By:  Ratliff                                           S.B. No. 271
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the applicant-violator system of the Texas Surface Coal
    1-2  Mining and Reclamation Act.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Section 6(b) of Article 5920-11 (Texas Surface
    1-5  Coal Mining and Reclamation Act) is amended to read as follows:
    1-6        (b)  The process of making and amending rules and issuing
    1-7  permits shall be pursuant to the Administrative Procedure Act,
    1-8  Chapter 2001, Government Code <and Texas Register Act, as amended>.
    1-9  The Administrative Procedure Act does not apply to actions by the
   1-10  commission to automatically suspend or rescind a permit pursuant to
   1-11  Section 21a of this Act, except for administrative reviews provided
   1-12  by Section 21a(d)(3).
   1-13        SECTION 2.  Section 21(c), Article 5920-11 (Texas Surface
   1-14  Coal Mining and Reclamation Act) is amended to read as follows:
   1-15        (c)  The applicant shall file, with his or her application, a
   1-16  schedule listing any and all notices of violations of this Act and
   1-17  any law, rule, or regulation of the United States, or the State of
   1-18  Texas, or of any department or agency in the United States
   1-19  pertaining to air or water environmental protection incurred by the
   1-20  applicant in connection with any surface coal mining operation
   1-21  <within the state> during the three-year period prior to the date
   1-22  of application, and shall include in the schedule, the final
   1-23  resolution of notice of violation.  If the schedule or other
    2-1  information available to the commission indicates that any surface
    2-2  coal mining operation owned or controlled by the applicant is
    2-3  currently in violation of this Act or other laws referred to in
    2-4  this subsection, the permit shall not be issued until the applicant
    2-5  submits proof that the violation has been corrected or is in the
    2-6  process of being corrected to the satisfaction of the commission,
    2-7  department, or agency that has jurisdiction over the violation or
    2-8  that the notice of violation is being contested by the applicant,
    2-9  and no permit shall be issued to any applicant after a finding by
   2-10  the commission, after opportunity for hearing, that the applicant,
   2-11  or the operator specified in the application, controls or has
   2-12  controlled mining operations with a demonstrated pattern of wilful
   2-13  violations of this Act of such nature and duration with such
   2-14  resulting irreparable damage to the environment as to indicate an
   2-15  intent not to comply with this Act.
   2-16        SECTION 3.  Article 5920-11 (Texas Surface Coal Mining and
   2-17  Reclamation Act) is amended by adding Section 21a to read as
   2-18  follows:
   2-19                  Automatic Suspension or Rescission
   2-20        Sec. 21a.  (a)  If the commission has reason to believe that
   2-21  it improvidently issued a surface coal mining and reclamation
   2-22  permit, it shall review the circumstances under which the permit
   2-23  was issued, using the criteria in Subsection (b) of this Section.
   2-24  If it finds that the permit was improvidently issued, the
   2-25  commission shall comply with Subsection (c) of this section.
    3-1        (b)  The commission shall find that a surface coal mining and
    3-2  reclamation permit was improvidently issued if:
    3-3              (1)  under the violations review criteria of the
    3-4  regulatory program at the time the permit was issued:
    3-5                    (A)  the commission should not have issued the
    3-6  permit because of an unabated violation or a delinquent penalty or
    3-7  fee; or
    3-8                    (B)  the commission issued the permit on the
    3-9  presumption that a notice of violation was in the process of being
   3-10  corrected to the satisfaction of the agency with jurisdiction over
   3-11  the violation, but a cessation order subsequently was issued;
   3-12              (2)  the violation, penalty or fee remains unabated or
   3-13  delinquent and:
   3-14                    (A)  is not the subject of a good faith appeal;
   3-15  or
   3-16                    (B)  is not part of an abatement plan or payment
   3-17  schedule with which the permittee or other person responsible for
   3-18  the penalty is complying to the satisfaction of the responsible
   3-19  agency; and
   3-20              (3)  where the permittee was linked to the violation,
   3-21  penalty or fee through ownership or control, under the violations
   3-22  review criteria of the regulatory program at the time the permit
   3-23  was issued, an ownership or control link between the permittee and
   3-24  the person responsible for the violation, penalty or fee still
   3-25  exists, or where the link was severed, the permittee continues to
    4-1  be responsible for the violation, penalty or fee.
    4-2        (c)  If the commission finds that because of an unabated
    4-3  violation or a delinquent penalty or fee, a permit was
    4-4  improvidently issued, it shall take one or more of the following
    4-5  remedial measures:
    4-6              (1)  implement, with the cooperation of the permittee
    4-7  or other responsible person and the responsible agency, a plan for
    4-8  abatement of the violation or a schedule for payment of the penalty
    4-9  or fee;
   4-10              (2)  impose on the permit a condition requiring that
   4-11  within a reasonable period of time the permittee or other
   4-12  responsible person abate the violation or pay the penalty or fee;
   4-13              (3)  suspend the permit until the violation is abated
   4-14  or the penalty or fee is paid; or
   4-15              (4)  rescind the permit under Subsection (d) of this
   4-16  section.
   4-17        (d)  When the commission acts to suspend or to rescind an
   4-18  improvidently issued permit, it shall serve on the permittee a
   4-19  notice of proposed suspension and rescission which includes the
   4-20  reasons for the finding of the commission and states that:
   4-21              (1)  after a specified period of time, not to exceed 90
   4-22  days, the permit is automatically suspended, and after a specified
   4-23  period of time, not to exceed 90 days after the date of automatic
   4-24  suspension, the permit is rescinded unless within those periods the
   4-25  permittee submits proof, and the commission finds, that:
    5-1                    (A)  the finding of the commission under
    5-2  Subsection (b) of this section was erroneous;
    5-3                    (B)  the permittee or other person responsible
    5-4  has abated the violation on which the finding was based, or paid
    5-5  the penalty or fee, to the satisfaction of the responsible agency;
    5-6                    (C)  the violation, penalty or fee is the subject
    5-7  of a good faith appeal, or of an abatement plan or payment schedule
    5-8  with which the permittee or other responsible person is complying
    5-9  to the satisfaction of the responsible agency; or
   5-10                    (D)  since the finding was made, the permittee
   5-11  has severed any ownership or control link with the person
   5-12  responsible for, and does not continue to be responsible for, the
   5-13  violation, penalty or fee;
   5-14              (2)  Upon suspension or rescission of a permit, the
   5-15  permittee shall cease all surface coal mining and reclamation
   5-16  operations under the permit, except for violation abatement and for
   5-17  reclamation and other environmental protection measures as required
   5-18  by the commission.
   5-19              (3)  A permittee who is the subject of a suspension or
   5-20  rescission notice may file an appeal for administrative review of
   5-21  the notice.  Such review shall be governed by the Administrative
   5-22  Procedure Act, Chapter 2001, Government Code.
   5-23        SECTION 4.  EFFECTIVE DATE.  This act takes effect
   5-24  September 1, 1995.
   5-25        SECTION 5.  EMERGENCY.  The importance of this legislation
    6-1  and the crowded condition of the calendars in both houses create an
    6-2  emergency and an imperative public necessity that the
    6-3  constitutional rule requiring bills to be read on three several
    6-4  days in each house be suspended, and this rule is hereby suspended.