By: Hunter H.B. No. 3648
A BILL TO BE ENTITLED
AN ACT
relating to the operation and funding of the Texas Windstorm
Insurance Association; transfer of state revenue to the Catastrophe
Reserve Trust Fund for excess losses caused by natural disasters.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. APPROPRIATIONS FOR EXCESS LOSSES CAUSED BY
NATURAL DISASTERS TO BE TRANSFERRED TO THE CATASTROPHE RESERVE
TRUST FUND. Pursuant to Section 2210.058, Insurance Code, in the
event of an occurrence or series of occurrences of natural
disasters in a catastrophe area that occur after the effective date
of this Act during the state fiscal biennium that began September 1,
2007 and the state fiscal biennium that ends August 31, 2011 that
results in insured losses and operating expenses of the Texas
Windstorm Insurance Association in excess of premium and other
revenue of the association, the excess losses shall be paid from
amounts appropriated out of the economic stabilization fund.
SECTION 2. AMOUNTS TO BE PAID INTO THE CATASTROPHE RESERVE
TRUST FUND; ADDITIONAL LEGISLATIVE BUDGET BOARD APPROVAL. In the
event that the conditions of Section 1 of this Act are established,
there shall be an additional approval by the Legislative Budget
Board, to transfer some or all of the appropriated funds from the
economic stabilization fund into the Catastrophe Reserve Trust
Fund, created in Subchapter J, Chapter 2210, Insurance Code.
SECTION 3. REQUIRED VOTE FOR ECONOMIC STABILIZATION FUND
APPROPRIATIONS. This Act takes effect only if this Act receives a
two-thirds vote of the members present in each house as required by
Section 49-g, Article III, Texas Constitution.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect on the 91st day after the last day of the
legislative session.