1-1 By: Gray, Oliveira, Lewis of Tarrant H.B. No. 99
1-2 (Senate Sponsor - Armbrister)
1-3 (In the Senate - Received from the House May 9, 1997;
1-4 May 13, 1997, read first time and referred to Committee on Finance;
1-5 May 18, 1997, reported favorably, as amended, by the following
1-6 vote: Yeas 11, Nays 0; May 18, 1997, sent to printer.)
1-7 COMMITTEE AMENDMENT NO. 1 By: Lucio
1-8 Amend H.B. 99 as follows:
1-9 (1) In Section 418.073(a), Government Code, as amended by
1-10 SECTION 8 of the bill, (page 3, lines 47 and 48, house engrossment
1-11 printing), strike "dedicated fund in the state treasury." and
1-12 substitute "trust fund established in the Texas Treasury
1-13 Safekeeping Trust Company, and shall be administered by that
1-14 company as provided by Subchapter G, Chapter 404.".
1-15 (2) In Section 1.3531, Public Utility Regulatory Act of 1995
1-16 (Article 1446c-0, Vernon's Texas Civil Statutes), as added by
1-17 SECTION 9 of the bill (page 4, lines 15-21, house engrossment
1-18 printing), strike Subsection (a) and substitute the following:
1-19 (a) In addition to the assessment imposed on each electric public
1-20 utility within the commission's jurisdiction under Section 1.351
1-21 and Title II of this Act, an annual assessment is imposed under
1-22 this section.
1-23 A BILL TO BE ENTITLED
1-24 AN ACT
1-25 relating to the funding and operation of certain emergency
1-26 management and disaster relief programs.
1-27 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-28 SECTION 1. Section 418.004(1), Government Code, is amended
1-29 to read as follows:
1-30 (1) "Disaster" means the occurrence or imminent threat
1-31 of widespread or severe damage, injury, or loss of life or property
1-32 resulting from any natural or man-made cause, including fire,
1-33 flood, earthquake, wind, storm, wave action, oil spill or other
1-34 water contamination, volcanic activity, epidemic, air
1-35 contamination, blight, drought, infestation, explosion, riot,
1-36 terrorist activity, hostile military or paramilitary action, other
1-37 public calamity requiring emergency action, or energy emergency.
1-38 SECTION 2. Section 418.021, Government Code, is amended to
1-39 read as follows:
1-40 Sec. 418.021. FEDERAL AID [FOR LOCAL GOVERNMENT]. [(a)] On
1-41 the governor's determination that a situation is [local government]
1-42 of such severity and magnitude that an effective response is beyond
1-43 the capabilities of the state and the affected political
1-44 subdivision and that federal assistance is necessary [has suffered
1-45 or will suffer a substantial loss of tax and other revenue from a
1-46 major disaster and has demonstrated a need for financial assistance
1-47 to perform its governmental functions], the governor may request
1-48 [apply to the] federal assistance [government on behalf of the
1-49 local government for a loan and may receive and disburse the
1-50 proceeds of an approved loan] to:
1-51 (1) save lives, protect property, and preserve the
1-52 public health and safety;
1-53 (2) lessen or avert the threat of a catastrophe;
1-54 (3) supplement the efforts of available resources of
1-55 the state, the affected local government, and organized volunteer
1-56 groups; and
1-57 (4) provide compensation for uninsured
1-58 disaster-related losses.
1-59 [(b) The governor may determine the amount needed by a local
1-60 government to restore or resume its governmental functions and
1-61 certify that amount to the federal government. The amount sought
1-62 for the local government may not exceed 25 percent of the annual
1-63 operating budget of the local government for the fiscal year in
1-64 which the major disaster occurs.]
2-1 [(c) The governor may recommend to the federal government,
2-2 based on the governor's review, the cancellation of all or part of
2-3 repayment if in the first three full fiscal years following the
2-4 major disaster the revenues of the local government are
2-5 insufficient to meet its operating expenses, including additional
2-6 disaster-related expenses of a municipal operation character.]
2-7 SECTION 3. Section 418.022, Government Code, is amended to
2-8 read as follows:
2-9 Sec. 418.022. AID FOR INDIVIDUALS AND FAMILIES. (a) On the
2-10 governor's determination that financial assistance is essential to
2-11 meet disaster-related necessary expenses or serious needs of
2-12 individuals or families adversely affected by a major disaster that
2-13 cannot be otherwise adequately met from other means of assistance,
2-14 the governor may accept a grant by the federal government to fund
2-15 the financial assistance, subject to the terms and conditions
2-16 imposed on the grant. The governor may agree with the federal
2-17 government or any officer or agency of the United States pledging
2-18 the state to participate in funding not more than 25 percent of the
2-19 financial assistance.
2-20 (b) The governor may make financial grants to meet
2-21 disaster-related necessary expenses or serious needs of individuals
2-22 or families adversely affected by a major disaster that cannot
2-23 otherwise adequately be met from other means of assistance. The
2-24 grants may not exceed an aggregate amount in excess of that
2-25 established by federal statute for an individual or family in any
2-26 single major disaster declared by the president of the United
2-27 States.
2-28 (c) In a disaster that is not declared by the president of
2-29 the United States or a disaster that is declared by the president
2-30 of the United States but in which individual or family assistance
2-31 is not granted and in which the governor determines that disaster
2-32 relief will not be sufficient to address serious needs of the
2-33 victims of the disaster, the governor may make grants to meet
2-34 disaster-related necessary expenses or other serious needs of
2-35 individuals or families adversely affected by the disaster. A
2-36 grant under this subsection is limited to financial assistance for
2-37 housing repairs, repair or replacement of personal property,
2-38 transportation expenses, and funeral, dental, medical, and other
2-39 analogous expenses considered necessary to meet a serious need and
2-40 may not exceed $5,000 per individual or family. The governor may
2-41 reduce or withdraw assistance under this subsection if the grants
2-42 are not used within a period established by the governor.
2-43 (d) The governor may designate in the state emergency
2-44 management plan the Texas Department of Human Services or another
2-45 state agency to carry out the functions of providing financial aid
2-46 to individuals or families qualified for disaster relief. The
2-47 designated agency may employ temporary personnel for those
2-48 functions to be paid from funds appropriated to the agency, from
2-49 federal funds, or from the disaster management [contingency] fund.
2-50 The merit system does not apply to the temporary positions. The
2-51 governor may allocate funds appropriated under this chapter to
2-52 implement the purposes of this chapter.
2-53 SECTION 4. Section 418.023, Government Code, is amended by
2-54 adding Subsection (e) to read as follows:
2-55 (e) In a disaster that is not declared by the president of
2-56 the United States or a disaster that is declared by the president
2-57 of the United States but in which public assistance is not granted,
2-58 the governor may provide funds under Section 418.073 to a political
2-59 subdivision for expenses incurred by the political subdivision in
2-60 the clearance, removal, and disposal of debris.
2-61 SECTION 5. Subchapter B, Chapter 418, Government Code, is
2-62 amended by adding Sections 418.0231 and 418.0232 to read as
2-63 follows:
2-64 Sec. 418.0231. ASSISTANCE FOR REPAIR OR REPLACEMENT OF
2-65 HIGHWAYS OR STREETS; WATER CONTROL STRUCTURES. (a) In a disaster
2-66 that is not declared by the president of the United States or a
2-67 disaster that is declared by the president of the United States but
2-68 in which public assistance is not granted, the governor may provide
2-69 funds under Section 418.073 to a political subdivision for expenses
3-1 incurred by the political subdivision in the repair or replacement
3-2 of a damaged highway or street or water control structure if no
3-3 other means of financial assistance is available.
3-4 (b) The governor may withdraw assistance under this section
3-5 for repair or replacement work that is performed after the first
3-6 anniversary of the date on which the disaster occurred.
3-7 (c) In this section, "highway or street" has the meaning
3-8 assigned by Section 541.302, Transportation Code.
3-9 Sec. 418.0232. HAZARD MITIGATION ASSISTANCE. (a) In a
3-10 disaster that is not declared by the president of the United States
3-11 or a disaster that is declared by the president of the United
3-12 States but in which hazard mitigation assistance is not granted,
3-13 the governor may provide funds under Section 418.073 for an amount
3-14 not to exceed 50 percent of the cost of hazard mitigation measures
3-15 that are determined by the governor to:
3-16 (1) be cost-effective; and
3-17 (2) substantially reduce the risk of future damage,
3-18 loss, or suffering in any area affected by the disaster.
3-19 (b) The total contribution of funds under this section may
3-20 not exceed 20 percent of the estimated aggregate amount of grants
3-21 made under this chapter related to that disaster.
3-22 SECTION 6. Section 418.024, Government Code, is amended to
3-23 read as follows:
3-24 Sec. 418.024. RULES. The governor may adopt rules necessary
3-25 for carrying out the purposes of this chapter, including rules on:
3-26 (1) standards of eligibility for persons and political
3-27 subdivisions applying for assistance [benefits];
3-28 (2) procedures for applying for assistance [benefits];
3-29 (3) procedures for the administration, investigation,
3-30 filing, and approval of applications for assistance [benefits];
3-31 (4) procedures for the formation of local or statewide
3-32 boards to pass on applications for assistance [benefits]; and
3-33 (5) procedures for appeals of decisions relating to
3-34 applications for assistance [benefits].
3-35 SECTION 7. Section 418.045, Government Code, is amended to
3-36 read as follows:
3-37 Sec. 418.045. TEMPORARY PERSONNEL. The division may employ
3-38 or hire on a contract basis temporary personnel from funds
3-39 appropriated to the division, from federal funds, or from the
3-40 disaster management [contingency] fund. The merit system does not
3-41 apply to the temporary positions.
3-42 SECTION 8. Subchapter D, Chapter 418, Government Code, is
3-43 amended by amending Section 418.073 and adding Section 418.0731 to
3-44 read as follows:
3-45 Sec. 418.073. DISASTER MANAGEMENT [CONTINGENCY] FUND. (a)
3-46 The disaster management [contingency] fund is a dedicated fund in
3-47 the state treasury. The fund consists of:
3-48 (1) money collected under Section 1.3531, Public
3-49 Utility Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas
3-50 Civil Statutes); and
3-51 (2) any additional money appropriated to the fund.
3-52 (b) The [If the governor finds that the demands placed on
3-53 funds regularly appropriated to state and local agencies are
3-54 unreasonably great for coping with a particular disaster, the]
3-55 governor, with the concurrence of the disaster emergency funding
3-56 board, may make funds available from the disaster management
3-57 [contingency] fund to provide money for emergency management and
3-58 disaster relief programs the costs of which exceed the funds
3-59 regularly appropriated to state and local agencies. It is the
3-60 intent of the legislature that first recourse for emergency
3-61 management and disaster relief be to the funds regularly
3-62 appropriated to state and local agencies for those purposes.
3-63 Sec. 418.0731. USE OF FUND. (a) Except as provided by
3-64 Subsection (b), money in the disaster management fund may be used
3-65 only for emergency management and disaster relief programs.
3-66 (b) In addition to the uses authorized under Subsection (a),
3-67 the governor may authorize the use of:
3-68 (1) 10 percent of the disaster management fund for
3-69 payment of the administrative expenses of the division;
4-1 (2) 15 percent of the disaster management fund for
4-2 payment of expenses relating to emergency management training as
4-3 prescribed by the division that are incurred by state agencies or
4-4 political subdivisions;
4-5 (3) the disaster management fund for expenses incurred
4-6 in implementation of the mutual aid assistance authorized under
4-7 Section 418.109 and prescribed by the division; and
4-8 (4) four percent of the disaster management fund for
4-9 expenses for implementation of statewide notification systems or
4-10 services.
4-11 SECTION 9. Subtitle J, Title I, Public Utility Regulatory
4-12 Act of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
4-13 amended by adding Section 1.3531 to read as follows:
4-14 Sec. 1.3531. ASSESSMENT FOR DISASTER RELIEF. (a) In
4-15 addition to the assessment imposed on each public utility within
4-16 the commission's jurisdiction under Section 1.351 of this Act, an
4-17 annual assessment is imposed under this section on:
4-18 (1) each public utility serving the ultimate consumer,
4-19 including interexchange telecommunications carriers; and
4-20 (2) each municipally owned electric utility.
4-21 (b) The assessment imposed under this section is equal to
4-22 one-thirtieth of one percent of the gross receipts of the utility
4-23 from rates charged to ultimate consumers in this state. The
4-24 assessment shall be deposited in the disaster management fund
4-25 established under Section 418.073, Government Code.
4-26 (c) Notwithstanding any other provision of this Act,
4-27 including a provision that authorizes or requires a freeze of
4-28 utility rates, the regulatory authority shall provide for the
4-29 adjustment of a public or municipally owned electric utility's
4-30 billings to recover the additional assessment imposed under this
4-31 section and any additional taxes and fees resulting from that
4-32 assessment.
4-33 (d) Each public utility and municipally owned electric
4-34 utility shall include the adjustment established under Subsection
4-35 (c) of this section in its rates, but may not separately state the
4-36 additional assessment on consumers' bills.
4-37 (e) Each public utility and municipally owned electric
4-38 utility shall file a tariff with each regulatory authority that has
4-39 original jurisdiction over the rates of that utility. The
4-40 adjustment provision takes effect and becomes part of the utility's
4-41 rates on the date on which that tariff is filed with the
4-42 appropriate regulatory authority.
4-43 (f) Section 1.352 of this Act applies to an assessment made
4-44 under this section.
4-45 (g) The assessment imposed by this section shall not apply
4-46 to any investor-owned electric utility reorganized under a plan of
4-47 reorganization that has been confirmed by a federal bankruptcy
4-48 court if such utility cannot adjust its rates to recover the
4-49 assessment.
4-50 SECTION 10. Section 1.354(a), Public Utility Regulatory Act
4-51 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
4-52 amended to read as follows:
4-53 (a) The comptroller shall collect and pay into:
4-54 (1) the general revenue fund all [All] fees,
4-55 penalties, and interest paid under the provisions of Sections
4-56 1.351, 1.352, and 1.353 of this Act; and
4-57 (2) the disaster management fund established under
4-58 Section 418.073, Government Code, the additional assessment imposed
4-59 under Section 1.3531 of this Act, and all fees, penalties, and
4-60 interest related to that assessment [shall be collected by the
4-61 comptroller of public accounts and paid into the general revenue
4-62 fund].
4-63 SECTION 11. (a) Except as provided by Subsection (c) of
4-64 this section, this Act takes effect September 1, 1997.
4-65 (b) On the effective date of this Act, the disaster
4-66 contingency fund account is abolished, and the comptroller shall
4-67 transfer any unencumbered credit in that account to the disaster
4-68 management fund established under Section 418.073, Government Code,
4-69 as amended by this Act.
5-1 (c) Section 1.3531, Public Utility Regulatory Act of 1995
5-2 (Article 1446c-0, Vernon's Texas Civil Statutes), as added by this
5-3 Act, applies only to an assessment imposed on or after September 1,
5-4 1997. An assessment imposed before September 1, 1997, is governed
5-5 by the law as it existed immediately before the effective date of
5-6 this Act, and that law is continued in effect for that purpose.
5-7 SECTION 12. The importance of this legislation and the
5-8 crowded condition of the calendars in both houses create an
5-9 emergency and an imperative public necessity that the
5-10 constitutional rule requiring bills to be read on three several
5-11 days in each house be suspended, and this rule is hereby suspended.
5-12 * * * * *