1-1        By:  Alexander (Senate Sponsor - Brown)         H.B. No. 2587
    1-2        (In the Senate - Received from the House May 4, 1995;
    1-3  May 5, 1995, read first time and referred to Committee on Natural
    1-4  Resources; May 10, 1995, reported adversely, with favorable
    1-5  Committee Substitute by the following vote:  Yeas 8, Nays 0;
    1-6  May 10, 1995, sent to printer.)
    1-7  COMMITTEE SUBSTITUTE FOR H.B. No. 2587                   By:  Brown
    1-8                         A BILL TO BE ENTITLED
    1-9                                AN ACT
   1-10  relating to the regulation of certain aboveground and underground
   1-11  storage tanks and the regulation of underground storage tank
   1-12  installers; providing penalties.
   1-13        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-14        SECTION 1.  Section 26.341(b), Water Code, is amended to read
   1-15  as follows:
   1-16        (b)  The legislature declares that it is the policy of this
   1-17  state and the purpose of this subchapter to:
   1-18              (1)  maintain and protect the quality of groundwater
   1-19  and surface water resources in the state from certain substances in
   1-20  underground and aboveground storage tanks that may pollute
   1-21  groundwater and surface water resources; and
   1-22              (2)  require the use of all reasonable methods,
   1-23  including risk-based corrective action, to implement this policy.
   1-24        SECTION 2.  Section 26.342, Water Code, is amended by adding
   1-25  a new Subdivision (13) and renumbering subsequent subdivisions to
   1-26  read as follows:
   1-27              (13)  "Risk-based corrective action" means site
   1-28  assessment or site remediation, the timing, type, and degree of
   1-29  which is determined according to case-by-case consideration of
   1-30  actual or potential risk to public health from environmental
   1-31  exposure to a regulated substance released from a leaking
   1-32  underground or aboveground storage tank.
   1-33              (14) <(13)>  "Spent oil" means a regulated substance
   1-34  that is a lubricating oil or similar petroleum substance which has
   1-35  been refined from crude oil, used for its designed or intended
   1-36  purposes, and contaminated as a result of that use by physical or
   1-37  chemical impurities, including spent motor vehicle lubricating
   1-38  oils, transmission fluid, or brake fluid.
   1-39              (15) <(14)>  "Underground storage tank" means any one
   1-40  or combination of underground tanks and any connecting underground
   1-41  pipes used to contain an accumulation of regulated substances, the
   1-42  volume of which, including the volume of the connecting underground
   1-43  pipes, is 10 percent or more beneath the surface of the ground.
   1-44              (16) <(15)>  "Vehicle service and fueling facility"
   1-45  means a facility where motor vehicles are serviced or repaired and
   1-46  where petroleum products are stored and dispensed from fixed
   1-47  equipment into the fuel tanks of motor vehicles.
   1-48        SECTION 3.  Section 26.346, Water Code, is amended by adding
   1-49  Subsections (e) and (f) to read as follows:
   1-50        (e)  The owner or operator of an underground or aboveground
   1-51  storage tank installed before December 1, 1995, that is required to
   1-52  be registered under this section and that has not been registered
   1-53  on or before December 31, 1995, is not eligible to receive
   1-54  reimbursement for that tank from the petroleum storage tank
   1-55  remediation fund except for:
   1-56              (1)  an owner of a registered facility who discovers an
   1-57  unregistered tank while removing, upgrading, or replacing a tank or
   1-58  while performing a site assessment;
   1-59              (2)  a state or local governmental agency that
   1-60  purchases a right-of-way and discovers during construction an
   1-61  unregistered tank in the right-of-way; or
   1-62              (3)  a property owner who reasonably could not have
   1-63  known that a tank was located on the property because a title
   1-64  search or the previous use of the property does not indicate a tank
   1-65  on the property.
   1-66        (f)  The owner or operator of an underground or aboveground
   1-67  storage tank installed on or after December 1, 1995, must register
   1-68  the tank under this section not later than the 30th day after the
    2-1  date the installation is completed to be eligible for reimbursement
    2-2  for the new tank.
    2-3        SECTION 4.  Subchapter I, Chapter 26, Water Code, is amended
    2-4  by adding Section 26.3475 to read as follows:
    2-5        Sec. 26.3475.  RELEASE DETECTION REQUIREMENTS; SPILL AND
    2-6  OVERFILL PREVENTION; CORROSION PROTECTION; NOTICE OF VIOLATION;
    2-7  SHUTDOWN.  (a)  All piping in an underground storage tank system
    2-8  that routinely conveys regulated substances under pressure must
    2-9  comply with commission requirements for pressurized piping release
   2-10  detection equipment.
   2-11        (b)  All piping in an underground storage tank system that
   2-12  routinely conveys regulated substances under suction must comply
   2-13  with commission requirements for suction-type piping release
   2-14  detection equipment.
   2-15        (c)  A tank in an underground storage tank system must comply
   2-16  with commission requirements for:
   2-17              (1)  tank release detection equipment; and
   2-18              (2)  spill and overfill equipment.
   2-19        (d)  An underground storage tank system must comply with
   2-20  commission requirements for applicable tank integrity assessment
   2-21  and corrosion protection not later than December 22, 1998.
   2-22        (e)  The commission may issue a notice of violation to the
   2-23  owner or operator of an underground storage tank system that does
   2-24  not comply with this section, informing the owner or operator of
   2-25  the nature of the violation and that the commission may order the
   2-26  noncomplying underground storage tank system placed out of service
   2-27  if the owner or operator does not correct the violation within 30
   2-28  days after the date the notice is received.  If the owner or
   2-29  operator does not correct the violation within the prescribed time,
   2-30  the commission may order the noncomplying underground storage tank
   2-31  system out of service.
   2-32        SECTION 5.  Section 26.3512, Water Code, is amended by
   2-33  amending Subsections (b) and (e) and by adding Subsections (f)-(k)
   2-34  to read as follows:
   2-35        (b)  Funds from the petroleum storage tank remediation fund
   2-36  may not be used to pay, and the owner or operator of a petroleum
   2-37  storage tank ordered by the commission to take corrective action is
   2-38  responsible for payment of, the following:
   2-39              (1)  the owner or operator contribution described by
   2-40  Subsections (e)-(k) <Subsection (e) of this section>;
   2-41              (2)  any expenses for corrective action that exceed the
   2-42  applicable amount specified by Section 26.3573(l) <$1 million for
   2-43  each occurrence>;
   2-44              (3)  any expenses for corrective action that are not
   2-45  covered by payment from the petroleum storage tank remediation fund
   2-46  under the rules or decisions of the commission under this
   2-47  subchapter; <or>
   2-48              (4)  any expenses for corrective action not ordered or
   2-49  agreed to by the commission; or
   2-50              (5)  any expenses for corrective action incurred for
   2-51  confirmed releases initially discovered and reported to the
   2-52  commission after December 22, 1998.
   2-53        (e)  If an owner or operator submits a site assessment in
   2-54  accordance with commission rules before December 23, 1996, the <An>
   2-55  owner or operator shall pay under Subsection (b)(1) <of this
   2-56  section> the first expenses for corrective action taken for each
   2-57  occurrence as follows:
   2-58              (1)  a person who owns or operates 1,000 or more single
   2-59  petroleum storage tanks, the first $10,000;
   2-60              (2)  a person who owns or operates not fewer than 100
   2-61  or more than 999 single petroleum storage tanks, the first $5,000;
   2-62              (3)  a person who owns or operates not fewer than 13 or
   2-63  more than 99 single petroleum storage tanks, the first $2,500; and
   2-64              (4)  a person who owns or operates fewer than 13 single
   2-65  petroleum storage tanks, the first $1,000.
   2-66        (f)  If an owner or operator does not submit a site
   2-67  assessment in accordance with commission rules before December 23,
   2-68  1996, the owner or operator shall pay under Subsection (b)(1) the
   2-69  first expenses for corrective action taken for each occurrence as
   2-70  follows:
    3-1              (1)  a person who owns or operates 1,000 or more single
    3-2  petroleum storage tanks, the first $20,000;
    3-3              (2)  a person who owns or operates not fewer than 100
    3-4  or more than 999 single petroleum storage tanks, the first $10,000;
    3-5              (3)  a person who owns or operates not fewer than 13 or
    3-6  more than 99 single petroleum storage tanks, the first $5,000; and
    3-7              (4)  a person who owns or operates fewer than 13 single
    3-8  petroleum storage tanks, the first $2,000.
    3-9        (g)  If an owner or operator's corrective action plan is
   3-10  approved by the commission under Section 26.3572 before December
   3-11  23, 1997, the owner or operator shall pay under Subsection (b)(1)
   3-12  the amount provided by Subsection (e) for the first expenses for
   3-13  corrective action taken for each occurrence.
   3-14        (h)  If an owner or operator's corrective action plan is not
   3-15  approved by the commission under Section 26.3572 before December
   3-16  23, 1997, the owner or operator shall pay under Subsection (b)(1)
   3-17  the first expenses for corrective action taken for each occurrence
   3-18  as follows:
   3-19              (1)  a person who owns or operates 1,000 or more single
   3-20  petroleum storage tanks, the first $40,000;
   3-21              (2)  a person who owns or operates not fewer than 100
   3-22  or more than 999 single petroleum storage tanks, the first $20,000;
   3-23              (3)  a person who owns or operates not fewer than 13 or
   3-24  more than 99 single petroleum storage tanks, the first $10,000; and
   3-25              (4)  a person who owns or operates fewer than 13 single
   3-26  petroleum storage tanks, the first $4,000.
   3-27        (i)  If an owner or operator has a corrective action plan
   3-28  approved by the commission under Section 26.3572 and before
   3-29  December 23, 1998, has met the goals specified in the plan to be
   3-30  met by that date, the owner or operator shall pay under Subsection
   3-31  (b)(1) the amount specified by Subsection (e) for the first
   3-32  expenses for corrective action taken for each occurrence.
   3-33        (j)  If an owner or operator does not have a corrective
   3-34  action plan approved by the commission under Section 26.3572 or, on
   3-35  December 23, 1998, has not met the goals specified in the plan to
   3-36  be met by that date, the owner or operator shall pay under
   3-37  Subsection (b)(1) the first expenses for corrective action taken
   3-38  for each occurrence as follows:
   3-39              (1)  a person who owns or operates 1,000 or more single
   3-40  petroleum storage tanks, the first $80,000;
   3-41              (2)  a person who owns or operates not fewer than 100
   3-42  or more than 999 single petroleum storage tanks, the first $40,000;
   3-43              (3)  a person who owns or operates not fewer than 13 or
   3-44  more than 99 single petroleum storage tanks, the first $20,000; and
   3-45              (4)  a person who owns or operates fewer than 13 single
   3-46  petroleum storage tanks, the first $8,000.
   3-47        (k)  An owner or operator of a site for which a closure
   3-48  letter has been issued under Section 26.3572 shall pay under
   3-49  Subsection (b)(1) the first $50,000 of expenses for corrective
   3-50  action for each occurrence.
   3-51        SECTION 6.  Section 26.3513, Water Code, is amended by adding
   3-52  Subsection (m) to read as follows:
   3-53        (m)  The commission shall consider the person who is in
   3-54  day-to-day control of a petroleum storage tank system at a site
   3-55  that is in violation of this subchapter to be the:
   3-56              (1)  person primarily responsible for taking corrective
   3-57  action, for corrective action costs, for receiving a notice of
   3-58  violation, or for paying a penalty assessed; and
   3-59              (2)  primary subject of an enforcement action or order
   3-60  under this subchapter.
   3-61        SECTION 7.  Section 26.3514, Water Code, is amended by adding
   3-62  Subsections (f), (g), (h), and (i) to read as follows:
   3-63        (f)  A lender described by Subsection (a) is not liable as an
   3-64  owner or operator under this subchapter because the lender sells,
   3-65  re-leases, liquidates, or winds up operations and takes measures to
   3-66  preserve, protect, or prepare the secured aboveground or
   3-67  underground storage tank before sale or other disposition of the
   3-68  storage tank or the property if the lender:
   3-69              (1)  did not participate in the management of an
   3-70  aboveground or underground storage tank or real or personal
    4-1  property described by Subsection (a) before foreclosure or its
    4-2  equivalent on the storage tank or the property; and
    4-3              (2)  establishes, as provided by Subsection (g), that
    4-4  the ownership indicia maintained after foreclosure continue to be
    4-5  held primarily to protect a security interest.
    4-6        (g)  A lender may establish that the ownership indicia
    4-7  maintained after foreclosure continue to be held primarily to
    4-8  protect a security interest if, within 12 months after foreclosure,
    4-9  the lender:
   4-10              (1)  lists the aboveground or underground storage tank,
   4-11  or the facility or property on which the tank is located, with a
   4-12  broker, dealer, or agent who deals in that type of property; or
   4-13              (2)  advertises the aboveground or underground storage
   4-14  tank for sale or other disposition, at least monthly, in:
   4-15                    (A)  a real estate publication;
   4-16                    (B)  a trade or other publication appropriate for
   4-17  the aboveground or underground storage tank being advertised; or
   4-18                    (C)  a newspaper of general circulation in the
   4-19  area in which the aboveground or underground storage tank is
   4-20  located.
   4-21        (h)  For purposes of Subsection (g), the 12-month period
   4-22  begins:
   4-23              (1)  when the lender acquires marketable title, if the
   4-24  lender, after the expiration of any redemption period or other
   4-25  waiting period required by law, was acting diligently to acquire
   4-26  marketable title; or
   4-27              (2)  on the date of foreclosure or its equivalent, if
   4-28  the lender does not act diligently to acquire marketable title.
   4-29        (i)  If a lender outbids, rejects, or does not act on an
   4-30  offer of fair consideration for the aboveground or underground
   4-31  storage tank or the facility or property on which the storage tank
   4-32  is located, it is presumed that the lender is not holding the
   4-33  ownership indicia primarily to protect the security interest unless
   4-34  the lender is required, in order to avoid liability under federal
   4-35  or state law, to make the higher bid, obtain the higher offer, or
   4-36  seek or obtain an offer in a different manner.
   4-37        SECTION 8.  Section 26.352, Water Code, is amended to read as
   4-38  follows:
   4-39        Sec. 26.352.  FINANCIAL RESPONSIBILITY.  (a)  The commission
   4-40  by rule shall adopt requirements for maintaining evidence of
   4-41  financial responsibility for taking corrective action and
   4-42  compensating third parties for bodily injury and property damage
   4-43  caused by sudden and nonsudden accidental releases arising from
   4-44  operating an underground storage tank.
   4-45        (b)  The rules must require that, after December 22, 1998,
   4-46  the owner or operator of a site for which a closure letter has been
   4-47  issued under Section 26.3572 shall have insurance coverage or
   4-48  evidence of financial responsibility sufficient to satisfy all
   4-49  financial responsibility requirements under federal law or
   4-50  regulations.  The rules must require that an owner or operator of a
   4-51  site that has been issued a closure letter and who is eligible to
   4-52  have a portion of any future corrective action costs paid under
   4-53  Section 26.3512 shall have insurance coverage or evidence of
   4-54  financial responsibility sufficient to satisfy the first expenses
   4-55  for corrective action as provided by Section 26.3512(k).
   4-56        (c)  The commission shall seek the assistance of the Texas
   4-57  Department of Insurance in developing the minimum requirements for
   4-58  insurance coverage required under this section.
   4-59        (d)  An owner or operator of an underground storage tank may
   4-60  submit the registration certificate issued by the commission to the
   4-61  owner or operator under Section 26.346 of this code to the United
   4-62  States Environmental Protection Agency as evidence of the owner's
   4-63  or operator's eligibility for funds for any expense for corrective
   4-64  action incurred for confirmed releases initially discovered and
   4-65  reported to the commission on or before December 22, 1998 <from the
   4-66  petroleum storage tank remediation fund>.
   4-67        (e)  A registration certificate issued under Section 26.346
   4-68  is not acceptable evidence of financial responsibility for:
   4-69              (1)  an underground storage tank that contains a
   4-70  petroleum substance other than:
    5-1                    (A)  a petroleum product; or
    5-2                    (B)  spent oil or hydraulic fluid if the tank is
    5-3  located at a vehicle service and fueling facility and is used as
    5-4  part of the operations of that facility; or
    5-5              (2)  any expenses for corrective action for confirmed
    5-6  releases initially discovered and reported to the commission after
    5-7  December 22, 1998.
    5-8        (f)  The commission shall enforce this section and may impose
    5-9  administrative and civil penalties on the owners or operators of
   5-10  underground storage tanks if acceptable evidence of financial
   5-11  responsibility is not maintained.  An owner or operator commits an
   5-12  offense if the owner or operator operates an underground storage
   5-13  tank knowing that acceptable evidence of financial responsibility
   5-14  does not exist and is subject to criminal prosecution as provided
   5-15  by Subchapter F.  The commission may seek injunctive relief in the
   5-16  district courts of Travis County to force the temporary or
   5-17  permanent closure of an underground storage tank for which
   5-18  acceptable evidence of financial responsibility is not maintained.
   5-19        SECTION 9.  Section 26.3572, Water Code, is amended by
   5-20  amending Subsections (b) and (c) and by adding Subsection (d) to
   5-21  read as follows:
   5-22        (b)  In administering the program, the commission shall:
   5-23              (1)  negotiate with or direct responsible parties in
   5-24  site assessment and remediation matters using risk-based corrective
   5-25  action;
   5-26              (2)  approve site-specific corrective action plans for
   5-27  each site as necessary, using risk-based corrective action;
   5-28              (3)  review and inspect site assessment and remedial
   5-29  activities and reports; <and>
   5-30              (4)  use risk-based corrective action procedures as
   5-31  determined by commission rule to establish cleanup levels;
   5-32              (5)  adopt by rule criteria for assigning a priority to
   5-33  each site using risk-based corrective action and assign a priority
   5-34  to each site according to those criteria;
   5-35              (6)  adopt by rule criteria for:
   5-36                    (A)  risk-based corrective action site closures;
   5-37  and
   5-38                    (B)  the issuance of a closure letter to the
   5-39  owner or operator of a tank site on completion of the commission's
   5-40  corrective action requirements; and
   5-41              (7)  process claims for petroleum storage tank
   5-42  remediation fund disbursement.
   5-43        (c)  The commission by rule may approve site assessment
   5-44  methodologies.  The commission shall approve or disapprove a site
   5-45  assessment or corrective action plan, as defined by commission
   5-46  rule, on or before the 30th day after the commission receives the
   5-47  assessment or plan.  The commission shall adopt by rule criteria to
   5-48  be used to determine:
   5-49              (1)  the necessity for site assessment; and
   5-50              (2)  the nature of the site assessment required.
   5-51        (d)  The commission may not approve a corrective action plan
   5-52  until the commission and the owner or operator of the site by
   5-53  agreement set specific goals in the plan for completing discrete
   5-54  corrective action tasks before specified dates.  The owner or
   5-55  operator is responsible for meeting the goals.
   5-56        SECTION 10.  Sections 26.3573(d), (f), (h), (i), (k), and
   5-57  (p), Water Code, are amended to read as follows:
   5-58        (d)  The commission may use the money in the petroleum
   5-59  storage tank remediation fund to pay:
   5-60              (1)  necessary expenses associated with the
   5-61  administration of the petroleum storage tank remediation fund and
   5-62  the groundwater protection cleanup program, not to exceed an amount
   5-63  equal to five percent of the gross receipts of that fund, provided
   5-64  that the increment between two and five <three> percent of the
   5-65  gross receipts may be used only to pay administrative expenses
   5-66  associated with regulating petroleum storage tanks, reimbursing
   5-67  eligible owners and operators, <and> disposing of contaminated
   5-68  soils, and <further provided that the increment between three and
   5-69  five percent of the gross receipts may be used only to pay
   5-70  administrative expenses associated with> conducting claims audits
    6-1  in accordance with Section 26.35735 of this code<, reimbursing
    6-2  eligible owners and operators, and disposing of contaminated
    6-3  soils>;
    6-4              (2)  expenses associated with investigation, cleanup,
    6-5  or corrective action measures performed in response to a release or
    6-6  threatened release from a petroleum storage tank, whether those
    6-7  expenses are incurred by the commission or pursuant to a contract
    6-8  between a contractor and an eligible owner or operator as
    6-9  authorized by this subchapter; and
   6-10              (3)  subject to the conditions of Subsection (e) of
   6-11  this section, expenses associated with investigation, cleanup, or
   6-12  corrective action measures performed in response to a release or
   6-13  threatened release of hydraulic fluid or spent oil from hydraulic
   6-14  lift systems or tanks located at a vehicle service and fueling
   6-15  facility and used as part of the operations of that facility.
   6-16        (f)  The commission, in accordance with this subchapter and
   6-17  rules adopted under this subchapter, may:
   6-18              (1)  contract directly with a person to perform
   6-19  corrective action and pay the contractor from the petroleum storage
   6-20  tank remediation fund;
   6-21              (2)  reimburse an eligible owner or operator from the
   6-22  petroleum storage tank remediation fund for the expenses of a
   6-23  corrective action that was:
   6-24                    (A)  performed on or after September 1, 1987; and
   6-25                    (B)  conducted in response to a confirmed release
   6-26  that was initially discovered and reported to the commission on or
   6-27  before December 22, 1998; or
   6-28              (3)  pay the claim of a person who has contracted with
   6-29  an eligible owner or operator to perform corrective action with
   6-30  funds from the petroleum storage tank remediation fund.
   6-31        (h)  Consistent with the objectives provided under Subsection
   6-32  (g) of this section and this subchapter, the commission may by rule
   6-33  adopt:
   6-34              (1)  guidelines the commission considers necessary for
   6-35  determining the amounts that may be paid from the petroleum storage
   6-36  tank remediation fund; and
   6-37              (2)  guidelines concerning reimbursement for expenses
   6-38  incurred by an eligible owner or operator and covered under Section
   6-39  26.3512(d) of this code<; and>
   6-40              <(3)  minimum qualifications the commission considers
   6-41  necessary for a person with whom an eligible owner or operator may
   6-42  contract to participate in corrective action>.
   6-43        (i)  The commission by rule may implement a registration
   6-44  program for persons who contract with an owner or operator of an
   6-45  underground storage tank or an aboveground storage tank, or with
   6-46  any other person, to perform corrective action under this
   6-47  subchapter.  The commission, on the request of an appropriately
   6-48  licensed or registered professional engineer, shall register the
   6-49  engineer in the program.  An engineer registered in the program may
   6-50  contract to perform corrective action under this subchapter unless
   6-51  the State Board of Registration for Professional Engineers
   6-52  determines the engineer is not qualified to perform a corrective
   6-53  action.  An engineer registered in the program is subject only to
   6-54  the examination requirements, continuing education requirements,
   6-55  fees, and disciplinary procedures adopted by the State Board of
   6-56  Registration for Professional Engineers.  The commission may adopt
   6-57  minimum qualifications for a person, other than an appropriately
   6-58  licensed or registered professional engineer, with whom an eligible
   6-59  owner or operator <and> may contract to participate in a corrective
   6-60  action and for a person, other than an appropriately licensed or
   6-61  registered professional engineer, who performs or supervises the
   6-62  corrective action.  The commission may require <registration and>
   6-63  the use of registered contractors and registered corrective action
   6-64  supervisors by an eligible owner or operator as a prerequisite to
   6-65  the payment of <receiving> money from the petroleum storage tank
   6-66  remediation fund for corrective action under this subchapter.  Any
   6-67  qualified registered contractor may conduct the characterization,
   6-68  study, appraisal, or investigation of a site.  If a site
   6-69  remediation involves the installation or construction of on-site
   6-70  equipment, structures, or systems used in the extraction or
    7-1  management of wastes, except for soil excavation and landfill
    7-2  disposal or well sampling and monitoring, the owner or operator is
    7-3  not eligible for reimbursement from the petroleum storage tank
    7-4  remediation fund unless the plans and specifications for the
    7-5  equipment, structures, or systems are sealed by an appropriately
    7-6  licensed or registered professional engineer and the equipment,
    7-7  structures, or systems are constructed under the supervision of an
    7-8  appropriately licensed or registered professional engineer.  The
    7-9  commission by rule may establish a fee schedule and charge fees
   7-10  necessary to defray the costs of administering the registration
   7-11  program, including fees for processing applications, printing
   7-12  certificates, conducting examinations, and similar activities.
   7-13  Fees collected under this subsection shall be deposited in the
   7-14  state treasury to the credit of the storage tank fund.  A person
   7-15  who violates a rule or order adopted by the commission under this
   7-16  subsection is subject to the appropriate sanctions and penalties
   7-17  imposed under this chapter.
   7-18        (k)  The commission shall satisfy a claim for payment that is
   7-19  eligible to be paid under this subchapter and the rules adopted
   7-20  under this subchapter made by a contractor, from the petroleum
   7-21  storage tank remediation fund as provided by this section and rules
   7-22  adopted by the commission under this section <Chapter 82, Acts of
   7-23  the 69th Legislature, Regular Session, 1985 (Article 601f, Vernon's
   7-24  Texas Civil Statutes)>, regardless of whether the commission:
   7-25              (1)  contracts directly for the goods or services; or
   7-26              (2)  pays a claim under a contract executed by a
   7-27  petroleum storage tank owner or operator.
   7-28        (p)  Notwithstanding any other law to the contrary, an <An>
   7-29  owner or operator, or an agent of an owner or operator, is <shall>
   7-30  not <be> entitled to and may not<, nor shall> be paid<,> interest
   7-31  on any claim for payment from the petroleum storage tank
   7-32  remediation fund.
   7-33        SECTION 11.  Subchapter I, Chapter 26, Water Code, is amended
   7-34  by adding Section 26.35731 to read as follows:
   7-35        Sec. 26.35731.  CONSIDERATION AND PROCESSING OF APPLICATIONS
   7-36  FOR REIMBURSEMENT.  (a)  Except as provided by Subsection (b), the
   7-37  commission shall consider and process a claim by an eligible owner
   7-38  or operator for reimbursement from the petroleum storage tank
   7-39  remediation fund in the order in which it is received.  The
   7-40  commission shall consider and process all claims by eligible owners
   7-41  and operators for reimbursement from the fund that were received
   7-42  before September 1, 1995, before the commission considers a claim
   7-43  received after that date.
   7-44        (b)  The commission may not consider, process, or pay a claim
   7-45  for reimbursement from the petroleum storage tank remediation fund
   7-46  for corrective action work begun after September 1, 1993, and
   7-47  without prior commission approval until all claims for
   7-48  reimbursement for corrective action work preapproved by the
   7-49  commission have been considered, processed, and paid.
   7-50        SECTION 12.  Section 26.35735, Water Code, is amended by
   7-51  adding Subsections (e) and (f) to read as follows:
   7-52        (e)  The commission may audit a claim for payment as required
   7-53  by this section only:
   7-54              (1)  under guidelines adopted by commission rule that
   7-55  relate to conducting an audit under this section and denying a
   7-56  claim as a result of that audit and that are in effect when the
   7-57  audit is conducted; or
   7-58              (2)  in a case of suspected fraud.
   7-59        (f)  Not later than the 90th day after an audit under this
   7-60  section has been completed, the commission shall send a copy of the
   7-61  audit to the person whose claim for payment is the subject of the
   7-62  audit.
   7-63        SECTION 13.  Sections 26.3574(b), (x), and (y), Water Code,
   7-64  are amended to read as follows:
   7-65        (b)  A fee is imposed on the delivery of a petroleum product
   7-66  on withdrawal from bulk of that product as provided by this
   7-67  subsection.  Each operator of a bulk facility on withdrawal from
   7-68  bulk of a petroleum product shall collect from the person who
   7-69  orders the withdrawal a fee in an amount determined as follows:
   7-70              (1)  $25 <$12.50> for each delivery into a cargo tank
    8-1  having a capacity of less than 2,500 gallons;
    8-2              (2)  $50 <$25> for each delivery into a cargo tank
    8-3  having a capacity of 2,500 gallons or more but less than 5,000
    8-4  gallons;
    8-5              (3)  $75 <$37.50> for each delivery into a cargo tank
    8-6  having a capacity of 5,000 gallons or more but less than 8,000
    8-7  gallons;
    8-8              (4)  $100 <$50> for each delivery into a cargo tank
    8-9  having a capacity of 8,000 gallons or more but less than 10,000
   8-10  gallons; and
   8-11              (5)  a $50 <$25> fee for each increment of 5,000
   8-12  gallons or any part thereof delivered into a cargo tank having a
   8-13  capacity of 10,000 gallons or more.
   8-14        (x)  After the deposits have been made to the credit of the
   8-15  general revenue fund as required by Section 403.092(c)(1),
   8-16  Government Code, as added by Chapter 533, Acts of the 73rd
   8-17  Legislature, 1993, the <The> fee imposed under this section may not
   8-18  be collected or required to be paid on or after the first day of
   8-19  the second month following notification by the commission of the
   8-20  date on which the unobligated balance in the petroleum storage tank
   8-21  remediation fund equals or exceeds $125 million <during the
   8-22  1990-1991 state fiscal biennium or $100 million thereafter>.  The
   8-23  commission shall notify the comptroller in writing of the date on
   8-24  which the unobligated balance equals or exceeds $125 million
   8-25  <during the 1990-1991 state fiscal biennium or $100 million
   8-26  thereafter>.
   8-27        (y)  If the unobligated balance in the petroleum storage tank
   8-28  remediation fund falls below <$50 million during the 1990-1991
   8-29  state fiscal biennium or> $25 million <thereafter>, the fee shall
   8-30  be reinstated, effective on the first day of the second month
   8-31  following notification by the commission, in amounts determined as
   8-32  follows:
   8-33              (1)  $12.50 for each delivery into a cargo tank having
   8-34  a capacity of less than 2,500 gallons;
   8-35              (2)  $25 for each delivery into a cargo tank having a
   8-36  capacity of 2,500 gallons or more but less than 5,000 gallons;
   8-37              (3)  $37.50 for each delivery into a cargo tank having
   8-38  a capacity of 5,000 gallons or more but less than 8,000 gallons;
   8-39              (4)  $50 for each delivery into a cargo tank having a
   8-40  capacity of 8,000 gallons or more but less than 10,000 gallons; and
   8-41              (5)  a $25 fee for each increment of 5,000 gallons or
   8-42  any part thereof delivered into a cargo tank having a capacity of
   8-43  10,000 gallons or more.
   8-44        SECTION 14.  Subchapter I, Chapter 26, Water Code, is amended
   8-45  by adding Sections 26.360-26.363 to read as follows:
   8-46        Sec. 26.360.  PRIVATIZATION OF PROGRAM.  Notwithstanding
   8-47  other provisions of this subchapter, the commission by rule may
   8-48  authorize the privatization of any part of the program established
   8-49  under this subchapter.
   8-50        Sec. 26.361.  EXPIRATION OF REIMBURSEMENT PROGRAM.
   8-51  Notwithstanding any other provision of this subchapter, the
   8-52  reimbursement program established under this subchapter expires
   8-53  September 1, 2001.  On or after September 1, 2001, the commission
   8-54  may not:
   8-55              (1)  use money from the petroleum storage tank
   8-56  remediation fund to reimburse an eligible owner or operator for any
   8-57  expenses of corrective action or to pay the claim of a person who
   8-58  has contracted with an eligible owner or operator to perform
   8-59  corrective action; or
   8-60              (2)  collect a fee under Section 26.3574 of this code.
   8-61        Sec. 26.362.  SUIT TO TEST VALIDITY OF CLOSURE LETTER.  The
   8-62  commission is immune from liability in any action against the
   8-63  commission to test the validity of a closure letter issued under
   8-64  Section 26.3572 if the letter is issued in accordance with
   8-65  commission rules.
   8-66        Sec. 26.363.  RELIANCE ON CLOSURE LETTER.  An owner or
   8-67  operator to whom a closure letter for a site has been issued under
   8-68  Section 26.3752 may not be held liable for the owner's or
   8-69  operator's conduct taken in reliance on and within the scope of the
   8-70  closure letter.
    9-1        SECTION 15.  Chapter 244, Acts of the 71st Legislature,
    9-2  Regular Session, 1989 (Article 8900, Vernon's Texas Civil
    9-3  Statutes), is redesignated as Subchapter K, Chapter 26, Water Code,
    9-4  and amended to read as follows:
    9-5          SUBCHAPTER K <Art. 8900>.  UNDERGROUND STORAGE TANK
    9-6                 INSTALLERS<; REGULATIONS; PENALTIES>
    9-7        Sec. 26.451 <1>.  DEFINITIONS.  In this subchapter <Act>:
    9-8              (1)  "Certificate of registration" means the document
    9-9  issued to an underground storage tank contractor authorizing that
   9-10  contractor to engage in the underground storage tank business in
   9-11  this state.  <"Commission" means the Texas Water Commission.>
   9-12              (2)  "Committee" means the Petroleum Storage Tank
   9-13  Advisory Committee.
   9-14              (3)  "Critical junctures" means, in the case of an
   9-15  installation, repair, or removal, all of the following steps:
   9-16                    (A)  preparation of the tank bedding immediately
   9-17  before receiving the tank;
   9-18                    (B)  setting of the tank and the piping,
   9-19  including placement of any anchoring devices, backfill to the level
   9-20  of the tank, and strapping, if any;
   9-21                    (C)  connection of piping systems to the tank;
   9-22                    (D)  all pressure testing of the underground
   9-23  storage tank, including associated piping, performed during the
   9-24  installation;
   9-25                    (E)  completion of backfill and filling of the
   9-26  excavation;
   9-27                    (F)  any time during the repair in which the
   9-28  piping system is connected or reconnected to the tank;
   9-29                    (G)  any time during the repair in which the tank
   9-30  or its associated piping is tested; and
   9-31                    (H)  any time during the removal of the tank.
   9-32              (4)  "Installation" means the installation of
   9-33  underground storage tanks and ancillary equipment.
   9-34              (5) <(4)>  "Installer" means a person who participates
   9-35  in or supervises the installation, repair, or removal of
   9-36  underground storage tanks.
   9-37              (6)  "License" means the document issued to an
   9-38  installer or on-site supervisor authorizing that person to engage
   9-39  in the underground storage tank business in this state.
   9-40              (7)  "On-site supervisor" means:
   9-41                    (A)  a professional engineer registered to
   9-42  practice in this state who has met the licensing requirements under
   9-43  Section 26.456; or
   9-44                    (B)  a person who has at least two years of
   9-45  active experience in the vocation of installation of underground
   9-46  storage tanks, underground utilities, or other engineering
   9-47  construction in this state and who meets the licensing requirements
   9-48  under Section 26.456.
   9-49              (8) <(5)>  "Operator" means any person in control of,
   9-50  or having responsibility for, the daily operation of the
   9-51  underground storage tank system.
   9-52              (9) <(6)>  "Owner" means any person who owns an
   9-53  underground storage tank system used for storage, use, or
   9-54  dispensing of regulated substances.
   9-55              (10) <(7)>  "Person" means a natural person, including
   9-56  an owner, manager, officer, employee, or occupant.
   9-57              (11) <(8)>  "Removal" means the process of removing and
   9-58  disposing of an underground storage tank that is no longer in
   9-59  service, or the process of abandoning an underground storage tank
   9-60  in place after purging the tank of vapors and filling the vessel of
   9-61  the tank with an inert material.
   9-62              (12) <(9)>  "Repair" means the modification or
   9-63  correction of an underground storage tank and ancillary equipment.
   9-64  The term does not include:
   9-65                    (A)  relining an underground storage tank through
   9-66  the application of epoxy resins or similar materials;
   9-67                    (B)  the performance of a tightness test to
   9-68  ascertain the integrity of the tank;
   9-69                    (C)  the maintenance and inspection of cathodic
   9-70  protection devices by a corrosion expert or corrosion technician;
   10-1                    (D)  emergency actions to halt or prevent leaks
   10-2  or ruptures; or
   10-3                    (E)  minor maintenance on ancillary aboveground
   10-4  equipment.
   10-5              (13) <(10)>  "Underground storage tank" has the meaning
   10-6  assigned by Section 26.342<, Water Code>.
   10-7              <(11)  "On-site supervisor" means:>
   10-8                    <(A)  a professional engineer registered to
   10-9  practice in this state who has met the licensing requirements under
  10-10  Section 6 of this Act; or>
  10-11                    <(B)  an individual with at least two years of
  10-12  active experience in the vocation of installation of underground
  10-13  storage tanks, underground utilities, or other engineering
  10-14  construction in the State of Texas and who meets the licensing
  10-15  requirements under Section 6 of this Act.>
  10-16              (14) <(12)>  "Underground storage tank contractor"
  10-17  means a person or business entity who <that> offers to undertake,
  10-18  represents itself as being able to undertake, or does undertake to
  10-19  install, repair, or remove underground storage tanks.
  10-20              <(13)  "Certificate of registration" means the document
  10-21  issued to an underground storage tank contractor authorizing same
  10-22  to engage in the underground storage tank business in this state.>
  10-23              <(14)  "License" means the document issued to an
  10-24  installer or on-site supervisor authorizing same to engage in the
  10-25  underground storage tank business in this state.>
  10-26              <(15)  "Critical junctures" means, in the case of an
  10-27  installation, repair, or removal, all of the following steps:>
  10-28                    <(A)  preparation of the tank bedding immediately
  10-29  prior to receiving the tank;>
  10-30                    <(B)  setting of the tank and the piping,
  10-31  including placement of any anchoring devices, backfill to the level
  10-32  of the tank, and strapping, if any;>
  10-33                    <(C)  connection of piping systems to the tank;>
  10-34                    <(D)  all pressure testing of the underground
  10-35  storage tank, including associated piping, performed during the
  10-36  installation;>
  10-37                    <(E)  completion of backfill and filling of the
  10-38  excavation;>
  10-39                    <(F)  any time during the repair in which the
  10-40  piping system is connected or reconnected to the tank;>
  10-41                    <(G)  any time during the repair in which the
  10-42  tank or its associated piping is tested; and>
  10-43                    <(H)  any time during the removal of the tank.>
  10-44        Sec. 26.452 <2>.  Certificate of registration.  (a)  An
  10-45  underground storage tank contractor must apply to the commission
  10-46  for a certificate of registration on a form prescribed by the
  10-47  commission.  If the contractor is a partnership or joint venture,
  10-48  it need not register in its own name if each partner or joint
  10-49  venture is registered.
  10-50        (b)  A certificate of registration is valid for one year from
  10-51  the date of issue and is renewable annually on payment of the
  10-52  annual fee.  An<; provided, however, that the> initial
  10-53  certification of registration <issued on or after September 1,
  10-54  1989,> may be issued for a period <periods> of less than one year
  10-55  and the annual fee shall be prorated proportionally.
  10-56        (c)  Each certificate of registration must be posted in a
  10-57  conspicuous place in the contractor's place of business.
  10-58        (d)  All bids, proposals, offers, and installation drawings
  10-59  must prominently display the contractor's certificate of
  10-60  registration number.
  10-61        (e)  A certificate of registration issued under this
  10-62  subchapter <Act> is not transferable.
  10-63        Sec. 26.453 <3>.  License required.  (a)  An <Except as
  10-64  provided for by Subsection (b) of this section, an> underground
  10-65  storage tank may not be installed, repaired, or removed except by
  10-66  an underground storage tank contractor who has an installer or an
  10-67  on-site supervisor who is licensed by the commission under Section
  10-68  26.456 <6 of this Act> at the site at all times during the critical
  10-69  junctures of the installation, repair, or removal.
  10-70        (b)  <A license issued under this Act is not transferable.>
   11-1        <(c)>  This subchapter <Act> does not apply to the
   11-2  installation of a storage tank or other facility exempt from
   11-3  regulation under Section 26.344<, Water Code>.
   11-4        Sec. 26.454 <4>.  Powers and duties of commission.  (a)  The
   11-5  commission shall:
   11-6              (1)  prescribe application forms for original and
   11-7  renewal licenses; and
   11-8              (2)  take other action necessary to enforce this
   11-9  subchapter <Act>.
  11-10        (b)  With the advice of the committee, the commission shall
  11-11  adopt rules for the licensing of installers and on-site
  11-12  supervisors.
  11-13        (c)  The commission may adopt rules relating to continuing
  11-14  education requirements for installers and on-site supervisors.
  11-15        Sec. 26.455 <5>.  Examination.  (a)  At times and places
  11-16  designated by the commission, the commission shall conduct an
  11-17  examination of applicants for licensing as installers and on-site
  11-18  supervisors.
  11-19        (b)  The commission shall prescribe the contents of the
  11-20  examination.  Questions used in the examination must be derived
  11-21  from standards, instructions, and recommended practices published
  11-22  by organizations with expertise in various aspects of installation,
  11-23  removal, and repair of underground storage tanks, including the:
  11-24              (1)  Petroleum Equipment Institute;
  11-25              (2)  American Petroleum Institute;
  11-26              (3)  Steel Tank Institute;
  11-27              (4)  National Association of Corrosion Engineers;
  11-28              (5)  Fiberglass Petroleum Tank and Pipe Institute; and
  11-29              (6)  National Fire Protection Association.
  11-30        (c)  The commission shall determine standards for acceptable
  11-31  performance on the examination.
  11-32        (d)  If requested by a license applicant who fails the
  11-33  examination, the commission shall provide to the applicant an
  11-34  analysis of the applicant's performance on the examination.
  11-35        Sec. 26.456 <6>.  License.  (a)  The commission shall issue
  11-36  an installer or on-site supervisor license to an applicant who:
  11-37              (1)  is at least 18 years of age;
  11-38              (2)  meets the application requirements prescribed by
  11-39  commission rule, including experience in installation of
  11-40  underground storage tanks, underground utilities, or other
  11-41  engineering construction in this state <the State of Texas>, not to
  11-42  exceed two years of active experience;
  11-43              (3)  passes the licensing examination;
  11-44              (4)  pays the application, examination, and licensing
  11-45  fees; and
  11-46              (5)  meets reasonable training requirements as
  11-47  determined by the commission.
  11-48        (b)  A license issued under this subchapter <Act> is valid
  11-49  throughout this state but is not assignable or transferable.
  11-50        Sec. 26.457 <7>.  License renewal.  (a)  A license is valid
  11-51  for one year and may be renewed annually on or before February 1 on
  11-52  payment of the required renewal fee and presentation of evidence
  11-53  satisfactory to the commission of compliance with any continuing
  11-54  education requirements adopted by the commission.
  11-55        (b)  If a licensee fails to renew the license by the required
  11-56  date, the licensee may renew the license on payment of the renewal
  11-57  fee and a late fee set by the commission.  If the license is not
  11-58  renewed earlier than one year after the date on which the license
  11-59  expired, the licensee must retake the licensing examination
  11-60  administered by the commission.
  11-61        Sec. 26.458 <8>.  Fees.  (a)  The commission shall charge
  11-62  necessary fees to defray the costs of administering this subchapter
  11-63  <the provisions of this Act>, which shall be deposited in the state
  11-64  treasury to the credit of the <underground> storage tank account
  11-65  <fund> and shall be used by the commission in administering <the
  11-66  provisions of> this subchapter <Act>.  The fees may not exceed the
  11-67  following amounts:
  11-68              (1)  examination fee..............................$ 50;
  11-69              (2)  initial license application..................$200;
  11-70              (3)  annual license renewal fee...................$175;
   12-1              (4)  late renewal fee.............................$ 25;
   12-2              (5)  duplicate license fee........................$ 10;
   12-3              (6)  certification   of   registration   application
   12-4  fee...........................................................$ 50;
   12-5              (7)  certification of registration issuance fee...$100;
   12-6              (8)  certification  of  registration  annual renewal
   12-7  fee...........................................................$ 75;
   12-8              (9)  duplicate  certification  of registration or
   12-9  license.......................................................$ 10;
  12-10              (10)  application to  change  certificate of
  12-11  registration.................................................$ 70.
  12-12        (b)  If a person remits an examination fee and initial
  12-13  license application fee, the examination fee shall be applied to
  12-14  the license application fee so that an applicant does not <no
  12-15  person shall> pay more than $200 for an initial application and
  12-16  examination.
  12-17        Sec. 26.459 <9>.  Denial, suspension, or revocation of
  12-18  license or certificate of registration; reinstatement.  (a)  The
  12-19  commission may deny, suspend, revoke, or reinstate a license or
  12-20  certificate of registration.
  12-21        (b)  The commission shall adopt rules establishing the
  12-22  grounds for denial, suspension, revocation, or reinstatement of a
  12-23  license or certificate of registration, and establishing procedures
  12-24  for disciplinary actions.
  12-25        (c)  Proceedings relating to the suspension or revocation of
  12-26  a license or certificate of registration issued under this
  12-27  subchapter <Act> are subject to Chapter 2001, Government Code <the
  12-28  Administrative Procedure and Texas Register Act (Article 6252-13a,
  12-29  Vernon's Texas Civil Statutes)>.
  12-30        (d)  A person or business entity whose license or certificate
  12-31  of registration has been revoked may apply for a new license or
  12-32  certificate of registration after the expiration of one year from
  12-33  the date of the revocation.
  12-34        Sec. 26.460 <10.  ADVISORY COMMITTEE.  (a)  The Petroleum
  12-35  Storage Tank Advisory Committee is established.>
  12-36        <(b)  The committee is composed of nine members appointed by
  12-37  the governor with the advice and consent of the senate.  Committee
  12-38  members serve for staggered six-year terms, with the terms of three
  12-39  members expiring February 1 of each odd-numbered year.  A member is
  12-40  not eligible for appointment to successive terms.>
  12-41        <(c)  The governor shall appoint all members of the
  12-42  committee, of whom:>
  12-43              <(1)  no more than three members may be appointed from
  12-44  a single metropolitan area;>
  12-45              <(2)  three members must be persons with experience in
  12-46  the operation of underground storage tanks;>
  12-47              <(3)  one member must be a professional engineer
  12-48  registered to practice in this state;>
  12-49              <(4)  one member must be a person who is not eligible
  12-50  for a license under this Act but who has demonstrated experience in
  12-51  environmental protection, fire protection, or the operation and
  12-52  maintenance of underground storage tanks;>
  12-53              <(5)  three members must be persons who own
  12-54  construction firms engaged in installation of underground petroleum
  12-55  storage tanks in the State of Texas; and>
  12-56              <(6)  one member must be a representative of the
  12-57  financial industry with experience in underground storage tank
  12-58  corrective action.>
  12-59        <(d)  The governor annually shall designate one member to
  12-60  serve as chairman.  The committee, at a minimum, shall meet
  12-61  quarterly, at the call of the chairman, or at the call of the
  12-62  chairman of the commission.>
  12-63        <(e)  The committee shall provide technical expertise to the
  12-64  commission regarding petroleum storage tanks and shall advise the
  12-65  commission in the adoption of rules pertaining to the commission's
  12-66  petroleum storage tank program (31 TAC Chapter 334) and for the
  12-67  licensing and regulation of installers and corrective action
  12-68  specialists.>
  12-69        <Sec. 11>.  Criminal, Civil, and Administrative Penalties.
  12-70  (a)  A person or business entity commits an offense if the person
   13-1  or business entity engages in <supervises> the installation,
   13-2  repair, or removal of an underground storage tank and the person or
   13-3  business entity:
   13-4              (1)  does not hold a certificate of registration issued
   13-5  under Section 26.452; and
   13-6              (2)  is not under the substantial control of a person
   13-7  or business entity who holds a certificate of registration issued
   13-8  under Section 26.452.
   13-9        (b)  A person commits an offense if the person performs or
  13-10  supervises the installation, repair, or removal of an underground
  13-11  storage tank unless:
  13-12              (1)  the person holds a license issued under Section
  13-13  26.456; or
  13-14              (2)  another person who holds a license issued under
  13-15  Section 26.456 is substantially responsible for the performance or
  13-16  supervision of the installation, repair, or removal.
  13-17        (c)  A person or business entity commits an offense if the
  13-18  person or business entity:
  13-19              (1)  authorizes or allows the installation, repair, or
  13-20  removal of an underground storage tank to be conducted by a person
  13-21  or business entity who does not hold a certificate of registration
  13-22  issued under Section 26.452; or
  13-23              (2)  authorizes or allows the installation, repair, or
  13-24  removal of an underground storage tank to be performed or
  13-25  supervised by a person or business entity who does not hold a
  13-26  license issued under Section 26.456.
  13-27        (d)  A person or business entity commits an offense if the
  13-28  conduct of the person or business entity makes the person or
  13-29  business entity responsible for a violation of this subchapter or
  13-30  of a rule adopted or order issued under this subchapter.  <in a
  13-31  manner that fails to comply with the requirements of Section 3 of
  13-32  this Act.>
  13-33        (e) <(b)>  An offense under <Subsection (a) of> this section
  13-34  is a Class A misdemeanor.
  13-35        (f) <(c)>  A person or business entity who commits
  13-36  <committing> an offense under <Subsection (a) of> this section may
  13-37  be assessed a civil penalty by the commission in an amount not to
  13-38  exceed $2,500 for each day of violation.
  13-39        (g)  In addition to the criminal and civil penalties imposed
  13-40  under this section, a person or business entity who commits an
  13-41  offense under this section or who violates Subchapter I or a rule
  13-42  adopted or order issued under Subchapter I is subject to an
  13-43  administrative penalty as provided by Section 26.136.  <(d)  If an
  13-44  owner fails to comply with the requirements of Section 3 of this
  13-45  Act, or a rule adopted by the commission to implement this Act, the
  13-46  person may be assessed a civil penalty by the commission in an
  13-47  amount not to exceed $2,500 for each day of the violation.>
  13-48        <Sec. 12.  ><Initial appointments><.  In making the initial
  13-49  appointments to the advisory committee, the governor shall
  13-50  designate three members for terms expiring in 1991, three members
  13-51  for terms expiring in 1993, and three members for terms expiring in
  13-52  1995.>
  13-53        <Sec. 13.  ><Effective date for license requirement><.  A person
  13-54  is not required to obtain a license under this Act until February
  13-55  1, 1990.>
  13-56        SECTION 16.  Section 403.092(c), Government Code, as added by
  13-57  Section 1, Chapter 533, Acts of the 73rd Legislature, 1993, is
  13-58  amended to read as follows:
  13-59        (c)(1)  The comptroller may temporarily transfer cash from
  13-60  the general revenue fund to the petroleum storage tank remediation
  13-61  fund during the 1996-1997 <1994-1995> biennium for the purpose of
  13-62  paying reimbursement claims against that fund that are filed with
  13-63  the Texas Natural Resource Conservation Commission on or before
  13-64  August 31, 1995, and for paying the necessary expenses associated
  13-65  with the administration of that fund.  The amount of cash to be
  13-66  transferred shall not exceed $120 million.  The transfer shall be
  13-67  made on September 1, 1995 <1993>, or as soon as practicable
  13-68  thereafter.
  13-69              (2)  Notwithstanding other law, $80 million of the fees
  13-70  collected under Section 26.3574, Water Code, shall be deposited to
   14-1  the credit of the general revenue fund not later than August 31,
   14-2  1996, and $40 million of those fees shall be deposited to the
   14-3  credit of that fund not later than May 31, 1997 <until the amount
   14-4  of the fee collections so deposited to the credit of the general
   14-5  revenue fund equals the amount of the temporary cash transfer
   14-6  authorized in Subdivision (1)>.  The remaining fees <Fees>
   14-7  collected under that section in excess of the amounts <amount>
   14-8  required by this subdivision to be deposited to the credit of the
   14-9  general revenue fund shall be deposited to the credit of the
  14-10  petroleum storage tank remediation fund.
  14-11              (3)  The amount transferred under Subdivision (1) is a
  14-12  receivable of the general revenue fund for the purpose of
  14-13  statements that the comptroller submits under Article III, Section
  14-14  49a, of the Texas Constitution.  The transferred amount is
  14-15  available for appropriation by the legislature.
  14-16              (4)  This subsection expires on the latter of August
  14-17  31, 1997 <1995>, or the date of full repayment to the general
  14-18  revenue fund of the amount required under Subdivision (2).
  14-19        SECTION 17.  (a)  The change in law made by Section 26.460,
  14-20  Water Code, as added by this Act, applies only to an offense
  14-21  committed or violation that occurs on or after the effective date
  14-22  of this Act.  For purposes of this section, an offense is committed
  14-23  before the effective date of this Act if any element of the offense
  14-24  occurred before that date.
  14-25        (b)  An offense committed or violation that occurred before
  14-26  the effective date of this Act is governed by the law in effect
  14-27  when the offense was committed or violation occurred, and the
  14-28  former law is continued in effect for that purpose.
  14-29        SECTION 18.  This Act takes effect September 1, 1995.
  14-30        SECTION 19.  The importance of this legislation and the
  14-31  crowded condition of the calendars in both houses create an
  14-32  emergency and an imperative public necessity that the
  14-33  constitutional rule requiring bills to be read on three several
  14-34  days in each house be suspended, and this rule is hereby suspended.
  14-35                               * * * * *