1 | 1 | | 85R6149 SCL-D |
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2 | 2 | | By: Lozano H.B. No. 1587 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to the appeal of decisions by the Texas Department of |
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8 | 8 | | Insurance regarding issuance of certain certificates of compliance |
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9 | 9 | | under the Texas Windstorm Insurance Association Act. |
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10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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11 | 11 | | SECTION 1. Section 2210.003, Insurance Code, is amended by |
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12 | 12 | | amending Subdivision (1-a) and adding Subdivision (1-b) to read as |
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13 | 13 | | follows: |
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14 | 14 | | (1-a) "Appeals panel" means the appeals panel |
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15 | 15 | | established under Section 2210.262. |
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16 | 16 | | (1-b) "Association" means the Texas Windstorm |
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17 | 17 | | Insurance Association. |
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18 | 18 | | SECTION 2. Subchapter F, Chapter 2210, Insurance Code, is |
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19 | 19 | | amended by adding Sections 2210.261 through 2210.268 to read as |
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20 | 20 | | follows: |
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21 | 21 | | Sec. 2210.261. REQUEST FOR APPEAL; RESPONSE. (a) A person |
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22 | 22 | | whose request for a certificate of compliance is rejected may |
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23 | 23 | | appeal the decision rejecting the request by filing a written |
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24 | 24 | | request for appeal with the appeals panel established under Section |
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25 | 25 | | 2210.262, and contemporaneously providing a copy of the request for |
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26 | 26 | | appeal to the department. The request for appeal must be made not |
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27 | 27 | | later than the 90th day after the date the department issued a |
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28 | 28 | | decision rejecting the request for certification. |
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29 | 29 | | (b) The department shall file a written response with the |
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30 | 30 | | appeals panel not later than the 15th day after the date on which |
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31 | 31 | | the request for appeal is filed and shall on the same date serve a |
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32 | 32 | | copy of the response on the appellant. |
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33 | 33 | | Sec. 2210.262. APPEALS PANEL: COMPOSITION. (a) The |
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34 | 34 | | appeals panel is composed of seven members appointed by the |
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35 | 35 | | governor. |
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36 | 36 | | (b) Three members must: |
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37 | 37 | | (1) be engineers licensed by, and in good standing |
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38 | 38 | | with, the Texas Board of Professional Engineers; and |
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39 | 39 | | (2) have knowledge of and professional expertise in |
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40 | 40 | | wind-related design and construction practices in coastal areas |
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41 | 41 | | subject to high winds and hurricanes. |
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42 | 42 | | (c) Two members must be public members who, at the time of |
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43 | 43 | | each appointment, reside in different first tier coastal counties. |
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44 | 44 | | (d) One member must be a licensed general property and |
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45 | 45 | | casualty agent who is not a captive agent. |
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46 | 46 | | (e) One member must represent the construction industry and |
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47 | 47 | | have knowledge of and professional expertise in wind-related design |
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48 | 48 | | and construction practices in coastal areas subject to high winds |
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49 | 49 | | and hurricanes. |
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50 | 50 | | (f) All members of the appeals panel must reside or have |
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51 | 51 | | employment in a first tier coastal county. |
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52 | 52 | | (g) Each appointment to the appeals panel must be made |
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53 | 53 | | without regard to the race, color, disability, sex, religion, age, |
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54 | 54 | | or national origin of the appointee. |
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55 | 55 | | Sec. 2210.263. APPEALS PANEL: TERMS; VACANCY. (a) Members |
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56 | 56 | | of the appeals panel serve two-year staggered terms, with terms of |
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57 | 57 | | either three or four members expiring on January 1 of each year. |
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58 | 58 | | (b) The governor shall fill a vacancy on the appeals panel |
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59 | 59 | | in accordance with Section 2210.262. |
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60 | 60 | | Sec. 2210.264. APPEALS PANEL: POWERS AND DUTIES. (a) |
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61 | 61 | | Within a reasonable time after receipt of a request for appeal, the |
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62 | 62 | | appeals panel shall conduct a hearing on the request and determine |
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63 | 63 | | whether the requested certificate of compliance should be issued. |
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64 | 64 | | (b) In making its determination, the appeals panel shall |
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65 | 65 | | consider the written request for appeal and the department's |
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66 | 66 | | response. |
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67 | 67 | | (c) The appeals panel may require the head engineer of the |
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68 | 68 | | unit responsible for certification of windstorm inspections at the |
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69 | 69 | | department to advise the appeals panel on issues relating to the |
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70 | 70 | | inspection process. |
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71 | 71 | | Sec. 2210.265. APPEALS PANEL: CONFLICT OF INTEREST. The |
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72 | 72 | | appeals panel shall determine if a member of the appeals panel has a |
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73 | 73 | | conflict of interest regarding a request for appeal. The member |
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74 | 74 | | with the conflict of interest shall recuse himself or herself from |
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75 | 75 | | all proceedings relating to that request. |
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76 | 76 | | Sec. 2210.266. APPEALS PANEL: HEARING PROCEDURES. (a) |
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77 | 77 | | Each party to a hearing conducted by the appeals panel may be |
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78 | 78 | | represented by an attorney licensed to practice law in this state. |
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79 | 79 | | (b) The standard of review for an appeal filed under Section |
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80 | 80 | | 2210.261 is de novo. |
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81 | 81 | | (c) All appeals panel proceedings shall be conducted in |
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82 | 82 | | Travis County. |
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83 | 83 | | Sec. 2210.267. APPEALS PANEL: DECISION. (a) Within a |
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84 | 84 | | reasonable time after the conclusion of the hearing, the appeals |
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85 | 85 | | panel shall issue a written decision reflecting the appeals panel's |
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86 | 86 | | determination under Section 2210.264. |
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87 | 87 | | (b) If the appeals panel is unable to reach a decision, the |
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88 | 88 | | appeals panel shall affirm the decision of the department. |
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89 | 89 | | (c) The appeals panel shall mail a copy of the appeals |
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90 | 90 | | panel's decision to each party not later than the seventh day after |
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91 | 91 | | the date the appeals panel renders its decision. |
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92 | 92 | | (d) Subject to Subsection (e), if the appeals panel |
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93 | 93 | | determines that a certificate of compliance should be issued, the |
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94 | 94 | | department shall promptly issue the certificate. |
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95 | 95 | | (e) A decision made by the appeals panel under this |
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96 | 96 | | subchapter is subject to judicial review under Chapter 2001, |
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97 | 97 | | Government Code. |
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98 | 98 | | Sec. 2210.268. APPEALS PANEL: ADMINISTRATION. The appeals |
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99 | 99 | | panel is administratively attached to the department. The |
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100 | 100 | | department shall provide the staff, services, and facilities |
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101 | 101 | | necessary for the appeals panel to operate, including: |
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102 | 102 | | (1) administrative assistance and services, including |
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103 | 103 | | budget planning and purchasing; |
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104 | 104 | | (2) personnel services; |
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105 | 105 | | (3) office space; and |
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106 | 106 | | (4) computer equipment and support. |
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107 | 107 | | SECTION 3. The changes in law made by this Act apply only to |
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108 | 108 | | a decision by the Texas Department of Insurance to reject a request |
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109 | 109 | | for a certificate of compliance issued on or after the effective |
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110 | 110 | | date of this Act. A decision issued before the effective date of |
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111 | 111 | | this Act is governed by the law as it existed immediately before the |
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112 | 112 | | effective date of this Act, and that law is continued in effect for |
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113 | 113 | | that purpose. |
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114 | 114 | | SECTION 4. This Act takes effect September 1, 2017. |
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