By Swinford                                     H.B. No. 3231

      75R3434 MI-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the consolidation and use of certain accounts and funds

 1-3     of the Texas Natural Resource Conservation Commission.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Sections 5.235(a), (b), (f), and (n), Water Code,

 1-6     are amended to read as follows:

 1-7           (a)  The executive director shall charge and collect the fees

 1-8     prescribed by law. The executive director shall make a record of

 1-9     fees prescribed when due and shall render an account to the person

1-10     charged with the fees.  Each fee is a separate charge and is in

1-11     addition to other fees unless provided otherwise. Except as

1-12     otherwise provided, a fee assessed and collected under this section

1-13     shall be deposited to the credit of the water resource management

1-14     account.

1-15                 (1)  Notwithstanding other provisions, the commission

1-16     by rule may establish due dates, schedules, and procedures for

1-17     assessment, collection, and remittance of fees due the commission

1-18     to ensure the cost-effective administration of revenue collection

1-19     and cash management programs.

1-20                 (2)  Notwithstanding other provisions, the commission

1-21     by rule shall establish uniform and consistent requirements for the

1-22     assessment of penalties and interest for late payment of fees owed

1-23     the state under the commission's jurisdiction.  Penalties and

1-24     interest established under this section shall not exceed rates

 2-1     established for delinquent taxes under Sections 111.060 and

 2-2     111.061, Tax Code.

 2-3           (b)  Except as otherwise [specifically] provided by law [this

 2-4     section], the fee for filing an application or petition is $100

 2-5     plus the cost of any required notice.  The fee for a by-pass permit

 2-6     shall be set by the commission at a reasonable amount to recover

 2-7     costs, but not less than $100.

 2-8           (f)  A person who files a bond issue application with the

 2-9     commission must pay an application fee set by the commission.  The

2-10     commission by rule may set the application fee in an amount not to

2-11     exceed the costs of reviewing and processing the application, plus

2-12     the cost of required notice.  If the bonds are approved by the

2-13     commission, the seller shall pay to the commission a percentage of

2-14     the bond proceeds not later than the seventh business day after

2-15     receipt of the bond proceeds.  The commission by rule may set the

2-16     percentage of the proceeds in an amount not to exceed 0.25 percent

2-17     of the principal amount of the bonds actually issued.  [Revenue

2-18     from these fees and application fees under Subsection (e) of this

2-19     section shall be deposited in the state treasury and credited to

2-20     the water utility fund.]  Proceeds of the fees shall be used to

2-21     supplement any other funds available for paying expenses of the

2-22     commission in supervising the various bond and construction

2-23     activities of the districts filing the applications.

2-24           (n)(1)  Each provider of potable water or sewer utility

2-25     service shall collect a regulatory assessment from each retail

2-26     customer as follows:

2-27                       (A)  A public utility as defined in Section

 3-1     13.002 of this code shall collect from each retail customer a

 3-2     regulatory assessment equal to one percent of the charge for retail

 3-3     water or sewer service.

 3-4                       (B)  A water supply or sewer service corporation

 3-5     as defined in Section 13.002 of this code shall collect from each

 3-6     retail customer a regulatory assessment equal to one-half of one

 3-7     percent of the charge for retail water or sewer service.

 3-8                       (C)  A district as defined in Section 49.001

 3-9     [50.001] of this code that provides potable water or sewer utility

3-10     service to retail customers shall collect from each retail customer

3-11     a regulatory assessment equal to one-half of one percent of the

3-12     charge for retail water or sewer service.

3-13                 (2)  The regulatory assessment may be listed on the

3-14     customer's bill as a separate item and shall be collected in

3-15     addition to other charges for utility services.

3-16                 (3)  The commission shall use the assessments collected

3-17     under this subsection solely to pay costs and expenses incurred by

3-18     the commission in the regulation of districts, water supply or

3-19     sewer service corporations, and public utilities under Chapter 13,

3-20     Water Code.

3-21                 (4)  The commission shall annually use a portion of the

3-22     assessments to provide on-site technical assistance and training to

3-23     public utilities, water supply or sewer service corporations, and

3-24     districts.  The commission shall contract with others to provide

3-25     the services.

3-26                 (5)  The commission by rule may establish due dates,

3-27     collection procedures, and penalties for late payment related to

 4-1     regulatory assessments under this subsection.  The executive

 4-2     director shall collect all assessments from the utility service

 4-3     providers[, and those funds shall be paid into the state treasury

 4-4     and credited to the water utility fund].

 4-5                 (6)  The commission shall assess a penalty against a

 4-6     municipality with a population of more than 1.5 million that does

 4-7     not provide municipal water and sewer services in an annexed area

 4-8     in accordance with Section 43.0565, Local Government Code.  A

 4-9     penalty assessed under this paragraph shall be not more than $1,000

4-10     for each day the services are not provided after March 1, 1998, for

4-11     areas annexed before January 1, 1993, or not provided within 4 1/2

4-12     years after the effective date of the annexation for areas annexed

4-13     on or after January 1, 1993.  A penalty collected under this

4-14     paragraph shall be deposited to the credit of [into] the water

4-15     resource management account [utility fund in the state treasury] to

4-16     be used to provide water and sewer service to residents of the

4-17     city.

4-18                 (7)  The regulatory assessment does not apply to water

4-19     that has not been treated for the purpose of human consumption.

4-20           SECTION 2.  Subchapter F, Chapter 5, Water Code, is amended

4-21     by adding Section 5.238 to read as follows:

4-22           Sec. 5.238.  ADMINISTRATIVE ACCOUNT.  The commission

4-23     administrative account is an account in the general revenue fund.

4-24     The account consists of reimbursements to the commission for

4-25     services provided by the commission and other sources specified by

4-26     law and authorized by legislative appropriation.

4-27           SECTION 3.  Section 11.329(d), Water Code, is amended to read

 5-1     as follows:

 5-2           (d)  The executive director shall deposit [transmit] all

 5-3     collections under this section to the credit of the watermaster

 5-4     administration account [State Treasurer].

 5-5           SECTION 4.  Section 12.113(b), Water Code, is amended to read

 5-6     as follows:

 5-7           (b)  The commission shall deposit all costs collected under

 5-8     Subchapter G [F], Chapter 11 of this code in the State Treasury to

 5-9     the credit of the watermaster [water rights] administration account

5-10     [fund], from which the commission shall pay all expenses necessary

5-11     to efficiently administer and perform the duties described in

5-12     Sections 11.325 through 11.335 of this code.

5-13           SECTION 5.  Section 13.453, Water Code, is amended to read as

5-14     follows:

5-15           Sec. 13.453.  COLLECTION AND DISPOSITION OF FEES [PAYMENT

5-16     INTO GENERAL REVENUE FUND].  All fees paid under Sections 13.4521

5-17     and 13.4522 of this code shall be collected by the executive

5-18     director and paid into the water resource management account

5-19     [General Revenue Fund].

5-20           SECTION 6.  Section 26.0135(h), Water Code, is amended to

5-21     read as follows:

5-22           (h)  The commission shall apportion, assess, and recover the

5-23     reasonable costs of administering the water quality management

5-24     programs under this section through the fiscal year ending August

5-25     31, 1998, from users of water and wastewater permit holders in the

5-26     watershed according to the records of the commission generally in

5-27     proportion to their right, through permit or contract, to use water

 6-1     from and discharge wastewater in the watershed.  Irrigation water

 6-2     rights will not be subject to this assessment.  The cost to river

 6-3     authorities and others to conduct regional water quality assessment

 6-4     shall be subject to prior review and approval by the commission as

 6-5     to methods of allocation and total amount to be recovered.  The

 6-6     commission shall adopt rules to supervise and implement the water

 6-7     quality assessment and associated costs.  The rules shall ensure

 6-8     that water users and wastewater dischargers do not pay excessive

 6-9     amounts, that a river authority may recover no more than the actual

6-10     costs of administering the water quality management programs called

6-11     for in this section, and that no municipality shall be assessed

6-12     cost for any efforts that duplicate water quality management

6-13     activities described in Section 26.177 of this chapter.  The rules

6-14     concerning the apportionment and assessment of reasonable costs

6-15     shall provide for a recovery of not more than $5,000,000 annually

6-16     through the fiscal year ending August 31, 1998.  Costs recovered by

6-17     the commission are to be deposited to the credit of the water

6-18     resource management account [quality fund].  The commission may

6-19     apply not more than 10 percent of the costs recovered annually

6-20     toward the commission's overhead costs for the administration of

6-21     this section and the implementation of regional water quality

6-22     assessments.  The commission shall file a final written report

6-23     accounting for the costs recovered under this section with the

6-24     governor, the lieutenant governor, and the speaker of the house of

6-25     representatives on or before December 31, 1998.  This subsection

6-26     expires January 1, 1999.

6-27           SECTION 7.  Section 26.0291(c), Water Code (effective until

 7-1     delegation of NPDES permit authority), is amended to read as

 7-2     follows:

 7-3           (c)  The fees collected under this section shall be deposited

 7-4     to the credit of the [in a special fund in the state treasury to be

 7-5     known as the] water resource management account, an account in the

 7-6     general revenue [quality] fund.  [Money in the fund shall be used

 7-7     as follows:]

 7-8                 [(1)  to supplement any other funds available for

 7-9     paying expenses of the commission in inspecting waste treatment

7-10     facilities;]

7-11                 [(2)  to pay for the issuance and renewal of

7-12     certificates of competency under and to administer Section 26.0301

7-13     of this code; and]

7-14                 [(3)  to pay for processing plans or amendments to

7-15     plans and inspecting the construction of projects under those plans

7-16     pursuant to Section 26.0461 of this code and rules of the

7-17     commission adopted under Sections 26.046 and 26.0461 of this code.]

7-18           SECTION 8.  Sections 26.0291(a) and (c), Water Code

7-19     (effective upon delegation of NPDES permit authority), are amended

7-20     to read as follows:

7-21           (a)  An annual waste treatment inspection fee is imposed on

7-22     each permittee for each waste discharge permit held by the

7-23     permittee.  The fee is to supplement any other funds available to

7-24     pay expenses of the commission in inspecting waste treatment

7-25     facilities and enforcing the laws of the state and the rules of the

7-26     commission governing waste discharge and waste treatment

7-27     facilities, including any expenses of the commission necessary to

 8-1     obtain from the federal government delegation of and to administer

 8-2     the national pollutant discharge elimination system (NPDES)

 8-3     program.  The fee for each year is imposed on each permit in effect

 8-4     during any part of the year.

 8-5           (c)  The fees collected under this section shall be deposited

 8-6     to the credit of [in a special fund in the state treasury to be

 8-7     known as] the water resource management account, an account in the

 8-8     general revenue [quality] fund.  [Money in the fund shall be used

 8-9     as follows:]

8-10                 [(1)  to supplement any other funds available for

8-11     paying expenses of the commission in inspecting waste treatment

8-12     facilities;]

8-13                 [(2)  to pay for the issuance and renewal of

8-14     certificates of competency under and to administer Section 26.0301

8-15     of this code;]

8-16                 [(3)  to pay for processing plans or amendments to

8-17     plans and inspecting the construction of projects under those plans

8-18     pursuant to Section 26.0461 of this code and rules of the

8-19     commission adopted under Sections 26.046 and 26.0461 of this code;

8-20     and]

8-21                 [(4)  to pay for any expenses of the commission

8-22     necessary to obtain and administer the NPDES program in lieu of the

8-23     federal government.]

8-24           SECTION 9.  Section 26.0301(e), Water Code, is amended to

8-25     read as follows:

8-26           (e)  The commission by rule shall set a fee to be paid by

8-27     each applicant or licensee on the issuance or renewal of a

 9-1     certificate of competency under this section.  The amount of the

 9-2     fee is determined according to the costs of the commission in

 9-3     administering this section, but may not exceed $25 annually for an

 9-4     individual wastewater treatment plant operator and $500 annually

 9-5     for a person, company, corporation, firm, or partnership that is in

 9-6     the business as a wastewater treatment facility operations company.

 9-7     The commission shall deposit any fees collected under this

 9-8     subsection in the state treasury to the credit of the commission

 9-9     occupational licensing account [water quality fund].

9-10           SECTION 10.  Section 26.044(c), Water Code, is amended to

9-11     read as follows:

9-12           (c)  The commission may delegate the administration and

9-13     performance of the certification function to the executive director

9-14     or to any other governmental entity.  The commission shall collect

9-15     the following fees from applicants for certification:

9-16     Boat Certificates (annual):

9-17     Initial Certificates for Pump-out              $35

9-18     Pump-out Renewal                               $25

9-19     Marine Sanitation Device (biennial):

9-20     Boat over 26 Feet or Houseboat                 $15

9-21     Boat 26 Feet or less with Permanent Device     $15

9-22     All certification fees shall be paid to the entity performing the

9-23     certification function.  All fees collected by any state agency

9-24     shall be deposited to the credit of the water resource management

9-25     account [in a special fund] for use by that agency in administering

9-26     and  performing the certification function [and shall not be

9-27     deposited in the General Revenue Fund of the state].

 10-1          SECTION 11.  Section 26.0461(h), Water Code, is amended to

 10-2    read as follows:

 10-3          (h)  A fee collected under this section shall be deposited in

 10-4    the State Treasury to the credit of the water resource management

 10-5    account and may be used only to implement and enforce this section

 10-6    [quality fund].

 10-7          SECTION 12.  Section 26.263(2), Water Code, is amended to

 10-8    read as follows:

 10-9                (2)  "Fund" means the Texas spill response account

10-10    [Spill Response Fund].

10-11          SECTION 13.  Section 26.265, Water Code, is amended to read

10-12    as follows:

10-13          Sec. 26.265.  TEXAS SPILL RESPONSE ACCOUNT [FUND].  (a)  The

10-14    [There is hereby created the] Texas spill response account is an

10-15    account in the general revenue fund [Spill Response Fund].  This

10-16    account [fund] shall not exceed $5 million, exclusive of fines  and

10-17    penalties received under this subchapter.

10-18          (b)  The account [fund] shall consist of money appropriated

10-19    to it by the legislature and any fines, civil penalties, or other

10-20    reimbursement to the account [fund] provided for under this

10-21    subchapter.

10-22          (c)  The commission may expend money in the account [fund]

10-23    only for the purposes of:

10-24                (1)  response to and investigation of spills and

10-25    discharges;

10-26                (2)  obtaining personnel, equipment, and supplies

10-27    required in the cleanup of discharges and spills; and

 11-1                (3)  the assessment of damages to and the restoration

 11-2    of land and aquatic resources held in trust or owned by the state.

 11-3          (d)  In addition to any cause of action under Chapter 40,

 11-4    Natural Resources Code, the state has a cause of action against any

 11-5    responsible person for recovery of:

 11-6                (1)  expenditures out of the account [fund]; and

 11-7                (2)  costs that would have been incurred or paid by the

 11-8    responsible person if the responsible person had fully carried out

 11-9    the duties under Section 26.266 of this code, including:

11-10                      (A)  reasonable costs of reasonable and necessary

11-11    scientific studies to determine impacts of the spill on the

11-12    environment and natural resources and to determine the manner in

11-13    which to respond to spill impacts;

11-14                      (B)  costs of attorney services;

11-15                      (C)  out-of-pocket costs associated with state

11-16    agency action;

11-17                      (D)  reasonable costs incurred by the state in

11-18    cleanup operations, including costs of personnel, equipment, and

11-19    supplies and restoration of land and aquatic resources held in

11-20    trust or owned by the state; and

11-21                      (E)  costs of remediating injuries proximately

11-22    caused by reasonable cleanup activities.

11-23          (e)  The state's right to recover under Subsection (d) of

11-24    this section arises whether or not expenditures have actually been

11-25    made out of the account [fund].

11-26          (f)  It is the intent of the legislature that the state

11-27    attempt to recover the costs of cleanup according to the following

 12-1    priority:

 12-2                (1)  a responsible person; and

 12-3                (2)  the federal government to the extent that recovery

 12-4    from a responsible person is insufficient to pay the costs of

 12-5    cleanup.

 12-6          (g)  In a suit brought under Subsection (d) of this section,

 12-7    any responsible person who, after reasonable notice has been given

 12-8    by the executive director, has failed, after a reasonable period,

 12-9    to carry out his duties under Section 26.266 of this code is liable

12-10    to the state for twice the costs incurred by the state under this

12-11    subchapter in cleaning up the spill or discharge.  Reasonable

12-12    notice under this subsection must include a statement as to the

12-13    basis for finding the person to whom notice is sent to be a

12-14    responsible person.  Any responsible person held liable under this

12-15    subsection or Subsection (d) of this section has the right to

12-16    recover indemnity or contribution from any third party who caused,

12-17    suffered, allowed, or permitted the spill or discharge.  Liability

12-18    arising under this subsection or Subsection (d) of this section

12-19    does not affect any rights the responsible person has against a

12-20    third party whose acts caused or contributed to the spill or

12-21    discharge.

12-22          SECTION 14.  Sections 26.346(c) and (e), Water Code, are

12-23    amended to read as follows:

12-24          (c)  The commission shall issue to each person who owns or

12-25    operates a petroleum storage tank that is registered under this

12-26    section a registration certificate that includes a brief

12-27    description of:

 13-1                (1)  the responsibility of the owner or operator under

 13-2    Section 26.3512 of this code; and

 13-3                (2)  the rights of the owner or operator to participate

 13-4    in the petroleum storage tank remediation account [fund] and

 13-5    groundwater protection cleanup program established under this

 13-6    subchapter.

 13-7          (e)  The owner or operator of an underground or aboveground

 13-8    storage tank installed before December 1, 1995, that is required to

 13-9    be registered under this section and that has not been registered

13-10    on or before December 31, 1995, is not eligible to receive

13-11    reimbursement for that tank from the petroleum storage tank

13-12    remediation account [fund] except for:

13-13                (1)  an owner of a registered facility who discovers an

13-14    unregistered tank while removing, upgrading, or replacing a tank or

13-15    while performing a site assessment;

13-16                (2)  a state or local governmental agency that

13-17    purchases a right-of-way and discovers during construction an

13-18    unregistered tank in the right-of-way; or

13-19                (3)  a property owner who reasonably could not have

13-20    known that a tank was located on the property because a title

13-21    search or the previous use of the property does not indicate a tank

13-22    on the property.

13-23          SECTION 15.  Section 26.351(d), Water Code, is amended to

13-24    read as follows:

13-25          (d)  The commission may retain agents to take corrective

13-26    action it considers necessary under this section.  The agents shall

13-27    operate under the direction of the executive director.  Any

 14-1    expenses arising from corrective action taken by the commission or

 14-2    the executive director may be paid from the waste management

 14-3    account [storage tank fund].

 14-4          SECTION 16.  Section 26.3511(a), Water Code, is amended to

 14-5    read as follows:

 14-6          (a)  Notwithstanding Section 26.351(c) of this code, to the

 14-7    extent that the commission pays from the petroleum storage tank

 14-8    remediation account [fund] or from sources other than the waste

 14-9    management account [storage tank fund] the expenses of the

14-10    investigations, cleanups, and corrective action measures it

14-11    performs, the commission may undertake those corrective action

14-12    measures described in Section 26.351 of this code in response to a

14-13    release or a threatened release from an underground or aboveground

14-14    storage tank under any circumstances in which the commission

14-15    considers it necessary to protect the public health and safety or

14-16    the environment.

14-17          SECTION 17.  Section 26.3512, Water Code, is amended to read

14-18    as follows:

14-19          Sec. 26.3512.  OWNER OR OPERATOR RESPONSIBILITY; LIMITATIONS

14-20    ON ACCOUNT [FUND] PAYMENTS FOR CORRECTIVE ACTION.  (a)  The

14-21    provisions of this subchapter relating to the groundwater

14-22    protection cleanup program and to the petroleum storage tank

14-23    remediation account [fund] do not limit the responsibility or

14-24    liability of an owner or operator of a petroleum storage tank

14-25    required to take corrective action under an order issued in

14-26    accordance with this subchapter by the commission.

14-27          (b)  Funds from the petroleum storage tank remediation

 15-1    account [fund] may not be used to pay, and the owner or operator of

 15-2    a petroleum  storage tank ordered by the commission to take

 15-3    corrective action is responsible for payment of, the following:

 15-4                (1)  the owner or operator contribution described by

 15-5    Subsections (e)-(k);

 15-6                (2)  any expenses for corrective action that exceed the

 15-7    applicable amount specified by Section 26.3573(m) [26.3573(l)];

 15-8                (3)  any expenses for corrective action that are not

 15-9    covered by payment from the petroleum storage tank remediation

15-10    account [fund] under the rules or decisions of the commission under

15-11    this subchapter;

15-12                (4)  any expenses for corrective action not ordered or

15-13    agreed to by the commission; or

15-14                (5)  any expenses for corrective action incurred for

15-15    confirmed releases initially discovered and reported to the

15-16    commission after December 22, 1998.

15-17          (c)  The owner or operator contribution under Subsection

15-18    (b)(1) of this section may include the costs of site assessment.

15-19          (d)  Subsection (b)(1) of this section does not prohibit

15-20    payment from the petroleum storage tank remediation account [fund]

15-21    of expenses incurred by an eligible owner or operator as a result

15-22    of an order issued by the commission under Section 26.356 of this

15-23    code if the commission finds that the eligible owner or operator is

15-24    not responsible for the release from a petroleum storage tank.  An

15-25    eligible owner or operator covered by this subsection is eligible

15-26    for reimbursement from the petroleum storage tank remediation

15-27    account [fund] for the expenses incurred relating to corrective

 16-1    action that result from the order issued by the commission under

 16-2    Section 26.356 of this code.

 16-3          (e)  If an owner or operator submits a site assessment in

 16-4    accordance with commission rules before December 23, 1996, the

 16-5    owner or operator shall pay under Subsection (b)(1) the first

 16-6    expenses for corrective action taken for each occurrence as

 16-7    follows:

 16-8                (1)  a person who owns or operates 1,000 or more single

 16-9    petroleum storage tanks, the first $10,000;

16-10                (2)  a person who owns or operates not fewer than 100

16-11    or more than 999 single petroleum storage tanks, the first $5,000;

16-12                (3)  a person who owns or operates not fewer than 13 or

16-13    more than 99 single petroleum storage tanks, the first $2,500; and

16-14                (4)  a person who owns or operates fewer than 13 single

16-15    petroleum storage tanks, the first $1,000.

16-16          (f)  If an owner or operator does not submit a site

16-17    assessment in accordance with commission rules before December 23,

16-18    1996, the owner or operator shall pay under Subsection (b)(1) the

16-19    first expenses for corrective action taken for each occurrence as

16-20    follows:

16-21                (1)  a person who owns or operates 1,000 or more single

16-22    petroleum storage tanks, the first $20,000;

16-23                (2)  a person who owns or operates not fewer than 100

16-24    or more than 999 single petroleum storage tanks, the first $10,000;

16-25                (3)  a person who owns or operates not fewer than 13 or

16-26    more than 99 single petroleum storage tanks, the first $5,000; and

16-27                (4)  a person who owns or operates fewer than 13 single

 17-1    petroleum storage tanks, the first $2,000.

 17-2          (g)  If an owner or operator's corrective action plan is

 17-3    approved by the commission under Section 26.3572 before December

 17-4    23, 1997, the owner or operator shall pay under Subsection (b)(1)

 17-5    the amount provided by Subsection (e) for the first expenses for

 17-6    corrective action taken for each occurrence.

 17-7          (h)  If an owner or operator's corrective action plan is not

 17-8    approved by the commission under Section 26.3572 before December

 17-9    23, 1997, the owner or operator shall pay under Subsection (b)(1)

17-10    the first expenses for corrective action taken for each occurrence

17-11    as follows:

17-12                (1)  a person who owns or operates 1,000 or more single

17-13    petroleum storage tanks, the first $40,000;

17-14                (2)  a person who owns or operates not fewer than 100

17-15    or more than 999 single petroleum storage tanks, the first $20,000;

17-16                (3)  a person who owns or operates not fewer than 13 or

17-17    more than 99 single petroleum storage tanks, the first $10,000; and

17-18                (4)  a person who owns or operates fewer than 13 single

17-19    petroleum storage tanks, the first $4,000.

17-20          (i)  If an owner or operator has a corrective action plan

17-21    approved by the commission under Section 26.3572 and before

17-22    December 23, 1998, has met the goals specified in the plan to be

17-23    met by that date, the owner or operator shall pay under Subsection

17-24    (b)(1) the amount specified by Subsection (e) for the first

17-25    expenses for corrective action taken for each occurrence.

17-26          (j)  If an owner or operator does not have a corrective

17-27    action plan approved by the commission under Section 26.3572 or, on

 18-1    December 23, 1998, has not met the goals specified in the plan to

 18-2    be met by that date, the owner or operator shall pay under

 18-3    Subsection (b)(1) the first expenses for corrective action taken

 18-4    for each occurrence as follows:

 18-5                (1)  a person who owns or operates 1,000 or more single

 18-6    petroleum storage tanks, the first $80,000;

 18-7                (2)  a person who owns or operates not fewer than 100

 18-8    or more than 999 single petroleum storage tanks, the first $40,000;

 18-9                (3)  a person who owns or operates not fewer than 13 or

18-10    more than 99 single petroleum storage tanks, the first $20,000; and

18-11                (4)  a person who owns or operates fewer than 13 single

18-12    petroleum storage tanks, the first $8,000.

18-13          (k)  An owner or operator of a site for which a closure

18-14    letter has been issued under Section 26.3572 shall pay under

18-15    Subsection (b)(1) the first $50,000 of expenses for corrective

18-16    action for each occurrence.

18-17          SECTION 18.  Sections 26.3513(i) and (k), Water Code, are

18-18    amended to read as follows:

18-19          (i)  The commission may use the petroleum storage tank

18-20    remediation account [fund] to take corrective action at any time

18-21    before, during, or after the conclusion of apportionment

18-22    proceedings commenced under this section.

18-23          (k)  Nothing in this section:

18-24                (1)  prohibits the commission from using the waste

18-25    management account [storage tank fund] to take corrective action as

18-26    provided by this  subchapter and having cost recovery for the waste

18-27    management account [storage tank fund]; or

 19-1                (2)  affects the assessment of administrative penalties

 19-2    by the commission for violations of this subchapter or rules or

 19-3    orders adopted thereunder.

 19-4          SECTION 19.  Sections 26.355(c), (d), (h), and (i), Water

 19-5    Code, are amended to read as follows:

 19-6          (c)  The state's right to recover under this section arises

 19-7    whether or not the commission:

 19-8                (1)  uses funds from the waste management account

 19-9    [storage tank fund] or the petroleum storage tank remediation

19-10    account [fund]; or

19-11                (2)  receives or will receive funds from the state, the

19-12    federal government, or any other source for the purpose of

19-13    corrective action or enforcement.

19-14          (d)  If the commission uses money from the petroleum storage

19-15    tank remediation account [fund] for corrective action or

19-16    enforcement and if the costs are recovered under this section, the

19-17    commission may not recover more than the amount of the applicable

19-18    owner or operator contribution described by Section 26.3512(e) of

19-19    this code from an eligible owner or operator for corrective action

19-20    for each occurrence.

19-21          (h)  Except as provided by Subsection (i) of this section,

19-22    money recovered in a court proceeding under this section shall be

19-23    deposited in the State Treasury to the credit of the waste

19-24    management account [storage tank fund].

19-25          (i)  If the commission uses money from the petroleum storage

19-26    tank remediation account [fund] for corrective action or

19-27    enforcement as provided by this subchapter, money recovered in a

 20-1    court proceeding  under this section shall be deposited in the

 20-2    state treasury to the credit of the petroleum storage tank

 20-3    remediation account [fund].

 20-4          SECTION 20.  Section 26.3572(b), Water Code, is amended to

 20-5    read as follows:

 20-6          (b)  In administering the program, the commission shall:

 20-7                (1)  negotiate with or direct responsible parties in

 20-8    site assessment and remediation matters using risk-based corrective

 20-9    action;

20-10                (2)  approve site-specific corrective action plans for

20-11    each site as necessary, using risk-based corrective action;

20-12                (3)  review and inspect site assessment and remedial

20-13    activities and reports;

20-14                (4)  use risk-based corrective action procedures as

20-15    determined by commission rule to establish cleanup levels;

20-16                (5)  adopt by rule criteria for assigning a priority to

20-17    each site using risk-based corrective action and assign a priority

20-18    to each site according to those criteria;

20-19                (6)  adopt by rule criteria for:

20-20                      (A)  risk-based corrective action site closures;

20-21    and

20-22                      (B)  the issuance of a closure letter to the

20-23    owner or operator of a tank site on completion of the commission's

20-24    corrective action requirements; and

20-25                (7)  process claims for petroleum storage tank

20-26    remediation account [fund] disbursement.

20-27          SECTION 21.  Section 26.3573, Water Code, is amended to read

 21-1    as follows:

 21-2          Sec. 26.3573.  PETROLEUM STORAGE TANK REMEDIATION ACCOUNT

 21-3    [FUND].  (a)  The petroleum storage tank remediation account [fund]

 21-4    is an account in the general revenue fund [created in the state

 21-5    treasury].  The commission shall administer the account [fund] in

 21-6    accordance with this subchapter.

 21-7          (b)  The petroleum storage tank remediation account [fund]

 21-8    consists of money from:

 21-9                (1)  fees charged under Section 26.3574 of this code;

21-10                (2)  the interest and penalties for the late payment of

21-11    the fee charged under Section 26.3574 of this code;

21-12                (3)  funds received from cost recovery for corrective

21-13    action and enforcement actions concerning petroleum storage tanks

21-14    as provided by this subchapter; and

21-15                (4)  temporary cash transfers and other transfers from

21-16    the general revenue fund authorized by Section 403.092(c),

21-17    Government Code.

21-18          (c)  Interest earned on amounts in the petroleum storage tank

21-19    remediation account [fund] shall be credited to the general revenue

21-20    fund.

21-21          (d)  The commission may use the money in the petroleum

21-22    storage tank remediation account [fund] to pay:

21-23                (1)  necessary expenses associated with the

21-24    administration of the petroleum storage tank remediation account

21-25    [fund] and the groundwater protection cleanup program, not to

21-26    exceed an amount equal to five percent of the gross receipts of

21-27    that account [fund], provided that the increment between two and

 22-1    five percent of the gross receipts may be used only to pay

 22-2    administrative expenses associated with regulating petroleum

 22-3    storage tanks, reimbursing eligible owners and operators, disposing

 22-4    of contaminated soils, and conducting claims audits in accordance

 22-5    with Section 26.35735 of this code;

 22-6                (2)  expenses associated with investigation, cleanup,

 22-7    or corrective action measures performed in response to a release or

 22-8    threatened release from a petroleum storage tank, whether those

 22-9    expenses are incurred by the commission or pursuant to a contract

22-10    between a contractor and an eligible owner or operator as

22-11    authorized by this subchapter; and

22-12                (3)  subject to the conditions of Subsection (e) of

22-13    this section, expenses associated with investigation, cleanup, or

22-14    corrective action measures performed in response to a release or

22-15    threatened release of hydraulic fluid or spent oil from hydraulic

22-16    lift systems or tanks located at a vehicle service and fueling

22-17    facility and used as part of the operations of that facility.

22-18          (e)  To consolidate appropriations, the commission may

22-19    transfer from the petroleum storage tank remediation account to the

22-20    waste management account an amount equal to the amounts authorized

22-21    under Subsection (d)(1), subject to the requirements of that

22-22    subsection.

22-23          (f)  The commission may pay from the account [fund] expenses

22-24    under Subsection (d)(3) of this section, whether or not the

22-25    hydraulic fluid or spent oil contamination is mixed with petroleum

22-26    product contamination, but the commission may require an eligible

22-27    owner or operator to demonstrate that the release of spent oil is

 23-1    not mixed with any substance except:

 23-2                (1)  hydraulic fluid from a hydraulic lift system;

 23-3                (2)  petroleum products from a petroleum storage tank

 23-4    system; or

 23-5                (3)  another substance that was contained in the

 23-6    hydraulic lift system or the spent oil tank owned or operated by

 23-7    the person claiming reimbursement.

 23-8          (g) [(f)]  The commission, in accordance with this subchapter

 23-9    and rules adopted under this subchapter, may:

23-10                (1)  contract directly with a person to perform

23-11    corrective action and pay the contractor from the petroleum storage

23-12    tank remediation account [fund];

23-13                (2)  reimburse an eligible owner or operator from the

23-14    petroleum storage tank remediation account [fund] for the expenses

23-15    of a corrective action that was:

23-16                      (A)  performed on or after September 1, 1987; and

23-17                      (B)  conducted in response to a confirmed release

23-18    that was initially discovered and reported to the commission on or

23-19    before December 22, 1998; or

23-20                (3)  pay the claim of a person who has contracted with

23-21    an eligible owner or operator to perform corrective action with

23-22    funds from the petroleum storage tank remediation account [fund].

23-23          (h) [(g)]  The commission shall administer the petroleum

23-24    storage tank remediation account [fund] and by rule adopt

23-25    guidelines and  procedures for the use of and eligibility for that

23-26    account [fund], subject to the availability of money in that

23-27    account [fund], as the  commission finds necessary to:

 24-1                (1)  make the most efficient use of the money

 24-2    available, including:

 24-3                      (A)  establishing priorities for payments from

 24-4    the account [fund]; and

 24-5                      (B)  suspending payments from the account [fund];

 24-6    and

 24-7                (2)  provide the most effective protection to the

 24-8    environment and provide for the public health and safety.

 24-9          (i) [(h)]  Consistent with the objectives provided under

24-10    Subsection (h) [(g)] of this section and this subchapter, the

24-11    commission may  by rule adopt:

24-12                (1)  guidelines the commission considers necessary for

24-13    determining the amounts that may be paid from the petroleum storage

24-14    tank remediation account [fund]; and

24-15                (2)  guidelines concerning reimbursement for expenses

24-16    incurred by an eligible owner or operator and covered under Section

24-17    26.3512(d) of this code.

24-18          (j) [(i)]  The commission by rule may implement a

24-19    registration program for persons who contract with an owner or

24-20    operator of an underground storage tank or an aboveground storage

24-21    tank, or with any other person, to perform corrective action under

24-22    this subchapter.  The commission, on the request of an

24-23    appropriately licensed or registered professional engineer, shall

24-24    register the engineer in the program.  An engineer registered in

24-25    the program may contract to perform corrective action under this

24-26    subchapter unless the State Board of Registration for Professional

24-27    Engineers determines the engineer is not qualified to perform a

 25-1    corrective action.  An engineer registered in the program is

 25-2    subject only to the examination requirements, continuing education

 25-3    requirements, fees, and disciplinary procedures adopted by the

 25-4    State Board of Registration for Professional Engineers.  The

 25-5    commission may adopt minimum qualifications for a person, other

 25-6    than an appropriately licensed or registered professional engineer,

 25-7    with whom an eligible owner or operator may contract to participate

 25-8    in a corrective action and for a person, other than an

 25-9    appropriately licensed or registered professional engineer, who

25-10    performs or supervises the corrective action.  The commission may

25-11    require the use of registered contractors and registered corrective

25-12    action supervisors by an eligible owner or operator as a

25-13    prerequisite to the payment of money from the petroleum storage

25-14    tank remediation account [fund] for corrective action under this

25-15    subchapter.  Any qualified registered contractor may conduct the

25-16    characterization, study, appraisal, or investigation of a site.  If

25-17    a site remediation involves the installation or construction of

25-18    on-site equipment, structures, or systems used in the extraction or

25-19    management of wastes, except for soil excavation and landfill

25-20    disposal or well sampling and monitoring, the owner or operator is

25-21    not eligible for reimbursement from the petroleum storage tank

25-22    remediation account [fund] unless the plans and specifications for

25-23    the equipment, structures, or systems are sealed by an

25-24    appropriately licensed or registered professional engineer and the

25-25    equipment, structures, or systems are constructed under the

25-26    supervision of an appropriately licensed or registered professional

25-27    engineer.  The commission by rule may establish a fee schedule and

 26-1    charge fees necessary to defray the costs of administering the

 26-2    registration program, including fees for processing applications,

 26-3    printing certificates, conducting examinations, and similar

 26-4    activities.  Fees collected under this subsection shall be

 26-5    deposited in the state treasury to the credit of the commission

 26-6    occupational licensing account [storage tank fund].  A person who

 26-7    violates a rule or order adopted by the commission under this

 26-8    subsection is subject to the appropriate sanctions and penalties

 26-9    imposed under this chapter.

26-10          (k) [(j)]  The commission shall hear any complaint regarding

26-11    the payment of a claim from the petroleum storage tank remediation

26-12    account [fund] arising from a contract between a contractor and an

26-13    eligible owner or operator.  A hearing held under this subsection

26-14    shall be conducted in accordance with the procedures for a

26-15    contested case under Chapter 2001, Government Code.  An appeal of a

26-16    commission decision under this subsection shall be to the district

26-17    court of Travis County and the substantial evidence rule applies.

26-18          (l) [(k)]  The commission shall satisfy a claim for payment

26-19    that is eligible to be paid under this subchapter and the rules

26-20    adopted under this subchapter made by a contractor, from the

26-21    petroleum storage tank remediation account [fund] as provided by

26-22    this section and rules adopted by the commission under this

26-23    section, regardless of whether the commission:

26-24                (1)  contracts directly for the goods or services; or

26-25                (2)  pays a claim under a contract executed by a

26-26    petroleum storage tank owner or operator.

26-27          (m) [(l)]  The commission may use any amount up to $1 million

 27-1    from the petroleum storage tank remediation account [fund] to pay

 27-2    expenses associated with the corrective action for each occurrence

 27-3    taken in response to a release from a petroleum storage tank.

 27-4          (n) [(m)]  The petroleum storage tank remediation account

 27-5    [fund] may not be used for corrective action taken in response to a

 27-6    release from an underground storage tank if the sole or principal

 27-7    substance in the tank is a hazardous substance.

 27-8          (o) [(n)]  The petroleum storage tank remediation account

 27-9    [fund] may be used to pay for corrective action in response to a

27-10    release whether the action is taken inside or outside of the

27-11    boundaries of the property on which the leaking petroleum storage

27-12    tank is located.

27-13          (p) [(o)]  The petroleum storage tank remediation account

27-14    [fund] may not be used to compensate third parties for bodily

27-15    injury or property damage.

27-16          (q) [(p)]  Notwithstanding any other law to the contrary, an

27-17    owner or operator, or an agent of an owner or operator, is not

27-18    entitled to and may not be paid interest on any claim for payment

27-19    from the petroleum storage tank remediation account [fund].

27-20          SECTION 22.  Section 26.35731, Water Code, is amended to read

27-21    as follows:

27-22          Sec. 26.35731.  CONSIDERATION AND PROCESSING OF APPLICATIONS

27-23    FOR REIMBURSEMENT.  (a)  Except as provided by Subsection (b), the

27-24    commission shall consider and process a claim by an eligible owner

27-25    or operator for reimbursement from the petroleum storage tank

27-26    remediation account [fund] in the order in which it is received.

27-27    The commission shall consider and process all claims by eligible

 28-1    owners and operators for reimbursement from the account [fund] that

 28-2    were received before September 1, 1995, before the commission

 28-3    considers a claim received after that date.

 28-4          (b)  The commission may not consider, process, or pay a claim

 28-5    for reimbursement from the petroleum storage tank remediation

 28-6    account [fund] for corrective action work begun after September 1,

 28-7    1993, and without prior commission approval until all claims for

 28-8    reimbursement for corrective action work preapproved by the

 28-9    commission have been considered, processed, and paid.

28-10          SECTION 23.  Sections 26.35735(a) and (c), Water Code, are

28-11    amended to read as follows:

28-12          (a)  The commission annually shall audit claims for payment

28-13    from the petroleum storage tank remediation account [fund].

28-14          (c)  The commission may use generally recognized sampling

28-15    techniques to audit claims if the commission determines that the

28-16    use of those techniques would be cost-effective and would promote

28-17    greater efficiency in administering claims for payment from the

28-18    petroleum storage tank remediation account [fund].

28-19          SECTION 24.  Sections 26.3574(w), (x), (y), and (z), Water

28-20    Code, are amended to read as follows:

28-21          (w)  The comptroller shall deduct two percent of the amount

28-22    collected under this section as the state's charge for its services

28-23    and shall credit the amount deducted to the general revenue fund.

28-24    The balance of the fees, penalties, and interest collected by the

28-25    comptroller shall be deposited in the state treasury to the credit

28-26    of the petroleum storage tank remediation account [fund].

28-27          (x)  After the deposits have been made to the credit of the

 29-1    general revenue fund under [as required by] Section 403.092(c)(1),

 29-2    Government Code, as added by Chapter 533, Acts of the 73rd

 29-3    Legislature, 1993, the fee imposed under this section may not be

 29-4    collected or required to be paid on or after the first day of the

 29-5    second month following notification by the commission of the date

 29-6    on which the unobligated balance in the petroleum storage tank

 29-7    remediation account [fund] equals or exceeds $125 million. The

 29-8    commission shall notify the comptroller in writing of the date on

 29-9    which the unobligated balance equals or exceeds $125 million.

29-10          (y)  If the unobligated balance in the petroleum storage tank

29-11    remediation account [fund] falls below $25 million, the fee shall

29-12    be reinstated, effective on the first day of the second month

29-13    following notification by the commission, in amounts determined as

29-14    follows:

29-15                (1)  $12.50 for each delivery into a cargo tank having

29-16    a capacity of less than 2,500 gallons;

29-17                (2)  $25 for each delivery into a cargo tank having a

29-18    capacity of 2,500 gallons or more but less than 5,000 gallons;

29-19                (3)  $37.50 for each delivery into a cargo tank having

29-20    a capacity of 5,000 gallons or more but less than 8,000 gallons;

29-21                (4)  $50 for each delivery into a cargo tank having a

29-22    capacity of 8,000 gallons or more but less than 10,000 gallons; and

29-23                (5)  a $25 fee for each increment of 5,000 gallons or

29-24    any part thereof delivered into a cargo tank having a capacity of

29-25    10,000 gallons or more.

29-26          (z)  For purposes of Subsections (x) and (y) of this section,

29-27    the unobligated balance in the petroleum storage tank remediation

 30-1    account [fund] shall be determined by subtracting from the cash

 30-2    balance of the account [fund] at the end of each month the sum of

 30-3    the total balances remaining on all contracts entered by the

 30-4    commission or an eligible owner for corrective action plus the

 30-5    total estimates made by the commission of allowable costs for

 30-6    corrective action that are unpaid relating to all commission orders

 30-7    issued before that date to enforce this subchapter.

 30-8          SECTION 25.  Section 26.358, Water Code, is amended to read

 30-9    as follows:

30-10          Sec. 26.358.  COLLECTION, USE, AND DISPOSITION OF STORAGE

30-11    TANK [FUND;] FEES AND OTHER REVENUES.  (a)  Revenues collected by

30-12    the commission under this section shall be deposited to the credit

30-13    of the waste management account  [The storage tank fund is created

30-14    in the State Treasury].

30-15          (b)  Under this subchapter, [The storage tank fund consists

30-16    of money collected by] the commission may collect [from]:

30-17                (1)  fees imposed on facilities with underground or

30-18    aboveground storage tanks used for the storage of regulated

30-19    substances;

30-20                (2)  the interest and penalties imposed under this

30-21    section for the late payment of those fees;

30-22                (3)  funds received from cost recovery for corrective

30-23    and enforcement actions taken under this subchapter, except as

30-24    provided by Subsection (c) of this section;

30-25                (4)  funds received from insurers, guarantors, or other

30-26    sources of financial responsibility; and

30-27                (5)  funds from the federal government and other

 31-1    sources for use in connection with the storage tank program.

 31-2          (c)  If the commission uses money from the petroleum storage

 31-3    tank remediation account [fund] for corrective action or

 31-4    enforcement as provided by this subchapter, money recovered in a

 31-5    court proceeding under Section 26.355 of this code shall be

 31-6    deposited in the state treasury to the credit of the petroleum

 31-7    storage tank remediation account [fund].

 31-8          (d)  The commission shall impose an annual facility fee on a

 31-9    facility that operates one or more underground or aboveground

31-10    storage tanks.  The commission may also impose reasonable interest

31-11    and penalties for late payment of the fee as provided by commission

31-12    rule.  The commission may establish a fee schedule that will

31-13    generate an amount of money sufficient to fund the commission's

31-14    budget for the regulatory program regarding underground and

31-15    aboveground storage tanks authorized by this subchapter.

31-16          (e)  Under this subchapter, the [The] commission may use

31-17    money in the waste management account [storage tank fund] to:

31-18                (1)  pay the costs of taking corrective action;

31-19                (2)  provide matching funds for grants and to fund

31-20    contracts executed under this subchapter; and

31-21                (3)  pay for administrative expenses, rules

31-22    development, enforcement, monitoring, and inspection costs, and

31-23    other costs incurred in the course of carrying out the purposes and

31-24    duties of this subchapter.

31-25          (f)  The maximum annual fee that the commission may impose on

31-26    a facility is $25 for each aboveground storage tank and $50 for

31-27    each underground storage tank operated at the facility.

 32-1          (g)  The commission shall collect the fees imposed under this

 32-2    section on dates set by commission rule.  The period between

 32-3    collection dates may not exceed two years.  [The commission shall

 32-4    deposit all fees collected and all interest and penalties for late

 32-5    payment in the State Treasury to the credit of the storage tank

 32-6    fund.]

 32-7          (h)  The commission shall adopt rules necessary to administer

 32-8    this section.

 32-9          SECTION 26.  Section 26.361, Water Code, is amended to read

32-10    as follows:

32-11          Sec. 26.361.  EXPIRATION OF REIMBURSEMENT PROGRAM.

32-12    Notwithstanding any other provision of this subchapter, the

32-13    reimbursement program established under this subchapter expires

32-14    September 1, 2001.  On or after September 1, 2001, the commission

32-15    may not:

32-16                (1)  use money from the petroleum storage tank

32-17    remediation account [fund] to reimburse an eligible owner or

32-18    operator for any expenses of corrective action or to pay the claim

32-19    of a person who has contracted with an eligible owner or operator

32-20    to perform corrective action; or

32-21                (2)  collect a fee under Section 26.3574 of this code.

32-22          SECTION 27.  Section 26.458(a), Water Code, is amended to

32-23    read as follows:

32-24          (a)  The commission shall charge necessary fees to defray the

32-25    costs of administering this subchapter, which shall be deposited in

32-26    the state treasury to the credit of the commission occupational

32-27    licensing [storage tank] account and shall be used by the

 33-1    commission in administering this subchapter. The fees may not

 33-2    exceed the following amounts:

 33-3     (1)  examination fee ..................................... $ 50;

 33-4     (2)  initial license application ......................... $200;

 33-5     (3)  annual license renewal fee .......................... $175;

 33-6     (4)  late renewal fee .................................... $ 25;

 33-7     (5)  duplicate license fee ............................... $ 10;

 33-8     (6)  certification of registration application fee ....... $ 50;

 33-9     (7)  certification of registration issuance fee .......... $100;

33-10     (8)  certification of registration annual renewal fee .... $ 75;

33-11     (9)  duplicate certification of registration or license .. $ 10;

33-12    (10)  application to change certificate of registration ... $ 70.

33-13          SECTION 28.  Section 32.014(b), Water Code, is amended to

33-14    read as follows:

33-15          (b)  All money collected by the commission under this chapter

33-16    shall be deposited to the credit of the commission occupational

33-17    licensing account [water well drillers fund] and may be used only

33-18    to administer this chapter.  The commission shall allocate not more

33-19    than 20 percent of the money collected under this chapter [water

33-20    well drillers fund] to cover administrative costs of the

33-21    commission.

33-22          SECTION 29.  Section 33.012(b), Water Code, is amended to

33-23    read as follows:

33-24          (b)  All money collected by the commission under this chapter

33-25    shall be deposited to the credit of the commission occupational

33-26    licensing account [water well drillers fund].

33-27          SECTION 30.  Section 34.005, Water Code, is amended to read

 34-1    as follows:

 34-2          Sec. 34.005.  COMMISSION FINANCES.  (a)  Money paid to the

 34-3    commission under this chapter shall be deposited to the credit of

 34-4    an account in the general revenue fund [in the state treasury in a

 34-5    special fund] known as the commission occupational licensing

 34-6    account [Texas irrigators fund].

 34-7          (b)  Revenues collected under this chapter [The Texas

 34-8    irrigators fund] shall be used to pay only expenses approved by the

 34-9    commission that are incurred in the administration and enforcement

34-10    of this chapter.

34-11          SECTION 31.  Section 341.034, Health and Safety Code, is

34-12    amended by adding Subsection (c) to read as follows:

34-13          (c)  Fees collected by the commission under this section

34-14    shall be deposited to the credit of the commission occupational

34-15    licensing account.

34-16          SECTION 32.  Section 341.041, Health and Safety Code, is

34-17    amended by adding Subsection (c) to read as follows:

34-18          (c)  Revenues collected by the commission under this

34-19    subchapter shall be deposited to the credit of the water resource

34-20    management account.

34-21          SECTION 33.  Section 361.014, Health and Safety Code, is

34-22    amended by amending Subsections (a) and (c) and adding Subsection

34-23    (d) to read as follows:

34-24          (a)  Revenue received by the commission under Section 361.013

34-25    shall be deposited in the state treasury to the credit of the

34-26    commission.  Half of the revenue is dedicated to the commission's

34-27    municipal solid waste permitting and enforcement programs and

 35-1    related support activities and to pay for activities that will

 35-2    enhance the state's solid waste management program, including:

 35-3                (1)  provision of funds for the municipal solid waste

 35-4    management planning fund and the municipal solid waste resource

 35-5    recovery applied research and technical assistance fund established

 35-6    by the Comprehensive Municipal Solid Waste Management, Resource

 35-7    Recovery, and Conservation Act (Chapter 363);

 35-8                (2)  conduct of demonstration projects and studies to

 35-9    help local governments of various populations and the private

35-10    sector to convert to accounting systems and set rates that reflect

35-11    the full costs of providing waste management services and are

35-12    proportionate to the amount of waste generated;

35-13                (3)  provision of technical assistance to local

35-14    governments concerning solid waste management;

35-15                (4)  establishment of a solid waste resource center in

35-16    the commission and an office of waste minimization and recycling;

35-17                (5)  provision of supplemental funding to local

35-18    governments for the enforcement of this chapter, the Texas Litter

35-19    Abatement Act (Chapter 365), and Chapters 391 and 683,

35-20    Transportation Code [Chapter 741, Acts of the 67th Legislature,

35-21    Regular Session, 1981 (Article 4477-9a, Vernon's Texas Civil

35-22    Statutes)];

35-23                (6)  conduct of a statewide public awareness program

35-24    concerning solid waste management;

35-25                (7)  provision of supplemental funds for other state

35-26    agencies with responsibilities concerning solid waste management,

35-27    recycling, and other initiatives with the purpose of diverting

 36-1    recyclable waste from landfills;

 36-2                (8)  conduct of research to promote the development and

 36-3    stimulation of markets for recycled waste products;

 36-4                (9)  creation of a state municipal solid waste

 36-5    superfund for:

 36-6                      (A)  the cleanup of unauthorized tire dumps and

 36-7    solid waste dumps for which a responsible party cannot be located

 36-8    or is not immediately financially able to provide the cleanup; and

 36-9                      (B)  the cleanup or proper closure of abandoned

36-10    or contaminated municipal solid waste sites for which a responsible

36-11    party is not immediately financially able to provide the cleanup;

36-12                (10)  provision of funds to mitigate the economic and

36-13    environmental impacts of lead-acid battery recycling activities on

36-14    local governments; and

36-15                (11)  provision of funds for the conduct of research by

36-16    a public or private entity to assist the state in developing new

36-17    technologies and methods to reduce the amount of municipal waste

36-18    disposed of in landfills.

36-19          (c)  Revenue derived from fees charged under Section

36-20    361.013(c) to a transporter of whole used or scrap tires or

36-21    shredded tire pieces shall be deposited to the credit of the waste

36-22    tire recycling account [fund].

36-23          (d)  Revenues allocated to the commission for the purposes

36-24    authorized by Subsection (a)  shall be deposited to the credit of

36-25    the waste management account.  Revenues allocated to local and

36-26    regional solid waste projects shall be deposited to the credit of

36-27    an account in the general revenue fund known as the municipal solid

 37-1    waste disposal account.

 37-2          SECTION 34.  Section 361.027(c), Health and Safety Code, is

 37-3    amended to read as follows:

 37-4          (c)  The commission may:

 37-5                (1)  prescribe standards of training required for the

 37-6    program;

 37-7                (2)  determine the duration of the letter of

 37-8    competency;

 37-9                (3)  award one or more categories of letters of

37-10    competency with each category reflecting a different degree of

37-11    training or skill;

37-12                (4)  require a reasonable, nonrefundable fee, in an

37-13    amount determined from time to time by the commission, to be paid

37-14    by participants, deposited to the credit of the commission

37-15    occupational licensing account [general revenue fund], and used to

37-16    administer the  program;

37-17                (5)  extend or renew letters of competency issued by

37-18    the commission; and

37-19                (6)  withdraw a letter of competency for good cause,

37-20    which may include a violation of this chapter or a rule of the

37-21    commission concerning the technician's duties and responsibilities.

37-22          SECTION 35.  Section 361.132, Health and Safety Code, is

37-23    amended to read as follows:

37-24          Sec. 361.132.  HAZARDOUS AND SOLID WASTE FEES; WASTE

37-25    MANAGEMENT ACCOUNT [FUND].  (a)  The waste management account is an

37-26    account  [hazardous and solid waste fees fund is] in the general

37-27    revenue fund [state treasury].

 38-1          (b)  The account [fund] consists of money:

 38-2                (1)  collected by the commission under this subchapter

 38-3    as [from]:

 38-4                      (A) [(1)]  fees imposed on generators of

 38-5    industrial solid waste or hazardous waste under Section 361.134;

 38-6                      (B) [(2)]  fees imposed on owners or operators of

 38-7    permitted industrial solid waste or hazardous waste facilities, or

 38-8    owners or operators of industrial solid waste or hazardous waste

 38-9    facilities subject to the requirement of permit authorization,

38-10    under Section 361.135;

38-11                      (C) [(3)]  fees imposed on the owner or operator

38-12    of an industrial solid waste or hazardous waste facility for

38-13    noncommercial and commercial management or disposal of hazardous

38-14    waste or commercial disposal of industrial solid waste under

38-15    Section 361.136;

38-16                      (D) [(4)]  fees imposed on applicants for

38-17    industrial solid waste and hazardous waste permits under Section

38-18    361.137; and

38-19                      (E) [(5)]  interest and penalties imposed under

38-20    Section 361.140 for late payment of industrial solid waste and

38-21    hazardous waste fees authorized under this subchapter; or

38-22                (2)  deposited to the fund as otherwise provided by

38-23    law.

38-24          (c)  Except as provided by Section 361.136(l)(1), the

38-25    commission may use the money collected under this subchapter [in

38-26    the fund] only for regulation of industrial solid and hazardous

38-27    waste under this chapter, including payment to other state agencies

 39-1    for services provided under contract concerning enforcement of this

 39-2    chapter.

 39-3          (d)  Any unobligated balance in the account [fund] at the end

 39-4    of the state fiscal year may, at the discretion of the commission,

 39-5    be transferred to the hazardous and solid waste remediation fee

 39-6    account [fund].

 39-7          SECTION 36.  Section 361.133, Health and Safety Code, is

 39-8    amended to read as follows:

 39-9          Sec. 361.133.  HAZARDOUS AND SOLID WASTE REMEDIATION FEE

39-10    ACCOUNT [FUND].  (a)  The hazardous and solid waste remediation fee

39-11    account [fund] is an account in the general revenue fund [state

39-12    treasury].

39-13          (b)  The account [fund] consists of money collected by the

39-14    commission from:

39-15                (1)  fees imposed on the owner or operator of an

39-16    industrial solid waste or hazardous waste facility for commercial

39-17    and noncommercial management or disposal of hazardous waste or

39-18    commercial disposal of industrial solid waste under Section 361.136

39-19    and fees imposed under Section 361.138;

39-20                (2)  interest and penalties imposed under Section

39-21    361.140 for late payment of a fee or late filing of a report;

39-22                (3)  money paid by a person liable for facility cleanup

39-23    and maintenance under Section 361.197;

39-24                (4)  the interest received from the investment of this

39-25    account [fund], in accounts under the charge of the treasurer, to

39-26    be credited pro rata to the hazardous and solid waste remediation

39-27    fee account [fund];

 40-1                (5)  monies transferred from other agencies under

 40-2    provisions of this code or grants or other payments from any person

 40-3    made for the purpose of remediation of facilities under this

 40-4    chapter or the investigation, cleanup, or removal of a spill or

 40-5    release of a hazardous substance;

 40-6                (6)  fees imposed under Section 361.604; and

 40-7                (7)  federal grants received for the implementation or

 40-8    administration of state voluntary cleanup programs.

 40-9          (c)  The commission may use the money collected and deposited

40-10    to the credit of the account [fund] under this section, including

40-11    interest credited under Subsection (b)(4), only for:

40-12                (1)  necessary and appropriate removal and remedial

40-13    action at sites at which solid waste or hazardous substances have

40-14    been disposed if funds from a liable person, independent third

40-15    person, or the federal government are not sufficient for the

40-16    removal or remedial action;

40-17                (2)  necessary and appropriate maintenance of removal

40-18    and remedial actions for the expected life of those actions if:

40-19                      (A)  funds from a liable person have been

40-20    collected and deposited to the credit of the account [fund] for

40-21    that purpose; or

40-22                      (B)  funds from a liable person, independent

40-23    third person, or the federal government are not sufficient for the

40-24    maintenance;

40-25                (3)  expenses concerning compliance with:

40-26                      (A)  the Comprehensive Environmental Response,

40-27    Compensation and Liability Act of 1980 (42 U.S.C. Section 9601 et

 41-1    seq.) as amended;

 41-2                      (B)  the federal Superfund Amendments and

 41-3    Reauthorization Act of 1986 (10 U.S.C. Section 2701 et seq.); and

 41-4                      (C)  Subchapters F and I;

 41-5                (4)  expenses concerning the regulation and management

 41-6    of household hazardous substances and the prevention of pollution

 41-7    of the water resources of the state from the uncontrolled release

 41-8    of hazardous substances;

 41-9                (5)  expenses concerning the cleanup or removal of a

41-10    spill, release, or potential threat of release of a hazardous

41-11    substance where immediate action is appropriate to protect human

41-12    health and the environment; and

41-13                (6)  expenses concerning implementation of the

41-14    voluntary cleanup program under Subchapter S.

41-15          (d)  The commission shall establish the fee rates for waste

41-16    management under Section 361.136 and revise them as necessary.  The

41-17    amount collected each year shall not exceed $16 million after

41-18    making payments to counties under Section 361.136(l)(1).

41-19          (e)  The commission shall monitor the unobligated balance in

41-20    the hazardous and solid waste remediation fee account [fund] and

41-21    all sources of revenue to the account [fund] and may adjust the

41-22    amount of fees collected under Subsection (d) [of this section] and

41-23    Section 361.138 [of this chapter], within prescribed limits, to

41-24    maintain an unobligated balance of no more than $25 million at the

41-25    end of each fiscal year.

41-26          (f)  For the purpose of Subsection (e) of this section, the

41-27    unobligated balance in the hazardous and solid waste remediation

 42-1    fee account [fund] shall be determined by subtracting from the cash

 42-2    balance of the account [fund] at the end of each quarter:

 42-3                (1)  the total of all operating expenses encumbered by

 42-4    the commission from the account [fund];

 42-5                (2)  the sum of the total balances remaining on all

 42-6    contracts entered into by the commission to be paid from the

 42-7    account [fund]; and

 42-8                (3)  the estimated total cost of investigation and

 42-9    remedial action at any site eligible for funding under the

42-10    Comprehensive Environmental Response, Compensation and Liability

42-11    Act, as amended, or Subchapters F or I and not currently under

42-12    contract.

42-13          SECTION 37.  Section 361.134(e), Health and Safety Code, is

42-14    amended to read as follows:

42-15          (e)  Wastes generated in a removal or remedial action

42-16    accomplished through the expenditure of public funds from the

42-17    hazardous and solid waste remediation fee account [fund] shall be

42-18    exempt from any generation fee assessed under this section.

42-19          SECTION 38.  Sections 361.136(i) and (l), Health and Safety

42-20    Code, are amended to read as follows:

42-21          (i)  The storage, processing, or disposal of industrial solid

42-22    wastes or hazardous wastes generated in a removal or remedial

42-23    action accomplished through the expenditure of public funds from

42-24    the hazardous and solid waste remediation fee account [fund] shall

42-25    be exempt from the assessment of a waste management fee under this

42-26    section.

42-27          (l)  Fees collected under this section shall be credited as

 43-1    follows:

 43-2                (1)  25 percent of the waste management fees collected

 43-3    from each commercial waste storage, processing, or disposal

 43-4    facility under this section shall be credited to the [hazardous and

 43-5    solid] waste management account [fees fund] to be distributed to

 43-6    the county in which the facility is located to assist that county

 43-7    in defraying the costs associated with commercial industrial solid

 43-8    waste and hazardous waste management facilities; and

 43-9                (2)  of the remaining amount of the commercial waste

43-10    management fees and of the total amount of the noncommercial waste

43-11    management fees collected from each waste storage, processing, or

43-12    disposal facility:

43-13                      (A)  50 percent of each amount shall be credited

43-14    to the hazardous and solid waste remediation fee account [fund];

43-15    and

43-16                      (B)  50 percent of each amount shall be credited

43-17    to the [hazardous and solid] waste management account [fees fund].

43-18          SECTION 39.  Section 361.137(d), Health and Safety Code, is

43-19    amended to read as follows:

43-20          (d)  Application fees collected under this section shall be

43-21    deposited to the credit of the [hazardous and solid] waste

43-22    management account [fees fund].

43-23          SECTION 40.  Section 361.138(j), Health and Safety Code, is

43-24    amended to read as follows:

43-25          (j)  The comptroller may deduct a percentage of the fees

43-26    collected under this section, not to exceed four percent of

43-27    receipts, to pay the reasonable and necessary costs of

 44-1    administering and enforcing this section.  The comptroller shall

 44-2    credit the amount deducted to the general revenue fund.  The

 44-3    balance of the fees, penalties, and interest collected by the

 44-4    comptroller under this section shall be deposited to the hazardous

 44-5    and solid waste remediation fee account [fund].

 44-6          SECTION 41.  Section 361.140(d), Health and Safety Code, is

 44-7    amended to read as follows:

 44-8          (d)  Any penalty collected under this section for late filing

 44-9    of reports shall be deposited in the state treasury to the credit

44-10    of the hazardous and solid waste remediation fee account [fund].

44-11          SECTION 42.  Section 361.195, Health and Safety Code, is

44-12    amended to read as follows:

44-13          Sec. 361.195.  PAYMENTS FROM HAZARDOUS AND SOLID WASTE

44-14    REMEDIATION [DISPOSAL] FEE ACCOUNT [FUND].  (a)  Money for actions

44-15    taken  or to be taken by the commission in connection with the

44-16    elimination of an imminent and substantial endangerment to the

44-17    public health and safety or the environment under this subchapter

44-18    is payable directly to the commission from the hazardous and solid

44-19    waste  remediation [disposal] fee account [fund].  These payments

44-20    include any costs of inspection or sampling and laboratory analysis

44-21    of wastes, soils, air, surface water, and groundwater done on

44-22    behalf of a state agency and the costs of investigations to

44-23    identify and locate potentially responsible parties.

44-24          (b)  The commission shall seek remediation of facilities by

44-25    potentially responsible parties before expenditure of federal or

44-26    state funds for the remediations.

44-27          SECTION 43.  Sections 361.201(b) and (c), Health and Safety

 45-1    Code, are amended to read as follows:

 45-2          (b)  If no financially capable, potentially responsible

 45-3    parties exist for a facility, the commission shall issue an

 45-4    administrative order stating its determination that the facility

 45-5    constitutes an imminent and substantial endangerment and that there

 45-6    are no financially capable, potentially responsible parties.  The

 45-7    commission shall then conduct its own remediation study and

 45-8    remedial action, using federal funds if available, or, if federal

 45-9    funds are not available, using state funds from the hazardous and

45-10    solid waste remediation [disposal] fee account [fund].

45-11          (c)  Generally, the remediation of listed facilities shall be

45-12    achieved first by private party funding, second with the aid of

45-13    federal funds, and third, if necessary, with state funds from the

45-14    hazardous and solid waste remediation [disposal] fee account

45-15    [fund].

45-16          SECTION 44.  Section 361.471(1), Health and Safety Code, is

45-17    amended to read as follows:

45-18                (1)  "Fund" means the waste tire recycling account

45-19    [fund].

45-20          SECTION 45.  Sections 361.474 and 361.475, Health and Safety

45-21    Code, are amended to read as follows:

45-22          Sec. 361.474.  DISPOSITION OF FEES AND PENALTIES.  Fees and

45-23    penalties collected under this subchapter shall be deposited in the

45-24    state treasury to the credit of the waste tire recycling account

45-25    [fund].

45-26          Sec. 361.475.  WASTE TIRE RECYCLING ACCOUNT [FUND].  (a)  The

45-27    waste tire recycling account [fund] is a special account in the

 46-1    general  revenue fund.

 46-2          (b)  The commission shall administer the account [fund].

 46-3          (c)  The account [fund] consists of fees and penalties

 46-4    collected under this subchapter, interest on money in the account

 46-5    [fund], and  money from gifts, grants, or any other source intended

 46-6    to be used for the purposes of this subchapter.

 46-7          (d)  The account [fund] shall be used only to:

 46-8                (1)  pay waste tire processors, waste tire energy

 46-9    recovery facility owners or operators, or waste tire recyclers that

46-10    meet the requirements for payment under Section 361.477, 361.4771,

46-11    361.4772, or 361.4773 and rules adopted under those sections;

46-12                (2)  pay the commission's reasonable and necessary

46-13    administrative costs of performing its duties under this subchapter

46-14    in an amount not to exceed six percent of the money annually

46-15    accruing to the account [fund];

46-16                (3)  pay the comptroller's reasonable and necessary

46-17    administrative costs of performing the comptroller's duties under

46-18    this subchapter in an amount not to exceed two percent of the money

46-19    annually accruing to the account [fund];

46-20                (4)  provide grants to waste tire energy recovery

46-21    facility owners or operators to cover equipment capital investment

46-22    costs and equipment installation costs to enable a facility to use

46-23    tire shreds as fuel; and

46-24                (5)  provide grants for recycling facility construction

46-25    costs.

46-26          (e)  Registration fees received under Section 361.4725 shall

46-27    be allocated to the commission for its reasonable and necessary

 47-1    costs associated with reviewing applications for registration of

 47-2    and with registering:

 47-3                (1)  fixed and mobile tire processing facilities and

 47-4    storage sites;

 47-5                (2)  waste tire energy recovery facilities and storage

 47-6    sites; and

 47-7                (3)  waste tire recyclers.

 47-8          (f)  The account [fund] may not be used to reimburse

 47-9    shredding or burning of:

47-10                (1)  inner tubes;

47-11                (2)  scrap rubber products;

47-12                (3)  green tires;

47-13                (4)  industrial solid waste, excluding waste tires;

47-14                (5)  oversized tires, as defined by commission rule,

47-15    unless the oversized tires are collected from a priority

47-16    enforcement list site;

47-17                (6)  manufacturer reject tires; or

47-18                (7)  nonpneumatic tires.

47-19          (g)  The commission may classify special authorization tires,

47-20    as defined by commission rule, as priority enforcement list tires.

47-21          (h)  The account [fund] shall maintain a balance of not less

47-22    than $500,000.

47-23          (i)  If the commission has reason to believe that the balance

47-24    of money appropriated from the account [fund] will fall below

47-25    $500,000, the commission may:

47-26                (1)  suspend the requirement to reimburse priority

47-27    enforcement list tires shredded in excess of the minimum percentage

 48-1    identified in Section 361.477(c)(3)(C);

 48-2                (2)  limit the number of waste tires for which a

 48-3    processor, waste tire energy recovery facility owner or operator,

 48-4    or waste tire recycler will be reimbursed; or

 48-5                (3)  discontinue paid carryover.

 48-6          (j)  The revenues obtained from the waste tire recycling fees

 48-7    shall be deposited to the credit of the waste tire recycling

 48-8    account [fund] and may be used only to pay for those activities and

 48-9    costs identified in Subsection (d) or (e).

48-10          (k)  To consolidate appropriations, the commission may

48-11    transfer the amounts authorized under Subsection (d)(2) to the

48-12    waste management account, subject to the limitations of that

48-13    subsection.

48-14          SECTION 46.  Section 361.4774, Health and Safety Code, is

48-15    amended to read as follows:

48-16          Sec. 361.4774.  LIMITED USE OF WASTE TIRE RECYCLING ACCOUNT

48-17    [FUND]; GRANTS, REIMBURSEMENT, AND ADMINISTRATIVE EXPENSES.  (a)

48-18    For performing duties related to the waste tire program, each

48-19    fiscal year the comptroller may expend up to $680,000 or an amount

48-20    equal to two percent of the waste tire recycling account [recovery

48-21    fund], whichever is greater.

48-22          (b)  For administering the waste tire recycling program, each

48-23    fiscal year the commission may expend not more than the lesser of

48-24    $2.05 million or an amount equal to six percent of the amount

48-25    appropriated from the waste tire recycling account [fund] for the

48-26    administration and operation of the waste tire recycling program.

48-27          (c)  Each fiscal year, the commission may expend not more

 49-1    than:

 49-2                (1)  $1.4 million for paying accrued carryover credits

 49-3    as provided by Section 361.499;

 49-4                (2)  $15.2 million for tire shredding under Section

 49-5    361.477;

 49-6                (3)  $3.52 million for the cleanup and closure of

 49-7    priority enforcement list tire sites as provided by Sections

 49-8    361.476 and 361.477;

 49-9                (4)  $2 million for providing recycling facility

49-10    construction grants under Section 361.4772;

49-11                (5)  $600,000 for payments to energy recovery

49-12    facilities under Section 361.4773 at a rate of 40 cents per weighed

49-13    tire unit; and

49-14                (6)  $6 million to provide grants for retrofitting

49-15    facilities to use whole or shredded tires for fuel or for paying

49-16    for facilities to use whole tires for fuel as provided by

49-17    Subsections (d) and (e).

49-18          (d)  For fiscal year 1996, the commission may expend not more

49-19    than $4 million for:

49-20                (1)  providing grants to waste tire energy recovery

49-21    facilities that are not using tire-derived fuel and apply for

49-22    assistance to cover retrofitting costs the commission determines

49-23    are necessary to enable the facilities to use whole tires as fuel;

49-24    and

49-25                (2)  paying a facility eligible for a grant under

49-26    Subdivision (1), but for which the commission has not made a grant,

49-27    an amount of up to 80 cents per weighed tire unit.

 50-1          (e)  A person receiving payments for weighed tires under

 50-2    Subsection (d)(2) may not receive reimbursements that exceed the

 50-3    total of:

 50-4                (1)  the amount of the retrofitting costs the facility

 50-5    would have received if the person had applied for a grant under

 50-6    Subsection (d)(1); and

 50-7                (2)  the cost, as determined by the commission, of

 50-8    transporting to the facility the number of whole tires used for

 50-9    fuel until the payments under Subsection (d)(2) equal the amount of

50-10    the retrofitting costs the facility would have received.

50-11          (f)  For fiscal year 1996, the commission may expend not more

50-12    than $2 million to provide grants to waste tire energy recovery

50-13    facilities that are not using tire-derived fuel and apply for

50-14    assistance to cover retrofitting costs the commission determines

50-15    are necessary to enable the facilities to use shredded tires as

50-16    fuel.

50-17          (g)  For the period beginning September 1, 1996, and ending

50-18    December 31, 1997, the commission may expend not more than $6

50-19    million for payments to waste tire energy recovery facilities that

50-20    burn whole tires at a rate of 80 cents per weighed tire unit used.

50-21          (h)  After the third quarter of each year of the fiscal

50-22    biennium, funds that remain unused for the purposes specified in

50-23    Subsections (a)-(g) may be transferred for use for a purpose

50-24    specified in Subsections (c)-(g) at the discretion of the

50-25    commission to promote recycling and energy recovery.

50-26          SECTION 47.  Section 361.478(a), Health and Safety Code, is

50-27    amended to read as follows:

 51-1          (a)  Beginning January 1, 1996, and every two years after

 51-2    that date, the commission shall evaluate according to standards

 51-3    adopted by commission rule the recycling and energy recovery

 51-4    activities of each waste tire processor that received payment from

 51-5    the waste tire recycling account [fund].

 51-6          SECTION 48.  Section 361.479(e), Health and Safety Code, is

 51-7    amended to read as follows:

 51-8          (e)  Evidence of financial responsibility may be in the form

 51-9    of:

51-10                (1)  a performance bond or a letter of credit

51-11    acceptable to the commission that is from a financial institution,

51-12    a trust fund, or insurance for a privately owned facility; or

51-13                (2)  a self-insurance test designed by the commission

51-14    for a publicly owned facility.  A person who makes an initial

51-15    request for reimbursement from the waste tire recycling account

51-16    [fund] on or after September 1, 1993, must provide evidence of

51-17    financial responsibility for the full amount determined under

51-18    Subsection (d).

51-19          SECTION 49.  Section 361.483(c), Health and Safety Code, is

51-20    amended to read as follows:

51-21          (c)  A penalty collected under this section shall be

51-22    deposited to the credit of the waste tire recycling account [fund].

51-23          SECTION 50.  Sections 361.489(a) and (e), Health and Safety

51-24    Code, are amended to read as follows:

51-25          (a)  The commission may, with the funds available to the

51-26    commission from the waste tire recycling account [fund], undertake

51-27    immediate remediation of a site if, after investigation, the

 52-1    commission finds:

 52-2                (1)  that there exists a situation caused by the

 52-3    illegal dumping of scrap tires that is causing or may cause

 52-4    imminent and substantial endangerment to the public health and

 52-5    safety or the environment; and

 52-6                (2)  the immediacy of the situation makes it

 52-7    prejudicial to the public interest to delay action until an

 52-8    administrative order can be issued to potentially responsible

 52-9    parties or until a judgment can be entered in an appeal of an

52-10    administrative order.

52-11          (e)  Money collected in a suit to recover costs shall be

52-12    deposited to the credit of the waste tire recycling account [fund].

52-13          SECTION 51.  Section 361.498, Health and Safety Code, is

52-14    amended to read as follows:

52-15          Sec. 361.498.  COMMUNITY SERVICE.  Persons seeking

52-16    reimbursement from the waste tire recycling account [fund] shall

52-17    perform community service on an annual basis.  Community service

52-18    includes cooperation with local civic groups to clean up abandoned

52-19    tire sites that are not classified as priority enforcement list

52-20    sites.  The tires collected under this section are eligible for

52-21    reimbursement.

52-22          SECTION 52.  Section 361.499, Health and Safety Code, is

52-23    amended to read as follows:

52-24          Sec. 361.499.  PRIORITY FOR CARRYOVER CREDIT PAYMENTS.

52-25    Notwithstanding any other provision of this subchapter, any amounts

52-26    paid from the waste tire recycling account [fund] shall be used

52-27    first to compensate waste tire processors for carryover credits

 53-1    that accrued before September 1, 1995, for waste tires shredded in

 53-2    excess of allocations.  The carryover credits shall be paid as soon

 53-3    as practicable up to the amount appropriated for that purpose.

 53-4          SECTION 53.  Section 361.604(e), Health and Safety Code, is

 53-5    amended to read as follows:

 53-6          (e)  Fees collected under this section shall be deposited to

 53-7    the credit of the hazardous and solid waste remediation fee account

 53-8    [fund].

 53-9          SECTION 54.  Section 366.013, Health and Safety Code, is

53-10    amended by adding Subsection (c) to read as follows:

53-11          (c)  Fees collected under this section shall be deposited to

53-12    the credit of the commission occupational licensing account.

53-13          SECTION 55.  Section 366.014, Health and Safety Code, is

53-14    amended by adding Subsection (c) to read as follows:

53-15          (c)  Fees collected under this section shall be deposited to

53-16    the credit of the commission occupational licensing account.

53-17          SECTION 56.  Section 366.058, Health and Safety Code, is

53-18    amended by adding Subsection (c) to read as follows:

53-19          (c)  Fees collected under this section shall be deposited to

53-20    the credit of the water resource management account.

53-21          SECTION 57.  Section 366.059, Health and Safety Code, is

53-22    amended by adding Subsection (c) to read as follows:

53-23          (c)  Fees collected under this section shall be deposited to

53-24    the credit of the water resource management account.

53-25          SECTION 58.  Section 366.074, Health and Safety Code, is

53-26    amended to read as follows:

53-27          Sec. 366.074.  REGISTRATION FEE.  The commission shall

 54-1    establish and collect a reasonable registration fee to cover the

 54-2    cost of issuing registrations under this chapter.  Fees collected

 54-3    under this section shall be deposited to the credit of the

 54-4    commission occupational licensing account.

 54-5          SECTION 59.  Section 370.008(d), Health and Safety Code, is

 54-6    amended to read as follows:

 54-7          (d)  Fees collected under this section shall be deposited in

 54-8    the state treasury to the credit of the [hazardous and solid] waste

 54-9    management account [fee fund].

54-10          SECTION 60.  The title to Subchapter D, Chapter 371, Health

54-11    and Safety Code, is amended to read as follows:

54-12          SUBCHAPTER D.  USED OIL RECYCLING ACCOUNT [FUND]; FEES

54-13          SECTION 61.  Section 371.0245(e), Health and Safety Code, is

54-14    amended to read as follows:

54-15          (e)  Reimbursements made under this section shall be paid out

54-16    of the used oil recycling account [fund] and may not exceed an

54-17    aggregate amount of $500,000 each fiscal year.

54-18          SECTION 62.  Section 371.0246(d), Health and Safety Code, is

54-19    amended to read as follows:

54-20          (d)  All claims for reimbursement filed under this section

54-21    and Section 371.0245 are subject to funds available for

54-22    disbursement in the used oil recycling account [fund] and to

54-23    Section 371.0245(e).  This subchapter does not create an

54-24    entitlement to money in the used oil recycling account [fund] or

54-25    any other fund.

54-26          SECTION 63.  Section 371.043(b), Health and Safety Code, is

54-27    amended to read as follows:

 55-1          (b)  A civil penalty recovered in a suit brought by a local

 55-2    government under this section shall be divided equally between the

 55-3    state and the local government that brought the suit.  The state

 55-4    shall deposit its recovery to the credit of the used oil recycling

 55-5    account [fund].

 55-6          SECTION 64.  Section 371.061, Health and Safety Code, is

 55-7    amended to read as follows:

 55-8          Sec. 371.061.  USED OIL RECYCLING ACCOUNT [FUND].  (a)  The

 55-9    used oil recycling account [fund] is in the state treasury.

55-10          (b)  The account [fund] consists of:

55-11                (1)  fees collected under Sections 371.024, 371.026,

55-12    and 371.062;

55-13                (2)  interest and penalties imposed under this chapter

55-14    for late payment of fees, failure to file a report, or other

55-15    violations of this chapter; and

55-16                (3)  gifts, grants, donations, or other financial

55-17    assistance the commission is authorized to receive under Section

55-18    371.027.

55-19          (c)  Except as provided by Subsection (d), the commission may

55-20    use money in the account [fund] only for purposes authorized by

55-21    this chapter, including:

55-22                (1)  public education;

55-23                (2)  grants to public and private do-it-yourselfer used

55-24    oil collection centers and used oil collection centers;

55-25                (3)  registration of do-it-yourselfer used oil

55-26    collection centers, used oil collection centers, and used oil

55-27    handlers other than generators; and

 56-1                (4)  administrative costs of implementing this chapter.

 56-2          (e)  The account [fund] is exempt from the application of

 56-3    Section [Sections 403.094(h) and]  403.095, Government Code.

 56-4          (f)  For the purpose of consolidating appropriations, the

 56-5    commission may transfer any amount authorized under Subsection

 56-6    (c)(4) or by legislative appropriation to the waste management

 56-7    account subject to the limitations and requirements of this

 56-8    chapter.

 56-9          SECTION 65.  Section 371.062(l), Health and Safety Code, is

56-10    amended to read as follows:

56-11          (l)  The comptroller may deduct a percentage of the fees

56-12    collected under this section in an amount sufficient to pay the

56-13    reasonable and necessary costs of administering and enforcing this

56-14    section.  The comptroller shall credit the amount deducted to the

56-15    general revenue fund.   The balance of fees and all penalties and

56-16    interest collected under this section shall be deposited to the

56-17    credit of the used oil recycling account [fund].

56-18          SECTION 66.  Section 371.063, Health and Safety Code, is

56-19    amended to read as follows:

56-20          Sec. 371.063.  ANNUAL REPORTING REQUIREMENT.  The commission

56-21    shall monitor the balance of the used oil recycling account [fund]

56-22    and shall provide a detailed report of all income, expenditures,

56-23    and programs funded to the Texas Legislature on an annual basis.

56-24          SECTION 67.  Section 372.002(d), Health and Safety Code, is

56-25    amended to read as follows:

56-26          (d)  The commission may assess against a manufacturer or an

56-27    importer a reasonable fee for an inspection of a product to

 57-1    determine the accuracy of the manufacturer's or importer's

 57-2    certification in an amount determined by the commission to cover

 57-3    the expenses incurred in the administration of this chapter.  A fee

 57-4    received by the commission under this subsection shall be deposited

 57-5    in the state treasury to the credit of the water resource

 57-6    management account [commission] and may be used only for the

 57-7    administration of  this chapter.

 57-8          SECTION 68.  Subchapter B, Chapter 382, Health and Safety

 57-9    Code, is amended  by adding Section 382.0335 to read as follows:

57-10          Sec. 382.0335.  AIR CONTROL ACCOUNT.  (a)  The commission may

57-11    apply for, solicit, contract for, receive, or accept money from any

57-12    source to carry out its duties under this chapter.

57-13          (b)  Money received by the commission under this section

57-14    shall be deposited to the credit of the air control account, an

57-15    account in the general revenue fund.  The commission may use money

57-16    in the account for any necessary expenses incurred in carrying out

57-17    commission duties under this chapter.

57-18          SECTION 69.  Section 382.037(k), Health and Safety Code, is

57-19    amended to read as follows:

57-20          (k)  The commission by rule may establish classes of vehicles

57-21    that are exempt from vehicle emissions inspections and by rule may

57-22    establish procedures to allow and review petitions for the

57-23    exemption of individual vehicles, according to criteria established

57-24    by commission rule.  Rules adopted by the commission under this

57-25    subsection must be consistent with federal law.  The commission by

57-26    rule may establish fees to recover the costs of administering this

57-27    subsection.  Fees collected under this subsection shall be

 58-1    deposited to the credit of [remitted to the comptroller for deposit

 58-2    in] the clean air account, an account in the general revenue fund,

 58-3    and may be used only for the purposes of this section.

 58-4          SECTION 70.  Section 382.0622(b), Health and Safety Code, is

 58-5    amended to read as follows:

 58-6          (b)  Clean Air Act fees shall be deposited in the state

 58-7    treasury to the credit of the clean air account [fund] and shall be

 58-8    used to safeguard the air resources of the state.

 58-9          SECTION 71.  Section 401.412(f), Health and Safety Code, is

58-10    amended to read as follows:

58-11          (f)  The commission shall establish by rule the amounts

58-12    appropriate for the fees collected under this section.  The fees

58-13    collected under this section shall be deposited in the water

58-14    management account [radioactive substance fee fund] and

58-15    reappropriated for use by  the commission for expenses incurred by

58-16    the commission in administering the provisions of this chapter.

58-17          SECTION 72.  Effective September 1, 1997:

58-18                (1)  the Texas Water Development Board administrative

58-19    fund 041, authorized under Section 17.075, Water Code, is renamed

58-20    as the Texas Natural Resource Conservation Commission

58-21    administrative account and reestablished under Section 5.238, Water

58-22    Code, as added by this Act;

58-23                (2)  the Texas irrigators fund 468, authorized under

58-24    Section 34.005, Water Code, is renamed as the commission

58-25    occupational licensing account;

58-26                (3)  the water rights administration fund 158,

58-27    authorized under Section 12.113, Water Code, is renamed as the

 59-1    watermaster administration account;

 59-2                (4)  the water quality fund 153 is renamed as the water

 59-3    resource management account;

 59-4                (5)  the hazardous and solid waste fees fund 549 is

 59-5    renamed as the waste management account;

 59-6                (6)  the water well drillers fund 079 is abolished, and

 59-7    any unexpended balance in that fund is transferred to the

 59-8    commission occupational licensing account;

 59-9                (7)  the water utility fund 172 is abolished and any

59-10    unexpended balance in that fund is transferred to the water

59-11    resource management account;

59-12                (8)  the radioactive substance fee fund 340 is

59-13    abolished and any unexpended balance in that fund is transferred to

59-14    the waste management account; and

59-15                (9)  the storage tank fund 583 is abolished and any

59-16    unexpended balance in that fund is transferred to the waste

59-17    management account.

59-18          SECTION 73.  The changes in law made by  this Act do not

59-19    authorize revenues that have been set aside by law for a particular

59-20    purpose to be used for a purpose that was not authorized by law

59-21    before the effective date of this Act.  Except as otherwise

59-22    provided by another Act of the 75th Legislature, Regular Session,

59-23    1997, revenue dedicated to a particular purpose under the law in

59-24    effect on August 31, 1997, continues to be dedicated to that

59-25    purpose regardless of any provision of this Act consolidating,

59-26    renaming, or abolishing a particular fund or account.

59-27          SECTION 74.  An appropriation made by the 75th Legislature,

 60-1    Regular Session, to or from a fund abolished or consolidated by

 60-2    this Act is, unless otherwise expressly provided, an appropriation

 60-3    to or from, as appropriate, the account or fund provided by this

 60-4    Act as the replacement fund for the sources of revenue formerly

 60-5    credited to the abolished or consolidated fund.

 60-6          SECTION 75.  This Act takes effect September 1, 1997.

 60-7          SECTION 76.  The importance of this legislation and the

 60-8    crowded condition of the calendars in both houses create an

 60-9    emergency and an imperative public necessity that the

60-10    constitutional rule requiring bills to be read on three several

60-11    days in each house be suspended, and this rule is hereby suspended.