73R7121 CAG-F By Earley H.B. No. 656 Substitute the following for H.B. No. 656: By Saunders C.S.H.B. No. 656 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the calculation of costs of environmental mandates for 1-3 local governments. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. SHORT TITLE. This Act may be cited as the 1-6 Comprehensive Environmental Mandate Act. 1-7 SECTION 2. DEFINITIONS. In this Act: 1-8 (1) "Environmental mandate" means a statute or state 1-9 agency rule that requires a local government to modify its water 1-10 quality, air quality, or solid waste activities in a way that 1-11 requires it to make additional expenditures or restricts its 1-12 ability to raise revenues and that imposes a penalty for 1-13 noncompliance. The term does not include a permit, permit 1-14 amendment, or enforcement order or a statute or agency rule 1-15 required by federal law to the extent the statute or agency rule 1-16 does not exceed minimum federal requirements. 1-17 (2) "Local government" means a county or municipality. 1-18 (3) "Preparing agency" means the comptroller of public 1-19 accounts. 1-20 SECTION 3. FISCAL NOTE CONTENTS AND PREPARATION. (a) The 1-21 probable cost stated in a fiscal note prepared under this Act shall 1-22 be in numeric form unless insufficient information exists to 1-23 produce a numerical estimate. If insufficient information exists 2-1 to produce a numerical estimate, the preparing agency shall provide 2-2 a written description of the likely impacts of the environmental 2-3 mandate in language that is as precise as the preparing agency is 2-4 able to provide, including sample costs for affected local 2-5 governments, if available. 2-6 (b) A state agency shall cooperate with the preparing agency 2-7 when requested by the director of the preparing agency and may 2-8 offer an opinion on the benefit of the environmental mandate. 2-9 (c) The preparing agency may use information supplied by any 2-10 person, agency, organization, or governmental unit that the 2-11 preparing agency finds reliable. 2-12 (d) The preparing agency may offer an opinion on the 2-13 benefit of the environmental mandate. 2-14 SECTION 4. PROPOSED LEGISLATION CONTAINING ENVIRONMENTAL 2-15 MANDATES. (a) The presiding officer of a legislative committee to 2-16 which a bill containing an environmental mandate is referred shall 2-17 submit the bill to the preparing agency for preparation of a fiscal 2-18 note to analyze the probable fiscal effects of the mandate on local 2-19 governments. If the preparing agency determines that the bill does 2-20 not contain an environmental mandate, it shall inform the committee 2-21 in writing, and that determination is final. 2-22 (b) A committee to which a bill containing an environmental 2-23 mandate is referred may not vote on a bill unless it is accompanied 2-24 by a fiscal note that complies with this Act. If the bill is 2-25 enacted, the legislator who is the author of the bill shall ensure 3-1 that the bill is accompanied by an adjusted fiscal note when 3-2 enrolled. 3-3 SECTION 5. RULES OF TEXAS NATURAL RESOURCE CONSERVATION 3-4 COMMISSION. (a) A state agency rule that contains an 3-5 environmental mandate may not be adopted by the Texas Natural 3-6 Resource Conservation Commission or its successor unless it is 3-7 accompanied, at the time it is proposed, by a fiscal note that 3-8 informs the public, local governments, and the legislative and 3-9 executive branches of state government of the probable cost of the 3-10 environmental mandate on local governments. An agency may offer an 3-11 opinion concerning the benefit of the mandate. 3-12 (b) The fiscal note shall be prepared in the manner 3-13 described by Section 3 of this Act. 3-14 (c) The fiscal note shall be prepared by the Texas Natural 3-15 Resource Conservation Commission or its successor and shall be 3-16 published in the Texas Register with the proposed rule. If 3-17 adopted, the rule shall be accompanied by an adjusted fiscal note 3-18 when the notice of adoption is published in the Texas Register. 3-19 (d) A rule that imposes an environmental mandate on local 3-20 governments may not be adopted by the Texas Natural Resource 3-21 Conservation Commission or its successor on an emergency basis. 3-22 This subsection does not prevent or inhibit the commission's 3-23 ability to issue an emergency order or rule necessary in the 3-24 judgment of the commission to prevent loss of life, serious injury, 3-25 severe property damage, or severe economic loss. 4-1 SECTION 6. DELAYED IMPLEMENTATION DATES. The legislature 4-2 and the Texas Natural Resource Conservation Commission shall 4-3 consider the effect of any proposed environmental mandate on the 4-4 annual budget requirements and restrictions of local governments. 4-5 To allow local governments to plan and prepare adequate annual 4-6 budgets, an environmental mandate enacted by the legislature in 4-7 compliance with this subchapter may not become effective for local 4-8 governments before one year after the date the legislature adjourns 4-9 sine die at the regular or special session in which the mandate is 4-10 enacted. A rule of the Texas Natural Resource Conservation 4-11 Commission containing an environmental mandate may not become 4-12 effective for local governments before six months after the date 4-13 the state agency rule is adopted. 4-14 SECTION 7. The importance of this legislation and the 4-15 crowded condition of the calendars in both houses create an 4-16 emergency and an imperative public necessity that the 4-17 constitutional rule requiring bills to be read on three several 4-18 days in each house be suspended, and this rule is hereby suspended, 4-19 and that this Act take effect and be in force from and after its 4-20 passage, and it is so enacted.