BILL ANALYSIS
C.S.S.B. 200
By: Armbrister
State Affairs
2-14-95
Committee Report (Substituted)
BACKGROUND
The 1990 Clean Air Act Amendments (CAAA) mandated the federal Clean
Fuel Fleet Program to reduce motor vehicle air pollution in all
ozone nonattainment areas classified as serious and above. States
were given the option of adopting the federal program or designing
their own program if they could demonstrate equivalent or greater
air quality benefits. Texas has proposed its own program that
affects government and private fleets with 15 or more vehicles.
In 1989, the Texas Legislature passed statutes mandating the use of
compressed natural gas or other alternative fuels to reduce total
emissions in these areas. The CAAA Clean Fuel Fleet Program
classifies reformulated gasoline (RFG) as an "EPA approved" clean
alternative fuel, but the Texas Natural Resource Conservation
Commission has not included RFG as an alternative fuel under the
Texas Alternative Fuels Program, while favoring other alternative
fuels.
PURPOSE
As proposed, C.S.S.B. 200 authorizes the adoption of rules by the
Texas Natural Resource Conservation Commission to require the use
of an alternative fuels program for motor vehicles of the public
and private sector. Creates a schedule and requirements for the
acquisition of motor vehicles that operate on alternative fuels.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is granted
to the Texas Natural Resource Conservation Commission under SECTION
10 (Sections 382.142(a), (b) and (e), Health and Safety Code) of
this bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 382.131, Health and Safety Code, to
define "alternative fuel," "capable of being centrally fueled,"
"centrally fueled," "clean-fuel vehicle," "conventional gasoline,"
"emissions," "fleet vehicle," "mass transit authority," and
"reformulated gasoline."
SECTION 2. Amends Section 382.133, Health and Safety Code, to
delete the requirement that the Texas Natural Resource Conservation
Commission (board) require a mass transit authority to ensure that
its vehicles can operate on compressed natural gas that result in
comparably lower emissions. Makes conforming changes.
SECTION 3. Amends Section 382.134, Health and Safety Code, as
follows:
Sec. 382.134. LOCAL GOVERNMENT AND PRIVATE FLEET VEHICLES. (a)
Makes a nonsubstantive change.
(b) Makes conforming changes.
(c) Requires rules adopted by the board, rather than in this
section, to require a local government or private person to
have 30 percent of fleet vehicles purchased after September
1, 1998, 50 percent of fleet vehicles purchased after
September 1, 2000, and 90 percent of fleet vehicles
purchased after September 1, 2002, able to operate on an
alternative fuel.
(d) Prohibits rules adopted by the board from requiring a
local government or private person to purchase a fleet
vehicle able to operate on an alternative fuel if the person
maintains a proportion of 90 percent or more alternative
fuel vehicles in the person's fleet.
(e) Requires the conversion of a gasoline- or diesel-fueled
fleet vehicle, whether previously acquired or newly
purchased, to a clean-fuel vehicle to be treated as a
purchase. Provides that the choice of clean-fuel vehicles
and alternative fuels is in the fleet operator's discretion.
(f) Provides that this section does not require a person to
purchase a converted vehicle or to convert a gasoline- or
diesel-fueled vehicle to a clean-fuel vehicle if clean-fuel
vehicles are not available from original equipment
manufacturers.
SECTION 4. Amends Section 382.135, Health and Safety Code, to make
nonsubstantive and conforming changes.
SECTION 5. Amends Section 382.136(a), Health and Safety Code, to
make a conforming change.
SECTION 6. Amends Sections 382.138(a) and (b), Health and Safety
Code, to make conforming changes.
SECTION 7. Amends Section 382.139, Health and Safety Code, to make
conforming changes.
SECTION 8. Amends Section 382.140(a), Health and Safety Code, to
make a conforming change.
SECTION 9. Amends Section 382.141, Health and Safety Code, to make
conforming changes.
SECTION 10. Amends Chapter 382F, Health and Safety Code, by
adding Section 382.142, as follows:
Sec. 382.142. EMISSION REDUCTION CREDITS. (a) Requires the
commission, by rule, to provide for a person subject to a rule
adopted under Section 382.133 or 382.134 to meet those
requirements by trading or banking emission reduction credits.
(b) Requires the commission, by rule, to provide for
emission reduction credits to be issued to a fleet operator
for certain purchases.
(c) Requires emission reduction credits issued for the
purchase of a clean-fuel vehicle to reflect the level of
emission reduction the vehicle achieves.
(d) Authorizes emission reduction credits to be traded,
sold, purchased, or banked for use by any person to
demonstrate compliance with the percentage requirements of
Section 382.133 or 382.134 or with any other air pollutant
emission reduction required by law within the same quality
nonattainment area as designated within the meaning of
Section 107(d) of the federal Clean Air Act. Authorizes an
emission reduction credit to be used as provided by law for
an area emission reduction credit organization under Chapter
384.
(e) Requires the commission to adopt rules to implement this
section.
SECTION 11. Amends Section 21.174, Education Code, by amending
Subsections (c), (d), (e), (g), and (h), and by adding Subsection
(i), to make conforming changes.
SECTION 12. Amends Section 14(c), Chapter 141, Article 1118x,
V.T.C.S., to authorize the board or, in an authority covered by
Subsection (h) of this section, the Texas Natural Resource
Conservation Commission, rather than the Texas Air Control Board,
to make exceptions to the requirements of this subsection if the
board makes specific certifications. Makes conforming changes.
SECTION 13. Amends Section 14, Article 1118x, V.T.C.S., by
amending Subsections (d), (e), (g), and (h), and by adding
Subsection (i), to make conforming changes.
SECTION 14. Amends Section 20, Article 1118y, V.T.C.S., by
amending Subsections (e), (f), (g), and (h), and by adding
Subsection (k), to make conforming changes.
SECTION 15. Amends Section 6, Article 1118z, V.T.C.S., by
amending Subsections (k), (l), and (m), and by adding Subsection
(p), to make conforming changes.
SECTION 16. Amends Section 3.29, Article 601b, V.T.C.S., (State
Purchasing and General Services Act), to make conforming changes.
SECTION 17. Requires the Texas Natural Resource Conservation
Commission to adopt rules to implement Section 382.142, Health and
Safety Code, as added by this Act, no later than September 1, 1997.
SECTION 18. Effective date: September 1, 1995.
SECTION 19. Emergency clause.