TITLE 34. PUBLIC FINANCE

PART 1. COMPTROLLER OF PUBLIC ACCOUNTS

CHAPTER 3. TAX ADMINISTRATION

SUBCHAPTER GG. INSURANCE TAX

34 TAC §3.834

The Comptroller of Public Accounts adopts amendments to §3.834 concerning volunteer fire department assistance fund assessment, without changes to the proposed text as published in the May 12, 2017, issue of the Texas Register (42 TexReg 2522). This section is being amended to implement House Bill 7, 84th Legislature, 2015. Effective for fiscal years beginning on or after September 1, 2015, the calculation of the total amount of the Volunteer Fire Department Assistance Fund Assessment is amended to take into account appropriations for contributions to the Texas Emergency Services Retirement System under Government Code, §614.104(d) (Fund). In addition, effective for the fiscal years beginning on September 1, 2015, and September 1, 2016, only, the calculation of the total amount of the Volunteer Fire Department Assistance Fund Assessment is amended to take into account appropriations to the Texas A&M Forest Service for grants to volunteer fire departments.

Subsection (a) is amended to add a definition of the term "state fiscal year." This term appears in Insurance Code, Chapter 2007 (Assessment for Rural Fire Protection), but is not defined. The subsequent paragraph is renumbered accordingly.

Subsection (b) is reformatted and revised to include additional information. The subsection is reorganized into four paragraphs. Paragraph (1) addresses the total amount of the assessment for state fiscal years beginning September 1, 2013, and September 1, 2014, only. The term "fiscal year" is replaced with the defined term "state fiscal year." Paragraph (2) addresses the total amount of the assessment for state fiscal years beginning September 1, 2015, and September 1, 2016, only. This paragraph implements Sections 24 and 57 of House Bill 7, which reduce the calculation of the Volunteer Fire Department Assistance Fund Assessment for these years based upon appropriations to the Texas Emergency Services Retirement System and the Texas A&M Forest Service. Paragraph (3) addresses the total amount of the assessment for state fiscal years beginning on or after September 1, 2017. This paragraph implements Section 24 of House Bill 7. Paragraph (4) contains information from current subsection (b) relating to data used to calculate each insurer's portion of the assessment. The existing language is amended to incorporate the specific method for determining this amount based on the graphic that is currently attached to the rule. The graphic is no longer necessary and is deleted.

In addition, amendments are made throughout the section to include the titles of the statutes referenced.

No comments were received regarding adoption of the amendment.

The amendment is adopted under Tax Code, §111.002 (Comptroller's Rules; Compliance; Forfeiture) and §111.0022 (Application To Other Laws Administered By Comptroller), which provide the comptroller with authority to prescribe, adopt, and enforce rules relating to the administration and enforcement provisions of Tax Code, Title 2, and taxes, fees, or other charges which the comptroller administers under other law.

This section is amended to implement House Bill 7, 84th Legislature, 2015, Sections 24 and 57 and Insurance Code, Chapter 2007.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on June 19, 2017.

TRD-201702363

Lita Gonzalez

General Counsel

Comptroller of Public Accounts

Effective date: July 9, 2017

Proposal publication date: May 12, 2017

For further information, please call: (512) 475-0387