Bill Text: TX SB300 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to the continuation and functions of the Railroad Commission of Texas; providing for the imposition of fees.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2017-02-27 - Referred to Natural Resources & Economic Development [SB300 Detail]
Download: Texas-2017-SB300-Introduced.html
85R2272 JXC-D | ||
By: Taylor of Collin | S.B. No. 300 |
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relating to the continuation and functions of the Railroad | ||
Commission of Texas; providing for the imposition of fees. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 81.01001(a), Natural Resources Code, is | ||
amended to read as follows: | ||
(a) The Railroad Commission of Texas is subject to Chapter | ||
325, Government Code (Texas Sunset Act). Unless continued in | ||
existence as provided by that chapter, the commission is abolished | ||
September 1, 2029 [ |
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SECTION 2. Subchapter C, Chapter 81, Natural Resources | ||
Code, is amended by adding Sections 81.065 and 81.066 to read as | ||
follows: | ||
Sec. 81.065. NEGOTIATED RULEMAKING AND ALTERNATIVE DISPUTE | ||
RESOLUTION POLICY. (a) The commission shall develop and implement | ||
a policy to encourage the use of: | ||
(1) negotiated rulemaking procedures under Chapter | ||
2008, Government Code, for the adoption of commission rules; and | ||
(2) appropriate alternative dispute resolution | ||
procedures under Chapter 2009, Government Code, to assist in the | ||
resolution of internal and external disputes under the commission's | ||
jurisdiction. | ||
(b) The commission's procedures relating to alternative | ||
dispute resolution must conform, to the extent possible, to any | ||
model guidelines issued by the State Office of Administrative | ||
Hearings for the use of alternative dispute resolution by state | ||
agencies. | ||
(c) The commission shall: | ||
(1) coordinate the implementation of the policy | ||
adopted under Subsection (a); | ||
(2) provide training as needed to implement the | ||
procedures for negotiated rulemaking or alternative dispute | ||
resolution; and | ||
(3) collect information concerning the effectiveness | ||
of those procedures. | ||
Sec. 81.066. OIL AND GAS DIVISION MONITORING AND | ||
ENFORCEMENT STRATEGIC PLAN. (a) The oil and gas division of the | ||
commission shall develop and publish an annual plan to use the oil | ||
and gas monitoring and enforcement resources of the commission | ||
strategically to best ensure public safety and minimize damage to | ||
the environment. | ||
(b) The commission shall seek input from stakeholders, | ||
including groundwater conservation districts and other political | ||
subdivisions, when developing each annual plan. | ||
(c) The commission shall collect and maintain information | ||
that accurately shows the effectiveness of the commission's oil and | ||
gas monitoring and enforcement activities. Each annual plan must | ||
include a report of the information collected by the commission | ||
that shows the effectiveness of the commission's oil and gas | ||
monitoring and enforcement activities over time. | ||
(d) The information described by Subsection (c) must | ||
include: | ||
(1) data regarding violations of statutes or | ||
commission rules that relate to oil and gas, including: | ||
(A) the number, type, and severity of: | ||
(i) violations the commission found to have | ||
occurred; | ||
(ii) violations the commission referred for | ||
enforcement to the section of the commission responsible for | ||
enforcement; and | ||
(iii) violations for which the commission | ||
imposed a penalty or took other enforcement action; | ||
(B) the number of major violations for which the | ||
commission imposed a penalty or took other enforcement action; and | ||
(C) the number of repeat violations, categorized | ||
by individual oil or gas lease, if applicable; and | ||
(2) the amount of time spent by field inspectors | ||
overseeing activities that are designated as high risk compared to | ||
the amount of time spent overseeing other activities. | ||
(e) The commission shall publish each annual plan on the | ||
commission's Internet website not later than September 1 of the | ||
year preceding the year in which the commission implements the | ||
plan. | ||
SECTION 3. Section 81.067(c), Natural Resources Code, is | ||
amended to read as follows: | ||
(c) The fund consists of: | ||
(1) proceeds from bonds and other financial security | ||
required by this chapter and benefits under well-specific plugging | ||
insurance policies described by Section 91.104(c) that are paid to | ||
the state as contingent beneficiary of the policies, subject to the | ||
refund provisions of Section 91.1091, if applicable; | ||
(2) private contributions, including contributions | ||
made under Section 89.084; | ||
(3) expenses collected under Section 89.083; | ||
(4) fees imposed under Section 85.2021; | ||
(5) costs recovered under Section 91.457 or 91.459; | ||
(6) proceeds collected under Sections 89.085 and | ||
91.115; | ||
(7) interest earned on the funds deposited in the | ||
fund; | ||
(8) oil and gas waste hauler permit application fees | ||
collected under Section 29.015, Water Code; | ||
(9) costs recovered under Section 91.113(f); | ||
(10) hazardous oil and gas waste generation fees | ||
collected under Section 91.605; | ||
(11) oil-field cleanup regulatory fees on oil | ||
collected under Section 81.116; | ||
(12) oil-field cleanup regulatory fees on gas | ||
collected under Section 81.117; | ||
(13) fees for a reissued certificate collected under | ||
Section 91.707; | ||
(14) fees collected under Section 91.1013; | ||
(15) fees collected under Section 89.088; | ||
(16) fees collected under Section 91.142; | ||
(17) fees collected under Section 91.654; | ||
(18) costs recovered under Sections 91.656 and 91.657; | ||
(19) fees collected under Section 81.0521; | ||
(20) fees collected under Sections 89.024 and 89.026; | ||
(21) legislative appropriations; | ||
(22) any surcharges collected under Section 81.070; | ||
(23) fees collected under Section 91.0115; | ||
(24) money deposited to the credit of the fund under | ||
Section 81.112; | ||
(25) fees collected under Subchapter E, Chapter 121, | ||
Utilities Code; [ |
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(26) fees collected under Section 27.0321, Water Code; | ||
and | ||
(27) fees collected under Section 81.071. | ||
SECTION 4. Subchapter C, Chapter 81, Natural Resources | ||
Code, is amended by adding Section 81.071 to read as follows: | ||
Sec. 81.071. PIPELINE SAFETY AND REGULATORY FEES. (a) The | ||
commission by rule may establish pipeline safety and regulatory | ||
fees to be assessed for permits or registrations for pipelines | ||
under the jurisdiction of the commission's pipeline safety and | ||
regulatory program. | ||
(b) The commission may establish fees to be assessed | ||
annually against permit or registration holders, as well as | ||
individual fees for new permits or registrations, permit or | ||
registration renewals, and permit or registration amendments. | ||
(c) The fees must be in amounts that in the aggregate are | ||
sufficient to support all pipeline safety and regulatory program | ||
costs, including: | ||
(1) permitting or registration costs; | ||
(2) administrative costs; and | ||
(3) costs of employee salaries and benefits. | ||
(d) The commission by rule must establish the method or | ||
methods by which the fees will be calculated and assessed so that | ||
fee amounts will reflect the time spent and costs incurred to | ||
perform the regulatory work associated with permitting or | ||
registering pipelines, the effects of required fees on operators of | ||
all sizes, and other factors the commission determines are | ||
important to the fair imposition of the fees. The commission may | ||
base the fees on any factor the commission considers necessary to | ||
efficiently and fairly recover the pipeline safety and regulatory | ||
program's costs, including: | ||
(1) the length of the pipeline; | ||
(2) the number of new permits or registrations, permit | ||
or registration renewals, or permit or registration amendments; or | ||
(3) the number of pipeline systems. | ||
(e) The commission by rule may establish a reasonable late | ||
payment penalty for a fee charged under this section. | ||
(f) The authority provided by this section is in addition to | ||
the authority provided by Section 121.211, Utilities Code, and the | ||
commission shall consider any fees assessed under that section in | ||
establishing the fees to be assessed under this section. | ||
(g) A fee collected under this section shall be deposited to | ||
the credit of the oil and gas regulation and cleanup fund as | ||
provided by Section 81.067. | ||
SECTION 5. Section 117.012, Natural Resources Code, is | ||
amended by amending Subsection (a) and adding Subsection (a-1) to | ||
read as follows: | ||
(a) The commission shall adopt rules that include: | ||
(1) safety standards applicable to the intrastate | ||
transportation of hazardous liquids or carbon dioxide by pipeline | ||
and intrastate hazardous liquid or carbon dioxide pipeline | ||
facilities; and | ||
(2) [ |
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prevention of damage to interstate and intrastate hazardous liquid | ||
or carbon dioxide pipeline facilities [ |
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from the movement of earth by a person in the vicinity of such a | ||
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a depth of 16 inches. | ||
(a-1) Rules adopted under Subsection (a) [ |
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that apply to the intrastate transportation of hazardous liquids | ||
and carbon dioxide by gathering pipelines in rural locations and | ||
intrastate hazardous liquid and carbon dioxide gathering pipeline | ||
facilities in rural locations must be based only on the risks the | ||
transportation and the facilities present to the public safety, | ||
except that the commission shall revise the rules as necessary to | ||
comply with Subsection (c) and to maintain the maximum degree of | ||
federal delegation permissible under 49 U.S.C. Section 60101 et | ||
seq., or a succeeding law, if the federal government adopts rules | ||
that include safety standards applicable to the transportation and | ||
facilities. | ||
SECTION 6. Section 756.126, Health and Safety Code, is | ||
amended to read as follows: | ||
Sec. 756.126. SAFETY STANDARDS AND BEST PRACTICES. The | ||
Railroad Commission of Texas shall adopt and enforce rules | ||
prescribing safety standards and best practices, including those | ||
described by 49 U.S.C. Section 6105 et seq., relating to the | ||
prevention of damage by a person to a facility, including an | ||
interstate or intrastate pipeline facility, under the jurisdiction | ||
of the commission. | ||
SECTION 7. Section 121.201(a), Utilities Code, is amended | ||
to read as follows: | ||
(a) The railroad commission may: | ||
(1) by rule prescribe or adopt safety standards for | ||
the transportation of gas and for gas pipeline facilities, | ||
including safety standards related to the prevention of damage to | ||
an interstate or intrastate gas pipeline [ |
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resulting from the movement of earth by a person in the vicinity of | ||
the facility, other than movement by tillage that does not exceed a | ||
depth of 16 inches; | ||
(2) by rule require an operator that does not file | ||
operator organization information under Section 91.142, Natural | ||
Resources Code, to provide the information to the commission in the | ||
form of an application; | ||
(3) by rule require record maintenance and reports; | ||
(4) inspect records and facilities to determine | ||
compliance with safety standards prescribed or adopted under | ||
Subdivision (1); | ||
(5) make certifications and reports from time to time; | ||
(6) seek designation by the United States secretary of | ||
transportation as an agent to conduct safety inspections of | ||
interstate gas pipeline facilities located in this state; | ||
(7) by rule take any other requisite action in | ||
accordance with 49 U.S.C. Section 60101 et seq. and its subsequent | ||
amendments or a succeeding law; and | ||
(8) by rule establish safety standards and practices | ||
for gathering facilities and transportation activities in Class 1 | ||
locations, as defined by 49 C.F.R. Section 192.5: | ||
(A) based only on the risks the facilities and | ||
activities present to the public safety, to the extent consistent | ||
with federal law; or | ||
(B) as necessary to maintain the maximum degree | ||
of federal delegation permissible under 49 U.S.C. Section 60101 et | ||
seq., or a succeeding law, if the federal government adopts safety | ||
standards and practices for gathering facilities and | ||
transportation activities in Class 1 locations, as defined by 49 | ||
C.F.R. Section 192.5. | ||
SECTION 8. Section 91.1135, Natural Resources Code, is | ||
repealed. | ||
SECTION 9. The first year for which the Railroad Commission | ||
of Texas is required by Section 81.066, Natural Resources Code, as | ||
added by this Act, to develop and publish the annual plan required | ||
by that section is 2019. The commission shall publish the plan not | ||
later than September 1, 2018. | ||
SECTION 10. This Act takes effect September 1, 2017. |