Bill Text: TX HB1302 | 2019-2020 | 86th Legislature | Introduced

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Bill Title: Relating to the creation of the Texas Mental Health Research Institute; authorizing the issuance of bonds.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2019-02-27 - Referred to Public Health [HB1302 Detail]

Download: Texas-2019-HB1302-Introduced.html

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86R5051 JG-D
By: Davis of Harris H.B. No. 1302

A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Texas Mental Health Research
Institute; authorizing the issuance of bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Title 12, Health and Safety Code, is amended by
adding Chapter 1002 to read as follows:
CHAPTER 1002. TEXAS MENTAL HEALTH RESEARCH INSTITUTE
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 1002.0001. DEFINITIONS. In this chapter:
(1) "Institute" means the Texas Mental Health Research
Institute.
(2) "Oversight committee" means the Texas Mental
Health Research Institute Oversight Committee.
(3) "Research review committee" means the Texas Mental
Health Research Institute Research Review Committee.
Sec. 1002.0002. PURPOSE. The Texas Mental Health Research
Institute is established to:
(1) develop and implement a Texas mental health
research plan to promote synergistic collaboration in mental health
and substance use disorder research across university systems in
this state and advance the research component of the statewide
behavioral health strategic plan or any appropriate successor
statewide strategic plan relating to behavioral health;
(2) create and expedite innovation in mental health
and substance use disorder research to improve the health of the
residents of this state; and
(3) attract, create, or expand research capabilities
of university systems in this state in a manner that will promote a
substantial increase in mental health and substance use disorder
research.
SUBCHAPTER B. POWERS AND DUTIES OF INSTITUTE
Sec. 1002.0051. POWERS AND DUTIES. (a) The institute:
(1) may make grants to health-related institutions of
higher education to further the purpose of this chapter;
(2) may establish the appropriate standards and
oversight bodies to ensure the proper use of funds authorized under
this chapter;
(3) may employ necessary staff to provide
administrative support to the institute;
(4) shall continuously monitor grant contracts and
agreements authorized under this chapter and ensure that each grant
recipient complies with the terms and conditions of the contract;
(5) shall ensure that all grant proposals comply with
this chapter and rules adopted under this chapter before the
proposals are submitted to the oversight committee for approval;
and
(6) shall establish procedures to document that the
institute, its employees, and any committee members appointed under
this chapter comply with all rules governing conflicts of interest
and the peer review process developed under Section 1002.0252.
(b) The institute shall employ a chief compliance officer to
monitor and report to the oversight committee regarding compliance
with this chapter and rules adopted under this chapter.
(c) In addition to other duties under this chapter, the
chief compliance officer shall:
(1) ensure that all grant proposals comply with this
chapter and rules adopted under this chapter before the proposals
are submitted to the oversight committee for approval; and
(2) attend and observe research review committee
meetings to ensure compliance with this chapter and rules adopted
under this chapter.
Sec. 1002.0052. CHIEF EXECUTIVE OFFICER. (a) The
oversight committee shall hire a chief executive officer. The
chief executive officer shall perform the duties required under
this chapter or designated by the oversight committee.
(b) The chief executive officer must have a demonstrated
ability to lead and develop academic, commercial, and governmental
partnerships and coalitions.
Sec. 1002.0053. ANNUAL REPORT. Not later than January 31 of
each year, the institute shall prepare and submit to the governor,
the lieutenant governor, the speaker of the house of
representatives, and each standing committee of the legislature
having primary jurisdiction over mental health or substance use
issues and post on the institute's Internet website a written
report that outlines:
(1) the institute's activities under this chapter;
(2) a list of grant recipients during the preceding
state fiscal year, including the grant amount awarded to each
recipient;
(3) any applicant the institute is considering
awarding a grant;
(4) any research accomplishments made during the
preceding state fiscal year by a grant recipient; and
(5) the institute's future direction.
Sec. 1002.0054. INDEPENDENT FINANCIAL AUDIT FOR REVIEW BY
COMPTROLLER. (a) The institute shall annually commission an
independent financial audit of its activities from a certified
public accounting firm. The institute shall provide the audit to
the comptroller. The comptroller shall review and evaluate the
audit and annually issue a public report of that review. The
comptroller shall make recommendations concerning the institute's
financial practices and performance.
(b) The oversight committee shall review the annual
financial audit, the comptroller's report and evaluation of that
audit, and the financial practices of the institute.
Sec. 1002.0055. GRANT RECORDS. (a) The institute shall
maintain complete records of:
(1) the review of each grant application submitted to
the institute, including the score assigned to each grant
application reviewed, regardless of whether the grant application
is not funded by the institute or is withdrawn after submission to
the institute;
(2) each grant recipient's financial reports,
including the amount of matching funds dedicated to the research
specified for the grant award;
(3) each grant recipient's progress reports; and
(4) the institute's review of the grant recipient's
financial and progress reports.
(b) The institute shall have periodic audits made of any
electronic grant management system used to maintain records of
grant applications and grant awards under this section. The
institute shall address in a timely manner each weakness identified
in an audit of the system.
Sec. 1002.0056. GIFTS AND GRANTS. The institute may
solicit and accept gifts and grants from any source for the purposes
of this chapter.
SUBCHAPTER C. OVERSIGHT COMMITTEE
Sec. 1002.0101. COMPOSITION OF OVERSIGHT COMMITTEE. (a)
The oversight committee is the governing body of the institute.
(b) The oversight committee is composed of the following
nine members:
(1) three members appointed by the governor;
(2) three members appointed by the lieutenant
governor; and
(3) three members appointed by the speaker of the
house of representatives.
Sec. 1002.0102. TERMS; VACANCY. (a) Oversight committee
members appointed by the governor, lieutenant governor, and speaker
of the house of representatives serve at the pleasure of the
appointing office for staggered six-year terms, with the terms of
three members expiring January 31 of each even-numbered year.
(b) Not later than the 30th day after the date an oversight
committee member's term expires, the appropriate appointing
authority shall appoint a replacement.
(c) If a vacancy occurs on the oversight committee, the
appropriate appointing authority shall appoint a successor in the
same manner as the original appointment to serve for the remainder
of the unexpired term. The appropriate appointing authority shall
appoint the successor not later than the 30th day after the date the
vacancy occurs.
Sec. 1002.0103. OFFICERS. (a) The oversight committee
shall elect a presiding officer and assistant presiding officer
from among its members every two years. The oversight committee may
elect additional officers from among its members.
(b) The presiding officer and assistant presiding officer
may not serve in the position to which the officer was elected for
two consecutive terms.
(c) The oversight committee shall:
(1) establish and approve duties and responsibilities
for officers of the committee; and
(2) develop and implement policies that distinguish
the responsibilities of the oversight committee and the committee's
officers from the responsibilities of the chief executive officer
and the employees of the institute.
Sec. 1002.0104. EXPENSES. A member of the oversight
committee is not entitled to compensation but is entitled to
reimbursement as provided by the General Appropriations Act for
actual and necessary expenses incurred in attending meetings of the
committee or performing other official duties authorized by the
presiding officer.
Sec. 1002.0105. CONFLICT OF INTEREST. (a) The oversight
committee shall adopt conflict-of-interest rules, based on
standards adopted by the National Institutes of Health, to govern
members of the oversight committee, members of the research review
committee, and institute employees.
(b) Nothing in this chapter limits the authority of the
oversight committee to adopt additional conflict-of-interest rules
and standards.
Sec. 1002.0106. POWERS AND DUTIES. The oversight committee
shall:
(1) hire a chief executive officer;
(2) annually set priorities as prescribed by the
legislature for each grant program that receives money under this
chapter; and
(3) consider the priorities set under Subdivision (2)
in awarding grants under this chapter.
Sec. 1002.0107. RULEMAKING AUTHORITY. The oversight
committee may adopt rules to administer this chapter.
Sec. 1002.0108. CODE OF CONDUCT. The oversight committee
shall adopt a code of conduct applicable to each member of the
oversight committee, member of the research review committee, and
institute employee.
Sec. 1002.0109. FINANCIAL STATEMENT REQUIRED. Each member
of the oversight committee shall file with the chief compliance
officer a verified financial statement complying with Sections
572.022 through 572.0252, Government Code, as required of a state
officer by Section 572.021, Government Code.
SUBCHAPTER D. RESEARCH REVIEW COMMITTEE
Sec. 1002.0151. ESTABLISHMENT AND COMPOSITION OF RESEARCH
REVIEW COMMITTEE. The oversight committee shall establish the
research review committee. The chief executive officer, with
approval by a simple majority of the members of the oversight
committee, shall appoint as members of the research review
committee experts in the field of mental health and substance use
disorder research.
SUBCHAPTER E. FUNDING
Sec. 1002.0201. TEXAS MENTAL HEALTH RESEARCH FUND. (a) The
Texas mental health research fund is a dedicated account in the
general revenue fund.
(b) The Texas mental health research fund consists of:
(1) appropriations of money to the fund by the
legislature, except that the appropriated money may not include the
proceeds from the issuance of bonds authorized by Section 68,
Article III, Texas Constitution;
(2) gifts and grants, including grants from the
federal government, received for the fund; and
(3) interest earned on the investment of money in the
fund.
(c) The fund may be used only to pay for:
(1) grants for mental health or substance use disorder
research and for research facilities in this state to conduct
mental health or substance use disorder research;
(2) the purchase, subject to approval by the
institute, of research facilities by or on behalf of a state agency
or grant recipient;
(3) the operation of the institute; and
(4) debt service on bonds issued as authorized by
Section 68, Article III, Texas Constitution.
Sec. 1002.0202. ISSUANCE OF GENERAL OBLIGATION BONDS. (a)
The institute may request the Texas Public Finance Authority to
issue and sell general obligation bonds of the state as authorized
by Section 68, Article III, Texas Constitution.
(b) The Texas Public Finance Authority may not issue and
sell general obligation bonds authorized by this section before
January 1, 2020, and may not issue and sell more than $100 million
in general obligation bonds authorized by this section in a state
fiscal year.
(c) The institute shall determine, and include in its
request for issuing bonds, the amount, exclusive of costs of
issuance, of the bonds to be issued and the preferred time for
issuing the bonds.
(d) The Texas Public Finance Authority shall issue the bonds
in accordance with and subject to Chapter 1232, Government Code,
and Texas Public Finance Authority rules. The bonds may be issued
in installments.
(e) Proceeds of the bonds issued under this section shall be
deposited in separate funds or accounts, in the state treasury, as
prescribed by the proceedings authorizing the bonds.
(f) The proceeds of the bonds may be used only to:
(1) make grants authorized by Section 68, Article III,
Texas Constitution;
(2) purchase facilities approved by the institute;
(3) pay costs of operating the institute; or
(4) pay costs of issuing the bonds and related bond
administration costs of the Texas Public Finance Authority.
Sec. 1002.0203. AUTHORIZED USE OF FUNDS. (a) A grant
recipient awarded money from the Texas mental health research fund
established under Section 1002.0201 may use the money for research
consistent with the purposes of this chapter and in accordance with
a contract between the grant recipient and the institute.
(b) Except as otherwise provided by this section, money
awarded under this chapter may be used for authorized expenses,
including honoraria, salaries and benefits, travel, conference
fees and expenses, consumable supplies, other operating expenses,
contracted research and development, capital equipment, and
construction or renovation of state or private facilities.
SUBCHAPTER F. PROCEDURE FOR MAKING AWARDS
Sec. 1002.0251. INSTITUTIONS ELIGIBLE TO RECEIVE AWARDS.
The following health-related institutions of higher education are
eligible to receive awards under this chapter:
(1) Baylor College of Medicine;
(2) The Texas A&M University System Health Science
Center;
(3) Texas Tech University Health Sciences Center;
(4) Texas Tech University Health Sciences Center at El
Paso;
(5) University of North Texas Health Science Center at
Fort Worth;
(6) Dell Medical School at The University of Texas at
Austin;
(7) The University of Texas Medical Branch at
Galveston;
(8) The University of Texas Health Science Center at
Houston;
(9) The University of Texas Health Science Center at
San Antonio;
(10) The University of Texas Rio Grande Valley School
of Medicine;
(11) The University of Texas Health Science Center at
Tyler; and
(12) The University of Texas Southwestern Medical
Center.
Sec. 1002.0252. PEER REVIEW PROCESS. The research review
committee shall develop and oversee a peer review process for the
selection of mental health and substance use disorder research
projects. The peer review process must evaluate research projects
based on:
(1) to what extent the research project aligns with
the research component of the statewide behavioral health strategic
plan;
(2) to what extent the research project aligns with
state priorities and needs, including priorities and needs outlined
in the statewide behavioral health strategic plan;
(3) the anticipated impact and reach of the research
project on residents of this state; and
(4) the number of health-related institutions of
higher education participating in the research project.
Sec. 1002.0253. RULES FOR GRANT AWARD PROCEDURE. (a) The
oversight committee shall issue rules regarding the procedure for
awarding grants to an applicant under this chapter. The rules must
require the research review committee to score grant applications
and make recommendations to the oversight committee regarding the
award of research grants, including the creation of a prioritized
list that:
(1) ranks the grant applications in the order the
research review committee determines applications should be
funded; and
(2) includes information explaining how each grant
application on the list meets the research review committee's
standards for recommendation.
(b) In scoring and making recommendations to the oversight
committee under Subsection (a), the research review committee
shall, to the extent possible:
(1) give first priority to grant applications that
focus on one or more of the following focus areas:
(A) depression;
(B) first episode of psychosis;
(C) substance use disorder;
(D) bipolar disorder and schizophrenia; or
(E) community systems research; and
(2) give second priority to grant applicants that:
(A) ensure a collaborative approach to mental
health and substance use disorder research;
(B) ensure interdisciplinary or
interinstitutional collaboration; or
(C) enhance research superiority at
health-related institutions of higher education in this state by:
(i) creating new research superiority;
(ii) attracting existing research
superiority at health-related institutions of higher education
outside this state and other research entities; and
(iii) enhancing existing research
superiority in this state by attracting researchers and resources
from outside this state.
Sec. 1002.0254. FUNDING RECOMMENDATIONS. Two-thirds of the
members of the oversight committee present and voting must vote to
approve each funding recommendation of the research review
committee. If the oversight committee does not approve a funding
recommendation of the research review committee, a statement
explaining the reasons a funding recommendation was not followed
must be included in the minutes of the meeting.
Sec. 1002.0255. MAXIMUM AMOUNT OF ANNUAL AWARDS. The
oversight committee may not award more than $100 million in grants
under this chapter in a state fiscal year.
Sec. 1002.0256. PERIOD FOR AWARDS. The oversight committee
may not award money under this chapter after August 31, 2032.
Sec. 1002.0257. GRANT EVALUATION. (a) The oversight
committee shall require as a condition of a grant that the grant
recipient submit to regular inspection reviews of the grant project
by institute staff, including progress oversight reviews, to ensure
compliance with the terms of the award and to ensure the scientific
merit of the research.
(b) The chief executive officer shall determine the grant
review process under this section. The chief executive officer may
suspend or terminate in accordance with Subsection (f) grants that
do not meet contractual obligations.
(c) The chief executive officer shall report at least
annually to the oversight committee on the progress and continued
merit of each research program funded by the institute.
(d) The institute shall establish and implement reporting
requirements to ensure that each grant recipient complies with the
terms and conditions in the grant contract, including verification
of the amounts of matching funds dedicated to the research that is
the subject of the grant award to the grant recipient.
(e) The institute shall implement a system to:
(1) track the dates on which grant recipient reports
are due and are received by the institute; and
(2) monitor the status of any required report that is
not timely submitted to the institute by a grant recipient.
(f) The chief compliance officer shall monitor compliance
with this section and at least annually shall inquire into and
monitor the status of any required report that is not timely
submitted to the institute by a grant recipient. The chief
compliance officer shall notify the general counsel for the
institute and the oversight committee of a grant recipient that has
not maintained compliance with the reporting requirements or
matching funds provisions of the grant contract to allow the
institute to begin suspension or termination of the grant contract
under Subsection (b). This subsection does not limit other
remedies available under the grant contract.
SECTION 2. Section 51.955(c), Education Code, is amended to
read as follows:
(c) Subsection (b)(1) does not apply to a research contract
between an institution of higher education and the Cancer
Prevention and Research Institute of Texas or Texas Mental Health
Research Institute.
SECTION 3. (a) Not later than January 31, 2020, the
appropriate appointing authority shall appoint the members to the
Texas Mental Health Research Institute Oversight Committee as
required by Section 1002.0101, Health and Safety Code, as added by
this Act. The oversight committee may not take action until a
majority of the appointed members have taken office.
(b) Notwithstanding Section 1002.0101, Health and Safety
Code, as added by this Act, in making the initial appointments under
that section, the governor, lieutenant governor, and speaker of the
house of representatives shall designate one member of the Texas
Mental Health Research Institute Oversight Committee appointed by
that person to serve a term expiring January 31, 2022, one member
appointed by that person to serve a term expiring January 31, 2024,
and one member appointed by that person to serve a term expiring
January 31, 2026.
SECTION 4. This Act takes effect on January 1, 2020, but
only if the constitutional amendment proposed by the 86th
Legislature, Regular Session, 2019, providing for the
establishment of the Texas Mental Health Research Institute is
approved by the voters. If that amendment is not approved by the
voters, this Act has no effect.