BILL ANALYSIS C.S.H.B. 1059 By: Chisum April 13, 1995 Committee Report (Substituted) BACKGROUND Before granting a permit, some commercial facilities are required to show the permitting agency that there are no residences, schools, child care facilities or churches in the areas adjacent to the facility. For example, before the Texas Natural Resource Conservation Commission (TNRCC) will issue a permit to a facility that handles hazardous waste, the permit applicant must demonstrate a 1/2 mile buffer zone. However, nothing prevents a residence, school, child care facility or church from moving into a buffer zone. In instances such as the East Austin Tank Farm, and the Holly Street Power Plant in Austin, the facilities were constructed on the outskirts of town, but people later called the buffer zones home, and then pressured the facilities to move away. In the interim of the 73rd Legislature, House Speaker Pete Laney instructed the House Committee on Environmental Regulation to inquire into the land use concerns surrounding buffer zones. The interim committee recommended that a notice be filed in the deed records of any buffer zone after a permit is issued. By taking this step, any person wishing to move a home into a buffer zone will be on legal notice that a commercial permit requires a land use regulation via a buffer zone. The person can then make a fully informed decision whether they wish to move into the buffer zone. PURPOSE To give legal notice of the existence of a land use regulation before a person moves into an area which is already regulated. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1 Chapter 26 of the Water Code, which currently requires the TNRCC or the Texas Water Development Board to issue regulations to ensure the quality of groundwater and surface water, is amended by adding Subchapter K as follows: Sec. 26.541. (a) The purpose of this section is to provide notice of potential purchasers of property that the property in question is located within a buffer zone, but the existence of the buffer zone does not raise environmental or health and safety concerns because existing siting requirements are sufficient to address these concerns. (b) Any permit holder may file notice in the deed records of any land located in a buffer zone required by the permit, and the notice must include the following: (1) a statement that all of the land is located in a buffer zone; and (2) the permit number. (c) Provides an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property. (d) This section does not apply to property owned by the permit holder. (e) "Buffer zone" is defined as real property that is required by the commission to seperate the activity, facility, or equipment from other persons or property and free of activities covered by the permit. "Permit" is an authorization by licanse, permit, certificate, registration, or other premission to engage in a particular activity. SECTION 2 Subchapter D, Chapter 27 of the Water Code, which currently allows the TNRCC to ensure the quality of water resources by using permitting, is amended by adding the following: Sec. 27.057. (a) The purpose of this section is to provide notice of potential purchasers of property that the property in question is located within a buffer zone, but the existence of the buffer zone does not raise environmental or health and safety concerns because existing siting requirements are sufficient to address these concerns. (b) Any permit holder may file notice in the deed records of any land located in a buffer zone required by the permit, and the notice must include the following: (1) a statement that all of the land is located in a buffer zone; and (2) the permit number. (c) Provides an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property. (d) This section does not apply to property owned by the permit holder. (e) "Buffer zone" is defined as real property that is required by the commission to seperate the activity, facility, or equipment from other persons or property and free of activities covered by the permit. "Permit" is an authorization by licanse, permit, cretificate, registration, or other premission to engage in a particular activity. SECTION 3 Subchapter C, Chapter 361 of the Health & Safety Code which currently requires the TNRCC to regulate hazardous and non-hazardous waste, is amended by adding Section 361.116 as follows: Sec. 361.116. (a) The purpose of this section is to provide notice of potential purchasers of property that the property in question is located within a buffer zone, but the existence of the buffer zone does not raise environmental or health and safety concerns because existing siting requirements are sufficient to address these concerns. (b) Any permit holder may file notice in the deed records of any land located in a buffer zone required by the permit, and the notice must include the following: (1) a statement that all of the land is located in a buffer zone; and (2) the permit number. (c) Provides an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property. (d) This section does not apply to property owned by the permit holder. (e) "Buffer zone" is defined as real property that is required by the commission to seperate the activity, facility, or equipment from other persons or property and free of activities covered by the permit. "Permit" is an authorization by licanse, permit, cretificate, registration, or other premission to engage in a particular activity. SECTION 4 Subchapter C, Chapter 382 of the Health & Safety Code which currently requires the TNRCC to implement the Texas Clean Air Act, is amended by adding Section 382.065 as follows: Sec. 382.065. (a) The purpose of this section is to provide notice of potential purchasers of property that the property in question is located within a buffer zone, but the existence of the buffer zone does not raise environmental or health and safety concerns because existing siting requirements are sufficient to address these concerns. (b) Any permit holder may file notice in the deed records of any land located in a buffer zone required by the permit, and the notice must include the following: (1) a statement that all of the land is located in a buffer zone; and (2) the permit number. (c) Provides an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property. (d) This section does not apply to property owned by the permit holder. (e) "Buffer zone" is defined as real property that is required by the commission to seperate the activity, facility, or equipment from other persons or property and free of activities covered by the permit. "Permit" is an authorization by licanse, permit, cretificate, registration, or other premission to engage in a particular activity. SECTION 5 Chapter 401, Health and Safety Code, which relates to the regulation of radioactive materials and nuclear waste, is amended by adding Subchapter M as follows: Sec. 401.451. (a) The purpose of this section is to provide notice of potential purchasers of property that the property in question is located within a buffer zone, but the existence of the buffer zone does not raise environmental or health and safety concerns because existing siting requirements are sufficient to address these concerns. (b) Any permit holder may file notice in the deed records of any land located in a buffer zone required by the permit, and the notice must include the following: (1) a statement that all of the land is located in a buffer zone; and (2) the permit number. (c) Provides an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property. (d) This section does not apply to property owned by the permit holder. (e) "Buffer zone" is defined as real property that is required by the commission to seperate the activity, facility, or equipment from other persons or property and free of activities covered by the permit. "Permit" is an authorization by licanse, permit, cretificate, registration, or other premission to engage in a particular activity. SECTION 6 This legislation is effective only for TNRCC permits issued after September 1, 1995. SECTION 7 Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE The substitute includes language not included in the original bill which adds a purpose section stating that buffer zones do not raise health and safety or environmental concerns because existing siting requirements ensure safety. The substitute also includes an affirmative defense from allegations of devaluation of property if a holder of a permit files notice of a buffer zone in the deed records of surrounding property which is not included in the original bill. The substitute allows permissive filing of existence of a buffer zone in deed records, but the original requires the filing of existence of a buffer zone in deed records. The substute applies to property located in a buffer zone if any part of an entire tract of property is located within a buffer zone, but the original applies to an entire tract of property if any part of the property is located within a buffer zone. The substitute includes buffer zones related to radioactive and nuclear waste, which the original bill does not. The provisions in the substitute do not apply if the property located in a buffer zone are owned by the permit holder, but the original bill has no such provision. SUMMARY OF COMMITTEE ACTION H.B. 1059 was considered by the committee in a public hearing on February 21, 1995. The following person testified in favor of the bill: Representative Warren Chisum. The committee considered a complete substitute for the bill. The substitute was adopted by a record vote of 7 ayes, 0 nays, 0 pnv, 2 absent. The bill as substituted was left pending. H.B. 1059 as substituted was considered by the committee in a formal meeting on April 6, 1995. The vote by which the committee substitute to H.B. 1059 was adopted was reconsidered without objection. The substitute was withdrawn without objection. The committee considered a complete substitute for the bill. The substitute was adopted without objection. The bill was reported favorably as substituted, with the recommendation that it do pass and be printed, by a record vote of 7 ayes, 0 nays, 0 pnv, 2 absent.