Honorable Garnet Coleman, Chair, House Committee on County Affairs
FROM:
John S O'Brien, Director, Legislative Budget Board
IN RE:
HB3588 by Coleman (Relating to the use of a county risk management pool by certain county and district officers instead of the execution of bonds.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend the Local Government Code to authorize a commissioners court to allow a county officer to obtain coverage from a county government risk management pool created under Chapter 119 instead of a bond prior to taking office. The coverage must be in the same amount and meet the same required bond conditions.
The bill would amend the Government Code to authorize a district attorney or a criminal district attorney to obtain coverage from a county government risk management pool created under Chapter 119 instead of a bond prior to taking office. The coverage must be in the same amount and meet the same required bond conditions.
Local Government Impact
There could be costs to a county if a commissioners court opted to join a county government risk management pool. It is assumed that a commissioners court would join a pool only if sufficient funds were available or it would not result in a negative fiscal impact.
Bexar County reported there would be no fiscal impact assuming there would be no change in policy by the commissioners court. However, if the commissioners court authorized the use of a pool there could be costs associated with joining the pool, especially if claim payments exceeded the amount collected; those amounts cannot be estimated at this time.
Tom Green County reported that without knowing what the premiums for coverage would cost under a government risk management pool, but assuming the amounts would not be substantially different than the premiums paid for elected official bonds, the county does not anticipate a fiscal impact.