Biennial Report to the 83rd Texas Legislature: Department of Insurance Page: 43
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Legislative Considerations
Amusement Rides
Background:
TDI is the state's administrator for the Amusement Ride Safety Inspection and Insurance Act under
Occupations Code, Section 2151. To operate legally in Texas, an amusement ride owner or operator must
file with TDI an insurance policy with certain limits of bodily injury coverage for persons using the ride, an
annual amusement ride safety inspection certificate, and a $40 filing fee per amusement ride. There are no
other regulatory requirements.
For nearly three decades TDI has served as the Texas administrator for the Amusement Ride Safety
Inspection and Insurance Act. The Amusement Ride Safety Inspection and Insurance Act encompasses a
broad spectrum of rides, from mobile carnival rides and theme park rides to mechanical bull and bounce-
house rentals. TDI has seen a steady increase in the number of amusement rides in the state over the last
several decades. During FY 2012, TDI issued 6,618 compliance stickers.
TDI discovers noncompliant rides through competitors reporting noncompliant owners or operators,
comparing online searches of amusement ride businesses with the TDI database of amusement rides, and
injury inquiries from consumers. Currently, if TDI is aware of a noncompliant ride, TDI will send the
owner or operator a notice of noncompliance requesting the owner or operator to demonstrate compliance
with the statute. If compliance is not demonstrated, TDI notifies the Office of the Attorney General
(OAG), the owner or operator, and local law enforcement, among others.
Concerns:
TDI does not have an effective and efficient means of monitoring compliance with the requirements of the
Amusement Ride Safety Inspection and Insurance Act or an effective means of recourse when instances of
noncompliance are identified. TDI has seen a nearly 400 percent increase in the number applications filed
since 2005. This increase can be attributed to the increase in amusement ride rentals for public use, such as
bounce houses and rock climbing. While these are the areas that are increasing the most, they are also the
most difficult for TDI to monitor.
Ultimate enforcement authority lies with the OAG, and local law enforcement officials. It is discretionary
for law enforcement to charge owners or operators with a Class B misdemeanor if they are found operating
a noncompliant amusement ride.
Suggested Considerations:
The Texas Legislature may wish to:
" provide TDI with adequate authority to effectively enforce the state's amusement ride statutes and
remove the discretionary provision for law enforcement; and43
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Texas. Department of Insurance. Biennial Report to the 83rd Texas Legislature: Department of Insurance, report, December 2012; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth575994/m1/44/: accessed July 8, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.