TO:	Honorable Charles Perry, Chair, Senate Committee on Water, Agriculture & Rural Affairs
FROM:	Jerry McGinty, Director, Legislative Budget Board
IN RE:	HB4856 by Darby (Relating to the jurisdiction of the Texas Commission on Environmental Quality over certain recharge injection wells.), As Engrossed

The bill would amend the Water Code to provide the Texas Commission on Environmental Quality (TCEQ) exclusive jurisdiction over the regulation and permitting of recharge injection wells including injection recharge wells used for the injection of fluid oil and gas waste. The bill would prohibit a recharge injection well from being used for the injection of fluid oil and gas waste unless the waste has been treated to meet the standards adopted by TCEQ under the provisions of the bill.

This analysis assumes that costs associated with implementing the provisions of the bill would need to be funded out of General Revenue-Dedicated Waste Management Account No. 549. Based on information provided by TCEQ, it is assumed that the agency would be unable to absorb additional work associated with implementing the provisions of the bill in existing resources and would require additional staff. However, the fiscal implications of the bill cannot be determined because the amount of produced fluid oil and gas waste that would be treated, the standard that the fluid oil and gas waste would be treated to, and the number of injection wells that may apply for permits under the bill are unknown at this time.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.