Texas Commission of Licensing and Regulation • Texas Department of Licensing and Regulation
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Compliance Analysis
Key implementation requirements and action items for compliance with this legislation
Implementation Timeline
Effective Date: September 1, 2025
Compliance Deadline:August 31, 2025 (All staff audits and contract updates must be finalized before the law takes effect to avoid negligent retention liability).
Agency Rulemaking: The Texas Commission of Licensing and Regulation (TDLR) is required to adopt implementing rules "as soon as practicable" after the effective date. Expect proposed rules in the *Texas Register* by mid-2025 regarding the specific mechanism for revocation.
Immediate Action Plan
1.Contact Background Check Vendors: Confirm they can isolate and report on Texas Penal Code § 22.012 and distinguish deferred adjudications.
2.Audit Current Roster: Run updated checks on all licensed staff before August 2025 to identify anyone who will become statutorily ineligible.
3.Update Hiring Protocols: Revise interview questions and applications to screen for history with sexually oriented businesses.
4.Review Insurance: Verify that your Professional Liability Insurance (PLI) covers defense costs if a claim arises involving an employee whose license status is challenged under this new statute.
Operational Changes Required
Contracts
Employment Agreements: Amend termination clauses to define "Cause" to specifically include "ineligibility for licensure under Occupations Code Chapter 455" and "entry of a plea of guilty, nolo contendere, or deferred adjudication for offenses listed in Texas Penal Code § 22.012."
Staffing Agency MSAs: If you utilize third-party staffing, amend Master Service Agreements to require the vendor to certify they have screened specifically for Indecent Assault and deferred adjudications. Include an indemnification clause for placement of ineligible workers.
Hiring/Training
Background Screening: Update background check parameters with your third-party vendor. You must explicitly request screening for Texas Penal Code § 22.012 (Indecent Assault).
Adjudication Logic: Instruct HR to flag "Deferred Adjudication" results. Under this statute, a deferred adjudication is treated legally equivalent to a conviction for licensing purposes.
Intake Forms: Add a mandatory disclosure question: "Have you ever practiced massage therapy at or for a sexually oriented business?"
Reporting & Record-Keeping
Internal Audit: Conduct a retrospective background check on all current employees using the new criteria prior to September 1, 2025.
Duty to Report: Update employee handbooks to require written notification to management within 24 hours of any arrest, charge, or plea deal related to sexual offenses.
Fees & Costs
Administrative Costs: Budget for increased background check fees to cover the expanded scope (auditing existing staff).
No State Fee Changes: The bill does not increase licensure fees payable to the State.
Strategic Ambiguities & Considerations
"Sexually Oriented Business" Verification: The statute mandates revocation for practicing at a sexually oriented business, but relies on definitions that vary by municipality. It is currently unclear how TDLR will verify this history without relying solely on self-reporting or municipal zoning cross-references.
Revocation Trigger: It is undefined whether TDLR will perform a mass database sweep and revoke licenses immediately on September 1, 2025, or if they will identify ineligible licensees only during their next scheduled renewal. Business Logic: Assume immediate revocation and act accordingly.
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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.
The bill author has informed the committee that law enforcement agencies, and specifically the Houston Police Department, have reported instances of individuals convicted of indecent assault, sexual assault, and aggravated sexual assault continuing to practice in the massage industry. While current law provides for license ineligibility for certain offenses under the Penal Code, state law does not explicitly prohibit licensure with regard to indecent assault, sexual assault, or aggravated sexual assault. H.B. 1732 seeks to resolve this issue by including these offenses among the offenses that make a person ineligible to obtain a massage license.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is expressly granted to the Texas Commission of Licensing and Regulation in SECTION 3 of this bill.
ANALYSIS
H.B. 1732 reenacts 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, by conforming to all of the changes made by Chapter 13 (S.B. 483) and to the changes made by Chapter 440 (H.B. 2016) that included sexual assault and aggravated sexual assault among the sexual offenses that make a person ineligible for a license as a massage establishment, massage school, massage therapist, or massage therapy instructor if the person has been convicted of, entered a plea of nolo contendere or guilty to, or received deferred adjudication for such an offense. The bill amends the Occupations Code to include indecent assault among those offenses. The bill also includes sexual assault, indecent assault, and aggravated sexual assault among the offenses that constitute grounds for mandatory revocation of a license as a massage therapist or massage therapy instructor if the license holder is convicted of, enters a plea of nolo contendere or guilty to, or receives deferred adjudication for such an offense. The bill requires the Texas Commission of Licensing and Regulation to adopt rules necessary to implement the bill's provisions.
HB1732 mandates a zero-tolerance policy for massage therapy licensure, explicitly adding Indecent Assault (Texas Penal Code § 22. 012) to the list of offenses requiring automatic license denial or revocation. Crucially, this disqualification applies to individuals who received deferred adjudication, not just final convictions, and extends to any therapist found to have practiced at a sexually oriented business.
Q
Who authored HB1732?
HB1732 was authored by Texas Representative Ana Hernandez during the Regular Session.
Q
When was HB1732 signed into law?
HB1732 was signed into law by Governor Greg Abbott on June 20, 2025.
Q
Which agencies enforce HB1732?
HB1732 is enforced by Texas Commission of Licensing and Regulation and Texas Department of Licensing and Regulation.
Q
How urgent is compliance with HB1732?
The compliance urgency for HB1732 is rated as "critical". Businesses and organizations should review the requirements and timeline to ensure timely compliance.
Q
What is the cost impact of HB1732?
The cost impact of HB1732 is estimated as "low". This may vary based on industry and implementation requirements.
Q
What topics does HB1732 address?
HB1732 addresses topics including crimes, crimes--against persons, crimes--against persons--sexual, occupational regulation and occupational regulation--other trades & professions.
Legislative data provided by LegiScanLast updated: November 25, 2025
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