1-1 AN ACT
1-2 relating to the Texas Experimental Research and Recovery Activity
1-3 (TERRA) of the Railroad Commission of Texas.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 93.004, Natural Resources Code, is
1-6 amended to read as follows:
1-7 Sec. 93.004. TERRA FUND; CERTIFICATION. (a) The TERRA fund
1-8 is created in the state treasury.
1-9 (b) The commission shall send to the comptroller, or notify
1-10 the comptroller of the amounts of money to be transferred, for
1-11 credit to the TERRA fund:
1-12 (1) license fees collected under Section 93.033;
1-13 (2) money from the oil-field cleanup fund as provided
1-14 by Section 93.013(c);
1-15 (3) payments received under Section 93.013(a)(8);
1-16 (4) payments received under Sections 93.036 and
1-17 93.052;
1-18 (5) [on January 1 of each year, an amount from the
1-19 oil-field cleanup fund equal to the total money received by that
1-20 fund from the sale of salvaged equipment under Sections 89.085(d)
1-21 and 91.115(f), less the total money paid out to claimants under
1-22 Section 89.086, during the previous fiscal year;]
1-23 [(6)] private contributions or grants; and
1-24 (6) [(7)] any other money as provided by this chapter.
2-1 (c) On or after January 1 of each year, the commission may
2-2 notify the comptroller to transfer, for the credit of the TERRA
2-3 fund, an amount from the oil-field cleanup fund equal to the total
2-4 money received by that fund from the sale of salvaged equipment
2-5 under Sections 89.085(d) and 91.115(f), less the total money paid
2-6 to claimants under Section 89.086 during the previous fiscal year.
2-7 (d) Interest earned on the TERRA fund shall be credited to
2-8 the fund.
2-9 (e) [(d)] Money in the TERRA fund may be used by the
2-10 commission only for:
2-11 (1) the purposes of TERRA, including administrative
2-12 costs; and
2-13 (2) administrative and program costs of the commission
2-14 relating to its oil and gas activities, including those under
2-15 Subchapter M, Chapter 91.
2-16 (f) If the TERRA fund balance is less than twice the
2-17 estimated plugging costs of all unplugged TERRA wellbores, [except
2-18 that] the commission may not use or pledge [not] more than 75
2-19 percent of the annual interest earned on the money in the fund for
2-20 the [these] purposes described by Subsection (e)(2). If the TERRA
2-21 fund balance is less than the total estimated plugging costs of all
2-22 TERRA wellbores, the commission may use or pledge TERRA funds only
2-23 for the purpose described in Subsection (e)(1).
2-24 [(e) Money in the TERRA fund may not be used or pledged for
2-25 a purpose described by Subsection (d)(2) unless the unobligated
2-26 money in the TERRA fund exceeds the total estimated plugging cost
2-27 of all unplugged TERRA wellbores.]
3-1 SECTION 2. Section 93.011, Natural Resources Code, is
3-2 amended by adding Subsection (i) to read as follows:
3-3 (i) A well scheduled for plugging with state money may be
3-4 placed in TERRA without a TERRA agreement, but the well may not be
3-5 licensed under Subchapter C unless the owners of the required
3-6 mineral interest have executed a TERRA agreement under this
3-7 section.
3-8 SECTION 3. Section 93.042, Natural Resources Code, is
3-9 amended to read as follows:
3-10 Sec. 93.042. PREVENTION OF POLLUTION. This chapter does not
3-11 limit the commission's authority under this title to prevent
3-12 pollution, plug wells, or control or clean up oil and gas wastes or
3-13 other substances or material. The commission, while a well is in
3-14 the TERRA program, shall assume all well plugging duties for the
3-15 well and, with the exception of the compliance requirements of a
3-16 valid TERRA license holder, all pollution prevention and control
3-17 responsibilities. The commission shall conduct annual inspections
3-18 and appropriate tests to ensure the continuing integrity of the
3-19 wellbore. The commission shall keep and retain the necessary
3-20 records to prove compliance with this requirement.
3-21 SECTION 4. This Act takes effect on September 1, 1997.
3-22 SECTION 5. The importance of this legislation and the
3-23 crowded condition of the calendars in both houses create an
3-24 emergency and an imperative public necessity that the
3-25 constitutional rule requiring bills to be read on three several
3-26 days in each house be suspended, and this rule is hereby suspended,
3-27 and that this Act take effect and be in force from and after its
4-1 passage, and it is so enacted.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 3490 was passed by the House on April
16, 1997, by a non-record vote; and that the House concurred in
Senate amendments to H.B. No. 3490 on May 8, 1997, by a non-record
vote; and that the House adopted H.C.R. No. 257 authorizing certain
corrections in H.B. No. 3490 on May 14, 1997, by a non-record vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 3490 was passed by the Senate, with
amendments, on May 6, 1997, by the following vote: Yeas 29, Nays
0, 2 present, not voting; and that the Senate adopted H.C.R. No.
257 authorizing certain corrections in H.B. No. 3490 on May 16,
1997, by a viva-voce vote.
_______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor