1-1  By:  Bivins                                           S.B. No. 1313
    1-2        (In the Senate - Filed March 25, 1993; March 25, 1993, read
    1-3  first time and referred to Committee on State Affairs;
    1-4  March 29, 1993, reported favorably, as amended, by the following
    1-5  vote:  Yeas 12, Nays 0; March 29, 1993, sent to printer.)
    1-6                            COMMITTEE VOTE
    1-7                          Yea     Nay      PNV      Absent 
    1-8        Harris of Dallas   x                               
    1-9        Rosson             x                               
   1-10        Carriker           x                               
   1-11        Henderson          x                               
   1-12        Leedom                                         x   
   1-13        Lucio              x                               
   1-14        Luna               x                               
   1-15        Nelson             x                               
   1-16        Patterson          x                               
   1-17        Shelley            x                               
   1-18        Sibley             x                               
   1-19        West               x                               
   1-20        Whitmire           x                               
   1-21  COMMITTEE AMENDMENT NO. 1                            By:  Henderson
   1-22        Amend S.B. No. 1313 in SECTION 4 of the bill, by striking
   1-23  proposed Subsection (f)(1) and substituting the following:
   1-24        (f)(1)  Notwithstanding any other provision of this Act,
   1-25  before granting an application by a disadvantaged business for a
   1-26  certificate, the Commission shall require that the applicant make a
   1-27  prima facie case that it is fit, willing, and able to perform the
   1-28  proposed service and to meet the requirements of this Act and the
   1-29  regulations the Commission adopts under this Act.  If the applicant
   1-30  makes a prima facie case, the Commission shall grant the
   1-31  application unless an opposing party shows that the applicant is
   1-32  not fit, willing, and able to perform the proposed service and to
   1-33  meet the requirements of this Act and the regulations the
   1-34  Commission adopts under this Act.  In making a determination on
   1-35  granting the application, the Commission may not consider evidence
   1-36  presented by an opposing party that:
   1-37                    (A)  does not show that the applicant is not fit,
   1-38  willing, and able to perform the service proposed and to meet the
   1-39  requirements of this Act and the regulations the Commission adopts
   1-40  under this Act;
   1-41                    (B)  shows that an opposing party or another
   1-42  carrier already adequately provides or could adequately provide the
   1-43  proposed service; or
   1-44                    (C)  shows that a complaint has been or will be
   1-45  filed against the applicant for a violation of this Act, unless the
   1-46  complaint is in regard to a safety violation.
   1-47  COMMITTEE AMENDMENT NO. 2                            By:  Henderson
   1-48        Amend S.B. No. 1313 in SECTION 5 of the bill by amending
   1-49  proposed Subsection 4A(g) as follows:
   1-50        (g) Not later than the 30th day after the date the notice is
   1-51  published under Subsection (c) of this section, the Commission
   1-52  shall conduct a hearing and enter an interim order suspending or
   1-53  affirming a proposed rate, charge, or other provision for which a
   1-54  suspension petition has been filed as provided by Subsection (d) of
   1-55  this section.
   1-56  COMMITTEE AMENDMENT NO. 3                            By:  Henderson
   1-57        Amend S.B. No. 1313 in Section 12 of the bill by amending
   1-58  proposed Subsection 139(k) of Article 6701d, Vernon's Texas Civil
   1-59  Statutes, as follows:
   1-60        (k)  A penalty recovered in a suit or an administrative
   1-61  proceeding brought under this section shall be deposited to the
   1-62  credit of the Motor Carrier Act enforcement <state highway> fund.
   1-63  COMMITTEE AMENDMENT NO. 4                            By:  Henderson
   1-64        Amend S.B. No. 1313 in Section 1 of the bill by amending
   1-65  proposed Subsection 1(k) as follows:
   1-66        (k)  "Truckload quantity" means a single shipment that:
   1-67              (1)  is transported for a single consignor who has
   1-68  exclusive use of the transporting vehicle; and
    2-1              (2)  weighs 25,000 pounds or more or constitutes a
    2-2  capacity load under tariffs, rules, or regulations adopted by the
    2-3  Commission.
    2-4                         A BILL TO BE ENTITLED
    2-5                                AN ACT
    2-6  relating to the regulation of motor carriers; providing penalties.
    2-7        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    2-8        SECTION 1.  Section 1, Chapter 314, Acts of the 41st
    2-9  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   2-10  Civil Statutes), is amended by amending Subsections (g) and (h) and
   2-11  adding Subsection (k) to read as follows:
   2-12        (g)  The term "motor carrier" means any person, firm,
   2-13  corporation, company, copartnership, association or joint stock
   2-14  association, and their lessees, receivers, or trustees appointed by
   2-15  any court whatsoever owning, controlling, managing, operating, or
   2-16  causing to be operated any motor-propelled vehicle used in
   2-17  transporting property for compensation or hire over any public
   2-18  highway in this state, where in the course of such transportation a
   2-19  highway between two or more incorporated cities, towns or villages
   2-20  is traversed.
   2-21        Provided, that the term "motor carrier" as used in this Act
   2-22  shall not include, and this Act shall not apply to motor vehicles
   2-23  engaged in the transportation of property for compensation or hire
   2-24  between points:
   2-25              (1)  Wholly within any one incorporated city, town or
   2-26  village;
   2-27              (2)  Wholly within an incorporated city, town or
   2-28  village and all areas, incorporated or unincorporated, wholly
   2-29  surrounded by such city, town or village;
   2-30              (3)  So situated that the transportation is performed
   2-31  wholly within an incorporated and immediately adjacent
   2-32  unincorporated area without operating within or through the
   2-33  corporate limits of more than a single incorporated city, town or
   2-34  village, except to the extent provided in (2) above; or
   2-35              (4)  Wholly within the limits of a base incorporated
   2-36  municipality and any number of incorporated cities, towns and
   2-37  villages which are immediately contiguous to said base
   2-38  municipality.
   2-39        Provided further, that motor carriers authorized to serve any
   2-40  incorporated city, town or village within the areas described in
   2-41  (2), (3), and (4) above, except carriers of commodities in bulk in
   2-42  tank trucks and all specialized motor carriers, may perform service
   2-43  for compensation or hire between all points within the areas
   2-44  described in (2), (3), and (4) above, on the one hand, and, on the
   2-45  other, authorized points beyond such areas without a certificate or
   2-46  permit authorizing service at all points within such areas when
   2-47  such transportation is incident to, or a part of, otherwise
   2-48  regulated transportation performed under a through bill of lading.
   2-49        Provided further, that after notice and public hearing the
   2-50  Railroad Commission of Texas is hereby authorized, except as to
   2-51  operations of carriers of commodities in bulk in tank vehicles and
   2-52  all specialized motor carriers, from time to time and where
   2-53  necessary, to define and prescribe, and where necessary shall
   2-54  prescribe, commercial zones adjacent to and commercially a part of
   2-55  any specified incorporated municipality and within which operations
   2-56  as a motor carrier may be performed without a certificate or permit
   2-57  authorizing same and within which strictly local service wholly
   2-58  within such commercial zone may be performed at rates and charges
   2-59  other than those prescribed by the Commission.  A commercial zone
   2-60  shall consist of one or more whole counties.  The Commission in so
   2-61  determining and prescribing the limits of any commercial zone shall
   2-62  take into consideration its powers and duties otherwise to
   2-63  administer and enforce the Motor Carrier Act considered in the
   2-64  light of the economic facts and conditions involved in each
   2-65  commercial zone or proposed commercial zone, particularly the
   2-66  effect that unregulated transportation for compensation or hire
   2-67  within such zone or proposed zone has had or may have upon fully
   2-68  regulated motor carriers operating in regulated intrastate commerce
   2-69  to, from and within such commercial zone.  The Railroad Commission
   2-70  is empowered to prescribe such rules and regulations for operation
    3-1  of such transportation  as the Commission deems in the public
    3-2  interest.
    3-3        (h)  The term "contract carrier" means any motor carrier as
    3-4  hereinabove defined transporting property for compensation or hire
    3-5  over any highway in this State other than as a common carrier or a
    3-6  specialized motor carrier.
    3-7        (k)  "Truckload quantity" means a single shipment that:
    3-8              (1)  is transported for a single consignor who has
    3-9  exclusive use of the transporting vehicle; and
   3-10              (2)  weighs 25,000 pounds or more or constitutes a
   3-11  capacity load under regulations adopted by the Commission.
   3-12        SECTION 2.  Subdivision (4), Subsection (a), Section 4,
   3-13  Chapter 314, Acts of the 41st Legislature, Regular Session, 1929
   3-14  (Article 911b, Vernon's Texas Civil Statutes), is amended to read
   3-15  as follows:
   3-16              (4)  Notwithstanding any other provision of this Act or
   3-17  any existing Commission regulation, motor carriers other than
   3-18  specialized motor carriers and other than contract carriers subject
   3-19  to Commission-prescribed tariffs governing transportation of
   3-20  specialized commodities shall be permitted to deviate from the
   3-21  prescribed base rate (i) for shipments weighing in excess of 500
   3-22  pounds but less than 10,000 pounds by an amount not to exceed five
   3-23  percent above or below such base rate; <and> (ii) except as
   3-24  provided by Item (iii), for shipments weighing in excess of 10,000
   3-25  pounds by an amount not to exceed 25 <15> percent above or below
   3-26  such base rate; and (iii) for shipments of general commodities in a
   3-27  truckload quantity as authorized under Section 6(c) of this Act by
   3-28  an amount not to exceed 40 percent above or below such base rate;
   3-29  provided, that a carrier or carriers electing to so deviate shall
   3-30  file notice thereof with the Commission.  Such proposed deviation
   3-31  shall become effective five days after filing and receipt by the
   3-32  Commission.  In the event the simplified base rate is thereafter
   3-33  increased or decreased, such increase or decrease shall be applied
   3-34  to any deviation rate published under this subdivision.  Provided,
   3-35  however, that the Commission shall promptly provide notice to the
   3-36  public of any deviation under this subsection and with respect to
   3-37  any such deviation any interested party shall have the right to
   3-38  petition the Commission for suspension of such deviation within 15
   3-39  days of such notice on the grounds that the deviation results in
   3-40  predatory pricing as hereinafter defined.  The deviation shall
   3-41  remain in effect and shall not be suspended unless the Commission,
   3-42  after hearing, shall determine that suspension is warranted and so
   3-43  orders.
   3-44        SECTION 3.  Subdivision (12), Subsection (a), Section 4,
   3-45  Chapter 314, Acts of the 41st Legislature, Regular Session, 1929
   3-46  (Article 911b, Vernon's Texas Civil Statutes), is amended to read
   3-47  as follows:
   3-48              (12)  The Commission is hereby directed to stringently
   3-49  enforce all provisions of this Act so as to promote, encourage, and
   3-50  ensure a safe, dependable, responsive, and adequate transportation
   3-51  system for the public as a whole.  To this end, in addition to all
   3-52  other enforcement penalties and other relief provided in Section 16
   3-53  of this Act, the Commission is hereby granted full power and
   3-54  authority to assess administrative penalties of up to $10,000 for
   3-55  violation of any provision of this Act respecting safety,
   3-56  certificates, or rates or any Commission rule, regulation, or order
   3-57  respecting safety, certificates, or rates, by any motor carrier,
   3-58  shipper, or other person whomsoever.  The Commission may assess
   3-59  against a person an administrative penalty in excess of $10,000 if
   3-60  the Commission finds that the person has knowingly committed
   3-61  multiple violations, in which event the Commission may impose an
   3-62  aggregate penalty of not more than $25,000.  In determining whether
   3-63  a person has knowingly committed multiple violations, the
   3-64  Commission may consider past violations of this Act.  Such
   3-65  administrative penalties may be assessed by the Commission after
   3-66  notice and hearing pursuant to the provisions of the Administrative
   3-67  Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
   3-68  Civil Statutes) and shall be cumulative of all other remedies
   3-69  available under this Act.  All administrative penalties so assessed
   3-70  and collected shall be payable to the State Treasury and credited
    4-1  to a fund to be known and designated as the "Motor Carrier Act
    4-2  enforcement fund," which fund is hereby appropriated for use by the
    4-3  Commission and the Department of Public Safety in stringently
    4-4  enforcing the safety, certificate, rate, and other provisions of
    4-5  this Act.
    4-6        SECTION 4.  Section 4, Chapter 314, Acts of the 41st
    4-7  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
    4-8  Civil Statutes), is amended by adding Subsection (f) to read as
    4-9  follows:
   4-10        (f)(1)  Notwithstanding any other provision of this Act,
   4-11  before granting an application by a disadvantaged business for a
   4-12  certificate, the Commission shall require that the applicant make a
   4-13  prima facie case that it can provide the service proposed in
   4-14  conformity with this Act.  If the applicant makes a prima facie
   4-15  case, the Commission shall grant the application unless an opposing
   4-16  party shows that the applicant is not able to provide the service
   4-17  proposed in conformity with this Act.  In making a determination on
   4-18  granting the application, the Commission may not consider evidence
   4-19  presented by an opposing party that:
   4-20                    (A)  does not show that the applicant is unable
   4-21  to provide the service proposed in conformity with this Act;
   4-22                    (B)  shows that an opposing party or another
   4-23  carrier already adequately provides or could adequately provide the
   4-24  proposed service; or
   4-25                    (C)  shows that a complaint has been or will be
   4-26  filed against the applicant for a violation of this Act, unless the
   4-27  complaint is in regard to a safety violation.
   4-28              (2)  An application by a disadvantaged business for a
   4-29  certificate under this subsection takes precedence over all other
   4-30  applications for certificates before the Commission.
   4-31              (3)  A certificate awarded under this subsection may
   4-32  not be transferred to another person for five years after the date
   4-33  the certificate is awarded unless the transferee also qualifies as
   4-34  a disadvantaged business under this subsection.  This limitation
   4-35  applies even if the holder of the certificate seeks to transfer the
   4-36  certificate because the disadvantaged business is unable to
   4-37  maintain financial viability.
   4-38              (4)  Except as provided by Subdivision (5) of this
   4-39  subsection, the Commission shall revoke a certificate awarded under
   4-40  this subsection if the Commission determines that, during the
   4-41  period the transfer of the certificate is restricted under
   4-42  Subdivision (3) of this subsection, the holder of the certificate
   4-43  no longer qualifies as a disadvantaged business.  The Commission
   4-44  shall require a disadvantaged business that is awarded a
   4-45  certificate under this subsection to notify the Commission during
   4-46  the period the transfer of a certificate is restricted under
   4-47  Subdivision (3) of this subsection of each change of ownership of
   4-48  the business the Commission by rule defines as significant.  The
   4-49  Commission may revoke the certificate of a disadvantaged business
   4-50  that fails to provide notice required under this subdivision.
   4-51              (5)  The Commission may not revoke a certificate
   4-52  awarded under this subsection if the holder of the certificate no
   4-53  longer qualifies as a disadvantaged business because of a change in
   4-54  ownership of the business through devise or descent.
   4-55              (6)  In determining whether an applicant qualifies as a
   4-56  disadvantaged business under this subsection, the Commission may
   4-57  consider the actual management or control of the applicant as well
   4-58  as incidents of ownership.  If the Commission determines that an
   4-59  applicant has used any method or device to enable a person or
   4-60  entity that is not a disadvantaged business to qualify for a
   4-61  certificate under this subsection, it shall deny the applicant
   4-62  status as a disadvantaged business under this subsection.
   4-63              (7)  In this subsection, "disadvantaged business"
   4-64  means:
   4-65                    (A)  a corporation formed for the purpose of
   4-66  making a profit in which at least 51 percent of all classes of the
   4-67  shares of stock or other equitable securities are owned by one or
   4-68  more persons who are socially disadvantaged because of their
   4-69  identification as members of certain groups, including African
   4-70  Americans, Hispanic Americans, women, Asian Americans, American
    5-1  Indians, Alaska natives, and Pacific islanders, who have suffered
    5-2  the effects of discriminatory practices or similar insidious
    5-3  circumstances over which they have no control;
    5-4                    (B)  a sole proprietorship for the purpose of
    5-5  making a profit that is 100 percent owned, operated, and controlled
    5-6  by a person described by Paragraph (A) of this subdivision;
    5-7                    (C)  a partnership for the purpose of making a
    5-8  profit in which 51 percent of the assets and interest in the
    5-9  partnership is owned by one or more persons described by Paragraph
   5-10  (A) of this subdivision who have a proportionate interest in the
   5-11  control, operation, and management of the partnership's affairs; or
   5-12                    (D)  a joint venture in which each entity in the
   5-13  joint venture is a disadvantaged business under this subdivision.
   5-14        SECTION 5.  Chapter 314, Acts of the 41st Legislature,
   5-15  Regular Session, 1929 (Article 911b, Vernon's Texas Civil
   5-16  Statutes), is amended by adding Section 4a to read as follows:
   5-17        Sec. 4a.  (a)  A motor carrier or other interested person may
   5-18  apply to establish rates, charges, and other provisions for
   5-19  transportation services the carrier is authorized to perform under
   5-20  this Act.  The Commission shall prescribe the form of the
   5-21  application.
   5-22        (b)  The application must require the applicant to identify
   5-23  the proposed rate, charge, or other provision to be established but
   5-24  may not require a justification for the change based on cost.
   5-25        (c)  The Commission shall promptly provide notice to the
   5-26  public of the proposed rate, charge, or other provision in a weekly
   5-27  publication.
   5-28        (d)  Not later than the 10th day after the date the notice is
   5-29  published under Subsection (c) of this section, an interested party
   5-30  may petition the Commission to suspend the proposed rate, charge,
   5-31  or other provision.
   5-32        (e)  If an interested party does not file a suspension
   5-33  petition under Subsection (d) of this section within the period
   5-34  required by that subsection, notwithstanding any other provision of
   5-35  law, the proposed rate, charge, or other provision takes effect on
   5-36  the 15th day after the date notice is published under Subsection
   5-37  (c) of this section without a hearing or an order of the
   5-38  Commission.  The Commission shall publish notice of a proposed
   5-39  rate, charge, or other provision that takes effect under this
   5-40  subsection as soon as practical after its effective date.
   5-41        (f)  If a suspension petition is filed as provided by
   5-42  Subsection (d) of this section, the proposed rate, charge, or other
   5-43  provision does not take effect automatically, the Commission shall
   5-44  consider the application for the proposed rate, charge, or other
   5-45  provision in the manner otherwise provided by this Act, and the
   5-46  applicant has the burden of proving that the proposed rate, charge,
   5-47  or other provision is just, reasonable, and compensatory.
   5-48        (g)  Not later than the 30th day after the date the notice is
   5-49  published under Subsection (c) of this section, the Commission
   5-50  shall conduct a hearing and enter an order suspending or affirming
   5-51  a proposed rate, charge, or other provision for which a suspension
   5-52  petition has been filed as provided by Subsection (d) of this
   5-53  section.
   5-54        SECTION 6.  Subsection (d), Section 5a, Chapter 314, Acts of
   5-55  the 41st Legislature, Regular Session, 1929 (Article 911b, Vernon's
   5-56  Texas Civil Statutes), is amended to read as follows:
   5-57        (d)  Before any such application shall be granted, the
   5-58  Commission shall hear, consider and determine said application in
   5-59  accordance with Subsection (e) of Section 4 and Sections 8, 9, 11,
   5-60  12, 13, 13a, 14, and 15 of this Act <Chapter 277, Acts of the
   5-61  Forty-first Legislature, Regular Session, as amended (Article 911b,
   5-62  Revised Civil Statutes of the State of Texas, 1925, as amended)>,
   5-63  and if the Commission shall find any such applicant entitled
   5-64  thereto, it shall issue a certificate hereunder on such terms and
   5-65  conditions as is justified by the facts; otherwise said application
   5-66  shall be denied.  In the event an applicant meets the requirements
   5-67  of Subsection (e) of Section 4, as well as other requirements of
   5-68  this Act <Article 911b>, the Commission shall grant any application
   5-69  for a certificate of convenience and necessity authorizing
   5-70  operation as a "Specialized Motor Carrier" or any other common
    6-1  carrier unless it is established by the substantial evidence of
    6-2  record considered as a whole that (1) the services and facilities
    6-3  of the existing carriers serving the territory or any part thereof
    6-4  are adequate; or (2) there does not exist a public necessity for
    6-5  such service, or (3) the public convenience will not be promoted by
    6-6  granting said application.  The order of the Commission granting or
    6-7  denying said application and the certificate issued thereunder
    6-8  shall be void unless the Commission shall set forth in its order
    6-9  full and complete findings of fact on the issues of adequacy of the
   6-10  services and facilities of the existing carriers, and the public
   6-11  need for the proposed service.  Likewise, the Commission shall have
   6-12  no authority to grant any contract carrier application for the
   6-13  transportation of any commodities other than a general commodity in
   6-14  a truckload quantity authorized under Subsection (c) of Section 6
   6-15  of this Act in any territory or between any points where it is
   6-16  established by substantial evidence in the record as a whole that
   6-17  the existing carriers are rendering<, or are capable of rendering,>
   6-18  a reasonably adequate service in the transportation of such
   6-19  commodities.
   6-20        SECTION 7.  Subsection (c), Section 6, Chapter 314, Acts of
   6-21  the 41st Legislature, Regular Session, 1929 (Article 911b, Vernon's
   6-22  Texas Civil Statutes), is amended to read as follows:
   6-23        (c)  No application for permit shall be granted by the
   6-24  Commission until after a hearing nor shall any such permit be
   6-25  granted if the Commission shall be of the opinion that the proposed
   6-26  operation of any such contract carrier will impair the efficient
   6-27  public service of any authorized common carrier or common carriers
   6-28  then adequately serving the same territory.  A contract carrier who
   6-29  proposes to transport a general commodity in a truckload quantity
   6-30  does not impair the efficient public service of any other
   6-31  authorized carrier.  For purposes of this subsection, "general
   6-32  commodity" means a commodity other than:
   6-33              (1)  a commodity that requires temperature control; or
   6-34              (2)  a commodity for which a specialized motor carrier
   6-35  is required for transportation under Section 1(i) of this Act.
   6-36        SECTION 8.  Effective January 1, 1994, Subsection (c),
   6-37  Section 6, Chapter 314, Acts of the 41st Legislature, Regular
   6-38  Session, 1929 (Article 911b, Vernon's Texas Civil Statutes), is
   6-39  amended to read as follows:
   6-40        (c)(1)  The Commission shall grant an application for a
   6-41  permit to transport a general commodity in a truckload quantity if
   6-42  the Commission finds that:
   6-43                    (A)  the applicant has presented sufficient
   6-44  evidence that the applicant has entered or will enter an eligible
   6-45  contract with the party the applicant proposes to serve; and
   6-46                    (B)  the applicant is fit, willing, and able to
   6-47  perform the proposed services and to meet the requirements of this
   6-48  Act and the regulations the Commission adopts under this Act.
   6-49              (2)  Evidence that the applicant and the party the
   6-50  applicant proposes to serve have a contractual relationship for
   6-51  interstate or local transportation service is sufficient for the
   6-52  Commission to determine that the parties intend to enter a contract
   6-53  necessary for a permit under this subsection.  The Commission may
   6-54  give consideration to information relating to the fitness of the
   6-55  applicant or the applicant's ability to meet requisite safety
   6-56  standards.
   6-57              (3)  A motor carrier that is not a party to the
   6-58  application proceeding may not present evidence at the proceeding.
   6-59  A motor carrier does not have standing to protest the issuance of a
   6-60  permit under this subsection unless the protesting motor carrier
   6-61  shows that it has generated at least $25,000 in annual intrastate
   6-62  revenue from the party the applicant proposes to serve during each
   6-63  of the two years preceding the date of filing of the application.
   6-64              (4)  To have a permit granted under this subsection, an
   6-65  applicant must make a prima facie showing that it can meet the
   6-66  requirements in Subdivision (1) of this subsection.  If the
   6-67  applicant makes a prima facie showing, the Commission shall grant
   6-68  the permit unless a protesting motor carrier shows that the
   6-69  applicant is unable to meet the requirements of Subdivision (1) of
   6-70  this subsection.
    7-1              (5)  The Commission may not limit the number of parties
    7-2  or eligible contracts to be served under a permit issued under this
    7-3  subsection.
    7-4              (6)  In this subsection, "eligible contract" means a
    7-5  valid contract to provide services for compensation in an amount
    7-6  not less than the lesser of:
    7-7                    (A)  $12,000 a year; or
    7-8                    (B)  an amount for a year the Commission adopts
    7-9  by rule.
   7-10              (7)  For purposes of this subsection, "general
   7-11  commodity" means a commodity other than:
   7-12                    (A)  a commodity that requires temperature
   7-13  control; or
   7-14                    (B)  a commodity for which a specialized motor
   7-15  carrier is required for transportation under Section 1(i) of this
   7-16  Act.  <No application for permit shall be granted by the Commission
   7-17  until after a hearing nor shall any such permit be granted if the
   7-18  Commission shall be of the opinion that the proposed operation of
   7-19  any such contract carrier will impair the efficient public service
   7-20  of any authorized common carrier or common carriers then adequately
   7-21  serving the same territory.>
   7-22        SECTION 9.  Section 6aa, Chapter 314, Acts of the 41st
   7-23  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   7-24  Civil Statutes), is amended to read as follows:
   7-25        Sec. 6aa.  The Commission is hereby vested with power and
   7-26  authority and it is hereby made its duty to prescribe rules and
   7-27  regulations covering the operation of contract carriers in
   7-28  competition with common carriers over the highways of this State
   7-29  and the Commission shall prescribe minimum rates, fares and charges
   7-30  to be collected by such contract carriers which shall not be less
   7-31  than the rates prescribed for common carriers for substantially the
   7-32  same service.  A contract carrier that holds a permit to transport
   7-33  a general commodity in a truckload quantity is subject to the rates
   7-34  established under Section 4(a)(4) of this Act.
   7-35        SECTION 10.  Chapter 314, Acts of the 41st Legislature,
   7-36  Regular Session, 1929 (Article 911b, Vernon's Texas Civil
   7-37  Statutes), is amended by adding Section 6a to read as follows:
   7-38        Sec. 6a.  (a)  After making a delivery of a specialized
   7-39  commodity, a specialized motor carrier that holds a permit to
   7-40  transport a specialized commodity may transport on its return trip
   7-41  any specialized commodity, or other commodity the Commission by
   7-42  rule permits, without seeking additional authority from the
   7-43  Commission to transport the specialized commodity or other
   7-44  commodity if:
   7-45              (1)  the motor carrier uses:
   7-46                    (A)  a flatbed-type vehicle; or
   7-47                    (B)  any other type of vehicle the Commission by
   7-48  rule determines is suitable for transporting the specialized
   7-49  commodity or other commodity; and
   7-50              (2)  the transportation occurs on a route each point of
   7-51  which is within 75 miles of a point on the route that the
   7-52  specialized motor carrier used to make the initial transport of the
   7-53  specialized commodity.
   7-54        (b)  Not later than January 1, 1995, the Commission shall
   7-55  review all existing rates and charges for transportation allowed
   7-56  under this section and adjust the rates and charges under Section
   7-57  4(a)(1) of this Act to reflect the increased efficiency and savings
   7-58  in cost obtained by using the authority granted under this section.
   7-59  The Commission shall consider the aggregate revenues earned by
   7-60  carriers transporting goods in both directions under this section
   7-61  in setting rates for shipments of specialized commodities and other
   7-62  commodities allowed to be transported under this section.
   7-63        (c)  In this section, "specialized commodity" means a
   7-64  commodity for which a specialized motor carrier is required for
   7-65  transportation under Section 1(i) of this Act.
   7-66        SECTION 11.  Section 14, Chapter 314, Acts of the 41st
   7-67  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   7-68  Civil Statutes), is amended by amending Subsection (b) and adding
   7-69  Subsections (c) and (d) to read as follows:
   7-70        (b)  To expedite the hearing and disposition of applications,
    8-1  the Examiner or authorized representative of the Commission shall
    8-2  have authority under orders of the Commission to hear applications
    8-3  which may be assigned to him by the Commission.  After<; after> the
    8-4  hearing of an application has been concluded by such representative
    8-5  or Examiner, the representative or Examiner and the Commission
    8-6  shall follow the timetable provided by Subsection (c) of this
    8-7  section <it shall be his duty promptly to make a written report to
    8-8  the Commission recommending disposition of said application.  Such
    8-9  report and recommendation shall be accompanied by a brief narrative
   8-10  statement of the evidence, and shall contain such other information
   8-11  as such representative or Examiner may think advisable, or as may
   8-12  be required by the Commission>.  Unless required by the Commission,
   8-13  it shall not be necessary for the reporter to transcribe said
   8-14  evidence in full, but it shall be sufficient to make a brief
   8-15  narrative statement giving the correct summary of such evidence;
   8-16  provided, however, the Commission shall have the authority to
   8-17  require said evidence, or any part thereof, to be transcribed in
   8-18  full if deemed advisable or necessary.
   8-19        (c)(1)  The representative or Examiner shall, not later than
   8-20  the seventh day after the concluding date of the hearing, notify
   8-21  each party of the representative's or Examiner's proposed decision.
   8-22  Not later than the 30th day after the concluding date of the
   8-23  hearing, the representative or Examiner shall submit a written
   8-24  proposal for a decision to the Commission.
   8-25              (2)  Notwithstanding any provision of law to the
   8-26  contrary, the Commission shall render its final decision not later
   8-27  than the 120th day after the concluding date of the hearing.
   8-28              (3)  On the written agreement of all parties the
   8-29  Commission may extend the deadline provided by Subdivision (2) of
   8-30  this subsection by not more than 60 days.
   8-31              (4)  A party to a hearing under this section may
   8-32  enforce the deadlines imposed by this subsection through a writ of
   8-33  mandamus or other appropriate equitable relief.
   8-34        (d)  The Commission shall adopt rules to require employees of
   8-35  the Commission to grant an application for a certificate of public
   8-36  convenience and necessity or a permit filed under any section of
   8-37  this Act without a hearing, a formal presentation to the
   8-38  Commission, or an order of the Commission not later than the 10th
   8-39  day after the date:
   8-40              (1)  the period for protesting an application expires
   8-41  if no party has filed a protest to the issuance of the certificate
   8-42  or permit within the applicable period provided by this Act; or
   8-43              (2)  of withdrawal of a protest by the last party
   8-44  protesting the issuance of a certificate or permit.
   8-45        SECTION 12.  Subsections (g), (j), and (k), Section 139,
   8-46  Uniform Act Regulating Traffic on Highways (Article 6701d, Vernon's
   8-47  Texas Civil Statutes), are amended to read as follows:
   8-48        (g)(1)  Any officer of the Texas Department of Public Safety
   8-49  may enter or detain any motor vehicle on any street or highway
   8-50  subject to this section or to any regulation adopted by the
   8-51  Director in accordance with this section.  In addition, any officer
   8-52  or employee of the Texas Department of Public Safety certified for
   8-53  this purpose by the Director may enter the premises of a motor
   8-54  carrier to inspect lands, buildings, and equipment and copy or
   8-55  verify the correctness of any records, reports, or other documents
   8-56  required to be kept or made pursuant to the regulations adopted by
   8-57  the Director under this section.  The Department may conduct the
   8-58  inspection at a reasonable time on stating the purpose and
   8-59  presenting to the motor carrier appropriate credentials and a
   8-60  written statement to the carrier from the Department of the
   8-61  officer's or employee's inspection authority.
   8-62              (2)  A person commits an offense if the person fails to
   8-63  permit an inspection authorized by this subsection.  An offense
   8-64  under this subsection is a Class C misdemeanor.
   8-65              (3)  In addition to the penalty provided by Subdivision
   8-66  (2) of this subsection, a person who fails to permit an inspection
   8-67  under this subsection is liable to the state in an amount not to
   8-68  exceed $1,000.  The attorney general may bring suit to collect the
   8-69  penalty provided by this subdivision in a court in the county in
   8-70  which the violation is alleged to have occurred or in Travis
    9-1  County.
    9-2        (j)  A person who violates this section or <convicted of a
    9-3  violation of> a regulation adopted under this section is subject to
    9-4  an administrative <a civil> penalty in an amount to be set by the
    9-5  Railroad Commission of Texas by rule.  The amount may not exceed
    9-6  the maximum penalties provided for violations of current federal
    9-7  regulations and their subsequent amendments under the Hazardous
    9-8  Materials Regulations (49 C.F.R. Parts 101-199) and the Federal
    9-9  Motor Carrier Safety Regulations (49 C.F.R. Parts 386 and 388-399).
   9-10  The commission shall administer the penalty in the same manner as
   9-11  provided by Section 4(a)(12), Chapter 314, Acts of the 41st
   9-12  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   9-13  Civil Statutes) <not to exceed $200 for each day of noncompliance
   9-14  or for each act of noncompliance.  The action may be brought in any
   9-15  court of competent jurisdiction in the county in which the
   9-16  violation occurred>.
   9-17        (k)  A penalty recovered in a suit or an administrative
   9-18  proceeding brought under this section shall be deposited to the
   9-19  credit of the motor carrier enforcement <state highway> fund.
   9-20        SECTION 13.  Section 6bb, Chapter 314, Acts of the 41st
   9-21  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   9-22  Civil Statutes), is repealed.
   9-23        SECTION 14.  (a)  The changes in law made by Sections 3 and
   9-24  12 of this Act apply only to an offense or a violation committed on
   9-25  or after the effective date of this Act.  For purposes of this
   9-26  section, an offense or violation is committed before the effective
   9-27  date of this Act if any element of the offense or violation occurs
   9-28  before that date.
   9-29        (b)  An offense or violation committed before the effective
   9-30  date of this Act is governed by the law in effect when the offense
   9-31  or violation was committed, and the former law is continued in
   9-32  effect for this purpose.
   9-33        SECTION 15.  On the effective date of this Act, a commercial
   9-34  zone that was created by the Railroad Commission of Texas under
   9-35  Subsection (g), Section 1, Chapter 314, Acts of the 41st
   9-36  Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
   9-37  Civil Statutes), that exists on that date, and that contains a
   9-38  portion of a county is reconfigured to include the remainder of
   9-39  each county partially contained in the zone.
   9-40        SECTION 16.  (a)  Except as provided by Subsection (b) of
   9-41  this section, this Act takes effect September 1, 1993.
   9-42        (b)  Section 8 of this Act takes effect January 1, 1994.
   9-43        SECTION 17.  The importance of this legislation and the
   9-44  crowded condition of the calendars in both houses create an
   9-45  emergency and an imperative public necessity that the
   9-46  constitutional rule requiring bills to be read on three several
   9-47  days in each house be suspended, and this rule is hereby suspended.
   9-48                               * * * * *
   9-49                                                         Austin,
   9-50  Texas
   9-51                                                         March 29, 1993
   9-52  Hon. Bob Bullock
   9-53  President of the Senate
   9-54  Sir:
   9-55  We, your Committee on State Affairs to which was referred S.B. No.
   9-56  1313, have had the same under consideration, and I am instructed to
   9-57  report it back to the Senate with the recommendation that it do
   9-58  pass, as amended, and be printed.
   9-59                                                         Harris of
   9-60  Dallas, Chairman
   9-61                               * * * * *
   9-62                               WITNESSES
   9-63                                                  FOR   AGAINST  ON
   9-64  ___________________________________________________________________
   9-65  Name:  Tim Herman                                x
   9-66  Representing:  TMTA
   9-67  City:  Austin
   9-68  -------------------------------------------------------------------
   9-69  Name:  Kevin Sheeran                             x
   9-70  Representing:  Tx Assn for Competitive Trans
   10-1  City:  Austin
   10-2  -------------------------------------------------------------------
   10-3  Name:  Hampton Rogers                            x
   10-4  Representing:  Tx Motor Transportation
   10-5  City:  Austin
   10-6  -------------------------------------------------------------------
   10-7  Name:  Timothy Mashburn                          x
   10-8  Representing:  TMTA
   10-9  City:  Austin
  10-10  -------------------------------------------------------------------
  10-11  Name:  Ed Howard                                 x
  10-12  Representing:  Wal-Mart Stores, Inc.
  10-13  City:  Austin
  10-14  -------------------------------------------------------------------
  10-15  Name:  Dorothy Warren                            x
  10-16  Representing:  Austin White Lime Co.
  10-17  City:  Austin
  10-18  -------------------------------------------------------------------
  10-19  Name:  Susan Jost
  10-20  Representing:  Sove Transport Service
  10-21  City:  Rockdale
  10-22  -------------------------------------------------------------------
  10-23  Name:  Michael White                             x
  10-24  Representing:  Greater Houston Partnership
  10-25  City:  Houston
  10-26  -------------------------------------------------------------------
  10-27  Name:  Patrick C. Lung                           x
  10-28  Representing:  Texas Tank Truck Carrier
  10-29  City:  Austin
  10-30  -------------------------------------------------------------------
  10-31  Name:  Robert Howden                             x
  10-32  Representing:  Natl Fed Indep Business
  10-33  City:  Austin
  10-34  -------------------------------------------------------------------
  10-35  Name:  Patrick C. Long                           x
  10-36  Representing:  Building Materials Carriers
  10-37  City:  Austin
  10-38  -------------------------------------------------------------------
  10-39  Name:  Chris Shields                             x
  10-40  Representing:  Tx Chamber of Commerce
  10-41  City:  Austin
  10-42  -------------------------------------------------------------------