Whereas, an immediate increase in revenue is required to prevent the curtailing of staff and services of the Office of the State Fire Marshal and the Maine Fire Training and Education Program; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. Special assessment on fire risks. To provide funds for the State Fire Marshal and the Maine Fire Training and Education Program, every fire insurance company or association that does business or collects premiums or assessments in the State shall collect pursuant to this section a special assessment from policyholders of insured fire risks located in the State.

1. Special assessment. The special assessment:

A. Must be collected on insured policies on all fire risks located in the State issued or renewed on or after July 1, 2002 and prior to July 1, 2003;

B. Must be equal to 0.6% of the gross direct premiums for fire risks written in the State, less the amount of all direct return premiums thereon and all dividends paid to policyholders on direct fire premiums;

C. Is a part of the insurance premium only for purposes of those portions of the Maine Revised Statutes, Title 24-A, including chapter 41, subchapter V relating to cancellation or nonrenewal of insurance coverage;

D. Except as provided in paragraph C but notwithstanding any other provision of law, does not constitute and may not be reported as part of the premium as defined in Title 24-A, section 2403;

E. Must be paid as provided for insurance premium taxes as specified in Title 36, section 2521-A, except that the assessment must be paid on an estimated basis at the end of each month, starting July 31, 2002 and ending June 30, 2003, with each installment equal to at least 1/12 of the