By: Earley H.B. No. 2016
73R5112 JJT-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of the storage of hazardous liquids in
1-3 salt dome storage facilities; providing civil and criminal
1-4 penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. The Natural Resources Code is amended by adding
1-7 Title 11 to read as follows:
1-8 TITLE 11. MISCELLANEOUS USES OF NATURAL RESOURCES
1-9 CHAPTER 211. HAZARDOUS LIQUID SALT
1-10 DOME STORAGE FACILITIES
1-11 SUBCHAPTER A. GENERAL PROVISIONS
1-12 Sec. 211.001. DEFINITIONS. In this chapter:
1-13 (1) "Commission" means the Railroad Commission of
1-14 Texas.
1-15 (2) "Hazardous liquid" means:
1-16 (A) petroleum or any petroleum or liquid natural
1-17 gas product; or
1-18 (B) any substance or material in a liquid state,
1-19 other than liquefied natural gas, that has been determined by the
1-20 United States secretary of transportation to be a hazardous liquid.
1-21 (3) "Salt dome storage of hazardous liquids" means the
1-22 storage of a hazardous liquid in a salt dome storage facility but
1-23 does not include a facility covered by the Hazardous Liquid
1-24 Pipeline Safety Act of 1979 (49 App. U.S.C. Section 2001 et seq.)
2-1 or the Natural Gas Pipeline Safety Act of 1968 (49 App. U.S.C.
2-2 Section 1671 et seq.).
2-3 (4) "Salt dome storage facility" includes a new or
2-4 existing salt dome storage cavern and any equipment, facility, or
2-5 building used or intended for use in the storage of a hazardous
2-6 liquid in the salt dome cavern.
2-7 Sec. 211.002. POWERS OF LOCAL GOVERNMENTS. (a) This
2-8 chapter does not reduce, limit, or impair the authority provided by
2-9 law to any municipality, except as provided by Subsection (b) of
2-10 this section.
2-11 (b) A municipality or county may not adopt or enforce an
2-12 ordinance or other regulation that establishes safety standards or
2-13 practices applicable to hazardous liquid salt dome storage
2-14 facilities that are subject to regulation by federal or state law.
2-15 SUBCHAPTER B. REGULATION OF FACILITIES
2-16 Sec. 211.011. JURISDICTION. The commission has jurisdiction
2-17 over all salt dome storage of hazardous liquids and over facilities
2-18 used for the storage of hazardous liquids in salt domes.
2-19 Sec. 211.012. RULES AND STANDARDS. (a) The commission
2-20 shall adopt rules to establish safety standards for and practices
2-21 applicable to the storage of hazardous liquids in salt domes and
2-22 the facilities used for such storage. The rules shall require:
2-23 (1) the installation and periodic testing of safety
2-24 devices at a salt dome storage facility;
2-25 (2) the establishment of emergency notification
2-26 procedures in the event of a release of a hazardous substance that
2-27 poses a substantial risk to the public;
3-1 (3) fire prevention and response procedures;
3-2 (4) employee and third-party contractor safety
3-3 training; and
3-4 (5) other requirements that the commission finds
3-5 necessary and reasonable for the safe construction, operation, and
3-6 maintenance of salt dome storage facilities.
3-7 (b) The commission may grant exceptions to its rules or
3-8 impose additional requirements in any permit or amended permit
3-9 issued to a facility if the facility, as permitted, will not cause
3-10 an unreasonable danger to the public.
3-11 Sec. 211.013. RECORDS AND REPORTS. (a) Each owner or
3-12 operator of a hazardous liquid salt dome storage facility shall
3-13 maintain records, make reports, and provide any information the
3-14 commission may require with respect to the construction, operation,
3-15 or maintenance of the facility. The operator of a hazardous liquid
3-16 salt dome storage facility shall report the results of any test of
3-17 a safety device installed at the facility to the commission within
3-18 10 days after the day of the test.
3-19 (b) The commission by rule shall designate the records
3-20 required to be maintained and the reports required to be filed by
3-21 the owner or operator and shall provide forms for reports if
3-22 necessary.
3-23 (c) The commission may require the owner or operator of a
3-24 hazardous liquid salt dome storage facility to prepare a safety
3-25 procedural manual for the facility. The commission may require the
3-26 owner or operator to file the manual with the commission for
3-27 approval or to make the manual available for inspection by an
4-1 employee or agent of the commission.
4-2 Sec. 211.014. INSPECTIONS AND EXAMINATIONS. (a) The
4-3 commission or its employee or designated agent may enter property
4-4 on which a hazardous liquid salt dome storage facility is located
4-5 or any other property relating to the storage of a hazardous liquid
4-6 in a salt dome, and may inspect and examine the property and any
4-7 records located on the property to the extent relevant to determine
4-8 if a person is acting in compliance with this chapter and any rules
4-9 adopted by the commission under this chapter.
4-10 (b) Before the commission or its employee or agent enters
4-11 property for the purposes of this section, the person requesting
4-12 entry must present proper credentials to the person in charge of
4-13 the property.
4-14 (c) An entry, examination, or inspection under this section
4-15 may be made only at a reasonable time and in a reasonable manner.
4-16 SUBCHAPTER C. ENFORCEMENT
4-17 Sec. 211.031. CIVIL PENALTY. A person who violates this
4-18 chapter or a rule adopted by the commission under this chapter is
4-19 subject to a civil penalty of not less than $50 nor more than
4-20 $1,000 for each act of violation and for each day of violation.
4-21 The total amount of penalties that may be assessed under this
4-22 section for a related series of violations may not exceed $200,000.
4-23 Sec. 211.032. ENFORCEMENT BY COMMISSION AND ATTORNEY
4-24 GENERAL. (a) If it appears that a person has been or is violating
4-25 this chapter or a rule of the commission adopted under this
4-26 chapter, the commission may institute a civil suit in a district
4-27 court for injunctive relief to restrain the person from continuing
5-1 the violation or for the assessment and recovery of a civil penalty
5-2 under Section 211.031 of this code, or for both the injunctive
5-3 relief and the civil penalty.
5-4 (b) On application for injunctive relief and a finding that
5-5 a person has violated or is violating this chapter or a rule of the
5-6 commission adopted under this chapter, the district court shall
5-7 grant the injunctive relief that the facts warrant.
5-8 (c) At the request of the commission, the attorney general
5-9 shall institute and conduct a suit under this section in the name
5-10 of the state.
5-11 Sec. 211.033. CRIMINAL PENALTY FOR VIOLATION OF CHAPTER AND
5-12 RULES. (a) A person who intentionally or knowingly violates this
5-13 chapter or a rule of the commission adopted under this chapter
5-14 commits an offense.
5-15 (b) An offense under this section is punishable by a fine of
5-16 not more than $25,000, confinement in the institutional division of
5-17 the Texas Department of Criminal Justice for a term of not more
5-18 than five years, or both the fine and imprisonment.
5-19 Sec. 211.034. CRIMINAL PENALTY FOR DAMAGING OR DESTROYING
5-20 STORAGE FACILITIES. (a) A person who intentionally or knowingly
5-21 damages or destroys or attempts to damage or destroy any hazardous
5-22 liquid salt dome storage facility in this state commits an offense.
5-23 (b) A person who intentionally or knowingly disables a
5-24 safety device in a hazardous liquid salt dome storage facility
5-25 commits an offense.
5-26 (c) An offense under this section is punishable by a fine of
5-27 not more than $25,000, confinement in the institutional division of
6-1 the Texas Department of Criminal Justice for a term of not more
6-2 than 15 years, or both the fine and imprisonment.
6-3 SECTION 2. (a) This Act takes effect September 1, 1993,
6-4 except as provided by Subsection (b) of this section.
6-5 (b) Subchapter C, Chapter 211, Natural Resources Code, as
6-6 added by this Act, takes effect January 1, 1994.
6-7 (c) The Railroad Commission of Texas shall adopt rules for
6-8 the administration of Chapter 211, Natural Resources Code, as added
6-9 by this Act, before December 1, 1993.
6-10 SECTION 3. The importance of this legislation and the
6-11 crowded condition of the calendars in both houses create an
6-12 emergency and an imperative public necessity that the
6-13 constitutional rule requiring bills to be read on three several
6-14 days in each house be suspended, and this rule is hereby suspended.