TABC Rules Chapter 50. Alcohol Awareness and Education

Chapter Repeal Adopted: July 27, 2010; Effective Date: January 1, 2011

CHAPTER 50. ALCOHOLIC BEVERAGE SELLER SERVER TRAINING

SUBCHAPTER A. GENERAL AND ADMINISTRATIVE PROVISIONS

§50.1. Purpose and Authority.

This chapter implements Texas Alcoholic Beverage Code §106.14, which provides the commission with authority to adopt rules establishing requirements for approved seller training programs.

§50.2. Definitions.

Words used in this chapter have their common and ordinary meaning unless they are given a specific meaning in the code or are defined in this section.
   (1)  Applicant--The individual and/or each owner, officer, director, manager or trainer of a legal entity who applies to the commission for a certificate under this chapter.
   (2)  Branch Seller Server School Certificate--A certificate issued by the commission to the holder of a Primary Seller Server School Certificate granting the same authority as the Primary certificate but at a site that is designated on the Branch Certificate and that is different from that designated on the Primary certificate.
   (3)  Break--An interruption in a course of instruction occurring after the lesson introduction and before the lesson summation.
   (4)  Classroom-Based Seller Server School Certificate--A Primary or Branch Seller Server School Certificate issued by the commission under this chapter to a school that:
     (A)  has authority under this chapter to offer instruction and issue seller server certificates; and
     (B)  does not qualify for either an In-House Seller Server School Certificate or an Internet-Based Seller Server School Certificate.
   (5)  Course of Instruction--The mandatory curriculum and the optional curriculum used to teach a seller server certificate course.
   (6)  Incomplete application--An application that fails to include all facts, disclosures, documents, statements, authorizations, signatures and fees required by this chapter or requested by the commission for issuance of a certificate.
   (7)  In-House Seller Server School Certificate--A Primary or Branch Seller Server School Certificate issued by the commission under this chapter to a school sponsored or operated by a retail permittee or licensee and that has authority under this chapter to offer instruction on either a classroom basis or a computer basis and to issue seller server certificates.
   (8)  Internet-Based Seller Server School Certificate--A Primary or Branch Seller Server School Certificate issued by the commission under this chapter to a school offering an interactive course on the internet or intranet that:
     (A)  has authority under this chapter to offer instruction and issue seller server certificates; and
     (B)  does not qualify for either a Classroom-Based Seller Server School Certificate or an In-House Seller Server School Certificate.
   (9)  Mandatory Curriculum--The curriculum provided by the commission that must be used by a certified school teaching a seller server certificate course.
   (10)  Optional Curriculum--Any curriculum not provided by the commission that is used by a school to teach a seller server certificate course.
   (11)  Primary Seller Server School Certificate--A certificate issued by the commission under this chapter granting authority to:
     (A)  offer instruction and maintain records at the school's principal site designated on the primary certificate; and
     (B)  issue seller server certificates.
   (12)  School--The holder of a Primary or Branch Seller Server School Certificate issued by the commission.
   (13)  Seller Server Certificate--A certificate issued to an individual who completes a course of instruction offered by a school and who passes the Commission Standard Competence Test.
   (14)  Seller Server Certificate Course--A class providing instruction in the sale, service, dispensing, delivery and consumption of alcoholic beverages to or by persons in private clubs, minors or intoxicated persons, and that is designed to enable students to pass the Commission Standard Competence Test and receive a seller server certificate.
   (15)  Trainer--An individual who holds a Seller Server Trainer Certificate issued under this chapter.

SUBCHAPTER B. MANDATORY CURRICULUM AND COURSE OF INSTRUCTION

§50.3. Mandatory Course Curriculum.

  (a)  The mandatory curriculum is created by and updated by the commission or under a work-for-hire contract. Each certified school is provided with information and security access to the commission's secure portal when an original certificate or renewal is issued. Schools that are unable to access or download the mandatory curriculum must submit a written request to have the curriculum provided in an alternate format. The commission will not provide paper copies of the mandatory curriculum.
  (b)  The commission claims a copyright in the mandatory curriculum. The mandatory curriculum may not be sold and may not be used in whole or in part without including the commission's claim of copyright.
  (c)  Each certified school is granted access and specific rights of use to the mandatory curriculum and all updates as part of the school licensing fee.
   (1)  The copyright license provides unlimited use of the mandatory curriculum for authorized purposes only.
   (2)  The commission's claim of copyright must be included in all written and visual materials from the mandatory curriculum.
   (3)  Any sale or use of the mandatory curriculum for unauthorized purposes is a violation of this chapter.
  (d)  Upon receiving notice from the commission of a change to the mandatory curriculum, a school has thirty calendar days to implement the change.
  (e)  These topics in the mandatory curriculum must be included in the course of instruction offered by each school.
   (1)  The definition of intoxication.
   (2)  The law pertaining to intoxicated persons.
   (3)  The law pertaining to minors.
   (4)  The law pertaining to proper identification.
   (5)  How to detect intoxication.
   (6)  How to detect minors.
   (7)  How to detect improper identification.
   (8)  How to monitor customer behavior.
   (9)  How to use a chart showing the effects of alcohol based on: the size, type and number of drinks; body weight; the sex of the drinker; and the passage of time.
   (10)  The dangers of alcohol poisoning.
   (11)  Intervention pertaining to intoxication.
   (12)  Intervention pertaining to minors.
   (13)  Sanctions for employee violations.
   (14)  Any other topics identified by the commission as appropriate, giving due consideration to developments in the law, society, and the alcoholic beverage industry.
  (f)  In developing the original mandatory curriculum pursuant to subsection (a) of this section, the commission will conduct work group meetings with members representing a cross-section of interested parties. After receiving input from the work group, the staff of the commission will present its recommended mandatory curriculum to the commissioners at an open meeting. After the original mandatory curriculum is developed, the commission will review it after every session of the legislature to determine if changes are required. If changes to the curriculum are required simply to update it to reflect legislative changes, the commission will make such changes and post notice in the Texas Register and on the commission's website that such changes have been made. If the commission wants to make other changes to the curriculum, it will publish notice of such intent in the Texas Register and on the commission's website.

§50.4. Commission Approval of Classroom-Based Course of Instruction.

  (a)  Each classroom-based school must provide a course of instruction using the content and sequence of topics contained in the mandatory curriculum. Subject to the requirements of subsection (c), the course of instruction may include optional material.
  (b)  All classroom-based training materials and courses of instruction must be submitted to the commission for approval.
   (1)  A classroom-based course of instruction must be paced to provide a minimum of 120 minutes of active instruction and student participation in the mandatory curriculum.
   (2)  The 120 minute requirement excludes time taken for breaks and the administration of the Commission Standard Competence Test.
   (3)  The 120 minute requirement is based on a 6th grade comprehension and reading skills level.
   (4)  The commission must approve a course of instruction before it can be offered by a school.
  (c)  Upon approval by the commission, a classroom-based school may present a course of instruction including optional material in addition to the mandatory curriculum if:
   (1)  a request for approval of the optional material is submitted to the commission, with any alteration of the mandatory curriculum and all optional materials clearly identified;
   (2)  the entire proposed course of instruction is submitted with the request, showing the sequence in which the mandatory curriculum and the optional material will be presented;
   (3)  the optional material will not alter the scope or effectiveness of the mandatory curriculum; and
   (4)  additional time is added to the course of instruction to ensure that 120 minutes are devoted entirely to the mandatory curriculum.
  (d)  A classroom-based school must file a revised course of instruction implementing a change to the mandatory curriculum within 30 days after receiving notice of the change.

§50.5. Commission Approval of Internet-Based Course of Instruction.

  (a)  All internet-based training materials and instruction must be submitted and approved by the Commission prior to use.
   (1)  Printed screenshots meeting the language comprehension levels required by this section and sequenced and presented as a complete course of instruction must be provided to the commission.
   (2)  Access to the school's web address and secured portal must be made available to the commission and the entire course of instruction offered to students must be provided free of charge to the commission.
  (b)  An internet-based course of instruction shall be presented at a 6th grade fluency level of 180 words per minute and must be equivalent to 120 minutes of time.
  (c)  An internet-based school may provide optional instruction in addition to the mandatory curriculum upon approval by the commission if:
   (1)  a request for change is submitted to the commission, with all alterations of the mandatory curriculum and all optional materials clearly identified;
   (2)  the entire proposed course of instruction is submitted with the request, and, if the proposed sequence differs from the mandatory curriculum, a list is included showing where in the proposed sequence each topic in the mandatory curriculum will be presented; and
   (3)  the changes to the sequence and the optional material will not alter the scope or effectiveness of the mandatory curriculum.
  (d)  An internet-based school must file a revised course of instruction implementing a change to the mandatory curriculum within 30 days after receiving notice of the change.

§50.6. Management of Classroom-Based Course of Instruction.

  (a)  No more than 50 students may attend a session.
  (b)  A student who misses more than 10% of the required 120 minutes of class instruction shall not be allowed to take the Commission Standard Competence Test and may not be given a Seller Server Certificate based on his attendance at that session.
  (c)  No alcoholic beverage may be consumed by anyone attending or teaching the session, during the session or during breaks.
  (d)  Unless prior approval is received from the commission upon request by the school, each session must be presented in a continuous block of instruction. Instruction may be interrupted by brief breaks, but they must be limited in number and duration. Time spent in a break or taking the Commission Standard Competence Test shall not be included in the 120-minute mandatory curriculum attendance requirement.
  (e)  A school seeking approval to offer a course of instruction on a unit basis rather than as a continuous block of instruction must define what material will be taught in each unit. The units must be offered in the sequence of the mandatory curriculum.
   (1)  A student must attend all of the units necessary to receive instruction in the 120-minute mandatory curriculum before he is allowed to take the Commission Standard Competence Test.
   (2)  At the conclusion of a unit, the student must answer five questions on the material in that unit. A student may not receive instruction in the next unit if the student:
     (A)  answers more than one question incorrectly; or
  (b)  has not been in attendance for the complete unit.
   (3)  The questions on a unit test may be short answer, multiple choice, or a combination of those methods.
   (4)  If a student incorrectly answers more than one question on a unit test, the student must attend and complete that unit again before being retested.
   (5)  During a unit retest, the student must be asked questions that are different from those he was previously asked.
   (6)  As long as different questions are asked and the student has attended the unit after each failed test, a school may decide how many times the student may be retested on a unit.
  (f)  The Commission Standard Competence Test shall be administered to each student immediately following the conclusion of instruction at the class he attends. No test may be administered at any other place or time.
  (g)  The Commission Standard Competence Test shall be administered on a closed-book basis.
  (h)  A student must correctly answer at least 70% of the questions asked on the Commission Standard Competence Test administered to him to be eligible to receive a seller server certificate.
  (i)  A student who does not correctly answer 70% of the questions asked may be immediately retested once. If the student does not correctly answer 70% of the questions asked on the retest, the student must repeat the course in full.

§50.7. Management of Internet-Based Course of Instruction.

  (a)  An internet-based school must verify a student's identity.
   (1)  To verify the student's identity, the school must ask each student a minimum of ten personal validation questions. Students may have no more than 60 seconds to respond to a personal validation question. If a student answers more than 30% of the validation questions incorrectly, the student must be dropped from the course.
   (2)  In lieu of the validation method required in paragraph (1), a school may use another validation method that has been approved by the commission upon request by that school.
  (b)  A student may be allowed to reenter a course through the use of a username and password, or by other means approved by the commission that are as effective as password verification.
  (c)  An internet-based school may present the course of instruction on a unit basis that is approved by the commission.
   (1)  At the conclusion of a unit, the student must answer five questions on the material in that unit. A student may not proceed to the next unit if the student:
     (A)  answers more than one question incorrectly; or
  (b)  has not viewed all of the multimedia components of a unit.
   (2)  Questions on a unit test must be of a difficulty level that a student cannot correctly answer them without having viewed the material in that unit. The questions on a unit test may be short answer, multiple choice, or a combination of those methods.
   (3)  If a student incorrectly answers more than one question on a unit test, the student must restart and complete that unit again before being retested.
   (4)  During a unit retest, the student must be asked questions that are different from those he was previously asked.
   (5)  As long as different questions are asked and the student has restarted and completed the unit after each failed test, a school may decide how many times the student may be retested on a unit.
  (d)  A student must correctly answer at least 70% of the questions asked on the Commission Standard Competence Test administered to him to be eligible to receive a seller server certificate.
  (e)  A student who does not correctly answer 70% of the questions asked on the Commission Standard Competence Test administered to him may be immediately retested once. If the student does not correctly answer 70% of the questions asked on the retest, the student must repeat the course in full.
  (f)  A student must have adequate access to a help desk to resolve technical issues without delaying the flow of instruction.
  (g)  Questions by a student about the content of the course of instruction must be answered by the holder of a seller server trainer certificate.
  (h)  An internet-based school may not allow any advertisements to appear during the course of instruction. Advertisements that appear on the website when the course of instruction is not being presented must follow established marketing practices.

§50.8. Management of Internet-Based Course of Instruction.

An in-house seller server school shall comply with the provisions of §50.6 or §50.7, as appropriate to the method of instruction used. An in-house seller server school shall not offer a course of instruction, and shall not issue a seller server certificate, to anyone who is not an employee.

SUBCHAPTER C. SELLER SERVER SCHOOL CERTIFICATES AND REQUIREMENTS

§50.9 Issuance and Control by Schools of Seller Server Certificates.

  (a)  Order and payment requirements for schools.
   (1)  All seller server certificate numbers must be ordered and paid for in advance using the order forms and payment methods approved by the commission.
     (A)  Certificate numbers cost $2.00 each.
     (B)  Certificate numbers must be purchased in minimal lots of 60.
     (C)  The commission will provide each certified school with a certificate template that the school can use to print the seller server certificates it issues to students. A school may also hire a commission-approved vendor to print the seller server certificates.
   (2)  As a condition for ordering additional certificate numbers, a school must:
     (A)  have sessions currently scheduled;
     (B)  submit the session schedules to the commission; and
     (C)  account for all previously issued certificate numbers.
   (3)  A certificate order for a session scheduled to occur within five business days from the date of the order must be submitted using expedited mail or delivery service provider. If the certificate numbers cannot be received electronically by the school, the order must also include a preprinted and prepaid return delivery package or label. The certificate numbers will be delivered electronically to the school through the valid e-mail address provided on the school's application, or using the preprinted and prepaid delivery package or label provided with the order.
   (4)  No session may be conducted unless the school:
     (A)  has sufficient certificate numbers available to issue a certificate to each individual attending the session at the time, date and location of the scheduled session;
     (B)  can print and issue a certificate to each individual attending the session at the time, date, and location where the session is conducted; and
     (C)  limits the number of individuals attending a session to the number of certificate numbers available at the location on the date and time the session is conducted.
   (5)  If a school had sufficient certificate numbers to issue to each student in a session, but one or more certificate numbers had to be voided so that a student who should have received a certificate did not receive one on the date of the session, the school must, within five calendar days of the session, submit a written statement to the commission explaining why sufficient certificate numbers were not available and listing the voided certificate numbers.
  (b)  Requirements for classroom-based or in-house schools issuing seller server certificate to students.
   (1)  If a student satisfies the requirements for a certificate, the school must issue the student the certificate on the date the student satisfied those requirements and at the location of that session.
   (2)  If a school fails to comply with the requirements of paragraph (1) of this subsection, the school, at the conclusion of the session where the student satisfied the requirements for a certificate, and on the date and location of that session, must:
     (A)  provide the student with a written receipt showing the name of the school, the name of the instructor, the instructor's certificate number, the amounts paid by the student, and the date, time and location of the session;
     (B)  provide the student written notice containing the commission's internet address and informing the student that he may file a complaint with the commission;
     (C)  notify the commission in writing, or on forms provided by the commission for internet notification, of the information required to be provided to the student in subparagraph (A) of this paragraph; and
     (D)  issue the student a certificate within 10 calendar days from the date of the session where the student satisfied the requirements for a certificate.
  (c)  Requirements for internet-based schools issuing seller server certificate to students.
   (1)  If a student satisfies the requirements for a certificate, the school must electronically issue the student the certificate within 24 hours of the time the student satisfied those requirements.
   (2)  If a school fails to comply with the requirements of paragraph (1) of this subsection, the school, within 24 hours of the conclusion of the session where the student satisfied the requirements for a certificate, must electronically provide the student:
     (A)  a receipt showing the name of the school, the name of the instructor, the instructor's certificate number, the amounts paid by the student, and the date and time of the session;
     (B)  an explanation of why the certificate is not being issued; and
     (C)  the commission's internet address and notice that he may file a complaint with the commission.
   (3)  If a school fails to comply with the requirements of paragraph (1) of this subsection, the school, within 24 hours of the conclusion of the session where the student satisfied the requirements for a certificate, must electronically provide the commission the information provided to the student under paragraph (2) of this subsection.
   (4)  If a school fails to comply with the requirements of paragraph (1) of this subsection, the school must issue the student a certificate within 10 calendar days from the date of the session where the student satisfied the requirements for a certificate.
  (d)  A school that fails to comply with the requirements of subsection (b) or (c) of this section commits a separate violation for each student affected by that failure.
  (e)  The commission may refuse to issue certificates to a school:
   (1)  if the commission has a reasonable basis to believe the certificates have been misused or abused or that inadequate security or control may result in the misuse or abuse of certificates;
   (2)  if the school fails to provide information and records within three business days of a request by the commission; or
   (3)  if the school has failed to create or maintain information and records required by the commission.
  (f)  A school may not transfer a certificate to another school, even if the schools are affiliated branch or primary schools.

§50.10 Requirements for Records, Reports and Notices.

  (a)  A school must electronically notify the commission at least three business days in advance of each scheduled session. The notice must include the date, time and location of the session and whether the session will have continuous instruction or be presented as units. The commission may waive the three-day requirement on request for good cause shown on an individual basis, but in no case may a session be taught without prior notification to the commission.
  (b)  Reports of cancelled classes.
   (1)  A school must electronically notify the commission of the cancellation of a session prior to the scheduled date of the session unless the cancellation cannot reasonably have been anticipated before that date.
   (2)  When a cancellation cannot reasonably have been anticipated prior to the scheduled date of the session, the school must electronically notify the commission of the cancellation not later than the next business day. The notice must provide an explanation of the circumstances justifying the late notice.
  (c)  A school shall maintain the Commission Standard Competence Test in a secure manner and in a secure location at all times. A school must electronically notify the commission of any breach of security involving the test within 24 hours of discovering the breach.
  (d)  Access to commission's portal to file reports and notices.
   (1)  Each certified school is provided with information and security access to the commission's secure portal when an original certificate or renewal is issued. Access to the secure portal may be terminated without notice if a security breach or malicious virus is detected.
   (2)  The commission may require or perform periodic audits to ensure secure portals are used for authorized purposes.
   (3)  A breach of security or misuse of the secure portal will result in immediate termination of access pending investigation.
  (e)  Reports of seller training.
   (1)  For each session taught, a school shall electronically file a report of seller training not later than 14 calendar days after the date the class was held.
   (2)  Each report of seller training shall include all students who successfully completed the session and received a passing grade on the commission standard competence course.
   (3)  Each report of seller training shall contain each student's name, commission-approved personal identification number, date of birth, test score and certificate number.
   (4)  The report of seller training must be personally signed by the certified trainer who actually taught the session.
   (5)  The trainer shall personally verify that on the date indicated each student included in the report satisfactorily completed the session and received a passing grade on the Commission Standard Competence Test.
  (f)  Required records.
   (1)  Each school must maintain, at the school's primary site or at a designated branch site, the reports and notices required in this section.
   (2)  For each student attending a session, the school must maintain the information required by this paragraph.
     (A)  The student's first and last names and middle initial.
     (B)  The student's mailing address.
     (C)  The student's e-mail address, if available.
     (D)  Any information required to assign the student a commission-approved personal identification number.
     (E)  The student's score on the Commission Standard Competence Test.
   (3)  All records, reports and documents required in this section shall be maintained for four years.
   (4)  Records, reports and documents required by this section may be maintained electronically in a methodical and organized manner.
   (5)  All records, reports and documents shall be made available to the commission upon request. Failure to provide the material within five business days of the request is cause for cancellation or suspension of the school's certificate.
   (6)  Failure to submit any record, report or notice to the commission as and when required is cause for cancellation or suspension of the school's certificate.
   (7)  Significant and/or repeated errors in submitting information to the commission are cause for cancellation or suspension of the school's certificate.
   (8)  If a school ceases operation, all records and reports shall be provided to the commission.
   (9)  The commission may monitor sessions unannounced.
   (10)  The commission may conduct audits unannounced.
   (11)  An internet-based school must maintain all contracts it has to receive traffic that has been redirected from another domain.
  (g)  The administrator may develop standard practices relating to the implementation of this chapter. The standard practices will provide guidance to schools and individuals affected by this chapter regarding technical details required to efficiently and effectively implement this chapter. The standard practices will be provided to certified schools and will be posted on the commission's website. The standard practices may not conflict with or alter the provisions of this chapter.

§50.11 Grounds for Refusing to Process Application.

  (a)  The commission may refuse to process an original or renewal application for a school certificate under this chapter, if the applicant or any individual who must submit a personal history sheet with the application:
   (1)  does not meet the minimum qualifications;
   (2)  fails to submit a complete application;
   (3)  fails to pay the required fees;
   (4)  falsifies, misrepresents, or fails to provide or verify a material fact, disclosure or document required by the commission on the application;
   (5)  fails to provide or produce information requested by the commission, and the time for providing the information has passed; or
   (6)  had a final disposition of a felony conviction within five years of the date of application.
  (b)  The commission may refuse to process an original or renewal application for a seller server trainer certificate under this chapter without a hearing, if the applicant:
   (1)  does not meet the minimum qualifications;
   (2)  fails to submit a complete application;
   (3)  fails to pay the required fees;
   (4)  falsifies, misrepresents, or fails to provide or verify a material fact, disclosure or document required by the commission on the application;
   (5)  fails to provide or produce information requested by the commission, and the time for providing the information has passed; or
   (6)  had a final disposition of a felony conviction within five years of the date of application.

§50.12 Suspension or Cancellation of School's Certificate.

  (a)  The commission may suspend or cancel a school's certificate, if the commission finds after notice and opportunity for a hearing that a school or a trainer employed by the school has violated a provision of this chapter.
  (b)  In deciding whether to suspend or cancel a school's certificate, the commission may consider:
   (1)  the seriousness of the violation;
   (2)  the school's history of violations;
   (3)  the effect of the violation on a student or others;
   (4)  the school's attempt to rectify the violation;
   (5)  whether the school has implemented any changes to prevent similar violations; and
   (6)  other factors pertinent to the situation.
  (c)  Before suspending or cancelling a school's certificate, the commission may allow a school an opportunity to correct an alleged violation. The commission may require the school to submit a corrective action plan analyzing how and why the alleged violation occurred, proposing actions designed to prevent similar violations, and describing how restitution will be provided to students or others affected by the violation. If the commission accepts the corrective action plan, the commission may require periodic reports on the plan's implementation and may monitor and/or audit the school to assess compliance with the plan.

§50.13 Grounds for Suspension or Cancellation of School's Certificate.

  (a)  The commission, after notice and hearing, may suspend or cancel a school's certificate if the school, or a trainer employed by or under contract to the school:
   (1)  fails to verify an individual's qualifications to receive a certificate;
   (2)  signs a certificate when the trainer did not personally instruct the student;
   (3)  fails to follow or provide instruction required by the mandatory curriculum;
   (4)  provides fewer than the required number of hours of instruction;
   (5)  issues more than 50 seller server certificates for a single session, unless the school has an internet-based seller server school certificate;
   (6)  issues a seller server certificate or provides instruction on a date when the school's or instructor's certification is expired, suspended or cancelled;
   (7)  fails to administer or require a student to take and/or make a passing score on the Commission Standard Competence Test before issuing a seller server certificate to the student;
   (8)  uses, discloses, or sells personal or financial information obtained from a student or the commission for a purpose or in a manner not authorized by this chapter;
   (9)  falsifies, alters or destroys a record required by the commission, regardless of whether there was intent to deceive the commission or another;
   (10)  violates any section of this chapter or the standard practices of the commission that, in the opinion of the commission, warrants suspension or cancellation;
   (11)  has engaged in an ongoing course of conduct or activities that undermine the purpose and intent of this chapter;
   (12)  fails to control, monitor, and supervise instructors and classroom instruction to prevent a violation of law or the requirements of this chapter;
   (13)  fails to implement control and security measures to protect personal or financial information obtained from a student or the commission from accidental, intentional, or malicious use or disclosure;
   (14)  allows a session to be taught by someone who does not hold current trainer certification;
   (15)  falsifies, makes a material misstatement, or fails to disclose required information on any document or record required by this chapter;
   (16)  counterfeits a certificate issued under this chapter; or
   (17)  violates any provision of this chapter.
  (b)  The commission, after notice and hearing, may suspend or cancel a school's certificate if a trainer employed by or under contract to the school, a responsible person assigned by the school to a session, the owner or governing body of a school, or the administration of a college or university has failed to supervise or exercise control of its employees or facilities, and the failure has resulted in actual harm or increased risk to the health or safety of students or the public.
  (c)  The commission, after notice and hearing, may suspend or cancel a school's certificate if the quality of instruction falls below minimum commission standards as determined by the commission through:
   (1)  direct observation of instruction by commission auditors or agents;
   (2)  consistent failure of the school to impart basic knowledge and understanding to students, as measured by student failures, student violations, or student surveys or reports; or
   (3)  complaints received from any person.
  (d)  The commission, after notice and hearing, may suspend or cancel a school's certificate if the school engages in any of these acts or practices:
   (1)  presenting the course of instruction as its own when it is not;
   (2)  causing confusion or misunderstanding as to the source, sponsorship, approval or certification of the course of instruction or services provided by a school or instructor;
   (3)  causing confusion or misunderstanding as the affiliation, connection or association with, or certification by, the TABC or a school certified by TABC;
   (4)  representing that a school or course of instruction is sponsored, approved, certified or accredited by the commission when it is not;
   (5)  representing that an individual is affiliated with, employed by or represents a school certified by the commission when the individual is not;
   (6)  representing that a course of instruction has been approved by the commission when it has not; or
   (7)  advertising services or other courses of instruction during the time allocated for instruction or completion of a course of instruction approved by the commission.

§50.14 Prohibited Relationships.

  (a)  No licensee or permittee of the commission, or his spouse, agent, servant, or employee, or any subsidiary or affiliate, may directly or indirectly conduct, sponsor, or support a seller training program approved under this chapter except as provided in the Texas Alcoholic Beverage Code, §106.14(c) and (d).
  (b)  A licensee or permittee of the commission may be a member of an advisory board, but not the governing board of a nonprofit agency which sponsors a seller training program.
  (c)  Persons engaged in the manufacturing or wholesaling of alcoholic beverages for national distribution may contribute to the development of a curriculum of seller training being developed for national use; provided, that any such contribution or involvement shall not be directly or indirectly tied to the actual offering of training to employees of any retailer, group of retailers, or the general public. Such involvement by an alcoholic beverage manufacturer shall be in a primarily noncommercial manner consistent with the spirit and intent of the provisions of the Texas Alcoholic Beverage Code and the rules of the commission prohibiting the tied-house and prohibiting the furnishing of things of value to a retailer of alcoholic beverages.
  (d)  No licensee, permittee, or other person engaged in the manufacturing or wholesaling level of the alcoholic beverage industry, or any agent, servant, or employee of any of those, may directly or indirectly conduct or sponsor a seller training program for retail level employees or members of the general public.

§50.15 Application for Primary Classroom-Based Seller Server School Certificate.

  (a)  Applicant and Application. An applicant for an original or renewal primary classroom-based seller server school certificate must complete all sections of the application on forms provided by the commission. The applicant must provide a valid e-mail address and must agree to maintain a currently valid e-mail address on file with the commission at all times.
  (b)  Disclosure of Owners, Officers, Directors, Managers and Instructors.
   (1)  The applicant for an original certificate or change of ownership for a primary classroom-based seller server school must disclose all individuals and legal entities having an ownership interest, and all officers, directors, managers, and instructors.
   (2)  A legal entity must provide its formation and registration documents and must be authorized to transact business in this state.
   (3)  A personal history sheet must be completed and submitted with the application for each individual owner, and each individual shareholder, partner, officer, director, and manager.
   (4)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
   (5)  Additional information may be required by the commission to verify ownership or qualifications of the applicant.
  (c)  The applicant must sign and verify that:
   (1)  the applicant has authority to act on behalf of all owners;
   (2)  the applicant has personally completed or reviewed the application and has personal knowledge of and is responsible for its content;
   (3)  all parts of the application that apply are complete;
   (4)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted;
   (5)  the applicant acknowledges that an application for a certificate is a government document and is subject to verification by the commission; and
   (6)  the applicant acknowledges that providing false or misleading information or omitting a material fact may result in the refusal of the application, cancellation of a school's certificate, or criminal prosecution.
  (d)  Incomplete applications or applications submitted without required fees will not be accepted for processing or returned to the applicant.
  (e)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.
  (f)  The application for a primary classroom-based seller server school certificate must designate:
   (1)  a certified trainer responsible for the oversight, operation, training and compliance at the primary seller server school;
   (2)  an individual responsible for the day-to-day operations and facilities of the primary seller server school;
   (3)  the principal site of the school; and
   (4)  all branch classroom-based seller server school certificates the applicant has or for which application is being made.
  (g)  The holder of a primary classroom-based seller server school certificate must apply for a branch classroom-based seller server school certificate for each site, other than the designated principal site, where records required by this chapter are maintained.

§50.16 Application for Branch Classroom-Based Seller Server School Certificate.

  (a)  A branch classroom-based seller server school certificate is required for each site, other than a principal site designated pursuant to §50.20(f)(3), where records required by this chapter are maintained.
  (b)  An applicant for an original or renewal branch classroom-based seller server school certificate must be an applicant for or hold a current primary classroom-based seller server school certificate.
  (c)  An application for a branch classroom-based seller server school certificate must indicate the primary classroom-based seller server school certificate with which it is associated.
  (d)  An applicant may submit more than one application for a branch seller server school certificate, but each application must be completed and submitted on forms provided by the commission.
  (e)  The owners, shareholders, officers and directors of the primary seller server school and the branch seller server school must be the same.
  (f)  The application for a branch seller server school certificate must designate:
   (1)  a certified trainer responsible for the oversight, operation, training and compliance at the branch seller server school;
   (2)  the individual responsible for the day-to-day operations and facilities of the branch seller server school; and
   (3)  the applicant for or holder of the associated primary classroom-based seller server school certificate.
  (g)  A personal history sheet must be completed and submitted with the application for each certified trainer and responsible individual designated pursuant to subsection
  (f)  A copy of a personal history sheet is acceptable if the original was included as part of the primary school application.
  (h)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
  (i)  Additional information may be required by the commission to verify ownership or qualifications of the applicant.
  (j)  The applicant must sign and verify that:
   (1)  the applicant has personally completed or reviewed the application and is responsible for its content;
   (2)  all parts of the application are completed; and
   (3)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted.
  (k)  Incomplete applications or applications submitted without required fees will neither be accepted for processing nor returned to the applicant.
  (l)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.

§50.17 Application for Primary Internet-Based Seller Server School Certificate.

  (a)  An applicant for an original or renewal primary internet-based seller server school certificate must complete all sections of the application on forms provided by the commission.
  (b)  An applicant for an original certificate or change of ownership for an internet-based seller server school must disclose all individual owners, individuals and legal entities having an ownership interest, and all officers, directors, managers, and instructors.
   (1)  A legal entity must provide its formation and registration documents and must be authorized to transact business in this state.
   (2)  A personal history sheet must be completed and submitted with the application for each individual disclosed on the application.
   (3)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
   (4)  Additional information may be required by the commission to verify ownership or qualifications of the applicant.
  (c)  The applicant must sign and verify that:
   (1)  the applicant has authority to act on behalf of all owners;
   (2)  the applicant has personally completed or reviewed the application and has personal knowledge of and is responsible for its content;
   (3)  all parts of the application that apply are complete;
   (4)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted;
   (5)  the applicant acknowledges that an application for a certificate is a government document and is subject to verification by the commission; and
   (6)  the applicant acknowledges that providing false or misleading information or omitting a material fact may result in the refusal of the application, cancellation of a certificate, or criminal prosecution.
  (d)  Incomplete applications or applications submitted without required fees will neither be accepted for processing nor returned to the applicant.
  (e)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.
  (f)  An applicant for an internet-based seller server school certificate must verify that the security measures implemented and maintained by the school meet state and federal standards for the transmission and protection of personal identification information and financial information of individuals accessing the website.
  (g)  The presentation and course progress platform used by an internet-based seller server school must be reviewed and approved by the commission to ensure:
   (1)  the course of instruction contains all topics required by the mandatory curriculum; and
   (2)  each topic must be completed before the next topic may be accessed.
  (h)  An applicant for a primary internet-based training school certificate must designate a primary domain and must list:
   (1)  all domains the school uses to provide any course of instruction that includes the mandatory curriculum;
   (2)  all domains under common ownership with the school that redirect students to the primary designated domain or to any other domain under common ownership with the designated primary domain; and
   (3)  all domains, whether or not under common ownership, with which the school has a contractual relationship to redirect students to the designated primary domain or to any domain under common ownership.
  (i)  The applicant must agree to update the list required by subsection (h) of this section within 24 hours of a change during the term of the certificate and failure to keep the list current is grounds for cancellation of the primary internet-based training school certificate.
  (j)  A primary internet-based training school must obtain a branch internet-based training school certificate for each domain that is under common ownership with the designated primary domain but that offers a different course of instruction from that offered at the designated primary domain.
  (k)  A primary internet-based training school is not required to obtain a branch internet-based training school certificate for a domain that is under common ownership with the designated primary domain but that either merely redirects students to the designated primary domain or to another domain that is under common ownership with the primary domain.
  (l)  A primary internet-based training school must require that before any domain redirects a student to the designated primary domain or to any domain under common ownership with it, and before charging the student, the redirecting domain must inform the student:
   (1)  that he will be transferred to another site;
   (2)  of the name of the school that will actually provide the course of instruction;
   (3)  of the name of the school that will appear on his certificate upon successful completion of the course;
   (4)  that the school to which he will be redirected will solicit private, personally identifiable information from the student; and
   (5)  that the student may refuse to be transferred without incurring fees.

§50.18 Application for Branch Internet-Based Training School Certificate.

  (a)  A branch internet-based training school certificate is required for each domain that offers a different course of instruction from the course of instruction approved for the designated primary domain.
  (b)  An applicant for an original or renewal branch internet-based training school certificate must be an applicant for or hold a current primary internet-based training school certificate.
  (c)  An applicant for an original or renewal branch internet-based seller server school certificate must be an applicant for or already hold a current primary internet-based seller server school certificate.
  (d)  An application for a branch internet-based seller server school certificate must indicate the primary internet-based seller server school certificate with which it is affiliated.
  (e)  An applicant may submit more than one application for a branch seller server school certificate, but each application must be completed and submitted on forms provided by the commission.
  (f)  A personal history sheet must be completed and submitted with the application for each certified instructor. A copy is acceptable if the original was included as part of the primary school application.
  (g)  An authorization for a criminal history background check is required for each individual required to submit a personal history sheet and who has not previously submitted the authorization.
  (h)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
  (i)  The applicant must sign and verify that:
   (1)  the applicant has personally completed or reviewed the application and is responsible for its content;
   (2)  all parts of the application are completed; and
   (3)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted.
  (j)  Incomplete applications or applications submitted without required fees will neither be accepted for processing nor returned to the applicant.
  (k)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.

§50.19 Application for Primary In-House Seller Server School Certificate.

  (a)  Application. An application for an original or renewal primary in-house seller server school certificate must be completed and submitted on forms provided by the commission.
  (b)  An applicant for a primary in-house seller server school certificate must satisfy the requirements of paragraph (1) or (2) of this subsection.
   (1)  Be the current holder of a retail permit or license issued by the commission and employ a minimum of 150 individuals. The duties of the permit or license holder's employees must include the preparation, sale, service, or delivery of alcoholic beverages to ultimate consumers.
   (2)  Be a hotel management or holding company that owns or operates a minimum of five hotels which employ a minimum of 200 individuals whose duties include preparation, sale, service, or delivery of alcoholic beverages to ultimate consumers. The primary in-house seller server school must be managed and controlled by the hotel management or holding company and not the owned or managed hotels.
  (c)  Disclosure of Owners, Officers, Directors, Managers and Instructors.
   (1)  An applicant whose owners, officers, directors and managers are an exact match to those previously provided to the commission in connection with a license or permit currently held by the applicant is exempt from the requirements of paragraphs (2), (3) and (4) of this subsection. However, the applicant must identify the license or permit application where the information requested in those paragraphs can be found.
   (2)  The applicant for an original certificate or change of ownership for an in-house seller server school must disclose all individual owners, individuals and legal entities having an ownership interest, and all officers, directors, managers, and instructors.
   (3)  A legal entity must provide the formation and registration documents and must be authorized to transact business in this state.
   (4)  A personal history sheet must be completed and submitted with the application for each individual who is an owner or holds an ownership interest in a legal entity, and each partner, officer, director, manager, and trainer if:
     (A)  the applicant has not previously provided a personal history sheet for the individual; or
     (B)  the information previously provided is no longer true and correct.
   (5)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
   (6)  Additional information may be required by the commission to verify ownership or qualifications of an applicant or individual.
  (d)  An applicant for a primary in-house seller server school must designate:
   (1)  a certified trainer responsible for the oversight, operation, training and compliance at the seller server school; and
   (2)  an individual responsible for the day-to-day management and operations at the seller server school.
  (e)  The applicant must sign and verify that:
   (1)  the applicant has authority to act on behalf of all owners;
   (2)  the applicant has personally completed or reviewed the application and has personal knowledge of and is responsible for its content;
   (3)  all parts of the application that apply are complete;
   (4)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted;
   (5)  the applicant acknowledges that an application for a certificate is a government document and is subject to verification by the commission; and
   (6)  the applicant acknowledges that providing false or misleading information or omitting a material fact may result in the refusal of the application, cancellation of a certificate, or criminal prosecution.
  (f)  Incomplete applications or applications submitted without required fees will neither be accepted for processing nor returned to the applicant.
  (g)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.

§50.20 Application for Branch In-House Seller Server School Certificate.

  (a)  An applicant for an original in-house branch seller server school certificate must be an applicant for or currently hold a primary in-house seller server school certificate.
  (b)  An applicant for a branch in-house seller server school certificate renewal or change of ownership must hold a current primary in-house seller server school certificate.
  (c)  An applicant may submit one or more applications for a branch in-house seller server school certificate, but each application must be separately completed and submitted on forms provided by the commission.
  (d)  The owners, shareholders, officers and directors of the primary in-house seller server school and the branch in-house seller server school must be the same.
  (e)  The application for a branch in-house seller server school certificate must designate:
   (1)  a certified trainer responsible for the oversight, operation, training and compliance at the branch seller server school; and
   (2)  an individual responsible for the day-to-day operations and management of the branch in-house seller server school.
  (f)  A personal history sheet must be completed and submitted with the application for each trainer and responsible individual, if the individual has not previously provided a personal history sheet with the original or renewal application for the primary in-house seller server school.
  (g)  An individual required to submit a personal history sheet must at the same time submit an authorization for a criminal history background check.
  (h)  Additional information may be required by the commission to verify ownership or qualifications of an applicant or individual.
  (i)  The applicant must sign and verify that:
   (1)  the applicant has authority to act on behalf of all owners;
   (2)  the applicant has personally completed or reviewed the application and has personal knowledge of and is responsible for its content;
   (3)  all parts of the application that apply are complete;
   (4)  each fact, disclosure, and statement made in the application is true and correct at the time the application is submitted;
   (5)  the applicant acknowledges that an application for a certificate is a government document and is subject to verification by the commission; and
   (6)  the applicant acknowledges that providing false or misleading information or omitting a material fact may result in the refusal of the application, cancellation of a certificate, or criminal prosecution.
  (j)  Incomplete applications or applications submitted without required fees will neither be accepted for processing nor returned to the applicant.
  (k)  An applicant must:
   (1)  keep an exact copy of the application submitted to the commission; and
   (2)  complete and correct any deficiencies within ten business days after being notified of the deficiency.

§50.21 Renewal Application.

  (a)  An application for renewal of a certificate issued under this subchapter must be submitted on forms provided by the commission. The applicant must verify that the individual owner, or a designated representative of the owning legal entity, has attended any mandatory training offered or sponsored by the commission, and has completed the commission's liquor law class, during the term of the expiring certificate.
  (b)  Any information that has changed since the original or last renewal application was submitted must be completed and corrected on forms provided for an original application.
  (c)  A renewal application must be submitted before the date the certificate expires.
  (d)  Notwithstanding (c) of this section, the commission may accept a renewal application and the certificate holder may continue to operate for 30 days following the expiration date, if:
   (1)  neither the primary nor any associated branch school is currently under a suspension order; and
   (2)  the required fees and late fee are submitted with the renewal application.
  (e)  A certificate holder who fails to submit a renewal as required by this section or pay the required fees must apply for an original application.
  (f)  A certificate issued under this subchapter may not be renewed if the school has not held at least 20 sessions during the term of the expiring certificate.

§50.22 Expiration and Fees.

  (a)  Primary seller server school certificate.
   (1)  A primary certificate will expire on the second anniversary of the date it is issued.
   (2)  The two-year fee for an original primary certificate is $1000.
   (3)  The two-year fee for a renewal primary certificate is $500.
   (4)  A late fee of $100 must be submitted with a renewal submitted after the date the certificate expired.
   (5)  No fees will be refunded after a certificate is issued.
   (6)  Fees cannot be prorated for a term of less than two years.
  (b)  Branch seller server school certificate.
   (1)  A branch certificate will expire on the date the primary certificate expires.
   (2)  The two-year fee for each original classroom based or in-house branch certificate is $200, and for each internet-based branch certificate is $50.
   (3)  The two-year fee for each renewal classroom based or in-house branch certificate is $100, and for each internet-based branch certificate is $25.
   (4)  Fees for branch certificates that will expire in less than two years as a result of the primary certificate's expiration are not prorated.
  (c)  No certificate will be issued until all fees and late fees are paid. A fee is paid on the date funds are available and transferred from the applicant's account.
  (d)  The filing fee for a change of ownership is $100.

§50.23 Change of Ownership or Location.

  (a)  A change of ownership is any agreement to transfer ownership or control of a school. A change of control is presumed if:
   (1)  more than 50% of an individual owner's interest is sold or transferred;
   (2)  more than 50% of a legal entity's interest is sold or transferred; or
   (3)  there is a change in directors, officers, shareholders, or other governing body that results in significant changes in operations, management or key instructors.
  (b)  A certificate issued under this subchapter may not be sold or transferred to an individual or legal entity not currently listed on the application.
  (c)  Individuals and legal entities currently listed on a certificate application may purchase, sell, or transfer ownership or an interest in the certificate, but only to another listed owner.
  (d)  A sale or transfer of an ownership interest in a school that does not result in a change of control under subsection (a) of this section does not require an original application. The sale or transfer is effective upon submission of :
   (1)  a change of ownership form;
   (2)  documents providing evidence of the sale or transfer; and
   (3)  payment of the required fee.
  (e)  A sale or transfer that results in a change of ownership in a primary seller server school as described in subsection (a) requires submission of an original application.
  (f)  The sale or transfer of an ownership interest in a branch school certificate to an individual or legal entity not currently the primary school permit holder requires the purchaser to submit an original application for a primary school certificate.

§50.24 Notice of Change of Location.

The holder of a certificate issued under this subchapter must comply with §33.33 of this title.

SUBCHAPTER D. SELLER SERVER TRAINER CERTIFICATE

§50.25 Seller Server Trainer Certificate.

  (a)  Applicant Minimum Qualifications. An applicant for an original or renewal seller server trainer certificate must:
   (1)  submit documentation issued by an agency of the United States, this or another state of the United States that proves the applicant is a United States citizen or is legally authorized to work in the United States at the time of application;
   (2)  not be disqualified to receive a seller server school certificate under §50.12 of this chapter;
   (3)  be at least 21 years of age;
   (4)  submit a completed application on a commission approved form;
   (5)  pay the fee required for a seller server trainer certificate; and
   (6)  not have had a final disposition of a felony conviction within five years of the date of application.
  (b)  An applicant for an original seller server trainer certificate must submit with the application:
   (1)  a certificate of completion issued by the provider of the commission standard trainer training and signed by the instructor of the training; and
   (2)  documentation establishing that the applicant has at least:
     (A)  2 years experience in teaching or training; or
     (B)  15 hours of post secondary education in a related field.
  (c)  Expiration and Fees.
   (1)  An seller server trainer certificate will expire on the second anniversary of the date it is issued.
   (2)  The two-year fee for an original seller server trainer certificate is $100, and for a renewal is $50.
   (3)  A late fee of $50 must be submitted with a renewal application submitted after the date the certificate expired.
   (4)  No fees will be refunded after a certificate is issued.
   (5)  Fees cannot be prorated for a term of less than two years.
  (d)  The holder of a seller server trainer certificate may renew the certificate if:
   (1)  a renewal application is submitted, on forms provided by the commission, prior to the expiration of the current certificate;
   (2)  the required two-year fee is submitted with the application;
   (3)  the applicant verifies that he attended all mandatory training offered or sponsored by the commission and completed the commission's liquor law course during the two-year term of the expiring certificate; and
   (4)  the applicant has instructed at least 20 sessions during the term of the expiring certificate.
  (e)  Notwithstanding (d)(1) of this section, the commission may accept a renewal application and the seller server trainer certificate holder may continue to operate for 30 days following the expiration date of his certificate, if:
   (1)  the holder of the seller server trainer certificate is not currently under a suspension order; and
   (2)  the required fees and late fees are submitted with the renewal application.

§50.26 Trainer Standards and Requirements.

  (a)  The holder of a seller server trainer certificate is qualified to:
   (1)  apply for a seller server school certificate issued under this chapter; and
   (2)  be employed by a certified seller server school to teach the mandatory curriculum to individuals seeking a seller server certificate.
  (b)  The holder of a seller server trainer certificate must:
   (1)  ensure that no more than 50 students attend a session of a classroom-based course of instruction, unless the course is being offered by an internet-based school;
   (2)  require each student to sign a roster of class attendance before instruction begins;
   (3)  ensure that each student attends each segment of training;
   (4)  instruct on all required topics;
   (5)  administer, monitor, and grade the Commission Standard Competence Test;
   (6)  document the test results;
   (7)  complete, sign, and issue seller server certificates to students who pass the test, on the date and location of the session; and
   (8)  ensure that all students who successfully complete the session and pass the Commission Standard Competence Test are reported to the commission as required by this chapter:
     (A)  by timely delivering all information, documents, and test results to the seller server school for entry in the commission's database; or
     (B)  by entering the information in the commission's database.
   (9)  conduct himself in an ethical, professional, and lawful manner;
   (10)  provide students with the rules of conduct and requirements of the course, and the consequences of breaking rules or failing to meet the requirements;
   (11)  remain in the classroom at all times except during breaks;
   (12)  provide instruction on all topics and subjects included in the mandatory curriculum and maintain a pace that will ensure a high quality of instruction and comprehension by students;
   (13)  make reasonable use of visual aids and demonstrations but not allow these tools to be a substitute for trainer participation;
   (14)  avoid the use of language or conduct that would be offensive to a reasonable person;
   (15)  verify all students' qualifications to receive a certificate, unless the course is being offered by an internet-based school;
   (16)  provide the required number of minutes of instruction;
   (17)  issue no more than 50 seller server certificates for a single session;
   (18)  not issue a seller server certificate or provide instruction on a date when the school's or instructor's certification is expired, suspended or cancelled;
   (19)  require a student to correctly answer 70% of the questions asked on the Commission Standard Competence Test before issuing a seller server certificate to the student;
   (20)  not use, disclose, or sell personal or financial information obtained from a student or the commission for a purpose or in a manner not authorized by this chapter;
   (21)  not falsify, alter or destroy a record required by the commission, regardless of whether there was intent to deceive the commission or another;
   (22)  not violate any section of this chapter or the standard practices of the commission that, in the opinion of the commission, warrant suspension or cancellation;
   (23)  not engage in an ongoing course of conduct or activities that undermine the purpose and intent of this chapter;
   (24)  implement control and security measures to protect personal or financial information obtained from a student or the commission from accidental, intentional, or malicious use or disclosure; or
   (25)  not counterfeit a certificate issued under this chapter.
  (c)  The commission, after notice and hearing, may suspend or cancel a seller server trainer certificate if the quality of instruction falls below minimum commission standards as determined by the commission through:
   (1)  direct observation of instruction by commission auditors or agents;
   (2)  consistent failure of the trainer to impart basic knowledge and understanding to students, as measured by student failures, student violations, or student surveys or reports; or
   (3)  complaints received from any person.

§50.27 Suspension or Cancellation of Seller Server Trainer Certificate.

The commission, after notice and hearing, may suspend or cancel a seller server trainer certificate if the trainer fails to satisfy a requirement of §50.31 of this chapter or violates any provision of this chapter.

SUBCHAPTER E. SELLER SERVER CERTIFICATES

§50.28 General Requirements.

  (a)  An applicant for a seller server certificate must be a United States citizen or be legally authorized to work in the United States at the time of application.
  (b)  An applicant for a seller server certificate attending a classroom-based seller server school must present evidence of compliance with subsection (a) to the trainer or responsible person.
  (c)  An applicant for a seller server certificate enrolled in an internet-based seller server school must:
   (1)  register on the school's website and obtain a user name and password; and
   (2)  enter the secured website and complete the personal identification information and authorization to allow the school or commission to verify compliance with subsection (a).
  (d)  A certificate issued under this section will expire on the second anniversary of the date it is issued.

§50.29 Seller Server Certificate Requirements.

  (a)  To receive a seller server certificate from a seller server school certified under this chapter, a student must:
   (1)  complete either a 120-minute classroom-based course of instruction or an internet-based, self-paced course of instruction;
   (2)  complete all required topics of the commission standard competence curriculum; and
   (3)  pass the Commission Standard Competence Test.
  (b)  It is the student's responsibility to verify whether a school or trainer is certified. The certification status of the school or may be verified at the commission's website.
  (c)  The commission will not refund any fees paid to a seller server school or instructor.

§50.30 Void and Voidable Seller Server Certificates.

  (a)  A seller server certificate is void if:
   (1)  the certificate is a forgery or false document; or
   (2)  the certificate has been altered.
  (b)  A seller server certificate is voidable if:
   (1)  the school records were entered in error, or the certificate was issued in error and the name on the face of the numbered certificate and the commission records for the numbered certificate do not match;
   (2)  the issuing school did not have a current school certificate;
   (3)  the school's certificate was suspended at the time the certificate was issued;
   (4)  the school did not require the individual to participate in a course of instruction that included the commission standard competence curriculum before the certificate was issued; or
   (5)  the school did not require the individual to take and pass the Commission Standard Competence Test.
  (c)  If a seller server certificate is voidable under subsection (b), the school shall:
   (1)  resolve the error;
   (2)  provide remediation for the affected certificate holders; and
   (3)  report corrected information to the commission within ten business days.
  (d)  A school must give notice to each individual holding a void or voidable certificate under this section.
  (e)  If a school ceases to exist, all unused certificates held by the school are voided. No refund will be made for certificates voided under this subsection.

§50.31 Revocation.

  (a)  The commission may revoke a seller server certificate under the conditions set forth in this section.
   (1)  If the holder of a seller server certificate sells or serves an alcoholic beverage to a minor or intoxicated person, the certificate holder must be recertified within 30 days of the violation. Recertification requires completing a course of instruction offered by a certified school and passing the Commission Standard Competence Test. If the certificate holder is not recertified within 30 days of the violation, the commission may revoke the certificate.
   (2)  If the holder of a seller server certificate sells or serves an alcoholic beverage to a minor or intoxicated person a second time within a 12 month period, the commission may revoke the certificate. The certificate holder cannot be recertified for a period of 90 days. Recertification requires completing a course of instruction offered by a certified school and passing the Commission Standard Competence Test.
   (3)  If the holder of a seller server certificate sells or serves an alcoholic beverage to a minor or intoxicated person a third time within a 12 month period, the commission may revoke the certificate. The certificate holder cannot be recertified for a period of one year. Recertification requires completing a course of instruction offered by a certified school and passing the Commission Standard Competence Test.
   (4)  If the holder of a seller server certificate provided false identification to a seller server school or trainer, including, but not limited to, name, social security number, or birth date, the commission may revoke the certificate. The certificate holder cannot be recertified.
   (5)  If the holder of a seller server certificate did not successfully complete a course of instruction offered by a certified school or did not pass the Commission Standard Competence Test, the commission may revoke the certificate.
  (b)  Before the commission may revoke a seller server certificate, the commission must give notice to the holder of the certificate that he has the right to request a hearing, but that he must make such request within 21 days after the receipt of the notice of violation.

New Chapter Adopted: July 27, 2010; Effective Date: January 1, 2011