S.B. No. 1683
AN ACT
1-1 relating to the collection, management, and recycling of used oil
1-2 and used oil filters; providing criminal penalties.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Sections 371.001 and 371.002, Health and Safety
1-5 Code, are amended to read as follows:
1-6 Sec. 371.001. Short Title. This chapter may be cited as the
1-7 Texas Used Oil Collection, Management, and Recycling Act.
1-8 Sec. 371.002. Findings. The legislature finds that:
1-9 (1) when properly managed and recycled, used oil is a
1-10 valuable energy resource<, the reuse of which may make a
1-11 significant contribution toward energy efficiency and
1-12 conservation>;
1-13 (2) used oil can be recycled into a number of
1-14 different products;
1-15 (3) improper disposal of used oil is a significant
1-16 environmental problem and a waste of a potentially valuable energy
1-17 resource;
1-18 (4) there is a need for an expanded statewide network
1-19 of used oil collection sites for private citizens who change their
1-20 own motor oil;
1-21 (5) the private sector, with incentives, is best
1-22 equipped to establish and operate used oil collection centers that
1-23 are convenient for the public;
1-24 (6) the need for publicly operated used oil collection
2-1 centers is greatest in more sparsely populated areas of the state
2-2 and should diminish over time;
2-3 (7) the United States Environmental Protection Agency
2-4 has issued final regulations that properly classify and regulate
2-5 used oil and used oil filters in accordance with the Resource
2-6 Conservation and Recovery Act of 1976 (42 U.S.C. Section 6901 et
2-7 seq.);
2-8 (8) the current used oil and used oil filter program
2-9 in this state imposes more stringent management requirements than
2-10 the regulations of the United States Environmental Protection
2-11 Agency;
2-12 (9) limited public money is needed to finance public
2-13 and private infrastructure investments to collect, manage, and
2-14 recycle used motor oil;
2-15 (10) the used oil management standards under the
2-16 Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section
2-17 6901 et seq.) establish a balanced approach to the objectives of
2-18 preserving a valuable resource and protecting the natural
2-19 environment; and
2-20 (11) recycling, reuse, treatment, or proper disposal
2-21 of used oil produces a more advantageous cost-benefit ratio in
2-22 accomplishing the goals of state law, and these considerations
2-23 should be included in the source reduction and waste minimization
2-24 plans adopted under Section 361.505 to the extent applicable
2-25 <recycling used oil to produce fuel requires significantly less
2-26 energy than is needed to refine crude oil into fuel;>
2-27 <(3) millions of gallons of used oil generated each
3-1 year by private citizens in the state are not available for
3-2 recycling because of improper disposal practices and the lack of
3-3 collection facilities;>
3-4 <(4) although there is a reliable system for the
3-5 collection and recycling of used oil generated by business and
3-6 industry, private citizens have only limited access to that system
3-7 and often dispose of their used oil on land or in landfills,
3-8 sewers, drainage systems, septic tanks, surface waters or
3-9 groundwaters, watercourses, or marine waters;>
3-10 <(5) improper disposal of this used oil is both a
3-11 significant environmental problem and a waste of a valuable energy
3-12 resource; and>
3-13 <(6) adequate public funds are required to provide for
3-14 the proper collection, management, and recycling of used oil>.
3-15 SECTION 2. Subchapter A, Chapter 371, Health and Safety
3-16 Code, is amended by adding Section 371.0025 to read as follows:
3-17 Sec. 371.0025. PURPOSE AND SCOPE. (a) The purposes of this
3-18 chapter are to:
3-19 (1) ensure that this state's used oil program is
3-20 consistent with and not more stringent than the federal program for
3-21 the management of used oil under 40 C.F.R. Part 279 unless
3-22 otherwise required by state or federal law; and
3-23 (2) establish a program to promote public and private
3-24 do-it-yourselfer used oil collection centers and used oil
3-25 collection centers.
3-26 (b) This chapter does not apply to used oil:
3-27 (1) generated in connection with activities regulated
4-1 by the Railroad Commission of Texas under Chapter 91 or 141,
4-2 Natural Resources Code, or Chapter 27, Water Code;
4-3 (2) exempted under 40 C.F.R. Section 279.10(g) because
4-4 the oil has been introduced into a crude oil pipeline or is being
4-5 processed at a petroleum refining facility; or
4-6 (3) generated through other activities exempted under
4-7 40 C.F.R. Part 271 or 279.
4-8 (c) This chapter does not apply to a used oil filter
4-9 generated in connection with activities regulated by the Railroad
4-10 Commission of Texas under Chapter 91 or 141, Natural Resources
4-11 Code, or Chapter 27, Water Code.
4-12 SECTION 3. Section 371.003, Health and Safety Code, is
4-13 amended to read as follows:
4-14 Sec. 371.003. Definitions. In this chapter:
4-15 (1) "Aboveground tank" means a tank used to store or
4-16 process oil that is not an underground storage tank as defined by
4-17 40 C.F.R. Section 280.12.
4-18 (2) "Automotive oil" means any lubricating oils
4-19 intended for use in an internal combustion engine, crankcase,
4-20 transmission, gear box, or differential for an automobile, bus, or
4-21 truck. The term includes oil that is not labeled specifically for
4-22 that use but is suitable for that use according to generally
4-23 accepted industry specifications.
4-24 (3) "Commission" <(2) "Board" means the Texas Natural
4-25 Resource Conservation Commission.>
4-26 <(3) "Department"> means the Texas Natural Resource
4-27 Conservation Commission.
5-1 (4) "Container" means a portable device in which a
5-2 material is stored, transported, treated, disposed of, or otherwise
5-3 handled.
5-4 (5) "Do-it-yourselfer used oil collection center"
5-5 means a site or facility that accepts or aggregates and stores used
5-6 oil collected only from household do-it-yourselfers. A registered
5-7 do-it-yourselfer used oil collection center that is also a used oil
5-8 generator may commingle household do-it-yourselfer used oil with
5-9 the used oil it generates.
5-10 (6) "Existing tank" means a tank that is used for the
5-11 storage or processing of used oil and that as of September 1, 1995,
5-12 is in operation or is being installed. A tank is being installed
5-13 if the owner or operator has obtained all necessary federal, state,
5-14 and local approvals or permits and:
5-15 (A) a continuous on-site installation program
5-16 has begun; or
5-17 (B) the owner or operator has entered into
5-18 contractual obligations for installation of the tank that cannot be
5-19 cancelled or modified without substantial loss.
5-20 (7) "Household do-it-yourselfer <(4) "Do-it-yourself
5-21 (DIY)> used oil" means <used> oil that is derived from a household,
5-22 including used oil generated by an individual through the
5-23 maintenance of the individual's personal vehicle or equipment
5-24 <generated by a person who changes the person's own automotive
5-25 oil>.
5-26 (8) "Household do-it-yourselfer used oil generator"
5-27 means an individual who generates household do-it-yourselfer
6-1 <(5) "Generator" means a person whose act or process produces>
6-2 used oil.
6-3 (9) "New tank" means a tank for the storage or
6-4 processing of used oil the installation of which begins on or after
6-5 September 1, 1995.
6-6 (10) "Petroleum refining facility" means an
6-7 establishment primarily engaged in producing gasoline, kerosene,
6-8 distillate fuel oils, residual fuel oils, and lubricants through
6-9 fractionation, straight distillation of crude oil, redistillation
6-10 of unfinished petroleum derivatives, cracking, or other processes.
6-11 (11) "Processing" means chemical or physical
6-12 operations designed to produce from used oil, or to make used oil
6-13 more amenable for production of, fuel oils, lubricants, or other
6-14 used-oil-derived products, including blending used oil with virgin
6-15 petroleum products, blending used oils to meet fuel specifications,
6-16 filtration, simple distillation, chemical or physical separation,
6-17 and rerefining.
6-18 (12) <(6) "Public used oil collection center" means:>
6-19 <(A) an automotive service facility that in the
6-20 course of business accepts for recycling small quantities of used
6-21 oil from private citizens;>
6-22 <(B) a facility that stores used oil in
6-23 aboveground tanks and in the course of business accepts for
6-24 recycling small quantities of used oil from private citizens; and>
6-25 <(C) a publicly sponsored collection facility
6-26 that is designated and authorized by the department to accept for
6-27 recycling small quantities of used oil from private citizens.>
7-1 <(7)> "Reclaiming" means processing material to
7-2 recover a usable product or regenerating material, including
7-3 recovering lead from a spent battery and regenerating spent
7-4 solvents <using methods, other than rerefining, to remove insoluble
7-5 impurities from used oil and making the used oil suitable for
7-6 further use as a lubricant or petroleum product. The term includes
7-7 settling, heating, dehydration, filtration, or centrifuging>.
7-8 (13) <(8)> "Recycling" means:
7-9 (A) preparing used oil for reuse as a petroleum
7-10 product by rerefining, reclaiming, or other means; <or>
7-11 (B) using used oil as a lubricant or petroleum
7-12 product instead of using a petroleum product made from new oil; or
7-13 (C) burning used oil for energy recovery.
7-14 (14) <(9)> "Rerefining" means applying <refining>
7-15 processes to material composed primarily of used oil to produce
7-16 high-quality base stocks for lubricants or other petroleum
7-17 products, including settling, filtering, catalytic conversion,
7-18 fractional/vacuum distillation, hydrotreating, or polishing.
7-19 (15) "Rerefining distillation bottoms" means the heavy
7-20 fraction of filtered and dehydrated used oil produced by vacuum
7-21 distillation. The composition of still bottoms varies with column
7-22 operation and feedstock.
7-23 (16) "Tank" means a stationary device designed to
7-24 contain an accumulation of used oil that is constructed primarily
7-25 of nonearthen materials that provide structural support, including
7-26 wood, concrete, steel, and plastic.
7-27 (17) <(10)> "Used oil" means <any> oil that has been
8-1 refined from crude oil, or <a> synthetic oil, that as a result of
8-2 use has been contaminated by physical or chemical impurities<, as a
8-3 result of use, storage, or handling, has become unsuitable for its
8-4 original purpose because of impurities or the loss of original
8-5 properties, but that may be suitable for further use and is
8-6 recyclable>.
8-7 (18) "Used oil aggregation point" means a site or
8-8 facility that accepts, aggregates, or stores used oil collected
8-9 from:
8-10 (A) used oil generation sites owned or operated
8-11 by the owner or operator of the used oil aggregation point and
8-12 transported to the used oil aggregation point in shipments of not
8-13 more than 55 gallons; or
8-14 (B) household do-it-yourselfers.
8-15 (19) "Used oil burner" means a facility in which used
8-16 oil not meeting the specifications in 40 C.F.R. Section 279.11 is
8-17 burned for energy recovery in a device listed in 40 C.F.R. Section
8-18 279.61(a).
8-19 (20) "Used oil collection center" means a site or
8-20 facility that is registered by the commission to manage used oil
8-21 and accepts, aggregates, or stores used oil collected from:
8-22 (A) used oil generators regulated under 40
8-23 C.F.R. Part 279, Subpart C, who transport used oil to the used oil
8-24 collection center in shipments of not more than 55 gallons under 40
8-25 C.F.R. Section 279.24; or
8-26 (B) household do-it-yourselfers.
8-27 (21) "Used oil fuel marketer" means a person who:
9-1 (A) directs a shipment of used oil not meeting
9-2 the specifications in 40 C.F.R. Section 279.11 from the person's
9-3 facility to a used oil burner; or
9-4 (B) first claims that used oil to be burned for
9-5 energy recovery meets the used oil specifications in 40 C.F.R.
9-6 Section 279.11.
9-7 (22) "Used oil generator" means a person, by site,
9-8 whose act or process:
9-9 (A) produces used oil; or
9-10 (B) first causes used oil to become subject to
9-11 regulation.
9-12 (23) "Used oil processor or rerefiner" means a
9-13 facility that processes used oil.
9-14 (24) "Used oil transfer facility" means a
9-15 transportation-related facility, including a loading dock, parking
9-16 area, storage area, or other area, where shipments of used oil are
9-17 held for more than 24 hours and not more than 35 days during the
9-18 normal course of transportation. A transfer facility that stores
9-19 used oil for more than 35 days is subject to 40 C.F.R. Part 279,
9-20 Subpart F.
9-21 (25) "Used oil transporter" means a person who:
9-22 (A) transports used oil; or
9-23 (B) owns or operates a used oil transfer
9-24 facility.
9-25 SECTION 4. Subchapter B, Chapter 371, Health and Safety
9-26 Code, is amended to read as follows:
9-27 SUBCHAPTER B. USED OIL RECYCLING PROGRAM
10-1 Sec. 371.021. Public Education. The commission <department>
10-2 shall conduct an education program to inform the public of the need
10-3 for and benefits of the collection and recycling of used oil and
10-4 used oil filters. The program shall:
10-5 (1) establish, maintain, and publicize a used oil
10-6 information center that prepares and disperses materials and
10-7 information explaining laws and rules regulating used oil and
10-8 informing the public of places and methods for proper recycling of
10-9 used oil;
10-10 (2) encourage the voluntary establishment of used oil
10-11 collection and recycling programs by private businesses and
10-12 organizations and by local governments and provide technical
10-13 assistance to persons who organize those programs; and
10-14 (3) encourage local governments to procure recycled
10-15 automotive and industrial oils and oils blended with recycled oils,
10-16 if those oils meet equipment manufacturer's specifications.
10-17 Sec. 371.022. Notice by Retail Dealer. A retail dealer who
10-18 annually sells directly to the public more than 500 gallons of oil
10-19 in containers for use off-premises shall post in a prominent place
10-20 a sign provided by the commission:
10-21 (1) <department> informing the public that improper
10-22 disposal of used oil is prohibited by law;
10-23 (2) containing instructions for disposal of used oil
10-24 filters; and
10-25 (3) <. The sign shall also> prominently displaying
10-26 <display> the toll-free telephone number of the state used oil
10-27 information center established under Section 371.021.
11-1 Sec. 371.023. GRANTS TO LOCAL GOVERNMENTS AND PRIVATE
11-2 ENTITIES. (a) The commission <department> shall develop a grant
11-3 program for local governments and private entities that encourages
11-4 the collection, reuse, and recycling of household do-it-yourselfer
11-5 <DIY> used oil.
11-6 (b) The commission may approve a <A> grant <may be made> for
11-7 any project <approved by the department. The department shall
11-8 consider for grant assistance any local government project> that
11-9 uses one or more of the following programs:
11-10 (1) curbside pickup of containers of household
11-11 do-it-yourselfer <DIY> used oil by a local government or its
11-12 representative;
11-13 (2) retrofitting of municipal solid waste equipment to
11-14 facilitate curbside pickup of household do-it-yourselfer <DIY> used
11-15 oil;
11-16 (3) establishment of do-it-yourselfer <publicly
11-17 operated DIY> used oil collection centers and used oil collection
11-18 centers at locations accessible to the public, including landfills,
11-19 fire stations, retail stores, quick lubrication centers, and
11-20 automobile repair shops <or other public places>;
11-21 (4) provision of containers and other materials and
11-22 supplies that can be used to store household do-it-yourselfer <DIY>
11-23 used oil for pickup or delivery to a do-it-yourselfer used oil
11-24 collection center in an environmentally sound manner; and
11-25 (5) any other activity the advisory committee
11-26 established under Subsection (c) <department> determines will
11-27 encourage the proper recycling of household do-it-yourselfer <DIY>
12-1 used oil.
12-2 (c) The commission shall appoint an advisory committee for
12-3 the used oil grant program. The advisory committee consists of
12-4 seven members who serve at the pleasure of the commission and
12-5 represent oil manufacturers as defined by Section 371.062,
12-6 operators of used oil collection centers, and local governments.
12-7 The advisory committee members serve without compensation and are
12-8 not entitled to reimbursement for expenses incurred in the
12-9 performance of their duties. The advisory committee shall:
12-10 (1) recommend criteria for grants;
12-11 (2) establish guidelines for allowable administrative
12-12 expenses; and
12-13 (3) recommend grant recipients to the commission based
12-14 on the used oil collection needs of this state.
12-15 (d) The commission <board> by rule shall:
12-16 (1) establish procedures for the application for and
12-17 criteria for the award of grants under this section; and
12-18 (2) adopt guidelines for allowable administrative
12-19 expenses in accordance with guidelines established by the advisory
12-20 committee.
12-21 Sec. 371.024. Collection Facilities. (a) All appropriate
12-22 businesses <that change motor oil for the public> and <all
12-23 appropriate> government agencies are encouraged to serve as
12-24 do-it-yourselfer <public> used oil collection centers or used oil
12-25 collection centers.
12-26 (b) A do-it-yourselfer <public> used oil collection center
12-27 and a used oil collection center <annually> shall:
13-1 (1) register biennially with the commission
13-2 <department>; and
13-3 (2) report annually to the commission <department> the
13-4 amounts of used oil collected by the center from the public.
13-5 (c) The commission <board> shall adopt rules governing the
13-6 registration of and reporting by do-it-yourselfer <public> used oil
13-7 collection centers and used oil collection centers.
13-8 (d) The commission <board> by rule shall adopt standards for
13-9 managing and operating a do-it-yourselfer <public> used oil
13-10 collection center or a used oil collection center.
13-11 (e) The commission <department> may impose a registration
13-12 fee in an amount sufficient to cover the actual cost of registering
13-13 do-it-yourselfer <public> used oil collection centers and used oil
13-14 collection centers. A private entity that serves voluntarily as a
13-15 do-it-yourselfer used oil collection center or a used oil
13-16 collection center is exempt from the registration fee.
13-17 Sec. 371.0245. REIMBURSEMENT OF USED OIL COLLECTION CENTER'S
13-18 HAZARDOUS WASTE EXPENSE <CENTER>. (a) The commission, on proper
13-19 application, shall reimburse the owner or operator of an eligible
13-20 registered do-it-yourselfer <public> used oil collection center or
13-21 a used oil collection center for costs associated with the
13-22 collection center's disposal of:
13-23 (1) household do-it-yourselfer <do-it-yourself (DIY)>
13-24 used oil collected by the collection center that, unknown to the
13-25 center at the time of collection, contains hazardous wastes or is
13-26 unfit for recycling;
13-27 (2) household do-it-yourselfer used oil collected by
14-1 the collection center that has been commingled with <DIY> oils
14-2 described in Subdivision (1) and is unsuitable for recycling; or
14-3 (3) contaminated used oil left at the collection
14-4 center as used oil after posted business hours and without the
14-5 knowledge of the collection center.
14-6 (b) A registered do-it-yourselfer <public> used oil
14-7 collection center or used oil collection center is eligible for
14-8 reimbursement if it demonstrates to the satisfaction of the
14-9 commission that:
14-10 (1) the center has established procedures to minimize
14-11 the risk that the center will mix the used oil the center generates
14-12 or collects from the public <will not be mixed> with hazardous
14-13 wastes, especially halogenated wastes;
14-14 (2) the center accepts not more than:
14-15 (A) five gallons of used oil from any person at
14-16 any one time if the center is a registered do-it-yourselfer used
14-17 oil collection center; or
14-18 (B) 55 gallons of used oil from any person at
14-19 one time if the center is a registered used oil collection center;
14-20 and
14-21 (3) the center can document to the satisfaction of the
14-22 commission the volume of used oil the center collects from the
14-23 public during any <a> period under review by:
14-24 (A) providing a process by which all individuals
14-25 leaving household do-it-yourselfer <do-it-yourself (DIY)> used oil
14-26 at the center are required to provide <log> their names, addresses,
14-27 and the approximate amounts of used oil brought to the collection
15-1 center <and ensuring that all do-it-yourself (DIY) used oil
15-2 collected is kept in a separate sealed and labeled container placed
15-3 on an impermeable surface>; or
15-4 (B) another method approved by the commission.
15-5 (c) For the purpose of Subsection (b)(2), the owner or
15-6 operator of a registered do-it-yourselfer <public> used oil
15-7 collection center or used oil collection center may presume that a
15-8 quantity of <not more than five gallons of> used oil collected from
15-9 a member of the public that does not exceed the applicable
15-10 collection limit established by that subsection is not mixed with a
15-11 hazardous substance<,> if the owner or operator acts in good faith
15-12 <and> in the belief the oil is generated from the individual's
15-13 personal activity.
15-14 (d) In any state fiscal year, a registered do-it-yourselfer
15-15 <public> used oil collection center or used oil collection center
15-16 may not be reimbursed for more than $7,500 <$5,000> in total
15-17 eligible disposal costs, subject to Section 371.0246(d).
15-18 (e) Reimbursements <A reimbursement> made under this section
15-19 shall <may> be paid out of the used oil recycling fund and may not
15-20 <to> exceed an aggregate amount of $500,000 each fiscal year.
15-21 Sec. 371.0246. Procedures for Reimbursement. (a) An owner
15-22 or operator of a registered do-it-yourselfer <public> used oil
15-23 collection center or used oil collection center may apply for
15-24 reimbursement from the commission.
15-25 (b) An application for reimbursement shall be submitted
15-26 <filed> on a form approved or provided by the commission.
15-27 (c) An application must contain:
16-1 (1) the name, address, and telephone number of the
16-2 applicant;
16-3 (2) the name, mailing address, location address, and
16-4 commission registration number of the registered do-it-yourselfer
16-5 <public> used oil collection center or used oil collection center
16-6 from which the contaminated oil was removed;
16-7 (3) the name, address, telephone number, and
16-8 commission registration number of the hazardous waste transporter
16-9 used to dispose of the contaminated used oil;
16-10 (4) a copy of any shipping documents that accompanied
16-11 the transportation of the shipment of used oil <the signed uniform
16-12 hazardous waste manifest>;
16-13 (5) a copy of each invoice for which reimbursement is
16-14 requested and evidence that the amount shown on the invoice has
16-15 been paid in full<, which may be> in the form of:
16-16 (A) canceled checks;
16-17 (B) business receipts from the person who
16-18 performed the work; or
16-19 (C) other documentation approved by the
16-20 commission;
16-21 (6) a waste-characterization or similar documentation
16-22 required before acceptance of a hazardous waste by the disposal
16-23 facility that accepted the contaminated used oil for treatment or
16-24 disposal; and
16-25 (7) any other information that the executive director
16-26 may reasonably require.
16-27 (d) All claims for reimbursement filed under this section
17-1 and Section 371.0245 are subject to funds available for
17-2 disbursement <the availability of money> in the used oil recycling
17-3 fund and to Section 371.0245(e). This subchapter does not create
17-4 an entitlement to money in the used oil recycling fund or any other
17-5 fund.
17-6 Sec. 371.025. LIMITATION OF LIABILITY. (a) A person may
17-7 not recover from the owner, operator, or lessor of a registered
17-8 do-it-yourselfer <public> used oil collection center or used oil
17-9 collection center any damages or costs of response actions at
17-10 another location resulting from a release or threatened release of
17-11 used oil collected at the center if:
17-12 (1) the owner, operator, or lessor of the collection
17-13 center does not mix the used oil collected with any hazardous waste
17-14 or polychlorinated biphenyls (PCBs);
17-15 (2) the owner, operator, or lessor of the collection
17-16 center does not accept used oil that the owner, operator, or lessor
17-17 knows contains hazardous waste or PCBs; and
17-18 (3) the collection center is in compliance with
17-19 management standards adopted by the department.
17-20 (b) For purposes of this section, the owner, operator, or
17-21 lessor of a do-it-yourselfer <public> used oil collection center or
17-22 a used oil collection center may presume that a quantity of less
17-23 than five gallons of used oil accepted at any one time from any
17-24 member of the public is not mixed with a hazardous waste or PCBs,
17-25 provided that the owner, operator, or lessor acts in good faith.
17-26 (c) This section applies only to activities directly related
17-27 to the collection of used oil by a do-it-yourselfer <public> used
18-1 oil collection center or a used oil collection center. This
18-2 section does not apply to grossly negligent activities related to
18-3 the operation of a do-it-yourselfer used oil collection center or a
18-4 used oil collection center.
18-5 (d) This section does not affect or modify the obligations
18-6 or liability of any person other than the owner, operator, or
18-7 lessor of the collection center under any other provisions of state
18-8 or federal law, including common law, for injury or damage
18-9 resulting from a release of used oil or hazardous substances.
18-10 (e) This section does not affect or modify the obligations
18-11 or liability of any owner, operator, or lessor of a collection
18-12 center with regard to services other than accepting used oil from
18-13 the public.
18-14 Sec. 371.026. Registration of <PERSONS TRANSPORTING,
18-15 MARKETING, OR RECYCLING> Used Oil Handlers Other Than Generators.
18-16 (a) <A person who transports over public highways of this state
18-17 more than 500 gallons of used oil annually, who markets more than
18-18 500 gallons of used oil annually, or who recycles more than 10,000
18-19 gallons of used oil annually shall register annually with the
18-20 department on forms prescribed by the department and in accordance
18-21 with board rules.>
18-22 <(b) The department shall develop a registration program for
18-23 transporters, marketers, and recyclers of used oil.>
18-24 <(c)> The commission <board> shall adopt rules governing
18-25 registration and reporting of used oil handlers other than
18-26 generators <transporters, marketers, and recyclers>. The rules
18-27 shall require that a used oil handler other than a generator
19-1 <transporter, marketer, or recycler>:
19-2 (1) register biennially <annually> with the commission
19-3 <department>;
19-4 (2) report annually the sources of used oil handled
19-5 <transported, marketed, or recycled> during the preceding year, the
19-6 quantity of used oil received, the date of receipt, and the
19-7 destination or end use of the used oil;
19-8 (3) provide evidence of familiarity with applicable
19-9 state laws and rules and management procedures applicable to used
19-10 oil handling <transportation, marketing, or recycling>; and
19-11 (4) provide proof of liability insurance or other
19-12 evidence of financial responsibility for any liability that may be
19-13 incurred in handling <transporting, marketing, or recycling> used
19-14 oil.
19-15 (b) <(d)> The commission <board> by rule shall adopt
19-16 reasonable management and safety standards for the handling
19-17 <transportation, marketing, and recycling> of used oil.
19-18 (c) <(e)> The commission <department> may impose a
19-19 registration fee in an amount sufficient to cover the actual cost
19-20 of registering used oil handlers other than generators
19-21 <transporters, marketers, and recyclers>.
19-22 (d) A used oil transporter may consolidate or aggregate
19-23 loads of used oil for purposes of transportation but may not
19-24 process used oil, except that a used oil transporter may conduct
19-25 incidental processing operations, including settling and water
19-26 separation, that occur in the normal course of the transportation
19-27 of used oil but that are not designed to produce, or make more
20-1 amenable for the production of, used-oil-derived products or used
20-2 oil fuel. <(f) A utility or industrial generator of used oil that
20-3 transports its own used oil from one generator-owned or
20-4 generator-operated facility to another or that recycles its own
20-5 used oil for use in its operations is not required to register or
20-6 report under this section.>
20-7 Sec. 371.027. Gifts and Grants. The commission <department>
20-8 may apply for, request, solicit, contract for, receive, and accept
20-9 gifts, grants, donations, and other assistance from any source to
20-10 carry out its powers and duties under this chapter.
20-11 Sec. 371.028. Rules. Not later than January 1, 1996, the
20-12 commission shall adopt rules, standards, and procedures necessary
20-13 to implement the used oil recycling program established by this
20-14 chapter. Unless otherwise required by federal or state law, the
20-15 rules, standards, and procedures must be consistent with and not
20-16 more stringent than the used oil management standards under the
20-17 Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section
20-18 6901 et seq.) <The board may adopt any rules necessary to carry
20-19 out the purposes of this chapter>.
20-20 SECTION 5. Subsections (b), (c), and (d), Section 371.041,
20-21 Health and Safety Code, are amended to read as follows:
20-22 (b) A person commits an offense if the person:
20-23 (1) intentionally discharges used oil into a sewer,
20-24 drainage system, septic tank, surface water or groundwater,
20-25 watercourse, or marine water;
20-26 (2) knowingly mixes or commingles used oil with
20-27 <solid> waste that is to be disposed of in landfills or directly
21-1 disposes of used oil on land <or in landfills>;
21-2 (3) knowingly transports, treats, stores, disposes of,
21-3 recycles, causes to be transported, or otherwise handles any
21-4 <intentionally mixes or commingles used oil with hazardous waste or
21-5 other hazardous substances or PCBs;>
21-6 <(4) transports, markets, or recycles> used oil within
21-7 the state:
21-8 (A) in violation of standards or rules for the
21-9 management of used oil; or
21-10 (B) without first complying with the
21-11 registration requirements of Section 371.026 and rules adopted
21-12 under that section;
21-13 (4) intentionally <(5)> applies used oil to roads or
21-14 land for dust suppression, weed abatement, or other similar uses
21-15 that introduce used oil into the environment; <or>
21-16 (5) <(6)> violates an order of the commission
21-17 <department> to cease and desist any activity prohibited by this
21-18 section or any rule applicable to a prohibited activity; or
21-19 (6) intentionally makes a false statement or
21-20 representation in an application, label, manifest, record, report,
21-21 permit, or other document filed, maintained, or used for purposes
21-22 of program compliance.
21-23 (c) It is an exception to the application of Subsection (b)
21-24 if a person unknowingly disposes into the environment <a landfill>
21-25 any used oil that has not been properly segregated or separated by
21-26 the generator from other solid wastes.
21-27 (d) It is an exception to the application of Subsection
22-1 (b)(2) if the mixing or commingling of used oil with <solid> waste
22-2 that is to be disposed of in landfills is incident to and the
22-3 unavoidable result of the mechanical shredding of motor vehicles,
22-4 appliances, or other items of scrap, used, or obsolete metals.
22-5 SECTION 6. Section 371.042, Health and Safety Code, is
22-6 amended to read as follows:
22-7 Sec. 371.042. Criminal Penalties. (a) Except as provided
22-8 by Subsection (b), an offense under Section 371.041 is punishable
22-9 by:
22-10 (1) a fine of not less than $100 or more than $10,000
22-11 for each act of violation or each day of a continuing violation;
22-12 (2) imprisonment for a term not to exceed five years;
22-13 or
22-14 (3) both the fine and the imprisonment <a Class C
22-15 misdemeanor>.
22-16 (b) If it is shown on the trial of an offense under Section
22-17 371.041 that the defendant has previously been convicted of an
22-18 offense under Section 371.041, the offense is punishable by:
22-19 (1) a fine of not less than $200 or more than $20,000
22-20 for each act of violation or each day of a continuing violation;
22-21 (2) imprisonment for a term not to exceed 10 years; or
22-22 (3) both the fine and the imprisonment <a Class A
22-23 misdemeanor>.
22-24 SECTION 7. Subsections (c) and (d), Section 371.043, Health
22-25 and Safety Code, are amended to read as follows:
22-26 (c) The penalty imposed by this section does not apply to
22-27 failure to pay a fee under Section 371.062 or failure to file a
23-1 report under Section 371.024 <or 371.026>.
23-2 (d) The commission <department>, a local government in whose
23-3 jurisdiction the violation occurs, or the state may bring suit to
23-4 recover a penalty under this section.
23-5 SECTION 8. Subsections (b), (c), and (d), Section 371.061,
23-6 Health and Safety Code, are amended to read as follows:
23-7 (b) The fund consists of:
23-8 (1) fees collected under Sections 371.024, 371.026,
23-9 and 371.062;
23-10 (2) interest and penalties imposed under this chapter
23-11 for late payment of fees, failure to file a report, or other
23-12 violations of this chapter; and
23-13 (3) gifts, grants, donations, or other financial
23-14 assistance the commission <department> is authorized to receive
23-15 under Section 371.027.
23-16 (c) Except as provided by Subsection (d), the commission
23-17 <department> may use money in the fund only for purposes authorized
23-18 by this chapter, including:
23-19 (1) public education;
23-20 (2) grants to public and private do-it-yourselfer used
23-21 oil collection centers and used oil collection centers;
23-22 (3) registration of do-it-yourselfer used oil
23-23 collection centers, used oil collection centers, and used oil
23-24 handlers other than generators <transporters, used oil marketers,
23-25 and used oil recyclers>; and
23-26 (4) administrative costs of implementing this chapter.
23-27 (d) The commission <department> shall set aside <transfer>
24-1 25 percent of the fees collected under Section 371.062 <to the
24-2 Texas Water Commission> for the sole purpose of restoring the
24-3 environmental quality of those sites in the state that the
24-4 commission has identified as having been contaminated through
24-5 improper used oil management and for which other funds from a
24-6 potentially responsible party or the federal government are not
24-7 sufficient. This subsection expires on January 1, 1997.
24-8 SECTION 9. Section 371.062, Health and Safety Code, is
24-9 amended by amending Subsections (a), (b), (f), and (j) and by
24-10 adding Subsections (m), (n), and (o) to read as follows:
24-11 (a) In this section:
24-12 (1) "Distributor" means a person who maintains a
24-13 distribution center or warehouse in this state and annually sells
24-14 more than 25,000 gallons of automotive oil.
24-15 (2) "First sale" means the first actual sale of
24-16 automotive oil delivered to a location in this state and sold to a
24-17 purchaser who is not an automotive oil manufacturer or distributor.
24-18 The term does not include the sale of automotive oil:
24-19 (A) exported from this state to a location
24-20 outside this state for the purpose of sale or use outside this
24-21 state;
24-22 (B) <. This term does not include sales of
24-23 automotive oils> for resale to or use by vessels exclusively
24-24 engaged in foreign or interstate commerce;
24-25 (C) to a subsequent purchaser who maintains a
24-26 do-it-yourselfer used oil collection center or used oil collection
24-27 center registered by the commission at the location where the
25-1 automotive oil is changed, used, consumed, or resold to
25-2 do-it-yourselfers; or
25-3 (D) to the United States.
25-4 (3) <(2)> "Importer" means any person who imports or
25-5 causes to be imported automotive oil into this state for sale, use,
25-6 or consumption.
25-7 (4) <(3)> "Oil manufacturer" means any person or
25-8 entity that formulates automotive oil and packages, distributes, or
25-9 sells that automotive oil. The term includes any person packaging
25-10 or repackaging automotive oil.
25-11 (b) An oil manufacturer or distributor who makes a first
25-12 sale of automotive oil is liable for a fee.
25-13 (f) Each oil manufacturer, distributor, or importer required
25-14 to pay a fee under this section shall:
25-15 (1) prepare and maintain, on a form provided or
25-16 approved by the comptroller, a report of each first sale or, in the
25-17 case of an importer, the first receipt in Texas of automotive oil
25-18 by the person and the price received;
25-19 (2) retain the invoice or a copy of the invoice or
25-20 other appropriate record of the sale or receipt for four years from
25-21 the date of sale or receipt; and
25-22 (3) on or before the 25th day of the month following
25-23 the end of each calendar quarter, file a report with the
25-24 comptroller and remit to the comptroller the amount of fees
25-25 required to be paid for the preceding quarter.
25-26 (j) The fee imposed under this section is one cent <two
25-27 cents> per quart or four <eight> cents per gallon of automotive
26-1 oil. <The department shall monitor the unobligated balance of the
26-2 used oil recycling fund and shall adjust the fee rate to meet
26-3 expenditure requirements of the used oil recycling program and to
26-4 maintain an appropriate fund balance. The fee imposed under this
26-5 section may not exceed five cents per quart or 20 cents per gallon
26-6 of automotive oil. On or before September 1 of each year, the
26-7 department and the comptroller jointly shall issue notice of the
26-8 effective fee rate for the next fiscal year.>
26-9 (m) A distributor must obtain a permit from the comptroller.
26-10 The comptroller shall adopt an application form for the permit,
26-11 which must include:
26-12 (1) the name under which the applicant transacts or
26-13 intends to transact business;
26-14 (2) the location of the applicant's distribution
26-15 center or warehouse in this state;
26-16 (3) if the applicant is a corporation or partnership,
26-17 the names of the principal officers of the corporation or of the
26-18 members of the partnership and the address of each officer or
26-19 member; and
26-20 (4) any other information required by the comptroller.
26-21 (n) The comptroller may deny or revoke a permit under
26-22 Subsection (m) if false information is submitted on the application
26-23 or on a required fuels tax report or supplement.
26-24 (o) A permit under Subsection (m) may not be assigned.
26-25 SECTION 10. Subchapter N, Chapter 361, Health and Safety
26-26 Code, is amended by adding Section 361.432 to read as follows:
26-27 Sec. 361.432. USED OIL FILTER MANAGEMENT. A used oil filter
27-1 may not be intentionally or knowingly placed in or accepted for
27-2 disposal in a landfill permitted by the commission.
27-3 SECTION 11. (a) The change in law made by this Act to
27-4 Section 371.042, Health and Safety Code, applies only to an offense
27-5 committed on or after the effective date of this Act. For purposes
27-6 of this section, an offense is committed before the effective date
27-7 of this Act if any element of the offense occurs before that date.
27-8 (b) An offense committed before the effective date of this
27-9 Act is covered by the law in effect when the offense was committed,
27-10 and the former law is continued in effect for that purpose.
27-11 SECTION 12. (a) Except as provided by Subsection (b) of
27-12 this section, this Act takes effect September 1, 1995.
27-13 (b) Subsection (j), Section 371.062, Health and Safety Code,
27-14 as amended by this Act, takes effect September 1, 1997.
27-15 SECTION 13. The importance of this legislation and the
27-16 crowded condition of the calendars in both houses create an
27-17 emergency and an imperative public necessity that the
27-18 constitutional rule requiring bills to be read on three several
27-19 days in each house be suspended, and this rule is hereby suspended.