On May 21, 2000, at 1945 central daylight time, a Cameron V-90 hot-air balloon, N6012C, experienced a hard landing near Frisco, Texas. The balloon, owned by the pilot and operated by AirVenture Balloon Port, of Plano, Texas, was not damaged. The commercial pilot and one passenger were not injured, and one passenger received serious injuries. Visual meteorological conditions prevailed, and a flight plan was not filed for the 14 Code of Federal Regulations Part 91 sightseeing flight. The local flight departed from the Bob Woodruff Park, Plano, Texas, at approximately 1845, and was destined for Frisco, Texas. According to the pilot's statement, the landing area was a grassy field with electrical lines to the south and a tree line on the west side; the approach was made from the east-southeast. The pilot informed the passengers that they "were going to make a fast approach and it was going to be a hard landing." He instructed the passengers to "face the direction the balloon was traveling, bend their knees and hold on to rope handles or the tanks." The pilot reported that the wind was "stronger" than forecasted. The balloon crossed the electrical lines, and the pilot started the descent. The pilot continued to fire the balloon burner to slow the descent rate to the ground. The balloon impacted the ground and "started a drag". One passenger "lost her grip", tumbled over the other passenger and fell out of the balloon basket. While trying to reach for the passenger, the pilot and second passenger were ejected from the basket. The two passengers fell to the ground while the pilot maintained a grip on the deflation line. "Because of the lack of weight in the basket," the balloon rose "approximately 20 feet" agl. When the balloon became airborne, the balloon basket traveled over one of the two passengers on the ground, who received 3 "cracked" ribs. The balloon eventually descended and came to rest without further incident. The pilot reported the wind, at the time of the landing, was from 110 degrees at 12 knots. At 1853, the reported wind at the McKinney Airport, McKinney, Texas, (located approximately 12 nautical miles east of the accident site) was from 140 degrees at 7 knots. At 1953, the reported wind at the McKinney Airport was from 150 degrees at 6 knots. According to the Cameron Balloons US Flight Manual, the high wind landing checklist states to aim for the upwind side of the field. If ground contact cannot be assured before half the field is crossed, the pilot should strongly consider opening the rip panel or parachute fully and brace for a very hard landing. In preparation for a hard landing, the pilot should advise all passengers how to stand, to hold on with both hands, which direction to face, and stay down in basket to prevent being thrown out during landing. As a minimum, instruct the passengers to watch the progress of the landing and to hold firmly onto to the basket's internal handles or tank rims.