Texas Administrative Code
Title 1 - ADMINISTRATION
Part 15 - TEXAS HEALTH AND HUMAN SERVICES COMMISSION
Chapter 392 - PURCHASE OF GOODS AND SERVICES FOR SPECIFIC HEALTH AND HUMAN SERVICES COMMISSION PROGRAMS
Subchapter E - CONTRACT MANAGEMENT FOR DSHS FACILITIES AND CENTRAL OFFICE
Section 392.405 - Accountability
Current through Reg. 50, No. 13; March 28, 2025
(a) DSHS employees and officers may not have a conflict of interest in contracts management. An employee or officer has a conflict of interest when the employee, officer, or a person related within the second degree of consanguinity or affinity to the employee or officer, intends to have or has:
(b) DSHS employees and officers who participate in contracts management may not:
(c) DSHS employees who participate in contracts management shall comply with additional standards of ethical conduct contained in the DSHS manuals and applicable state law.
(d) A respondent and its officers and employees may not have a conflict of interest in the solicitation for which the respondent submits a response. A person has a conflict of interest when that person is related within the second degree of consanguinity or affinity to a DSHS employee or officer participating in the contract management for that contract.
(e) A respondent may not attempt to induce any business entity to submit or not submit a response.
(f) A respondent must arrive at its response independently and without consultation, communication, or agreement for the purposes of restricting competition.
(g) A respondent and its officers and employees may not have a relationship with any person, at the time of submitting the response or during the contract term, that may interfere with fair competition.
(h) A respondent and its officers and employees may not participate in the development of specific criteria for award of the contract, nor participate in the selection of the business entity to be awarded the contract.
(i) When contracting with former and retired employees and officers, DSHS must ensure compliance with applicable state law, including the Texas Government Code, §§ 572.054, 659.0115, and 2252.901.
(j) Except for the contracts management of construction contracts and performance contracts, all contracts management must be conducted in accordance with the requirements of the DSHS or HHSC Contracts Manual.
(k) All contracts must contain standard terms and conditions as described in the DSHS Contracts Manual unless an exception is granted by HHSC.
(l) DSHS is prohibited from contracting with a business entity that:
(m) DSHS must ensure that its contractors comply with all contract provisions regardless of whether a contractor subcontracts a portion of the contract.
(n) DSHS may make advance payments to a contractor provided the payments meet a public purpose, ensure adequate consideration, and are accompanied by sufficient controls to ensure accomplishment of the public purpose. With the exception of contracts paid on a capitated basis, at the end of each contract period the contractor must return to DSHS any state or federal funds received from or through DSHS that have not been expended or encumbered within the term of the contract.
(o) DSHS may recoup improper payments when it is verified that a contractor has been overpaid because of improper billing or accounting practices or failure to comply with the contract terms. The determination of impropriety is based on federal, state, and local laws and rules; DSHS procedures; contract provisions; or statistical data on program use compiled from paid claims and other sources of data. DSHS will recoup payments for contracted services not received by DSHS.
(p) DSHS shall ensure quality services are provided to consumers, including during the transition from one contractor to another.
(q) All purchases of goods and services may be made only pursuant to a contract.