By Cook H.B. No. 3667
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to assistance to certain volunteer fire departments and to
1-3 the imposition of a tax to finance that assistance.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Chapter 614, Government Code, is amended by
1-6 adding Subchapter F to read as follows:
1-7 SUBCHAPTER F. RURAL VOLUNTEER FIRE DEPARTMENT INSURANCE PROGRAM
1-8 Sec. 614.071. DEFINITIONS. In this subchapter:
1-9 (1) "Director" means the director of the Texas Forest
1-10 Service of The Texas A&M University System.
1-11 (2) "Fund" means the Rural Volunteer Fire Department
1-12 Insurance Fund.
1-13 (3) "Program" means the Rural Volunteer Fire
1-14 Department Insurance Program.
1-15 (4) "Service" means the Texas Forest Service of Texas
1-16 A&M University System.
1-17 (5) "Part-paid fire department" means a fire
1-18 department operated by its members, some of whom are volunteers and
1-19 not more than 20 of whom are paid.
1-20 (6) "Volunteer fire department" means a fire
1-21 department operated by its members, including a part-paid fire
1-22 department, that is operated on a not-for-profit basis, including a
1-23 department that is exempt from federal income tax under Section
2-1 501(a), Internal Revenue Code of 1986, by being listed as an exempt
2-2 organization in Section 501(c)(3) of that code and participates in
2-3 the firefighter certification program under Subchapter D, Sec.
2-4 419.071 of the Government Code or the certification program
2-5 administered by the State Firemen's and Fire Marshals' Association
2-6 of Texas.
2-7 Sec. 614.072. ADMINISTRATION OF PROGRAM. (a) The Texas
2-8 Forest Service shall administer the program established under this
2-9 subchapter, and the director may adopt rules necessary to assist
2-10 rural volunteer fire departments in paying for worker's
2-11 compensation and accidental death and disability insurance.
2-12 (b) The service may employ staff to administer the program.
2-13 (c) The director shall, in consultation with the advisory
2-14 committee appointed under Section 614.073:
2-15 (1) Determine reasonable criteria and qualifications
2-16 for the distribution of money from the rural volunteer fire
2-17 department insurance fund; and
2-18 (2) Establish a procedure for reporting and processing
2-19 requests for money from the fund.
2-20 (d) The criteria and qualifications for the distribution of
2-21 money from the fund determined by the director under Subsection (c)
2-22 may not include a prohibition on a volunteer fire department
2-23 receiving funds from a political subdivision.
2-24 (e) The director shall prepare an annual written report on
2-25 the activity, status, and effectiveness of the fund and shall
2-26 submit the report to the lieutenant governor, the speaker of the
3-1 house of representatives, and the comptroller before September 1 of
3-2 each year.
3-3 (f) Any assistance or benefits provided under this
3-4 subchapter to a volunteer fire department or a firefighter who is a
3-5 member of a volunteer fire department may not be considered
3-6 compensation, and a firefighter receiving assistance under this
3-7 subchapter may not be considered to be in the paid service of any
3-8 governing body.
3-9 (g) Administration costs associated with the program during
3-10 a state fiscal year may not exceed seven percent of the total
3-11 revenue collected from the tax imposed under Chapter 161, Tax Code,
3-12 during the previous year.
3-13 Sec. 614.073. ADVISORY COMMITTEE. (a) The director shall
3-14 appoint an advisory committee to advise the director in regard to
3-15 the administration of the program.
3-16 (c) The advisory committee consists of five members, two of
3-17 whom must be members of the Texas Rural Fire Advisory Council, two
3-18 of whom must be elected county officials, and one of whom must be
3-19 an elected representative of a municipality with a population of
3-20 10,000 or less. The director must appoint the members as follows:
3-21 (1) one member from the north region of the state;
3-22 (2) one member from the south region of the state;
3-23 (3) one member from the east region of the state;
3-24 (4) one member from the west region of the state;
3-25 (5) one member from the central region of the state.
3-26 Sec. 614.074. REQUESTS FOR ASSISTANCE. (a) A request for
4-1 assistance from the fund shall be submitted to the director.
4-2 (b) On receiving a request for assistance, the director
4-3 shall determine whether to provide assistance and the amount of the
4-4 assistance to be provided, if any, based on the criteria developed
4-5 in consultation with the advisory committee under Section 614.072.
4-6 A written copy of the decision shall be sent to the requestor and
4-7 each member of the advisory committee.
4-8 Sec. 614.075. FUND. (a) The rural volunteer fire
4-9 department insurance fund is an account in the general revenue fund
4-10 and is composed of money collected under Chapter 161, Tax Code, and
4-11 contributions to the fund from any other source.
4-12 (b) Money in the fund may be used only for a purpose under
4-13 this subchapter.
4-14 SECTION 2. Subtitle E, Title 2, Tax Code, is amended by
4-15 adding Chapter 161 to read as follows:
4-16 CHAPTER 161. FIREWORKS TAX
4-17 Sec. 161.001. DEFINITION. In this chapter, "fireworks"
4-18 means any composition or device that is designed to produce a
4-19 visible or audible effect by combustion, explosion, deflagration,
4-20 or detonation that is classified as Division 1.4G explosives by the
4-21 United States Department of Transportation in 49 C.F.R. Part 173 as
4-22 of September 1, 2001.
4-23 Sec. 161.002. FIREWORKS SALES TAX. (a) A tax is imposed on
4-24 each sale at retail of fireworks.
4-25 (b) The tax rate is two percent of the sale price of the
4-26 fireworks.
5-1 (c) The tax imposed under this chapter is in addition to the
5-2 tax imposed under Chapter 151. The tax imposed by this chapter
5-3 does not apply to a sale unless the tax imposed under Chapter 151
5-4 applies to the sale.
5-5 Sec. 161.003. APPLICATION OF OTHER PROVISIONS OF CODE. (a)
5-6 Except as provided differently by this chapter:
5-7 (1) the tax imposed by this chapter is administered,
5-8 imposed, collected, and enforced in the same manner as the tax
5-9 under Chapter 151 is administered, imposed, collected, and
5-10 enforced; and
5-11 (2) the provisions of Chapter 151 that are applicable
5-12 to the sales tax imposed under Subchapter C, Chapter 151, apply to
5-13 the tax imposed by this chapter.
5-14 (b) A change in the law relating to the taxation of the sale
5-15 of fireworks under Chapter 151 also applies to the tax imposed by
5-16 this chapter.
5-17 Sec. 161.004. ALLOCATION OF TAX. The comptroller shall
5-18 allocate the revenue from taxes imposed by this chapter, other than
5-19 penalties and interest, to the rural volunteer fire department
5-20 insurance fund established by Section 614.075, Government Code.
5-21 SECTION 3. The director of the Texas Forest Service may not
5-22 grant a request for assistance under Subchapter F, Chapter 614,
5-23 Government Code, as added by this Act, before September 1, 2002.
5-24 SECTION 4. This Act takes effect July 1, 2001, if it
5-25 receives a vote of two-thirds of all the members elected to each
5-26 house, as provided by Section 39, Article III, Texas Constitution.
6-1 If this Act does not receive the vote necessary for effect on that
6-2 date, this Act takes effect October 1, 2001.