hdj2003-02-25-49

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Tuesday, February 25, 2003

The House of Delegates met at 11:00 a.m., and was called to order by the Speaker.

Prayer was offered and the House was led in recitation of the Pledge of Allegiance.

The Clerk proceeded to read the Journal of Monday, February 25, 2003, being the first order of business, when the further reading thereof was dispensed with and the same approved.

At the request of Delegate Staton, and by unanimous consent, the applicable provisions of House Rule 136, relating to privileges of the floor, were suspended for the day to extend privileges of the floor to invited guests for a presentation by the House.
Committee Reports

Mr. Speaker, Mr. Kiss, from the Committee on Rules, submitted the following report, which was received:

Your Committee on Rules has had under consideration:

H. C. R. 13, Requesting the Joint Committee on Government and Finance to continue its study of the current foster care system in West Virginia in regards to adequacy of funding,

And,

H. C. R. 42, Requesting the United States Congress to enact and fully fund navigation needs on our Nation's rivers,

And reports the same back with the recommendation that they each be adopted.

Chairman Mezzatesta, from the Committee on Education, submitted the following report, which was received:

Your Committee on Education has had under consideration:

H. B. 2521, Establishing a school psychologist internship program,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 2521 - "A Bill to amend article fourteen, chapter eighteen-b of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new section, designated section eleven, relating to establishing the school psychologist internship program; legislative findings and intent; program provisions and requirements; collaboration; policy; funding limitations; and service agreement,"

With the recommendation that the committee substitute do pass, but that it first be referred to the Committee on Finance.

In accordance with the former direction of the Speaker, the bill (Com. Sub. for H. B. 2521) was referred to the Committee on Finance.

Chairman Mezzatesta, from the Committee on Education, submitted the following report, which was received:

Your Committee on Education has had under consideration:

H. B. 3115, Instituting a "Celebrate Freedom Week" and requiring the instruction in the study of the Declaration of Independence and other founding American historical documents,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. For H. B. 3115 - "A Bill to amend and reenact section nine, article two, chapter eighteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to required courses of school instruction generally; instituting a 'celebrate freedom week'; requiring an in-depth instruction in the study of the Declaration of Independence and other founding American historical documents including the Bill of Rights; and limiting audit review program,"

With the recommendation that the committee substitute do pass.

Chairman Mezzatesta, from the Committee on Education, submitted the following report, which was received:

Your Committee on Education has had under consideration:

H. B. 3081, Providing for safe schools through alternative education programs and providing certain juvenile justice records to public school officials,

And reports the same back, with amendment, with the recommendation that it do pass, as amended, and with the recommendation that second reference of the bill to the Committee on the Judiciary be dispensed with.

In the absence of objection, reference of the bill (H. B. 3081) to the Committee on the Judiciary was abrogated.

Chairman Mezzatesta, from the Committee on Education, submitted the following report, which was received:

Your Committee on Education has had under consideration:

H. B. 2863, Formulating a process in which to project the net enrollment in growth counties,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 2863 - "A Bill to amend and reenact sections eighteen and forty-four, article five, chapter eighteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended; and to amend and reenact sections two and fifteen, article nine-a of said chapter, all relating to preserving funding for student enrollment ages five and above and the growth thereof; removing authority to establish kindergarten programs for children below age five; establishing goal for early childhood programs and removing mandate; stipulating that early childhood education is not part of system of free schools; removing compulsory school attendance requirement for early childhood programs; removing certain funds from list of those counties encouraged to use for implementation; providing for needs assessment and preliminary plan and delaying date for plan submission; requiring integration of public and private programs; providing for other public and private program certification by county boards with appeal to state superintendent; authorizing county boards to assist and contract with other public and private programs; requiring legislative approval for additional enrollment in early childhood programs; providing for separate appropriation for early childhood programs, limiting use of funds and providing for allocation; providing standards for personnel and removing requirement that early childhood teachers be certified; excepting affect of section on preschool handicapped; creating advisory council and specifying members, terms and duties; excluding certain children below age five from net enrollment; providing for certain projected enrollments to be included in net enrollment; defining growth county; restricting allowance for increased enrollment in growth counties; and excluding children below age five from allowance for increased enrollment,"

With the recommendation that the committee substitute do pass.

Chairman Mezzatesta, from the Committee on Education, submitted the following report, which was received:

Your Committee on Education has had under consideration:

H. B. 3035, Establishing income caps on PROMISE scholarship award recipients,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 3035 - "A Bill to amend article seven, chapter eighteen-c of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new section, designated section nine, relating to establishing a method of calculating the West Virginia providing real opportunities for maximizing in-state student scholarship program awards for students at various levels of expected family contribution,"

With the recommendation that the committee substitute do pass, and with the recommendation that second reference of the bill to the Committee on Finance be dispensed with.

In the absence of objection, reference of the bill (Com. Sub. for H. B. 3035) to the Committee on Finance was abrogated.

On motion for leave, a bill was introduced (Originating in the Committee on the Judiciary and reported by unanimous vote of the Committee, with the recommendation that it do pass), which was read by its title, as follows:

By Delegates Hrutkay, Fleischauer, Brown, Ellem, Armstead, Calvert and Foster:
H. B. 3190 - "A Bill to amend and reenact section five, article two-b, chapter eighteen of the code of West Virginia, one thousand nine hundred thirty-one, relating to the titling of property for area vocational education programs."

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 3190) will be placed on the Consent Calendar.

Chairman Amores, from the Committee on the Judiciary, submitted the following report, which was received:

Your Committee on the Judiciary has had under consideration:

H. B.'s 2621, 2622, 2623, 2624, 2625, 2626, 2627, 2628 and 2629, Authorizing the Department of Health and Human Resources to promulgate legislative rules,

And reports back a committee substitute therefor, by unanimous consent of the Committee, with a new title, as follows:

Com. Sub. for H. B. 2625 - "A Bill to amend and reenact article five, chapter sixty-four of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating generally to the promulgation of administrative rules by the various executive or administrative agencies and the procedures relating thereto; continuing rules previously promulgated by state agencies and boards; legislative mandate or authorization for the promulgation of certain legislative rules; authorizing certain of the agencies to promulgate certain legislative rules in the form that the rules were filed in the state register; authorizing certain of the agencies to promulgate certain legislative rules with various modifications presented to and recommended by the legislative rule-making review committee; authorizing certain of the agencies to promulgate certain legislative rules as amended by the Legislature; authorizing certain of the agencies to promulgate certain legislative rules with various modifications presented to and recommended by the legislative rule-making review committee and as amended by the Legislature; authorizing the health care authority to promulgate a legislative rule relating to bench-marking and discount contracts; authorizing the department of health and human resources to promulgate a legislative rule relating to the nurse aid abuse registry; authorizing the division of health to promulgate a legislative rule relating to sewage treatment and collection system design standards; authorizing the division of health to promulgate a legislative rule relating to the medical examiner rule for post mortem inquiries; authorizing the division of health to promulgate a legislative rule relating to surrogates for incapacitated persons in health care facilities operated by the department of health and human resources; authorizing the division of health to promulgate a legislative rule relating to the uniform credentialing of health care practitioners; authorizing the division of human services to promulgate a legislative rule relating to day care centers licensing; authorizing the division of human services to promulgate a legislative rule relating to the tel-assistance program; and authorizing the division of human services to promulgate a legislative rule relating to family day care home registration requirements,"

With the recommendation that the committee substitute do pass.

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (Com. Sub. for H. B. 2625) will be placed on the Consent Calendar.

Chairman Michael, from the Committee on Finance, submitted the following report, which was received:

Your Committee on Finance has had under consideration:
H. B. 2866, Relating to construction financing for surface transportation improvements through federal grant anticipation notes,

And reports the same back with the recommendation that it do pass.

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 2866) will be placed on the Consent Calendar.

Chairman Michael, from the Committee on Finance, submitted the following report, which was received:

Your Committee on Finance has had under consideration:

H. B. 2358, Allowing farm wineries to manufacture, serve and sell dessert, port, sherry and Madeira wines as well as table wines,

And reports back a committee substitute therefor, by unanimous vote of the Committee, with a new title, as follows:

Com. Sub. for H. B. 2358 - "A Bill to amend and reenact section three, article sixteen, chapter eleven of the code of West Virginia, one thousand nine hundred thirty-one, as amended; to amend and reenact section five-a, article one, chapter sixty of said code; to amend and reenact section two, article six of said chapter; and to amend and reenact section two, article eight of said chapter, all relating generally to beverages containing alcohol; defining fortified beer; allowing farm wineries to produce wine from other agricultural products containing sugar; allowing farm wineries to manufacture, serve and sell dessert, port, sherry and Madeira wines; and excluding dessert wine produced by farm wineries from the definition of fortified wine,"

With the recommendation that the committee substitute do pass.

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (Com. Sub. for H. B. 2358) will be placed on the Consent Calendar.
Messages from the Executive

Mr. Speaker, Mr. Kiss, presented the annual report of the West Virginia Commission on Uniform State Laws, in accordance with section four, article one-a, chapter twenty-nine of the code; which was filed in the Clerk's Office.
Resolutions Introduced

On motion for leave, a resolution was introduced (Originating in the Committee on Education and reported with the recommendation that it be adopted), which was read by its title as follows:
By Delegates Mezzatesta, Williams, Beach, Crosier, Fragale, Hartman, Long, Louisos, Paxton, Perry, Poling, Renner, Shaver, Shelton, Stemple, Tabb, Swartzmiller, Duke, Hamilton, Howard, Romine, Sobonya, Sumner, Wakim and Canterbury:

H. C. R. 54 - "A Resolution directing the joint committee on government and finance to make a study on economically feasible methods to provide access to library services for the large number of West Virginia citizens living in remote areas."

Whereas, West Virginia is a rural state wherein thirty-four percent of West Virginians live in counties of less than 33,000 people; and

Whereas, Many of these counties have limited financial resources and large sparsely populated areas; and

Whereas, Many of these rural residents do not have ready access to the resources of a public library; and

Whereas, Information and educational support provided by public libraries are recognized as an important tool in the development of an economically viable population; and

Whereas, Small rural communities do not have the resources to support a permanent library facility; and

Whereas, Libraries which already exist in the smaller more rural areas do not have the resources to provide meaningful outreach services to their most rural patrons; therefore, be it

Resolved by the Legislature of West Virginia:

That the joint committee on government and finance is hereby directed to make a study on economically feasible methods to provide access to library services for the large number of West Virginia citizens living in remote areas; and be it

Further Resolved, That the access to library services for the purposes of the study means the broad range of services provided by libraries including, but not limited to:

(1) Access the materials and information available in a public library;

(2) Opportunities for individuals to avail themselves of the services of the library's information professionals who can help teach them how to access and evaluate information gathering tools and apply information procured;

(3) Access on line resources provided by libraries such as magazine and newspaper articles, study guides for standardized tests such as the ACT or SAT, job and career information including the ability to apply for jobs electronically, current medical information, etc; and

(4) Access materials that support and supplement school curriculum including library programs which encourage the development of reading skills in emerging readers; and be it

Further resolved, That the methods of providing access that are studied shall include, but not be limited to, the use of bookmobiles to provide for the delivery of these services; and be it

Further Resolved, That the said joint committee on government and finance shall conduct the study and prepare a report of its findings, conclusions and recommendations together with drafts of any legislation necessary to effectuate its recommendations; and be it

Further Resolved, That the joint committee on government and finance report to the regular session of the Legislature, 2004, on its findings, conclusions and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; and be it

Further Resolved, That the expenses necessary to conduct this study, to prepare a report and draft necessary legislation be paid from legislative appropriations to the joint committee on government and finance.

At the respective requests of Delegate Staton, and by unanimous consent, reference of the resolution (H. C. R. 54) to a committee was dispensed with, and it was taken up for immediate consideration and adopted.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.

Delegates Ennis and Yost offered the following resolution, which was read by its title and referred to the Committee on Rules:

H. C. R. 55 - "Requesting the West Virginia Division of Highways to rename Commerce Street on West Virginia State Roads and Transportation. 2 to 'Heroes Highway'."

Whereas, A portion of West Virginia State Roads and Transportation. 2 lies within the City limits of the City of Wellsburg; and

Whereas, The West Virginia Legislature, the Wellsburg City Council and City administration fully support the veterans and many heroes who have fought and continue to fight for our country; and

Whereas, The West Virginia Legislature and the Wellsburg City Council fully supports the ceremonial renaming of Commerce Street to "Heroes Highway" in honor of our veterans and war heroes; therefore, be it
Resolved by the Legislature of West Virginia:
That the members of the Legislature request the West Virginia Division of Highways to rename Commerce Street on West Virginia State Roads and Transportation. 2 to "Heroes Highway"; and, be it

Further Resolved, That the Clerk is hereby directed to forward a copy of this resolution to the Commissioner of the Division of Highways, and to the City Council of the City of Wellsburg.
Petitions

Delegate R. M. Thompson presented a petition, signed by three hundred residents of the 27th District, in support of H. B. 2360, prohibiting a municipality from closing a fire department without advance approval of the state fire marshal; which was referred to the Committee on Finance.

Delegate Kuhn presented a petition, signed by two hundred ninety-four residents of the 18th District, requesting the Department of Highways install a traffic light at the intersection of U. S. Roads and Transportation. 52 and Prichard; which was referred to the Committee on Roads and Transportation.

Delegate Kuhn presented a petition, signed by eight hundred forty-eight residents of the 18th District, supporting H. B. 2142, prohibiting insurers from requiring persons covered under a contract to obtain prescription drugs from a mail-order pharmacy under certain circumstances; which was referred to the Committee on Banking and Insurance.
Consent Calendar
Third Reading

The following bills, on third reading, coming up in regular order, were each read a third time:

S. B. 182, Meeting federal standards for certain child passenger seats and safety devices,

Com. Sub. for H. B. 2240, Allowing persons purchasing or renewing hunting or fishing licenses to donate to the "hunters helping the hungry program",

H. B. 2878, Allowing certain municipalities providing advanced life support ambulance services to examine, train and employ fire medics,

H. B. 3009, Excluding certain records from the freedom of information act that are collected in the interest of homeland security by governmental bodies,

H. B. 3010, Exempting from the governmental meetings' act discussions by a governmental body of certain activities relating to homeland security terrorist threats,

And,

H. B. 3187, Relating to the authority of the state superintendent to grant certain limited exceptions to provisions for the scheduling and use of instructional days and times in certain circumstances.

On the passage of the bills, the yeas and nays were taken (Roll No. 113-119), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bills (S. B. 182, Com. Sub. for H. B. 2240, H. B. 2878, H. B. 3009, H. B. 3010 and H. B. 3187) passed.

An amendment to the title of H. B. 2878, recommended by the Committee Political Subdivisions, was reported by the Clerk and adopted, amending the title to read as follows:

H. B. 2878 - "A Bill to amend article fifteen, chapter eight of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new section, designated section twenty-a, relating to civil service for municipal firefighters generally; allowing certain municipalities providing advanced life support ambulance services to examine, train and employ firefighter paramedics; and requiring firefighter paramedics to maintain a paramedic license and complete all required fire service training."

Delegate Staton moved that S. B. 182 take effect July 1, 2003.

On this question, the yeas and nays were taken (Roll No. 120), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, two thirds of the members elected to the House of Delegates having voted in the affirmative, the Speaker declared the bill (S. B. 182) takes effect July 1, 2003.

Delegate Staton moved that H. B. 3187 take effect from its passage.

On this question, the yeas and nays were taken (Roll No. 121), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, two thirds of the members elected to the House of Delegates having voted in the affirmative, the Speaker declared the bill (H. B. 3187) takes effect from its passage.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates on the Consent Calendar bills and request concurrence therein.
Second Reading

The following bills on second reading, coming up in regular order, were each read a second time and ordered to third reading:

S. B. 164, Continuing office of coalfield community development,

S. B. 166, Continuing oil and gas inspectors' examining board,

S. B. 414, Authorizing real estate commission to enter into license reciprocity agreements with other states,

S. B. 415, Continuing environmental quality board,

S. B. 417, Continuing commission for deaf and hard-of-hearing,

S. B. 461, Updating section of corporation net income tax act for federal income tax purposes,

S. B. 462, Updating certain terms in personal income tax act for federal income tax purposes,

S. B. 469, Continuing contractor licensing board,

And,

S. B. 471, Continuing board of pharmacy.

The following bills on second reading, coming up in regular order, were each read a second time and ordered to engrossment and third reading:

Com. Sub. for H. B. 2003, Allowing municipalities to self-insure together and promulgation of rules by the Commissioner of Insurance,

Com. Sub. for H. B. 2126, Strengthening penalties relating to violations of fire laws and rules,

Com. Sub. for H. B. 2357, Authorizing the aeronautics commissioner to expense funds,

Com. Sub. for H. B. 2500, Clarifying the authority of the courts to continue protective orders during certain proceedings,

Com. Sub. for H. B. 2733, Increasing funds in the special revenue accounts for the criminal investigation division and the special audits division,

Com. Sub. for H. B. 2868, Allowing alcohol beverage control commissioner to enter into contracts for sale and promotion of certain proprietary scanner technology,

And,

H. B. 3188, Conditions for obtaining driver's license, denial, revocation and limitation on reinstatement of the same.
First Reading

The following bills on first reading, coming up in regular order, were each read a first time and ordered to second reading:
S. B. 284, Continuing division of purchasing within department of administration,
S. B. 470, Continuing board of manufactured housing construction and safety,
H. B. 2118, Adjusting the retirement benefits for all members of the West Virginia state police retirement system,
H. B. 2194, Reimbursement to police agencies for training and certification costs,
Com. Sub. for H. B. 2438, Allowing teachers who withdrew from the teachers' retirement system in favor of the defined contribution retirement system to return to the teachers' retirement system,
Com. Sub. for H. B. 2592, Auditor, standards for requisitions for payment,
Com. Sub. for H. B. 2599, Authorizing the department of education and the arts to promulgate legislative rules,
Com. Sub. for H. B. 2615, Authorizing the department of military affairs and public safety to promulgate legislative rules,
Com. Sub. for H. B. 2648, Authorizing the department of transportation to promulgate legislative rules,
Com. Sub. for H. B. 2713, Authorizing corporations incorporated under the laws of states other than West Virginia to apply for, obtain and maintain a certificate of authority to operate a health maintenance organization,
H. B. 2731, Providing dedication of a portion of pari-mutuel proceeds be utilized to fund employee retirement plans at certain racing facilities,
Com. Sub. for H. B. 2910, Establishing an "Amber Alert" system to be utilized to rapidly disseminate information with regard to abducted and missing children,
H. B. 2961, Limiting idling of school bus engines for more than five minutes except for certain reasons,
H. B. 2991, Relating to the fee charged by fiduciary commissioners in settling an estate,
H. B. 3019, Finding and declaring certain claims against the state and its agencies to be moral obligations of the state,
H. B. 3045, Implementing the Master Tobacco Settlement Agreement,
Com. Sub. for H. B. 3074, Allowing a retired member of the teachers' retirement system to be re-employed on a contract basis,

And,
H. B. 3150, Barring state officers, agencies or entities from requiring that surety, payment, performance or bid bonds be obtained from any particular company.

The Clerk announced that, pursuant to House Rule 70a, Delegates Ennis and Williams had requested H. B. 2961 be removed from the Consent Calendar and be placed upon the House Calendar.

Delegate Fleischauer asked and obtained unanimous consent that her remarks and the remarks of Delegates Manuel, Hrutkay, Sobonya, Manchin, Calvert, Doyle, Renner, Frich, Armstead and Amores, regarding S. B. 170 be printed in the Appendix to the Journal.

Delegate Trump asked and obtained unanimous consent that the remarks of Delegate Carmichael regarding the proposed tobacco tax be printed in the Appendix to the Journal.
Special Calendar
Unfinished Business
H. C. R. 27, Requesting a study on the impact of the diminishing tax base and loss of revenue that occurs when federal and state parks and forests expand; coming up in regular order, as unfinished business, was reported by the Clerk and adopted.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.
Third Reading
S. B. 165, Continuing commission for national and community service; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 122), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (S. B. 165) passed.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates.

S. B. 416, Continuing massage therapy licensure board; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 123), and there were--yeas 78, nays 21, absent and not voting 1, with the nays and absent and not voting being as follows:

Nays: Armstead, Ashley, Border, Calvert, Carmichael, Caruth, Duke, Ellem, Frich, Hall, Hamilton, Howard, Louisos, Overington, Schadler, Smirl, Sumner, Trump, Wakim, Walters and Webb.

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (S. B. 416) passed.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates.

S. B. 418, Continuing investment management board; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 124), and there were--yeas 98, nays 1, absent and not voting 1, with the nays and absent and not voting being as follows:

Nays: Manchin.

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (S. B. 418) passed.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates.

Com. Sub. for H. B. 2359, Allowing the state fire marshal to retain all of the special revenue fees collected by his office; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 125), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (Com. Sub. for H. B. 2359) passed.

Delegate Staton moved that the bill take effect July 1, 2003.

On this question, the yeas and nays were taken (Roll No. 126), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, two thirds of the members elected to the House of Delegates having voted in the affirmative, the Speaker declared the bill (Com. Sub. for 2359) takes effect July 1, 2003.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.

H. B. 2696, Removing certain limitations on the commissioner of agriculture to increase fees of certain services; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 127), and there were--yeas 95, nays 4, absent and not voting 1, with the nays and absent and not voting being as follows:

Nays: Armstead, Evans, Louisos and Walters.

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (H. B. 2696) passed.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.

H. B. 2847, Making the law-enforcement agency that places a person under arrest responsible for that person's initial transportation to a regional or county jail; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 128), and there were--yeas 85, nays 14, absent and not voting 1, with the nays and absent and not voting being as follows:

Nays: Anderson, Border, Calvert, Caruth, Duke, Evans, Hall, Howard, Leggett, Overington, Schadler, Schoen, Sobonya and Wakim.

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (H. B. 2847) passed.

An amendment to the title of the bill, recommended by the Committee on Political Subdivisions, was reported by the Clerk and adopted, amending the title to read as follows:

H. B. 2847 - "A Bill to amend and reenact section thirteen, article seven, chapter seven of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to the law- enforcement agency that places a person under arrest being responsible for the person's initial transportation to a regional or county jail, except where a transportation agreement exists between the other agency and the sheriff."

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.

Com. Sub. for H. B. 2902, Relating to confidentiality and disclosure of information set forth in oil and gas combined reporting form; on third reading, coming up in regular order, was read a third time.

The question being on the passage of the bill, the yeas and nays were taken (Roll No. 129), and there were--yeas 99, nays none, absent and not voting 1, with the absent and not voting being as follows:

Absent And Not Voting: Coleman.

So, a majority of the members present and voting having voted in the affirmative, the Speaker declared the bill (Com. Sub. for H. B. 2902) passed.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates and request concurrence therein.
Second Reading
H. B. 2528, Establishing a flood prevention task force by law; on second reading, coming up in regular order, was read a second time.

An amendment, recommended by the Committee on Government Organization, was reported by the Clerk and adopted, amending the bill on page one, by striking out everything following the enacting section and inserting in lieu thereof the following:
"ARTICLE 21A. CONSERVATION DISTRICTS.
19-21A-15. West Virginia flood protection task force; continuation.

(a) The West Virginia flood protection task force, hereinafter referred to as the task force, is hereby created. The task force is a governmental instrumentality of the state. The exercise by the task force of the powers conferred by, and the carrying out of its purpose and duties of, this section are essential governmental functions for a public purpose.

(b) The task force shall consist of ten members, as follows:

(1) The director of the state conservation agency or his or her designee from within the agency, who shall chair the task force;

(2) The director of the state office of emergency services or his or her designee from within the agency, who shall serve as vice-chair of the task force;

(3) The secretary of the division of environmental protection, or his or her designee from within the agency;

(4) The commissioner of the division of highways, or his or her designee from within the agency;

(5) The director of the division of natural resources, or his or her designee from within the agency;

(6) The director of the division of forestry, or his or her designee from within the agency;

(7) The director of the housing development fund, or his or her designee from within the agency;

(8) One member representing county governments who shall be appointed by the governor from a list of three names submitted by the association of counties;

(9) One member representing municipalities who shall be appointed by the governor from a list of three names submitted by the municipal league; and,

(10) One citizen member who shall be appointed by the governor.

(c) No more than two of the members, appointed by the governor to the task force, may be from the same congressional district. The members first appointed shall serve staggered terms as follows: The first citizen member appointed shall be appointed for a term of one year; the first member representing municipal governments shall serve a term of two years; the first member representing county governments shall serve a term of three years. Thereafter the appointed members shall serve a term of three years. An appointed member may be reappointed for one additional term.

(d) There shall also be appointed a panel of advisory members to the task force. The advisory members shall include:

(1) Two members of the West Virginia Senate, appointed by the governor;

(2) Two members of the West Virginia House of Delegates appointed by the governor;

(3) The director of the division of labor or his or her designee from within the agency;

(4) The director of the West Virginia University cooperative extension service or his or her designee from within the agency;

(5) The director of the GIS technical center or his or her designee from within the agency;

(6) The director of the board of examiners of land surveyors or his or her designee from within the agency; and

(7) The director of the geological and economic survey or his or her designee from within the agency.

(e) No more than three members of the Legislature appointed by the governor as advisory members may be from the same political party. All advisory members are ex officio, nonvoting members of the task force.

(f) The chair of the task force shall designate a secretary who need not be a member of the task force and who shall keep records of its proceedings.

(g) A majority of the task force members shall constitute a quorum and the affirmative vote of at least the majority of those members present shall be necessary for any action taken by vote of the task force. A vacancy in the membership of the task force will not affect an action taken if there is a quorum of members present and voting on the issue.

(h) No member of the task force shall receive any compensation for serving as a member. The county, municipal and citizen members shall be entitled to reimbursement for expenses, including traveling expenses necessarily incurred in the discharge of their duties as members of the task force.

(i) The task force shall meet at least quarterly or on the call of the chair.

(j) The duties of the task force shall be:

(1) To make recommendations to the state office of emergency services for the coordination of federal, state and local governmental response to flooding;

(2) Review the status of flood mapping;

(3) Examine and improve flood prevention initiatives;

(4) Request funding assistance; and

(5) Carry out other related responsibilities.

(k) The state conservation agency shall provide office space for the task force. Each governmental agency represented on the task force shall provide staff support for the task force in the manner determined by the task force.

(l) The task force shall keep minutes of its meetings and shall invite one or more representatives of the United States federal emergency management agency, the United States army corps of engineers and any other individual or organization necessary to effectuate the purposes of this article, to all of its meetings.

(m) The West Virginia flood protection task force shall terminate on the first day of July, two thousand five, pursuant to the provisions of article ten, chapter four of this code."

The bill was then ordered to engrossment and third reading.

H. B. 2765, Relating generally to insurance vending machines; on second reading, coming up in regular order, was read a second time.

An amendment, recommended by the Committee on Banking and Insurance, was reported by the Clerk and adopted, amending the bill on page two, by striking out everything following the enacting clause and inserting in lieu thereof the following:

"That section twenty-six, article twelve, chapter thirty-three of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be repealed; that sections three, eight, ten, twenty-eight and thirty-two, article twelve of said chapter be amended and reenacted; that section thirteen, article three; section eighteen, article four; section two, article twenty-one; section two, article twenty-three; section thirty-three, article twenty-three; section four, article twenty-four; section twenty-six, article twenty-five-d; and section twenty-one, article thirty-two, all of chapter thirty-three be amended and reenacted, all to read as follows:
ARTICLE 3. LICENSING, FEES AND TAXATION OF INSURERS.
§33-3-13. Fees and charges.

(a) Except where it is otherwise specially provided, the commissioner shall demand and receive the following fees from all insurers: For annual fee for each license, two hundred dollars; for receiving and filing annual reports, one hundred dollars; for valuation of policies of life insurers organized under the laws of this state, one and one-half cents for each one thousand dollars of insurance; for valuation of policies of life insurers organized under the laws of any other state licensed to transact insurance in this state the rate for each one thousand dollars of insurance valued as is imposed by the other state upon any similar insurer organized under the laws of this state licensed to transact insurance in the other state; for filing certified copy of articles of incorporation, fifty dollars; for filing copy of its charter, fifty dollars; for filing statements preliminary to admission, one hundred dollars; for filing any additional paper required by law or furnishing copies thereof, one dollar; for every certificate of valuation, copy of report or certificate of condition of company to be filed in any other state, fifteen dollars; for each licensed agent, twenty-five dollars. The commissioner may by regulation set reasonable charges for printed forms for the annual statements required by law. He or she may sell at cost publications purchased by, or printed on behalf of the commissioner.

(b) ~~Such~~ The fees and charges collected by the commissioner under the provisions of this section or elsewhere in this chapter and designated for use by the commissioner for the operation of the department of insurance or for the purposes of this section, shall be paid into a special revenue account, hereby created in the state treasury, to be expended and used by the commissioner, upon his or her requisition and after appropriation by the Legislature, for the operation of the department of insurance. Notwithstanding any provisions in this code to the contrary, the commissioner may expend, in accordance with the provisions of section ~~two-a~~ eight, article twelve of this chapter, from the special revenue account established pursuant to this section, amounts necessary to establish and maintain a system of continuing education for agents as provided in section ~~two-a~~ eight, article twelve of this chapter.
ARTICLE 4. GENERAL PROVISIONS.
§33-4-18. Representation of unlicenced insurers prohibited; liability; exceptions.

(a) No person in West Virginia shall in any manner, directly or indirectly, represent or assist any insurer not then duly licensed to transact insurance in West Virginia, in the soliciting, procuring, placing or maintenance of any insurance coverage upon or with relation to any subject of insurance resident, located, or to be performed in West Virginia, or inspect or examine any risk or collect or receive any premium on behalf of such insurer.

(b) Any person transacting insurance in violation of this section shall be personally liable to the insured for the performance of any contract between the insured and the insurer resulting from such transactions.

(c) This section ~~shall~~ does not apply to reinsurance procured in accordance with this chapter, to excess line insurance procured pursuant to the provisions of article ~~twelve~~ twelve-c of this chapter, to transactions exempt under the provisions of section one of article three of this chapter, or to professional services of an adjuster or attorney-at-law.
ARTICLE 12. INSURANCE PRODUCERS AND SOLICITORS.
§33-12-3. License required.

(a) ~~A person shall not sell, solicit or negotiate insurance in this state for any class or classes of insurance unless the person is licensed for that line of authority in accordance with this article~~ No person may act as an agent, and no insurer or licensed insurance producer shall knowingly permit a person to act as an agent, covering subjects of insurance resident, located or to be performed in this state, without first obtaining a license in a manner and in a form prescribed by the commissioner. As used in this section, "act as an agent" means selling, soliciting, or negotiating contracts of insurance on behalf of an insurer licensed in this state or receiving or sharing, directly or indirectly, any commission or other valuable consideration arising from the sale, solicitation, or negotiation of any such contract, or both. No person shall submit business to any joint underwriting association or any plan established under this chapter for the equitable distribution of risks among insurers unless the person holds a valid license to transact the class of insurance involved.

(b) No person ~~shall~~ in West Virginia may act as or hold himself or herself out to be an agent or insurance agency or solicitor unless then licensed therefor pursuant to this article.

(c) No agent, insurance agency or solicitor or any representative or employee thereof ~~shall~~ may solicit or take application for, negotiate, procure or place for others any kind of insurance for which that person is not then licensed.

(d) No insurer ~~shall~~ may accept any business from any agent who does not then hold an appointment as agent for such insurer pursuant to this article.
§33-12-8. Continuing education required.

The purpose of this provision is to provide continuing education under guidelines set up under the insurance commissioner's office, with the guidelines to be set up under the board of insurance agent education. Nothing in this section prohibits an individual from receiving commissions which have been vested and earned while that individual maintained an approved insurance agent's license.

(a) This section applies to individual producers licensed to engage in the sale of the following types of insurance:

(1) Life insurance coverage on human lives including benefits of endowment and annuities, and may include benefits in the event of death or dismemberment by accident and benefits for disability income;

(2) Accident and health or sickness. -- Insurance coverage for sickness, bodily injury or accidental death and may include benefits for disability income;

(3) Property insurance coverage for the direct or consequential loss or damage to property of every kind;

(4) Casualty. -- Insurance coverage against legal liability, including that for death, injury or disability or damage to real or personal property;

(5) Variable life and variable annuity products. -- Insurance coverage provided under variable life insurance contracts and variable annuities;

(6) Personal lines. -- Property and casualty insurance coverage sold to individuals and families for primarily noncommercial purposes; and

(7) Any other line of insurance permitted under state laws or regulations.

(b) This section does not apply to:

(1) Individual producers holding limited line credit insurance licenses for any kind or kinds of insurance offered in connection with loans or other credit transactions or insurance for which an examination is not required by the commissioner, nor does it apply to any limited or restricted license as the commissioner may exempt; and

(2) Individual producers selling credit life or credit accident and health insurance.

(c) (1) The board of insurance agent education as established by section seven of this article shall develop a program of continuing insurance education and submit the proposal for the approval of the commissioner on or before the thirty-first day of December of each year. No program may be approved by the commissioner that includes a requirement that any agent complete more than twenty-four hours of continuing insurance education ~~triennially~~ biennially. No program may be approved by the commissioner that includes a requirement that any of the following individual producers complete more than six hours of continuing insurance education biennially:

(A) Individual insurance producers who sell only preneed burial insurance contracts; and

(B) Individual insurance producers who engage solely in telemarketing insurance products by a scripted presentation which scripted presentation has been filed with and approved by the commissioner.

(C) The biennium mandatory continuing insurance education provisions of this section become effective on the reporting period beginning the first day of July, two thousand three.

(2) The commissioner and the board, under standards established by the board, may approve any course or program of instruction developed or sponsored by an authorized insurer, accredited college or university, agents' association, insurance trade association or independent program of instruction that presents the criteria and the number of hours that the board and commissioner determine appropriate for the purpose of this section.

(d) Individual insurance producers licensed to sell insurance and who are not otherwise exempt shall satisfactorily complete the courses or programs of instructions the commissioner may prescribe.

(e) Every individual insurance producer subject to the continuing education requirements shall furnish, at intervals and on forms as may be prescribed by the commissioner, written certification listing the courses, programs or seminars of instruction successfully completed by the person. The certification shall be executed by, or on behalf of, the organization sponsoring the courses, programs or seminars of instruction.

(f) Any individual insurance producer failing to meet the requirements mandated in this section, and who has not been granted an extension of time, with respect to the requirements, or who has submitted to the commissioner a false or fraudulent certificate of compliance shall have his or her license automatically suspended and no further license may be issued to the person for any kind or kinds of insurance until the person demonstrates to the satisfaction of the commissioner that he or she has complied with all of the requirements mandated by this section and all other applicable laws or rules.

(g) The commissioner shall notify the individual insurance producer of his or her suspension pursuant to subsection (f) of this section by certified mail, return receipt requested, to the last address on file with the commissioner pursuant to subsection (e), section nine of this article. Any individual insurance producer who has had a suspension order entered against him or her pursuant to this section may, within thirty calendar days of receipt of the order, file with the commissioner a request for a hearing for reconsideration of the matter.

(h) Any individual insurance producer who does not satisfactorily demonstrate compliance with this section and all other laws applicable thereto as of the last day of the biennium following his or her suspension shall have his or her license automatically canceled and is subject to the education and examination requirements of section five of this article.

(i) The commissioner is authorized to hire personnel and make reasonable expenditures considered necessary for purposes of establishing and maintaining a system of continuing education for insurers. The commissioner shall charge a fee of twenty-five dollars to continuing education providers for each continuing education course submitted for approval which shall be used to maintain the continuing education system. The commissioner may, at his or her discretion, designate an outside administrator to provide all of or part of the administrative duties of the continuing education system subject to direction and approval by the commissioner. The fees charged by the outside administrator shall be paid by the continuing education providers. In addition to fees charged by the outside administrator, the outside administrator shall collect and remit to the commissioner the twenty-five dollar course submission fee.
§33-12-10. Fees.

The fee for an agent's license shall be twenty-five dollars as provided in section thirteen, article three of this chapter, the fee for a solicitor's license shall be twenty-five dollars, and the fee for an insurance agency producer license shall be two hundred dollars. The commissioner shall receive the following fees from individual insurance ~~agents~~ producers, solicitors, and insurance agencies: ~~and excess line brokers~~ For letters of certification, five dollars; for letters of clearance, ten dollars; for duplicate license, five dollars. All fees and moneys so collected shall be used for the purposes set forth in section thirteen, article three of this chapter.
§33-12-28. Service representative permit.

Individual nonresidents of West Virginia, employed on salary by an insurer, who enter the state to assist and advise resident agents in the solicitation, negotiation, making or procuring of contracts of insurance on risks resident, located or to be performed in West Virginia shall obtain a service representative permit. The commissioner may, upon receipt of a properly prepared application, issue the permit without requiring a written examination therefor. On or after the first day of June, two thousand three, no service representative license will be issued which is not a renewal of an existing license. The fee for a service representative permit shall be twenty-five dollars and the permit shall expire at midnight on the thirty-first day of March next following the date of issuance. Issuance of a service representative permit may not entitle the holder to countersign policies. The representative may not in any manner solicit, negotiate, make or procure insurance in this state except when in the actual company of the licensed resident agent whom he or she has been assigned to assist. All fees collected under this section shall be used for the purposes set forth in section thirteen, article three of this chapter.
§33-12-32. Limited licenses for rental companies.

(a) Purpose. -- This section authorizes the insurance commissioner to issue limited licenses for the sale of automobile rental coverage.

(b) Definitions. -- The following words when used in this section shall have the following meanings:

(1) 'Authorized insurer' means an insurer that is licensed by the commissioner to transact insurance in West Virginia.

(2) 'Automobile rental coverage' or 'rental coverage' is insurance offered incidental to the rental of a vehicle as described in this section.

(3) 'Limited license' means the authorization by the commissioner for a person to sell rental coverage as agent of an authorized insurer pursuant to the provisions of this section without the necessity of agent prelicensing education, examination, or continuing education.

(4) 'Limited licensee' is an individual resident of this state or nonresident who obtains a limited license.

(5) 'Rental agreement' means any written agreement setting forth the terms and conditions governing the use of a vehicle provided by the rental company for rental or lease.

(6) 'Rental company' means any person or entity in the business of providing private motor vehicles to the public under a rental agreement for a period not to exceed ninety days.

(7) 'Renter' means any person obtaining the use of a vehicle from a rental company under the terms of a rental agreement for a period not to exceed ninety days.

(8) 'Vehicle' or 'rental vehicle' means a motor vehicle of the private passenger type including passenger vans, minivans and sport utility vehicles and of the cargo type, including cargo vans, pick-up trucks and trucks with a gross vehicle weight of twenty-six thousand pounds or less and which do not require the operator to possess a commercial driver's license.

(9) 'Rental period' means the term of the rental agreement.

(c) The commissioner may issue a limited license for the sale of automobile rental coverage to an employee of a rental company, who has satisfied the requirements of this section.

(d) As a prerequisite for issuance of a limited license under this section, there shall be filed with the commissioner a written application for a limited license, signed by the applicant, in a form or forms and supplements thereto, and containing any information, as the commissioner may prescribe. The limited licensee shall pay to the insurance commissioner an annual fee of twenty-five dollars.

(e) The limited licensee shall be appointed by the licensed insurer or insurers for the sale of automobile rental coverage. The employer of the limited licensee shall maintain at each insurance sales location a list of the names and addresses of employees which are selling insurance at the location.

(f) In the event that any provision of this section or applicable provisions of the insurance code is violated by a limited licensee or other employees operating under his or her direction, the commissioner may:

(1) After notice and a hearing, revoke or suspend a limited license issued under this section in accordance with the provisions of section thirteen, article two of this chapter; or

(2) After notice and hearing, impose any other penalties, including suspending the transaction of insurance at specific locations where applicable violations of the insurance code have occurred, as the commissioner considers to be necessary or convenient to carry out the purposes of this section.

(g) Any limited license issued under this section shall also authorize any other employee working for the same employer and at the same location as the limited licensee to act individually, on behalf, and under the supervision, of the limited licensee with respect to the kinds of coverage authorized in this section. In order to sell insurance products under this section at least one employee who has obtained a limited license must be present at each location where insurance is sold. All other employees working at that location may offer or sell insurance consistent with this section without obtaining a limited license. However, the limited licensee shall directly supervise and be responsible for the actions of all other employees at that location related to the offer or sale of insurance as authorized by this section. No limited licensee under this section ~~shall~~ may advertise, represent, or otherwise hold himself or herself or any other employees out as licensed insurers, insurance agents or insurance brokers.

(h) No automobile rental coverage insurance may be issued by a limited licensee pursuant to this section unless:

(1) The rental period of the rental agreement does not exceed ninety consecutive days; and

(2) At every rental location where rental agreements are executed, brochures or other written material are readily available to the prospective renter that:

(A) Summarize clearly and correctly, the material terms of coverage offered to renters, including the identity of the insurer;

(B) Disclose that the coverage offered by the rental company may provide a duplication of coverage provided by a renter's personal automobile insurance policy, homeowner's insurance policy, personal liability insurance policy, or other source of coverage;

(C) State that the purchase by the renter of the kinds of coverage specified in this section is not required in order to rent a vehicle; and

(D) Describe the process for filing a claim in the event the renter elects to purchase coverage and in the event of a claim.

(3) Any evidence of coverage on the face of the rental agreement is disclosed to every renter who elects to purchase the coverage.

(4) The limited licensee to sell automobile rental coverage may offer or sell insurance only in connection with and incidental to the rental of vehicles, whether at the rental office or by preselection of coverage in a master, corporate, group rental, or individual agreements in any of the following general categories:

(A) Personal accident insurance covering the risks of travel, including, but not limited to, accident and health insurance that provides coverage, as applicable, to renters and other rental vehicle occupants for accidental death or dismemberment and reimbursement for medical expenses resulting from an accident that occurs during the rental period;

(B) Liability insurance (which may include uninsured and underinsured motorist coverage whether offered separately or in combination with other liability insurance) that provides coverage, as applicable, to renters and other authorized drivers of rental vehicles for liability arising from the operation of the rental vehicle;

(C) Personal effects insurance that provides coverage, applicable to renters and other vehicle occupants of the loss of, or damage to, personal effects that occurs during the rental period;

(D) Roadside assistance and emergency sickness protection programs; and

(E) Any other travel or auto-related coverage that a rental company offers in connection with and incidental to the rental of vehicles.

(i) Each rental company for which an employee has received a limited license pursuant to this section shall conduct a training program in which its employees being trained shall receive basic instruction about the kinds of coverage specified in this section and offered for purchase by prospective renters of rental vehicles: Provided, That limited licensees and employees working hereunder are not subject to the agent prelicensing education, examination or continuing education requirements of this article.

(j) Notwithstanding any other provision of this section, or any rule adopted by the commissioner neither the rental company, the limited licensee, nor the other employees working with the limited licensee at the rental company, shall be required to treat moneys collected from renters purchasing such insurance when renting vehicles as funds received in a fiduciary capacity, provided that the charges for coverage shall be itemized and be ancillary to a rental transaction. The sale of insurance not in conjunction with a rental transaction may not be permitted.
ARTICLE 21. RECIPROCAL INSURERS.
§33-21-2. General laws applicable.

Except as otherwise provided, and except where the context clearly requires otherwise, all the provisions of this chapter relating to insurers generally, and all the provisions of this chapter relating to insurers transacting the same kinds of insurance which reciprocal insurers are permitted to transact, are applicable to reciprocal insurers, except that ~~article~~ articles twelve and twelve-c of this chapter shall not apply to reciprocal insurers.
ARTICLE 23. FRATERNAL BENEFIT SOCIETIES.
§33-23-2. Applicability of other provisions.

Every fraternal benefit society shall be governed and be subject to the same extent as other insurers transacting like kinds of insurance, to the following articles of this chapter: Article one (definitions); article two (insurance commissioner); article four (general provisions); section ~~thirty~~ thirty-four, article six (fee for form and rate filing); article seven (assets and liabilities); article ten (rehabilitation and liquidation); article eleven (unfair trade practices); article twelve (~~agents, brokers,~~ insurance producers and solicitors); ~~and excess lines~~ article twelve-c (excess line); article thirteen (life insurance); article thirteen-a (variable contracts); article fifteen-a (long-term care insurance); article twenty-seven (insurance holding company systems); article thirty-three (annual audited financial report); article thirty-four (administrative supervision); article thirty-four-a (standards and commissioner's authority for companies considered to be in hazardous financial condition); article thirty-five (criminal sanctions for failure to report impairment); article thirty-seven (managing general agents); and article thirty-nine (disclosure of material transactions).
§33-23-33. Agents.

Commencing on the first day of June, one thousand nine hundred eighty-nine, agents for fraternal benefit societies shall be required to be licensed pursuant to chapter thirty-three of the code of West Virginia, one thousand nine hundred thirty-one, as amended: Provided, That any person who was acting as or serving in the role of an agent for a fraternal benefit society on or before the first day of July, one thousand nine hundred eighty-nine, shall be exempt from the examination requirement of ~~subsection (e), section two~~ section five, article twelve of this chapter: Provided, however, That any person who is a salaried officer, employee or member of a fraternal benefit society, and who as an occasional and incidental duty of ~~such~~ his or her position may solicit a fraternal insurance contract from a member of ~~such~~ the fraternal benefit society, ~~such~~ the person shall be exempt from the continuing education requirements otherwise made subject to insurance agents by this chapter and the examination requirements of ~~subsection (e), section two~~ section five, article twelve of this chapter if ~~such~~ the person receives no commission or other compensation based directly on ~~such~~ the solicitation of fraternal insurance contracts and if ~~such~~ the person makes no solicitation of insurance of any kind to or from persons who are not members of such fraternal benefit society. For the purpose of this article the solicitation of a fraternal insurance contract by such salaried officer, employee, or member from a new member of ~~such~~ the society simultaneously with ~~such~~ the new member's joining such society shall be ~~deemed~~ considered the solicitation of a member.
ARTICLE 24. HOSPITAL SERVICE CORPORATIONS, MEDICAL SERVICE CORPORATIONS, DENTAL SERVICE CORPORATIONS AND HEALTH SERVICE CORPORATIONS.

§33-24-4. Tax exemptions; applicability of insurance laws.

Every corporation defined in section two of this article is hereby declared to be a scientific, nonprofit institution and exempt from the payment of all property and other taxes. Every corporation, to the same extent the provisions are applicable to insurers transacting similar kinds of insurance and not inconsistent with the provisions of this article, shall be governed by and be subject to the provisions as hereinbelow indicated, of the following articles of this chapter: Article two (insurance commissioner), except that, under section nine of said article, examinations shall be conducted at least once every four years; article four (general provisions), except that section sixteen of said article may not be applicable thereto; section twenty, article five (borrowing by insurers); section thirty-four, article six (fee for form and rate filing); article six-c (guaranteed loss ratio); article seven (assets and liabilities); article eight-a (use of clearing corporations and federal reserve book-entry system); article eleven (unfair trade practices); article twelve (~~agents, brokers~~ insurance producers and solicitors), except that the agent's license fee shall be twenty-five dollars; article twelve-c (excess lines); section two-a, article fifteen (definitions); section two-b, article fifteen (guaranteed issue); section two-d, article fifteen (exception to guaranteed renewability); section two- e, article fifteen (discontinuation of coverage); section two-f, article fifteen (certification of creditable coverage); section two-g, article fifteen (applicability); section four-e, article fifteen (benefits for mothers and newborns); section fourteen, article fifteen (individual accident and sickness insurance); section sixteen, article fifteen (coverage of children); section eighteen, article fifteen (equal treatment of state agency); section nineteen, article fifteen (coordination of benefits with medicaid); article fifteen-a (long-term care insurance); article fifteen-c (diabetes insurance); section three, article sixteen (required policy provisions); section three-a, article sixteen (mental health); section three-c, article sixteen (group accident and sickness insurance); section three-d, article sixteen (medicare supplement insurance); section three-f, article sixteen (treatment of temporomandibular joint disorder and craniomandibular disorder); section three-j, article sixteen (benefits for mothers and newborns); section three-k, article sixteen (preexisting condition exclusions); section three-l, article sixteen (guaranteed renewability); section three-m, article sixteen (creditable coverage); section three-n, article sixteen (eligibility for enrollment); section eleven, article sixteen (coverage of children); section thirteen, article sixteen (equal treatment of state agency); section fourteen, article sixteen (coordination of benefits with medicaid); section sixteen, article sixteen (diabetes insurance); article sixteen-a (group health insurance conversion); ~~article sixteen-c (small employer group policies);~~ article sixteen-d (marketing and rate practices for small employers); article twenty-six-a (West Virginia life and health insurance guaranty association act), after the first day of October, one thousand nine hundred ninety-one; article twenty-seven (insurance holding company systems); article twenty-eight (individual accident and sickness insurance minimum standards); article thirty-three (annual audited financial report); article thirty-four (administrative supervision); article thirty-four-a (standards and commissioner's authority for companies considered to be in hazardous financial condition); article thirty-five (criminal sanctions for failure to report impairment); article thirty-seven (managing general agents); and article forty- one (privileges and immunity); and no other provision of this chapter may apply to these corporations unless specifically made applicable by the provisions of this article. If, however, the corporation is converted into a corporation organized for a pecuniary profit or if it transacts business without having obtained a license as required by section five of this article, it shall thereupon forfeit its right to these exemptions.
ARTICLE 25D. PREPAID LIMITED HEALTH SERVICE ORGANIZATION.
§33-25D-26. Statutory construction and relationship to other laws.

(a) Except as otherwise provided in this article, provisions of the insurance laws, provisions of hospital, medical, dental or health service corporation laws and provisions of health maintenance organization laws are not applicable to any prepaid limited health service organization granted a certificate of authority under this article. The provisions of this article do not apply to an insurer, hospital, medical, dental or health service corporation, or health maintenance organization licensed and regulated pursuant to the insurance laws, hospital, medical, dental or health service corporation laws or health maintenance organization laws of this state except with respect to its prepaid limited health service corporation activities authorized and regulated pursuant to this article. The provisions of this article do not apply to an entity properly licensed by a reciprocal state to provide a limited health care service to employer groups, where residents of West Virginia are members of an employer group, and the employer group contract is entered into in the reciprocal state. For purposes of this subsection, a "reciprocal state" means a state which physically borders West Virginia and which has subscriber or enrollee hold harmless requirements substantially similar to those set out in section ten of this article.

(b) Factually accurate advertising or solicitation regarding the range of services provided, the premiums and copayments charged, the sites of services and hours of operation, and any other quantifiable, nonprofessional aspects of its operation by a prepaid limited health service organization granted a certificate of authority, or its representative do not violate any provision of law relating to solicitation or advertising by health professions: Provided, That nothing contained in this subsection authorizes any solicitation or advertising which identifies or refers to any individual provider or makes any qualitative judgment concerning any provider.

(c) Any prepaid limited health service organization authorized under this article is not considered to be practicing medicine and is exempt from the provision of chapter thirty of this code, relating to the practice of medicine.

(d) The provisions of section nine, article two, examinations; section thirteen, article two, hearings; sections fifteen and twenty, article four, general provisions; section twenty, article five, borrowing by insurers; section seventeen, article six, noncomplying forms; article six-c, guaranteed loss ratio; article seven, assets and liabilities; article eight, investments; article eight-a (use of clearing corporations and federal book-entry system); article nine, administration of deposits; article ten, rehabilitation and liquidation; article twelve, ~~agents, brokers,~~ insurance producers and solicitors; ~~and excess line~~ article twelve-c, excess lines; section fourteen, article fifteen, individual accident and sickness insurance; section sixteen, article fifteen, coverage of children; section eighteen, article fifteen, equal treatment of state agency; section nineteen, article fifteen, coordination of benefits with medicaid; article fifteen-b, uniform health care administration act; section three, article sixteen, required policy provisions; section eleven, article sixteen, coverage of children; section thirteen, article sixteen, equal treatment of state agency; section fourteen, article sixteen, coordination of benefits with medicaid; article sixteen-a, group health insurance conversion; article sixteen-d, marketing and rate practices for small employers; article twenty-seven, insurance holding company systems; article thirty-three, annual audited financial report; article thirty-four, administrative supervision; article thirty-four-a, standards and commissioner's authority for companies considered to be in hazardous financial condition; article thirty-five, criminal sanctions for failure to report impairment; article thirty-seven, managing general agents; article thirty-nine, disclosure of material transactions; and article forty-one, privileges and immunity, all of this chapter are applicable to any prepaid limited health service organization granted a certificate of authority under this article. In circumstances where the code provisions made applicable to prepaid limited health service organizations by this section refer to the 'insurer,' the 'corporation' or words of similar import, the language includes prepaid limited health service organizations.

(e) Any long-term care insurance policy delivered or issued for delivery in this state by a prepaid limited health service organization shall comply with the provisions of article fifteen-a of this chapter.

(f) A prepaid limited health service organization granted a certificate of authority under this article is exempt from paying municipal business and occupation taxes on gross income it receives from its enrollees, or from their employers or others on their behalf, for health care items or services provided directly or indirectly by the prepaid limited health service organization.
ARTICLE 32. RISK RETENTION ACT.
§33-32-21. Duty on agent or broker to obtain license.

(a) A person, or a person working for a firm, association or corporation, shall not act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state from a risk retention group unless such person, or person working for a firm, association or corporation, is licensed as an individual insurance ~~agent~~ producer in accordance with article twelve of this chapter.

(b) A person, or a person working for a firm, association or corporation, shall not act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state for a purchasing group from an authorized insurer or a risk retention group chartered in a state unless such person, or person working for a firm, association or corporation, is licensed as an individual insurance ~~agent~~ producer in accordance with article twelve of this chapter.

(c) A person, or a person working for a firm, association or corporation, shall not act or aid in any manner in soliciting, negotiating or procuring liability insurance coverage in this state for any member of a purchasing group under a purchasing group's policy unless such person, or person working for a firm, association or corporation, is licensed as an individual insurance ~~agent~~ producer in accordance with article twelve of this chapter.

(d) A person, or a person working for a firm, association or corporation, shall not act or aid in any manner in soliciting, negotiating or procuring liability insurance from an insurer not authorized to do business in this state on behalf of a purchasing group located in this state unless such person, or person working for a firm, association or corporation, is licensed as ~~an excess line broker~~ a surplus lines licensee in accordance with ~~section thirteen, article twelve~~ article twelve-c of this chapter.

(e) For purposes of acting as an agent for a risk retention group or purchasing group pursuant to the provisions of this section, the requirement of residence in this state shall not apply.

(f) Every person, or person working for a firm, association or corporation, licensed pursuant to the provisions of this chapter, on business placed with risk retention groups or written through a purchasing group, shall inform each prospective insured of the provisions of the notice required by section nine of this article in the case of a risk retention group and in the case of a purchasing group, the notice required by subsection (b), section eighteen of this article."

The bill was then ordered to engrossment and third reading.

Com. Sub. for H. B. 2965, Authorizing the division of corrections and the state fire marshal to retire, transfer or dispose of canines used within these departments; on second reading, coming up in regular order, was read a second time and ordered to engrossment and third reading.

Com. Sub. for H. B. 3014, Relating generally to "Main Street Fairness Act of 2003"; on second reading, coming up in regular order, was read a second time and ordered to engrossment and third reading.
First Reading

The following bills on first reading, coming up in regular order, were each read a first time and ordered to second reading:

S. B. 283, Continuing public service commission,

Com. Sub. for H. B. 2056, Creating the Great Family Literacy Act and establishing a voluntary checkoff on income tax returns to help fund the program,

Com. Sub. for H. B. 2083, Expanding personnel covered by job sharing in the school system,

Com. Sub. for H. B. 2679, Authorizing certain counties to count absentee ballots during election period,

Com. Sub. for H. B. 2715, Modernizing the regulation of surplus lines' insurers by enactment of the NAIC non-admitted insurance model act,

Com. Sub. For H. B. 2744, Eliminating the exemption for government employees performing electrical work on governmental property from having to possess an electrician's license,

H. B. 2797, Authorizing the DMV to reimburse members of the motor vehicle dealer advisory board and the motorcycle safety awareness board for necessary expenses,

Com. Sub. for H. B. 2818, Authorizing the county commissions of growth counties to include the transfer of development rights as part of a zoning ordinance,

Com. Sub. for H. B. 3046, Facilitating compliance with and enforcement of provisions of the Tobacco Master Settlement Agreement,

And,

H. B. 3189, Reducing the total tax credits available under the capital company act during the fiscal year beginning on the first day of July, two thousand three.
Miscellaneous Business

Delegates Shaver, Williams and Ferrell announced that they were absent on February 24, 2003 when the votes were taken on Roll Nos. 111 and 112, and that had they been present, they would have voted "Yea" thereon.

At 12:30 p. m., on motion of Delegate Staton, the House of Delegates recessed until 5:00 p. m., and reconvened at that time.
* * * * * * * * * *
Evening Session
* * * * * * * * * *

At the request of Delegate Staton, and by unanimous consent, the House of Delegates returned to the Third Order of Business for the purpose of receiving committee reports.
Committee Reports

On motion for leave, bills were introduced (Originating in the Committee on Finance and reported by unanimous vote of the Committee, with the recommendation that they each do pass), which were read by their titles, as follows:

By Delegates Michael, Boggs, Stalnaker, Proudfoot, Thompson, Browning and Ashley:
H. B. 3191 - "A Bill to repeal article one-d, chapter five of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to the governor's office of fiscal risk analysis and management,"

And,

By Delegates Houston, Cann, Warner, Leach, Frederick, Proudfoot and Anderson:
H. B. 3192 - "A Bill to repeal article one-c, chapter five of the code of West Virginia, one thousand nine hundred thirty-one, as amended; and to amend and reenact chapter five-b of said code, by adding thereto a new article, designated article two-c, relating to creation of the West Virginia academy of science and technology; declaring the legislative purpose; establishing the academy council; defining the qualifications and selection of members; establishing terms of members; providing that members shall not be entitled to compensation except for expenses; establishing a position of executive director of the council; defining the duties of the council and the executive director; providing for the nomination of fellows of the academy and their participation in working groups of the academy; requiring periodic reports; and providing for confidentiality of trade secrets."

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bills (H. B. 3191 and H. B. 3192) will be placed on the Consent Calendar.

Chairman Michael, from the Committee on Finance, submitted the following report, which was received:

Your Committee on Finance has had under consideration:
H. B. 3027, Authorizing the tax commissioner to waive tax, interest and penalties in specified circumstances which are otherwise imposed on uncompensated members of the governing board or board of directors of certain tax exempt organizations,

And reports the same back, by unanimous vote of the Committee, with the recommendation that it do pass.

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 3027) will be placed on the Consent Calendar.

Chairman Amores, from the Committee on the Judiciary, submitted the following report, which was received:

Your Committee on the Judiciary has had under consideration:
H. B. 2456, Allowing persons to defend their family, other persons, dwellings and valuable property with deadly force without being exposed to civil liability,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 2456 - "A Bill to amend article seven, chapter fifty-five of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new section, designated section twenty-one, relating to defense of self, others and property; and providing limited immunity from civil liability,"

And,

H. B. 2967, Prohibiting discrimination in providing access to public accommodations because of means of a person's transportation or insignia on clothing,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 2967 - "A Bill to amend article one, chapter thirty-five-a of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new section, designated section eight, relating to discrimination against members of duly registered clubs or organizations; and providing for criminal penalties,"

With the recommendation that the committee substitutes each do pass.

Chairman Amores, from the Committee on the Judiciary, submitted the following report, which was received:

Your Committee on the Judiciary has had under consideration:
H. J. R. 6, Increase of Terms of Members of the Legislature Amendment,

And reports back a committee substitute therefor, with the same title, as follows:

Com. Sub. for H. J. R. 6 - "Proposing an amendment to the Constitution of the State of West Virginia, amending section three, article six thereof, relating to increasing the terms of members of the House of Delegates from two to four years; and increasing the terms of members of the State Senate from four to six years; numbering and designating such proposed amendment; and providing a summarized statement of the purpose of such proposed amendment,"

With the recommendation that the committee substitute be adopted.

Chairman Amores, from the Committee on the Judiciary, submitted the following report, which was received:

Your Committee on the Judiciary has had under consideration:
H. B. 3062, Authorizing stockholders of closely held corporations to file suit for partition of real estate owned by the corporation when the real estate is the only substantial asset of the corporation,

And,
H. B. 3084, Restructuring the support enforcement commission in the areas of membership, duties and powers,

And reports the same back, by unanimous vote of the Committee, with the recommendation that they each do pass.

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bills (H. B. 3062 and H. B. 3084) will be placed on the Consent Calendar.

Chairman Michael, from the Committee on Finance, submitted the following report, which was received:

Your Committee on Finance has had under consideration:

H. B. 2828, Increasing certain county clerk, circuit clerk, assessor, sheriff, prosecuting attorney and magistrate court fees,

And reports back a committee substitute therefor, with a new title, as follows:

Com. Sub. for H. B. 2828 - "A Bill to amend and reenact section seven, article one-c, chapter eleven of the code of West Virginia, one thousand nine hundred thirty-one, as amended; to amend and reenact section twenty-six, article three, chapter eleven-a of said code; to amend and reenact sections one and two, article three, chapter fifty of said code; to amend and reenact sections ten and eleven, article one, chapter fifty-nine of said code; to amend and reenact section twenty- eight-a, article one, chapter fifty-nine of said code; to amend and reenact section seventeen, article two of said chapter; and to amend and reenact section four, article seven, chapter sixty-one of said code, all relating to increasing certain county clerk, circuit clerk, assessor, sheriff, prosecuting attorney and magistrate court fees; and dedicating portions of those fee increases to the courthouse facilities improvement fund, to a special revenue account administered by the executive director of public defender services to provide funding for public defender corporations and to the special revenue account to provide funding for legal services to domestic violence victims,"

With the recommendation that the committee substitute do pass.

Chairman Beane, from the Committee on Government Organization, submitted the following report, which was received:

Your Committee on Government Organization has had under consideration:
H. B. 3013, Providing for an additional internal controls and procedures for the purchase card program,

And reports the same back with the recommendation that it do pass, but that it first be referred to the Committee on Finance.

In accordance with the former direction of the Speaker, the bill (H. B. 3013) was referred to the Committee on Finance.

Chairman Beane, from the Committee on Government Organization, submitted the following report, which was received:

Your Committee on Government Organization has had under consideration:

H. B. 2861, Authorizing local housing authorities to authorize low-income housing residents to purchase dwelling units within the housing project,

And reports the same back, with amendment, with the recommendation that it do pass, as amended, but that it first be referred to the Committee on the Judiciary.

In accordance with the former direction of the Speaker, the bill (H. B. 2861) was referred to the Committee on the Judiciary.

Chairman Beane, from the Committee on Government Organization, submitted the following report, which was received:

Your Committee on Government Organization has had under consideration:

H. B. 2717, Transferring the rule-making authority from the environmental quality board to the water quality board,

And reports the same back, with amendment, with the recommendation that it do pass, as amended, but that it first be referred to the Committee on the Judiciary.

In accordance with the former direction of the Speaker, the bill (H. B. 2717) was referred to the Committee on the Judiciary.

Chairman Beane, from the Committee on Government Organization, submitted the following report, which was received:

Your Committee on Government Organization has had under consideration:

H. B. 3141, Requiring the contractor licensing board to provide renewal notice to licensees,

And reports the same back with the recommendation that it do pass, but that it first be referred to the Committee on Finance.

In accordance with the former direction of the Speaker, the bill (H. B. 3141) was referred to the Committee on Finance.

On motion for leave, a bill was introduced (Originating in the Committee on Education and reported by unanimous vote of the Committee, with the recommendation that it do pass), which was read by its title, as follows:

By Delegates Perry, Swartzmiller, Wakim, Crosier, Tabb, Hartman and Sumner:
H. B. 3193 - "A Bill to amend and reenact section four, article eight, chapter eighteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to reports on school attendance for purposes of accountability; and excluding certain absences."

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 3193) will be placed on the Consent Calendar.

On motion for leave, a bill was introduced (Originating in the Committee on Finance and reported by unanimous vote of the Committee, with the recommendation that it do pass), which was read by its title, as follows:

By Delegates Michael, Warner, Stalnaker, Boggs, Proudfoot, Thompson and Susman:
H. B. 3194 - "A Bill to amend and reenact section two hundred two, article two, chapter thirty-two of the code of West Virginia, one thousand nine hundred thirty-one, as amended; to amend and reenact section three hundred five, article three of said chapter; and to amend and reenact section four hundred six, article four of said chapter, all relating to updating fee structure provisions."

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 3194) will be placed on the Consent Calendar.

On motion for leave, a bill was introduced (Originating in the Committee on Government Organization and reported by unanimous vote of the Committee, with the recommendation that it do pass), which was read by its title, as follows:

By Delegates Beane, Kuhn, Butcher, Martin, Perdue, Leggett and Azinger:
H. B. 3195 - "A Bill to amend and reenact sections four, four-a, five, five-a and five-b, article ten, chapter four of the code of West Virginia, one thousand nine hundred thirty-one, as amended; changing agency termination dates pursuant to the West Virginia sunset law."

Having been reported from committee with no dissenting vote, and in accordance with the provisions of House Rule 70a, the foregoing bill (H. B. 3195) will be placed on the Consent Calendar.

On motions for leave, resolutions were introduced (Originating in the Committee on Education and reported with the recommendation that they each be adopted), which were read by their titles, as follows:
By Delegates Mezzatesta, Williams, Beach, Crosier, Fragale, Hartman, Long, Louisos, Paxton, Perry, Poling, Renner, Shaver, Shelton, Stemple, Tabb, Swartzmiller, Duke, Hamilton, Howard, Romine, Sobonya, Sumner, Wakim and Canterbury:

H. C. R. 56 - "A resolution directing the joint committee on government and finance to make a study on the grievance procedures for public school employees."

Whereas, The grievance procedures are intended as a process through which school employees and their employers can reach solutions to problems which arise between them within the scope of their employment relationship; and

Whereas, The grievance procedures are intended as an efficient and fair alternative to other more costly means of resolving these problems; and

Whereas, Many suggestions for further improving the grievance procedures are brought before the committees of the Legislature each year; therefore, be it

Resolved by the Legislature of West Virginia:

That the joint committee on government and finance is hereby directed to make a study on the grievance procedures for public school employees; and be it

And,

By Delegates Mezzatesta, Williams, Beach, Crosier, Fragale, Hartman, Long, Louisos, Paxton, Perry, Poling, Renner, Shaver, Shelton, Stemple, Tabb, Swartzmiller, Duke, Hamilton, Howard, Romine, Sobonya, Sumner, Wakim and Canterbury:

H. C. R. 57 - "A resolution directing the joint committee on government and finance to make a study on school transportation."

Whereas, The expense of transporting students to and from school and for both curricular and extra curricular trips is a major expense for school systems; and

Whereas, Parents and students must often raise money to enable students to partake of valuable learning experiences because of the expense of student transportation to locations other than the school; and

Whereas, Restrictive laws and policies for the transporting of students are intended to protect student health and safety, but also contribute to the high cost of student transportation; therefore, be it

Resolved by the Legislature of West Virginia:

That the joint committee on government and finance is hereby directed to conduct a study on school transportation; and be it

Chairman Amores, from the Committee on the Judiciary, submitted the following report, which was received:

Your Committee on the Judiciary has had under consideration:
H. B. 2482, Establishing a system of regulating and licensing persons who sell new or used motor vehicles,

And reports the same back, with amendment, with the recommendation that it do pass, as amended, but that it first be referred to the Committee on Finance.

At the respective requests of Delegate Staton, and by unanimous consent, the bill was taken up for immediate consideration, read a first time, ordered to second reading and then, in accordance with the former direction of the Speaker, referred to the Committee on Finance.
Messages From the Senate

A message from the Senate, by

The Clerk of the Senate, announced that the Senate had refused to recede from its amendment and requested the House of Delegates to agree to the appointment of a Committee of Conference of five from each house on the disagreeing votes of the two houses as to
Com. Sub. for H. B. 2120, Relating to workers' compensation generally.

The message further announced that the President of the Senate had appointed as conferees on the part of the Senate the following:

Senators McCabe, Helmick, Kessler, Sharpe and Sprouse.

On motion of Delegate Staton, the House of Delegates agreed to the appointment of a Committee of Conference of five from each house on the disagreeing votes of the two houses.

Whereupon,

The Speaker appointed as conferees on the part of the House of Delegates the following:

Delegates Michael, Cann, Mezzatesta, Doyle and Hall.

Ordered, That the Clerk of the House communicate to the Senate the action of the House of Delegates.

A message from the Senate, by