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A BILL TO BE ENTITLED
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AN ACT
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relating to civil penalties levied and disciplinary proceedings |
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conducted against certain covered entities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 181.201(d), Health and Safety Code, is |
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amended to read as follows: |
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(d) In determining the amount of a penalty imposed under |
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Subsection (b), the court shall consider: |
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(1) the seriousness of the violation, including the |
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nature, circumstances, extent, and gravity of the disclosure; |
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(2) the covered entity's compliance history; |
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(3) whether the violation poses a significant risk of |
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financial, reputational, or other harm to an individual whose |
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protected health information is involved in the violation; |
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(4) [whether the covered entity was certified at the
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time of the violation as described by Section 182.108;
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[(5)] the amount necessary to deter a future |
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violation; and |
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(5) [(6)] the covered entity's efforts to correct the |
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violation. |
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SECTION 2. Section 181.205(b), Health and Safety Code, is |
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amended to read as follows: |
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(b) In determining the amount of a penalty imposed under |
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other law in accordance with Section 181.202, a court or state |
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agency shall consider the following factors: |
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(1) the seriousness of the violation, including the |
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nature, circumstances, extent, and gravity of the disclosure; |
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(2) the covered entity's compliance history; |
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(3) whether the violation poses a significant risk of |
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financial, reputational, or other harm to an individual whose |
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protected health information is involved in the violation; |
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(4) [whether the covered entity was certified at the
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time of the violation as described by Section 182.108;
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[(5)] the amount necessary to deter a future |
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violation; and |
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(5) [(6)] the covered entity's efforts to correct the |
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violation. |
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SECTION 3. Subchapter E, Chapter 181, Health and Safety |
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Code, is amended by adding Section 181.208 to read as follows: |
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Sec. 181.208. ENFORCEMENT AGAINST CERTAIN COVERED |
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ENTITIES. Notwithstanding Sections 181.201 and 181.202, the |
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attorney general may not bring an action for civil penalties under |
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Section 181.201 and a licensing agency may not conduct a |
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disciplinary proceeding under Section 181.202 against a covered |
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entity if the covered entity was certified as described by Section |
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182.108 at the time of a violation of this chapter unless the |
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violation occurred due to the covered entity's gross negligence or |
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intentional conduct. |
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SECTION 4. Section 182.108, Health and Safety Code, is |
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amended by adding Subsection (f) to read as follows: |
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(f) A court or state agency that enforces a rule adopted |
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under this section shall consider the covered entity's |
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certification as described by this section at the time of a |
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violation as a mitigating factor. |
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SECTION 5. The changes in law made by this Act apply only to |
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a violation that occurs on or after the effective date of this Act. |
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A violation that occurs before the effective date of this Act is |
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governed by the law applicable to the violation immediately before |
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the effective date of this Act, and that law is continued in effect |
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for that purpose. |
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SECTION 6. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2015. |