(a) The department shall issue a Notice of Department Decision to a license applicant, license holder, or other person by certified mail, return receipt requested, to the last known address and email address upon a determination under Occupations Code, Chapters 2301 and 2302 or Transportation Code, Chapter 503 that:
  (1) an application for a license should be denied; or
  (2) an administrative sanction should be imposed.
(b) The last known address is the mailing address provided by the person in the department-designated licensing system.
(c) A Notice of Department Decision shall include:
  (1) a statement describing the department decision and the effective date;
  (2) a description of each alleged violation;
  (3) a description of each administrative sanction being proposed;
  (4) a statement which sets out the legal basis for each administrative sanction;
  (5) a statement informing the license applicant, license holder, or other person of the right to request a hearing;
  (6) the procedure to request a hearing, including the deadline for filing a request with the department and the acceptable electronic methods to request a hearing; and
  (7) notice to the license applicant, license holder, or other person that the proposed decision and administrative sanctions in the Notice of Department Decision will become final on the date specified if the license applicant, license holder, or other person fails to timely request a hearing in accordance with subsection (d) of this section.
(d) To receive a hearing, the license applicant, license holder, or other person must submit a written request for a hearing under this section to the department. The department must receive a hearing request within 26 days of the date of the Notice of Department Decision for the request to be considered timely.
(e) If the department receives a timely request for a hearing, the department will contact the license holder and attempt to informally resolve the contested case. If the license holder and the department cannot informally resolve the contested case, the department will refer the contested case to SOAH to set a hearing date and will give notice to the license applicant, license holder, or other person of the date, time, and location of the hearing.
(f) If the license applicant, license holder, or other person does not make a timely request for a hearing or agree to settle the contested case within 26 days of the date of the Notice of Department Decision, the allegations are deemed admitted on the 27th day and a final order including sanctions may be issued by the final order authority.

Source Note: The provisions of this §224.56 adopted to be effective June 1, 2024, 49 TexReg 2771