(a) HHSC terminates an individual's TxHmL Program services and CFC services if:
  (1) the individual does not meet the eligibility criteria described in §262.101(a)(1) - (7) and (c) of this chapter (relating to Eligibility Criteria for TxHmL Program Services and CFC Services); or
  (2) the individual or LAR refuses to cooperate in the provision or planning of services and:
    (A) the refusal is documented by the program provider and the service coordinator; and
    (B) the service coordinator has explained to the individual or LAR, in writing, that the refusal may result in termination of TxHmL Program services and CFC services.
(b) If a service coordinator becomes aware that a situation described in subsection (a) of this section exists, the service coordinator must, as soon as practicable, convene a service planning team meeting to discuss the situation. If, after the meeting, the service coordinator determines that the situation cannot be resolved, the service coordinator must request that HHSC terminate the individual's services. To make this request, the service coordinator must complete HHSC Request for Termination of Services form and submit the form to HHSC.
(c) If the basis of a service coordinator's request to terminate the individual's services is the reason described in subsection (a)(2) of this section, the service coordinator must include the following information with the completed HHSC Request for Termination of Services form submitted to HHSC:
  (1) a detailed description of how the individual or LAR refused to cooperate in the provision or planning of services;
  (2) a copy of the documentation of the refusal by the service coordinator and program provider as required by subsection (a)(2)(A) of this section; and
  (3) a copy of the written explanation provided to the individual or LAR that the refusal may result in termination of TxHmL Program services and CFC services, as required by subsection (a)(2)(B) of this section.
(d) If HHSC receives a completed HHSC Request for Termination of Services form and, if required, the information described in subsection (b) of this section from a service coordinator, HHSC reviews the form and the information. If HHSC approves the request, HHSC sends written notice to the individual or LAR of the proposal to terminate TxHmL Program services and CFC services. The notice includes the individual's right to request a fair hearing in accordance with §262.601 of this chapter (relating to Fair Hearing).
(e) If the individual or LAR requests a fair hearing before the effective date of the termination of TxHmL Program services and CFC services, as specified in the written notice, the program provider must provide services to the individual in the amounts authorized in the IPC while the appeal is pending

Source Note: The provisions of this §262.507 adopted to be effective March 1, 2023, 48 TexReg 1055