Relating to the regulation of child-care facilities that maintain a certificate to operate issued by the United States Department of Defense.

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.