HBA-MSH C.S.H.B. 2618 77(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 2618
By: Gray
Public Safety
3/29/2001
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

In 2000, there were 96 fatalities, 146 injuries, and $925 million in
property and crop damage in Texas due to severe weather.  There have been
51 major natural disasters declared in Texas between 1972 and 2000, more
than any other state.  Declared disasters are eligible for federal
assistance.  However, many other disasters occur in Texas that do not
qualify for federal aid, and the costs of these disasters are borne by
local governments and individuals.  In many of these undeclared disasters,
the governor does not have the authority to make grants to local government
and individuals.  C.S.H.B. 2618 expands the governor's authority to make
grants to local governments and individuals during a disaster and creates
the disaster management fund. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

C.S.H.B. 2618 amends the Government Code relating to provisions in the
Texas Disaster Act of 1975. The bill authorizes the governor to request
federal assistance to save lives, protect property, preserve the public
health and safety, lessen or avert the threat of a catastrophe, supplement
the efforts of available resources of the state, the affected local
government, and organized volunteer groups, and to provide compensation for
uninsured disaster-related losses for situations that the governor
determines are beyond the capabilities of the state and the affected
political subdivision.  The bill removes provisions relating to the
authority of the governor to determine the amount needed by a local
government to restore its governmental functions before applying to the
federal government for assistance and authorizing the governor to recommend
to the federal government cancellation of all or part of repayment under
certain conditions (Sec. 418.021).  The bill authorizes the governor to
make grants to meet disaster-related necessary expenses or other serious
needs of individuals or households adversely affected by a disaster that is
not declared by the president of the United States or a disaster that is
declared by the president of the United States but in which individual or
household assistance is not granted (undeclared disaster) and in which the
governor determines that disaster relief will not be sufficient to address
serious needs of the victims of the disaster.  The bill limits such grants
to financial assistance for housing repairs, repair or replacement of
personal property, transportation expenses, and funeral, dental, medical,
and other analogous expenses considered necessary to meet a serious need
(Sec. 418.022). 

In an undeclared disaster in which the governor determines that disaster
relief will not be sufficient to address the mental health needs of the
affected population, the bill authorizes the governor to provide funds to
the Texas Department of Mental Health and Mental Retardation in order to
provide short-term crisis counseling services (Sec. 418.023).  In an
undeclared disaster, the bill authorizes the governor to provide funds to a
political subdivision for expenses incurred in the repair or replacement of
a damaged highway or street or water control structure if no other means of
financial assistance is available (Sec. 418.0231).  In an undeclared
disaster or a disaster that is declared but in which hazard mitigation
assistance is not granted, the bill authorizes the governor to provide
funds for the cost of hazard mitigation measures and for  the costs
associated with pre-disaster mitigation projects that are determined by the
governor to be costeffective, and substantially reduce the risk of future
damage, loss, or suffering in an area affected by the disaster.   The bill
specifies that the total amount of funds provided for these purposes may
not exceed 20 percent of the estimated aggregate amount of grants made by
the governor in disaster situations (Sec. 418.0232). 

The bill abolishes the disaster contingency fund and creates the disaster
management fund (fund) (Sec. 418.073 and SECTION 9).  The bill provides
that the fund is a trust fund established in and required to be
administered by the Texas Treasury Safekeeping Trust Company.  The bill
authorizes the governor to make funds available from the fund to provide
money for emergency management and disaster relief programs where the costs
exceed the funds regularly appropriated to state and local agencies (Sec.
418.073).  The bill sets forth limits on the use of the fund for
administrative expenses, emergency management training costs, and the
implementation of statewide notification systems or services.  The bill
also authorizes the governor to use money in the fund for expenses incurred
in implementation of mutual aid assistance, disaster assistance to
individuals and households, competitive grants for emergency preparedness
and recovery projects conducted by volunteer groups, nonprofit
organizations, and local political subdivisions.  The bill authorizes the
governor to use money in the fund for at least one-half of eligible project
costs for disaster-related mental health counseling, repair or replacement
of streets and water control structures, and hazard mitigation. The bill
authorizes the governor to use money in the fund for at least one-half of a
local political subdivision's share of expenses incurred on public
assistance projects eligible for federal assistance if the county has been
declared a disaster area by the president of the United States (Sec.
418.0731). 

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001. 

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 2618 differs from the original by replacing references to
"individuals and families" with "households and individuals."  The
substitute removes the $5,000 limit on grants made to individuals and
families to meet disaster-related necessary expenses or other serious needs
(Sec. 418.022).  The substitute authorizes the governor to provide funds to
the Texas Department of Mental Health and Mental Retardation in order to
provide short-term crisis counseling services in an undeclared disaster in
which the governor determines that disaster relief will not be sufficient
to address the mental health needs of the affected population.  In the
original bill, the governor was authorized to provide funds to a political
subdivision to pay for removal of debris (Sec 418.023).  The substitute
removes provisions that limited funds provided by the governor for  hazard
mitigation measures to 50 percent of the cost.  The substitute authorizes
the governor to provide funds for pre-disaster mitigation projects (Sec
418.0232). 

The substitute authorizes the governor to use money in the disaster
management fund (fund) for grants made to individuals and households to
meet disaster-related necessary expenses or other serious needs,
competitive grants for emergency preparedness and recovery projects
conducted by volunteer groups, nonprofit organizations, and local political
subdivisions.   The substitute authorizes the governor to use money in the
fund for at least one-half of the costs of disaster-related mental health
counseling, repair or replacement of streets and water control structures,
and hazard mitigation and, if the county has been declared a disaster area,
for at least one-half of a local political subdivision's share of expenses
incurred on public assistance projects eligible for federal assistance
(Sec. 418.0731).