1-1  By:  Armbrister                                       S.B. No. 1322
    1-2        (In the Senate - Filed March 10, 1995; March 20, 1995, read
    1-3  first time and referred to Committee on Natural Resources;
    1-4  May 3, 1995, reported adversely, with favorable Committee
    1-5  Substitute by the following vote:  Yeas 10, Nays 0; May 3, 1995,
    1-6  sent to printer.)
    1-7  COMMITTEE SUBSTITUTE FOR S.B. No. 1322              By:  Armbrister
    1-8                         A BILL TO BE ENTITLED
    1-9                                AN ACT
   1-10  relating to required procedures in contested cases before the Texas
   1-11  Natural Resource Conservation Commission involving the issuance,
   1-12  amendment, renewal, or revocation of certain permits.
   1-13        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-14        SECTION 1.  Section 5.102, Water Code, is amended by adding
   1-15  Subsection (c) to read as follows:
   1-16        (c)  Chapter 2001, Government Code (Administrative Procedure
   1-17  Act), shall apply to all commission proceedings except to the
   1-18  extent that chapter is inconsistent with any provision of this code
   1-19  or other laws administered by the commission.
   1-20        SECTION 2.  Section 5.103, Water Code, is amended to read as
   1-21  follows:
   1-22        Sec. 5.103.  RULES.  (a)  The commission shall adopt any
   1-23  rules necessary to carry out its powers and duties under this code
   1-24  and other laws of this state.
   1-25        (b)  The commission shall adopt reasonable procedural rules
   1-26  to be followed in a commission hearing, provided that any
   1-27  commission rule establishing contested case hearing procedures
   1-28  applicable to the granting, amendment, or renewal of a license or
   1-29  permit under Chapter 361 or 382, Health and Safety Code, or Chapter
   1-30  26 or 27 of this code shall comply with the following procedural
   1-31  requirements:
   1-32              (1)  the commission's draft permit and the application,
   1-33  as well as any amendments or supplements thereto submitted during
   1-34  the hearing, shall be received into the evidentiary record at the
   1-35  hearing;
   1-36              (2)  each factual representation contained in the
   1-37  application, including amendments or supplements thereto, to the
   1-38  extent not inconsistent with the draft permit and not specifically
   1-39  controverted by sworn testimony or other competent evidence, shall
   1-40  be deemed to be true and correct;
   1-41              (3)  any party desiring to challenge the
   1-42  appropriateness of any term, condition, or other provision of the
   1-43  draft permit shall bear the burdens of production and of persuasion
   1-44  with respect to the specific terms, conditions, or provisions at
   1-45  issue;
   1-46              (4)  the draft permit shall be adopted by the
   1-47  commission as written unless a party establishes by a preponderance
   1-48  of the evidence that the permit should be modified or denied.
   1-49        (c)  The executive director may recommend to the commission
   1-50  for its consideration any rules that he considers necessary.
   1-51        (d) <(c)>  Rules shall be adopted in the manner provided by
   1-52  Chapter 2001, Government Code ( <the> Administrative Procedure <and
   1-53  Texas Register> Act <(Article 6252-13a, Vernon's Texas Civil
   1-54  Statutes>).  As provided by that chapter <Act>, the commission must
   1-55  adopt rules when adopting, repealing, or amending any agency
   1-56  statement of general applicability that interprets or prescribes
   1-57  law or policy or describes the procedure or practice requirements
   1-58  of an agency.  The commission shall follow its own rules as adopted
   1-59  until it changes them in accordance with that chapter <Act>.
   1-60        SECTION 3.  The Texas Natural Resource Conservation
   1-61  Commission shall adopt rules implementing the hearing procedures
   1-62  described in Section 5.103, Water Code, as amended by Section 2 of
   1-63  this Act within 90 days following the effective date of this Act.
   1-64  Such rules shall apply to any application filed pursuant to Chapter
   1-65  26 or 27, Water Code, or Chapter 361 or 382, Health and Safety
   1-66  Code, which is pending on the effective date of such rules or which
   1-67  is filed subsequent to the adoption of such rules.
   1-68        SECTION 4.  The importance of this legislation and the
    2-1  crowded condition of the calendars in both houses create an
    2-2  emergency and an imperative public necessity that the
    2-3  constitutional rule requiring bills to be read on three several
    2-4  days in each house be suspended, and this rule is hereby suspended.
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