16 Tex. Admin. Code § 84.40 - Driver Education Provider Licensure Requirements
(a) Application. An
application for licensure as a driver education provider must be made on forms
prescribed by the department and be accompanied by the appropriate fees. An
application for a branch driver education provider license must not have the
same physical address as the primary provider. A license application is valid
for one year from the date it is filed with the department.
(b) Bond requirements. In the case of an
original or a change of owner application, an original bond must be provided.
In the case of a renewal application, an original bond or a continuation
agreement for the approved bond currently on file must be submitted. The bond
or the continuation agreement must be executed on the form provided by the
department.
(c) Verification of
driver education provider ownership. In the case of an original or change of
owner application for a driver education provider, the owner must provide
verification of ownership to the department.
(d) Change of ownership of a driver education
provider. A change of ownership occurs when there is a change in the control of
the provider. The control of a provider is considered to have changed:
(1) in the case of ownership by an
individual, when more than 50 percent of the provider has been sold or
transferred;
(2) in the case of
ownership by a partnership or a corporation, when more than 50 percent of the
provider, or of the owning partnership or corporation has been sold or
transferred; or
(3) when the board
of directors, officers, shareholders, or similar governing body has been
changed to such an extent as to significantly alter the management and control
of the provider.
(e)
Purchase of a driver education provider.
(1) A
person who purchases a licensed driver education provider must obtain an
original license or branch location license as applicable.
(2) The purchaser must assume all refund
liabilities incurred by any former owner as well as the liabilities, duties,
and obligations under the enrollment contracts between the students and any
former owner before the transfer of ownership.
(f) New location or change of address.
(1) The department must be notified in
writing of any change of address at least fifteen (15) working days before the
move.
(2) The driver education
provider must submit the appropriate change of address fee prior to the actual
move.
(3) If a student is not
willing or able to change locations, a pro-rata refund (without deducting any
administrative expense) must be made to the student.
(g) Renewal of driver education provider
license. An application for the renewal of a license for a driver education
provider must be submitted before the expiration of the license and include the
following:
(1) the renewal fee;
(2) a current list of instructors at the
school, if applicable; and
(3) an
executed bond or executed continuation agreement for the bond, currently
approved by and on file with the department.
(h) Denial, revocation, or conditional
license. The authority to operate a branch location ceases if a primary driver
education provider license is denied or revoked. The operation of a branch
location license may be subject to any conditions placed on the continued
operation of the primary driver education provider. A driver education provider
license for a branch location may be denied, revoked, or conditioned separately
from the license for the primary location.
(i) Driver education provider closure.
(1) The driver education provider owner must
notify the department at least fifteen (15) working days before the anticipated
provider closure. In addition, the driver education provider owner must provide
written notice of the actual discontinuance of the operation on the day of
cessation of classes. A driver education provider must make all records
available for review to the department upon department request.
(2) The department may declare a driver
education provider to be closed:
(A) when the
provider no longer has the facilities, vehicles, instructors, or equipment to
provide training pursuant to this chapter;
(B) when the provider has stopped delivering
instruction and training in driver education and has failed to fulfill
contractual obligations to its students;
(C) when the provider informs the department
in writing of its intention to no longer deliver instruction or training in
driver education and returns all unissued driver education certificates or
certificate numbers; or
(D) when
the provider owner allows the license to expire.
(3) If a branch location closes and a student
is not willing or able to complete the training at the primary location, a
pro-rata refund (without deducting any administrative expense) must be made to
the student.
(j) A driver
education provider must not state or imply that a driver's license, permit, or
DE-964 is guaranteed or assured to any student or individual who will take or
complete any instruction, or enroll, or otherwise receive instruction from any
driver education provider.
(k)
Contract site. An in-person driver education provider may conduct a course at a
contract site, upon execution of a legal written agreement between the licensed
driver education provider and an authorized representative for the contract
site to provide driver education instruction. The course is subject to the same
rules that apply to the licensed driver education provider, including
inspections by department representatives. An on-site inspection is not
required prior to use of the site. The written agreement is subject to the
recordkeeping requirements under §84.81.
Notes
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