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A BILL TO BE ENTITLED
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AN ACT
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relating to establishment of the temporary certified and insured |
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prescribed burn manager self-insurance pool; authorizing a fee. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle G, Title 10, Insurance Code, is amended |
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by adding Chapter 2155 to read as follows: |
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CHAPTER 2155. TEMPORARY CERTIFIED AND INSURED PRESCRIBED BURN |
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MANAGER SELF-INSURANCE POOL |
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Sec. 2155.001. DEFINITIONS. In this chapter: |
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(1) "CIPBM" means a person who is a certified and |
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insured prescribed burn manager under Section 153.048, Natural |
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Resources Code. |
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(2) "Fund" means the self-insurance fund established |
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under Section 2155.006. |
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(3) "Program" means the CIPBM self-insurance program |
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administered under this chapter. |
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(4) "Service" means the Texas A&M Forest Service. |
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Sec. 2155.002. CIPBM SELF-INSURANCE PROGRAM. (a) The |
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service shall administer a CIPBM self-insurance program that: |
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(1) identifies and evaluates risks arising from |
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prescribed burns conducted under Chapter 153, Natural Resources |
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Code; |
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(2) maintains a loss-prevention and loss-control |
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program to reduce risks arising from prescribed burns; |
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(3) consolidates and administers prescribed burn risk |
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management and self-insurance programs; and |
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(4) provides prescribed burn self-insurance coverage |
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in accordance with Section 2155.003. |
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(b) The service may employ staff to administer the program. |
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(c) The director of the service may adopt rules to implement |
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and administer the program. |
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Sec. 2155.003. SELF-INSURANCE POOL; COVERAGE. (a) The |
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program shall administer a self-insurance pool to provide general |
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liability coverage for CIPBMs who are residents of this state. |
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(b) The coverage must indemnify a participating CIPBM for |
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liability arising from a prescribed burn. The coverage limits |
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provided must be the minimum amounts required for purposes of |
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Section 153.082, Natural Resources Code. |
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(c) The self-insurance pool may not provide coverage for a |
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risk other than prescribed burning conducted by a participating |
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CIPBM. Prohibited coverage includes: |
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(1) workers' compensation; |
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(2) automobile liability; and |
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(3) errors and omissions or professional liability. |
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(d) Self-insurance coverage provided under this section may |
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be funded only from money available from the fund. |
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(e) The director of the service may recommend: |
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(1) requirements for participation in coverage under |
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this section; and |
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(2) equipment and safety standards for the prescribed |
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burns to be covered under this section. |
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Sec. 2155.004. PARTICIPATION IN SELF-INSURANCE POOL. (a) |
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To participate in coverage provided under Section 2155.003, a CIPBM |
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must submit a written request to the program in the form and manner |
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prescribed by the service. |
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(b) The director of the service shall approve the request |
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for participation if the CIPBM to be covered is certified under |
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Section 153.048, Natural Resources Code. |
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Sec. 2155.005. TRAINING REQUIREMENTS. (a) As a condition |
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for continuing participation in coverage provided under Section |
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2155.003, a participating CIPBM shall complete a wildfire |
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suppression course offered or sanctioned by the service that trains |
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the CIPBM on: |
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(1) proper coordination with this state or local fire |
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departments in the event that a prescribed burn escapes its |
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predetermined boundaries; and |
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(2) proper assistance in the suppression of a |
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naturally occurring wildfire. |
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(b) The service shall: |
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(1) develop the course described by Subsection (a) in |
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compliance with the minimum standards for prescribed burn manager |
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certification under Section 153.048, Natural Resources Code; and |
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(2) maintain records of a participating CIPBM's |
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completion of the course. |
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Sec. 2155.006. TEMPORARY CIPBM SELF-INSURANCE FUND. (a) |
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The fund is an account in a depository selected by the board of |
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regents of The Texas A&M University System in the manner provided by |
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Section 51.003, Education Code, for funds subject to the control of |
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institutions of higher education under Section 51.002, Education |
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Code. |
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(b) The fund is composed of: |
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(1) an amount not to exceed $25 million appropriated |
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by the legislature; |
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(2) money collected under Section 2155.008; and |
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(3) interest accruing on money in the fund. |
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(c) Money in the fund may be spent only for: |
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(1) funding self-insurance under the program; or |
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(2) administering this chapter, including paying the |
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salaries and expenses of staff for the program and the fund. |
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Sec. 2155.007. LIMITATION ON STATE'S LIABILITY. The |
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state's liability for all losses covered by self-insurance provided |
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under this chapter is limited to the assets of the fund, and the |
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state is not otherwise liable for those losses. |
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Sec. 2155.008. SELF-INSURANCE FEE; COST-SHARING |
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REQUIREMENTS. (a) The service may assess and collect a reasonable |
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fee from participating CIPBMs to provide self-insurance coverage |
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under this chapter. The service shall also establish reasonable |
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cost-sharing requirements, including appropriate deductibles. |
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(b) In establishing the amount of the fee and the |
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cost-sharing requirements, the service shall consider the amount |
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that could be charged to the CIPBM for similar insurance coverage |
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provided to that CIPBM in accordance with this code and ensure that |
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a deductible is sufficiently high to: |
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(1) deter the use of the self-insurance coverage for |
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minor losses; and |
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(2) ensure the self-insurance coverage is used only |
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for significant losses. |
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(c) The service shall adjust the amount of a premium for the |
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self-insurance coverage under this chapter by using the information |
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collected under Section 2155.009. |
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(d) Money collected under this section shall be deposited to |
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the credit of the fund. |
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Sec. 2155.009. PRESCRIBED BURN DATA COLLECTION. A |
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participating CIPBM shall report in the form and manner prescribed |
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by the service the following information for each prescribed burn |
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the CIPBM conducts: |
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(1) the amount of land burned in acres by county; |
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(2) the date of the burn; and |
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(3) whether the burn resulted in a financial loss or |
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wildfire response. |
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Sec. 2155.010. EXCESSIVE CLAIMS. If the service determines |
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that a participating CIPBM has made excessive claims under |
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self-insurance coverage under this chapter, the service may: |
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(1) terminate the CIPBM's participation in the |
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self-insurance pool under this chapter; or |
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(2) refer the CIPBM to the Prescribed Burning Board |
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for disciplinary action under Section 153.102, Natural Resources |
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Code, as if the CIPBM violated Chapter 153 of that code. |
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Sec. 2155.011. LEGAL REPRESENTATION. (a) The service may |
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employ an attorney to represent a CIPBM in a liability action for |
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which insurance coverage is provided under this chapter. |
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(b) The attorney general may not provide the services |
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described by Subsection (a). |
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Sec. 2155.012. EXPIRATION OF PROGRAM AND CHAPTER. The |
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program and this chapter expire September 1, 2040. On expiration of |
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the program, the remaining balance in the fund that is not needed to |
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pay claims is transferred to the statewide fire contingency account |
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established under Section 88.117, Education Code. |
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SECTION 2. This Act takes effect September 1, 2025. |