Authority/Reference(s) HRC, Subtitle D, §40.058
Revision Date December 20, 2019


Assessing risk throughout the contract lifecycle is key to effective risk management, which is a primary function of contract management. DFPS prioritizes contracts for planned monitoring on the Client Services Specialized Monitoring Plan (SMP) based on risk assessed through the Risk Assessment Instruments (RAIs). For the Administrative SMP (Admin. SMP), the RAI helps determine the frequency of monitoring.

RAIs are developed by COS, in collaboration with DFPS Divisions, and the RAI tools are maintained in the Contract Handbook. RAIs are used to identify and predict areas that have the potential for elevated risk to the agency and/or clients receiving services.

Although a completed RAI is contract-specific, contract staff should share information when DFPS has multiple contracts which have the same provider to determine appropriate assessment of risk. SCOR can be utilized to search for multiple contracts that are active in the current fiscal year with the same providers based on their Texas Identification Number (TIN).

Unless excluded, as detailed below, contract staff must complete an RAI annually and enter the RAI scores into SCOR by the dates specified in the fiscal year’s Client Services SMP timeline or Admin. SMP timeline.

Contract staff should conduct periodic reviews of contractors’ risk throughout the fiscal year. When new risks are identified, contract staff may increase monitoring activities or request that a contract be added to the SMP via the Form 9103 Adjustments to the Client Services SMP process.

RAI Applicability

DFPS staff, including contract staff, conduct a variety of activities in an effort to assess, mitigate and manage risk as described in the Risk Management policy. Although an RAI is not required for all contracts, Contract Managers should continue monitoring risks for all contracts.

Based on detailed risk management protocols, established controls, and monitoring and oversight activities, the following do not require an annual RAI (DFP staff see RAI NA document):

  • Contracts that will end within 60 calendar days after the beginning  of the new fiscal year
  • Client Services contracts with expenditures under $25,000 in the previous fiscal year
  • Administrative contracts with a contract value less than $25,000 for the duration of the contract
  • Transactional Purchase Orders (TPOs)
  • Interlocal and Interagency Administrative contracts
  • DFPS Master Contracts
  • Contracts where DFPS is the performing entity

Additionally, division specific contracts that do not require an RAI are as follows:


  • Adult Specific Residential Care Placements
  • Medical Mental Health Assessments


  • Child Specific Residential Care Placements


  • Title IV-E (Child Welfare – financial and non-financial)
  • Title IV-E (Legal)
  • SPD Drug Testing


  • Title IV-E(TJJD Foster Care)
  • Family-Based Safety Services


  • Community Based Care


  • Contracts that are in their first year of a new service
  • Contracts that are in their first year with a new provider