Regular Session
Government Affairs & Regulatory Compliance Analysis
HB2789 significantly deregulates licensure for Single Source Continuum Contractors (SSCCs) and lowers liability insurance minimums for child-care facilities, while simultaneously imposing strict new criminal penalties for signage non-compliance at Residential Treatment Centers (RTCs). Most provisions are effective June 20, 2025, but insurance reductions are statutorily delayed until January 1, 2026.
Rep. James Frank·House Bill·Regular Session
This legislation has regulatory implications for the following Texas businesses and organizations:
Notable regulatory updates (effective 2025-06-20). Consider how these changes may affect your operations.
Affected business types:
lowMinimal cost impact anticipated.
JD Key Consulting provides government affairs and regulatory strategy services. We help businesses navigate Texas agencies, understand legislative impacts, and advocate for their interests.
JD Key Consulting provides strategic guidance on Texas regulatory compliance and legislative impact for your business.
Key implementation requirements and action items for compliance with this legislation
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation 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.
This bill's path through the Texas Legislature
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Common questions about HB2789
HB2789 significantly deregulates licensure for Single Source Continuum Contractors (SSCCs) and lowers liability insurance minimums for child-care facilities, while simultaneously imposing strict new criminal penalties for signage non-compliance at Residential Treatment Centers (RTCs). Most provisions are effective June 20, 2025, but insurance reductions are statutorily delayed until January 1, 2026.
HB2789 was authored by Texas Representative James Frank during the Regular Session.
HB2789 was signed into law by Governor Greg Abbott on June 20, 2025.
HB2789 is enforced by Department of Family and Protective Services (DFPS) and Health and Human Services Commission (HHSC).
The regulatory priority for HB2789 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of HB2789 is estimated as "low". This may vary based on industry and implementation requirements.
HB2789 addresses topics including human services, human services--child services, adoption, foster care and family & protective services, department of.
Key dates for HB2789: Effective date is 2025-06-20. Rulemaking: Adopt rules implementing the Act, specifically ensuring Single Source Continuum Contractors (SSCCs) prioritize child safety despite licensure exemption. (2025-12-01); Prescribe design, wording, and placement rules for 'No Trespassing' notices at Residential Treatment Centers. (TBD (Prior to enforcement)). Consult with legal counsel re
HB2789 establishes the following penalties: criminal penalty of Class C Misdemeanor for Failure by a Residential Treatment Center operator to display 'No Trespassing' notices within 30 business days of receiving them from the Commission.. Consult with legal counsel for specific applicability to your situation.
JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.
