BILL ANALYSIS


                                                        H.B. 2520
                                            By: Horn (Armbrister)
                                                    State Affairs
                                                         05-26-95
                              Senate Committee Report (Unamended)
BACKGROUND

Currently, the comptroller's office regulates labeling and testing
fuel pumps at service stations.

PURPOSE

As proposed, H.B. 2520 transfers regulatory authority of the pump
labeling program from the comptroller's officer to the Department
of Agriculture.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is granted
to the commissioner of agriculture in SECTION 10 (Section 9(a),
Article 8614, V.T.C.S.) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 1, Article 8614, V.T.C.S., by adding
Subdivision (3), to define "automotive fuel rating."

SECTION 2. Amends Section 2, Article 8614, V.T.C.S., to authorize
the commissioner of agriculture (commissioner), rather than the
comptroller, or a designee of the commissioner to test motor fuel
sold in this state with or without a complaint about the fuel.

SECTION 3. Amends Chapter 1033, Article 8614, V.T.C.S., by adding
Sections 3A and 3B, as follows:

     Sec. 3A.  SALE OF MOTOR FUEL WITH AUTOMOTIVE FUEL RATING LOWER
     THAN RATING POSTED ON PUMP LABEL.  Prohibits a motor fuel
     dealer in this state from selling or offering for sale motor
     fuel from a motor fuel pump if the motor fuel contains an
     automotive fuel rating that is lower than the automotive fuel
     rating for that motor fuel posted on the motor fuel pump.
     
     Sec. 3B.  DELIVERY OF MOTOR FUEL WITH AUTOMOTIVE FUEL RATING
     LOWER THAN RATING CERTIFIED BY TRANSFER.  Prohibits a
     distributor or supplier of motor fuel from delivering or
     transferring motor fuel to a motor fuel dealer in this state
     if the fuel contains an automotive fuel rating that is lower
     than the certification of the automotive fuel rating the
     distributor or supplier is required to make to the motor fuel
     dealer under federal law.
     
SECTION 4. Amends Sections 4(c)-(e), Article 8614, V.T.C.S., to
make conforming changes.

SECTION 5. Amends Section 5, Article 8614, V.T.C.S., to make
conforming changes.

SECTION 6. Amends Article 8614, V.T.C.S., by adding Section 5A, as
follows:

     Sec. 5A. DOCUMENTS RELATING TO POSTINGS OR CERTIFICATION OF
     AUTOMOTIVE FUEL RATINGS.  (a)  Sets forth the information each
     motor fuel dealer in this state must retain for at least one
     year.
     
     (b)  Sets forth the information each distributor or supplier
       in this state must retain for at least one year.
       
       (c)  Provides that a document required to be kept under this
       section is subject to inspection by the commissioner or
       designee, any law enforcement officer, or the attorney
       general.
       
SECTION 7. Amends Section 6, Article 8614, V.T.C.S., to make
conforming changes.

SECTION 8. Amends Section 7, Article 8614, V.T.C.S., to provide
that a motor fuel dealer or distributor, supplier, wholesaler, or
jobber of motor fuel who violates a provision of Section 3, 3A, 3B,
4, or 5 of this Act forfeits to the state a civil penalty of not
less than $200, rather than $25, nor more than $10,000, rather than
$200.

SECTION 9. Amends Sections 8(a), (b), and (e), Article 8614,
V.T.C.S., to make conforming changes.

SECTION 10.    Amends Sections 9(a) and (f), Article 8614,
V.T.C.S., to set forth the authorized use of funds collected from
fees under this section.  Makes conforming changes.

SECTION 11.    Amends Section 10, Article 8614, V.T.C.S., to make
a conforming change.

SECTION 12.    Amends Article 8614, V.T.C.S., by adding Section 11,
as follows:

     Sec. 11.  DELIVERY OF DOCUMENTS TO FEDERAL GOVERNMENT. 
     Authorizes the commissioner or designee, or the attorney
     general to make a copy of any manifest, bill of sale, bill of
     lading, delivery ticket, letter of certification, or the
     document the commissioner or attorney general is entitled to
     inspect under this Act.  Authorizes the commissioner, a
     designee, or attorney general to deliver the copy of a
     document described by this section to the federal government
     for purposes of prosecuting persons for violations of federal
     law relating to the sale or transfer of motor fuel.
     
     SECTION 13.    Makes application of this Act prospective.

SECTION 14.    Provides that all rules adopted by the comptroller
specifically for the administration of Article 8614, V.T.C.S., in
effect on the effective date of this Act remain in effect until
amended or repealed by the commissioner under authority granted to
the commissioner by a change in law made by this Act or other law.

SECTION 15.    Effective date: September 1, 1995.
           Makes application of this Act prospective.

SECTION 16.    Emergency clause.