HBA-TYH, ATS H.B. 3757 76(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 3757 By: Giddings Insurance 7/21/1999 Enrolled BACKGROUND AND PURPOSE Driving under the influence or driving while intoxicated is a serious problem in Texas. According to some reports, nearly 1,750 drivers died as a result of an alcohol-related traffic accident in Texas during 1997. Those fatalities accounted for almost 50 percent of all traffic fatalities in Texas. H.B. 3757 requires the Texas Education Agency (agency) to develop standards for a separate school certification and approve educational curricula for drug and alcohol awareness programs (programs). The agency and the Texas Commission on Alcohol and Drug Abuse must enter into a memorandum of understanding for the interagency approval of the required educational curricula. The State Board of Education is authorized to establish fees in connection with drug and alcohol driving awareness programs. Under this bill, the commissioner of insurance is required, by rule, to require a five percent premium discount (discount) to a motor vehicle insurance policyholder for completion of an approved drug and alcohol driving awareness program. However, the discount does not apply if any policyholder has, within seven years preceding enrollment in the program, been convicted of an offense related to the operation of a motor vehicle under Chapter 49 (Intoxication and Alcoholic Beverage Offenses), Penal Code, an offense under Sections 106.02 (Purchase of Alcohol by a Minor), 106.025 (Attempt to Purchase Alcohol by a Minor), 106.04 (Consumption of Alcohol by a Minor), 106.041 (Driving Under the Influence of Alcohol by Minor), or 106.05 (Possession of Alcohol by a Minor), Alcoholic Beverage Code, that has not been expunged, or an offense under a statute of another state that is similar to the above statutes. Nevertheless, a person who completes a program but who is ineligible for the discount becomes eligible on the seventh anniversary of the date of the conviction, without regard to when the person completed the program. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the commissioner of insurance in SECTION 3 (Article 5.03-4, Insurance Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 3, Article 4413(29c), V.T.C.S. (Texas Driver and Traffic Safety Education Act), by adding Subdivision (23), to define "drug and alcohol driving awareness program." SECTION 2. Amends Article 4413(29c), V.T.C.S. (Texas Driver and Traffic Safety Education Act), by adding Section 4A, as follows: Sec. 4A. DRUG AND ALCOHOL DRIVING AWARENESS PROGRAMS. (a) Requires the Texas Education Agency (agency) to develop standards for a separate school certification and approve educational curricula for drug and alcohol awareness programs (programs). Authorizes the programs to include one or more courses. Provides that the programs must be offered in the same manner as other driving safety courses, except as provided by rules adopted by the agency. (b) Requires the agency and the Texas Commission on Alcohol and Drug Abuse to enter into a memorandum of understanding for the interagency approval of the required educational curricula, in accordance with Section 461.013(b) (Education and Research Programs Concerning Controlled Substances), Health and Safety Code. (c) Authorizes the program standards adopted by the agency to require the course provider to evaluate aspects of the programs. (d) Authorizes the State Board of Education to establish fees in connection with drug and alcohol driving awareness programs in lieu of the fees established under Section 13 (Requisites for Licence) of this article. Requires the fees to be in amounts reasonable and necessary to implement and administer this article in connection with drug and alcohol driving awareness programs. SECTION 3. Amends Subchapter A, Chapter 5, Insurance Code, by adding Article 5.03-4, as follows: Art. 5.03-4. DISCOUNTS FOR DRUG AND ALCOHOL DRIVING AWARENESS PROGRAMS. (a) Requires the commissioner of insurance, by rule, to require a five percent premium discount (discount) to a motor vehicle insurance policyholder for completion of an approved drug and alcohol driving awareness program. (b) Provides that the discount does not apply if any policyholder has, within seven years preceding enrollment in the program, been convicted of an offense related to the operation of a motor vehicle under Chapter 49 (Intoxication and Alcoholic Beverage Offenses), Penal Code, an offense under Sections 106.02 (Purchase of Alcohol by a Minor), 106.025 (Attempt to Purchase Alcohol by a Minor), 106.04 (Consumption of Alcohol by a Minor), 106.041 (Driving Under the Influence of Alcohol by Minor), or 106.05 (Possession of Alcohol by a Minor), Alcoholic Beverage Code, that has not been expunged, or an offense under a statute of another state that is similar to the above statutes. (c) Provides that a person who completes a program but who is ineligible for the discount becomes eligible on the seventh anniversary of the date of the conviction, without regard to when the person completed the program. (d) Provides that the standards for the programs are the minimum standards for certified programs designed to educate persons on the dangers of alcohol, drugs, and driving. Provides that a person is not eligible for, and an insurer is prohibited from offering, a discount for a program that does not use the developed uniform curriculum. SECTION 4. Effective date: September 1, 1999. SECTION 5. Makes application of this Act prospective for a personal motor vehicle liability insurance policy delivered, issued for delivery, or renewed on or after January 1, 2000. SECTION 6. Emergency clause.