74R13448 E
By Nixon, Madla S.B. No. 1683
Substitute the following for S.B. No. 1683:
By Howard C.S.S.B. No. 1683
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the collection, management, and recycling of used oil
1-3 and used oil filters; providing criminal penalties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Sections 371.001 and 371.002, Health and Safety
1-6 Code, are amended to read as follows:
1-7 Sec. 371.001. Short Title. This chapter may be cited as the
1-8 Texas Used Oil Collection, Management, and Recycling Act.
1-9 Sec. 371.002. Findings. The legislature finds that:
1-10 (1) when properly managed and recycled, used oil is a
1-11 valuable energy resource<, the reuse of which may make a
1-12 significant contribution toward energy efficiency and
1-13 conservation>;
1-14 (2) used oil can be recycled into a number of
1-15 different products;
1-16 (3) improper disposal of used oil is a significant
1-17 environmental problem and a waste of a potentially valuable energy
1-18 resource;
1-19 (4) there is a need for an expanded statewide network
1-20 of used oil collection sites for private citizens who change their
1-21 own motor oil;
1-22 (5) the private sector, with incentives, is best
1-23 equipped to establish and operate used oil collection centers that
1-24 are convenient for the public;
2-1 (6) the need for publicly operated used oil collection
2-2 centers is greatest in more sparsely populated areas of the state
2-3 and should diminish over time;
2-4 (7) the United States Environmental Protection Agency
2-5 has issued final regulations that properly classify and regulate
2-6 used oil and used oil filters in accordance with the Resource
2-7 Conservation and Recovery Act of 1976 (42 U.S.C. Section 6901 et
2-8 seq.);
2-9 (8) the current used oil and used oil filter program
2-10 in this state imposes more stringent management requirements than
2-11 the regulations of the United States Environmental Protection
2-12 Agency;
2-13 (9) limited public money is needed to finance public
2-14 and private infrastructure investments to collect, manage, and
2-15 recycle used motor oil; and
2-16 (10) the used oil management standards under the
2-17 Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section
2-18 6901 et seq.) establish a balanced approach to the objectives of
2-19 preserving a valuable resource and protecting the natural
2-20 environment <recycling used oil to produce fuel requires
2-21 significantly less energy than is needed to refine crude oil into
2-22 fuel;>
2-23 <(3) millions of gallons of used oil generated each
2-24 year by private citizens in the state are not available for
2-25 recycling because of improper disposal practices and the lack of
2-26 collection facilities;>
2-27 <(4) although there is a reliable system for the
3-1 collection and recycling of used oil generated by business and
3-2 industry, private citizens have only limited access to that system
3-3 and often dispose of their used oil on land or in landfills,
3-4 sewers, drainage systems, septic tanks, surface waters or
3-5 groundwaters, watercourses, or marine waters;>
3-6 <(5) improper disposal of this used oil is both a
3-7 significant environmental problem and a waste of a valuable energy
3-8 resource; and>
3-9 <(6) adequate public funds are required to provide for
3-10 the proper collection, management, and recycling of used oil>.
3-11 SECTION 2. Subchapter A, Chapter 371, Health and Safety
3-12 Code, is amended by adding Section 371.0025 to read as follows:
3-13 Sec. 371.0025. PURPOSE AND SCOPE. (a) The purposes of this
3-14 chapter are to:
3-15 (1) ensure that this state's used oil program is
3-16 consistent with and not more stringent than the federal program for
3-17 the management of used oil under 40 C.F.R. Part 279 unless
3-18 otherwise required by state or federal law; and
3-19 (2) establish a program to promote public and private
3-20 do-it-yourselfer used oil collection centers and used oil
3-21 collection centers.
3-22 (b) This chapter does not apply to used oil:
3-23 (1) generated in connection with activities regulated
3-24 by the Railroad Commission of Texas under Chapter 91 or 141,
3-25 Natural Resources Code, or Chapter 27, Water Code;
3-26 (2) exempted under 40 C.F.R. Section 279.10(g) because
3-27 the oil has been introduced into a crude oil pipeline or is being
4-1 processed at a petroleum refining facility; or
4-2 (3) generated through other activities exempted under
4-3 40 C.F.R. Part 271 or 279.
4-4 (c) This chapter does not apply to a used oil filter
4-5 generated in connection with activities regulated by the Railroad
4-6 Commission of Texas under Chapter 91 or 141, Natural Resources
4-7 Code, or Chapter 27, Water Code.
4-8 SECTION 3. Section 371.003, Health and Safety Code, is
4-9 amended to read as follows:
4-10 Sec. 371.003. Definitions. In this chapter:
4-11 (1) "Aboveground tank" means a tank used to store or
4-12 process oil that is not an underground storage tank as defined by
4-13 40 C.F.R. Section 280.12.
4-14 (2) "Automotive oil" means any lubricating oils
4-15 intended for use in an internal combustion engine, crankcase,
4-16 transmission, gear box, or differential for an automobile, bus, or
4-17 truck. The term includes oil that is not labeled specifically for
4-18 that use but is suitable for that use according to generally
4-19 accepted industry specifications.
4-20 (3) "Commission" <(2) "Board" means the Texas Natural
4-21 Resource Conservation Commission.>
4-22 <(3) "Department"> means the Texas Natural Resource
4-23 Conservation Commission.
4-24 (4) "Container" means a portable device in which a
4-25 material is stored, transported, treated, disposed of, or otherwise
4-26 handled.
4-27 (5) "Do-it-yourselfer used oil collection center"
5-1 means a site or facility that accepts or aggregates and stores used
5-2 oil collected only from household do-it-yourselfers. A registered
5-3 do-it-yourselfer used oil collection center that is also a used oil
5-4 generator may commingle household do-it-yourselfer used oil with
5-5 the used oil it generates.
5-6 (6) "Existing tank" means a tank that is used for the
5-7 storage or processing of used oil and that as of September 1, 1995,
5-8 is in operation or is being installed. A tank is being installed
5-9 if the owner or operator has obtained all necessary federal, state,
5-10 and local approvals or permits and:
5-11 (A) a continuous on-site installation program
5-12 has begun; or
5-13 (B) the owner or operator has entered into
5-14 contractual obligations for installation of the tank that cannot be
5-15 cancelled or modified without substantial loss.
5-16 (7) "Household do-it-yourselfer <(4) "Do-it-yourself
5-17 (DIY)> used oil" means <used> oil that is derived from a household,
5-18 including used oil generated by an individual through the
5-19 maintenance of the individual's personal vehicle or equipment
5-20 <generated by a person who changes the person's own automotive
5-21 oil>.
5-22 (8) "Household do-it-yourselfer used oil generator"
5-23 means an individual who generates household do-it-yourselfer
5-24 <(5) "Generator" means a person whose act or process produces>
5-25 used oil.
5-26 (9) "New tank" means a tank for the storage or
5-27 processing of used oil the installation of which begins on or after
6-1 September 1, 1995.
6-2 (10) "Petroleum refining facility" means an
6-3 establishment primarily engaged in producing gasoline, kerosene,
6-4 distillate fuel oils, residual fuel oils, and lubricants through
6-5 fractionation, straight distillation of crude oil, redistillation
6-6 of unfinished petroleum derivatives, cracking, or other processes.
6-7 <(6) "Public used oil collection center" means:>
6-8 <(A) an automotive service facility that in the
6-9 course of business accepts for recycling small quantities of used
6-10 oil from private citizens;>
6-11 <(B) a facility that stores used oil in
6-12 aboveground tanks and in the course of business accepts for
6-13 recycling small quantities of used oil from private citizens; and>
6-14 <(C) a publicly sponsored collection facility
6-15 that is designated and authorized by the department to accept for
6-16 recycling small quantities of used oil from private citizens.>
6-17 (11) "Processing" means chemical or physical
6-18 operations designed to produce from used oil, or to make used oil
6-19 more amenable for production of, fuel oils, lubricants, or other
6-20 used-oil-derived products, including blending used oil with virgin
6-21 petroleum products, blending used oils to meet fuel specifications,
6-22 filtration, simple distillation, chemical or physical separation,
6-23 and rerefining.
6-24 (12) <(7)> "Reclaiming" means processing material to
6-25 recover a usable product or regenerating material, including
6-26 recovering lead from a spent battery and regenerating spent
6-27 solvents <using methods, other than rerefining, to remove insoluble
7-1 impurities from used oil and making the used oil suitable for
7-2 further use as a lubricant or petroleum product. The term includes
7-3 settling, heating, dehydration, filtration, or centrifuging>.
7-4 (13) <(8)> "Recycling" means:
7-5 (A) preparing used oil for reuse as a petroleum
7-6 product by rerefining, reclaiming, or other means; <or>
7-7 (B) using used oil as a lubricant or petroleum
7-8 product instead of using a petroleum product made from new oil; or
7-9 (C) burning used oil for energy recovery.
7-10 (14) <(9)> "Rerefining" means applying <refining>
7-11 processes to material composed primarily of used oil to produce
7-12 high-quality base stocks for lubricants or other petroleum
7-13 products, including settling, filtering, catalytic conversion,
7-14 fractional/vacuum distillation, hydrotreating, or polishing.
7-15 (15) "Rerefining distillation bottoms" means the heavy
7-16 fraction of filtered and dehydrated used oil produced by vacuum
7-17 distillation. The composition of still bottoms varies with column
7-18 operation and feedstock.
7-19 (16) "Tank" means a stationary device designed to
7-20 contain an accumulation of used oil that is constructed primarily
7-21 of nonearthen materials that provide structural support, including
7-22 wood, concrete, steel, and plastic.
7-23 (17) <(10)> "Used oil" means <any> oil that has been
7-24 refined from crude oil, or <a> synthetic oil, that as a result of
7-25 use has been contaminated by physical or chemical impurities<, as a
7-26 result of use, storage, or handling, has become unsuitable for its
7-27 original purpose because of impurities or the loss of original
8-1 properties, but that may be suitable for further use and is
8-2 recyclable>.
8-3 (18) "Used oil aggregation point" means a site or
8-4 facility that accepts, aggregates, or stores used oil collected
8-5 from:
8-6 (A) used oil generation sites owned or operated
8-7 by the owner or operator of the used oil aggregation point and
8-8 transported to the used oil aggregation point in shipments of not
8-9 more than 55 gallons; or
8-10 (B) household do-it-yourselfers.
8-11 (19) "Used oil burner" means a facility in which used
8-12 oil not meeting the specifications in 40 C.F.R. Section 279.11 is
8-13 burned for energy recovery in a device listed in 40 C.F.R. Section
8-14 279.61(a).
8-15 (20) "Used oil collection center" means a site or
8-16 facility that is registered by the commission to manage used oil
8-17 and accepts, aggregates, or stores used oil collected from:
8-18 (A) used oil generators regulated under 40
8-19 C.F.R. Part 279, Subpart C, who transport used oil to the used oil
8-20 collection center in shipments of not more than 55 gallons under 40
8-21 C.F.R. Section 279.24; or
8-22 (B) household do-it-yourselfers.
8-23 (21) "Used oil filter" means a non-terne-plated oil
8-24 filter that as a result of its use, storage, or handling has become
8-25 contaminated by physical or chemical impurities and has been
8-26 removed from service. The term does not include a used oil filter:
8-27 (A) that remains with an engine block that is
9-1 recycled, as defined by Section 361.421; or
9-2 (B) diverted for recycling, as defined by
9-3 Section 361.421, that has been processed:
9-4 (i) by draining and compressing with a
9-5 force sufficient to remove 80 percent of the oil weight remaining
9-6 in the filter;
9-7 (ii) by separating, including dismantling,
9-8 shredding, or any other acceptable procedure that separates the
9-9 whole filter into its components;
9-10 (iii) in accordance with a standard
9-11 approved in writing by the executive director of the commission; or
9-12 (iv) in accordance with the requirements
9-13 of 40 C.F.R. Section 261.4(b)(13).
9-14 (22) "Used oil fuel marketer" means a person who:
9-15 (A) directs a shipment of used oil not meeting
9-16 the specifications in 40 C.F.R. Section 279.11 from the person's
9-17 facility to a used oil burner; or
9-18 (B) first claims that used oil to be burned for
9-19 energy recovery meets the used oil specifications in 40 C.F.R.
9-20 Section 279.11.
9-21 (23) "Used oil generator" means a person, by site,
9-22 whose act or process:
9-23 (A) produces used oil; or
9-24 (B) first causes used oil to become subject to
9-25 regulation.
9-26 (24) "Used oil processor or rerefiner" means a
9-27 facility that processes used oil.
10-1 (25) "Used oil transfer facility" means a
10-2 transportation-related facility, including a loading dock, parking
10-3 area, storage area, or other area, where shipments of used oil are
10-4 held for more than 24 hours and not more than 35 days during the
10-5 normal course of transportation. A transfer facility that stores
10-6 used oil for more than 35 days is subject to 40 C.F.R. Part 279,
10-7 Subpart F.
10-8 (26) "Used oil transporter" means a person who:
10-9 (A) transports used oil; or
10-10 (B) owns or operates a used oil transfer
10-11 facility.
10-12 SECTION 4. Subchapter B, Chapter 371, Health and Safety
10-13 Code, is amended to read as follows:
10-14 SUBCHAPTER B. USED OIL RECYCLING PROGRAM
10-15 Sec. 371.021. Public Education. The commission <department>
10-16 shall conduct an education program to inform the public of the need
10-17 for and benefits of the collection and recycling of used oil and
10-18 used oil filters. The program shall:
10-19 (1) establish, maintain, and publicize a used oil
10-20 information center that prepares and disperses materials and
10-21 information explaining laws and rules regulating used oil and
10-22 informing the public of places and methods for proper recycling of
10-23 used oil;
10-24 (2) encourage the voluntary establishment of used oil
10-25 collection and recycling programs by private businesses and
10-26 organizations and by local governments and provide technical
10-27 assistance to persons who organize those programs; and
11-1 (3) encourage local governments to procure recycled
11-2 automotive and industrial oils and oils blended with recycled oils,
11-3 if those oils meet equipment manufacturer's specifications.
11-4 Sec. 371.022. Notice by Retail Dealer. A retail dealer who
11-5 annually sells directly to the public more than 500 gallons of oil
11-6 in containers for use off-premises shall post in a prominent place
11-7 a sign provided by the commission:
11-8 (1) <department> informing the public that improper
11-9 disposal of used oil is prohibited by law;
11-10 (2) containing instructions for disposal of used oil
11-11 filters; and
11-12 (3) <. The sign shall also> prominently displaying
11-13 <display> the toll-free telephone number of the state used oil
11-14 information center established under Section 371.021.
11-15 Sec. 371.023. GRANTS TO LOCAL GOVERNMENTS AND PRIVATE
11-16 ENTITIES. (a) The commission <department> shall develop a grant
11-17 program for local governments and private entities that encourages
11-18 the collection, reuse, and recycling of household do-it-yourselfer
11-19 <DIY> used oil.
11-20 (b) The commission may approve a <A> grant <may be made> for
11-21 any project <approved by the department. The department shall
11-22 consider for grant assistance any local government project> that
11-23 uses one or more of the following programs:
11-24 (1) curbside pickup of containers of household
11-25 do-it-yourselfer <DIY> used oil by a local government or its
11-26 representative;
11-27 (2) retrofitting of municipal solid waste equipment to
12-1 facilitate curbside pickup of household do-it-yourselfer <DIY> used
12-2 oil;
12-3 (3) establishment of do-it-yourselfer <publicly
12-4 operated DIY> used oil collection centers and used oil collection
12-5 centers at locations accessible to the public, including landfills,
12-6 fire stations, retail stores, quick lubrication centers, and
12-7 automobile repair shops <or other public places>;
12-8 (4) provision of containers and other materials and
12-9 supplies that can be used to store household do-it-yourselfer <DIY>
12-10 used oil for pickup or delivery to a do-it-yourselfer used oil
12-11 collection center in an environmentally sound manner; and
12-12 (5) any other activity the advisory committee
12-13 established under Subsection (c) <department> determines will
12-14 encourage the proper recycling of household do-it-yourselfer <DIY>
12-15 used oil.
12-16 (c) The commission shall appoint an advisory committee for
12-17 the used oil grant program. The advisory committee consists of
12-18 seven members who serve at the pleasure of the commission and
12-19 represent oil manufacturers as defined by Section 371.062,
12-20 operators of used oil collection centers, and local governments.
12-21 The advisory committee members serve without compensation and are
12-22 not entitled to reimbursement for expenses incurred in the
12-23 performance of their duties. The advisory committee shall:
12-24 (1) recommend criteria for grants;
12-25 (2) establish guidelines for allowable administrative
12-26 expenses; and
12-27 (3) recommend grant recipients to the commission based
13-1 on the used oil collection needs of this state.
13-2 (d) The commission <board> by rule shall:
13-3 (1) establish procedures for the application for and
13-4 criteria for the award of grants under this section; and
13-5 (2) adopt guidelines for allowable administrative
13-6 expenses in accordance with guidelines established by the advisory
13-7 committee.
13-8 Sec. 371.024. Collection Facilities. (a) All appropriate
13-9 businesses <that change motor oil for the public> and <all
13-10 appropriate> government agencies are encouraged to serve as
13-11 do-it-yourselfer <public> used oil collection centers or used oil
13-12 collection centers.
13-13 (b) A do-it-yourselfer <public> used oil collection center
13-14 and a used oil collection center <annually> shall:
13-15 (1) register biennially with the commission
13-16 <department>; and
13-17 (2) report annually to the commission <department> the
13-18 amounts of used oil collected by the center from the public.
13-19 (c) The commission <board> shall adopt rules governing the
13-20 registration of and reporting by do-it-yourselfer <public> used oil
13-21 collection centers and used oil collection centers.
13-22 (d) The commission <board> by rule shall adopt standards for
13-23 managing and operating a do-it-yourselfer <public> used oil
13-24 collection center or a used oil collection center.
13-25 (e) The commission <department> may impose a registration
13-26 fee in an amount sufficient to cover the actual cost of registering
13-27 do-it-yourselfer <public> used oil collection centers and used oil
14-1 collection centers. A private entity that serves voluntarily as a
14-2 do-it-yourselfer used oil collection center or a used oil
14-3 collection center is exempt from the registration fee.
14-4 Sec. 371.0245. Reimbursement of Used Oil Collection Center's
14-5 Hazardous Waste Expense <Center>. (a) The commission, on proper
14-6 application, shall reimburse the owner or operator of an eligible
14-7 registered do-it-yourselfer <public> used oil collection center or
14-8 a used oil collection center for costs associated with the
14-9 collection center's disposal of:
14-10 (1) household do-it-yourselfer <do-it-yourself (DIY)>
14-11 used oil collected by the collection center that, unknown to the
14-12 center at the time of collection, contains hazardous wastes or is
14-13 unfit for recycling;
14-14 (2) household do-it-yourselfer used oil collected by
14-15 the collection center that has been commingled with <DIY> oils
14-16 described in Subdivision (1) and is unsuitable for recycling; or
14-17 (3) contaminated used oil left at the collection
14-18 center as used oil after posted business hours and without the
14-19 knowledge of the collection center.
14-20 (b) A registered do-it-yourselfer <public> used oil
14-21 collection center or used oil collection center is eligible for
14-22 reimbursement if it demonstrates to the satisfaction of the
14-23 commission that:
14-24 (1) the center has established procedures to minimize
14-25 the risk that the center will mix the used oil the center generates
14-26 or collects from the public <will not be mixed> with hazardous
14-27 wastes, especially halogenated wastes;
15-1 (2) the center accepts not more than:
15-2 (A) five gallons of used oil from any person at
15-3 any one time if the center is a registered do-it-yourselfer used
15-4 oil collection center; or
15-5 (B) 55 gallons of used oil from any person at
15-6 one time if the center is a registered used oil collection center;
15-7 and
15-8 (3) the center can document to the satisfaction of the
15-9 commission the volume of used oil the center collects from the
15-10 public during any <a> period under review by:
15-11 (A) providing a process by which all individuals
15-12 leaving household do-it-yourselfer <do-it-yourself (DIY)> used oil
15-13 at the center are required to provide <log> their names, addresses,
15-14 and the approximate amounts of used oil brought to the collection
15-15 center <and ensuring that all do-it-yourself (DIY) used oil
15-16 collected is kept in a separate sealed and labeled container placed
15-17 on an impermeable surface>; or
15-18 (B) another method approved by the commission.
15-19 (c) For the purpose of Subsection (b)(2), the owner or
15-20 operator of a registered do-it-yourselfer <public> used oil
15-21 collection center or used oil collection center may presume that a
15-22 quantity of <not more than five gallons of> used oil collected from
15-23 a member of the public that does not exceed the applicable
15-24 collection limit established by that subsection is not mixed with a
15-25 hazardous substance<,> if the owner or operator acts in good faith
15-26 <and> in the belief the oil is generated from the individual's
15-27 personal activity.
16-1 (d) In any state fiscal year, a registered do-it-yourselfer
16-2 <public> used oil collection center or used oil collection center
16-3 may not be reimbursed for more than $7,500 <$5,000> in total
16-4 eligible disposal costs, subject to Section 371.0246(d).
16-5 (e) Reimbursements <A reimbursement> made under this section
16-6 shall <may> be paid out of the used oil recycling fund and may not
16-7 <to> exceed an aggregate amount of $500,000 each fiscal year.
16-8 Sec. 371.0246. Procedures for Reimbursement. (a) An owner
16-9 or operator of a registered do-it-yourselfer <public> used oil
16-10 collection center or used oil collection center may apply for
16-11 reimbursement from the commission.
16-12 (b) An application for reimbursement shall be submitted
16-13 <filed> on a form approved or provided by the commission.
16-14 (c) An application must contain:
16-15 (1) the name, address, and telephone number of the
16-16 applicant;
16-17 (2) the name, mailing address, location address, and
16-18 commission registration number of the registered do-it-yourselfer
16-19 <public> used oil collection center or used oil collection center
16-20 from which the contaminated oil was removed;
16-21 (3) the name, address, telephone number, and
16-22 commission registration number of the hazardous waste transporter
16-23 used to dispose of the contaminated used oil;
16-24 (4) a copy of any shipping documents that accompanied
16-25 the transportation of the shipment of used oil <the signed uniform
16-26 hazardous waste manifest>;
16-27 (5) a copy of each invoice for which reimbursement is
17-1 requested and evidence that the amount shown on the invoice has
17-2 been paid in full<, which may be> in the form of:
17-3 (A) canceled checks;
17-4 (B) business receipts from the person who
17-5 performed the work; or
17-6 (C) other documentation approved by the
17-7 commission;
17-8 (6) a waste-characterization or similar documentation
17-9 required before acceptance of a hazardous waste by the disposal
17-10 facility that accepted the contaminated used oil for treatment or
17-11 disposal; and
17-12 (7) any other information that the executive director
17-13 may reasonably require.
17-14 (d) All claims for reimbursement filed under this section
17-15 and Section 371.0245 are subject to funds available for
17-16 disbursement <the availability of money> in the used oil recycling
17-17 fund and to Section 371.0245(e). This subchapter does not create
17-18 an entitlement to money in the used oil recycling fund or any other
17-19 fund.
17-20 Sec. 371.025. LIMITATION OF LIABILITY. (a) A person may
17-21 not recover from the owner, operator, or lessor of a registered
17-22 do-it-yourselfer <public> used oil collection center or used oil
17-23 collection center any damages or costs of response actions at
17-24 another location resulting from a release or threatened release of
17-25 used oil collected at the center if:
17-26 (1) the owner, operator, or lessor of the collection
17-27 center does not mix the used oil collected with any hazardous waste
18-1 or polychlorinated biphenyls (PCBs);
18-2 (2) the owner, operator, or lessor of the collection
18-3 center does not accept used oil that the owner, operator, or lessor
18-4 knows contains hazardous waste or PCBs; and
18-5 (3) the collection center is in compliance with
18-6 management standards adopted by the department.
18-7 (b) For purposes of this section, the owner, operator, or
18-8 lessor of a do-it-yourselfer <public> used oil collection center or
18-9 a used oil collection center may presume that a quantity of less
18-10 than five gallons of used oil accepted at any one time from any
18-11 member of the public is not mixed with a hazardous waste or PCBs,
18-12 provided that the owner, operator, or lessor acts in good faith.
18-13 (c) This section applies only to activities directly related
18-14 to the collection of used oil by a do-it-yourselfer <public> used
18-15 oil collection center or a used oil collection center. This
18-16 section does not apply to grossly negligent activities related to
18-17 the operation of a do-it-yourselfer used oil collection center or a
18-18 used oil collection center.
18-19 (d) This section does not affect or modify the obligations
18-20 or liability of any person other than the owner, operator, or
18-21 lessor of the collection center under any other provisions of state
18-22 or federal law, including common law, for injury or damage
18-23 resulting from a release of used oil or hazardous substances.
18-24 (e) This section does not affect or modify the obligations
18-25 or liability of any owner, operator, or lessor of a collection
18-26 center with regard to services other than accepting used oil from
18-27 the public.
19-1 Sec. 371.026. Registration of <Persons Transporting,
19-2 Marketing, or Recycling> Used Oil Handlers Other Than Generators.
19-3 (a) <A person who transports over public highways of this state
19-4 more than 500 gallons of used oil annually, who markets more than
19-5 500 gallons of used oil annually, or who recycles more than 10,000
19-6 gallons of used oil annually shall register annually with the
19-7 department on forms prescribed by the department and in accordance
19-8 with board rules.>
19-9 <(b) The department shall develop a registration program for
19-10 transporters, marketers, and recyclers of used oil.>
19-11 <(c)> The commission <board> shall adopt rules governing
19-12 registration and reporting of used oil handlers other than
19-13 generators <transporters, marketers, and recyclers>. The rules
19-14 shall require that a used oil handler other than a generator
19-15 <transporter, marketer, or recycler>:
19-16 (1) register biennially <annually> with the commission
19-17 <department>;
19-18 (2) report annually the sources of used oil handled
19-19 <transported, marketed, or recycled> during the preceding year, the
19-20 quantity of used oil received, the date of receipt, and the
19-21 destination or end use of the used oil;
19-22 (3) provide evidence of familiarity with applicable
19-23 state laws and rules and management procedures applicable to used
19-24 oil handling <transportation, marketing, or recycling>; and
19-25 (4) provide proof of liability insurance or other
19-26 evidence of financial responsibility for any liability that may be
19-27 incurred in handling <transporting, marketing, or recycling> used
20-1 oil.
20-2 (b) <(d)> The commission <board> by rule shall adopt
20-3 reasonable management and safety standards for the handling
20-4 <transportation, marketing, and recycling> of used oil.
20-5 (c) <(e)> The commission <department> may impose a
20-6 registration fee in an amount sufficient to cover the actual cost
20-7 of registering used oil handlers other than generators
20-8 <transporters, marketers, and recyclers>.
20-9 (d) A used oil transporter may consolidate or aggregate
20-10 loads of used oil for purposes of transportation but may not
20-11 process used oil, except that a used oil transporter may conduct
20-12 incidental processing operations, including settling and water
20-13 separation, that occur in the normal course of the transportation
20-14 of used oil but that are not designed to produce, or make more
20-15 amenable for the production of, used-oil-derived products or used
20-16 oil fuel. <(f) A utility or industrial generator of used oil that
20-17 transports its own used oil from one generator-owned or
20-18 generator-operated facility to another or that recycles its own
20-19 used oil for use in its operations is not required to register or
20-20 report under this section.>
20-21 Sec. 371.027. Gifts and Grants. The commission <department>
20-22 may apply for, request, solicit, contract for, receive, and accept
20-23 gifts, grants, donations, and other assistance from any source to
20-24 carry out its powers and duties under this chapter.
20-25 Sec. 371.028. Rules. Not later than January 1, 1996, the
20-26 commission shall adopt rules, standards, and procedures necessary
20-27 to implement the used oil recycling program established by this
21-1 chapter. Unless otherwise required by federal or state law, the
21-2 rules, standards, and procedures must be consistent with and not
21-3 more stringent than the used oil management standards under the
21-4 Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section
21-5 6901 et seq.) <The board may adopt any rules necessary to carry
21-6 out the purposes of this chapter>.
21-7 SECTION 5. Section 371.041, Health and Safety Code, is
21-8 amended by amending Subsections (b)-(d) to read as follows:
21-9 (b) A person commits an offense if the person:
21-10 (1) intentionally discharges used oil into a sewer,
21-11 drainage system, septic tank, surface water or groundwater,
21-12 watercourse, or marine water;
21-13 (2) knowingly mixes or commingles used oil with
21-14 <solid> waste that is to be disposed of in landfills or directly
21-15 disposes of used oil on land <or in landfills>;
21-16 (3) knowingly transports, treats, stores, disposes of,
21-17 recycles, causes to be transported, or otherwise handles any
21-18 <intentionally mixes or commingles used oil with hazardous waste or
21-19 other hazardous substances or PCBs;>
21-20 <(4) transports, markets, or recycles> used oil within
21-21 the state:
21-22 (A) in violation of standards or rules for the
21-23 management of used oil; or
21-24 (B) without first complying with the
21-25 registration requirements of Section 371.026 and rules adopted
21-26 under that section;
21-27 (4) intentionally <(5)> applies used oil to roads or
22-1 land for dust suppression, weed abatement, or other similar uses
22-2 that introduce used oil into the environment; <or>
22-3 (5) <(6)> violates an order of the commission
22-4 <department> to cease and desist any activity prohibited by this
22-5 section or any rule applicable to a prohibited activity; or
22-6 (6) intentionally makes a false statement or
22-7 representation in an application, label, manifest, record, report,
22-8 permit, or other document filed, maintained, or used for purposes
22-9 of program compliance.
22-10 (c) It is an exception to the application of Subsection (b)
22-11 if a person unknowingly disposes into the environment <a landfill>
22-12 any used oil that has not been properly segregated or separated by
22-13 the generator from other solid wastes.
22-14 (d) It is an exception to the application of Subsection
22-15 (b)(2) if the mixing or commingling of used oil with <solid> waste
22-16 that is to be disposed of in landfills is incident to and the
22-17 unavoidable result of the mechanical shredding of motor vehicles,
22-18 appliances, or other items of scrap, used, or obsolete metals.
22-19 SECTION 6. Section 371.042, Health and Safety Code, is
22-20 amended to read as follows:
22-21 Sec. 371.042. Criminal Penalties. (a) Except as provided
22-22 by Subsection (b), an offense under Section 371.041 is punishable
22-23 by:
22-24 (1) a fine of not less than $100 or more than $10,000
22-25 for each act of violation or each day of a continuing violation;
22-26 (2) imprisonment for a term not to exceed five years;
22-27 or
23-1 (3) both the fine and the imprisonment <a Class C
23-2 misdemeanor>.
23-3 (b) If it is shown on the trial of an offense under Section
23-4 371.041 that the defendant has previously been convicted of an
23-5 offense under Section 371.041, the offense is punishable by:
23-6 (1) a fine of not less than $200 or more than $20,000
23-7 for each act of violation or each day of a continuing violation;
23-8 (2) imprisonment for a term not to exceed 10 years; or
23-9 (3) both the fine and the imprisonment <a Class A
23-10 misdemeanor>.
23-11 SECTION 7. Sections 371.043(c) and (d), Health and Safety
23-12 Code, are amended to read as follows:
23-13 (c) The penalty imposed by this section does not apply to
23-14 failure to pay a fee under Section 371.062 or failure to file a
23-15 report under Section 371.024 <or 371.026>.
23-16 (d) The commission <department>, a local government in whose
23-17 jurisdiction the violation occurs, or the state may bring suit to
23-18 recover a penalty under this section.
23-19 SECTION 8. Sections 371.061(b)-(d), Health and Safety Code,
23-20 are amended to read as follows:
23-21 (b) The fund consists of:
23-22 (1) fees collected under Sections 371.024, 371.026,
23-23 and 371.062;
23-24 (2) interest and penalties imposed under this chapter
23-25 for late payment of fees, failure to file a report, or other
23-26 violations of this chapter; and
23-27 (3) gifts, grants, donations, or other financial
24-1 assistance the commission <department> is authorized to receive
24-2 under Section 371.027.
24-3 (c) Except as provided by Subsection (d), the commission
24-4 <department> may use money in the fund only for purposes authorized
24-5 by this chapter, including:
24-6 (1) public education;
24-7 (2) grants to public and private do-it-yourselfer used
24-8 oil collection centers and used oil collection centers;
24-9 (3) registration of do-it-yourselfer used oil
24-10 collection centers, used oil collection centers, and used oil
24-11 handlers other than generators <transporters, used oil marketers,
24-12 and used oil recyclers>; and
24-13 (4) administrative costs of implementing this chapter.
24-14 (d) The commission <department> shall set aside <transfer>
24-15 25 percent of the fees collected under Section 371.062 <to the
24-16 Texas Water Commission> for the sole purpose of restoring the
24-17 environmental quality of those sites in the state that the
24-18 commission has identified as having been contaminated through
24-19 improper used oil management and for which other funds from a
24-20 potentially responsible party or the federal government are not
24-21 sufficient. This subsection expires on January 1, 1997.
24-22 SECTION 9. Section 371.062, Health and Safety Code, is
24-23 amended by amending Subsections (a), (b), (f), and (j) and adding
24-24 Subsections (m)-(o) to read as follows:
24-25 (a) In this section:
24-26 (1) "Distributor" means a person who maintains a
24-27 distribution center or warehouse in this state and annually sells
25-1 more than 25,000 gallons of automotive oil.
25-2 (2) "First sale" means the first actual sale of
25-3 automotive oil delivered to a location in this state and sold to a
25-4 purchaser who is not an automotive oil manufacturer or distributor.
25-5 The term does not include the sale of automotive oil:
25-6 (A) exported from this state to a location
25-7 outside this state for the purpose of sale or use outside this
25-8 state;
25-9 (B) <. This term does not include sales of
25-10 automotive oils> for resale to or use by vessels exclusively
25-11 engaged in foreign or interstate commerce;
25-12 (C) to a subsequent purchaser who maintains a
25-13 do-it-yourselfer used oil collection center or used oil collection
25-14 center registered by the commission at the location where the
25-15 automotive oil is changed, used, consumed, or resold to
25-16 do-it-yourselfers; or
25-17 (D) to the United States.
25-18 (3) <(2)> "Importer" means any person who imports or
25-19 causes to be imported automotive oil into this state for sale, use,
25-20 or consumption.
25-21 (4) <(3)> "Oil manufacturer" means any person or
25-22 entity that formulates automotive oil and packages, distributes, or
25-23 sells that automotive oil. The term includes any person packaging
25-24 or repackaging automotive oil.
25-25 (b) An oil manufacturer or distributor who makes a first
25-26 sale of automotive oil is liable for a fee.
25-27 (f) Each oil manufacturer, distributor, or importer required
26-1 to pay a fee under this section shall:
26-2 (1) prepare and maintain, on a form provided or
26-3 approved by the comptroller, a report of each first sale or, in the
26-4 case of an importer, the first receipt in Texas of automotive oil
26-5 by the person and the price received;
26-6 (2) retain the invoice or a copy of the invoice or
26-7 other appropriate record of the sale or receipt for four years from
26-8 the date of sale or receipt; and
26-9 (3) on or before the 25th day of the month following
26-10 the end of each calendar quarter, file a report with the
26-11 comptroller and remit to the comptroller the amount of fees
26-12 required to be paid for the preceding quarter.
26-13 (j) The fee imposed under this section is one cent <two
26-14 cents> per quart or four <eight> cents per gallon of automotive
26-15 oil. <The department shall monitor the unobligated balance of the
26-16 used oil recycling fund and shall adjust the fee rate to meet
26-17 expenditure requirements of the used oil recycling program and to
26-18 maintain an appropriate fund balance. The fee imposed under this
26-19 section may not exceed five cents per quart or 20 cents per gallon
26-20 of automotive oil. On or before September 1 of each year, the
26-21 department and the comptroller jointly shall issue notice of the
26-22 effective fee rate for the next fiscal year.>
26-23 (m) A distributor must obtain a permit from the comptroller.
26-24 The comptroller shall adopt an application form for the permit,
26-25 which must include:
26-26 (1) the name under which the applicant transacts or
26-27 intends to transact business;
27-1 (2) the location of the applicant's distribution
27-2 center or warehouse in this state;
27-3 (3) if the applicant is a corporation or partnership,
27-4 the names of the principal officers of the corporation or of the
27-5 members of the partnership and the address of each officer or
27-6 member; and
27-7 (4) any other information required by the comptroller.
27-8 (n) The comptroller may deny or revoke a permit under
27-9 Subsection (m) if false information is submitted on the application
27-10 or on a required fuels tax report or supplement.
27-11 (o) A permit under Subsection (m) may not be assigned.
27-12 SECTION 10. Subchapter N, Chapter 361, Health and Safety
27-13 Code, is amended by adding Section 361.432 to read as follows:
27-14 Sec. 361.432. USED OIL FILTER MANAGEMENT. (a) A used oil
27-15 filter may not be intentionally or knowingly placed in or accepted
27-16 for disposal in a landfill permitted by the commission.
27-17 (b) The commission by rule may:
27-18 (1) adopt reasonable standards for the management of
27-19 used oil filters as defined by Section 371.003; and
27-20 (2) encourage the recycling of used oil filters.
27-21 SECTION 11. (a) The change in law made by this Act to
27-22 Section 371.042, Health and Safety Code, applies only to an offense
27-23 committed on or after the effective date of this Act. For purposes
27-24 of this section, an offense is committed before the effective date
27-25 of this Act if any element of the offense occurs before that date.
27-26 (b) An offense committed before the effective date of this
27-27 Act is covered by the law in effect when the offense was committed,
28-1 and the former law is continued in effect for that purpose.
28-2 SECTION 12. (a) Except as provided by Subsection (b) of
28-3 this section, this Act takes effect September 1, 1995.
28-4 (b) Section 371.062(j), Health and Safety Code, as amended
28-5 by this Act, takes effect September 1, 1997.
28-6 SECTION 13. The importance of this legislation and the
28-7 crowded condition of the calendars in both houses create an
28-8 emergency and an imperative public necessity that the
28-9 constitutional rule requiring bills to be read on three several
28-10 days in each house be suspended, and this rule is hereby suspended.