Windstorm reform greatest result of 81st legislative session, local representatives say Print

By Heather Noan - Beaumont Enterprise - June 5, 2009

Southeast Texas representatives agree that hurricane-related bills were the most relevant local issues resulting from the 81st Legislative session, which ended last week.

State Rep. Joe Deshotel, D-Beaumont, said the Texas Windstorm Insurance Association reform bill had the most impact on Southeast Texas.

The bill allows for assessments up to a maximum of 2.8 percent on windstorm insurance policies if a damaging hurricane strikes the Texas coast this year.

That means for every $1,000 in premium costs, windstorm policyholders in the state's 14 counties would pay an extra $28 if a storm causing at least $600 million in damage occurs.

If there is no storm there will be no assessment, and if there is a small storm there would be a smaller assessment, Deshotel said.

State Rep. Mike Hamilton, R-Mauriceville, said the deal was "not the greatest" but at least would keep everyone covered through the season.

Local representatives unanimously voted for a bill that will allow utility companies to issue low-cost bonds to recover costs after hurricanes and other disasters. This will reduce the financial impact to electricity customers for rebuilding and restoration.

State Rep. Allan Ritter, D-Nederland, said he was happy legislators passed what he called a "good" state budget because he said the state this time will be using less state dollars and more federal dollars., thanks to President Obama's stimulus package.

The new budget calls for a $182 billion, two-year spending plan that includes $12 billion in federal economic stimulus money that covers mostly education and health care.

Hamilton said legislators also were able to set aside $10 million from the budget to fund legislation passed last session that will put seatbelts in new school buses.

In education issues, legislators unanimously voted for a bill that will scale back the law that allows automatic college admission for students in the top 10 percent of their high school's graduating class.

Ritter said the University of Texas pushed strongly for this bill, and that local students should not be too impacted

Also of note, Deshotel said, was the $2.5 million Lamar University received to help cover revenue lost from Hurricane Ike.

Sen. Tommy Williams, R-The Woodlands, said in a news release that legislators also increased funding for both public and higher education, and stopped the uncontrolled growth in college tuition increases.

Local representatives did not know if Gov. Rick Perry would call a special session, but Hamilton said if he did, it most likely would be in September.

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