By: Kolkhorst, et al. S.B. No. 1398     (Noble)           A BILL TO BE ENTITLED   AN ACT   relating to certain procedures in a suit affecting the parent-child   relationship for a child placed in the conservatorship of the   Department of Family and Protective Services and the provision of   family preservation services and community-based foster care.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 262.401(3), Family Code, is amended to   read as follows:                (3)  "Family preservation service" means [a]   time-limited, family-focused services [service], including   services [a service] subject to the Family First Prevention   Services Act (Title VII, Div. E, Pub. L. No. 115-123) and services   approved under the Title IV-E state plan[,] provided to the family   of a child who is:                      (A)  a candidate for foster care to prevent or   eliminate the need to remove the child and to allow the child to   remain safely with the child's family; [or]                      (B)  a pregnant or parenting foster youth; or                      (C)  a member of a household that is subject to an   order rendered under Section 264.203.          SECTION 2.  The heading to Section 262.411, Family Code, is   amended to read as follows:          Sec. 262.411.  SELECTION OF SERVICE PROVIDER;   REIMBURSEMENT.          SECTION 3.  Section 262.411(c), Family Code, is amended to   read as follows:          (c)  A [parent,] managing conservator, guardian, or other   member of a household who is not a parent and who obtains family   preservation services from a provider selected by the person is   responsible for the cost of those services.          SECTION 4.  Subchapter A, Chapter 263, Family Code, is   amended by adding Section 263.0022 to read as follows:          Sec. 263.0022.  TEMPORARY EMERGENCY SUPERVISION; MONTHLY   REPORT. (a)  In this section, "temporary emergency supervision"   means the supervision and care provided by the department or a   single source continuum contractor for a child without placement   for whom the department has been appointed as the temporary or   permanent managing conservator.          (b)  The department or a single source continuum contractor   may not advocate for and a court may not render an order placing a   child in temporary emergency supervision if an appropriate   placement is available.  The department or the contractor and the   court may not consider a child's refusal to stay in a placement when   determining whether the placement is appropriate.          (c)  Before a court may order temporary emergency   supervision for a child, the department or the single source   continuum contractor shall submit a report to the court that   includes information regarding each attempted placement,   including:                (1)  the type of placement;                (2)  the location of the placement;                (3)  the date the department or the contractor   contacted the placement; and                (4)  the reason the department or the contractor   determined the placement was not appropriate.          SECTION 5.  Section 264.107(g), Family Code, is amended to   read as follows:          (g)  If the department or single source continuum contractor   is unable to find an appropriate placement for a child, an employee   of the department or contractor who has on file with the department   or contractor, as applicable, a background and criminal history   check may provide temporary emergency supervision [care] for the   child.  The employee may not provide temporary emergency   supervision [care] under this subsection in the employee's   residence. The department or contractor shall provide notice to   the court for a child placed in temporary emergency supervision   [care] under this subsection not later than the next business day   after the date the child is placed in temporary emergency   supervision [care].          SECTION 6.  Section 264.1261(b), Family Code, is amended to   read as follows:          (b)  Appropriate department management personnel from a   child protective services region in which community-based care has   not been implemented, in collaboration with foster care providers,   faith-based organizations [entities], and child advocates in that   region, shall use data collected by the department on foster care   capacity needs and availability of each type of foster care and   kinship placement in the region to create a plan to address the   substitute care capacity needs in the region.  The plan must   identify both short-term and long-term goals and strategies for   addressing those capacity needs.          SECTION 7.  Section 264.152, Family Code, is amended by   amending Subdivision (2) and adding Subdivisions (5) and (6) to   read as follows:                (2)  "Case management" means the provision of case   management services to a child for whom the department has been   appointed temporary or permanent managing conservator or to the   child's family, a young adult in extended foster care, a relative or   kinship caregiver, or a child who has been placed in the catchment   area through the Interstate Compact on the Placement of Children,   and includes:                      (A)  caseworker visits with the child;                      (B)  family and caregiver visits;                      (C)  convening and conducting permanency planning   meetings;                      (D)  the development and revision of child and   family plans of service, including a permanency plan and goals for a   child or young adult in care;                      (E)  the coordination and monitoring of services   required by the child and the child's family or caregivers,   including:                            (i)  pre-adoption and post-adoption   assistance;                            (ii)  services for children in the   conservatorship of the department who must transition to   independent living; and                            (iii)  services related to family   reunification, including services to support a monitored return;                      (F)  the assumption of court-related duties   regarding the child, including:                            (i)  providing any required notifications or   consultations;                            (ii)  preparing court reports;                            (iii)  attending judicial and permanency   hearings, trials, and mediations;                            (iv)  complying with applicable court   orders; and                            (v)  ensuring the child is progressing   toward the goal of permanency within state and federally mandated   guidelines; and                      (G)  any other function or service that the   department determines necessary to allow a single source continuum   contractor to assume responsibility for case management.                (5)  "Faith-based organization" means a religious or   denominational institution or organization, including an   organization operated for religious, educational, or charitable   purposes and operated, supervised, or controlled, in whole or in   part, by or in connection with a religious organization.                (6)  "Family preservation service" means time-limited,   family-focused services, including services subject to the Family   First Prevention Services Act (Title VII, Div. E, Pub. L.   No. 115-123) and services approved under the Title IV-E state plan   provided to the family of a child who is:                      (A)  a candidate for foster care to prevent or   eliminate the need to remove the child and to allow the child to   remain safely with the child's family;                      (B)  a pregnant or parenting foster youth; or                      (C)  a member of a household that is subject to an   order rendered under Section 264.203.          SECTION 8.  Section 264.153, Family Code, is amended to read   as follows:          Sec. 264.153.  COMMUNITY-BASED CARE IMPLEMENTATION PLAN.   (a) The department shall develop and maintain a plan for   implementing community-based care. The plan must:                (1)  describe the department's expectations, goals, and   approach to implementing community-based care;                (2)  include a timeline for implementing   community-based care throughout this state, any limitations   related to the implementation, and a progressive intervention plan   and a contingency plan to provide continuity of the delivery of   foster care services and services for relative and kinship   caregivers if a contract with a single source continuum contractor   ends prematurely;                (3)  delineate and define the case management roles and   responsibilities of the department and the department's   contractors and the duties, employees, and related funding that   will be transferred to the contractor by the department;                (4)  identify any training needs and include long-range   and continuous plans for training and cross-training staff,   including plans to train caseworkers using the standardized   curriculum created by the human trafficking prevention task force   under Section 402.035(d)(6), Government Code, as that section   existed on August 31, 2017;                (5)  include a plan for evaluating the costs and tasks   associated with each contract procurement, including the initial   and ongoing contract costs for the department and contractor;                (6)  include the department's contract monitoring   approach and a plan for evaluating the continuous performance of   each contractor and the community-based care system as a whole that   includes an [independent] evaluation of each contractor's   processes and fiscal and qualitative outcomes; and                (7)  include a report on transition issues resulting   from implementation of community-based care.          (b)  The department shall annually:                (1)  update the implementation plan developed under   this section and post the updated plan on the department's Internet   website; and                (2)  post on the department's Internet website the   progress the department has made toward its goals for implementing   community-based care, including:                      (A)  performance measure data from each single   source continuum contractor;                      (B)  quality improvement plans and corrective   action plans for each contractor; and                      (C)  a summary of contractor actions to be taken   to address the plans described by Paragraph (B).          SECTION 9.  The heading to Section 264.154, Family Code, is   amended to read as follows:          Sec. 264.154.  QUALIFICATIONS OF SINGLE SOURCE CONTINUUM   CONTRACTOR; SELECTION; PUBLICATION.          SECTION 10.  Section 264.154, Family Code, is amended by   adding Subsections (d) and (e) to read as follows:          (d)  The department shall annually post on the department's   Internet website:                (1)  the list of single source continuum contractors   providing services under this subchapter; and                (2)  a description of each contractor's full corporate   structure, including divisions and subsidiaries.          (e)  A single source continuum contractor shall provide   information described by Subsection (d)(2) to the department.          SECTION 11.  The heading to Section 264.155, Family Code, is   amended to read as follows:          Sec. 264.155.  [REQUIRED] CONTRACT PROVISIONS.          SECTION 12.  Section 264.155, Family Code, is amended by   amending Subsection (a) and adding Subsection (a-1) to read as   follows:          (a)  A contract with a single source continuum contractor to   provide community-based care services in a catchment area must   include provisions that:                (1)  establish a sequential plan [timeline] for the   implementation of community-based care in the catchment area,   including a sequential plan [timeline] for implementing the   following in an order determined by the department based on   community needs and readiness and contractor capacity:                      (A)  family preservation services;                      (B)  case management services for children,   families, and relative and kinship caregivers receiving services in   the catchment area; and                      (C) [(B)]  family reunification support services   to be provided after a child receiving services from the contractor   is returned to the child's family;                (2)  establish conditions for the single source   continuum contractor's access to relevant department data and   require the participation of the contractor in the data access and   standards governance council created under Section 264.159;                (3)  require the single source continuum contractor to   create a single process for the training and use of alternative   caregivers for all child-placing agencies in the catchment area to   facilitate reciprocity of licenses for alternative caregivers   between agencies, including respite and overnight care providers,   as those terms are defined by department rule;                (4)  require the single source continuum contractor to   maintain a diverse network of service providers that offer a range   of foster capacity options and that can accommodate children from   diverse cultural backgrounds;                (5)  require [allow] the department to conduct annual    [a] performance reviews [review] of the contractor beginning on the   first anniversary of the contract to:                      (A)  [18 months after the contractor has begun   providing case management and family reunification support   services to all children and families in the catchment area and]   determine if the contractor has achieved applicable [any]   performance outcomes and other requirements specified in the   contract as determined by services implemented at the time of the   review, including data related to:                            (i)  the percentage of children reunified   with their families after a suit is filed by the department;                            (ii)  the percentage of children who reenter   the conservatorship of the department;                            (iii)  the percentage of children who remain   in the conservatorship of the department until the age of majority;                            (iv)  the percentage of children who   experience multiple placement moves while in substitute care; and                            (v)  the percentage of families completing   family preservation services to mitigate findings of abuse or   neglect;                      (B)  ensure service authorizations are based on   documented criteria and are not being used to negatively impact a   child's access to care by conducting utilization reviews on a   sample of cases at least biennially;                      (C)  review the contractor's compliance with   requirements related to conflicts of interest and financial   disclosures; and                      (D)  assess the adequacy of the contractor's   provider network and service delivery system;                (6)  following the review under Subdivision (5),   require [allow] the department to:                      (A)  publish the review on the department's   Internet website;                      (B)  impose financial remedies [penalties] on the   contractor for failing to:                            (i)  meet applicable [any specified]   performance outcomes, contract requirements, or deliverables, as   determined by services implemented at the time of the review; or                            (ii)  follow applicable court orders   relating to child welfare;                      (C) [(B)]  award financial incentives to the   contractor for exceeding applicable [any specified] performance   outcomes as determined by services implemented at the time of the   review; and                      (D)  if deficiencies in the provision of services   are identified, impose a corrective action plan to address the   deficiencies that:                            (i)  includes a timeline for addressing the   deficiencies; and                            (ii)  provides for escalating interventions   if deficiencies are not addressed;                (7)  allow the department to implement formal measures   to ensure the contractor is delivering high-quality service,   including quality improvement plans, financial interventions, and   other appropriate interventions or restrictions;                (8)  require the adoption of a capitated funding   methodology for the provision of all services not later than the   third anniversary of the date the contract is executed;                (9)  for a catchment area in which a contractor has not   implemented services before September 1, 2023, if family   preservation services are included in the initial service   implementation, require:                      (A)  an external review to ensure the contractor   has adequate systems and processes in place to effectively provide   family preservation services;                      (B)  the establishment of performance outcomes   specific to family preservation services; and                      (C)  the achievement of the performance outcomes   as a condition of continued provision or expansion of family   preservation services;                (10) [(7)]  require the contractor to give preference   for employment to employees of the department:                      (A)  whose position at the department is impacted   by the implementation of community-based care; and                      (B)  who are considered by the department to be   employees in good standing;                (11) [(8)]  require the contractor to implement    [provide] preliminary and ongoing community engagement plans to   ensure communication and collaboration with local stakeholders in   the catchment area that include the establishment of a community   advisory committee that:                      (A)  meets at least quarterly;                      (B)  maintains, as the majority of the committee's   membership, members not employed by or contracted with the   contractor; and                      (C)  includes representatives from[, including]   any of the following:                            (i) [(A)] community faith-based   organizations [entities];                            (ii) [(B)]  the judiciary;                            (iii) [(C)]  court-appointed special   advocates;                            (iv) [(D)]  child advocacy centers;                            (v) [(E)]  service providers;                            (vi) [(F)]  foster families;                            (vii) [(G)]  biological parents;                            (viii) [(H)]  foster youth and former foster   youth;                            (ix) [(I)]  relative or kinship caregivers;                            (x) [(J)]  child welfare boards, if   applicable;                            (xi) [(K)]  attorneys ad litem;                            (xii) [(L)]  attorneys that represent   parents involved in suits filed by the department; and                            (xiii) [(M)]  any other stakeholders, as   determined by the contractor;                (12)  require the department to include findings and   recommendations from the advisory committee established under   Subdivision (11) in:                      (A)  the annual performance review under   Subdivision (5);                      (B)  any corrective action plan under Subdivision   (6)(D); and                      (C)  any other applicable quality improvement   measures; and                (13) [(9)]  require that the contractor comply with any   applicable court order issued by a court of competent jurisdiction   in the case of a child for whom the contractor has assumed case   management responsibilities or an order imposing a requirement on   the department that relates to functions assumed by the contractor.          (a-1)  A contract with a single source continuum contractor   to provide community-based care services in a catchment area may   include provisions that require the contractor to develop a program   to recruit and retain foster parents from faith-based   organizations, including requirements for the contractor to:                (1)  collaborate with faith-based organizations to   inform prospective foster parents about:                      (A)  the need for foster parents in the community;                      (B)  the requirements for becoming a foster   parent; and                      (C)  any other aspect of the foster care program   that is necessary to recruit foster parents;                (2)  provide training for prospective foster parents;   and                (3)  identify and recommend ways in which faith-based   organizations may support persons as they are recruited, are   trained, and serve as foster parents.          SECTION 13.  Section 264.156(a), Family Code, is amended to   read as follows:          (a)  The department shall develop a formal review process to   assess the ability of a single source continuum contractor to   satisfy the responsibilities and administrative requirements of   delivering foster care services and services for relative and   kinship caregivers, including the contractor's ability to provide:                (1)  family preservation services;                (2)  case management services for children and   families;                (3) [(2)]  evidence-based, promising practice, or   evidence-informed supports for children and families; and                (4) [(3)]  sufficient available capacity for inpatient   and outpatient services and supports for children at all service   levels who have previously been placed in the catchment area.          SECTION 14.  Sections 264.158(a) and (b), Family Code, are   amended to read as follows:          (a)  In each initial catchment area where community-based   care has been implemented or a contract with a single source   continuum contractor has been executed before September 1, 2017,   the department shall transfer to the single source continuum   contractor providing foster care services in that area:                (1)  family preservation services;                (2)  the case management of children, relative and   kinship caregivers, and families receiving services from that   contractor; and                (3) [(2)]  family reunification support services to be   provided after a child receiving services from the contractor is   returned to the child's family for the period of time ordered by the   court.          (b)  The commission shall include a provision in a contract   with a single source continuum contractor to provide foster care   services and services for relative and kinship caregivers in a   catchment area to which community-based care is expanded after   September 1, 2017, that requires the transfer to the contractor of   the provision of:                (1)  family preservation services;                (2)  the case management services for children,   relative and kinship caregivers, and families in the catchment area   where the contractor will be operating; and                (3) [(2)]  family reunification support services to be   provided after a child receiving services from the contractor is   returned to the child's family.          SECTION 15.  Section 264.162, Family Code, is amended to   read as follows:          Sec. 264.162.  REVIEW OF CONTRACTOR PERFORMANCE. The   department shall develop a formal review process that includes a   monitoring schedule to evaluate a single source continuum   contractor's implementation of placement services and case   management services in a catchment area.  The department shall post   the monitoring schedule on the department's Internet website.          SECTION 16.  The heading to Section 264.2031, Family Code,   is amended to read as follows:          Sec. 264.2031.  SELECTION OF SERVICE PROVIDER;   REIMBURSEMENT.          SECTION 17.  Section 264.2031(b), Family Code, is amended to   read as follows:          (b)  A [parent,] managing conservator, guardian, or other   member of a household who is not a parent and who obtains services   from a provider selected by the person is responsible for the cost   of those services.          SECTION 18.  Section 40.0583, Human Resources Code, is   amended to read as follows:          Sec. 40.0583.  STATE AUDITOR REVIEW OF CONTRACTS. The state   auditor shall biennially [annually] review the department's   performance-based contracts to determine whether the department is   properly enforcing contract provisions with providers and to   provide recommendations for improving department oversight and   execution of contracts.          SECTION 19.  Sections 264.113(a), (b), and (c), Family Code,   are repealed.          SECTION 20.  (a) Section 263.0022, Family Code, as added by   this Act, applies to a placement review hearing of a child   regardless of the date on which the Department of Family and   Protective Services is named the child's managing conservator.          (b)  Sections 264.152, 264.155, 264.156(a), and 264.158(a)   and (b), Family Code, as amended by this Act, apply only to a   contract with a single source continuum contractor entered into or   amended on or after the effective date of this Act. A contract with   a single source continuum contractor entered into before the   effective date of this Act and not amended after that date is   governed by the law in effect on the date the contract was entered   into or amended, and the former law is continued in effect for that   purpose.          SECTION 21.  This Act takes effect September 1, 2025.