1-1 By: Ogden S.B. No. 925
1-2 (In the Senate - Filed March 4, 1997; March 6, 1997, read
1-3 first time and referred to Committee on Natural Resources;
1-4 April 4, 1997, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 11, Nays 0; April 4, 1997,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 925 By: Ogden
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the imposition, collection, and administration of LPG
1-11 delivery fees.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Effective as provided by Subsection (b) of
1-14 Section 8 of this Act, Subsection (b), Section 113.243, Natural
1-15 Resources Code, is amended to read as follows:
1-16 (b) The fund consists of money from:
1-17 (1) fees charged under this subchapter;
1-18 (2) the penalties for the late payment of the fee
1-19 charged under this subchapter;
1-20 (3) gifts, grants, or other assistance received by the
1-21 commission from any source for the purposes of this subchapter;
1-22 [and]
1-23 (4) interest earned on amounts in the fund; and
1-24 (5) amounts collected by the commission under an
1-25 agreement with another state in accordance with Section 113.246(c).
1-26 SECTION 2. Effective as provided by Subsection (c) of
1-27 Section 8 of this Act, Subsection (b), Section 113.243, Natural
1-28 Resources Code, is amended to read as follows:
1-29 (b) The fund consists of money from:
1-30 (1) fees charged under this subchapter;
1-31 (2) the penalties for the late payment of the fee
1-32 charged under this subchapter;
1-33 (3) gifts, grants, or other assistance received by the
1-34 commission from any source for the purposes of this subchapter;
1-35 [and]
1-36 (4) interest earned on amounts in the fund;
1-37 (5) amounts collected by the commission under an
1-38 agreement with another state in accordance with Section 113.246(c);
1-39 and
1-40 (6) assessments, rebates on assessments, and other
1-41 money collected by the commission under the Propane Education and
1-42 Research Act of 1996 (Pub. L. No. 104-284) or other applicable
1-43 federal law.
1-44 SECTION 3. Subsection (c), Section 113.2435, Natural
1-45 Resources Code, is amended to read as follows:
1-46 (c) Rules adopted and promulgated by the commission under
1-47 this section shall specify the following:
1-48 (1) rebate levels for various types of equipment such
1-49 that the rebates achieve an amount of public good comparable to the
1-50 rebate amount;
1-51 (2) a condition that the recipient agree to practice
1-52 environmentally sound operating principles;
1-53 (3) a condition that the rebate recipient agree to not
1-54 modify the equipment for a specified number of years as set by the
1-55 commission;
1-56 (4) any other conditions or restrictions determined by
1-57 the commission that would help ensure that either of the desired
1-58 goals of achieving energy conservation and efficiency or improving
1-59 air quality in this state is furthered;
1-60 (5) a limitation on the proportion of the fund usable
1-61 for the rebate program that limits the proportion usable to not
1-62 more than 50 [25] percent of the funds available.
1-63 SECTION 4. Section 113.244, Natural Resources Code, is
1-64 amended to read as follows:
2-1 Sec. 113.244. FEE ON DELIVERY OF LPG. (a) A fee is imposed
2-2 on [the first sale of] odorized LPG delivered into any means of
2-3 conveyance to be sold and placed into commerce. Except as provided
2-4 by Subsection (e), the [as provided by this section. Each operator
2-5 of a loading rack on delivery into any cargo container shall
2-6 collect from the person who purchases the odorized LPG a] fee is in
2-7 an amount determined as follows:
2-8 (1) $7.50 for each delivery [into a cargo tank having
2-9 a capacity] of less than 1,500 gallons;
2-10 (2) $9 for each delivery [into a cargo tank having a
2-11 capacity] of 1,500 gallons or more but less than 1,800 gallons;
2-12 (3) $10 for each delivery [into a cargo tank having a
2-13 capacity] of 1,800 gallons or more but less than 2,000 gallons;
2-14 (4) $12.50 for each delivery [into a cargo tank having
2-15 a capacity] of 2,000 gallons or more but less than 2,500 gallons;
2-16 (5) $13.50 for each delivery [into a cargo tank having
2-17 a capacity] of 2,500 gallons or more but less than 2,700 gallons;
2-18 (6) $25 for each delivery [into a cargo tank having a
2-19 capacity] of 2,700 gallons or more but less than 5,000 gallons;
2-20 (7) $37.50 for each delivery [into a cargo tank having
2-21 a capacity] of 5,000 gallons or more but less than 8,000 gallons;
2-22 (8) $50 for each delivery [into a cargo tank having a
2-23 capacity] of 8,000 gallons or more but less than 12,000 gallons;
2-24 and
2-25 (9) [a] $25 [fee] for each increment of 5,000 gallons
2-26 or any part of 5,000 gallons included in a delivery [delivered into
2-27 a cargo tank having a capacity] of 12,000 gallons or more.
2-28 (b) The owner of LPG at the time of odorization or at the
2-29 time of import of odorized LPG shall pay the fee based [shall be
2-30 computed] on the net amount of odorized LPG sold and placed into
2-31 commerce [delivered into a cargo tank]. The fee shall be collected
2-32 and remitted to the commission as provided by Section 113.245 by
2-33 the person who odorizes the LPG or imports odorized LPG.
2-34 (c) "Time of import" means the time of entry into this state
2-35 from another state or from outside the United States.
2-36 (d) The fee does not apply to a delivery of odorized LPG
2-37 destined for export from the United States [this state] if the LPG
2-38 is in continuous movement to a destination outside the United
2-39 States [this state].
2-40 (e) If the commission is party to an agreement with another
2-41 state's propane education and research program under Section
2-42 113.246(b), the fee on LPG destined for export to that state and in
2-43 continuous movement to a destination in that state shall be
2-44 assessed at the rate in effect in that state.
2-45 (f) The commission may transfer fees collected under
2-46 Subsection (e) to the agency or organization in the other state
2-47 that is party to the commission's agreement with that state.
2-48 SECTION 5. Section 113.245, Natural Resources Code, is
2-49 amended to read as follows:
2-50 Sec. 113.245. REPORT AND REMISSION OF FEES. (a) Each
2-51 person responsible for collecting and remitting a fee on a delivery
2-52 of LPG [operator of a loading rack] shall, on or before the 25th
2-53 day of the month following the end of each calendar month, file a
2-54 report with the commission and remit the amount of fees required to
2-55 be collected or paid during the preceding month.
2-56 (b) Each person responsible for collecting and remitting a
2-57 fee on a delivery of LPG [operator of a loading rack] or the
2-58 person's [operator's] representative shall prepare the report
2-59 required under Subsection (a) of this section on a form provided
2-60 or approved by the commission.
2-61 SECTION 6. Effective as provided by Subsection (b) of
2-62 Section 8 of this Act, Section 113.246, Natural Resources Code, is
2-63 amended to read as follows:
2-64 Sec. 113.246. RULES REGARDING FEES; AGREEMENTS WITH OTHER
2-65 STATES. (a) The commission shall adopt rules necessary for the
2-66 administration, collection, reporting, and payment of the fees
2-67 payable or collected under this subchapter.
2-68 (b) The commission may enter into an agreement with an
2-69 agency of or an organization in another state to coordinate the
3-1 administration, collection, reporting, and payment of the fees
3-2 payable or collected under this subchapter and the other state's
3-3 propane education and research program created by that state's law
3-4 or rule.
3-5 (c) An agreement executed under Subsection (b) may include
3-6 reporting, auditing, collecting, apportioning, and remitting fees
3-7 and assessments payable or collected under this subchapter, any
3-8 applicable federal law, and the other state's propane education and
3-9 research program. The commission may adopt rules necessary to
3-10 implement the agreements authorized by this section.
3-11 SECTION 7. Effective as provided by Subsection (c) of
3-12 Section 8 of this Act, Section 113.246, Natural Resources Code, is
3-13 amended to read as follows:
3-14 Sec. 113.246. RULES REGARDING FEES; AGREEMENTS WITH OTHER
3-15 STATES. (a) The commission shall adopt rules necessary for the
3-16 administration, collection, reporting, and payment of the fees
3-17 payable or collected under this subchapter and the Propane
3-18 Education and Research Act of 1996 (Pub. L. No. 104-284) or other
3-19 applicable federal law.
3-20 (b) The commission may enter into an agreement with an
3-21 agency of or an organization in another state and with the national
3-22 Propane Education and Research Council to coordinate the
3-23 administration, collection, reporting, and payment of the fees
3-24 payable or collected under the Propane Education and Research Act
3-25 of 1996 (Pub. L. No. 104-284) or other applicable federal law.
3-26 (c) The commission may enter into an agreement with an
3-27 agency of or an organization in another state to coordinate the
3-28 administration, collection, reporting, and payment of the fees
3-29 payable or collected under this subchapter and the other state's
3-30 propane education and research program created by that state's law
3-31 or rule.
3-32 (d) An agreement executed under Subsection (b) or (c) may
3-33 include reporting, auditing, collecting, apportioning, and
3-34 remitting fees and assessments payable or collected under this
3-35 subchapter, the Propane Education and Research Act of 1996 (Pub. L.
3-36 No. 104-284) or other applicable federal law, and the other state's
3-37 propane education and research program. The commission may adopt
3-38 rules necessary to implement the agreements authorized by this
3-39 section.
3-40 SECTION 8. (a) Except as otherwise provided by this
3-41 section, this Act takes effect September 1, 1997.
3-42 (b) Sections 1 and 6 of this Act take effect on September 1,
3-43 1997, unless Sections 2 and 7 of this Act take effect on that date,
3-44 in which case Sections 1 and 6 of this Act have no effect.
3-45 (c) Sections 2 and 7 of this Act take effect on the later of
3-46 September 1, 1997, or the date on which the Railroad Commission of
3-47 Texas by order acknowledges receipt and accepts a written report by
3-48 an independent auditing firm confirming that the industry referenda
3-49 required under Section 4 of the Propane Education and Research Act
3-50 of 1996 (Pub. L. No. 104-284) have been approved by producers
3-51 representing two-thirds of the total volume of propane voted in the
3-52 producer class and by retail marketers representing two-thirds of
3-53 the total volume of propane voted in the retail marketer class.
3-54 SECTION 9. The importance of this legislation and the
3-55 crowded condition of the calendars in both houses create an
3-56 emergency and an imperative public necessity that the
3-57 constitutional rule requiring bills to be read on three several
3-58 days in each house be suspended, and this rule is hereby suspended.
3-59 * * * * *