S.B. No. 1137 amends the Health and Safety Code by redesignating Chapter 769 as Chapter 767 and updating definitions and regulations concerning group homes. The bill defines a "group home" as an establishment providing lodging and certain services to three or more unrelated residents, while explicitly excluding various facilities such as licensed care facilities, hotels, retirement communities, and child-care facilities from its regulations. Additionally, it establishes requirements for criminal history checks for group home employees, prohibiting the hiring of individuals with certain criminal convictions, and classifies violations of this provision as a Class A misdemeanor.

The bill also introduces new regulations for group home consultants, defining them as individuals who refer potential residents to specific group homes for compensation. It prohibits these consultants from referring individuals to unlicensed or unpermitted group homes unless specific conditions are met, such as the absence of licensed homes in the area or financial constraints faced by the potential resident. Consultants must also inform potential residents of any known complaints against the unlicensed homes. Violating these provisions is classified as a Class B misdemeanor. The act is set to take effect on September 1, 2025.