Bill Text: TX SB1584 | 2011-2012 | 82nd Legislature | Engrossed

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Bill Title: Relating to state fiscal matters related to natural resources and the environment.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2011-05-13 - Reported favorably as substituted [SB1584 Detail]

Download: Texas-2011-SB1584-Engrossed.html

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By: Ogden S.B. No. 1584

A BILL TO BE ENTITLED
AN ACT
relating to state fiscal matters related to natural resources and
the environment.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. FISCAL MATTERS CONCERNING ANIMAL HEALTH REGULATION
SECTION 1.01. Section 161.060, Agriculture Code, is amended
to read as follows:
Sec. 161.060. AUTHORITY TO SET AND COLLECT [INSPECTION]
FEES. The commission by rule may set and collect a fee for any
service provided [charge a fee, as provided by commission rule, for
an inspection made] by the commission, including:
(1) the inspection of animals or facilities;
(2) the testing of animals for disease;
(3) obtaining samples from animals for disease
testing;
(4) disease eradication and treatment efforts;
(5) services related to the transport of livestock;
(6) control and eradication of ticks and other pests;
and
(7) any other service for which the commission incurs
a cost.
ARTICLE 2. FISCAL MATTERS REGARDING PETROLEUM INDUSTRY REGULATION
SECTION 2.01. Subsection (b), Section 26.3574, Water Code,
is amended to read as follows:
(b) A fee is imposed on the delivery of a petroleum product
on withdrawal from bulk of that product as provided by this
subsection. Each operator of a bulk facility on withdrawal from
bulk of a petroleum product shall collect from the person who orders
the withdrawal a fee in an amount determined as follows:
(1) $3.75 for each delivery into a cargo tank having a
capacity of less than 2,500 gallons [for the state fiscal year
beginning September 1, 2007, through the state fiscal year ending
August 31, 2011];
(2) $7.50 for each delivery into a cargo tank having a
capacity of 2,500 gallons or more but less than 5,000 gallons [for
the state fiscal year beginning September 1, 2007, through the
state fiscal year ending August 31, 2011];
(3) $11.75 for each delivery into a cargo tank having a
capacity of 5,000 gallons or more but less than 8,000 gallons [for
the state fiscal year beginning September 1, 2007, through the
state fiscal year ending August 31, 2011];
(4) $15.00 for each delivery into a cargo tank having a
capacity of 8,000 gallons or more but less than 10,000 gallons [for
the state fiscal year beginning September 1, 2007, through the
state fiscal year ending August 31, 2011]; and
(5) $7.50 for each increment of 5,000 gallons or any
part thereof delivered into a cargo tank having a capacity of 10,000
gallons or more [for the state fiscal year beginning September 1,
2007, through the state fiscal year ending August 31, 2011].
ARTICLE 3. FISCAL MATTERS REGARDING FUNDING FOR STATE SITES
SECTION 3.01. Chapter 11, Parks and Wildlife Code, is
amended by adding Subchapter J-1 to read as follows:
SUBCHAPTER J-1. FOR-PROFIT PARTNERSHIPS
Sec. 11.221. DEFINITIONS. In this subchapter:
(1) "Official corporate partner" means a for-profit
entity that:
(A) is designated an official corporate partner
by the department;
(B) works with the department to raise funds for
state site operations and maintenance; and
(C) is selected as provided under Section 11.222.
(2) "State site" means a state park, natural area, or
historic site under the jurisdiction of the department.
Sec. 11.222. SELECTION; CONTRACT. (a) Subject to
commission approval, the department may select a for-profit entity
as an official corporate partner.
(b) The department may contract with an official corporate
partner to raise funds for state site operations and maintenance.
Sec. 11.223. GIFTS AND GRANTS; FUND-RAISING. (a) To raise
funds for state site operations and maintenance, an official
corporate partner may accept contributions, gifts, grants, and
promotional campaign proceeds on behalf of the department. The
department shall ensure that an official corporate partner
transfers the contributions, gifts, grants, and promotional
campaign proceeds to the department as soon as possible.
(b) The department may contract with an official corporate
partner to conduct joint promotional campaigns or other
fund-raising efforts conducted by the department to raise funds for
state site operations and maintenance.
Sec. 11.224. USE OF FUNDS. Money received by the department
under this subchapter, including money received under a contract or
licensing or other agreement or as a gift or grant, may be used only
for state site operations and maintenance.
Sec. 11.225. RULES. The commission shall adopt rules to
implement this subchapter, including rules that establish
guidelines or best practices for official corporate partners.
SECTION 3.02. Subchapter A, Chapter 13, Parks and Wildlife
Code, is amended by adding Sections 13.0151 and 13.0155 to read as
follows:
Sec. 13.0151. STATE PARK PASSES. (a) The department may
contract with any entity the department considers appropriate to
sell state park passes in any of the entity's retail locations.
(b) The commission may adopt rules to implement this
section.
Sec. 13.0155. USE OF PARKS AND WILDLIFE DEPARTMENT BRAND.
(a) The department may contract with any entity the department
considers appropriate to use the Parks and Wildlife Department
brand in exchange for licensing fees paid by the entity to the
department.
(b) The department shall use the licensing fees received
under Subsection (a) only for the operation and maintenance of
state sites as defined by Section 11.221.
(c) The commission may adopt rules to implement this
section.
SECTION 3.03. Subchapter B, Chapter 13, Parks and Wildlife
Code, is amended by adding Section 13.103 to read as follows:
Sec. 13.103. ADVERTISING. The commission by rule may
assess and limit commercial advertising in state parks, natural
areas, historic sites, or other sites under the jurisdiction of the
department to preserve the integrity of the sites and to minimize
distractions that may interfere with the enjoyment of the sites by
visitors.
ARTICLE 4. FISCAL MATTERS REGARDING PARKS AND WILDLIFE DEPARTMENT
SECTION 4.01. Subchapter D, Chapter 502, Transportation
Code, is amended by adding Section 502.1747 to read as follows:
Sec. 502.1747. VOLUNTARY CONTRIBUTION TO PARKS AND WILDLIFE
DEPARTMENT. (a) When a person registers or renews the
registration of a motor vehicle under this chapter, the person may
contribute $5 or more to the Parks and Wildlife Department.
(b) The county assessor-collector shall send any
contribution made under this section to the comptroller for credit
to the Parks and Wildlife Department. Money received by the Parks
and Wildlife Department under this section may be used only for the
operation and maintenance of state parks, historic sites, or
natural areas under the jurisdiction of the Parks and Wildlife
Department.
ARTICLE 5. FISCAL MATTERS CONCERNING OIL AND GAS REGULATION
SECTION 5.01. Subsection (c), Section 81.0521, Natural
Resources Code, is amended to read as follows:
(c) Two-thirds of the proceeds from this fee, excluding
[including] any penalties collected in connection with the fee,
shall be deposited to the oil and gas regulation and [oil-field]
cleanup fund as provided by Section 81.067 [91.111].
SECTION 5.02. Subchapter C, Chapter 81, Natural Resources
Code, is amended by adding Sections 81.067 through 81.070 to read as
follows:
Sec. 81.067. OIL AND GAS REGULATION AND CLEANUP FUND.
(a) The oil and gas regulation and cleanup fund is created as an
account in the general revenue fund of the state treasury.
(b) The commission shall certify to the comptroller the date
on which the balance in the fund equals or exceeds $20 million. The
oil-field cleanup regulatory fees on oil and gas shall not be
collected or required to be paid on or after the first day of the
second month following the certification, except that the
comptroller shall resume collecting the fees on receipt of a
commission certification that the fund has fallen below $10
million. The comptroller shall continue collecting the fees until
collections are again suspended in the manner provided by this
subsection.
(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) two-thirds of the fees collected under Section
81.0521;
(20) fees collected under Sections 89.024 and 89.026;
(21) legislative appropriations; and
(22) any surcharges collected under Section 81.070.
Sec. 81.068. PURPOSE OF OIL AND GAS REGULATION AND CLEANUP
FUND. Money in the oil and gas regulation and cleanup fund may be
used by the commission or its employees or agents for any purpose
related to the regulation of oil and gas development, including oil
and gas monitoring and inspections, oil and gas remediation, oil
and gas well plugging, public information and services related to
those activities, and administrative costs and state benefits for
personnel involved in those activities.
Sec. 81.069. REPORTING ON PROGRESS IN MEETING PERFORMANCE
GOALS FOR THE OIL AND GAS REGULATION AND CLEANUP FUND. (a) The
commission, through the legislative appropriations request
process, shall establish specific performance goals for the oil and
gas regulation and cleanup fund for the next biennium, including
goals for each quarter of each state fiscal year of the biennium for
the number of:
(1) orphaned wells to be plugged with state-managed
funds;
(2) abandoned sites to be investigated, assessed, or
cleaned up with state funds; and
(3) surface locations to be remediated.
(b) The commission shall provide quarterly reports to the
Legislative Budget Board that include:
(1) the following information with respect to the
period since the last report was provided as well as cumulatively:
(A) the amount of money deposited in the oil and
gas regulation and cleanup fund;
(B) the amount of money spent from the fund for
the purposes described by Subsection (a);
(C) the balance of the fund; and
(D) the commission's progress in meeting the
quarterly performance goals established under Subsection (a) and,
if the number of orphaned wells plugged with state-managed funds,
abandoned sites investigated, assessed, or cleaned up with state
funds, or surface locations remediated is at least five percent
less than the number projected in the applicable goal established
under Subsection (a), an explanation of the reason for the
variance; and
(2) any additional information or data requested in
writing by the Legislative Budget Board.
(c) The commission shall submit to the legislature and make
available to the public, annually, a report that reviews the extent
to which money provided under Section 81.067 has enabled the
commission to better protect the environment through oil-field
cleanup activities. The report must include:
(1) the performance goals established under
Subsection (a) for that state fiscal year, the commission's
progress in meeting those performance goals, and, if the number of
orphaned wells plugged with state-managed funds, abandoned sites
investigated, assessed, or cleaned up with state funds, or surface
locations remediated is at least five percent less than the number
projected in the applicable goal established under Subsection (a),
an explanation of the reason for the variance;
(2) the number of orphaned wells plugged with
state-managed funds, by region;
(3) the number of wells orphaned, by region;
(4) the number of inactive wells not currently in
compliance with commission rules, by region;
(5) the status of enforcement proceedings for all
wells in violation of commission rules and the period during which
the wells have been in violation, by region in which the wells are
located;
(6) the number of surface locations remediated, by
region;
(7) a detailed accounting of expenditures of money in
the fund for oil-field cleanup activities, including expenditures
for plugging of orphaned wells, investigation, assessment, and
cleaning up of abandoned sites, and remediation of surface
locations;
(8) the method by which the commission sets priorities
by which it determines the order in which orphaned wells are
plugged;
(9) a projection of the amount of money needed for the
next biennium for plugging orphaned wells, investigating,
assessing, and cleaning up abandoned sites, and remediating surface
locations; and
(10) the number of sites successfully remediated under
the voluntary cleanup program under Subchapter O, Chapter 91, by
region.
Sec. 81.070. ESTABLISHMENT OF SURCHARGES ON FEES.
(a) Except as provided by Subsection (b), the commission by rule
shall provide for the imposition of reasonable surcharges as
necessary on fees imposed by the commission that are required to be
deposited to the credit of the oil and gas regulation and cleanup
fund as provided by Section 81.067 in amounts sufficient to enable
the commission to recover the costs of performing the functions
specified by Section 81.068 from those fees and surcharges.
(b) The commission may not impose a surcharge on an
oil-field cleanup regulatory fee on oil collected under Section
81.116 or an oil-field cleanup regulatory fee on gas collected
under Section 81.117.
(c) The commission by rule shall establish a methodology for
determining the amount of a surcharge that takes into account:
(1) the time required for regulatory work associated
with the activity in connection with which the surcharge is
imposed;
(2) the number of individuals or entities from which
the commission's costs may be recovered;
(3) the effect of the surcharge on operators of all
sizes, as measured by the number of oil or gas wells operated;
(4) the balance in the oil and gas regulation and
cleanup fund; and
(5) any other factors the commission determines to be
important to the fair and equitable imposition of the surcharge.
(d) The commission shall collect a surcharge on a fee at the
time the fee is collected.
(e) A surcharge 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.
(f) A surcharge collected under this section shall not
exceed an amount equal to 185 percent of the fee on which it is
imposed.
SECTION 5.03. Section 81.115, Natural Resources Code, is
amended to read as follows:
Sec. 81.115. APPROPRIATIONS [PAYMENTS] TO COMMISSION FOR
OIL AND GAS REGULATION AND CLEANUP PURPOSES [DIVISION]. Money
appropriated to the [oil and gas division of the] commission under
the General Appropriations Act for the purposes described by
Section 81.068 shall be paid from the oil and gas regulation and
cleanup fund [General Revenue Fund].
SECTION 5.04. Subsections (d) and (e), Section 81.116,
Natural Resources Code, are amended to read as follows:
(d) The comptroller shall suspend collection of the fee in
the manner provided by Section 81.067 [91.111]. The exemptions and
reductions set out in Sections 202.052, 202.054, 202.056, 202.057,
202.059, and 202.060, Tax Code, do not affect the fee imposed by
this section.
(e) Proceeds from the fee, excluding [including] any
penalties collected in connection with the fee, shall be deposited
to the oil and gas regulation and [oil-field] cleanup fund as
provided by Section 81.067 [91.111 of this code].
SECTION 5.05. Subsections (d) and (e), Section 81.117,
Natural Resources Code, are amended to read as follows:
(d) The comptroller shall suspend collection of the fee in
the manner provided by Section 81.067 [91.111]. The exemptions and
reductions set out in Sections 201.053, 201.057, 201.058, and
202.060, Tax Code, do not affect the fee imposed by this section.
(e) Proceeds from the fee, excluding [including] any
penalties collected in connection with the fee, shall be deposited
to the oil and gas regulation and [oil-field] cleanup fund as
provided by Section 81.067 [91.111 of this code].
SECTION 5.06. Subsection (d), Section 85.2021, Natural
Resources Code, is amended to read as follows:
(d) All fees collected under this section shall be deposited
in the oil and gas regulation and [state oil-field] cleanup fund.
SECTION 5.07. Subsection (d), Section 89.024, Natural
Resources Code, is amended to read as follows:
(d) An operator who files an abeyance of plugging report
must pay an annual fee of $100 for each well covered by the report.
A fee collected under this section shall be deposited in the oil and
gas regulation and [oil-field] cleanup fund.
SECTION 5.08. Subsection (d), Section 89.026, Natural
Resources Code, is amended to read as follows:
(d) An operator who files documentation described by
Subsection (a) must pay an annual fee of $50 for each well covered
by the documentation. A fee collected under this section shall be
deposited in the oil and gas regulation and [oil-field] cleanup
fund.
SECTION 5.09. Subsection (d), Section 89.048, Natural
Resources Code, is amended to read as follows:
(d) On successful plugging of the well by the well plugger,
the surface estate owner may submit documentation to the commission
of the cost of the well-plugging operation. The commission shall
reimburse the surface estate owner from money in the oil and gas
regulation and [oil-field] cleanup fund in an amount not to exceed
50 percent of the lesser of:
(1) the documented well-plugging costs; or
(2) the average cost incurred by the commission in the
preceding 24 months in plugging similar wells located in the same
general area.
SECTION 5.10. Subsection (j), Section 89.083, Natural
Resources Code, is amended to read as follows:
(j) Money collected in a suit under this section shall be
deposited in the oil and gas regulation and [state oil-field]
cleanup fund.
SECTION 5.11. Subsection (d), Section 89.085, Natural
Resources Code, is amended to read as follows:
(d) The commission shall deposit money received from the
sale of well-site equipment or hydrocarbons under this section to
the credit of the oil and gas regulation and [oil-field] cleanup
fund. The commission shall separately account for money and credit
received for each well.
SECTION 5.12. The heading to Section 89.086, Natural
Resources Code, is amended to read as follows:
Sec. 89.086. CLAIMS AGAINST OIL AND GAS REGULATION AND [THE
OIL-FIELD] CLEANUP FUND.
SECTION 5.13. Subsections (a) and (h) through (k), Section
89.086, Natural Resources Code, are amended to read as follows:
(a) A person with a legal or equitable ownership or security
interest in well-site equipment or hydrocarbons disposed of under
Section 89.085 [of this code] may make a claim against the oil and
gas regulation and [oil-field] cleanup fund unless an element of
the transaction giving rise to the interest occurs after the
commission forecloses its statutory lien under Section 89.083.
(h) The commission shall suspend an amount of money in the
oil and gas regulation and [oil-field] cleanup fund equal to the
amount of the claim until the claim is finally resolved. If the
provisions of Subsection (k) [of this section] prevent suspension
of the full amount of the claim, the commission shall treat the
claim as two consecutively filed claims, one in the amount of funds
available for suspension and the other in the remaining amount of
the claim.
(i) A claim made by or on behalf of the operator or a
nonoperator of a well or a successor to the rights of the operator
or nonoperator is subject to a ratable deduction from the proceeds
or credit received for the well-site equipment to cover the costs
incurred by the commission in removing the equipment or
hydrocarbons from the well or in transporting, storing, or
disposing of the equipment or hydrocarbons. A claim made by a
person who is not an operator or nonoperator is subject to a ratable
deduction for the costs incurred by the commission in removing the
equipment from the well. If a claimant is a person who is
responsible under law or commission rules for plugging the well or
cleaning up pollution originating on the lease or if the claimant
owes a penalty assessed by the commission or a court for a violation
of a commission rule or order, the commission may recoup from or
offset against a valid claim an expense incurred by the oil and gas
regulation and [oil-field] cleanup fund that is not otherwise
reimbursed or any penalties owed. An amount recouped from,
deducted from, or offset against a claim under this subsection
shall be treated as an invalid portion of the claim and shall remain
suspended in the oil and gas regulation and [oil-field] cleanup
fund in the manner provided by Subsection (j) [of this section].
(j) If the commission finds that a claim is valid in whole or
in part, the commission shall pay the valid portion of the claim
from the suspended amount in the oil and gas regulation and
[oil-field] cleanup fund not later than the 30th day after the date
of the commission's decision. If the commission finds that a claim
is invalid in whole or in part, the commission shall continue to
suspend in the oil and gas regulation and [oil-field] cleanup fund
an amount equal to the invalid portion of the claim until the period
during which the commission's decision may be appealed has expired
or, if appealed, during the period the case is under judicial
review. If on appeal the district court finds the claim valid in
whole or in part, the commission shall pay the valid portion of the
claim from the suspended amount in the oil and gas regulation and
[oil-field] cleanup fund not later than 30 days after the date the
court's judgment becomes unappealable. On the date the
commission's decision is not subject to judicial review, the
commission shall release from the suspended amount in the oil and
gas regulation and [oil-field] cleanup fund the amount of the claim
held to be invalid.
(k) If the aggregate of claims paid and money suspended that
relates to well-site equipment or hydrocarbons from a particular
well equals the total of the actual proceeds and credit realized
from the disposition of that equipment or those hydrocarbons, the
oil and gas regulation and [oil-field] cleanup fund is not liable
for any subsequently filed claims that relate to the same equipment
or hydrocarbons unless and until the commission releases from the
suspended amount money derived from the disposition of that
equipment or those hydrocarbons. If the commission releases money,
then the commission shall suspend money in the amount of
subsequently filed claims in the order of filing.
SECTION 5.14. Subsection (b), Section 89.121, Natural
Resources Code, is amended to read as follows:
(b) Civil penalties collected for violations of this
chapter or of rules relating to plugging that are adopted under this
code shall be deposited in the general revenue [state oil-field
cleanup] fund.
SECTION 5.15. Subsection (c), Section 91.1013, Natural
Resources Code, is amended to read as follows:
(c) Fees collected under this section shall be deposited in
the oil and gas regulation and [state oil-field] cleanup fund.
SECTION 5.16. Section 91.108, Natural Resources Code, is
amended to read as follows:
Sec. 91.108. DEPOSIT AND USE OF FUNDS. Subject to the
refund provisions of Section 91.1091, if applicable, proceeds from
bonds and other financial security required pursuant to 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 shall be deposited in the
oil and gas regulation and [oil-field] cleanup fund and,
notwithstanding Sections 81.068 [91.112] and 91.113, may be used
only for actual well plugging and surface remediation.
SECTION 5.17. Subsection (a), Section 91.109, Natural
Resources Code, is amended to read as follows:
(a) A person applying for or acting under a commission
permit to store, handle, treat, reclaim, or dispose of oil and gas
waste may be required by the commission to maintain a performance
bond or other form of financial security conditioned that the
permittee will operate and close the storage, handling, treatment,
reclamation, or disposal site in accordance with state law,
commission rules, and the permit to operate the site. However, this
section does not authorize the commission to require a bond or other
form of financial security for saltwater disposal pits, emergency
saltwater storage pits (including blow-down pits), collecting
pits, or skimming pits provided that such pits are used in
conjunction with the operation of an individual oil or gas lease.
Subject to the refund provisions of Section 91.1091 [of this code],
proceeds from any bond or other form of financial security required
by this section shall be placed in the oil and gas regulation and
[oil-field] cleanup fund. Each bond or other form of financial
security shall be renewed and continued in effect until the
conditions have been met or release is authorized by the
commission.
SECTION 5.18. Subsections (a) and (f), Section 91.113,
Natural Resources Code, are amended to read as follows:
(a) If oil and gas wastes or other substances or materials
regulated by the commission under Section 91.101 are causing or are
likely to cause the pollution of surface or subsurface water, the
commission, through its employees or agents, may use money in the
oil and gas regulation and [oil-field] cleanup fund to conduct a
site investigation or environmental assessment or control or clean
up the oil and gas wastes or other substances or materials if:
(1) the responsible person has failed or refused to
control or clean up the oil and gas wastes or other substances or
materials after notice and opportunity for hearing;
(2) the responsible person is unknown, cannot be
found, or has no assets with which to control or clean up the oil and
gas wastes or other substances or materials; or
(3) the oil and gas wastes or other substances or
materials are causing the pollution of surface or subsurface water.
(f) If the commission conducts a site investigation or
environmental assessment or controls or cleans up oil and gas
wastes or other substances or materials under this section, the
commission may recover all costs incurred by the commission from
any person who was required by law, rules adopted by the commission,
or a valid order of the commission to control or clean up the oil and
gas wastes or other substances or materials. The commission by
order may require the person to reimburse the commission for those
costs or may request the attorney general to file suit against the
person to recover those costs. At the request of the commission,
the attorney general may file suit to enforce an order issued by the
commission under this subsection. A suit under this subsection may
be filed in any court of competent jurisdiction in Travis County.
Costs recovered under this subsection shall be deposited to the oil
and gas regulation and [oil-field] cleanup fund.
SECTION 5.19. Subsection (c), Section 91.264, Natural
Resources Code, is amended to read as follows:
(c) A penalty collected under this section shall be
deposited to the credit of the general revenue [oil-field cleanup]
fund [account].
SECTION 5.20. Subsection (b), Section 91.457, Natural
Resources Code, is amended to read as follows:
(b) If a person ordered to close a saltwater disposal pit
under Subsection (a) [of this section] fails or refuses to close the
pit in compliance with the commission's order and rules, the
commission may close the pit using money from the oil and gas
regulation and [oil-field] cleanup fund and may direct the attorney
general to file suits in any courts of competent jurisdiction in
Travis County to recover applicable penalties and the costs
incurred by the commission in closing the saltwater disposal pit.
SECTION 5.21. Subsection (c), Section 91.459, Natural
Resources Code, is amended to read as follows:
(c) Any [penalties or] costs recovered by the attorney
general under this subchapter shall be deposited in the oil and gas
regulation and [oil-field] cleanup fund.
SECTION 5.22. Subsection (e), Section 91.605, Natural
Resources Code, is amended to read as follows:
(e) The fees collected under this section shall be deposited
in the oil and gas regulation and [oil-field] cleanup fund.
SECTION 5.23. Subsection (e), Section 91.654, Natural
Resources Code, is amended to read as follows:
(e) Fees collected under this section shall be deposited to
the credit of the oil and gas regulation and [oil-field] cleanup
fund under Section 81.067 [91.111].
SECTION 5.24. Subsection (b), Section 91.707, Natural
Resources Code, is amended to read as follows:
(b) Fees collected under this section shall be deposited to
the oil and gas regulation and [oil-field] cleanup fund.
SECTION 5.25. The heading to Section 121.211, Utilities
Code, is amended to read as follows:
Sec. 121.211. PIPELINE SAFETY AND REGULATORY FEES.
SECTION 5.26. Subsections (a) through (e) and (h), Section
121.211, Utilities Code, are amended to read as follows:
(a) The railroad commission by rule may adopt a [an
inspection] fee to be assessed annually against operators of
natural gas distribution pipelines and their pipeline facilities
and natural gas master metered pipelines and their pipeline
facilities subject to this title [chapter].
(b) The railroad commission by rule shall establish the
method by which the fee will be calculated and assessed. In
adopting a fee structure, the railroad commission may consider any
factors necessary to provide for the equitable allocation among
operators of the costs of administering the railroad commission's
pipeline safety and regulatory program under this title [chapter].
(c) The total amount of fees estimated to be collected under
rules adopted by the railroad commission under this section may not
exceed the amount estimated by the railroad commission to be
necessary to recover the costs of administering the railroad
commission's pipeline safety and regulatory program under this
title [chapter], excluding costs that are fully funded by federal
sources.
(d) The commission may assess each operator of a natural gas
distribution system subject to this title [chapter] an annual
[inspection] fee not to exceed one dollar for each service line
reported by the system on the Distribution Annual Report, Form RSPA
F7100.1-1, due on March 15 of each year. The fee is due March 15 of
each year.
(e) The railroad commission may assess each operator of a
natural gas master metered system subject to this title [chapter]
an annual [inspection] fee not to exceed $100 for each master
metered system. The fee is due June 30 of each year.
(h) A fee collected under this section shall be deposited to
the credit of the general revenue fund to be used for the pipeline
safety and regulatory program.
SECTION 5.27. Section 29.015, Water Code, is amended to
read as follows:
Sec. 29.015. APPLICATION FEE. With each application for
issuance, renewal, or material amendment of a permit, the applicant
shall submit to the railroad commission a nonrefundable fee of
$100. Fees collected under this section shall be deposited in the
oil and gas regulation and [oil-field] cleanup fund.
SECTION 5.28. The following provisions of the Natural
Resources Code are repealed:
(1) Section 91.111; and
(2) Section 91.112.
SECTION 5.29. On the effective date of this article:
(1) the oil-field cleanup fund is abolished;
(2) any money remaining in the oil-field cleanup fund
is transferred to the oil and gas regulation and cleanup fund;
(3) any claim against the oil-field cleanup fund is
transferred to the oil and gas regulation and cleanup fund; and
(4) any amount required to be deposited to the credit
of the oil-field cleanup fund shall be deposited to the credit of
the oil and gas regulation and cleanup fund.
ARTICLE 6. EFFECTIVE DATE
SECTION 6.01. This Act takes effect September 1, 2011.