Relating to a grant program to provide financial assistance to qualified ambulance service providers in certain rural counties.
ModeratePlan for compliance
Low Cost
Effective:2025-06-20
Enforcing Agencies
Comptroller of Public Accounts
01
Compliance Analysis
Key implementation requirements and action items for compliance with this legislation
Implementation Timeline
Effective Date: June 20, 2025
Compliance Deadline:January 1, 2026 (Grant application window opens). Applications must be submitted no later than the 30th day of the County’s fiscal year.
Agency Rulemaking: The Comptroller of Public Accounts must adopt rules regarding application standardization and authorized vehicle specifications by January 1, 2026. Until these rules are published, specific eligibility criteria regarding "predominant" rural operations remain in a regulatory gray zone.
Immediate Action Plan
1.Identify Fiscal Year Start: Determine the exact start date of your partner County's fiscal year (typically Oct 1 or Jan 1) to calculate your strict 30-day application deadline.
2.Secure Sponsorship: Present a formal request to the County Commissioners Court to act as the applicant on your behalf before December 2025.
3.Draft Indemnity Agreement: Prepare a legal agreement protecting the County from clawback liability to remove their hesitation to apply.
4.Monitor Appropriations: Watch the upcoming legislative session for the specific appropriation rider that funds HB3000.
5.Prepare Specs: Draft your ambulance specifications now so you can issue an RFP immediately upon grant award to beat supply chain delays (5-year possession clock starts upon receipt of funds).
Operational Changes Required
Contracts
County-Provider Agreements: You must amend existing service contracts to include an Indemnification Clause. Since the County is the grantee but the Provider holds the asset, the County will require protection against Comptroller "clawbacks" if the Provider fails to take possession of the ambulance within 5 years.
Budget Protection: Insert a reference to Section 130.914(g) in your renewal negotiations. This statutory provision prevents the county from cutting your operational funding as a penalty for receiving this capital grant.
Exclusivity: If you operate in multiple rural counties, you must contractually designate *one* specific county to submit the application on your behalf, as providers are limited to one grant beneficiary status per fiscal year.
Hiring/Training
Government Relations: Assign a liaison immediately to lobby the County Commissioners Court. The County is not required to apply for this grant; you must convince them to sponsor your application.
Procurement Compliance: Staff responsible for purchasing must be trained on state procurement standards to ensure the ambulance purchase meets the Comptroller's forthcoming specifications to avoid grant disqualification.
Reporting & Record-Keeping
Segregated Accounts: Counties must deposit grant funds into a dedicated, interest-bearing account. Providers must ensure their invoicing aligns strictly with this account's restrictions.
Proof of Possession: You must implement a tracking system to retain all purchase orders, delivery receipts, and VIN registrations for five years. Failure to prove possession within this window triggers a full repayment penalty.
Eligibility Data: Compile call volume and service area data now to prove you operate "predominantly" in the qualified county.
Fees & Costs
No Application Fee: There is no state fee to apply.
Legal Costs: Budget for legal counsel to draft the Memorandum of Understanding (MOU) between the Provider and the County regarding grant administration and liability.
Strategic Ambiguities & Considerations
Appropriations Risk: The bill creates the legal framework for the program, but the Fiscal Note indicates a "negative impact" on General Revenue initially. The Legislature must specifically appropriate funds to fill this grant bucket. Do not budget for this revenue until the Comptroller confirms cash availability.
Definition of "Predominantly": The statute requires providers to operate "predominantly" in a rural county but does not define the metric (e.g., >50% of revenue vs. >50% of call volume). This will be defined during the Comptroller's rulemaking process in late 2025.
"Necessary Accessories": It is currently undefined whether high-cost capital equipment (e.g., power loaders, cardiac monitors) qualifies as "necessary accessories" or if the grant is strictly for the vehicle chassis and box.
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The bill author has informed the committee that rural communities in Texas often face significant challenges in providing reliable and timely emergency medical services (EMS) and that many of these counties operate on limited budgets and lack the financial resources to purchase or upgrade ambulances. Long distances from trauma centers and low population density further strain local EMS systems, which may place residents at risk during medical emergencies. H.B. 3000 seeks to strengthen emergency response capabilities and ensure equitable access to lifesaving care in under-served regions of Texas by requiring the comptroller of public accounts to establish and administer the rural ambulance service grant program to support the stated purpose of ensuring adequate ground ambulance services by providing financial assistance to qualified rural ambulance service providers in qualified counties in Texas with a population of 68,750 or less.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is expressly granted to the comptroller of public accounts in SECTION 1 of this bill.
ANALYSIS
H.B. 3000 amends the Local Government Code to require the comptroller of public accounts, not later than January 1, 2026, to establish and administer the rural ambulance service grant program to support the state purpose of ensuring adequate ground ambulance services by providing financial assistance to qualified rural ambulance service providers in qualified counties. The bill defines "qualified county" as a county that has a population of 68,750 or less and "qualified rural ambulance service provider" as a private entity or public agency, as those terms are defined by Health and Safety Code provisions governing local administration of emergency communications, licensed by the Department of State Health Services to provide emergency medical services and operating predominantly in a rural area.
H.B. 3000 authorizes a qualified county to submit a grant application to the comptroller not later than the 30th day after the first day of the county's fiscal year and limits the authorized frequency of that submission to only one application each fiscal year. The bill makes a county that is awarded a grant under the bill's provisions ineligible to apply for an additional grant.
H.B. 3000 authorizes the comptroller to award a grant under the program to a qualified county using money appropriated to the comptroller for that purpose and only in accordance with a contract between the comptroller and the county that includes conditions providing the comptroller with sufficient control to ensure the public purpose of providing adequate ground ambulance services is accomplished. The bill requires the comptroller, in awarding grants, to consider the distance from a qualified county's county seat to the nearest Level I trauma facility and the county's ability to otherwise obtain the money necessary to provide adequate ground ambulance services. The bill caps the amount of an awarded grant at $500,000 for a county with a population of less than 10,000 and at $350,000 for a county with a population between 10,000 and 68,750.
H.B. 3000 authorizes a qualified county awarded a grant under the program to use or authorize the use of the grant money only to purchase ambulances as provided by comptroller rule and prohibits such a county from reducing the budget of the qualified rural ambulance service provider for the county's next fiscal year following the fiscal year of the grant award.
H.B. 3000 authorizes the comptroller to disburse a program grant award to a qualified county before the county places an order for an ambulance and requires the county to purchase and take possession of an ambulance with money awarded under the grant program not later than the fifth anniversary of the date the county receives the money. The bill requires the comptroller, not later than January 1, 2026, to adopt rules necessary to implement the bill's provisions, including rules to establish the following:
·a standardized application process, the form to apply for a grant, and the manner of submitting the form;
·deadlines for applying for a grant, disbursing grant money, and spending grant money;
·procedures for monitoring the disbursement of grant money to ensure compliance with the bill's provisions and for requiring the return of grant money awarded if a county fails to use the money for a purpose authorized by the bill; and
·the type of ground ambulance vehicles that may be purchased with grant money.
H.B. 3000 authorizes a qualified county to apply for a rural ambulance service grant on or after January 1, 2026.
Honorable Gary VanDeaver, Chair, House Committee on Public Health
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB3000 by King (Relating to a grant program to provide financial assistance to qualified ambulance service providers in certain rural counties.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB3000, As Introduced: a negative impact of ($864,000) through the biennium ending August 31, 2027.
There would be an additional indeterminate fiscal impact dependent on the amount of legislative appropriations for the purpose of providing grants.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five- Year Impact:
Fiscal Year
Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2026
($594,000)
2027
($270,000)
2028
($270,000)
2029
($270,000)
2030
($270,000)
All Funds, Five-Year Impact:
Fiscal Year
Probable Savings/(Cost) from General Revenue Fund 1
Change in Number of State Employees from FY 2025
2026
($594,000)
2.0
2027
($270,000)
2.0
2028
($270,000)
2.0
2029
($270,000)
2.0
2030
($270,000)
2.0
Fiscal Analysis
The bill would require the Comptroller to establish and administer the Rural Ambulance Service Grant Program to provide financial assistance to qualified rural ambulance service providers in qualified counties.
The Comptroller could award a grant to a qualified county using money appropriated for that purpose, and in accordance with a contract between the Comptroller that provides the Comptroller with control to ensure that the county is providing adequate ground ambulance services. Award amounts would not exceed $500,000 for counties with a population less than 10,000, and $350,000 for counties with a population between 10,000 and 68,750. A county could use a grant award only to purchase ambulances as provided by Comptroller rule, and before the fifth anniversary of the date the county receives the money. A county could submit only one application per fiscal year.
Methodology
According to the 2023 U.S Census Annual Estimates of the Residential Population for Counties in Texas, there are 92 counties with populations less than 10,000, and 109 counties with a population between 10,000 and 68,750. If all 201 counties applied and received the amount for which they are eligible, the total grants awarded would be $84,150,000 per fiscal year, or $168,300,000 for the biennium.
This analysis assumes the Comptroller would require two additional full-time equivalent (2.0 FTEs) positions to implement the legislation. The additional FTEs include: 1.0 Program Specialist IV to review applications, disburse funds and review compliance with the grant program, and 1.0 Attorney V to support the program with rulemaking and legal counsel support. The cost for the two FTEs would be $270,000 per fiscal year.
Technology
This analysis assumes the Comptroller would incur a one-time cost of $324,000 in fiscal year 2026 for 2,160 programming hours necessary to develop a new grant system.
Local Government Impact
Depending on levels of appropriations for the program, counties with a population less than 10,000 could have a positive fiscal impact of $500,000 per fiscal year, and counties with a population between 10,000 and 68,750 could have a positive fiscal impact of $350,000 per fiscal year.
Source Agencies:
304 Comptroller of Public Accounts
LBB Staff:
JMc, NPe, LCO, CSmi
Related Legislation
Explore more bills from this author and on related topics
HB3000 establishes a state grant program offering up to $500,000 to rural counties (population $\le$ 68,750) for the purchase of ambulances and equipment on behalf of private or public providers. While this offers significant capital relief, it legally binds the county to a "Maintenance of Effort" clause, prohibiting them from reducing the provider's operating budget in the fiscal year following the grant award. Implementation Timeline Effective Date: June 20, 2025 Compliance Deadline: January 1, 2026 (Grant application window opens).
Q
Who authored HB3000?
HB3000 was authored by Texas Representative Ken King during the Regular Session.
Q
When was HB3000 signed into law?
HB3000 was signed into law by Governor Greg Abbott on June 20, 2025.
Q
Which agencies enforce HB3000?
HB3000 is enforced by Comptroller of Public Accounts.
Q
How urgent is compliance with HB3000?
The compliance urgency for HB3000 is rated as "moderate". Businesses and organizations should review the requirements and timeline to ensure timely compliance.
Q
What is the cost impact of HB3000?
The cost impact of HB3000 is estimated as "low". This may vary based on industry and implementation requirements.
Q
What topics does HB3000 address?
HB3000 addresses topics including county government, county government--general, health, health--emergency services & personnel and health--rural.
Legislative data provided by LegiScanLast updated: November 25, 2025
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