H.B. No. 2879
AN ACT
relating to requirements for certain amusement rides.                         
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter C, Chapter 2151, Occupations Code, is 
amended by adding Section 2151.107 to read as follows:
	Sec. 2151.107.  EXCEPTION FOR CERTAIN CHALLENGE COURSES 
MEETING INSURANCE REQUIREMENT.  (a)  In this section, "challenge 
course" means a challenge, ropes, team building, or obstacle 
course, which may include logs, tires, platforms, beams, bridges, 
poles, ropes, ladders, nets, climbing walls, rock climbing walls, 
climbing towers, traverses, rock climbing devices, cables, swings, 
or zip lines, that is constructed and used for educational, team and 
confidence building, or physical fitness purposes.
	(b)  A challenge course or any part of a challenge course is 
not considered an amusement ride subject to regulation under this 
chapter if the person who operates the challenge course has a 
combined single limit or split limit insurance policy currently in 
effect written by an insurance company authorized to do business in 
this state or by a surplus lines insurer, as defined by Chapter 981, 
Insurance Code, or has an independently procured policy subject to 
Chapter 101, Insurance Code, insuring the operator against 
liability for injury to persons arising out of the use of the 
challenge course in an amount of at least:
		(1)  for a challenge course with a fixed location:                     
			(A)  $100,000 bodily injury and $50,000 property 
damage per occurrence with a $300,000 annual aggregate; or
			(B)  a $150,000 per occurrence combined single 
limit with a $300,000 annual aggregate; and
		(2)  for a challenge course other than one with a fixed 
location:    
			(A)  $1,000,000 bodily injury and $500,000 
property damage per occurrence; or
			(B)  $1,500,000 per occurrence combined single 
limit.               
	SECTION 2.  Section 2151.101(a), Occupations Code, is 
amended to read as follows:
	(a)  A person may not operate an amusement ride unless the 
person:           
		(1)  has had the amusement ride inspected at least once 
a year by an insurer or a person with whom the insurer has 
contracted;
		(2)  obtains a written certificate from the insurer or 
person with whom the insurer has contracted stating that the 
amusement ride:
			(A)  has been inspected;                                                     
			(B)  meets the standards for insurance coverage; 
and                       
			(C)  is covered by the insurance required by 
Subdivision (3);              
		(3)  has a combined single limit or split limit [an] 
insurance policy currently in effect written by an insurance 
company authorized to do business in this state or by a surplus 
lines insurer, as defined by Chapter 981, Insurance Code, or has an 
independently procured policy subject to Chapter 101, Insurance 
Code, insuring the owner or operator against liability for injury 
to persons arising out of the use of the amusement ride in an amount 
of not less than:
			(A)  for Class A amusement rides:                                     
				(i)  $100,000 bodily injury and $50,000 
property damage per occurrence with a $300,000 annual aggregate; or
				(ii)  a $150,000 per occurrence combined 
single limit with a $300,000 annual aggregate [for Class A 
amusement rides]; and
			(B)  for Class B amusement rides:                                     
				(i)  $1,000,000 bodily injury and $500,000 
property damage per occurrence; or
				(ii)  $1,500,000 per occurrence combined 
single limit [for Class B amusement rides];
		(4)  files with the commissioner, as required by this 
chapter, the inspection certificate and the insurance policy or a 
photocopy of the certificate or policy authorized by the 
commissioner; and
		(5)  files with each sponsor, lessor, landowner, or 
other person responsible for the amusement ride being offered for 
use by the public a photocopy of the inspection certificate and the 
insurance policy required by this subsection.
	SECTION 3.  This Act applies only to an insurance policy, 
certificate, or contract delivered, issued for delivery, or renewed 
on or after January 1, 2006.  A policy, certificate, or contract 
delivered, issued for delivery, or renewed before January 1, 2006, 
is governed by the law as it existed immediately before the 
effective date of this Act, and that law is continued in effect for 
that purpose.
	SECTION 4.  This Act takes effect September 1, 2005.                           
______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      
	I certify that H.B. No. 2879 was passed by the House on May 
10, 2005, by a non-record vote.
                                                  ______________________________
                                                     Chief Clerk of the House   
	I certify that H.B. No. 2879 was passed by the Senate on May 
25, 2005, by the following vote:  Yeas 31, Nays 0.
                                                  ______________________________
                                                     Secretary of the Senate    
APPROVED:  _____________________                                            
 
                   Date                                                      
 
          _____________________                                          
 
                 Governor