73R11472 JJT-D
          By Parker, Shelley                                     S.B. No. 471
          Substitute the following for S.B. No. 471:
          By Saunders                                        C.S.S.B. No. 471
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the waste tire recycling program; providing an
    1-3  administrative penalty.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Sections 361.471 and 361.472, Health and Safety
    1-6  Code, are amended to read as follows:
    1-7        Sec. 361.471.  Definitions.  In this subchapter:
    1-8              (1)  "Fund" means the waste tire recycling fund.
    1-9              (2)  "Green tire" means the casing form of a tire that
   1-10  has not been cured or does not have a tread or marking of any kind.
   1-11              (3)  "Manufacturer reject tire" means a tire rendered
   1-12  defective in the manufacturing process, whether the tire is
   1-13  determined to be defective before or after consumer purchase.
   1-14              (4)  "Mobile tire shredder" means equipment mounted on
   1-15  wheels or skid-mounted and hauled from place to place to split,
   1-16  shred, or quarter used or scrap tires.
   1-17              (5) <(3)>  "Scrap tire" has the meaning assigned by
   1-18  Section 361.112.
   1-19              (6) <(4)>  "Waste tire facility" means a facility
   1-20  registered <permitted> by the commission <department> under Section
   1-21  361.477 <361.112> at which scrap tires are collected <or deposited>
   1-22  and shredded to facilitate the future extraction of useful
   1-23  materials for recycling, reuse, or energy recovery and are stored
   1-24  in a waste tire storage facility or a facility that recycles,
    2-1  reuses, or recovers the energy from the shredded tire pieces.
    2-2              (7) <(5)>  "Waste tire processor" means:
    2-3                    (A)  a waste tire facility; or
    2-4                    (B)  a mobile tire shredder that splits, shreds,
    2-5  or quarters tires and deposits the split, shredded, or quartered
    2-6  tires for eventual recycling, reuse, or energy recovery at:
    2-7                          (i)  a waste tire storage facility
    2-8  registered by the commission <department> under Section 361.112; or
    2-9                          (ii)  a waste tire facility.
   2-10              (8)  "Waste tire storage facility" means a facility
   2-11  registered by the commission under Section 361.477 at which whole
   2-12  used or scrap tires or shredded tire pieces are collected and
   2-13  stored to facilitate the future extraction of useful material for
   2-14  recycling, reuse, or recovery.  The term does not include a marine
   2-15  dock, rail yard, or trucking facility used to store tires that are
   2-16  awaiting shipment to a person for recycling, reuse, or energy
   2-17  recovery for 30 days or less.
   2-18              (9) <(6)>  "Waste tire transporter" means a person who
   2-19  collects and transports used or scrap tires or scrap tire pieces
   2-20  for storage or disposal.
   2-21              (10) <(7)>  "Weighed tire" means a unit of weight for
   2-22  shredded scrap tires that is equal to 18.7 pounds.
   2-23        Sec. 361.472.  Waste Tire Recycling Fees.  (a)  A wholesale
   2-24  or retail tire dealer who sells or offers to sell new tires not for
   2-25  resale shall collect at the time and place of sale a waste tire
   2-26  recycling fee <of $2> for each new <automobile, van, bus, truck,
   2-27  trailer, semitrailer, truck tractor and semitrailer combination, or
    3-1  recreational vehicle> tire sold as follows:
    3-2              (1)  $2 for each tire that has a rim diameter of <equal
    3-3  to or greater than> 12 inches or more but less than 25 <26> inches;
    3-4  and
    3-5              (2)  $2 for a motorcycle tire, regardless of the rim
    3-6  diameter.
    3-7        (b)  The sale of a tire as original equipment in the
    3-8  manufacture of a new vehicle is a sale for resale.
    3-9        (c)  A fee may not be assessed for a bicycle tire.
   3-10        (d)  <A dealer required to collect a fee under this section
   3-11  may retain 2 1/2  cents from each fee the dealer collects.  A
   3-12  dealer shall account for amounts retained under this subsection in
   3-13  the manner prescribed by the comptroller.>
   3-14        <(c)>  A dealer required to collect a fee under this section:
   3-15              (1)  shall list as a separate item on an invoice a fee
   3-16  due under this section; and
   3-17              (2)  except as provided by Subsection (e) <(d)>, on or
   3-18  before the 20th day of the month following the end of each calendar
   3-19  month and on a form and in the manner prescribed by the
   3-20  comptroller, shall file a report with and shall remit to the
   3-21  comptroller the amount of fees collected during the preceding
   3-22  calendar month.
   3-23        (e) <(d)>  A person required to collect a fee under this
   3-24  section who collects less than $50 for a calendar month or less
   3-25  than $150 for a calendar quarter is not required to file a monthly
   3-26  report but shall file a quarterly report with and make a quarterly
   3-27  remittance to the comptroller.  The quarterly report and remittance
    4-1  shall include fees collected during the preceding calendar quarter.
    4-2  The report and remittance are due not later than the 20th day of
    4-3  the month following the end of the calendar quarter.
    4-4        (f) <(e)>  An invoice or other record required by this
    4-5  section or rules of the comptroller must be maintained for at least
    4-6  four years after the date on which the invoice or record is
    4-7  prepared and be open for inspection by the comptroller at all
    4-8  reasonable times.
    4-9        (g) <(f)>  The comptroller shall adopt rules necessary for
   4-10  the administration, collection, reporting, and payment of the fees
   4-11  payable or collected under this section.
   4-12        (h)  A waste tire recycling fee is imposed on the storage,
   4-13  use, or consumption in this state of a new tire at the same rate as
   4-14  provided by Subsection (a), except when purchased for the purpose
   4-15  of resale.
   4-16        (i)  A person storing, using, or consuming a new tire in this
   4-17  state is liable for the waste tire recycling fee as defined in this
   4-18  section and is responsible for reporting and paying the fee to the
   4-19  comptroller in the same manner as a person required to collect this
   4-20  fee, as provided in Subsections (d)(2) and (e).
   4-21        (j)  A person storing, using, or consuming a new tire in this
   4-22  state is not further liable for the waste tire recycling fee
   4-23  imposed by Subsection (a) if the person pays the fee to a
   4-24  wholesaler or retailer engaged in business in this state or another
   4-25  person authorized by the comptroller to collect the fee and
   4-26  receives from the wholesaler, retailer, or other person a
   4-27  purchaser's receipt.
    5-1        SECTION 2.  Subchapter P, Chapter 361, Health and Safety
    5-2  Code, is amended by adding Section 361.4725 to read as follows:
    5-3        Sec. 361.4725.  REGISTRATION; FEE.  A person who applies to
    5-4  the commission to register a waste tire storage facility or a fixed
    5-5  or mobile tire processor, or to renew or amend the registration,
    5-6  must pay a fee of $500.
    5-7        SECTION 3.  Sections 361.475-361.477, Health and Safety Code,
    5-8  are amended to read as follows:
    5-9        Sec. 361.475.  Waste Tire Recycling Fund.  (a)  The waste
   5-10  tire recycling fund is a special account in the general revenue
   5-11  fund.
   5-12        (b)  The commission <department> shall administer the fund.
   5-13        (c)  The fund consists of fees and penalties collected under
   5-14  this subchapter, interest on money in the fund, and money from
   5-15  gifts, grants, or any other source intended to be used for the
   5-16  purposes of this subchapter.
   5-17        (d)  The fund may be used only to pay:
   5-18              (1)  waste tire processors that meet the requirements
   5-19  for payment under Section 361.477 and rules adopted under that
   5-20  section;
   5-21              (2)  the commission's <department's> reasonable and
   5-22  necessary administrative costs of performing its duties under this
   5-23  subchapter in an amount not to exceed six percent of the money
   5-24  annually accruing to the fund; and
   5-25              (3)  the comptroller's reasonable and necessary
   5-26  administrative costs of performing the comptroller's duties under
   5-27  this subchapter in an amount not to exceed two percent of the money
    6-1  annually accruing to the fund.
    6-2        (e)  Registration fees received under Section 361.4725 shall
    6-3  be allocated to the commission for its reasonable and necessary
    6-4  costs associated with reviewing applications for registration of
    6-5  and with registering fixed and mobile tire processing facilities
    6-6  and storage sites.
    6-7        (f)  The fund may not be used to reimburse shredding of:
    6-8              (1)  innertubes;
    6-9              (2)  scrap rubber products;
   6-10              (3)  green tires;
   6-11              (4)  industrial solid waste, excluding waste tires;
   6-12              (5)  oversized tires, as defined by commission rule,
   6-13  unless the oversized tires are collected from a priority
   6-14  enforcement list site; or
   6-15              (6)  manufacturer reject tires.
   6-16        (g)  The commission may classify special authorization tires,
   6-17  as defined by commission rule, as priority enforcement list tires.
   6-18        (h)  The fund shall maintain a balance of not less than
   6-19  $500,000.
   6-20        (i)  If the commission has reason to believe that the fund
   6-21  balance will fall below $500,000, the commission may:
   6-22              (1)  suspend the requirement to reimburse priority
   6-23  enforcement list tires shredded in excess of the minimum percentage
   6-24  identified in Section 361.477(c)(3)(C); or
   6-25              (2)  limit the number of waste tires for which a
   6-26  processor will be reimbursed.
   6-27        (j)  The revenues obtained from the waste tire recycling fees
    7-1  shall be deposited to the credit of the waste tire recycling fund
    7-2  and may be used only to pay for those activities and costs
    7-3  identified in Subsection (d) or (e).
    7-4        Sec. 361.476.  Priority Enforcement List.  The commission
    7-5  <department> shall identify scrap <unauthorized> tire sites <dumps>
    7-6  that present an existing or potential threat to public health and
    7-7  safety or to the environment and shall prepare an enforcement list
    7-8  of those sites <dumps>, giving priority to sites <dumps> for which
    7-9  the commission cannot locate a person who:
   7-10              (1)  is the property owner of record, the site
   7-11  operator, or the depositor of the scrap tires on the site;
   7-12              (2)  has benefitted financially from the disposition of
   7-13  the scrap tires on the site; and
   7-14              (3)  is financially capable of paying all or part of
   7-15  the total or partial cleanup of the site, considering the costs of
   7-16  the cleanup as the commission determines <a responsible party
   7-17  cannot be located>.
   7-18        Sec. 361.477.  Payments to Waste Tire Processors.  (a)  The
   7-19  commission <department> each month shall pay a waste tire processor
   7-20  that shreds scrap tires and meets the requirements of this section
   7-21  and rules adopted under this section an amount equal to 85 cents
   7-22  for each weighed tire shredded by the processor during the
   7-23  preceding calendar month.
   7-24        (b)  If the total number of used or scrap tires or tire
   7-25  pieces contained in illegal scrap tire sites that are identified on
   7-26  the priority enforcement list is below 500,000 tires, the
   7-27  commission may pay more than 85 cents for each weighed tire to
    8-1  processors with whom the commission has contracted to remove and
    8-2  shred scrap tires and scrap tire pieces from priority enforcement
    8-3  list sites.  The 500,000 tire limit does not include those tires
    8-4  contained in sites under commission enforcement or attorney general
    8-5  action or that require corrective action or remedial action in
    8-6  response to a release or threat of release of hazardous substances.
    8-7  In acting under this subsection, the commission may contract with
    8-8  processors on a regional or site-specific basis.  The contracts
    8-9  shall be procured through a competitive bid process conducted in
   8-10  accordance with the provisions of the State Purchasing and General
   8-11  Services Act (Article 601b, Vernon's Texas Civil Statutes)
   8-12  applicable to contracts for services.  The commission may elect not
   8-13  to enter into contracts under this subsection.  The contracts may
   8-14  be only for the removal and shredding of tires from priority
   8-15  enforcement list sites.
   8-16        (c)  A waste tire processor that desires to receive payment
   8-17  under this section for tires shredded by the processor during a
   8-18  calendar month must:
   8-19              (1)  apply to the commission for registration
   8-20  <department> in accordance with forms prescribed by the  commission
   8-21  <department>;
   8-22              (2)  apply to the commission for payment on forms
   8-23  prescribed by the commission or, on a voluntary basis, apply by a
   8-24  removable storage medium stored in an industry standard file format
   8-25  acceptable to the commission;
   8-26              (3)  demonstrate as required by rules adopted under
   8-27  this section that:
    9-1                    (A)  all tires for which payment is sought have
    9-2  been shredded to a particle size not larger than nine square
    9-3  inches; <and>
    9-4                    (B)  not less than 25 percent of those tires were
    9-5  collected from generators; and
    9-6                    (C)  if the total number of used or scrap tires
    9-7  or tire pieces contained in illegal waste tire sites that are
    9-8  identified on the priority enforcement list exceeds 500,000 tires
    9-9  for more than 30 consecutive days, not less than 15 <25> percent
   9-10  and not more than 30 percent of those tires were collected from
   9-11  scrap tire sites <dumps> listed on the <department's> priority
   9-12  enforcement list;
   9-13              (4) <(3)>  provide any other information the commission
   9-14  <department> determines is needed to accomplish the purposes of
   9-15  this subchapter, including a monthly report of scrap tires or tire
   9-16  pieces shredded, subtotaled by tire count or weight, for each
   9-17  generator number and priority enforcement list number; <and>
   9-18              (5) <(4)>  demonstrate that energy recovery activities
   9-19  in the state are in compliance with applicable air emission control
   9-20  rules and standards as adopted by the Texas Air Control Board; and
   9-21              (6)  provide financial assurance deemed adequate by the
   9-22  commission that corresponds to:
   9-23                    (A)  the payment appropriate for the number of
   9-24  scrap tires the processor will shred in the next calendar month
   9-25  based on the approved monthly receipts; or
   9-26                    (B)  the number of scrap tire shreds the waste
   9-27  tire storage site owner or operator will accept for storage in the
   10-1  next calendar month based on the approved monthly receipts.
   10-2        (d) <(c)>  A waste tire processor that in any month exceeds
   10-3  the <25 percent> minimum requirement of Subsection (c)(3)(C)
   10-4  <(b)(2)> shall receive a credit for the amount in excess of the
   10-5  requirement <25 percent> that may be used to meet the minimum
   10-6  requirement during a later month.  The commission <board of health>
   10-7  by rule may prescribe the method of applying credits accrued under
   10-8  this subsection.
   10-9        (e) <(d)>  The commission <board of health> by rule shall
  10-10  adopt application and payment procedures and requirements to
  10-11  implement this section.
  10-12        (f)  Until the commission has determined that a waste tire
  10-13  processor is in compliance with all applicable requirements, the
  10-14  commission may not authorize the processor to process or store
  10-15  scrap tires at a site at which the processor processes or stores or
  10-16  intends to process or store scrap tires.
  10-17        (g)  Notwithstanding Section 361.486, the commission may
  10-18  reimburse a processor for shredded scrap tires if the processor has
  10-19  a binding agreement to deliver the shredded scrap tires to a person
  10-20  to recycle or reuse or to use for energy recovery within 180 days
  10-21  after the date of reimbursement.
  10-22        (h)  The commission may not pay a waste tire processor for
  10-23  processing scrap tires if the commission determines that the
  10-24  processor:
  10-25              (1)  has not provided adequate financial assurance;
  10-26              (2)  does not have adequate fire protection; or
  10-27              (3)  is causing an imminent danger to public health or
   11-1  welfare.
   11-2        (i)  The commission shall issue to an applicant all
   11-3  processing and storage registrations necessary to begin operations
   11-4  and obtain reimbursement from the fund if the applicant, on or
   11-5  before March 10, 1993:
   11-6              (1)  had an application pending for a new processing
   11-7  facility that was reviewed by the commission and found to be in
   11-8  general technical compliance;
   11-9              (2)  had an application pending for a new storage
  11-10  facility with a total capacity in excess of 7 million waste tire
  11-11  units; and
  11-12              (3)  had expended or committed in excess of $1 million
  11-13  in total project costs.
  11-14        (j)  The commission shall adopt rules to manage payments from
  11-15  the fund to prevent depletion of the fund.  Rules adopted under
  11-16  this subsection shall consider:
  11-17              (1)  appropriate payments to reflect the varying
  11-18  amounts of money available in the fund;
  11-19              (2)  a waste tire processor's monthly average number of
  11-20  tires for which the processor has been reimbursed historically;
  11-21              (3)  a waste tire processor's shredding and storage
  11-22  capacity; and
  11-23              (4)  the date the waste tire processor was registered.
  11-24        (k)  If a waste tire processor does not fully use its monthly
  11-25  allocation for reimbursement, the commission may assign the unused
  11-26  portion of the allocation to another waste tire processor who can
  11-27  demonstrate having underutilized shredding and storage capacity
   12-1  available for service to rural counties in this state.
   12-2        <(e)  A permitted Type VIII tire monofill approved under
   12-3  board of health rules may qualify as a waste tire processor and is
   12-4  eligible to receive payment under this section if the Type VIII
   12-5  tire monofill complies with all the provisions of this subchapter
   12-6  and rules of the board of health.>
   12-7        SECTION 4.  Subchapter P, Chapter 361, Health and Safety
   12-8  Code, is amended by adding Sections 361.4771 and 361.4772 to read
   12-9  as follows:
  12-10        Sec. 361.4771.  PAYMENT FOR SHREDDING OUTSIDE OF STATE.  The
  12-11  commission may reimburse a registered waste tire processor for
  12-12  shredding tires generated in this state and shredded outside this
  12-13  state if the processor:
  12-14              (1)  meets all requirements that apply to a waste tire
  12-15  processor who shreds tires within this state;
  12-16              (2)  monthly reimburses the state for reasonable and
  12-17  necessary costs incurred by the commission for on-site audits of
  12-18  the out-of-state facility as the commission considers necessary;
  12-19              (3)  voluntarily submits to the commission's
  12-20  enforcement authority as necessary to ensure compliance with this
  12-21  subchapter; and
  12-22              (4)  agrees to maintain evidence of financial
  12-23  responsibility under Section 361.479 in an amount equal to twice
  12-24  the amount that would be required of an in-state waste tire
  12-25  processor.
  12-26        Sec. 361.4772.  PAYMENT FOR BALING TIRES.  A registered waste
  12-27  tire processor who bales whole tires is eligible for reimbursement
   13-1  at a rate of 25 cents for each tire if the processor meets the
   13-2  requirements of this subchapter that apply to a waste tire
   13-3  processor and to tires processed.
   13-4        SECTION 5.  Sections 361.478 and 361.479, Health and Safety
   13-5  Code, are amended to read as follows:
   13-6        Sec. 361.478.  Evaluation of Recycling and Energy Recovery
   13-7  Activities; Certification for Payment.  (a)  Beginning January 1,
   13-8  1996 <June 1, 1995>, and every two <five> years after that date,
   13-9  the commission <department> shall evaluate according to standards
  13-10  adopted by commission <board of health> rule the recycling and
  13-11  energy recovery activities of each waste tire processor that
  13-12  received payment from the waste tire recycling fund <under Section
  13-13  361.477 during the preceding five years>.
  13-14        (b)  After evaluation, the commission <department> shall
  13-15  certify as eligible for payment under this subchapter <Section
  13-16  361.477> during the next two <five> years a waste tire processor
  13-17  that has conducted or provided for recycling of or energy recovery
  13-18  from tires for which the processor received payment during the
  13-19  preceding period of operation <five years>.
  13-20        (c)  A waste tire processor that receives payment under this
  13-21  subchapter <Section 361.477> during any two-year <five-year> period
  13-22  and that after evaluation is not certified by the commission
  13-23  <department> under Subsection (b) as eligible for payment under
  13-24  this subchapter <Section 361.477> may not receive payment under
  13-25  this subchapter <that section> for the next two <five> years.
  13-26        (d)  The commission <board of health> by rule may establish a
  13-27  procedure by which a waste tire processor can reestablish
   14-1  eligibility for payment under this subchapter <Section 361.477>.
   14-2        Sec. 361.479.  Evidence of Financial Responsibility.  (a)  A
   14-3  waste tire storage facility registered by the commission
   14-4  <department> under Section 361.112 or a waste tire facility that
   14-5  accepts shredded scrap tires for storage or for processing for
   14-6  recycling, reuse, or energy recovery shall submit to the commission
   14-7  <department> evidence of financial responsibility in an amount
   14-8  adequate to assure proper cleanup and <or> closure of the facility.
   14-9        (b)  A facility subject to Subsection (a) shall submit to the
  14-10  commission <department> an estimate of the total amount of shredded
  14-11  scrap tires and tire pieces measured by weighed tire that the
  14-12  facility will store or process, the maximum number of out-of-state
  14-13  tires the facility will store, and the estimated cost, using that
  14-14  total amount, of cleaning up and <or> closing the facility.
  14-15        (c)  The commission <department> shall evaluate and may amend
  14-16  an estimate submitted under Subsection (b) and <by order> shall
  14-17  determine for each facility the amount for which evidence of
  14-18  financial responsibility is required.
  14-19        (d)  Evidence of financial responsibility may be in the form
  14-20  of:
  14-21              (1)  a performance bond or<,> a letter of credit
  14-22  acceptable to the commission that is from a <recognized> financial
  14-23  institution, a trust fund, or insurance for a privately owned
  14-24  facility; or
  14-25              (2)  a self-insurance test designed by the commission<,
  14-26  or a resolution by the commissioners court or the city council, as
  14-27  appropriate,> for a publicly owned facility.  A person who makes an
   15-1  initial request for reimbursement from the waste tire recycling
   15-2  fund on or after September 1, 1993, must provide evidence of
   15-3  financial responsibility for the full amount determined under
   15-4  Subsection (c).
   15-5        SECTION 6.  Sections 361.482 and 361.483, Health and Safety
   15-6  Code, are amended to read as follows:
   15-7        Sec. 361.482.  Prohibition on Disposal of Shredded Tires in
   15-8  Landfill.  A waste tire processor may not dispose of shredded scrap
   15-9  tires in a landfill if the processor has received payment under
  15-10  Section 361.477 for shredding the tires.
  15-11        Sec. 361.483.  Civil Penalty.  (a)  A person who violates
  15-12  this subchapter or a rule adopted or order issued under this
  15-13  subchapter <Section 361.481 or 361.482> is liable for a civil
  15-14  penalty of up to $10,000 for each violation and for each day of a
  15-15  continuing violation.
  15-16        (b)  The attorney general or the prosecuting attorney in the
  15-17  county in which the alleged violation occurs may bring suit to
  15-18  recover the civil penalty imposed under Subsection (a).
  15-19        (c)  A penalty collected under this section shall be
  15-20  deposited to the credit of the waste tire recycling fund.
  15-21        SECTION 7.  Subchapter P, Chapter 361, Health and Safety
  15-22  Code, is amended by adding Sections 361.4831 and 361.4832 to read
  15-23  as follows:
  15-24        Sec. 361.4831.  INJUNCTION FOR CORRECTIVE ACTION.  (a)  The
  15-25  attorney general or the prosecuting attorney in a county in which
  15-26  the violation occurs may bring suit for an injunction to compel a
  15-27  person who violates this subchapter or a rule adopted or order
   16-1  issued under this subchapter to take corrective action.
   16-2        (b)  The suit may be brought independently of or in
   16-3  conjunction with a suit under Section 382.483.
   16-4        Sec. 361.4832.  ADMINISTRATIVE PENALTY AND ORDER FOR
   16-5  CORRECTIVE ACTION.  If a person violates this subchapter or a rule
   16-6  adopted or order issued under this subchapter the commission may:
   16-7              (1)  assess against the person an administrative
   16-8  penalty under Section 361.252; or
   16-9              (2)  order the person to take a corrective action.
  16-10        SECTION 8.  Sections 361.484 and 361.485, Health and Safety
  16-11  Code, are amended to read as follows:
  16-12        Sec. 361.484.  Rules.  The commission <board of health> may
  16-13  adopt rules reasonably necessary to implement this subchapter.
  16-14        Sec. 361.485.  Report.  Not later than February 1 of each
  16-15  odd-numbered year, the commission <department> shall report to the
  16-16  governor and the legislature on the administration of the program
  16-17  established under this subchapter and its effectiveness in cleaning
  16-18  up existing  scrap tire sites <dumps> and in preventing new scrap
  16-19  tire sites <dumps>.
  16-20        SECTION 9.  Subchapter P, Chapter 361, Health and Safety
  16-21  Code, is amended by adding Sections 361.486-361.495 to read as
  16-22  follows:
  16-23        Sec. 361.486.  RECYCLING EFFORTS.  (a)  On and after January
  16-24  1, 1996, for all new, amended, and renewal processing registration
  16-25  applications, the processor must identify those persons who will
  16-26  accept the processor's shredded scrap tire pieces for recycling or
  16-27  reuse or to use the shredded scrap tires for energy recovery.  The
   17-1  commission shall reimburse a processor for only those shredded
   17-2  tires that the commission determines are committed to a legitimate
   17-3  end user.
   17-4        (b)  The commission may disapprove of the use a person
   17-5  identified by the processor has for the tire pieces unless the
   17-6  person identified is authorized by the state to use tire-derived
   17-7  fuel for energy recovery.
   17-8        (c)  The commission by rule shall define recycling for
   17-9  purposes of this subchapter.
  17-10        (d)  On or before January 1, 1994, and on a semiannual basis
  17-11  thereafter,  registered processors and storage site owners and
  17-12  operators shall report their recycling, reuse, and energy recovery
  17-13  activities to the commission.  The commission by rule shall
  17-14  prescribe the form and other requirements of the report.
  17-15        (e)  A person who, in this state, recycles or recovers the
  17-16  energy from shredded tire pieces shall register with the commission
  17-17  in accordance with the rules and on the forms prescribed by the
  17-18  commission.
  17-19        Sec. 361.487.  REIMBURSEMENT RESTRICTIONS.  (a)  A processor
  17-20  seeking reimbursement under Section 361.477 shall process and store
  17-21  the scrap tires or scrap tire pieces in the state.
  17-22        (b)  The commission shall treat scrap tires and scrap tire
  17-23  pieces generated in Texas, removed from Texas, and subsequently
  17-24  reintroduced to Texas as out-of-state scrap tires for the purposes
  17-25  of this subchapter.
  17-26        (c)  Scrap tires and scrap tire pieces that are shredded and
  17-27  for which a person is reimbursed may not be disposed of in a Type
   18-1  VIII-S tire monofill.
   18-2        Sec. 361.488.  GENERATOR CHARGE FOR SCRAP TIRES PROHIBITED.
   18-3  A scrap tire generator may not receive remuneration in exchange for
   18-4  scrap tires.
   18-5        Sec. 361.489.  IMMEDIATE REMOVAL AND REMEDIAL ACTION BY
   18-6  COMMISSION.  (a)  The commission may, with the funds available to
   18-7  the commission from the waste tire recycling fund, undertake
   18-8  immediate remediation of a site if, after investigation, the
   18-9  commission finds:
  18-10              (1)  that there exists a situation caused by the
  18-11  illegal dumping of scrap tires that is causing or may cause
  18-12  imminent and substantial endangerment to the public health and
  18-13  safety or the environment; and
  18-14              (2)  the immediacy of the situation makes it
  18-15  prejudicial to the public interest to delay action until an
  18-16  administrative order can be issued to potentially responsible
  18-17  parties or until a judgment can be entered in an appeal of an
  18-18  administrative order.
  18-19        (b)  If a person ordered to eliminate an imminent and
  18-20  substantial danger to the public health and safety or the
  18-21  environment has failed to do so within the time limits specified in
  18-22  the order or any extension of time approved by the commission, the
  18-23  commission may implement a remedial program for the site.
  18-24        (c)  The commission may bring suit against a potentially
  18-25  responsible party to recover reasonable expenses incurred in
  18-26  undertaking immediate removal under Subsection (a) or in
  18-27  implementing a remedial action order under Subsection (b).  For
   19-1  purposes of this subsection, the commission shall employ the
   19-2  following three criteria to determine whether a person is a
   19-3  potentially responsible party:
   19-4              (1)  the person must be the property owner of record,
   19-5  the site operator, or the depositor of the scrap tires on the site;
   19-6              (2)  the person must have benefitted financially from
   19-7  the disposition of the scrap tires on the site; and
   19-8              (3)  the person must be financially capable of paying
   19-9  all or part of the costs of the total or partial cleanup of the
  19-10  site, considering the costs of the cleanup as determined by the
  19-11  commission.
  19-12        (d)  The commission shall file the suit to recover costs not
  19-13  later than one year after the date removal or remedial measures are
  19-14  completed.
  19-15        (e)  Money collected in a suit to recover costs shall be
  19-16  deposited to the credit of the waste tire recycling fund.
  19-17        (f)  The commission, in lieu of bringing suit to recover
  19-18  costs incurred under this section, may file a lien against the
  19-19  property on which the site is located.  The lien shall state the
  19-20  name of the owner of the property, the amount owed, and the legal
  19-21  description of the property.  The lien arises and attaches on the
  19-22  date the lien is filed in the real property records of the county
  19-23  in which the property is located.  The lien is subordinate to the
  19-24  rights of prior bona fide purchasers or lienholders on the
  19-25  property.
  19-26        Sec. 361.490.  ACCESS TO PRIORITY ENFORCEMENT LIST SITE.
  19-27  (a)   Members of the commission, employees or agents of the
   20-1  commission, and authorized processors or their subcontractors are
   20-2  entitled to enter any public or private property at any reasonable
   20-3  time for the purpose of inspecting, investigating, or remediating
   20-4  any condition related to illegal dumping of scrap tires.  An
   20-5  authorized processor or subcontractor is entitled to enter property
   20-6  only if the commission directs the processor or subcontractor to
   20-7  enter the property.  The executive director shall give notice of
   20-8  intent to enter private property for those purposes by certified
   20-9  mail to the last known address indicated in the current county
  20-10  property records at least 10 days before  a commission member,
  20-11  commission employee or agent, or authorized processor or
  20-12  subcontractor enters the property.  A commission member, commission
  20-13  employee or agent, or authorized processor or subcontractor who,
  20-14  acting under this subsection, enters private property shall:
  20-15              (1)  observe the establishment's rules concerning
  20-16  safety, internal security, and fire protection; and
  20-17              (2)  if the property has management in residence,  make
  20-18  a reasonable attempt to notify the management or person in charge
  20-19  of the  entry and exhibit credentials.
  20-20        (b)  Authorized processors and their subcontractors may not
  20-21  be considered agents of the state and are solely responsible for
  20-22  their actions.
  20-23        Sec. 361.491.  INJUNCTION TO RESTRAIN VIOLATION.  If it
  20-24  appears that a person has violated, is violating, or is threatening
  20-25  to violate this subchapter or a rule, permit, or order adopted or
  20-26  issued under this subchapter, the executive director may bring suit
  20-27  in a district court for injunctive relief to restrain the person
   21-1  from continuing the violation or threat of violation.
   21-2        Sec. 361.492.  NEW TIRE WHOLESALERS AND RETAILERS.  A person
   21-3  selling new tires as described in Section 361.472(a) shall accept
   21-4  from customers, without charge, used tires of the type and in a
   21-5  quantity at least equal to the number of new tires purchased.
   21-6        Sec. 361.493.  CONFIDENTIALITY.  Information submitted to the
   21-7  commission in accordance with Section 361.477(g) or Section
   21-8  361.486(a) or (d), and any report generated by the commission based
   21-9  on the information, is confidential and is not subject to
  21-10  disclosure under Chapter 424, Acts of the 63rd Legislature, Regular
  21-11  Session, 1973 (Article 6252-17a, Vernon's Texas Civil Statutes),
  21-12  and the commission shall protect the information accordingly.
  21-13        Sec. 361.494.  APPEAL.  The commission shall establish a
  21-14  process by which a registered waste tire processor who is adversely
  21-15  affected by an agency decision affecting reimbursement may appeal
  21-16  that decision to the executive director or the commission.
  21-17        Sec. 361.495.  ENSURING CAPACITY.  Not later than October 1
  21-18  of each odd-numbered year, the commission shall determine the total
  21-19  shredding capacity of all registered waste tire processors.  If the
  21-20  commission determines that the shredding capacity is less than the
  21-21  previous year's reimbursed waste tire units, the commission may
  21-22  issue registrations to waste tire processors until the anticipated
  21-23  shredding capacity equals the previous year's reimbursed waste tire
  21-24  units.  If the commission determines that the shredding capacity
  21-25  exceeds the previous year's reimbursed waste tire units, the
  21-26  commission may not issue a registration to a new waste tire
  21-27  processor until the next capacity assessment is completed.
   22-1        SECTION 10.  Section 361.014, Health and Safety Code, is
   22-2  amended to read as follows:
   22-3        Sec. 361.014.  Use of Solid Waste Fee Revenue.  (a)  Revenue
   22-4  received by the department under Section 361.013 shall be deposited
   22-5  in the state treasury to the credit of the department.  At least
   22-6  half the revenue is dedicated to the department's municipal solid
   22-7  waste permitting and enforcement programs and related support
   22-8  activities, and the balance of the revenue is dedicated to pay for
   22-9  activities that will enhance the state's solid waste management
  22-10  program, including:
  22-11              (1)  provision of funds for the municipal solid waste
  22-12  management planning fund and the municipal solid waste resource
  22-13  recovery applied research and technical assistance fund established
  22-14  by the Comprehensive Municipal Solid Waste Management, Resource
  22-15  Recovery, and Conservation Act (Chapter 363);
  22-16              (2)  provision of technical assistance to local
  22-17  governments concerning solid waste management;
  22-18              (3)  establishment of a solid waste resource center in
  22-19  the department and an office of waste minimization and recycling;
  22-20              (4)  provision of supplemental funding to local
  22-21  governments for the enforcement of this chapter, the Texas Litter
  22-22  Abatement Act (Chapter 365), and Chapter 741, Acts of the 67th
  22-23  Legislature, Regular Session, 1981 (Article 4477-9a, Vernon's Texas
  22-24  Civil Statutes);
  22-25              (5)  conduct of a statewide public awareness program
  22-26  concerning solid waste management;
  22-27              (6)  provision of supplemental funds for other state
   23-1  agencies with responsibilities concerning solid waste management,
   23-2  recycling, and other initiatives with the purpose of diverting
   23-3  recyclable waste from landfills;
   23-4              (7)  conduct of research to promote the development and
   23-5  stimulation of markets for recycled waste products;
   23-6              (8)  creation of a state municipal solid waste
   23-7  superfund for:
   23-8                    (A)  the cleanup of unauthorized tire dumps and
   23-9  solid waste dumps for which a responsible party cannot be located
  23-10  or is not immediately financially able to provide the cleanup; and
  23-11                    (B)  the cleanup or proper closure of abandoned
  23-12  or contaminated municipal solid waste sites for which a responsible
  23-13  party is not immediately financially able to provide the cleanup;
  23-14  and
  23-15              (9)  provision of funds for other programs that the
  23-16  board of health may consider appropriate to further the purposes of
  23-17  this chapter.
  23-18        (b)  Revenue derived from fees charged under Section
  23-19  361.013(c) to a transporter of whole used or scrap tires or
  23-20  shredded tire pieces shall be deposited to the credit of the waste
  23-21  tire recycling fund.
  23-22        SECTION 11.  Section 361.112, Health and Safety Code, is
  23-23  amended by adding Subsection (m) to read as follows:
  23-24        (m)  The commission may adopt rules to regulate the storage
  23-25  of scrap or shredded tires that are stored at a marine dock, rail
  23-26  yard, or trucking facility for more than 30 days.
  23-27        SECTION 12.  Section 363.041, Health and Safety Code, is
   24-1  amended to read as follows:
   24-2        Sec. 363.041.  Composition of Advisory Council.  The
   24-3  Municipal Solid Waste Management and Resource Recovery Advisory
   24-4  Council is composed of the following 17 <15> members appointed by
   24-5  the board:
   24-6              (1)  an elected official from a municipality with a
   24-7  population of 750,000 or more;
   24-8              (2)  an elected official from a municipality with a
   24-9  population of 100,000 or more but less than 750,000;
  24-10              (3)  an elected official from a municipality with a
  24-11  population of 25,000 or more but less than 100,000;
  24-12              (4)  an elected official from a municipality with a
  24-13  population of less than 25,000;
  24-14              (5)  two elected officials of separate counties, one of
  24-15  whom is from a county with a population of less than 150,000;
  24-16              (6)  an official from a municipality or county solid
  24-17  waste agency;
  24-18              (7)  a representative from a private environmental
  24-19  conservation organization;
  24-20              (8)  a representative from a public solid waste
  24-21  district or authority;
  24-22              (9)  a representative from a planning region;
  24-23              (10)  a representative of the financial community;
  24-24              (11)  a representative from a solid waste management
  24-25  organization composed primarily of commercial operators;
  24-26              (12)  a board member; <and>
  24-27              (13)  two persons representing the public who would not
   25-1  otherwise qualify as members under this section;
   25-2              (14)  a registered, fixed waste tire processor; and
   25-3              (15)  a registered, mobile waste tire processor.
   25-4        SECTION 13.  (a)  The Texas Natural Resource Conservation
   25-5  Commission may not register a waste tire processor until after the
   25-6  commission makes its initial determination of the capacity of
   25-7  registered waste tire processors as provided by Section 361.495,
   25-8  Health and Safety Code, as added by this Act.
   25-9        (b)  If this Act takes immediate effect, notwithstanding the
  25-10  date provided by Section 361.495, Health and Safety Code, as added
  25-11  by this Act, the Texas Natural Resource Conservation Commission
  25-12  shall make the initial determination of the capacity of registered
  25-13  waste tire processors not later than 30 days after the effective
  25-14  date of this Act.
  25-15        SECTION 14.  The changes in the waste tire recycling fee made
  25-16  by Section 361.472, Health and Safety Code, as amended by this Act,
  25-17  take effect October 1, 1993.
  25-18        SECTION 15.  The importance of this legislation and the
  25-19  crowded condition of the calendars in both houses create an
  25-20  emergency and an imperative public necessity that the
  25-21  constitutional rule requiring bills to be read on three several
  25-22  days in each house be suspended, and this rule is hereby suspended,
  25-23  and that this Act take effect and be in force from and after its
  25-24  passage, and it is so enacted.