Regular Session
Government Affairs & Regulatory Compliance Analysis
SB968 consolidates podiatric training credentials by eliminating "Temporary" and "Provisional" licenses, replacing them with a single "Residency License" effective September 1, 2025. Hospitals, podiatric practices, and residency programs must immediately update credentialing protocols, insurance endorsements, and employment contracts to align with this new statutory nomenclature to avoid staffing delays for the incoming cohort.
Sen. Judith Zaffirini·Senate Bill·Regular Session
This legislation has regulatory implications for the following Texas businesses and organizations:
Notable regulatory updates (effective 2025-09-01). Consider how these changes may affect your operations.
Affected business types:
lowMinimal cost impact anticipated.
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Key implementation requirements and action items for compliance with this legislation
Review all Resident Employment Agreements and Offer Letters for the 2025-2026 cohort. You must replace references to "Temporary License" (Sec. 202.259) and "Provisional License" (Sec. 202.260) with "Residency License." Additionally, contact your malpractice carrier to ensure your policy definition of "Insured" explicitly covers the new "Residency License" classification.
Update onboarding checklists immediately. Credentialing staff must be trained to reject legacy "Temporary License" applications for any start dates occurring on or after September 1, 2025. Staff must verify that new hires possess the correct "Residency License" to ensure valid billing and liability coverage.
Segregate your provider rosters into "Legacy Temporary" (issued pre-9/1/25) and "New Residency" categories. The law contains a grandfather clause allowing existing Temporary Licenses to remain valid until expiration, meaning you will manage a mixed fleet of credentials for the next 12-36 months.
No statutory fee increases are mandated by this bill. However, anticipate administrative costs associated with updating legal templates and securing insurance riders.
The statute grants TCLR broad discretion to establish the "maximum period" a Residency License remains valid. If TCLR sets a duration shorter than standard residency program lengths (e.g., 3 years) via rulemaking, it could create mid-program licensure gaps. You must monitor the proposed rules to ensure the validity period aligns with your residency program duration.
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 SB968
SB968 consolidates podiatric training credentials by eliminating "Temporary" and "Provisional" licenses, replacing them with a single "Residency License" effective September 1, 2025. Hospitals, podiatric practices, and residency programs must immediately update credentialing protocols, insurance endorsements, and employment contracts to align with this new statutory nomenclature to avoid staffing delays for the incoming cohort.
SB968 was authored by Texas Senator Judith Zaffirini during the Regular Session.
SB968 was signed into law by Governor Greg Abbott on June 20, 2025.
SB968 is enforced by Texas Commission of Licensing and Regulation (TCLR) and Texas Department of Licensing and Regulation (TDLR).
The regulatory priority for SB968 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of SB968 is estimated as "low". This may vary based on industry and implementation requirements.
SB968 addresses topics including occupational regulation, occupational regulation--health occupations, podiatrists & podiatry and licensing & regulation, texas commission of.
Key dates for SB968: Effective date is 2025-09-01. Rulemaking: Must update 16 TAC Chapter 130 to replace 'Temporary License' with 'Residency License' and establish criteria/validity periods for the renamed license type. (Prior to 2025-09-01 (Operational expectation)). Consult with legal counsel regarding applicability.
SB968 primarily affects healthcare providers and medical facilities. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.
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.
