LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 9, 2025 TO: Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture and Rural Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB34 by Sparks (relating to the preparation for and the prevention, management ,and potential effects of wildfires and to emergency communications in this state; authorizing an increase in the assessment on certain insurers that fund the volunteer fire department assistance fund.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. It is assumed that any costs associated with conducting a wildfire study and creating and maintaining a statewide database of firefighting equipment could be absorbed using existing resources.The bill would modify the criteria for determining the annual assessment on property and casualty insurers. The bill would direct the Comptroller to assess property and casualty insurers the lesser of: 1) the amount appropriated in the General Appropriations Act (GAA) from GR Account 5064 Volunteer Fire Department Assistance, excluding specific appropriations for contributions to the Texas Emergency Services Retirement System (TESRS); or 2) $40.0 million. Under current law, the Comptroller is required to assess the lesser of: 1) the amount appropriated in the GAA from GR Account 5064, excluding specific appropriations for contributions to TESRS; or 2) $30.0 million. From fiscal years 2015 to 2024 the maximum assessment was $25.8 million in fiscal year 2022. The amount and timing of any future appropriations are unknown, therefore, the fiscal impact of this provision cannot be determined. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts, 452 Department of Licensing and Regulation, 473 Public Utility Commission of Texas, 575 Texas Division of Emergency Management, 576 Texas A&M Forest Service, 710 Texas A&M University System Administrative and General Offices LBB Staff: b > td > JMc, FV, LBO, CPo LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION April 9, 2025 TO: Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture and Rural Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB34 by Sparks (relating to the preparation for and the prevention, management ,and potential effects of wildfires and to emergency communications in this state; authorizing an increase in the assessment on certain insurers that fund the volunteer fire department assistance fund.), Committee Report 1st House, Substituted TO: Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture and Rural Affairs FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB34 by Sparks (relating to the preparation for and the prevention, management ,and potential effects of wildfires and to emergency communications in this state; authorizing an increase in the assessment on certain insurers that fund the volunteer fire department assistance fund.), Committee Report 1st House, Substituted Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture and Rural Affairs Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture and Rural Affairs Jerry McGinty, Director, Legislative Budget Board Jerry McGinty, Director, Legislative Budget Board SB34 by Sparks (relating to the preparation for and the prevention, management ,and potential effects of wildfires and to emergency communications in this state; authorizing an increase in the assessment on certain insurers that fund the volunteer fire department assistance fund.), Committee Report 1st House, Substituted SB34 by Sparks (relating to the preparation for and the prevention, management ,and potential effects of wildfires and to emergency communications in this state; authorizing an increase in the assessment on certain insurers that fund the volunteer fire department assistance fund.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. It is assumed that any costs associated with conducting a wildfire study and creating and maintaining a statewide database of firefighting equipment could be absorbed using existing resources.The bill would modify the criteria for determining the annual assessment on property and casualty insurers. The bill would direct the Comptroller to assess property and casualty insurers the lesser of: 1) the amount appropriated in the General Appropriations Act (GAA) from GR Account 5064 Volunteer Fire Department Assistance, excluding specific appropriations for contributions to the Texas Emergency Services Retirement System (TESRS); or 2) $40.0 million. Under current law, the Comptroller is required to assess the lesser of: 1) the amount appropriated in the GAA from GR Account 5064, excluding specific appropriations for contributions to TESRS; or 2) $30.0 million. From fiscal years 2015 to 2024 the maximum assessment was $25.8 million in fiscal year 2022. The amount and timing of any future appropriations are unknown, therefore, the fiscal impact of this provision cannot be determined. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts, 452 Department of Licensing and Regulation, 473 Public Utility Commission of Texas, 575 Texas Division of Emergency Management, 576 Texas A&M Forest Service, 710 Texas A&M University System Administrative and General Offices 304 Comptroller of Public Accounts, 452 Department of Licensing and Regulation, 473 Public Utility Commission of Texas, 575 Texas Division of Emergency Management, 576 Texas A&M Forest Service, 710 Texas A&M University System Administrative and General Offices LBB Staff: b > td > JMc, FV, LBO, CPo JMc, FV, LBO, CPo