Regular Session
Government Affairs & Regulatory Compliance Analysis
The Texas Legislature has enacted HB2563, establishing a state-administered self-insurance pool for Certified and Insured Prescribed Burn Managers (CIPBMs) to address the collapse of the commercial liability market. This legislation creates a viable but strictly regulated alternative for liability coverage for ranching, timber, and environmental consulting operations, contingent upon rigorous new reporting and training standards.
Rep. Trent Ashby·House Bill·Regular Session
Prescribed Burning Board • Texas A&M Forest Service
This legislation has regulatory implications for the following Texas businesses and organizations:
Notable regulatory updates (effective 2025-06-20). Consider how these changes may affect your operations.
Affected business types:
mediumModerate costs expected for implementation.
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Key implementation requirements and action items for compliance with this legislation
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.
This bill's path through the Texas Legislature
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Common questions about HB2563
The Texas Legislature has enacted HB2563, establishing a state-administered self-insurance pool for Certified and Insured Prescribed Burn Managers (CIPBMs) to address the collapse of the commercial liability market. This legislation creates a viable but strictly regulated alternative for liability coverage for ranching, timber, and environmental consulting operations, contingent upon rigorous new reporting and training standards.
HB2563 was authored by Texas Representative Trent Ashby during the Regular Session.
HB2563 was signed into law by Governor Greg Abbott on June 20, 2025.
HB2563 is enforced by Prescribed Burning Board and Texas A&M Forest Service.
The regulatory priority for HB2563 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of HB2563 is estimated as "medium". This may vary based on industry and implementation requirements.
HB2563 addresses topics including fire fighters & police, fire fighters & police--general, insurance, insurance--property & casualty and state finances.
Key dates for HB2563: Effective date is 2025-06-20. Rulemaking: Director authorized to adopt rules to implement the program, establish participation requirements, and set equipment/safety standards. (Not Specified); Develop a wildfire suppression training course required for continuing participation. (Not Specified). Consult with legal counsel regarding applicability.
HB2563 establishes the following penalties: administrative penalty of Termination of participation in pool for Making excessive claims under the self-insurance coverage.; administrative penalty of Referral for Disciplinary Action (License Sanctions) for Excessive claims referred to the Prescribed Burning Board under Natural Resources Code Section 153.102.. Consult with legal counsel for specific applicability to your situation.
HB2563 primarily affects insurance companies and financial institutions, property owners and real estate professionals. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.
JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.
