Relating to a grant program for nonprofit organizations supporting employees of the Department of Public Safety; authorizing voluntary contributions.
LowStandard timeline
Low Cost
Effective:2025-06-20
Enforcing Agencies
Department of Public Safety • 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 (Law is currently in effect).
Compliance Deadline: January 1, 2026 (Date when DPS application forms must include the donation option).
Agency Rulemaking: The Department of Public Safety (DPS) must establish grant application procedures and eligibility criteria prior to January 1, 2026. Nonprofits intending to apply for funds must monitor the *Texas Register* during Q3/Q4 2025 for these rules.
Immediate Action Plan
1.Update Expense Policies: Explicitly state whether the company will reimburse voluntary charitable contributions made during CDL/DL renewals.
2.Audit Contracts: Ensure standard employment contracts for drivers do not inadvertently contract the company to pay for voluntary donations.
3.Monitor Rulemaking (Nonprofits only): Assign a development officer to track DPS rulemaking in Q3 2025 to secure early access to the grant application process.
4.Communicate to Drivers: Issue a memo prior to January 2026 informing drivers that while they are free to donate, the company will only reimburse the base renewal fee.
Operational Changes Required
Contracts
Employment Agreements: Review "Tools of the Trade" or licensure reimbursement clauses for CDL holders. If contracts state the company covers "all fees associated with licensure," amend language to specify "mandatory statutory fees only" to exclude voluntary charitable contributions.
Hiring/Training
Finance/Accounts Payable: Train staff to audit DPS receipts submitted for reimbursement after January 1, 2026. They must identify and flag the "Voluntary Contribution" line item to ensure it aligns with company policy.
Reporting & Record-Keeping
Nonprofit Grant Recipients: Organizations receiving these funds must segregate them in financial ledgers. These funds are subject to audit by the Comptroller and are restricted to specific uses (assistance to DPS employees/families).
Corporate Tax: Employers reimbursing these fees must separate the licensure fee (business expense) from the contribution (potentially non-deductible or charitable contribution) in internal tax records.
Fees & Costs
Voluntary Fee: A minimum of $3.00 per applicant.
Budget Impact: Negligible for employers with strict reimbursement policies; potentially cumulative for large fleets with loose policies regarding "incidental" fees.
Strategic Ambiguities & Considerations
Grant Eligibility Criteria: The law grants DPS broad authority to define which nonprofits qualify. It is currently unclear if general law enforcement associations qualify or only those exclusively serving DPS.
"Reasonable Expenses": DPS is authorized to deduct administrative costs before remitting funds. The percentage of the donation that actually reaches the nonprofit sector is currently undefined and will be determined by internal DPS accounting protocols.
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Homeland Security, Public Safety & Veterans' Affairs
Committee Report (Substituted)
BACKGROUND AND PURPOSE
The bill author has informed the committee that the Texas Department of Public Safety (DPS) plays a critical role in ensuring public safety in Texas and that while various nonprofit organizations support DPS employees and operations through different initiatives, there is currently no formal or state-administered program to provide funding for these nonprofits that support DPS and its employees. C.S.H.B. 3033 seeks to address this issue by establishing a grant program to provide financial support to eligible nonprofit organizations that aid DPS employees and the families of DPS employees who have been killed or injured in the line of duty.
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 this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
C.S.H.B. 3033 amends the Government Code to require the Department of Public Safety (DPS) to establish and administer a grant program for and disburse funds to nonprofit organizations that provide support to DPS employees, including support for family members of DPS employees who have been killed or injured in the line of duty. The bill restricts the use of grant funds to the following:
·providing assistance and support to DPS employees;
·providing assistance and support to family members of DPS employees who have been killed or injured in the line of duty; and
·memorial signs for DPS employees who have been killed in the line of duty.
The bill subjects those grant funds to audit by the comptroller of public accounts and requires DPS to establish grant application procedures, guidelines relating to grant amounts, and criteria for evaluating grant applications. The bill creates the nonprofit organizations supporting employees of DPS account as a dedicated account in the general revenue fund of the state treasury and restricts the appropriation of money in that account to DPS for purposes of the grant program established under these provisions.
C.S.H.B. 3033 amends the Transportation Code to authorize a person applying for an original or renewal driver's license, commercial driver's license, or personal identification certificate to contribute $3 or more to the grant program for nonprofit organizations supporting DPS employees established under the bill's provisions. The bill requires DPS to do the following:
·include space on the first page of each application for an original or renewal driver's license, commercial driver's license, or personal identification certificate that allows an applicant to indicate the amount that the applicant is voluntarily contributing to the grant program; and
·provide an opportunity for the applicant to contribute to the grant program during the application process for such an original or renewal license or certificate on DPS's website.
The bill requires DPS to send any contribution made under these provisions to the comptroller for deposit to the credit of the nonprofit organizations supporting employees of DPS account not later than the 14th day of each month and authorizes DPS, before sending the money to the comptroller, to deduct money equal to the amount of reasonable expenses for administering these provisions.
C.S.H.B. 3033 applies only to a person who applies for an original or renewal driver's license, commercial driver's license, or personal identification certificate on or after January 1, 2026.
EFFECTIVE DATE
September 1, 2025.
COMPARISON OF INTRODUCED AND SUBSTITUTE
While C.S.H.B. 3033 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill.
Whereas the introduced required DPS to establish and administer a grant program for and disburse funds to nonprofit organizations that provide support to DPS, including support for DPS employees, the substitute requires DPS to establish and administer a grant program for and disburse funds to nonprofit organizations that provide support to DPS employees, including support for family members of DPS employees who have been killed or injured in the line of duty, and makes conforming changes to reflect those differences. Accordingly, whereas the introduced restricted the use of grant funds to providing support to DPS, the substitute restricts the use of grant funds to the following:
·providing assistance and support to DPS employees;
·providing assistance and support to family members of DPS employees who have been killed or injured in the line of duty; and
·memorial signs for DPS employees who have been killed in the line of duty.
Finally, the substitute changes the name of the account created by the bill from the nonprofit organizations supporting DPS account, as in the introduced, to the nonprofit organizations supporting employees of DPS account.
Honorable Cole Hefner, Chair, House Committee on Homeland Security, Public Safety & Veterans' Affairs
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB3033 by Craddick (Relating to a grant program for nonprofit organizations supporting the Department of Public Safety; authorizing voluntary contributions.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would establish the grant program for nonprofit organizations supporting the Department of Public Safety (DPS) and allow certain applicants to donate to the program. The bill would also direct DPS to send all contributions to the Comptroller each month, less reasonable expenses for administering the program.
According to DPS and the Department of Information Resources, there may be costs associated with updating Texas.Gov transactions; however, it is assumed that any costs associated with the bill could be absorbed using existing resources.
According to the Comptroller, the bill's provisions would likely result in increased revenue from voluntary contributions. The amount that may be collected from voluntary contributions is unknown; therefore, the revenue implications to the state cannot be determined.
Note: This legislation would do one or more of the following: create or recreate a dedicated account in the General Revenue Fund, create or recreate a special or trust fund either in, with, or outside the Treasury, or create a dedicated revenue source. The fund, account, or revenue dedication included in this bill would be subject to funds consolidation review by the current Legislature.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td >
304 Comptroller of Public Accounts, 313 Department of Information Resources, 405 Department of Public Safety
LBB Staff: b > td >
JMc, MGol, CSh, KVEL
Related Legislation
Explore more bills from this author and on related topics
HB3033 mandates a new voluntary contribution option on all Texas Driver’s License, CDL, and Personal ID applications starting January 1, 2026. While primarily administrative for the state, companies reimbursing licensure fees must immediately update expense policies to distinguish between mandatory statutory fees and these new voluntary donations to avoid unintended costs. Implementation Timeline Effective Date: June 20, 2025 (Law is currently in effect).
Q
Who authored HB3033?
HB3033 was authored by Texas Representative Tom Craddick during the Regular Session.
Q
When was HB3033 signed into law?
HB3033 was signed into law by Governor Greg Abbott on June 20, 2025.
Q
Which agencies enforce HB3033?
HB3033 is enforced by Department of Public Safety and Comptroller of Public Accounts.
Q
How urgent is compliance with HB3033?
The compliance urgency for HB3033 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.
Q
What is the cost impact of HB3033?
The cost impact of HB3033 is estimated as "low". This may vary based on industry and implementation requirements.
Q
What topics does HB3033 address?
HB3033 addresses topics including charitable & nonprofit organizations, crimes, crimes--against persons, crimes--against persons--sexual and state finances.
Legislative data provided by LegiScanLast updated: November 25, 2025
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