1-1  By:  Torres (Senate Sponsor - Armbrister)             H.B. No. 1226
    1-2        (In the Senate - Received from the House April 21, 1995;
    1-3  April 24, 1995, read first time and referred to Committee on
    1-4  Natural Resources; May 5, 1995, reported favorably by the following
    1-5  vote:  Yeas 9, Nays 0; May 5, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to the regulation of liquefied petroleum gas.
    1-9        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-10        SECTION 1.  Section 113.003(a), Natural Resources Code, is
   1-11  amended to read as follows:
   1-12        (a)  None of the provisions of this chapter apply to:
   1-13              (1)  the production, refining, or manufacture of LPG;
   1-14              (2)  the storage, sale, or transportation of LPG by
   1-15  pipeline or railroad tank car by a pipeline company, producer,
   1-16  refiner, or manufacturer;
   1-17              (3)  equipment used by a pipeline company, producer,
   1-18  refiner, or manufacturer in a producing, refining, or manufacturing
   1-19  process or in the storage, sale, or transportation by pipeline or
   1-20  railroad tank car;
   1-21              (4)  any deliveries of LPG to another person at the
   1-22  place of production, refining, or manufacturing;
   1-23              (5)  underground storage facilities other than LP-gas
   1-24  containers designed for underground use; <or>
   1-25              (6)  any LP-gas container having a water capacity of
   1-26  one gallon <16.4 ounces> or less, or to any LP-gas piping system or
   1-27  appliance attached or connected to such container; or
   1-28              (7)  a railcar loading rack used by a pipeline company,
   1-29  producer, refiner, or manufacturer.
   1-30        SECTION 2.  Sections 113.081(b), (d), and (e), Natural
   1-31  Resources Code, are amended to read as follows:
   1-32        (b)  The provisions of Subsection (a) of this section do not
   1-33  apply to <LPG handled in a container of less than one gallon water
   1-34  capacity that is an integral part of a device for its use, nor to
   1-35  original and replacement containers for the device, nor to> a
   1-36  person who is not engaged in business as provided in Section
   1-37  113.082 of this code. A person, except a political subdivision, is
   1-38  considered to be engaged in business as provided in Section 113.082
   1-39  of this code if such person installs or services an LPG motor or
   1-40  mobile fuel system on a motor vehicle used in the transportation of
   1-41  the general public.  The provisions of Subsections (a)(1) and
   1-42  (a)(2) of this section do not apply to intermodal containers or
   1-43  intermodal portable tanks constructed in accordance with United
   1-44  States Department of Transportation specifications.
   1-45        (d)  The commission by rule may exempt from Section
   1-46  113.082(D) of this code journeymen or master plumbers licensed by
   1-47  the Texas State Board of Plumbing Examiners.  <A person exempted
   1-48  under this subsection remains subject to Sections 113.097, 113.098,
   1-49  and 113.099 of this code.>
   1-50        (e)  The commission by rule may exempt from Section
   1-51  113.082(D) of this code a person licensed under the Air
   1-52  Conditioning and Refrigeration Contractor License Law (Article
   1-53  8861, Vernon's Texas Civil Statutes).  <A person exempted under
   1-54  this subsection remains subject to Sections 113.097, 113.098, and
   1-55  113.099 of this code.>
   1-56        SECTION 3.  Section 113.082, Natural Resources Code, is
   1-57  amended to read as follows:
   1-58        Sec. 113.082.  Categories of Licensee; Fees.  A prospective
   1-59  licensee in LPG may apply to the LPG division for a license to
   1-60  engage in any one or more of the following categories:
   1-61              (A)  container manufacturers/fabricators:  the
   1-62  manufacture, fabrication, assembly, repair, installation,
   1-63  subframing, testing, and sale of LPG containers, including LPG
   1-64  motor or mobile fuel containers and systems, and the repair and
   1-65  installation of transport and transfer systems; and the category
   1-66  "A" application and original license fee is an amount not to exceed
   1-67  $1,000 as determined by the commission; the annual renewal license
   1-68  fee is an amount not to exceed $600 as determined by the
    2-1  commission;
    2-2              (B)  transport outfitters:  the subframing, testing,
    2-3  and sale of LPG transport containers, the testing of LPG storage
    2-4  containers, the installation, testing, and sale of LPG motor or
    2-5  mobile fuel containers and systems, and the installation and repair
    2-6  of transport systems, and motor or mobile fuel systems; the
    2-7  category "B" application and original license fee is an amount not
    2-8  to exceed $400 as determined by the commission; the annual renewal
    2-9  license fee is an amount not to exceed $200 as determined by the
   2-10  commission;
   2-11              (C)  carriers:  the transportation of LPG by transport,
   2-12  including the loading and unloading of LPG, and the installation
   2-13  and repair of transport systems; the category "C" application and
   2-14  original license fee is an amount not to exceed $1,000 as
   2-15  determined by the commission; the annual renewal license fee is an
   2-16  amount not to exceed $300 as determined by the commission;
   2-17              (D)  general installers and repairmen:  the sale,
   2-18  service, and installation of containers, excluding motor fuel
   2-19  containers, and the service, installation, and repair of piping,
   2-20  certain appliances as defined by rule, excluding recreational
   2-21  vehicle appliances and LPG systems, excluding motor fuel and
   2-22  recreational vehicle systems; the category "D" application and
   2-23  original license fee is an amount not to exceed $100 as determined
   2-24  by the commission; the annual renewal license fee is an amount not
   2-25  to exceed $70 as determined by the commission;
   2-26              (E)  retail and wholesale dealers:  the storage, sale,
   2-27  transportation, and distribution of LPG at retail and wholesale,
   2-28  and all other activities included in this section except the
   2-29  manufacture, fabrication, assembly, repair, subframing, and testing
   2-30  of LPG containers; the category "E" application and original
   2-31  license fee is an amount not to exceed $750 as determined by the
   2-32  commission; the annual renewal license fee is an amount not to
   2-33  exceed $300 as determined by the commission;
   2-34              (F)  cylinder filling or cylinder exchange <exchanges>:
   2-35  the operation of a cylinder-filling or cylinder-exchange <and
   2-36  container exchange> dealership, including cylinder filling, the
   2-37  sale of LPG in cylinders, and the replacement of a cylinder valve;
   2-38  the category "F" application and original license fee is an amount
   2-39  not to exceed $100 as determined by the commission; the annual
   2-40  renewal license fee is an amount not to exceed $50 as determined by
   2-41  the commission;
   2-42              (G)  service station:  the operation of an LPG service
   2-43  station filling ASME containers designed for motor and mobile fuel;
   2-44  the category "G" application and original license fee is an amount
   2-45  not to exceed $100 as determined by the commission; the annual
   2-46  renewal license fee is an amount not to exceed $50 as determined by
   2-47  the commission;
   2-48              (H)  cylinder dealers:  the transportation and sale of
   2-49  LPG in cylinders; the category "H" application and original license
   2-50  fee is an amount not to exceed $1,000 as determined by the
   2-51  commission; the annual renewal license fee is an amount not to
   2-52  exceed $300 as determined by the commission;
   2-53              (I)  service station and cylinder filling or cylinder
   2-54  exchange <exchanges>:  any service station and cylinder activity
   2-55  set out in categories "F" and "G" of this section; the category "I"
   2-56  application and original license fee is an amount not to exceed
   2-57  $150 as determined by the commission; the annual renewal license
   2-58  fee is an amount not to exceed $70 as determined by the commission;
   2-59              (J)  service station and cylinder dealerships:  the
   2-60  operation of a cylinder-filling or cylinder-exchange <and
   2-61  container-exchange> dealership, including cylinder filling and the
   2-62  sale, transportation, installation, and connection of LPG in
   2-63  cylinders, the replacement of cylinder valves, and the operation of
   2-64  an LPG service station as set out in category "G"; the category "J"
   2-65  application and original license fee is an amount not to exceed
   2-66  $1,000 as determined by the commission; the annual renewal license
   2-67  fee is an amount not to exceed $300 as determined by the
   2-68  commission;
   2-69              (K)  distribution system:  the sale and distribution of
   2-70  LPG through mains or pipes and the installation and repair of LPG
    3-1  systems; the category "K" application and original license fee is
    3-2  an amount not to exceed $1,000 as determined by the commission; the
    3-3  annual renewal license fee is an amount not to exceed $300 as
    3-4  determined by the commission;
    3-5              (L)  engine fuel <carburetion>:  the sale and
    3-6  installation of LPG motor or mobile fuel containers, and the sale
    3-7  and installation of LPG motor fuel systems; the category "L"
    3-8  application and original license fee is an amount not to exceed
    3-9  $100 as determined by the commission; the annual renewal license
   3-10  fee is an amount not to exceed $50 as determined by the commission;
   3-11              (M)  recreational vehicle installers and repairmen:
   3-12  the sale, service, and installation of recreational vehicle
   3-13  containers, and the installation, repair, and service of
   3-14  recreational vehicle appliances, piping, and LPG systems, including
   3-15  recreational vehicle motor or mobile fuel systems and containers;
   3-16  the category "M" application and original license fee is an amount
   3-17  not to exceed $100 as determined by the commission; the annual
   3-18  renewal license fee is an amount not to exceed $70 as determined by
   3-19  the commission;
   3-20              (N)  manufactured housing installers and repairmen:
   3-21  the service and installation of containers that supply fuel to
   3-22  manufactured housing, and the installation, repair, and service of
   3-23  appliances and piping systems for manufactured housing; the
   3-24  category "N" application and original license fee is an amount not
   3-25  to exceed $100 as determined by the commission; the annual renewal
   3-26  license fee is an amount not to exceed $70 as determined by the
   3-27  commission;
   3-28              (O)  testing laboratory:  the testing of an LP-gas
   3-29  container, LP-gas motor fuel systems or mobile fuel systems,
   3-30  transfer systems, and transport systems for the purpose of
   3-31  determining the safety of the container or systems for LP-gas
   3-32  service, including the necessary installation, disconnection,
   3-33  reconnecting, testing, and repair of LPG motor fuel systems or
   3-34  mobile fuel systems, transfer systems, and transport systems
   3-35  involved in the testing of containers; the category "O" application
   3-36  and original license fee is an amount not to exceed $400 as
   3-37  determined by the commission; the annual renewal license fee is an
   3-38  amount not to exceed $100 as determined by the commission.  <A
   3-39  person registered under Section 113.135  on the effective date of
   3-40  this subsection has one year from the effective date of this
   3-41  subsection to apply for a license under this section.>
   3-42        SECTION 4.  Section 113.087(k), Natural Resources Code, is
   3-43  amended to read as follows:
   3-44        (k)  The commission, by appropriate rule, may require, in
   3-45  addition to examination requirements as set out in Subsections (b),
   3-46  (c), and (d) of this section:
   3-47              (1)  an examination for technical competence that is
   3-48  validated by a recognized educational testing organization or
   3-49  similar organization; or
   3-50              (2)  <,> attendance at approved academic, trade,
   3-51  professional, or commission-sponsored seminars, other continuing
   3-52  education programs, and periodic reexaminations.
   3-53        SECTION 5.  Section 113.095, Natural Resources Code, is
   3-54  amended to read as follows:
   3-55        Sec. 113.095.  LICENSE AND EXAMINATION BY ENDORSEMENT.  (a)
   3-56  The commission may waive any license requirement for an applicant
   3-57  with a valid license from another state having license requirements
   3-58  substantially equivalent to those of this state.
   3-59        (b)  The commission by rule may waive the requirements of
   3-60  Section 113.087 for an applicant holding a valid examination
   3-61  certificate issued by another state having certification
   3-62  requirements substantially equivalent to those of this state.
   3-63        SECTION 6.  Section 113.097, Natural Resources Code, is
   3-64  amended by amending Subsection (h) and adding Subsection (j) to
   3-65  read as follows:
   3-66        (h)  As required by commission rule, a <A> category "A," "B,"
   3-67  "C," "E," or "O" licensee must carry completed operations or <and>
   3-68  products liability insurance, or both, in a reasonable amount,
   3-69  based on the type or types of licensed activities<, which shall be
   3-70  established by commission rule>.
    4-1        (j)  The commission by rule may exempt from the insurance
    4-2  requirements of this section or adopt a reasonable alternative to
    4-3  those requirements for:
    4-4              (1)  a master or journeyman plumber licensed by the
    4-5  Texas State Board of Plumbing Examiners; or
    4-6              (2)  a person licensed under the Air Conditioning and
    4-7  Refrigeration Contractor License Law (Article 8861, Vernon's Texas
    4-8  Civil Statutes).
    4-9        SECTION 7.  Section 113.099(d), Natural Resources Code, is
   4-10  amended to read as follows:
   4-11        (d)  A category "A," "B," "C," "E," or "O" licensee or
   4-12  applicant for a license that does not engage in or contemplate
   4-13  engaging in any LP-gas operations which would be covered by
   4-14  completed operations or <and> products liability insurance, or
   4-15  both, for a period of time may make and file with the division a
   4-16  statement to that effect in lieu of filing a certificate of
   4-17  <completed operations and products liability> insurance.
   4-18        SECTION 8.  This Act takes effect September 1, 1995.
   4-19        SECTION 9.  The importance of this legislation and the
   4-20  crowded condition of the calendars in both houses create an
   4-21  emergency and an imperative public necessity that the
   4-22  constitutional rule requiring bills to be read on three several
   4-23  days in each house be suspended, and this rule is hereby suspended.
   4-24                               * * * * *