Relating to the regulation of child-care facilities that maintain a certificate to operate issued by the United States Department of Defense.
LowStandard timeline
Low Cost
Effective:2025-06-20
Enforcing Agencies
Department of Family and Protective Services (DFPS)
01
Compliance Analysis
Key implementation requirements and action items for compliance with this legislation
Implementation Timeline
Effective Date:June 20, 2025 (Immediate effect due to supermajority vote).
Compliance Deadline:June 20, 2025 (You must cease state reporting and operate solely under federal standards as of this date).
Agency Rulemaking: No rulemaking is required to trigger the exemption. However, HHSC may issue internal guidance on administratively closing these licensing files.
Immediate Action Plan
Contact Insurance Broker: Secure written endorsement confirming coverage persists without a state license.
Notify HHSC: Submit formal notification to close your state licensing file effective June 20, 2025.
Contact TWC Contract Manager: If you accept state subsidies, verify payment protocols for "exempt" providers immediately to avoid revenue interruption.
Update Signage: Remove state licensing notices from your lobby and replace them with DoD certification displays.
Operational Changes Required
Contracts
Insurance Policies:CRITICAL. Review liability policies immediately. Many contain warranties requiring a "valid state license." You must obtain a rider acknowledging the DoD Certificate to Operate as the standard for coverage to prevent a lapse.
Vendor Agreements: Amend contracts with third-party vendors (food service, janitorial) to reference "DoD Standards" rather than "Texas Minimum Standards."
Parent Agreements: Update parent handbooks to explicitly state the facility is exempt from state licensing under HB4529 and regulated solely by the DoD.
Hiring/Training
Background Checks: If you previously utilized the Texas Central Registry for employee vetting via your state license number, you must transition immediately to federal/DoD background check protocols.
Employee Handbooks: Redline internal policies to remove references to state-mandated reporting chains for incidents.
Reporting & Record-Keeping
State Reporting: Cease submission of incident reports to HHSC/DFPS immediately upon the effective date.
File Closure: Do not simply stop communicating. Send formal written notice to your HHSC licensing representative citing HB4529 to administratively close your state license file.
Proof of Status: Maintain the DoD Certificate to Operate on-site as your primary jurisdictional document.
Fees & Costs
License Fees: Cancel any scheduled auto-payments for state licensing renewal fees.
Cost Impact: Operational savings realized through the elimination of state licensing fees and administrative reporting overhead.
Strategic Ambiguities & Considerations
TWC Subsidies: The Texas Workforce Commission (TWC) typically requires a state license number to process child-care subsidy payments. It is currently unclear how TWC will validate and pay facilities that are legally exempt from licensure.
"Other Federal Property": The law exempts facilities on "other federal property." If you operate in a leased federal building that is not a military base but hold a DoD certificate, you are exempt. If you hold a GSA certificate (non-DoD), you likely remain under state jurisdiction.
Need Help Understanding Implementation?
Our government affairs experts can walk you through this bill's specific impact on your operations.
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.
Under current law, family child care providers in Texas that are certified by the military must also be licensed or registered by the state, even when only caring for eligible U.S. Department of Defense (DOD) affiliated children. The bill author has informed the committee that the state can improve access to family child care for military families by recognizing military family child care certification by the DOD, in lieu of state licensing. C.S.H.B. 4529 seeks to remove the necessity of state licensing for certain DOD-certified child care facilities and providers.
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 this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
C.S.H.B. 4529 amends the Human Resources Code to exempt the following from the requirement for a person to be issued a license by the Department of Family and Protective Services (DFPS) to operate a child-care facility or child-placing agency:
·a child-care facility located on a federal military base or other federal property that maintains a certificate to operate issued by the U.S. Department of Defense (DOD); and
·a military family child-care provider that maintains a certificate to operate issued by the DOD.
EFFECTIVE DATE
September 1, 2025.
COMPARISON OF INTRODUCED AND SUBSTITUTE
C.S.H.B. 4529 differs from the introduced in minor or nonsubstantive ways by making a technical correction and conforming to certain bill drafting conventions.
HB4529 immediately deregulates child-care facilities operating on federal military property or holding a U. S. Department of Defense (DoD) certificate, removing them from Texas Health and Human Services Commission (HHSC) jurisdiction.
Q
Who authored HB4529?
HB4529 was authored by Texas Representative Cole Hefner during the Regular Session.
Q
When was HB4529 signed into law?
HB4529 was signed into law by Governor Greg Abbott on June 20, 2025.
Q
Which agencies enforce HB4529?
HB4529 is enforced by Department of Family and Protective Services (DFPS).
Q
How urgent is compliance with HB4529?
The compliance urgency for HB4529 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.
Q
What is the cost impact of HB4529?
The cost impact of HB4529 is estimated as "low". This may vary based on industry and implementation requirements.
Q
What topics does HB4529 address?
HB4529 addresses topics including day care, military & veterans, minors and minors--health & safety.
Legislative data provided by LegiScanLast updated: November 25, 2025
Need Strategic Guidance on This Bill?
Need help with Government Relations, Lobbying, or compliance? JD Key Consulting has the expertise you're looking for.