(a) Each party may:
  (1) call witnesses;
  (2) offer evidence;
  (3) cross-examine any witness called by a party; and
  (4) make opening and closing statements.
(b) Once the hearing commences, all proceedings including comments and arguments of counsel shall be part of the record. The parties may be off the record only with the permission of the administrative law judge. If the discussion off the record is relevant, then the administrative law judge will summarize the discussion for the record.
(c) Objections shall be timely noted in the record.
(d) The administrative law judge may continue a hearing from time to time and from place to place. If the time and place for the proceeding to reconvene are not announced at the hearing, a notice shall be mailed stating the time and place of the reconvening of the hearing.
(e) The administrative law judge may question witnesses and/or direct the submission of supplemental data.
(f) Sanctions. On the administrative law judge's own motion or on motion of a party and after notice and an opportunity for a hearing, the administrative law judge may impose sanctions against a party for:
  (1) filing a motion or pleading that is without legal merit, frivolous and brought:
  (2) in bad faith;
  (3) for the purpose of harassment; or
  (4) for any improper purpose, such as to cause unnecessary delay or needless increase in the cost of the proceeding.

Source Note: The provisions of this §2.16 adopted to be effective January 9, 2003, 28 TexReg 479