By Ogden S.B. No. 925
75R7284 T
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the imposition, collection, and administration of LPG
1-3 delivery fees.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 113.243(b), Natural Resources Code, is
1-6 amended to read as follows:
1-7 (b) The fund consists of money from:
1-8 (1) fees charged under this subchapter;
1-9 (2) the penalties for the late payment of the fee
1-10 charged under this subchapter;
1-11 (3) gifts, grants, or other assistance received by the
1-12 commission from any source for the purposes of this subchapter;
1-13 [and]
1-14 (4) interest earned on amounts in the fund; and
1-15 (5) funds collected by the commission under agreements
1-16 with other states pursuant to subsection (c) of section 113.246 of
1-17 this chapter.
1-18 SECTION 2. Section 113.243(b), Natural Resources Code, is
1-19 amended to read as follows:
1-20 (b) The fund consists of money from:
1-21 (1) fees charged under this subchapter;
1-22 (2) the penalties for the late payment of the fee
1-23 charged under this subchapter;
1-24 (3) gifts, grants, or other assistance received by the
2-1 commission from any source for the purposes of this subchapter;
2-2 [and]
2-3 (4) interest earned on amounts in the fund;
2-4 (5) funds collected by the commission under agreements
2-5 with other states pursuant to subsection (c) of section 113.246 of
2-6 this chapter; and
2-7 (6) assessments, rebates on assessments, and other
2-8 funds collected by the commission under the federal Propane
2-9 Education and Research Act of 1996 (P.L. 104-284 (1996)) or other
2-10 applicable federal law.
2-11 SECTION 3. Section 113.243(c), Natural Resources Code, is
2-12 amended to read as follows:
2-13 (c) Rules adopted and promulgated by the commission under
2-14 this section shall specify the following:
2-15 (1) rebate levels for various types of equipment such
2-16 that the rebates achieve an amount of public good comparable to the
2-17 rebate amount;
2-18 (2) a condition that the recipient agree to practice
2-19 environmentally sound operating principles;
2-20 (3) a condition that the rebate recipient agree to not
2-21 modify the equipment for a specified number of years as set by the
2-22 commission;
2-23 (4) any other conditions or restrictions determined by
2-24 the commission that would help ensure that either of the desired
2-25 goals of achieving energy conservation and efficiency or improving
2-26 air quality in this state is furthered;
2-27 (5) a limitation on the proportion of the fund usable
3-1 for the rebate program that limits the proportion usable to not
3-2 more than 50 [25] percent of the funds available.
3-3 SECTION 4. Section 113.244, Natural Resources Code, is
3-4 amended to read as follows:
3-5 Sec. 113.244. Fee on Delivery of LPG. (a) A fee is imposed
3-6 on [the first sale of] odorized LPG delivered into any means of
3-7 conveyance to be sold and placed into commerce. [, as provided by
3-8 this section. Each operator of a loading rack on delivery into any
3-9 cargo container shall collect from the person who purchases the
3-10 odorized LPG a] The fee shall be in an amount determined as
3-11 follows:
3-12 (1) $7.50 for each delivery [into a cargo tank having
3-13 a capacity] of less than 1,500 gallons;
3-14 (2) $9 for each delivery [into a cargo tank having a
3-15 capacity] of 1,500 gallons or more but less than 1,800 gallons;
3-16 (3) $10 for each delivery [into a cargo tank having a
3-17 capacity] of 1,800 gallons or more but less than 2,000 gallons;
3-18 (4) $12.50 for each delivery [into a cargo tank having
3-19 a capacity] of 2,000 gallons or more but less than 2,500 gallons;
3-20 (5) $13.50 for each delivery [into a cargo tank having
3-21 a capacity] of 2,500 gallons or more but less than 2,700 gallons;
3-22 (6) $25 for each delivery [into a cargo tank having a
3-23 capacity] of 2,700 gallons or more but less than 5,000 gallons;
3-24 (7) $37.50 for each delivery [into a cargo tank having
3-25 a capacity] of 5,000 gallons or more but less than 8,000 gallons;
3-26 (8) $50 for each delivery [into a cargo tank having a
3-27 capacity] of 8,000 gallons or more but less than 12,000 gallons;
4-1 and
4-2 (9) [a] $25 [fee] for each increment of 5,000 gallons
4-3 or any part of 5,000 gallons included in a delivery [delivered into
4-4 a cargo tank having a capacity] of 12,000 gallons or more.
4-5 (b) The owner of LPG at the time of odorization, or the time
4-6 of import of odorized LPG, shall pay the fee based on the net
4-7 amount of odorized LPG sold and placed into commerce. The fee
4-8 shall be collected and remitted to the commission pursuant to
4-9 section 113.245 of this chapter by the person who odorizes the LPG
4-10 or imports odorized LPG. [The fee shall be computed on the net
4-11 amount of odorized LPG delivered into a cargo tank.]
4-12 (c) "Import" means LPG that enters this state from another
4-13 state or from outside the United States.
4-14 (d) The fee does not apply to a delivery of odorized LPG
4-15 destined for export from the United States [this state] if the LPG
4-16 is in continuous movement to a destination outside the United
4-17 States [this state].
4-18 (e) If the commission is party to an agreement with another
4-19 state's propane education and research program pursuant to section
4-20 113.246(b) of this chapter, the fee on LPG destined for export to
4-21 that state and in continuous movement to a destination in that
4-22 state shall be assessed at the rate in effect in that state.
4-23 (f) The commission may transfer fees collected under
4-24 subsection (e) of this section to the agency or organization that
4-25 is party to the commission's agreement with that state.
4-26 SECTION 5. Section 113.245, Natural Resources Code, is
4-27 amended to read as follows:
5-1 Sec. 113.245. Report and Remission of Fees. (a) Each
5-2 person responsible for collecting and remitting a fee on a delivery
5-3 of LPG [operator of a loading rack] shall, on or before the 25th
5-4 day of the month following the end of each calendar month, file a
5-5 report with the commission and remit the amount of fees required to
5-6 be collected or paid during the preceding month.
5-7 (b) Each person responsible for collecting and remitting a
5-8 fee on a delivery of LPG [operator of a loading rack] or the
5-9 person's [operator's] representative shall prepare the report
5-10 required under Subsection (a) of this section on a form provided or
5-11 approved by the commission.
5-12 SECTION 6. Section 113.246, Natural Resources Code, is
5-13 amended to read as follows:
5-14 Sec. 113.246. Rules Regarding Fees. (a) The commission
5-15 shall adopt rules necessary for the administration, collection,
5-16 reporting, and payment of the fees payable or collected under this
5-17 subchapter.
5-18 (b) The commission may enter into agreements with agencies
5-19 of or organizations in other states to coordinate the
5-20 administration, collection, reporting, and payment of the fees
5-21 payable or collected under this subchapter and other states'
5-22 propane education and research programs created by state law or
5-23 regulation.
5-24 (c) Agreements executed under subsection (b) of this section
5-25 may include, but are not limited to, reporting, auditing,
5-26 collecting, apportioning, and remitting fees and assessments
5-27 payable or collected under this subchapter, any applicable federal
6-1 law, and other states' propane education and research programs.
6-2 The commission may adopt rules necessary to implement these
6-3 agreements.
6-4 SECTION 7. Section 113.246, Natural Resources Code, is
6-5 amended to read as follows:
6-6 Sec. 113.246. Rules Regarding Fees. (a) The commission
6-7 shall adopt rules necessary for the administration, collection,
6-8 reporting, and payment of the fees payable or collected under this
6-9 subchapter and the Propane Education and Research Act of 1996 or
6-10 other applicable federal law. The commission may enter into
6-11 agreements with agencies of or organizations in other states and
6-12 with the national Propane Education and Research Council to
6-13 coordinate the administration, collection, reporting, and payment
6-14 of the fees payable or collected under the Propane Education and
6-15 Research Act of 1996 or other applicable federal law.
6-16 (b) The commission may enter into agreements with agencies
6-17 of or organizations in other states to coordinate the
6-18 administration, collection, reporting, and payment of the fees
6-19 payable or collected under this subchapter and other states'
6-20 propane education and research programs created by state law or
6-21 regulation.
6-22 (c) Agreements executed under subsections (a) and (b) of
6-23 this section may include, but are not limited to, reporting,
6-24 auditing, collecting, apportioning, and remitting fees and
6-25 assessments payable or collected under this subchapter, the Propane
6-26 Education and Research Act of 1996 or other applicable federal law,
6-27 and other states' propane education and research programs. The
7-1 commission may adopt rules necessary to implement these agreements.
7-2 SECTION 8. Sections 1, 3, 4, 5, 6, 8, 9, and 10 of this Act
7-3 take effect September 1, 1997.
7-4 SECTION 9. Sections 2 and 7 of this Act take effect upon the
7-5 later of either (1) September 1, 1997, or (2) the commission's
7-6 receipt and acceptance of a written report by an independent
7-7 auditing firm confirming that the industry referendums required
7-8 under Section 4 of the Propane Education and Research Act of 1996
7-9 (P.L. 104-284 (1996)) have been approved by producers representing
7-10 two-thirds of the total volume of propane voted in the producer
7-11 class and by retail marketers representing two-thirds of the total
7-12 volume of propane voted in the retail marketer class.
7-13 SECTION 10. The importance of this legislation and the
7-14 crowded condition of the calendars in both houses create an
7-15 emergency and an imperative public necessity that the
7-16 constitutional rule requiring bills to be read on three several
7-17 days in each house be suspended, and this rule is hereby suspended.