75R11357 MI-F                           

         By Talton                                             H.B. No. 2284

         Substitute the following for H.B. No. 2284:

         By Jackson                                        C.S.H.B. No. 2284

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the transfer of permits, registrations, or other

 1-3     authorizations issued by the Texas Natural Resource Conservation

 1-4     Commission.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Section 5.001, Water Code, is amended by adding

 1-7     Subdivisions (4) and (5) to read as follows:

 1-8                 (4)  "Change of ownership" includes:

 1-9                       (A)  a merger;

1-10                       (B)  a stock transfer that results in a

1-11     controlling interest in an entity that is the subject of a permit,

1-12     registration, or other authorization issued by the commission;

1-13                       (C)  an asset purchase that results in a change

1-14     in the operational control of an entity that is the subject of a

1-15     permit, registration, or other authorization issued by the

1-16     commission; or

1-17                       (D)  a change in federal tax identification

1-18     number.

1-19                 (5)  "Transfer" includes:

1-20                       (A)  the assignment of a permit from one person

1-21     to another; or

1-22                       (B)  a change of ownership or control.

1-23           SECTION 2.  Subchapter F, Chapter 5, Water Code, is amended

1-24     by adding Section 5.239 to read as follows:

 2-1           Sec. 5.239.  TRANSFER OF PERMIT.  (a)  Except as provided by

 2-2     Subsection (b), a permit may be transferred if the person seeking

 2-3     the permit transfer:

 2-4                 (1)  complies with commission rules relating to permit

 2-5     transfer;

 2-6                 (2)  gives prior written notice to the commission;

 2-7                 (3)  obtains approval from the commission; and

 2-8                 (4)  obtains prior written approval from the commission

 2-9     if:

2-10                       (A)  the permit is a permit issued by the

2-11     commission under Chapter 27 of this code or Chapter 361 or 401,

2-12     Health and Safety Code; or

2-13                       (B)  the transferee does not hold another permit

2-14     from the commission.

2-15           (b)  A permit issued under Chapter 11 may be transferred by

2-16     the commission according to that chapter and commission rules

2-17     adopted under that chapter.

2-18           (c)  The commission shall adopt rules to implement this

2-19     section.

2-20           (d)  In this section, "permit" includes a registration or

2-21     other authorization issued by the commission.

2-22           SECTION 3.  Section 361.086(c), Health and Safety Code, is

2-23     amended to read as follows:

2-24           (c)  A permit may [not] be transferred as provided by Section

2-25     5.239, Water Code [without first giving written notice to and

2-26     receiving written approval of the agency that issued the permit].

2-27           SECTION 4.  Section 361.112(h), Health and Safety Code, is

 3-1     amended to read as follows:

 3-2           (h)  The commission may amend, extend, [transfer,] or renew a

 3-3     permit issued under this section as provided by this chapter and

 3-4     commission rule.  A permit may be transferred as provided by

 3-5     Section 5.239, Water Code.

 3-6           SECTION 5.  Subchapter B, Chapter 371, Health and Safety

 3-7     Code, is amended by adding Section 371.0261 to read as follows:

 3-8           Sec. 371.0261.  TRANSFER OF REGISTRATION.  A registration may

 3-9     be transferred as provided by Section 5.239, Water Code.

3-10           SECTION 6.  Section 382.051, Health and Safety Code, is

3-11     amended to read as follows:

3-12           Sec. 382.051.  PERMITTING AUTHORITY OF COMMISSION;  RULES;

3-13     TRANSFER OF PERMIT.  (a)  The commission may issue a permit:

3-14                 (1)  to construct a new facility or modify an existing

3-15     facility that may emit air contaminants; or

3-16                 (2)  to operate a federal source.

3-17           (b)  To assist in fulfilling its authorization provided by

3-18     Subsection (a), the commission may issue:

3-19                 (1)  special permits for certain facilities;

3-20                 (2)  a general permit developed by rule for numerous

3-21     similar sources subject to Section 382.054;

3-22                 (3)  a standard permit developed by rule for numerous

3-23     similar facilities subject to Section 382.0518;

3-24                 (4)  a single federal operating permit or

3-25     preconstruction permit for multiple federal sources or facilities

3-26     located at the same site; or

3-27                 (5)  other permits as necessary.

 4-1           (c)  The commission may issue a federal operating permit for

 4-2     a federal source in violation only if the operating permit

 4-3     incorporates a compliance plan for the federal source as a

 4-4     condition of the permit.

 4-5           (d)  The commission shall adopt rules as necessary to comply

 4-6     with changes in federal law or regulations applicable to permits

 4-7     issued under this chapter.

 4-8           (e)  A permit may be transferred as provided by Section

 4-9     5.239, Water Code.

4-10           SECTION 7.  Section 401.110, Health and Safety Code, is

4-11     amended to read as follows:

4-12           Sec. 401.110. DETERMINATION ON LICENSE.  In making a

4-13     determination whether to grant, deny, amend, revoke, suspend, [or]

4-14     restrict, or assign a license or registration, the department or

4-15     commission may consider those aspects of an applicant's or license

4-16     holder's background that bear materially on the ability to fulfill

4-17     the obligations of licensure, including technical competence and

4-18     the applicant's or license holder's record in areas involving

4-19     radiation.

4-20           SECTION 8.  Section 401.119, Health and Safety Code, is

4-21     amended to read as follows:

4-22           Sec. 401.119.  LICENSE OR REGISTRATION TRANSFER.  A license

4-23     or registration issued by the department or commission may be

4-24     assigned  only to a person qualified under rules of the issuing

4-25     agency.

4-26           SECTION 9.  Section 13.251, Water Code, is amended to read as

4-27     follows:

 5-1           Sec. 13.251.  SALE, ASSIGNMENT, OR LEASE OF CERTIFICATE.

 5-2     Except as provided by Section 13.255 of this code, a utility or a

 5-3     water supply or sewer service corporation may not sell, assign, or

 5-4     lease a certificate of public convenience and necessity or any

 5-5     right obtained under a certificate unless the commission has

 5-6     determined that the purchaser, assignee, or lessee is capable of

 5-7     rendering adequate and continuous service to every consumer within

 5-8     the certified area, after considering the factors under Section

 5-9     13.246(c) of this code.  The sale, assignment, or lease shall be in

5-10     accordance with Section 5.239 and on the conditions prescribed by

5-11     the commission.

5-12           SECTION 10.  This Act takes effect September 1, 1997, and

5-13     applies only to an application to transfer a permit, registration,

5-14     or other authorization issued by the Texas Natural Resource

5-15     Conservation Commission that is submitted to the commission on or

5-16     after that date.

5-17           SECTION 11.  The importance of this legislation and the

5-18     crowded condition of the calendars in both houses create an

5-19     emergency and an imperative public necessity that the

5-20     constitutional rule requiring bills to be read on three several

5-21     days in each house be suspended, and this rule is hereby suspended.