1-1                                   AN ACT
 1-2     relating to the petroleum storage tank program; providing a
 1-3     penalty.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 26.342, Water Code, is amended by adding
 1-6     a new Subdivision (8) and redesignating existing Subdivisions (8)
 1-7     through (16) as Subdivisions (9) through (17) to read as follows:
 1-8                 (8)  "Operator" means any person in day-to-day control
 1-9     of and having responsibility for the daily operation of the
1-10     underground storage tank system.
1-11                 (9) [(8)]  "Person" means an individual, trust, firm,
1-12     joint-stock company, corporation, government corporation,
1-13     partnership, association, state, municipality, commission,
1-14     political subdivision of a state, an interstate body, a consortium,
1-15     joint venture, commercial entity, or the United States government.
1-16                 (10) [(9)]  "Petroleum product" means a petroleum
1-17     product that is obtained from distilling and processing crude oil
1-18     and that is capable of being used as a fuel for the propulsion of a
1-19     motor vehicle or aircraft, including motor gasoline, gasohol, other
1-20     alcohol blended fuels, aviation gasoline, kerosene, distillate fuel
1-21     oil, and #1 and #2 diesel.  The term does not include naphtha-type
1-22     jet fuel, kerosene-type jet fuel, or a petroleum product destined
1-23     for use in chemical manufacturing or feedstock of that
1-24     manufacturing.
 2-1                 (11) [(10)]  "Petroleum storage tank" means:
 2-2                       (A)  any one or combination of aboveground
 2-3     storage tanks that contain petroleum products and that are
 2-4     regulated by the commission; or
 2-5                       (B)  any one or combination of underground
 2-6     storage tanks and any connecting underground pipes that contain
 2-7     petroleum products and that are regulated by the commission.
 2-8                 (12) [(11)]  "Regulated substance" means an element,
 2-9     compound, mixture, solution, or substance that, when released into
2-10     the environment, may present substantial danger to the public
2-11     health, welfare, or the environment.
2-12                 (13) [(12)]  "Release" means any spilling including
2-13     overfills, leaking, emitting, discharging, escaping, leaching, or
2-14     disposing from an underground or aboveground storage tank into
2-15     groundwater, surface water, or subsurface soils.
2-16                 (14) [(13)]  "Risk-based corrective action" means site
2-17     assessment or site remediation, the timing, type, and degree of
2-18     which is determined according to case-by-case consideration of
2-19     actual or potential risk to public health from environmental
2-20     exposure to a regulated substance released from a leaking
2-21     underground or aboveground storage tank.
2-22                 (15) [(14)]  "Spent oil" means a regulated substance
2-23     that is a lubricating oil or similar petroleum substance which has
2-24     been refined from crude oil, used for its designed or intended
2-25     purposes, and contaminated as a result of that use by physical or
2-26     chemical impurities, including spent motor vehicle lubricating
2-27     oils, transmission fluid, or brake fluid.
 3-1                 (16) [(15)]  "Underground storage tank" means any one
 3-2     or combination of underground tanks and any connecting underground
 3-3     pipes used to contain an accumulation of regulated substances, the
 3-4     volume of which, including the volume of the connecting underground
 3-5     pipes, is 10 percent or more beneath the surface of the ground.
 3-6                 (17) [(16)]  "Vehicle service and fueling facility"
 3-7     means a facility where motor vehicles are serviced or repaired and
 3-8     where petroleum products are stored and dispensed from fixed
 3-9     equipment into the fuel tanks of motor vehicles.
3-10           SECTION 2.  Sections 26.346(a) and (c), Water Code, are
3-11     amended to read as follows:
3-12           (a)  An underground or aboveground storage tank must be
3-13     registered with the commission unless the tank is exempt from
3-14     regulation under Section 26.344 of this code or the tank is covered
3-15     under Subsection (b) of this section.  The commission by rule shall
3-16     establish the procedures and requirements for establishing and
3-17     maintaining current registration information concerning underground
3-18     and aboveground storage tanks.  The commission shall also require
3-19     that an owner or operator of an underground storage tank complete
3-20     an annual underground storage tank compliance certification form.
3-21           (c)  The commission shall issue to each person who owns or
3-22     operates a petroleum storage tank that is registered under this
3-23     section a registration and compliance confirmation certificate that
3-24     includes a brief description of:
3-25                 (1)  the responsibility of the owner or operator under
3-26     Section 26.3512 of this code; [and]
3-27                 (2) the rights of the owner or operator to participate
 4-1     in the petroleum storage tank remediation account and the
 4-2     groundwater protection cleanup program established under this
 4-3     subchapter; and
 4-4                 (3)  the responsibility of the owner or operator of an
 4-5     underground storage tank to accurately complete the part of the
 4-6     registration form pertaining to the certification of compliance
 4-7     with underground storage tank administrative requirements and
 4-8     technical standards.
 4-9           SECTION 3.  Subchapter I, Chapter 26, Water Code, is amended
4-10     by adding Sections 26.3465 and 26.3467 to read as follows:
4-11           Sec. 26.3465.  FAILURE OR REFUSAL TO PROVIDE PROOF OF
4-12     REGISTRATION OR CERTIFICATION OF COMPLIANCE.  An owner or operator
4-13     of an underground storage tank  who fails or refuses to provide, on
4-14     request of the commission, proof of registration of or
4-15     certification of compliance for an underground storage tank is
4-16     liable for a civil penalty under Subchapter D, Chapter 7.
4-17           Sec. 26.3467.  DUTY TO ENSURE CERTIFICATION OF TANK BEFORE
4-18     DELIVERY.  (a)  The owner or operator of an underground storage
4-19     tank into which a regulated substance is to be deposited shall
4-20     provide the common carrier a copy of the certificate of compliance
4-21     for the specific underground storage tank into which the regulated
4-22     substance is to be deposited before accepting delivery of the
4-23     regulated substance into the underground storage tank.
4-24           (b)  A person who violates Subsection (a)  commits an offense
4-25     that is punishable as provided by Section 7.156 for an offense
4-26     under that section.
4-27           (c)  A person who sells a regulated substance to a common
 5-1     carrier who delivers the regulated substance to the owner or
 5-2     operator of an underground storage tank into which the regulated
 5-3     substance is deposited, and who does not deliver the regulated
 5-4     substance into the underground storage tank, is not liable under
 5-5     this chapter with respect to that tank.
 5-6           SECTION 4.  Section 7.156, Water Code, is amended by adding
 5-7     Subsection (c) and redesignating existing Subsection (c) as
 5-8     Subsection (d) to read as follows:
 5-9           (c)  A person commits an offense if the person is an owner or
5-10     operator of an undeground storage tank regulated under Chapter 26
5-11     into which any regulated substance is delivered or physically
5-12     delivers any regulated substance into an underground storage tank
5-13     regulated under Chapter 26 unless the underground storage tank has
5-14     been issued a valid, current underground storage tank registration
5-15     and certificate of compliance under Section 26.346.
5-16           (d)  An offense under this section is a Class A misdemeanor.
5-17           SECTION 5.  Subchapter E, Chapter 7, Water Code, is amended
5-18     by adding Section 7.1565 to read as follows:
5-19           Sec. 7.1565.  PRESUMPTION.  If in the exercise of good faith
5-20     a person depositing or causing to be deposited a regulated
5-21     substance into an underground storage tank regulated under Chapter
5-22     26 receives a certificate of compliance for that underground
5-23     storage tank under Section 26.346, the receipt of the certificate
5-24     of compliance shall be considered prima facie evidence of
5-25     compliance with this section.
5-26           SECTION 6.  Sections 26.3512(g), (h), (i), and (j), Water
5-27     Code, are amended to read as follows:
 6-1           (g)  If an owner or operator's corrective action plan is
 6-2     approved by the commission under Section 26.3572 before June 23,
 6-3     1998 [December 23, 1997], the owner or operator shall pay under
 6-4     Subsection (b)(1) the amount provided by Subsection (e) for the
 6-5     first expenses for corrective action taken for each occurrence.
 6-6           (h)  If an owner or operator's corrective action plan is not
 6-7     approved by the commission under Section 26.3572 before June 23,
 6-8     1998 [December 23, 1997], the owner or operator shall pay under
 6-9     Subsection (b)(1) the first expenses for corrective action taken
6-10     for each occurrence as follows:
6-11                 (1)  a person who owns or operates 1,000 or more single
6-12     petroleum storage tanks, the first $40,000;
6-13                 (2)  a person who owns or operates not fewer than 100
6-14     or more than 999 single petroleum storage tanks, the first $20,000;
6-15                 (3)  a person who owns or operates not fewer than 13 or
6-16     more than 99 single petroleum storage tanks, the first $10,000; and
6-17                 (4)  a person who owns or operates fewer than 13 single
6-18     petroleum storage tanks, the first $4,000.
6-19           (i)  If an owner or operator has a corrective action plan
6-20     approved by the commission under Section 26.3572 and before
6-21     December 23, 1999 [December 23, 1998], has met the goals specified
6-22     in the plan to be met by that date, the owner or operator shall pay
6-23     under Subsection (b)(1) the amount specified by Subsection (e) for
6-24     the first expenses for corrective action taken for each occurrence.
6-25           (j)  If an owner or operator does not have a corrective
6-26     action plan approved by the commission under Section 26.3572 and
6-27     before December 23, 1999 [or, on December 23, 1998], has not met
 7-1     the goals specified in the plan to be met by that date, the owner
 7-2     or operator shall pay under Subsection (b)(1) the first expenses
 7-3     for corrective action taken for each occurrence as follows:
 7-4                 (1)  a person who owns or operates 1,000 or more single
 7-5     petroleum storage tanks, the first $80,000;
 7-6                 (2)  a person who owns or operates not fewer than 100
 7-7     or more than 999 single petroleum storage tanks, the first $40,000;
 7-8                 (3)  a person who owns or operates not fewer than 13 or
 7-9     more than 99 single petroleum storage tanks, the first $20,000; and
7-10                 (4)  a person who owns or operates fewer than 13 single
7-11     petroleum storage tanks, the first $8,000.
7-12           SECTION 7.  Section 26.35731, Water Code, is amended by
7-13     adding Subsection (c) to read as follows:
7-14           (c)  Not later than the 90th day after the date on which the
7-15     commission receives a completed application for reimbursement from
7-16     the petroleum storage tank remediation account, the commission
7-17     shall send a fund payment report to the owner or operator of a
7-18     petroleum storage tank system that is seeking reimbursement.
7-19           SECTION 8.  This Act takes effect September 1, 1999.
7-20           SECTION 9.  The importance of this legislation and the
7-21     crowded condition of the calendars in both houses create an
7-22     emergency and an imperative public necessity that the
7-23     constitutional rule requiring bills to be read on three several
7-24     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 2815 was passed by the House on May
         5, 1999, by a non-record vote; that the House refused to concur in
         Senate amendments to H.B. No. 2815 on May 26, 1999, and requested
         the appointment of a conference committee to consider the
         differences between the two houses; and that the House adopted the
         conference committee report on H.B. No. 2815 on May 30, 1999, by a
         non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 2815 was passed by the Senate, with
         amendments, on May 24, 1999, by a viva-voce vote; at the request of
         the House, the Senate appointed a conference committee to consider
         the differences between the two houses; and that the Senate adopted
         the conference committee report on H.B. No. 2815 on May 30, 1999,
         by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor