or Contains Errors.
Procedure
The inspector reviews Form 2760 to ensure that the following identifying information is provided for each controlling person listed.
- Name (first, middle, last), including any maiden names, married names, or aliases
- Date of birth
- Current address and phone number
- Title, position, or relationship
- Main office or branch office number, for persons associated with a child placing agency
- Effective date as a controlling person
- Driver license number or state-issued identification card number (Optional)
- Social Security number (Optional)
If Form 2760 is Not Complete or Signed
Licensing staff contact the operation or the controlling person to obtain the information, if all required fields are not completed and Form 2760 is not signed.
See 3223.1 If the Application is Incomplete or Contains Errors.
If a Person’s Social Security Number is Not Listed
If a controlling person’s Social Security number is not listed, Licensing staff follow procedures in 5435 If the Controlling Person Submission Did Not Include a Social Security Number.
After Determining Form 2760 Is Complete
After determining that Form 2760 is complete, Licensing staff use the identifying information to search for each controlling person in the CLASS. If the form was submitted as part of an application, Licensing staff also conduct a search of the HHSC Adverse Action Record Sharing (AARS) system.
See:
5441 Searching for a Controlling Person in the AARS System and Documenting the Results
5442 Searching for and Adding a Controlling Person Record in CLASS
5434 Reviewing Controlling Person Information Submitted Online
September 28, 2018
Within three days of when an applicant or operation submits controlling person information online through the applicant or operation’s online Child Care Licensing Account, the inspector:
- reviews and invalidates the submission before conducting a search, if necessary (see 5434.1 Invalidating an Online Controlling Person Submission Before Conducting a Search of the CLASS);
- reviews the submission for a Social Security number (see 5434.2 Reviewing the Submission for a Social Security Number);
- conducts searches for an existing controlling person record in the CLASS (see 5434.3 Conducting Searches in CLASS for an Existing Controlling Person Record); and
- after conducting the search, either:
- associates an existing controlling person record or adds a new controlling person record (see 5434.3 Conducting Searches in CLASS for an Existing Controlling Person Record); or
- invalidates the submission, if necessary (see 5434.4 Invalidation Reasons That Require a Search of the CLASS Before the Submission Can Be Invalidated).
After associating or adding a controlling person record, the inspector:
- determines whether the person is eligible to serve as a controlling person; and
- sends the appropriate notification.
See:
5440 Conducting Searches for Controlling Persons in the CLASS and AARS Systems and Adding Controlling Persons to CLASS
5450 Determining and Documenting the Eligibility of a Controlling Person
5434.1 Invalidating an Online Controlling Person Submission Before Conducting a Search of the CLASS
December 2012
Procedure
If the online controlling submission meets any of the criteria listed in the chart below, the inspector may invalidate the submission before conducting a search of the Child Care Licensing Automation Support System (CLASS). To invalidate the submission, the inspector selects the appropriate Invalidate reason on the CLASS Controlling Person – New Submission by Operation page.
Invalidate Reason | Is selected by the inspector when … |
---|---|
Invalid SSN | The SSN provided is obviously incorrect (for example, 111-11-1111). |
Invalid Driver’s License | The driver license number provided is obviously incorrect (for example, 00000). |
Not a Valid Controlling Person | An operation is attempting to add a new controlling person who does not meet the definition of a controlling person as defined in 745.901 (for example, the person entered is a child). |
Invalid Mailing Address | An operation submits an address for a controlling person that matches the address of the operation (this is not applicable to licensed, registered, or listed homes). |
Entered in Error | An operation entered information for a controlling person in error and requests to withdraw the submission. |
Facility Closed | This is reserved for state office use only. |
5434.2 Reviewing the Submission for a Social Security Number
December 2012
Procedure
The inspector reviews the submission to determine whether the controlling person’s Social Security number was submitted.
If the person’s Social Security number was provided, Licensing staff conduct searches for an existing controlling person record as outlined below.
If the person’s Social Security number was not provided, Licensing staff follow procedures in 5435 If the Controlling Person Submission Did Not Include a Social Security Number before conducting the searches outlined below.
5434.3 Conducting Searches in CLASS for an Existing Controlling Person Record
December 2012
Licensing staff use the identifying information to search for each controlling person to determine whether there is an existing controlling person record in the CLASS.
See 5442 Searching and Adding a Controlling Person Record in CLASS.
5434.4 Invalidation Reasons that Require a Search of the CLASS Before the Submission Can Be Invalidated
December 2012
Procedure
If the online controlling submission meets any of the criteria listed in the chart below, the inspector must conduct a search of the CLASS before selecting the appropriate Invalidate reason on the CLASS Controlling Person – New Submission by Operation page.
Invalidate Reason | Is selected by the inspector when … |
---|---|
Duplicate Controlling Person at this facility | An operation is attempting to add a new controlling person, but the person is already an active controlling person at the operation (that is, the person is already in Pending, Identified, or Review status). |
Invalid SSN | An operation is attempting to add a new controlling person, and:
|
Invalid Driver’s License |
|
Effective start date overlaps with earlier end date for Controlling Person | An operation is attempting to add a new controlling person who has previously been associated with the operation. The Start Date entered for the new association is earlier than the End Date for the previous association. |
Not a valid Controlling Person | An operation is attempting to add a new controlling person who does not meet the definition of a controlling person as defined in 745.901 (for example, the person entered is a child). |
Invalid Mailing Address | An operation submits an address for a controlling person that matches the address of the operation (this is not applicable to licensed, registered, or listed homes). |
Entered in Error | An operation entered information for a controlling person in error and requests to withdraw the submission. |
Facility Closed | This is reserved for state office use only. |
5435 If the Controlling Person Submission Did Not Include a Social Security Number
December 2012
Procedure
If a controlling person’s Social Security number was not included with the controlling person information submitted by the applicant or operation, Licensing staff:
- contact the applicant, operation, or controlling person to ask for the person’s Social Security number; or
- obtain the person’s Social Security number by reviewing Licensing records to determine if the operation has submitted a request for a background check on the person.
If the applicant, operation, or controlling person provides the Social Security number, Licensing staff enter the information in the CLASS.
If Licensing staff obtain the person’s Social Security number by reviewing Licensing background check records, Licensing staff must be certain that the background check record where the Social Security number is listed is for the same person in the controlling person submission before adding the Social Security number to the controlling person record in CLASS.
If the controlling person refuses to provide his or her Social Security number, Licensing staff:
- select the Refused to Disclose SSN indicator in CLASS; and
- use other identifying information to conduct the search.
5440 Conducting Searches for Controlling Persons in the CLASS and AARS System and Adding Controlling Persons to CLASS
December 2012
Licensing staff search the HHSC Adverse Action Record Sharing (AARS) system only when controlling person information is submitted before a permit is issued. See 5441 Searching for a Controlling Person in the AARS System and Documenting the Results.
Licensing staff search the Child Care Licensing Automation Support System (CLASS) when controlling person information is submitted:
- before a permit is issued; and
- when the operation has a permit.
See 5442 Searching for and Adding a Controlling Person Record in CLASS.
Exception: Searches are not completed for temporary shelter child care operations or small employer-based child care operations.
After conducting the appropriate searches, Licensing staff resolve any matches and determine a controlling person’s eligibility to serve as a controlling person. See 5450 Determining and Documenting the Eligibility of a Controlling Person.
5441 Searching for a Controlling Person in the AARS System and Documenting the Results
September 28, 2018
Licensing staff search the HHSC Adverse Action Record Sharing (AARS) system only when controlling person information is submitted before a permit is issued for an operation other than a temporary shelter child care operation or small employer-based child care operation.
A designated Licensing employee that has access to the AARS system conducts the search to determine whether an applicant or each of the persons submitted by the applicant is eligible to be a controlling person. The designated employee documents the results of the search in the CLASS. The AARS search is completed in addition to the search conducted to determine whether an applicant is qualified to apply for a permit (see 3222 How to Determine Whether the Applicant is Eligible to Apply).
Exception: An AARS search is not conducted if staff determine that a person does not meet the definition of a controlling person. See 5411 Definition of a Controlling Person.
Procedure
After an applicant submits controlling person information, the inspector assigned to process the application coordinates with a designated user of the AARS system to conduct a search in the AARS system for the controlling person.
If a paper application is submitted, the designated user of the AARS system uses the information on the application and on Form 2760, Controlling Person – Child Care Regulation, to conduct the search.
If a registered family home or a listed family home submits an e-application, the designated user of the AARS system conducts the AARS search by using the controlling person information:
- entered on the e-application; and
- submitted online through the applicant’s online Child Care Licensing Account.
Documenting AARS Search Results
After conducting the AARS search, the designated user of the AARS system creates a Chronology in CLASS, with a chronology type of Application, to:
- document that a search of the AARS system was conducted for each controlling person; and
- document the results of the search for each controlling person.
5441.1 If a Controlling Person is Listed in the AARS System
December 2012
If the controlling person is found in the HHSC Adverse Action Record-Sharing (AARS) system:
- the designated user of the AARS system follows procedures in 5441 to document the results of the AARS search in the CLASS; and
- the inspector follows the procedures in 5450 Determining and Documenting the Eligibility of a Controlling Person to resolve the match.
5442 Searching for and Adding a Controlling Person Record in CLASS
September 28, 2018
Procedure
For applicants and operations with a permit, the inspector conducts a search for the controlling person in the CLASS, under the CLASS record for the applicant or operation that submitted the controlling person information.
After conducting the search, the inspector:
- associates (links) a controlling person’s existing record with the applicant’s or operation’s record in CLASS (see 5442.1 Associating a Controlling Person with an Existing Record in CLASS);
- adds a new record for the controlling person under the applicant’s or operation’s record in CLASS, if an existing record is not found after staff manually enter the controlling person information obtained from Form 2760, Controlling Person – Child Care Regulation, to conduct the search in the CLASS (see 5442.2 Manually Adding a New Record for a Controlling Person in CLASS);
- accepts the submission to add a new record for the controlling person under the applicant’s or operation’s record in CLASS, if the search was completed using the controlling person information the applicant or operation submitted online through the Child Care Licensing Account (see 5442.3 Accepting an Online Submission of a New Controlling Person Record in CLASS).
After each search, the inspector associates the record, adds a new record, or accepts the submission of a new record even if the person is found to be ineligible to be a controlling person, unless the submission is invalidated (see 5434.1 Invalidating an Online Controlling Person Submission Before Conducting a Search of the CLASS and 5434.4 Invalidation Reasons that Require a Search of the CLASS Before the Submission Can Be Invalidated).
The inspector leaves the Status field on the Controlling Person Details page as Pending until:
- the search for the controlling person in the CLASS is complete;
- the search for the controlling person in the HHSC Adverse Action Record Sharing (AARS) system is complete (see 5441 Searching for a Controlling Person in the AARS System and Documenting the Results), if the operation is applying for a permit; and
- matches for the controlling person, when found as a result of the searches, are resolved (see 5450 Determining and Documenting the Eligibility of a Controlling Person).
Additional Steps for a CPA Controlling Person Record
Child-placing agency (CPA) controlling person records are entered under the CLASS record for each office (main office or branch office) that the person serves as a controlling person for.
The CPA designates which office the person serves as a controlling person when submitting Form 2760 Controlling Person-Child Care Regulation or submitting the information online through the CPA’s online Child Care Licensing Account (See 5422.1 Controlling Persons at a Child-Placing Agency (CPA)).
If Form 2760 was submitted to the inspector for the CPA’s main office, the inspector:
- enters the record under the CPA’s main office; and
- indicates which office(s) the person serves as a controlling person for by selecting the following from the Main/Branch drop-down box in the Selected Association section of the Controlling Persons Detail page:
- M, if the person serves as a controlling person for the CPA’s main office; and
- the applicable branch number(s), if the person serves as a controlling person for a branch office of the CPA.
An inspector for a branch office can only enter controlling persons for the office to which they are assigned.
5442.1 Associating a Controlling Person with an Existing Record in CLASS
December 2012
Procedure
If a controlling person has an existing record in CLASS, the inspector associates (links) the person’s record to the operation’s record in CLASS by:
- selecting the controlling person’s record found through the search; and
- selecting Associate.
If the inspector associated the controlling person record as a result of an operation submitting Form 2760, Controlling Person – Child Care Regulation, the inspector also updates the information entered in the Person Details, Alternate Names, and Selected Association sections of the Controlling Person Details page, as needed.
If the inspector associated the controlling person record as a result of an online submission, the inspector also updates the information entered in the Person Details section of the Controlling Person Details page, as needed.
5442.2 Manually Adding a New Record for a Controlling Person in CLASS
December 2012
Procedure
If an existing record for a controlling person is not found after staff manually enter the information obtained from Form 2760, Controlling Person – Child Care Regulation, to conduct the search in the CLASS, the inspector adds a new record for the controlling person to the applicant’s or operation’s record in CLASS by:
- selecting Add New on the Controlling Person Search page; and
- completing the Person Details, Alternate Names, and Selected Association sections of the Controlling Person Details page.
5442.3 Accepting an Online Submission of a New Controlling Person Record in CLASS
Revision 23-1, Effective Apr. 21, 2023
Procedure
If an existing record for a controlling person is not found after staff complete a search of the CLASS using the controlling person information the applicant or operation submitted online through the applicant's or operation’s online Child Care Licensing Account, the inspector adds a new record for the controlling person to the Controlling Person – New Submission by Operation page in the applicant’s or operation’s record in CLASS by:
- updating the Person Details, if necessary; and
- selecting Accept Submission.
5450 Determining and Documenting the Eligibility of a Controlling Person
December 2012
After searching the CLASS and HHSC Adverse Action Record Sharing (AARS) system, as appropriate, for a record on a controlling person and adding or associating a record for the controlling person in CLASS, the inspector:
- determines whether a match exists;
- resolves any matches found in the CLASS or AARS system; and
- updates the status of the controlling person in CLASS.
See:
5412 Definition of a Match for Controlling Persons
5451 Resolving Matches Found in the AARS System
5452 Eligibility to Receive a Permit After Finding a Match for an Applicant
5453 Eligibility to Serve As a Controlling Person After Finding a Match
5454 Documenting the Eligibility of a Controlling Person by Updating the Status in CLASS
5451 Resolving Matches Found in the AARS System
December 2012
If a search of the HHSC Adverse Action Record Sharing (AARS) system results in a match, Licensing staff resolve the match by:
- determining the reason for the match; and
- consulting with the Licensing attorney to determine whether the match makes the person ineligible to be a controlling person.
Procedure
After determining that a person has a match in the AARS system, the inspector determines whether the person has had a permit denied, revoked, or suspended by another HHSC agency because the applicant or person:
- committed an act or omission that resulted in physical or mental harm to an individual;
- is a threat to the health, safety, or well-being of an individual;
- engaged in the physical, mental, or financial exploitation of an individual; or
- committed an act or omission that renders the person unqualified or unfit to fulfill the obligations of the license.
The inspector and supervisor then consult with a Licensing attorney to determine whether the person’s listing in the AARS qualifies as a substantive reason to either deny the application or request that the operation remove the person from the role of controlling person.
See:
5452 Eligibility to Receive a Permit After Finding a Match For an Applicant
5453 Eligibility to Serve As a Controlling Person After Finding a Match
5452 Eligibility to Receive a Permit After Finding a Match for an Applicant
December 2012
The chart below outlines whether a person is eligible to receive a permit, based on the results found after finding a match found on a controlling person who is also the applicant during a search of the CLASS or HHSC Adverse Action Record Sharing (AARS) system.
If the controlling person with a match is not the applicant, see 5453 Eligibility to Serve as a Controlling Person After Finding a Match.
If the applicant is … | Does Licensing Issue a Permit? |
---|---|
a designated controlling person … | No. Licensing will not issue a permit until due process is final. Licensing may deny a permit, if the person applies before due process is final. |
a sustained controlling person … | No. Licensing denies the person a permit, if the application is received within five years after the designation is sustained. |
ineligible to apply for a permit because of adverse action … | No. |
listed in the HHSC AARS system … | Maybe. Licensing may issue a permit only if a Licensing attorney determines that the reason the person is listed in the AARS system does not constitute a substantive reason to deny the person a permit. |
40 TAC §§745.907, 745.8605(15)
5453 Eligibility to Serve As a Controlling Person After Finding a Match
September 28, 2018
The chart below outlines whether a person (who is not the applicant) is eligible to serve as a controlling person at an operation, based on the type of match found on the controlling person during a search of the CLASS or HHSC Adverse Action Record Sharing (AARS) system.
If the controlling person with a match is the applicant, see 5452 Eligibility to Receive a Permit After Finding a Match For an Applicant.
If the person submitted by the operation is … | Is the person eligible to serve as a controlling person? |
---|---|
a designated controlling person … | Yes. |
a sustained controlling person … | No. This person may not serve as a controlling person at an operation for five years after the designation is sustained. If the operation has a permit, the permit holder must remove the person who is ineligible to serve as a controlling person from the role of controlling person. If the permit holder refuses or is unable to remove the person from the role of controlling person, Licensing must revoke the permit. If the operation is applying for a permit, the applicant must remove the person who is ineligible to serve as a controlling person from the role of controlling person before Licensing can issue a permit. If the applicant refuses or is unable to remove the person from the role of controlling person, Licensing cannot issue the permit. |
ineligible to apply for a permit because of adverse action … | Maybe. If the operation has a permit and if a Licensing attorney determines that the reason the person is ineligible to serve as a controlling person constitutes a substantive reason to prohibit the person from being a controlling person in an HHSC-regulated operation, then the permit holder must remove the person who is ineligible to serve as a controlling person from the role of controlling person. If the permit holder refuses or is unable to remove the person from the role of controlling person, Licensing must revoke the permit. If the operation is applying for a permit and a Licensing attorney determines that the reason the person is ineligible to serve as a controlling person constitutes a substantive reason to prohibit the person from being a controlling person in an HHSC-regulated child care operation, then the applicant must remove the person who is ineligible to serve as a controlling person from the role of controlling person before Licensing can issue a permit. If the applicant refuses or is unable to remove the person from the role of controlling person, Licensing cannot issue the permit. |
listed in the HHSC AARS system … | Maybe. If the operation has a permit and if a Licensing attorney determines that the reason the person is listed in the AARS system constitutes a substantive reason to prohibit the person from being a controlling person in an HHSC-regulated child care operation, then the permit holder must remove the person who is ineligible to serve as a controlling person from the role of controlling person. If the permit holder refuses or is unable to remove the person from the role of controlling person, Licensing must revoke the permit. If the operation is applying for a permit and if a Licensing attorney determines that the reason the person is listed in the AARS system constitutes a substantive reason to prohibit the person from being a controlling person in an HHSC-regulated operation, then the applicant must remove the person who is ineligible to serve as a controlling person from the role of controlling person before Licensing can issue a permit. If the applicant refuses or is unable to remove the person from the role of a controlling person, Licensing cannot issue the permit. |
40 TAC §§745.403; 745.907; 745.911, 745.8605(15)
Human Resources Code §42.072(c-1)
5454 Documenting the Eligibility of a Controlling Person by Updating the Status in CLASS
March 2017
The inspector updates the status of a controlling person in the Status field of the Controlling Person Details page in CLASS after determining that the person:
- is eligible to serve as a controlling person;
- is ineligible to serve as a controlling person;
- has ceased to serve as a controlling person at an operation; or
- was entered in error.
Procedure
The following chart explains the meaning of each option in the Status field.
The Status selected is … | when … |
---|---|
Pending … | a new record on a controlling person is entered for the operation. Pending is the default value when adding or associating a controlling person record. |
Identified … | a controlling person has no history that prohibits the person from being a controlling person (that is, the person is eligible to be a controlling person).
|
Rejected … | an operation submits the name of a controlling person for consideration, but the person has a history that prohibits the person from being a controlling person (that is, the person is ineligible to be a controlling person). See 5454.1 Entering the Reason for Rejecting a Controlling Person. |
Review … | a controlling person is sustained because the person’s record is associated with an operation that had its permit revoked. CLASS automatically updates the status to Review when this occurs. See 7000 Voluntary Actions and Enforcement Actions |
Inactive … | a controlling person ceases to be a controlling person at an operation. A status is changed to Inactive only when an end date is entered. |
Withdrawn … | a person is entered into CLASS in error (for example, entered under the wrong operation), or the operation withdraws the person from consideration. See 5454.1 Entering the Reason for Withdrawing a Controlling Person. This does not include when an operation removes a person from a controlling person role after being notified by Licensing that the person is ineligible to be a controlling person. |
5454.1 Entering the Reason for Rejecting a Controlling Person
December 2012
Procedure
If the Status selected in the CLASS for a controlling person is Rejected, the inspector selects a reason for the rejection from the Rejection or Withdrawal Reason drop-down box.
The following chart explains the meaning of each Rejection reason.
The option selected under Rejection Reason is or has a (an) … | and when the person is rejected from being a controlling person because … |
---|---|
Sustained Controlling Person | the person is listed as a sustained controlling person in CLASS. |
AARS History |
|
Previous Application Denied | the person is ineligible to receive a permit. |
5454.2 Entering the Reason for Withdrawing a Controlling Person
December 2012
Procedure
If the Status selected in the CLASS for a controlling person is Withdrawn, the inspector selects a reason for the withdrawal from the Rejection or Withdrawal Reason drop-down box.
The following chart explains the meaning of the each Withdrawal reason.
The option selected under Withdrawal Reason selected is … | when … |
---|---|
Operation Request | the operation withdrew the person’s name from consideration as a controlling person. |
Entered in Error | the person was entered in error; for example, a person was entered for the wrong operation.
|
5460 Notifying an Applicant, Permit Holder, or Controlling Person About a Person’s Eligibility to Serve as a Controlling Person
December 2012
If the person submitted for consideration as a controlling person by an applicant or operation is determined to be eligible to be a controlling person, the inspector notifies the controlling person about the determination. See 5461 Notifying a Controlling Person About Eligibility.
If the person submitted by an applicant or operation is determined to be ineligible to serve as a controlling person, the inspector notifies the applicant or permit holder about the determination. See 5462 Notifying an Operation About an Ineligible Controlling Person.
40 TAC §§745.907; 745.911; 745.915
5461 Notifying a Controlling Person About Eligibility
December 2012
Procedure
If a person submitted as a controlling person by an operation is eligible to be a controlling person, the inspector notifies the person of their eligibility by creating and sending CLASS Form 2761 Identifying a Controlling Person to the controlling person.
Additional Requirement for Child-Placing Agencies
If the inspector assigned to a CPA’s main office creates Form 2761 regarding a controlling person at a branch office for the CPA, the inspector for the main office sends a copy of the completed Form 2761 to the inspector for the branch office.
5462 Notifying an Applicant or Permit Holder About an Ineligible Controlling Person
December 2012
Procedure
If an inspector determines that a person submitted as a controlling person by an operation is ineligible to be a controlling person, the inspector does as follows:
- Notifies the applicant or permit holder about the person’s ineligibility to be a controlling person by creating and sending CLASS Form 2765 Match of an Ineligible Controlling Person to the applicant or operation. The form includes a compliance date and directs the operation to complete and return the Operation Action Form (located on the last page of CLASS Form 2765) to Licensing by the compliance date.
- Discusses with the applicant or permit holder the accuracy of the details on the person’s ineligibility, if the person who is ineligible to be a controlling person contacts the local Licensing office that sent the notice to say that he or she believes that the details are inaccurate.
Unless Licensing determines that the details on the person’s ineligibility are inaccurate, the permit holder must remove the person from the operation.
Additional Requirement for Child-Placing Agencies
If the inspector assigned to a CPA’s main office creates Form 2765 regarding a controlling person at a branch office for the CPA, the inspector for the main office sends a copy of the completed Form 2765 to the inspector for the branch office.
5462.1 Following Up with an Applicant or Permit Holder Who Does Not Return the Operation Action Form
March 2013
If an applicant or permit holder fails to return the Operation Action Form to Licensing by the compliance date specified on the form, the inspector contacts the applicant or permit holder to ensure that the ineligible person has been removed from the role of controlling person. (The Operation Action Form is located on the last page of CLASS Form 2765 Match of an Ineligible Controlling Person.)
If appropriate, the inspector takes one or more of the following actions:
- Cites an operation with a permit for a violation of TAC §§745.911(1), 748.103(12), 749.103(16), or 750.103(10), as applicable, when the violation is for a sustained controlling person.
- Cites an operation with a permit for a violation of TAC §745.911(2) when the violation is because an adverse action sustained within the previous five years makes the person ineligible to apply for a permit.
- Cites an operation with a permit for a violation of TAC §745.911(3) when the violation is because the person is associated with an operation that had its permit denied, revoked, suspended, or terminated by another state health and human services agency within the last 10 years.
- Revokes the permit.
- Denies the permit.
40 TAC §§745.907; 745.911; 745.915
Texas Government Code §531.953
5470 Additional Duties of Inspectors in Relation to Controlling Persons
March 2017
In addition to the duties explained in 5400 Controlling Person, inspectors also are responsible for the following:
- Monitoring operations for compliance with the requirements related to an operation’s controlling persons in statute, administrative rules, and minimum standards (see 4000 Inspections).
- Ensuring that a person who is ineligible to be a controlling person at an operation that is regulated by Licensing does not serve in the role of a controlling person (see 7773.4 Reviewing the Status of a Sustained Controlling Person in CLASS).
- Notifying controlling persons about corrective or adverse action taken against an operation (see 7110 Notifying an Operation When Licensing Takes Enforcement Action).
- Designating a controlling person (see 7771 Choosing the Persons to Designate as Controlling).
- Sustaining a designated controlling person (see 7770 Administrative Review and Due Process Hearing for a Designated Controlling Person).
5500, Voluntary Actions of the Operation
Revision 23-2; Effective June 26, 2023
5510 Withdrawal of an Application
Revision 23-2; Effective June 26, 2023
An operation may voluntarily withdraw an application for a permit.
See 3230 Withdrawal of an Application for a Permit.
5520 Temporary Relocation
Revision 23-2; Effective June 26, 2023
5520.1 Relocation Due to Damage or Renovation
Revision 23-4; Effective Nov. 30, 2023
An operation may relocate temporarily for a period of up to 90 days due to damage or renovation to the building, which makes it temporarily unsuitable for child care.
The operation must:
- Notify CCR in writing as soon as possible, but no later than 24 hours after the operation moves to a new location or begins providing care at any location not noted on the operation’s permit. For a residential child care operation, the operation may provide notice through a report to the Statewide Intake Division (SWI).
- Before a planned temporary relocation:
- obtain any inspections at the temporary relocation that are identified in the applicable minimum standards, which may include fire, sanitation and gas leak inspections;
- ensure the temporary relocation complies with applicable statutes, administrative rules and minimum standards;
- obtain CCR’s approval of the temporary location, including for any aspect that does not comply with applicable statutes, administrative rules and minimum standards; and
- request that CCR amend the permit with a new address if the relocation lasts longer than 90 days.
- For an emergency relocation:
- complete the notice requirement as noted above;
- complete the additional steps noted above as soon as possible after the relocation; and
- for a residential child care operation, meet any additional reporting and documentation requirements.
Procedure
The inspector inspects the new location before or as soon as possible after the operation relocates to determine whether the temporary location complies with the applicable statues, administrative rules and minimum standards.
The inspector may use discretion in approving arrangements that do not comply with applicable statutes, administrative rules and minimum standards. Factors to consider when deciding whether to approve include:
- the anticipated length of stay at the temporary location;
- the degree of deviation from minimum standards; and
- the risk to children considering the activities and services the operation offers.
See:
3823 Amending the Permit in CLASS
5521 Documenting the Temporary Relocation in CLASS
26 TAC Sections 745.5001(b)(2); 745.5051(2); 745.5101; 745.5103
5520.2 Relocation Due to Declared Disaster (RCCR Only)
Revision 23-2; Effective June 26, 2023
A GRO or CPA may relocate temporarily to comply with a declared state of disaster under Chapter 418 of Government Code.
A GRO may also provide care to any child at a temporary location that is different from the location on the permit. For example, a child needs to be quarantined at a different location from other children. The operation must notify CCR as soon as possible after temporarily relocating due to a declared disaster.
In addition to moving its operation to a new location not noted on its permit, a CPA, including a branch office, may do the following to comply with a declared state of disaster:
- move a foster home to a new location that is not noted on the verification; or
- allow a foster home to provide care to any child at a location not noted on the verification.
Procedure
The inspector takes the following steps when a GRO or CPA notifies CCR of the temporary relocation of the operation due to a declared disaster:
- documents the relocation according to 5521 Documenting the Temporary Relocation in CLASS;
- inspects the new location as soon as possible after the operation relocates to ensure that there is no risk to children;
- notes any aspect that does not comply with applicable statutes, administrative rules and minimum standards; and
- notifies the operation of the approval of the temporary location.
26 TAC Sections 745.435(e); 748.303(e); 749.503(e)
5521 Documenting the Temporary Relocation in CLASS
Revision 23-3; Effective Sept. 22, 2023
The inspector documents the temporary relocation of the operation in CLASS as soon as possible after receiving the relocation information from the operation as follows:
- enters a Chronology in CLASS documenting the:
- temporary new address;
- relocation start date;
- estimated end date; and
- details about the disaster, if an RCCR operation is relocating due to a declared disaster;
- on the Main page, completes the Temporary Location section; and
- uploads supporting documentation related to the temporary relocation and inspection to CLASS Document Library from the applicable CLASS page.
See:
1430 Documenting and Storing Photographs, Video, Audio, Scanned Documents and Other Digital Files
1431 Documenting Photographs, Video, Audio, Scanned Documents and Other Digital Files
1432 Storage of Photographs, Video, Audio, Scanned Documents and Other Digital Files in CLASS Document Library
5522 Ending the Temporary Relocation in CLASS
Revision 23-4; Effective Nov. 30, 2023
Operation Returns to the Address Listed on the Permit
When the operation returns to the address listed on the permit, CCR staff document the end of the temporary relocation in CLASS as follows:
- enter a chronology documenting the actual end date of the relocation; and
- on the Main page under the Temporary Relocation section, enter the last day the operation used the location as the Actual End Date.
Operation Does Not Return to Address Listed on the Permit
If the operation does not return to the address listed on the permit within 90 days, the operation must request that CCR amend the permit with the new address. Staff follow the procedures in 3823.5 Changing the Operation’s Address in CLASS to amend the permit.
26 TAC Section 745.5001(b)
5530 Voluntary Suspension
Revision 23-4; Effective Nov. 30, 2023
An operation may request a voluntary suspension of its permit for a specific period up to a maximum of two years when:
- changes or repairs are being made to the operation;
- enrollment is too low to operate, or no children are in care; or
- the owner is unable to operate due to:
- illness;
- an extended absence;
- a staffing shortage;
- personal reasons; or
- a declared disaster.
During the voluntary suspension period, an operation must:
- as soon as possible, but no later than 24 hours after notification of approval of the voluntary suspension, notify the parents of any children attending or enrolled in the operation of the voluntary suspension, including the dates of the voluntary suspension period;
- not have children in care;
- notify CCR at least 15 days before resuming operation;
- return the permit to CCR during the suspension period;
- continue to pay all fees; and
- apply to renew the permit if the permit is due for renewal during the voluntary suspension period.
See 3912 When an Operation's Permit Renewal is Due
Human Resources Code Section 42.071
26 TAC Sections 745.5001(b)(3); 745.5151; 745.5157
5531 Assessing and Granting a Request for Voluntary Suspension
Revision 23-4; Effective Nov. 30, 2023
To assess a request for a voluntary suspension, CCR staff must receive a written request from the operation that includes the following information:
- the proposed dates that the suspension will begin and end;
- the reason for the request under 26 TAC Section 745.5151;
- plans for resuming operation; and
- a statement about how the permit holder will meet the applicable statutes, administrative rules or minimum standards at the end of the suspension period.
An operation may request to have a full permit suspended for a maximum of two years.
26 TAC Sections 745.5001(b)(3); 745.5153; 745.5155
Procedure
The inspector uploads supporting documentation related to the request to the CLASS Document Library.
When an operation submits a request for voluntary suspension, the inspector consults with the supervisor to determine whether to grant it as requested, grant with conditions or deny the request.
The inspector and supervisor consider the following factors:
- whether an enforcement action is pending against the operation;
- whether CCR is considering submitting a Referral for Enforcement Action to Child Care Enforcement (CCE);
- whether CCE is considering imposing an enforcement action against the operation;
- whether CCR can confirm that the operation plans to care for children during the voluntary suspension period;
- the length of time that the operation plans to suspend its permit; and
- whether the operation’s request to voluntarily suspend its permit meets one of the acceptable reasons.
If an enforcement action is pending against the operation or if HHSC is considering imposing an enforcement action against the operation, the inspector and supervisor will consult with the program administrator and regional director to evaluate whether approving the voluntary suspension would be disruptive of the pending or ongoing enforcement action. The regional director consults with the appropriate director of field operations, HHSC legal, and CCE before making a decision on the voluntary suspension request.
See:
1430 Documenting and Storing Photographs, Video, Audio, Scanned Documents and Other Digital Files
1431 Documenting Photographs, Video, Audio, Scanned Documents and Other Digital Files
1432 Storage of Photographs, Video, Audio, Scanned Documents and Other Digital Files in CLASS Document Library
26 TAC Sections 745.5003 and 745.5155
5532 Documenting the Voluntary Suspension
Revision 23-4; Effective Nov. 30, 2023
Procedure
If the decision is to grant the voluntary suspension with or without conditions, the inspector:
- changes the Operating Status on the Operation Main page in CLASS to No and updates the Effective Date
- notifies the program administrator or designee to check the Do Not Display On Public Website box on the Operation main page;
- completes the Provider Voluntary Suspension Plan page in CLASS as follows:
- fills out the date the voluntary suspension begins;
- selects the appropriate reason from the Reason drop-down menu; and
- fills out the Disaster Name field, if applicable; and
- sends CLASS Form 2865 Voluntary Suspension Approval Letter, located on the Provider Voluntary Suspension Plan page in CLASS to the operation, notifying the operation of the decision to grant the suspension and the expectation that the permit holder returns the permit to the inspector.
If conditions are added to the voluntary suspension request, the inspector sends notice of the conditions as an enclosure with the Voluntary Suspension Approval Letter, Form 2865. The inspector documents the conditions in the Correction Plan section of the Provider Voluntary Suspension Plan page in CLASS.
5533 Denying the Voluntary Suspension
Revision 23-4; Effective Nov. 30, 2023
If CCR denies the request for a voluntary suspension, the operation may request an administrative review of the action.
26 TAC Section 745.8803(a)(1)(C)
Procedure
If the decision is to deny the voluntary suspension, the inspector notifies the owner of the operation by drafting notice of the denial on HHSC letterhead on the Corrective/Adverse action page in CLASS. The letter must include the reason for the denial and information about the permit holder’s right to an administrative review.
The inspector documents the denial in a Chronology for the operation in CLASS.
5534 Ending the Voluntary Suspension
Revision 23-4; Effective Nov. 30, 2023
At the end of the voluntary suspension period, the operation may request an extension, if needed, if the voluntary suspension was for less than two years.
An operation must have CCR’s permission to reopen after a voluntary suspension. To request permission to reopen, the operation must notify CCR at least 15 days before the operation plans to resume operating. A CCR inspector will then conduct an inspection within 15 days of notification to determine whether the operation is meeting all applicable statutes, administrative rules and minimum standards.
The operation may reopen only if the inspector gives the operation permission to operate. The inspector may approve the operation’s request to reopen after determining that the operation is in compliance with applicable statutes, administrative rules and minimum standards.
If the inspector determines the operation poses a risk to children in care, HHSC may recommend a voluntary plan of action or take an enforcement action to address the concerns.
If the operation does not reopen, request an extension, or voluntarily close by the end of the voluntary suspension period, HHSC may take an enforcement action, including revoking the operation’s permit. The operation has the right to request available due process related to any enforcement action.
26 TAC Sections 745.5159; 745.5161
Procedure
If the inspector does not hear from the operation at least 15 days before the end of the suspension period, the inspector:
- contacts the permit holder to notify him or her that the voluntary suspension period is ending;
- informs the permit holder that CCR must receive written notification of and approve the request to resume operation;
- informs the permit holder that he or she may voluntarily close or request an extension of the voluntary suspension if the voluntary suspension was for less than two years; and
- informs the permit holder that if CCR is not notified in writing of the plans to reopen, voluntarily close or extend the voluntary suspension, HHSC may take an enforcement action, including revoking the permit.
Reopening the Operation
If the permit holder of the operation notifies CCR in writing of plans to resume operating, the inspector conducts an inspection before reopening the operation.
For the operation to reopen, the inspector must:
- address any concerns with applicable statutes, administrative rules and minimum standard violations observed during the inspection;
- change the Operating Status to Yes on the Operation main page in CLASS and update the Effective Date;
- notify the program administrator or designee to uncheck the Do Not Display on Public Website box in CLASS;
- enter a chronology of any discussion held with the permit holder to verify compliance with statutes, administrative rules and minimum standards;
- enter the results of the voluntary action plan on the Voluntary Suspension page in CLASS; and
- return the permit to the operation.
If the inspector determines that the operation poses a risk to children at the end of the voluntary suspension period, the inspector consults with the supervisor and takes the appropriate action depending on risk to children.
If the Operation Requests to Extend the Voluntary Suspension
If the operation requests an extension of the voluntary suspension, the inspector consults with a supervisor to determine whether to grant the extension as requested, grant with conditions or deny the request.
The inspector and supervisor consider the following factors:
- whether an enforcement action is pending against the operation;
- whether CCR is considering submitting a Referral for Enforcement Action to Child Care Enforcement (CCE);
- whether CCE is considering imposing an enforcement action against the operation;
- whether CCR can confirm that the operation does not plan to care for children during the voluntary suspension period;
- the length of time that the operation plans to suspend its permit; and
- whether the operation’s request to voluntarily suspend its permit meets one of the acceptable reasons.
If an enforcement action is pending against the operation or if HHSC is considering imposing an enforcement action against the operation, the inspector and supervisor will consult with the program administrator and regional director to evaluate whether approving the voluntary suspension would be disruptive of the pending or ongoing enforcement action. The regional director consults with the appropriate director of field operations, HHSC legal and CCE before making a decision on the voluntary suspension request.
If the Operation Requests to Voluntarily Close Before the Voluntary Suspension Period Ends
If the permit holder notifies CCR of plans to voluntarily close the operation, the inspector follows up to close the operation. See 5540 Voluntary Closure.
If the Operation Fails to Reopen or Respond by the End of the Suspension Period
If the operation does not reopen, voluntarily close or request an extension of the voluntary suspension by the end of the suspension period, the inspector and supervisor consult with the program administrator and the regional director to determine if a Referral for Enforcement Action to CCE is appropriate.
If CCE makes the decision to revoke the permit, CCR staff:
- update the Provider Voluntary Suspension Plan page in CLASS to:
- select the option Closed in the Result of Suspension field;
- enter the date of the decision to close the operation in the End Date field; and
- enter the reason for closure in the Correction Plan field;
- conduct an inspection to verify that the operation is not caring for children. If the operation is caring for children, CCR staff follow procedures in 6530 Investigations of Unregulated Operations; and
- document the operation’s closure in CLASS.
See:
5600 Administrative Reviews
7730 Due Process Hearings
26 TAC Sections 745.8803(a)(1)(D) and 745.8835(a)(1)(A).
5540 Voluntary Closure
Revision 23-4; Effective Nov. 30, 2023
An operation notifies the inspector before, if possible, or within 10 days after going out of business or closing. Fees are not refundable when an operation closes.
If an operation is closing for a period of time but plans to reopen, see 5530 Voluntary Suspension.
26 TAC Section 745.5001(b)(4); 745.5201
Procedure
If the inspector learns that an operation will stop operating or has stopped operating and has no plans to reopen, he or she sends CLASS Form 2825 Voluntary Suspension/Relocation/Closure Letter to the operation to confirm that it is closing or has closed.
5541 Documentation of an Operation That Has Closed
Revision 23-4; Effective Nov. 30, 2023
Procedure
When CCR is notified that an operation is going to voluntarily close, the inspector takes the following steps:
- changes the operating status to No and updates the Effective Date to reflect the Begin Date of the voluntary closure on the Operation Main page in CLASS;
- enters the closure date in the Application/Closure page in CLASS; and
- enters the reason for closure in the Application/Closure page in CLASS.
If unable to determine the actual date the operation closed, the inspector uses the date he or she learned of the closing.
5542 Voluntary Closure During an Investigation
Revision 23-4; Effective Nov. 30, 2023
An operation may close voluntarily:
- during an investigation; or
- while failing to maintain compliance with minimum standards.
The voluntary closure of an operation does not prevent Child Care Enforcement (CCE) from imposing an enforcement action. Once an operation receives a CLASS Form 2880 Intent to Impose Adverse Action, CCE may follow through with the adverse action, regardless of whether the operation has closed.
26 TAC Section 745.5003; 745.5201
5543 Notification of Investigation Findings When an Operation Closes Voluntarily
Revision 23-2; Effective June 26, 2023
Procedure
As soon as the investigation is complete, or as soon as the operation closes, the inspector sends a letter to the permit holder stating the investigation findings and the circumstances leading to the closing.
Exception: If the inspector has already sent a CLASS Form 2880 Intent to Impose Adverse Action to an operation, an additional findings letter is not necessary.
5544 CCR Response if the Operation Did Not Close
Revision 23-2; Effective June 26, 2023
Procedure
If the permit holder later tells the inspector that the operation did not close as planned, depending on the seriousness of the situation, the inspector may:
5600, Administrative Reviews
Revision 24-1; Effective Feb. 20, 2024
A person or operation may request an administrative review for a decision or action if either disagree with certain decisions or actions taken by CCR, Child Care Enforcement (CCE), or Credentialing and Registry Enforcement (CARE).
CCE is a unit within the Regulatory Enforcement (RE) department of the Regulatory Services Division (RSD). CCE is responsible for planning and conducting administrative reviews for all CCR, CCE, and CARE decisions and actions that qualify for an administrative review. CARE is a unit within the RE department responsible for making decisions about remedial actions taken against the holder of, or applicant for, an administrator’s license.
Human Resources Code Section 42.072(e)
5610 When an Individual or Operation May Request an Administrative Review
Revision 24-1; Effective Feb. 20, 2024
The following table outlines the CCR, Child Care Enforcement (CCE), and Credentialing and Registry Enforcement (CARE) decisions or actions that a person or operation is entitled to an administrative review for, and who can request to dispute the decision or action:
Decision or Action to Dispute | Who Can Request a Review of the Decision or Action |
---|---|
Any of the following about a waiver or variance:
| The applicant, or an owner, partner, governing body, director, licensed administrator, or designee of the operation. |
CCR cites an operation for a deficiency. | The applicant, or an owner, partner, governing body, director, licensed administrator, or designee of the operation. |
CCR denies a voluntary suspension request. | The applicant, or an owner, partner, governing body, director, licensed administrator, or designee of the operation. |
CCE imposes probation or an adverse action against an operation, subject to the limitations outlined in 26 TAC Section 745.8803(b). | The applicant, or an owner, partner, governing body, director, licensed administrator, or designee of the operation. |
CCE adds a probation condition to a corrective action plan. | The applicant, or an owner, partner, governing body, director, licensed administrator, or designee of the operation. |
CCR does not agree that an operation is exempt from HHSC regulation. | The person or entity that requested the exemption. |
CARE imposes a remedial action listed in 26 TAC Section 745.9031 against an:
| The applicant for an administrator’s license or the licensed administrator. |
CCE intends to designate a person as a controlling person. | The person CCE intends to designate as a controlling person. |
CCR determines that a person poses an immediate threat or danger to the health or safety of children. | The person whom CCR determined poses an immediate threat or danger to the health or safety of children. |
26 TAC Section 745.8803
5611 Explaining the Right to an Administrative Review
Revision 24-1; Effective Feb. 20, 2024
CCR staff advises the person or operation of their right to an administrative review as follows:
If | then |
---|---|
the decision or action is a CCR decision or action | CCR staff inform the subject of the decision or action that the subject:
|
The decision or action is a CCE or Credentialing and Registry Enforcement decision or action | CCE or Credentialing and Registry Enforcement staff informs the subject of the decision or action about the subject’s right to an administrative review. |
Procedure
To advise a person or operation about the right to an administrative review for a CCR decision or action, CCR staff verbally discusses the decision or action with the person or designee of the operation, and provides written notice by:
- leaving a printed copy of the completed CLASS form 2936 Child-Care Facility Inspection with the person in charge during the exit conference; or
- sending the specific notification letter in the CLASS system that is appropriate for the decision or action by mail to the person or designee of the operation.
CCR staff informs the person or designee of the operation that the request for an administrative review must:
- be submitted to CCE in writing, by encouraging the person or designee to use Form 2940 Request for an Administrative Review or submit the written request by letter;
- include the information outlined in 26 TAC Section 745.8805; and
- be received by CCE by 15 days after the person or operation received notice about CCR’s decision or action.
5612 Waiving the Right to an Administrative Review
Revision 24-1; Effective Feb. 20, 2024
A person or operation waives the right to an administrative review by:
- not disputing the CCR, CCE, or Credentialing and Registry Enforcement (CARE) decision or action in the required time frame; or
- by submitting a written statement to CCR, CCE, or CARE, as appropriate, stating the person or operation waives the right to an administrative review.
26 TAC Section 745.8805 and 745.8807
Procedure
To expedite a decision or action, the person or designee of the operation may submit a written statement to CCR, CCE, or CARE by 15 days after the person or operation received notice of the decision or action.
The person or designee may submit the written statement waiving the right to the administrative review to CCR, CCE, or CARE as follows:
If | The Person or Designee |
---|---|
| submits the written statement to CCR staff. After receiving the written statement, CCR staff:
|
| emails the written statement to one of the following, depending on the operation type:
|
| emails the written statement to one of the following email addresses, depending on the operation type:
|
the decision or action is a CARE decision or action | submits the written statement to the CARE point of contact noted on the relevant remedial action letter. |
If the person or designee verbally notifies CCR staff that the person or designee wants to waive the right to an administrative review, CCR staff informs the person or designee that the waiver must be submitted in writing as indicated in the table above.
5613 Updating the Administrative Review Status of a CCR Decision or Action in CLASS
Revision 24-1; Effective Feb. 20, 2024
Procedure
CCR staff update the status of an administrative review in CLASS as indicated in the table below.
Situation | Who Updates the Administrative Review Status | How to Update the Status |
---|---|---|
The decision or action subject to an administrative review is a CCR decision or action, and the right to an administrative review is waived because the person or operation did not dispute the decision or action. | CCR | Update the Administrative Review dropdown in the Due Process section on the Standard Details page from Pending to Waived. |
The decision or action subject to an administrative review is a CCR decision or action, and an administrative review was requested for the decision or action. | CCE | N/A |
The decision or action subject to an administrative review is a CCE or Credentialing and Registry Enforcement (CARE) decision or action. | CCE or CARE as appropriate | N/A |
5614 Receiving a Request for an Administrative Review
Revision 24-1; Effective Feb. 20, 2024
Procedure
If CCR staff receive a request for an administrative review, CCR staff notify CCE or CARE of the request as indicated in the table below.
If | Then |
---|---|
the administrative review request is for a CCR or CCE decision or action | CCR staff forward the request to the following email addresses, depending on the operation type:
|
the administrative review request is for a CARE decision or action | CCR staff forward the request to CCRA.Enforcement@hhs.texas.gov. |
26 TAC Section 745.8805
5615 When a CCR, CCE, or CARE Decision or Action Takes Effect
Revision 24-1; Effective Feb. 20, 2024
Unless the person or operation has the right to request a due process hearing to challenge the decision or action, a CCR, CCE, or Credentialing and Registry Enforcement (CARE) decision or action takes effect:
- on the date the right to an administrative review was automatically waived;
- on the date CCR, CCE, or CARE receives the person or designee’s written statement waiving the right to an administrative review; or
- when CCE or CARE upholds, amends, or overturns the decision or action.