MISSISSIPPI LEGISLATURE

2001 Regular Session

To: Military Affairs; Insurance

By: Representative Rogers

House Bill 1116

AN ACT TO AMEND SECTION 33-15-25, MISSISSIPPI CODE OF 1972, TO AUTHORIZE LOCAL ORGANIZATIONS OF EMERGENCY MANAGEMENT TO ANNUALLY APPLY WITH THE MISSISSIPPI EMERGENCY MANAGEMENT AGENCY TO RECEIVE MATCHING FUNDS FOR EMERGENCY MANAGEMENT ASSISTANCE AND TO REQUIRE THE DIRECTOR OF EMERGENCY MANAGEMENT TO ESTABLISH THE GRANT APPLICATION AND ELIGIBILITY CRITERIA; TO CREATE A NEW CODE SECTION TO ESTABLISH AND FUND THE EMERGENCY MANAGEMENT PREPAREDNESS AND ASSISTANCE FUND; TO IMPOSE AN ANNUAL SURCHARGE ON CERTAIN INSURANCE POLICIES; TO PROVIDE FOR THE ALLOCATION OF FUNDS APPROPRIATED FROM THE EMERGENCY MANAGEMENT, PREPAREDNESS AND ASSISTANCE TRUST FUND; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 33-15-25, Mississippi Code of 1972, is amended as follows:

33-15-25. (1) The Governor of the State of Mississippi is authorized to enter into agreements with the federal government for the purpose of matching any federal funds that may be made available for emergency management purposes, which shall include purchasing emergency management equipment and supplies, to the state on a matching basis. Provided, that no agreement shall obligate the state for an amount greater than the appropriation available for such purpose. The state's portion of the purchase price of any emergency management equipment may be made available from any appropriation made for such purposes.

(2) Any county board of supervisors or municipal governing body may enter into agreement with the federal government with approval of the State Director of Emergency Management for matching funds which may be made available for emergency management purposes, which shall include purchasing emergency management equipment and supplies, by such county or municipality in conjunction with any federal matching program and funds may be expended from the general fund of such county or municipality or from such other funds as may be available to such county or municipality for emergency management purposes in order to provide the county or municipal portion of funds necessary to carry out such matching agreement.

(3) Any local organization of emergency management established under Section 33-15-17 may annually apply with the Mississippi Emergency Management Agency to receive matching funds in an amount not to exceed Ten Thousand Dollars ($10,000.00) for emergency management assistance. The grant application and eligibility criteria shall be established and promulgated by the Director of Emergency Management as authorized in Section 33-15-14(2)(p), and shall include at a minimum a multiyear strategic plan for eliminating overall program deficiencies identified by a capability assessment for readiness evaluation. Any such local organization may apply for additional emergency management assistance funding exceeding the maximum amount provided herein on a seventy-five percent (75%) local and twenty-five percent (25%) state basis for program support, maintenance and related purposes. Such additional funds shall be made available from monies derived from the State General Fund and the federal government. The director shall provide a detailed report of the Emergency Management Assistance Program in his biennial report in accordance with Section 33-15-14(2)(o).

SECTION 2. (1) There is hereby created the Emergency Management, Preparedness and Assistance Trust Fund to be administered by the Mississippi Emergency Management Agency.

(2) In order to provide funds for emergency management, preparedness and assistance, an annual surcharge of Two Dollars ($2.00) per policy shall be imposed on every homeowner's, mobile homeowner's, tenant homeowner's and condominium unit owner's policy, and an annual Four Dollar ($4.00) surcharge shall be imposed on every commercial fire, commercial multiple peril, and business owner's property insurance policy, issued or renewed on or after July 1, 2001. The surcharge shall be paid by the policyholder to the insurer. The insurer shall collect the surcharge and remit it to the State Tax Commission, which shall collect, administer, audit and enforce the surcharge. The surcharge is not to be considered premiums of the insurer; however, nonpayment of the surcharge by the insured may be a valid reason for cancellation of the policy. All proceeds of the surcharge shall be deposited in the Emergency Management, Preparedness and Assistance Trust Fund and may not be used to supplant existing funding.

(3) Funds appropriated from the Emergency Management, Preparedness and Assistance Trust Fund shall be allocated by the Mississippi Emergency Management Agency as follows:

(a) Fifty percent (50%) to assist in funding local emergency management programs;

(b) Ten percent (10%) to administer the implementation and oversight of local programs;

(c) Forty percent (40%) to be deposited into the Disaster Trust Fund to fund authorized expenditures as outlined in Section 33-15-307.

(4) The distribution formula provided in subsection (1) may be adjusted proportionally when necessary by the Director of the Mississippi Emergency Management Agency to meet any matching requirements imposed as a condition of receiving federal disaster relief assistance or planning funds.

SECTION 3. This act shall take effect and be in force from and after July 1, 2001.