Authority/Reference(s) HRC, Subtitle D, §40.058
Revision Date September 5, 2023


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 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).

Contract staff must complete an RAI annually on all new contracts and enter the RAI scores into SCOR by the dates specified in the fiscal year’s Client Services SMP timeline or Admin. SMP timeline unless excluded below. The RAI must be completed for all RCC contracts upon execution, as referenced by RCC internal procedures.

Contract staff should conduct periodic reviews of contractor's 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 using 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 and may elect to complete an RAI on their respective contract, regardless of expenditure amount or value.

Based on detailed risk management protocols, established controls, and monitoring and oversight activities, the following contracts do not require an annual RAI. The rationale for each service type exclusion is provided in the pdf: RAI NA.

  • Contracts that will end within 60 calendar days after the beginning of the new fiscal year
  • Client Services contracts with a history of fiscal year expenditures under $25,000 or projected expenditures under $25,000
  • 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

Division specific contracts that do not require an RAI include:


  • Adult Specific Residential Care Placements


  • Child Specific Residential Care Placements

CPS Regional

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

State Office

  • Title IV-E (TJJD Foster Care)


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