By Armbrister S.B. No. 1346
77R4985 KSD-D
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 ASSISTANCE 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 assistance fund.
1-13 (3) "Program" means the Rural Volunteer Fire
1-14 Department Assistance Program.
1-15 (4) "Service" means the Texas Forest Service of The
1-16 Texas A&M University System.
1-17 (5) "Volunteer fire department" means a fire
1-18 department operated by its members on a not-for-profit basis,
1-19 including a department that is exempt from federal income tax under
1-20 Section 501(a), Internal Revenue Code of 1986, by being listed as
1-21 an exempt organization in Section 501(c)(3) of that code.
1-22 Sec. 614.072. ADMINISTRATION OF PROGRAM. (a) The Texas
1-23 Forest Service shall administer the program established under this
1-24 subchapter, and the director may adopt rules necessary to assist
2-1 rural volunteer fire departments in paying for equipment and
2-2 training personnel.
2-3 (b) The service may employ staff to administer the program.
2-4 (c) The director shall, in consultation with the advisory
2-5 committee appointed under Section 614.073:
2-6 (1) determine reasonable criteria and qualifications
2-7 for the distribution of money from the rural volunteer fire
2-8 department assistance fund; and
2-9 (2) establish a procedure for reporting and processing
2-10 requests for money from the fund.
2-11 (d) The criteria and qualifications for the distribution of
2-12 money from the fund determined by the director under Subsection (c)
2-13 may not include a prohibition on a volunteer fire department
2-14 receiving funds from a political subdivision.
2-15 (e) The director shall prepare an annual written report on
2-16 the activity, status, and effectiveness of the fund and shall
2-17 submit the report to the lieutenant governor, the speaker of the
2-18 house of representatives, and the comptroller before September 1 of
2-19 each year.
2-20 (f) Any assistance or benefits provided under this
2-21 subchapter to a volunteer fire department or a firefighter who is a
2-22 member of a volunteer fire department may not be considered
2-23 compensation, and a firefighter receiving assistance under this
2-24 subchapter may not be considered to be in the paid service of any
2-25 governing body.
2-26 (g) Administration costs associated with the program during
2-27 a state fiscal year may not exceed seven percent of the total
3-1 revenue collected from the tax imposed under Chapter 161, Tax Code,
3-2 during the previous fiscal year.
3-3 Sec. 614.073. ADVISORY COMMITTEE. (a) The director shall
3-4 appoint an advisory committee to advise the director in regard to
3-5 the administration of the program.
3-6 (b) The advisory committee consists of five members, two of
3-7 whom must be members of the Texas Rural Fire Advisory Council, two
3-8 of whom must be elected county officials, and one of whom must be
3-9 an elected representative of a municipality with a population of
3-10 10,000 or less. The director must appoint the members as follows:
3-11 (1) one member from the north region of the state;
3-12 (2) one member from the south region of the state;
3-13 (3) one member from the east region of the state;
3-14 (4) one member from the west region of the state; and
3-15 (5) one member from the central region of the state.
3-16 Sec. 614.074. REQUESTS FOR ASSISTANCE. (a) A request for
3-17 assistance from the fund shall be submitted to the director.
3-18 (b) On receiving a request for assistance, the director
3-19 shall determine whether to provide assistance and the amount of the
3-20 assistance to be provided, if any, based on the criteria developed
3-21 in consultation with the advisory committee under Section 614.072.
3-22 A written copy of the decision shall be sent to the requestor and
3-23 each member of the advisory committee.
3-24 Sec. 614.075. FUND. (a) The rural volunteer fire
3-25 department assistance fund is an account in the general revenue
3-26 fund and is composed of money collected under Chapter 161, Tax
3-27 Code, and contributions to the fund from any other source.
4-1 (b) Money in the fund may be used only for a purpose under
4-2 this subchapter.
4-3 SECTION 2. Subtitle E, Title 2, Tax Code, is amended by
4-4 adding Chapter 161 to read as follows:
4-5 CHAPTER 161. FIREWORKS TAX
4-6 Sec. 161.001. DEFINITION. In this chapter, "fireworks"
4-7 means any composition or device that is designed to produce a
4-8 visible or audible effect by combustion, explosion, deflagration,
4-9 or detonation that is classified as Division 1.4G explosives by the
4-10 United States Department of Transportation in 49 C.F.R. Part 173 as
4-11 of September 1, 2001.
4-12 Sec. 161.002. FIREWORKS SALES TAX. (a) A tax is imposed on
4-13 each sale at retail of fireworks.
4-14 (b) The tax rate is two percent of the sale price of the
4-15 fireworks.
4-16 (c) The tax imposed under this chapter is in addition to the
4-17 tax imposed under Chapter 151. The tax imposed by this chapter
4-18 does not apply to a sale unless the tax imposed under Chapter 151
4-19 applies to the sale.
4-20 Sec. 161.003. APPLICATION OF OTHER PROVISIONS OF CODE. (a)
4-21 Except as provided differently by this chapter:
4-22 (1) the tax imposed by this chapter is administered,
4-23 imposed, collected, and enforced in the same manner as the tax
4-24 under Chapter 151 is administered, imposed, collected, and
4-25 enforced; and
4-26 (2) the provisions of Chapter 151 that are applicable
4-27 to the sales tax imposed under Subchapter C, Chapter 151, apply to
5-1 the tax imposed by this chapter.
5-2 (b) A change in the law relating to the taxation of the sale
5-3 of fireworks under Chapter 151 also applies to the tax imposed by
5-4 this chapter.
5-5 Sec. 161.004. ALLOCATION OF TAX. The comptroller shall
5-6 allocate the revenue from taxes imposed by this chapter, other than
5-7 penalties and interest, to the rural volunteer fire department
5-8 assistance fund established by Section 614.075, Government Code.
5-9 SECTION 3. The director of the Texas Forest Service may not
5-10 grant a request for assistance under Subchapter F, Chapter 614,
5-11 Government Code, as added by this Act, before September 1, 2002.
5-12 SECTION 4. This Act takes effect July 1, 2001, if it
5-13 receives a vote of two-thirds of all the members elected to each
5-14 house, as provided by Section 39, Article III, Texas Constitution.
5-15 If this Act does not receive the vote necessary for effect on that
5-16 date, this Act takes effect October 1, 2001.