Sec. 119.007.  CERTAIN REQUIREMENTS FOR INITIAL COVERAGE;  SURCHARGE.  (a)  To obtain coverage during the initial coverage period, the standards included in the plan may require a county to participate in a risk management appraisal and to adhere to the recommendations made in the appraisal.  If the recommended risk management techniques do not sufficiently reduce losses to meet the pool's underwriting criteria within the initial coverage period, the county may be denied subsequent coverage by the pool.
(b)  A surcharge may be applied to any risk covered during the initial period if the risk does not meet the basic underwriting criteria established by the board.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.