HBA-GUM, LCA H.B. 3207 76(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 3207 By: Ramsay Judicial Affairs 7/27/1999 Enrolled BACKGROUND AND PURPOSE Prior to the 76th Texas Legislature, a district clerk was required to obtain errors and omissions insurance or similar coverage from a governmental pool operating under Chapter 119, Local Government Code (County Government Liability Insurance Pool). This language did not recognize the use of self-insurance funds, also known as governmental and intergovernmental pools, or risk retention groups authorized under Article 715c, V.T.C.S. Additionally, the law required a district or deputy clerk to obtain a separate policy to cover losses due to burglary and other enumerated occurences. H.B. 3207 amends Section 51.302, Government Code (Bond; Oath; Insurance) to establish that a clerk may obtain coverage issued by a governmental unit under Article 715c, V.T.C.S. Additionally, this bill provides that both types of required coverage are addressed in Section 51.302, and increases the minimum amount of coverage a clerk must purchase. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 51.302(c), (d), (e), and (f), Government Code, as follows: (c) Authorizes a district clerk to obtain an insurance policy from a self-insurance fund or risk retention group created by one or more governmental units under Article 715c (Issuance of Bonds for Self-Insurance Fund, Risk Retention Groups), V.T.C.S., in addition to a policy or coverage from a governmental pool operated under Chapter 119 (County Government Liability Insurance Pool), Local Government Code. Increases from $10,000 to $20,000 the minimum amount of liability of the policy or other coverage document. (d) Requires each district clerk to obtain an insurance policy or similar coverage described by Subsection (c) to cover losses from burglary, theft robbery, counterfeit currency, or destruction. (e) Redesignated from existing Subsection (d). Authorizes the commissioners court to establish a contingency fund to provide the coverage required by Subsection (d) if it is determined by the district clerk that insurance coverage is unavailable at a reasonable cost. Deletes existing Subsection (e) to make a conforming change. (f) Makes a conforming change. SECTION 2. Emergency clause. Effective date: upon passage.