Relating to the licensing and regulation of massage therapy and other programs administered by the Texas Department of Licensing and Regulation; creating a criminal offense; providing a civil penalty.

89(R) HB 3945 - House Committee Report version - Bill Text

89R18105 JCG-F

By: Bumgarner

H.B. No. 3945

Substitute the following for H.B. No. 3945:

By: Phelan

C.S.H.B. No. 3945

A BILL TO BE ENTITLED

AN ACT

relating to the licensing and regulation of massage therapy and

other programs administered by the Texas Department of Licensing

and Regulation; creating a criminal offense; providing a civil

penalty.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 51.001(6), Occupations Code, is amended

to read as follows:

(6) "Sanction" means an action by the
commission or

executive director against a license holder or another person,

including the denial, suspension, or revocation of a license, the

reprimand of a license holder, or the placement of a license holder

on probation.

SECTION 2. Section 51.3511(c), Occupations Code, is amended

to read as follows:

(c) If an emergency order is issued under this section

without a hearing, the executive director shall set the time and

place for a hearing conducted by the State Office of Administrative

Hearings to affirm, modify, or set aside the emergency order not

later than the
17th
[
10th
] day after the date the order was issued.

The order shall be affirmed to the extent that reasonable cause

existed to issue the order.

SECTION 3. Section 455.001, Occupations Code, is amended by

adding Subdivision (14) to read as follows:

(14)

"Sanction" has the meaning assigned by Section

51.001.

SECTION 4. Section 455.152, Occupations Code, as amended by

Chapters 13 (S.B. 483) and 440 (H.B. 2016), Acts of the 88th

Legislature, Regular Session, 2023, is reenacted and amended to

read as follows:

Sec. 455.152. INELIGIBILITY FOR LICENSE.
(a)
A person is

not eligible for a license as a massage establishment, massage

school, massage therapist, or massage therapy instructor if the

person [
is an individual and
] has been convicted of, entered a plea

of nolo contendere or guilty to, or received deferred adjudication

for:

(1) an offense under Chapter 20A,
Penal Code
[
Section

22.011 or 22.021 Penal Code
], or Section
22.011, 22.021,
43.021,

43.03, 43.031, 43.04, 43.041, or 43.05, Penal Code; or

(2) an offense under federal law or the laws of another

state containing elements that are substantially similar to the

elements of an offense described by Subdivision (1).

(b)

An entity is not eligible for a license as a massage

establishment or massage school if:

(1)

an individual described by Section 455.1525(e)

with respect to the entity has been convicted of, entered a plea of

nolo contendere or guilty to, or received deferred adjudication for

an offense described by Subsection (a)(1) or (2);

(2)

the entity or an owner or operator of the entity is

subject to an emergency order under Section 51.3511 for a ground

described by Section 455.252;

(3)

a license issued under this chapter to the entity

or an owner or operator of the entity has been revoked under Section

455.251(c)(1);

(4)

the entity was a tenant of commercial rental

property and the landlord prevailed in a forcible detainer suit

filed against the entity based on termination of the entity's right

of possession under Section 93.013, Property Code; or

(5)

the entity is applying for a license with respect

to a location that is subject to an emergency order issued under

Section 51.3511 for a ground described by Section 455.252.

SECTION 5. Section 455.153, Occupations Code, is amended to

read as follows:

Sec. 455.153. APPLICATION FOR LICENSE.
(a)
An applicant

for a license under this chapter must:

(1) submit an application in the manner and on a form

prescribed by the executive director;

(2) pass any required examination; and

(3) include with the application the application fee

set by the commission by rule.

(b)

For purposes of Subsection (a)(1), an applicant for a

license as a massage establishment or massage school shall include

with the application:

(1)

a list of each individual for which the applicant

is required to submit fingerprints under Section 455.1525(e); and

(2)

an explanation of the relationship between each

individual described by Subdivision (1) and the applicant.

SECTION 6. Section 455.202, Occupations Code, is amended by

adding Subsection (c-1) to read as follows:

(c-1)

A massage establishment shall report to the

department any allegation made to the massage establishment of

sexual contact between a massage therapist employed by or

contracted by the massage establishment and a client not later than

24 hours after receiving notice of the allegation.

SECTION 7. Section 455.206, Occupations Code, is amended to

read as follows:

Sec. 455.206.
NEW LICENSE REQUIRED FOR
[
ESTABLISHMENT
]

CHANGE OF LOCATION
OF ESTABLISHMENT OR SCHOOL
[
PROHIBITED
]. A

massage establishment
or massage school
may not change the location

of the establishment
or school
without obtaining a new massage

establishment
or massage school
license under this chapter
, as

appropriate
.

SECTION 8. Subchapter E, Chapter 455, Occupations Code, is

amended by adding Section 455.208 to read as follows:

Sec.

455.208.

TEMPORARY PROHIBITION ON ISSUANCE OF CERTAIN

ESTABLISHMENT OR SCHOOL LICENSES. (a)

If the executive director

issues an emergency order against a massage establishment or

massage school for a ground described by Section 455.252, the

executive director in the order may prohibit for a period not to

exceed one year the issuance of a massage establishment or massage

school license with respect to the location where the establishment

or school previously operated.

(b)

If the license of a massage establishment or massage

school is revoked under Section 455.251, the commission or

executive director in the order revoking the license may prohibit

for a period not to exceed five years the issuance of a massage

establishment or massage school license with respect to the

location where the establishment or school previously operated.

(c)

The department shall provide to the property owner of

the applicable location a copy of any order issued under Subsection

(a) or (b).

(d)

Not later than the 30th day after the date on which the

copy of an order is provided under Subsection (c), the property

owner may submit a request to the department to rescind the

prohibition described by Subsection (a) or (b).

The request must

include documentation sufficient to demonstrate that the owner has

undertaken or implemented procedures and controls to prevent the

commission of an offense under Chapter 20A or Section 34.02, 43.02,

43.021, 43.03, 43.04, 43.05, or 71.02, Penal Code, on the property

subject to the prohibition.

(e)

On receipt of a request under Subsection (d), the

commission or executive director:

(1)

may approve the request to rescind the prohibition

if:

(A)

the ownership of the property subject to the

prohibition changed less than two years before the date of the

request under Subsection (d); and

(B)

the current owner of the property is not a

person against whom:

(i)

a sanction has been imposed for a

violation of this chapter; or

(ii)

injunctive relief has been obtained or

a civil penalty has been imposed under Section 455.351; or

(2)

shall approve the request to rescind the

prohibition as soon as practicable after the date on which the

request is received if:

(A)

the ownership of the property subject to the

prohibition changed two or more years before the date of the request

under Subsection (d);

(B)

in the two-year period described by Paragraph

(A), an arrest has not occurred for, a citation in lieu of arrest

has not been issued for, and a conviction has not resulted from an

offense listed in Subsection (d) committed on the property subject

to the prohibition; and

(C)

the current owner of the property is not a

person against whom:

(i)

a sanction has been imposed for a

violation of this chapter; or

(ii)

injunctive relief has been obtained or

a civil penalty has been imposed under Section 455.351.

SECTION 9. Section 455.251(a), Occupations Code, is amended

to read as follows:

(a) The commission or executive director may refuse to issue

a license to a person, suspend, revoke, or refuse to renew the

license of a person, or impose an administrative penalty under

Subchapter F, Chapter 51, on a person licensed under this chapter if

the person:

(1) obtains or attempts to obtain a license by fraud,

misrepresentation, or concealment of material facts;

(2) sells, barters, or offers to sell or barter a

license;

(3) violates a rule adopted by the commission under

this chapter;

(4) engages in unprofessional conduct as defined by

commission rule that endangers or is likely to endanger the health,

welfare, or safety of the public;

(5) violates an order or ordinance adopted by a

political subdivision under Chapter 243, Local Government Code;

[
or
]

(6) violates this chapter
; or

(7)

engages in conduct constituting an offense under

Chapter 20A, Penal Code
.

SECTION 10. Section 455.252, Occupations Code, is amended

to read as follows:

Sec. 455.252. EMERGENCY ORDER.
(a)
The executive director

may issue an emergency order under Section 51.3511 halting the

operation
of or suspending the license
of a massage establishment

or massage school for a period not to exceed one year
if:

(1) a law enforcement agency gives notice to the

department, or the department otherwise learns, that the law

enforcement agency is investigating the massage establishment
or

massage school
for an offense under Chapter 20A, Penal Code; or

(2) the department has reasonable cause to believe

that an offense under Chapter 20A, Penal Code, is being committed at

the massage establishment
or massage school
.

(b)

A hearing on an emergency order issued under Section

51.3511 for a ground described by this section is a contested case

and subject to Section 2001.058(f), Government Code, in the same

manner as if a rule were adopted as required by that subsection.

(c)

The department shall provide to the property owner of

the massage establishment's or massage school's location a copy of

any order issued under Section 51.3511 for a ground described by

this section.

SECTION 11. Subchapter F, Chapter 455, Occupations Code, is

amended by adding Section 455.253 to read as follows:

Sec.

455.253.

INELIGIBILITY PERIOD ON LICENSE REVOCATION.

On the revocation of a license under Section 455.251, the

commission or executive director in the order revoking the license

may impose a period not to exceed five years for which the former

license holder is ineligible for a license under this chapter.

SECTION 12. Sections 455.351(a) and (b), Occupations Code,

are amended to read as follows:

(a) The attorney general, a district or county attorney, a

municipal attorney, or the department may institute an action for

injunctive relief to restrain a violation by a person who:

(1) appears to be in violation of or threatening to

violate this chapter
,
[
or
] a rule adopted under this chapter
, or an

emergency order issued for a ground described by Section 455.252
;

or

(2) is the owner or operator of an establishment that

offers massage therapy or other massage services regulated by this

chapter and is not licensed under this chapter.

(b) The attorney general, a district or county attorney, a

municipal attorney, or the department may institute an action to

collect a civil penalty from a person who appears to be in violation

of this chapter
,
[
or
] a rule adopted under this chapter
, or an

emergency order issued for a ground described by Section 455.252
.

The amount of a civil penalty
must
[
shall
] be not less than $1,000

or more than
:

(1)
$10,000 for each violation
, other than a violation

described by Subdivision (2); or

(2)

$20,000 for each violation of an emergency order

issued for a ground described by Section 455.252
.

SECTION 13. Subchapter H, Chapter 455, Occupations Code, is

amended by adding Section 455.3525 to read as follows:

Sec.

455.3525.

CRIMINAL PENALTY: VIOLATING CERTAIN

EMERGENCY ORDERS.

(a)

A person commits an offense if the person

knowingly violates an emergency order issued under Section 51.3511

for a ground described by Section 455.252.

(b) An offense under this section is a state jail felony.

SECTION 14. Section 455.353, Occupations Code, is amended

to read as follows:

Sec. 455.353. ENFORCEMENT BY PEACE OFFICERS. A peace

officer of this state, including a peace officer employed by a

political subdivision of the state, may enforce
:

(1)
this chapter
; or

(2)

an emergency order issued for a ground described

by Section 455.252
.

SECTION 15. Section 455.005(e), Occupations Code, is

repealed.

SECTION 16. Sections 51.3511(c) and 455.252, Occupations

Code, as amended by this Act, apply only to an emergency order

issued on or after the effective date of this Act. An emergency

order issued before the effective date of this Act is governed by

the law in effect on the date the order was issued, and the former

law is continued in effect for that purpose.

SECTION 17. Sections 455.153 and 455.206, Occupations Code,

as amended by this Act, apply only to an application for a license

under Chapter 455, Occupations Code, submitted on or after the

effective date of this Act. An application for a license under that

chapter submitted before the effective date of this Act is governed

by the law in effect on the date the application was submitted, and

the former law is continued in effect for that purpose.

SECTION 18. Section 455.202(c-1), Occupations Code, as

added by this Act, applies only to an allegation made to a massage

establishment as described by that section on or after the

effective date of this Act.

SECTION 19. Section 455.351, Occupations Code, as amended

by this Act, applies only to conduct that occurs on or after the

effective date of this Act. Conduct that occurs before the

effective date of this Act is governed by the law in effect on the

date the conduct occurred, and the former law is continued in effect

for that purpose.

SECTION 20. To the extent of any conflict, this Act prevails

over another Act of the 89th Legislature, Regular Session, 2025,

relating to nonsubstantive additions to and corrections in enacted

codes.

SECTION 21. This Act takes effect September 1, 2025.