SRC-ARR S.B. 1070 76(R)BILL ANALYSIS


Senate Research CenterS.B. 1070
By: Bivins
Natural Resources
6/29/1999
Enrolled


DIGEST 

Currently, Texas law does not provide for the Railroad Commission to impose
and administer a penalty against a person who knowingly breaks or otherwise
tampers with or attempts to destroy or remove a seal or other device placed
on certain wells by the commission. S.B. 1070 will authorize the
commission to impose an administrative penalty against a person who
knowingly breaks or otherwise tampers with or attempts to destroy or remove
a seal or other device placed on certain wells by the commission. 

PURPOSE

As enrolled, S.B. 1070 creates an administrative penalty for certain
violations relating to the production of oil and gas. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 85K, Natural Resources Code, by adding Section
85.3855, as follows: 

Sec. 85.3855. ADMINISTRATIVE PENALTY.  Authorizes the Railroad Commission
(commission) to impose an administrative penalty on certain persons.
Prohibits the amount of the penalty from exceeding $10,000 for each
violation. Requires the amount to be based on certain criteria. Authorizes
the enforcement of the penalty to be stayed during the time the order is
under judicial review if the person pays the penalty to the clerk of the
court or files a supersedeas bond with the court in the amount of the
penalty. Authorizes a person who cannot afford to pay the penalty or file
the bond to say  the enforcement by filing an affidavit in the manner
required by the Texas Rules of Civil Procedures for a party who cannot
afford to file security for costs, subject to the right of the board to
contest the affidavit as provided by those rules. Authorizes the attorney
general to sue to collect penalty. Provides that a proceeding to impose the
penalty is considered to be a contested case under Chapter 2001, Government
Code. Provides that a penalty imposed by the commission for contempt for
violation of a commission rule or order.   

SECTION 2. Effective date: September 1, 1999.

SECTION 3. Makes application of this Act prospective.

SECTION 4. Emergency clause.