(a) Scope of subchapter. In accordance with Health and Safety Code, Chapter 531, this subchapter applies to the final licensing or registration decisions of the Department of State Health Services (department) that resulted in a final order that was not reversed on appeal, for the following persons or entities regulated under the Health and Safety Code:
  (1) a youth camp licensed under Chapter 141;
  (2) a hospital licensed under Chapter 241;
  (3) a special care facility licensed under Chapter 248;
  (4) a chemical dependency treatment facility licensed under Chapter 464; and
  (5) a mental hospital or mental health facility licensed under Chapter 577.
(b) Record of final decision. In accordance with Government Code, §531.952, the department shall maintain a record:
  (1) of each application for a license, including a renewal license or a registration that is denied by the department under the law authorizing the department to regulate the person or entity;
  (2) of each license or registration that is revoked, suspended, or terminated by the department under the applicable law;
  (3) until the 10th anniversary of the date of the denial, revocation, suspension, or termination;
  (4) that includes:
    (A) the name and address of the applicant for a license or registration that is denied by the department, and the name and address of each person named on the application for a license or registration that is denied;
    (B) the name of each controlling person of an entity for which an application, license or registration is denied, revoked, suspended, or terminated as described in paragraphs (1) and (2) of this subsection and the specific type of license or registration that was denied, revoked, suspended, or terminated by the department;
    (C) a summary of the terms of the denial, revocation, suspension, or termination; and
    (D) the period the denial, revocation, suspension, or termination was effective.
  (5) The department shall provide a copy of the records maintained under this section, in a form determined by the department, to the Department of Aging and Disability Services and the Department of Family and Protective Services (each Health and Human Services agency that regulates a person described by Government Code, Chapter 531) on a monthly basis.
(c) Denial of application based on adverse agency decision. The department may deny an application for a license, including a renewal license or a registration of a person described in subsection (a) of this section if:
  (1) the applicant, a person named on the application, or a person determined by the regulating agency to be a controlling person of an entity for which the license, listing, or registration is sought is listed in a record maintained by a Health and Human Services agency under Government Code, §531.952; and
  (2) the agency's action that resulted in the person being listed in a record maintained under Government Code, §531.952, is based on:
    (A) an act or omission that resulted in physical or mental harm to an individual in the care of the applicant or person;
    (B) a threat to the health, safety, or well-being of an individual in the care of the applicant or person;
    (C) the physical, mental, or financial exploitation of an individual in the care of the applicant or person; or
    (D) a determination by the agency that the applicant or person has committed an act or omission that renders the applicant unqualified or unfit to fulfill the obligations of the license, listing, or registration.
(d) Required application information. An applicant submitting an initial or renewal application for a license, including a renewal license or a registration described in subsection (a) of this section must include with the application a written statement of:
  (1) the name of any person who is or will be a controlling person of the entity for which the license or registration is sought; and
  (2) any other relevant information required by law, rule, or department policy.

Source Note: The provisions of this §1.601 adopted to be effective July 22, 2012, 37 TexReg 5275