(a) The department may deny, suspend, suspend on an emergency basis, or revoke a license if the applicant or facility fails to comply with any provision of the Act or this chapter.
(b) The department may take action under subsection (a) of this section for fraud, misrepresentation, or concealment of a material fact on any documents required to be submitted to the department or required to be maintained by the facility pursuant to the provisions of this chapter.
(c) The department may suspend or revoke an existing valid license, or disqualify a person from receiving a license because of a person's conviction of a felony or misdemeanor if the crime directly relates to the duties and responsibilities of the ownership or operation of a facility.
  (1) In determining whether a criminal conviction directly relates, the department shall consider:
    (A) the nature and seriousness of the crime;
    (B) the relationship of the crime to the purposes for requiring a license to engage in the occupation;
    (C) the extent to which a license might offer an opportunity to engage in further criminal activity of the same type as that in which the person previously had been involved; and
    (D) the relationship of the crime to the ability, capacity, or fitness required to perform the duties and discharge the responsibilities of the licensed occupation.
  (2) In addition to the factors that may be considered under paragraph (1) of this subsection, the department, in determining the present fitness of a person who has been convicted of a crime, shall consider the provisions of Texas Occupations Code, §53.022 and §53.023 (relating to Ineligibility for License).
  (3) The following felonies and misdemeanors directly relate because these criminal offenses indicate an ability or a tendency for the person to be unable to own or operate a facility:
    (A) a violation of the Act;
    (B) an offense involving moral turpitude;
    (C) an offense relating to deceptive business practice;
    (D) an offense of practicing any health-related profession without a required license;
    (E) an offense under any federal or state law relating to drugs, dangerous drugs, or controlled substances;
    (F) an offense under Title 5 of the Texas Penal Code involving a patient or client of a health care facility or agency; or
    (G) an offense under various titles of the Texas Penal Code:
      (i) Title 5 concerning offenses against the person;
      (ii) Title 7 concerning offenses against property;
      (iii) Title 9 concerning offenses against public order and decency;
      (iv) Title 10 concerning offenses against public health, safety, and morals;
      (v) Title 4 concerning offenses of attempting or conspiring to commit any of the offenses in this subsection; or
    (H) other misdemeanors or felonies which indicate an inability or tendency for the person to be unable to own or operate a facility if action by the department will promote the intent of the Act, this chapter or Texas Occupations Code, §53.022 and §53.023.
(d) Upon a licensee's felony conviction, felony probation revocation, revocation of parole, or revocation of mandatory supervision, his license shall be revoked.
(e) If the department proposes to deny, suspend, or revoke a license, the director shall notify the applicant or the facility by mail of the reasons for the proposed action and offer the applicant or facility an opportunity for a hearing. The applicant or facility must request a hearing within 30 calendar days of receipt of the notice. The request must be in writing and submitted to the Health Facility Licensing and Compliance Division, Texas Department of Health, 1100 West 49th Street, Austin, Texas 78756. A hearing shall be conducted pursuant to the Administrative Procedure Act, Government Code, Chapter 2001, and the department's formal hearing procedures in Chapter 1 of this title (relating to Texas Board of Health). If the applicant or facility does not request a hearing, in writing, within 30 calendar days of receipt of the notice or does not appear at a scheduled hearing, the applicant or facility is deemed to have waived the opportunity for a hearing and the proposed action shall be taken. Receipt of the notice is presumed to occur on the tenth calendar day after the notice is mailed to the last address known to the department unless another date is reflected on a United States Postal Service return receipt.
(f) The department may suspend or revoke a license to be effective immediately when the department has reasonable cause to believe the health and safety of persons are threatened. The department shall notify the facility of the emergency action by mail or personal delivery of the notice. If requested by the license holder, the department shall conduct a hearing, which shall be not earlier than ten calendar days from the effective date of the suspension or revocation. The effective date of the emergency action shall be stated in the notice. The hearing shall be conducted pursuant to the Administrative Procedure Act, Government Code, Chapter 2001, and the department's formal hearing procedures in Chapter 1 of this title (relating to the Texas Board of Health).
(g) If a person violates a requirement of the Act or this chapter, the department may petition the district court to restrain the person from continuing the violation.
(h) In lieu of suspending or revoking the license, the department may schedule the facility for a probation period of not less than 30 days if the facility is found in repeated non-compliance and the facility's noncompliance does not endanger the health and safety of the public.

Source Note: The provisions of this §506.71 adopted to be effective July 25, 2004, 29 TexReg 6911; transferred effective June 1, 2019, as published in the Texas Register May 17, 2019, 44 TexReg 2467