BILL ANALYSIS



C.S.H.B. 955
By: BRIMER
April 11, 1995
Committee Report (Substituted)


BACKGROUND

While traveling the highways of the State of Texas, many motorists,
both natives of and visitors to Texas have encountered problems
while attempting to purchase motor vehicle fuel.  These motorists
have dispensed the fuel into their vehicle only to find that the
price indicated on the pump is different from what they are asked
to pay. This is due to the way the motorist has decided to pay. 
They find out that the cost on the pump is only for cash, and that
the price for credit cards is different.


PURPOSE

To make the price listed on the pump or any sign on the premises
the highest price a customer can be required to pay for motor
vehicle fuel, regardless of method of payment. 


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency, or institution.


SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 4, Title 132, of Vernon's Texas Civil
Statutes (Revised) by    adding Article 8615 which regulates
transactions for payment to a retail seller of motor   vehicle fuel
as follows:

Sec. 1. Prohibits a retail seller of motor vehicle fuel from:

     1) charging the buyer a higher price than what is on the pump
or any other   display        on the property; or,
     2) charging the buyer a surcharge.


Sec. 2. Stipulates that a person commits a "Class C" misdemeanor if
found guilty of violating    this article.

Sec. 3. Defines the term "person" as an individual, association, or
corporation in the business of    selling motor vehicle fuel at
retail.


SECTION 2.  Effective Date: September 1, 1995.


SECTION 3.  Emergency Clause.




COMPARISON OF ORIGINAL TO SUBSTITUTE

The original bill required the price for gas to be the same for
cash or credit payment and prohibited rebates to customers who pay
cash. The substitute deletes the cash rebate prohibition.

Also the original bill required the price on the pump to be the
only price charged, regardless of payment method. The substitute
allows that the price listed on the pump be the HIGHEST price paid;
thus allowing rebates for cash customers. The substitute also
requires that other advertising on the property be consistent with
the price on the fuel pumps.

SUMMARY OF COMMITTEE ACTION

H.B. 955 was considered by the Energy Resources Committee in a
public hearing on February 20, 1995. Tom Smith of Public Citizen
testified in favor of the bill. Rob Looney, representing Texas Mid-Continent Oil & Gas testified on the bill. The bill was referred to
a subcommittee consisting of Representatives Jackson (Chair),
Hawley, and Torres.

H.B. 955 was considered by the subcommittee in a formal meeting on
March 23, 1995. The subcommittee considered a complete substitute
to the bill. The substitute was adopted without objection. The bill
was reported favorably as substituted to the full committee by a
record vote of 3 ayes, 0 nays, 0 PNV, and 0 absent.

H.B. 955 was considered on subcommittee report by the Energy
Resources Committee in a public hearing on April 10, 1995. The
substitute was adopted by the committee without objection. The bill
was reported favorably as substituted, with the recommendation that
it do pass and be printed, by a record vote of 6 ayes, 0 nays, 0
PNV, and 3 absent.