Relating to the regulation of veterinary professionals and facilities by the State Board of Veterinary Medical Examiners and the temporary administration of the board by the Department of Licensing and Regulation.

Contracts

• Management Services Agreements (MSAs): Must be amended to address liability allocation. If the Board fines the facility for administrative failures, the contract must specify whether the MSO or the practice owner pays. Confidentiality clauses must be revised to permit full disclosure of ownership and MSO relationships to the State.
• Medical Director Agreements: Employment contracts for the designated Medical Director must be updated. This role now carries statutory liability for facility compliance; anticipate requests for indemnification or Directors & Officers (D&O) insurance coverage.

Hiring/Training

• Medical Director Designation: You must designate a licensed Texas veterinarian as Medical Director. You must establish a protocol to replace this individual within 30 days of resignation to avoid license suspension.
• Virtual Inspection Readiness: Staff must be trained to facilitate immediate virtual inspections via videoconference technology upon request by Board investigators.

Reporting & Record-Keeping

• Service of Process: You must establish a permanent, monitored email address for the business entity. The Board will use this for legal service of process and disciplinary notices.
• Facility Registration: Prepare to file a comprehensive application by Sept 1, 2027, disclosing full ownership structures, partners, and MSO contracts.
• SOP Overhaul: Standard Operating Procedures regarding sanitation, drug security, and patient care must be updated to match new Board rules once published in 2027.

Fees & Costs

• New Registration Fee: Budget for a new, recurring Facility Registration Fee (amount to be determined by Board rule).
• Consumer Refunds: The Board now has the authority to order direct refunds to consumers (capped at the amount paid for the service) as a sanction. This creates a new financial liability distinct from civil litigation.