HBA-NMO H.B. 2816 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2816 By: Junell Natural Resources 3/22/99 Introduced BACKGROUND AND PURPOSE Under current law, the petroleum product delivery fee is assessed on bulk loads of motor fuel. Proceeds from the fee are used to fund the Petroleum Storage Tank Remediation Fund (PSTRF) administered by the Texas Natural Resource Conservation Commission (TNRCC). PSTRF serves as a state-sponsored insurance fund to clean up of sites contaminated by leaking petroleum storage tanks (tanks). In 1995, the fee was doubled to pay back loans from the General Revenue Fund issued when PSTRF was insolvent. As of December 22, 1998, tank owners may no longer rely on PSTRF as proof of federally mandated insurance. To meet federal requirements, tank owners must now acquire clean-up insurance from the private sector. In addition, PSTRF will accept no new claims for clean-up. H.B. 2816 decreases by one-half the petroleum product delivery fee on bulk loads of motor fuel and provides for the termination of PSTRF on September 1, 2003, rather than 2001. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Sections 26.3574(b) and (y), Water Code, to decrease by one-half the respective fee that each operator of a bulk facility is required to collect from a person who orders a withdrawal from bulk of a petroleum product, upon order. SECTION 2. Amends Section 26.361, Water Code, to provide that the reimbursement program established under this subchapter (Underground and Aboveground Storage Tanks) expires on September 1, 2003, rather than 2001. Prohibits TNRCC from collecting a fee under Section 26.3574 (Fee on Delivery of Certain Petroleum Products) on or after September 1, 2001. Makes conforming changes. SECTION 3. Effective date: September 1, 1999. SECTION 4. Emergency clause.