1-1     By:  Brown                                            S.B. No. 1857

 1-2           (In the Senate - Filed March 14, 1997; March 24, 1997, read

 1-3     first time and referred to Committee on Natural Resources;

 1-4     April 25, 1997, reported adversely, with favorable Committee

 1-5     Substitute by the following vote:  Yeas 10, Nays 0; April 25, 1997,

 1-6     sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 1857                   By:  Brown

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to transferring certain responsibilities of the Texas

1-11     Natural Resource Conservation Commission related to certain

1-12     radioactive materials to the Texas Department of Health.

1-13           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-14           SECTION 1.  Subdivision (3), Section 401.003, Health and

1-15     Safety Code, is amended to read as follows:

1-16                 (3)  "By-product material" means:

1-17                       (A)  a radioactive material, other than special

1-18     nuclear material, that is produced in or made radioactive by

1-19     exposure to radiation incident to the process of producing or using

1-20     special nuclear material; and

1-21                       (B)  tailings or wastes produced by or resulting

1-22     from the extraction or concentration of uranium or thorium from ore

1-23     processed primarily for its source material content, including

1-24     discrete surface wastes resulting from uranium solution extraction

1-25     processes[, and other tailings having similar radiological

1-26     characteristics].

1-27           SECTION 2.  Subsections (a) and (b), Section 401.011, Health

1-28     and Safety Code, are amended to read as follows:

1-29           (a)  The department is the Texas Radiation Control Agency.

1-30     The department has jurisdiction over activities and substances

1-31     regulated under this chapter except as provided by Subsection (b)

1-32     and Subchapters F[, G,] and K.

1-33           (b)  The commission has jurisdiction to regulate and

1-34     license[:]

1-35                 [(1)]  the disposal of radioactive substances except

1-36     by-product material defined by Section 401.003(3)(B)[; and]

1-37                 [(2)  the recovery and processing of source material].

1-38           SECTION 3.  Subsection (b), Section 401.104, Health and

1-39     Safety Code, is amended to read as follows:

1-40           (b)  The commission by rule shall provide for licensing for

1-41     the disposal of radioactive material except by-product material

1-42     defined by Section 401.003(3)(B).  The department by rule shall

1-43     provide for licensing the disposal of by-product material defined

1-44     by Section 401.003(3)(B).

1-45           SECTION 4.  Section 401.262, Health and Safety Code, is

1-46     amended to read as follows:

1-47           Sec. 401.262.  MANAGEMENT OF CERTAIN BY-PRODUCT MATERIAL.

1-48     The department [commission] has sole and exclusive authority to

1-49     assure that processing and disposal sites are closed and that

1-50     by-product material is managed and disposed of in compliance with:

1-51                 (1)  the federal commission's applicable standards; and

1-52                 (2)  closure criteria the federal commission and the

1-53     United States Environmental Protection Agency have determined are

1-54     protective of human health and safety and the environment.

1-55           SECTION 5.  Section 401.2625, Health and Safety Code, is

1-56     amended to read as follows:

1-57           Sec. 401.2625.  LICENSING AUTHORITY.  The commissioner

1-58     [commission] has sole and exclusive authority to grant, deny,

1-59     renew, revoke, suspend, amend, or withdraw licenses for source

1-60     material recovery and processing or [, including the] disposal of

1-61     by-product material.

1-62           SECTION 6.  Subsections (a), (c), (d), (e), and (f), Section

1-63     401.263, Health and Safety Code, are amended to read as follows:

1-64           (a)  If the department [commission] is considering the

 2-1     issuance, renewal, or amendment of a license to process materials

 2-2     that produce by-product materials or a license to dispose of

 2-3     by-product material and the department determines that the licensed

 2-4     activity will have a significant impact on the human environment,

 2-5     the department [commission] shall prepare or have prepared a

 2-6     written environmental analysis.

 2-7           (c)  The department [commission] shall give notice of the

 2-8     analysis as provided by board [agency] rule and shall make the

 2-9     analysis available to the public for written comment not later than

2-10     the 31st day before the date of the hearing on the license.

2-11           (d)  After notice is given, the department [commission] shall

2-12     provide an opportunity for written comments by persons affected.

2-13           (e)  The analysis shall be included as part of the record of

2-14     the department's [commission's] proceedings.

2-15           (f)  The board by rule [commission] shall prohibit major

2-16     construction with respect to an activity that is to be licensed

2-17     until the requirements of Subsections (a), (b), (c), and (e) are

2-18     completed.

2-19           SECTION 7.  Subsections (a), (c), and (d), Section 401.264,

2-20     Health and Safety Code, are amended to read as follows:

2-21           (a)  The department [commission] on its own motion may or on

2-22     the written request of a person affected shall provide an

2-23     opportunity for a public hearing on an application over which the

2-24     department [commission] has jurisdiction to determine whether to

2-25     issue, renew, or amend a license to process materials that produce

2-26     by-product materials in the manner provided by Chapter 2001,

2-27     Government Code, and permit appearances with or without counsel and

2-28     the examination and cross-examination of witnesses under oath.

2-29           (c)  The department [commission] shall make a record of the

2-30     proceedings and provide a transcript of the hearing on request of,

2-31     and payment for, the transcript or provision of a sufficient

2-32     deposit to assure payment by any person requesting the transcript.

2-33           (d)  The department [commission] shall provide an opportunity

2-34     to obtain a written determination of action to be taken.  The

2-35     determination must be based on evidence presented to the department

2-36     [commission] and include findings.  The written determination is

2-37     available to the public.

2-38           SECTION 8.  Section 401.265, Health and Safety Code, is

2-39     amended to read as follows:

2-40           Sec. 401.265.  CONDITIONS OF CERTAIN BY-PRODUCT MATERIAL

2-41     LICENSES.  The department [commission] shall prescribe conditions

2-42     in a radioactive material license issued, renewed, or amended for

2-43     an activity that results in production of by-product material to

2-44     minimize or, if possible, eliminate the need for long-term

2-45     maintenance and monitoring before the termination of the license,

2-46     including conditions that:

2-47                 (1)  the license holder will comply with the applicable

2-48     decontamination, decommissioning, reclamation, and disposal

2-49     standards that are prescribed by the board [or commission] and that

2-50     are compatible with [equivalent to or more stringent than] the

2-51     federal commission's standards for sites at which those ores were

2-52     processed and at which the by-product material is deposited; and

2-53                 (2)  the ownership of a disposal site, other than a

2-54     disposal well covered by a permit issued under Chapter 27, Water

2-55     Code, and the by-product material resulting from the licensed

2-56     activity are transferred, subject to Sections 401.266-401.269, to:

2-57                       (A)  the state; or

2-58                       (B)  the federal government if the state declines

2-59     to acquire the site, the by-product material, or both the site and

2-60     the by-product material.

2-61           SECTION 9.  Subsection (a), Section 401.266, Health and

2-62     Safety Code, is amended to read as follows:

2-63           (a)  The board [commission] by rule or [by] order or the

2-64     department by order may require that before a license covering land

2-65     used for the disposal of by-product material is terminated, the

2-66     land, including any affected interests in the land, must be

2-67     transferred to the federal government or to the state unless:

2-68                 (1)  the federal commission determines before the

2-69     license terminates that the transfer of title to the land and the

 3-1     by-product material is unnecessary to protect the public health,

 3-2     safety, or welfare or to minimize danger to life or property; or

 3-3                 (2)  the land is held in trust by the federal

 3-4     government for an Indian tribe, is owned by an Indian tribe subject

 3-5     to a restriction against alienation imposed by the federal

 3-6     government, is owned by the federal government, or is owned by the

 3-7     state.

 3-8           SECTION 10.  Section 401.267, Health and Safety Code, is

 3-9     amended to read as follows:

3-10           Sec. 401.267.  ACQUISITION OF CERTAIN BY-PRODUCT MATERIALS

3-11     AND SITES.  The department [commission] may acquire by-product

3-12     material and fee simple title in land, affected mineral rights, and

3-13     buildings at which that by-product material is disposed of and

3-14     abandoned so that the by-product material and property can be

3-15     managed in a manner consistent with protecting public health,

3-16     safety, and the environment.

3-17           SECTION 11.  Section 401.269, Health and Safety Code, is

3-18     amended to read as follows:

3-19           Sec. 401.269.  MONITORING, MAINTENANCE, AND EMERGENCY

3-20     MEASURES.  (a)  The department [commission] may undertake

3-21     monitoring, maintenance, and emergency measures in connection with

3-22     by-product material and property for which it has assumed custody

3-23     under Section 401.267 that are necessary to protect the public

3-24     health and safety and the environment.

3-25           (b)  The department [commission] shall maintain the

3-26     by-product material and property transferred to it in a manner that

3-27     will protect the public health and safety and the environment.

3-28           SECTION 12.  Subsections (a), (b), (e), and (f), Section

3-29     401.270, Health and Safety Code, are amended to read as follows:

3-30           (a)  If the department [commission] finds that by-product

3-31     material or the operation by which that by-product material is

3-32     derived threatens the public health and safety or the environment,

3-33     the department [commission] by order may require any action,

3-34     including a corrective measure, that is necessary to correct or

3-35     remove the threat.

3-36           (b)  The department [commission] may issue an emergency order

3-37     to a person responsible for an activity, including a past activity,

3-38     concerning the recovery or processing of source material or the

3-39     disposal of by-product material if it appears that there is an

3-40     actual or threatened release of source material or by-product

3-41     material that presents an imminent and substantial danger to the

3-42     public health and safety or the environment, regardless of whether

3-43     the activity was lawful at the time.  The emergency order may be

3-44     issued without notice or hearing.

3-45           (e)  The department [commission] shall use the security

3-46     provided by the license holder to pay the costs of actions that are

3-47     taken or that are to be taken under this section.  The department

3-48     [commission] shall send to the comptroller a copy of its order

3-49     together with necessary written requests authorizing the

3-50     comptroller to:

3-51                 (1)  enforce security supplied by the licensee;

3-52                 (2)  convert an amount of security into cash, as

3-53     necessary; and

3-54                 (3)  disburse from the security in the fund the amount

3-55     necessary to pay the costs.

3-56           (f)  If an [the] order issued by the department under

3-57     [commission pursuant to] this section is adopted without notice or

3-58     hearing, the order shall set a time, at least 10 but not more than

3-59     30 days following the date of issuance of the emergency order, and

3-60     a place for a hearing to be held in accordance with the rules of

3-61     the board [commission].  As a result of this hearing, the

3-62     department [commission] shall decide whether to affirm, modify, or

3-63     set aside the emergency order.  All provisions of the emergency

3-64     order shall remain in force and effect during the pendency of the

3-65     hearing, unless otherwise altered by the department [commission].

3-66           SECTION 13.  Subsections (a) and (b), Section 401.412, Health

3-67     and Safety Code, are amended to read as follows:

3-68           (a)  Notwithstanding any other provision of this chapter and

3-69     subject to Sections [Section] 401.102 and 401.415, the commission

 4-1     has sole and exclusive authority to directly regulate and to grant,

 4-2     deny, renew, revoke, suspend, amend, or withdraw licenses for the

 4-3     disposal of radioactive substances.  In this subsection,

 4-4     "radioactive substance" does not include by-product material as

 4-5     defined by Section 401.003(3)(B).

 4-6           (b)  Notwithstanding any other provision of this chapter, the

 4-7     commissioner [commission] has the sole and exclusive authority to

 4-8     grant, deny, renew, revoke, suspend, amend, or withdraw licenses

 4-9     for the recovery and processing of source material or [, including

4-10     the] disposal of by-product material under [pursuant to] Subchapter

4-11     G.

4-12           SECTION 14.  Section 401.413, Health and Safety Code, is

4-13     amended to read as follows:

4-14           Sec. 401.413.  COMMISSION DISPOSAL LICENSE REQUIRED.  A

4-15     person required by another section of this chapter to obtain a

4-16     license for the disposal of a radioactive substance is required to

4-17     obtain the license from the commission and not from the department.

4-18     This section does not apply to a person required to obtain a

4-19     license for recovery or processing of source material or for

4-20     recovery, processing, or disposal of by-product material as defined

4-21     by Section 401.003(3)(B).

4-22           SECTION 15.  (a)  On the earlier of 30 days after the

4-23     effective date of this Act or September 1, 1997, the following

4-24     rights, powers, duties, obligations, functions, activities,

4-25     property, and programs are transferred to the Texas Department of

4-26     Health:

4-27                 (1)  all of the rights, powers, duties, obligations,

4-28     functions, and activities:

4-29                       (A)  that Chapter 401, Health and Safety Code,

4-30     assigns to the Texas Natural Resource Conservation Commission or to

4-31     the commission's officers or employees; and

4-32                       (B)  that are related to the licensing and

4-33     regulation of:

4-34                             (i)  radioactive source material recovery

4-35     and processing, including recovery, processing, and disposal of

4-36     by-product material as defined by Paragraph (B), Subdivision (3),

4-37     Section 401.003, Health and Safety Code; and

4-38                             (ii)  the long-term care of decommissioned

4-39     sites for the disposal of by-product material as defined by

4-40     Paragraph (B), Subdivision (3), Section 401.003, Health and Safety

4-41     Code;

4-42                 (2)  all equipment, information, documents, facilities,

4-43     and other property of the Texas Natural Resource Conservation

4-44     Commission pertaining to the licensing and regulation of:

4-45                       (A)  radioactive source material recovery and

4-46     processing, including recovery, processing, or disposal of

4-47     by-product material as defined by Paragraph (B), Subdivision (3),

4-48     Section 401.003, Health and Safety Code; or

4-49                       (B)  the long-term care of decommissioned sites

4-50     for the disposal of by-product material as defined by Paragraph

4-51     (B), Subdivision (3), Section 401.003, Health and Safety Code;

4-52                 (3)  all appropriations for the biennium that begins

4-53     September 1, 1997, made to the Texas Natural Resource Conservation

4-54     Commission for activities related to licensing and regulation of:

4-55                       (A)  radioactive source material recovery and

4-56     processing, including recovery, processing, or disposal of

4-57     by-product material as defined by Paragraph (B), Subdivision (3),

4-58     Section 401.003, Health and Safety Code; or

4-59                       (B)  the long-term care of decommissioned sites

4-60     for the disposal of by-product material as defined by Paragraph

4-61     (B), Subdivision (3), Section 401.003, Health and Safety Code; and

4-62                 (4)  the unexpended and unobligated balance of the

4-63     appropriations to the Texas Natural Resource Conservation

4-64     Commission for the biennium beginning September 1, 1995, for

4-65     activities described by Subdivision (3) of this subsection.

4-66           (b)  Appropriations transferred under Subdivision (4) of

4-67     Subsection (a) of this section are transferred for the remainder of

4-68     the biennium.

4-69           (c)  The Texas Department of Health may not charge a fee for

 5-1     an application pending before the Texas Natural Resource

 5-2     Conservation Commission on the date the transfer provided by

 5-3     Subsection (a) of this section occurs.

 5-4           (d)  The Texas Department of Health is the successor to the

 5-5     Texas Natural Resource Conservation Commission for the

 5-6     administration and enforcement of laws related to licensing and

 5-7     regulation of radioactive source material recovery and processing,

 5-8     including recovery, processing, or disposal of by-product material

 5-9     as defined by Paragraph (B), Subdivision (3), Section 401.003,

5-10     Health and Safety Code, and the licensing and regulation of

5-11     long-term care of decommissioned sites for the disposal of

5-12     by-product material as defined by Paragraph (B), Subdivision (3),

5-13     Section 401.003, Health and Safety Code.  The Texas Department of

5-14     Health shall carry out those duties, responsibilities, functions,

5-15     and activities as provided by law, including Acts of the 75th

5-16     Legislature.

5-17           (e)  The transfer of rights, powers, duties, obligations,

5-18     functions, activities, property, and programs from the Texas

5-19     Natural Resource Conservation Commission to the Texas Department of

5-20     Health made by this Act does not affect or impair any act done or

5-21     obligation, right, license, permit, requirement, or penalty accrued

5-22     or existing under the former law, and that law remains in effect

5-23     for the purposes of any action concerning such an act, obligation,

5-24     right, license, permit, requirement, or penalty.  The Texas

5-25     Department of Health shall continue a proceeding of the Texas

5-26     Natural Resource Conservation Commission related to a program,

5-27     responsibility, duty, or function transferred by this Act,

5-28     including processing an application for a license or other

5-29     authorization or enforcing the requirements of Chapter 401, Health

5-30     and Safety Code, or a rule adopted under that chapter.  Rules of

5-31     the Texas Natural Resource Conservation Commission related to a

5-32     right, power, duty, obligation, function, activity, or program

5-33     transferred to the Texas Department of Health by this Act are

5-34     enforceable as rules of the department until the department adopts

5-35     other rules.  The Texas Department of Health shall make every

5-36     effort to consolidate and streamline the rules affecting a right,

5-37     power, duty, obligation, function, activity, or program transferred

5-38     by this Act to give concise and clear notice to the regulated

5-39     community of regulatory requirements.

5-40           (f)  The Texas Department of Health shall provide an

5-41     opportunity for employees of the Texas Natural Resource

5-42     Conservation Commission who have performed duties for the

5-43     commission related to a right, power, duty, obligation, function,

5-44     activity, or program transferred by this Act to request to transfer

5-45     to the department's program.  In making employment decisions, the

5-46     Texas Department of Health shall ensure that federal requirements

5-47     for engineering expertise are met by departmental employees and

5-48     shall consider the value of continuity in personnel staffing the

5-49     relevant programs.  The Texas Department of Health shall consider

5-50     employing a person to ensure that ecological issues receive proper

5-51     attention.

5-52           (g)  The Texas Natural Resource Conservation Commission and

5-53     the Texas Department of Health by interagency agreement or by

5-54     contract shall cooperate in preventing any delay that might be

5-55     caused by the transfer of property or personnel or a right, power,

5-56     duty, obligation, function, activity, or program made by this Act

5-57     in the closure certification program.

5-58           SECTION 16.  The transfers made by this Act do not affect:

5-59                 (1)  the Texas Natural Resource Conservation

5-60     Commission's jurisdiction over the Texas Low-Level Radioactive

5-61     Waste Disposal Authority provided by Chapters 401 and 402, Health

5-62     and Safety Code;

5-63                 (2)  the United States Department of Transportation's

5-64     jurisdiction over or regulation of the shipping of low specific

5-65     activity material or uranium; or

5-66                 (3)  any matter that is the subject of litigation

5-67     pending on the effective date of this Act.

5-68           SECTION 17.  In performing, exercising, or conducting a

5-69     right, power, duty, obligation, function, activity, or program

 6-1     transferred by this Act, the Texas Department of Health shall, to

 6-2     the extent feasible, apply standards of the United States Nuclear

 6-3     Regulatory Commission until the department adopts relevant

 6-4     standards.

 6-5           SECTION 18.  The Texas Department of Health shall ensure that

 6-6     the fees the department assesses under Chapter 401, Health and

 6-7     Safety Code, as amended by this Act, are sufficient to pay the

 6-8     department's costs incurred under that chapter in conducting the

 6-9     department's licensing and regulatory activities and issuing

6-10     closure certifications.  If the department finds that the fees

6-11     adopted by the Texas Natural Resource Conservation Commission

6-12     generate more revenue than necessary to pay those costs, the

6-13     department shall refund to each person who paid a fee that was

6-14     increased during the 12 months preceding the effective date of this

6-15     Act an amount that represents that person's share of the excess fee

6-16     revenue.

6-17           SECTION 19.  The importance of this legislation and the

6-18     crowded condition of the calendars in both houses create an

6-19     emergency and an imperative public necessity that the

6-20     constitutional rule requiring bills to be read on three several

6-21     days in each house be suspended, and this rule is hereby suspended,

6-22     and that this Act take effect and be in force from and after its

6-23     passage, and it is so enacted.

6-24                                  * * * * *