By Junell H.B. No. 2816
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the fee on delivery of certain petroleum products and
1-3 programs for corrective actions in response to releases from
1-4 petroleum storage tanks.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 26.3573(d), Water Code, is amended to
1-7 read as follows:
1-8 (d) The commission may use the money in the petroleum
1-9 storage tank remediation account to pay:
1-10 (1) necessary expenses associated with the
1-11 administration of the petroleum storage tank remediation account
1-12 and the groundwater protection cleanup program, not to exceed the
1-13 [an] amount specifically appropriated for that purpose [equal to
1-14 five percent of the gross receipts of that account, provided that
1-15 the increment between two and five percent of the gross receipts
1-16 may be used only to pay administrative expenses associated with
1-17 regulating petroleum storage tanks, reimbursing eligible owners and
1-18 operators, disposing of contaminated soils, and conducting claims
1-19 audits in accordance with Section 26.35735 of this code];
1-20 (2) expenses associated with investigation, cleanup,
1-21 or corrective action measures performed in response to a release or
1-22 threatened release from a petroleum storage tank, whether those
1-23 expenses are incurred by the commission or pursuant to a contract
1-24 between a contractor and an eligible owner or operator as
2-1 authorized by this subchapter; and
2-2 (3) subject to the conditions of Subsection (e) of
2-3 this section, expenses associated with investigation, cleanup, or
2-4 corrective action measures performed in response to a release or
2-5 threatened release of hydraulic fluid or spent oil from hydraulic
2-6 lift systems or tanks located at a vehicle service and fueling
2-7 facility and used as part of the operations of that facility.
2-8 SECTION 2. Section 26.3574, Water Code, is amended by
2-9 amending Subsections (b), (x), and (y) and adding Subsection (aa)
2-10 to read as follows:
2-11 (b) A fee is imposed on the delivery of a petroleum product
2-12 on withdrawal from bulk of that product as provided by this
2-13 subsection. Each operator of a bulk facility on withdrawal from
2-14 bulk of a petroleum product shall collect from the person who
2-15 orders the withdrawal a fee in an amount determined as follows:
2-16 (1) $18.75 [$25] for each delivery into a cargo tank
2-17 having a capacity of less than 2,500 gallons;
2-18 (2) $37.50 [$50] for each delivery into a cargo tank
2-19 having a capacity of 2,500 gallons or more but less than 5,000
2-20 gallons;
2-21 (3) $56.25 [$75] for each delivery into a cargo tank
2-22 having a capacity of 5,000 gallons or more but less than 8,000
2-23 gallons;
2-24 (4) $75 [$100] for each delivery into a cargo tank
2-25 having a capacity of 8,000 gallons or more but less than 10,000
2-26 gallons; and
2-27 (5) a $37.50 [$50] fee for each increment of 5,000
3-1 gallons or any part thereof delivered into a cargo tank having a
3-2 capacity of 10,000 gallons or more.
3-3 (x) After the deposits have been made to the credit of the
3-4 general revenue fund under Section 403.092(c)(1), Government Code,
3-5 as added by Chapter 533, Acts of the 73rd Legislature, 1993, the
3-6 fee imposed under this section may not be collected or required to
3-7 be paid on or after the first day of the second month following
3-8 notification by the commission of the date on which the unobligated
3-9 balance in the petroleum storage tank remediation account equals or
3-10 exceeds $100 [$125] million. The commission shall notify the
3-11 comptroller in writing of the date on which the unobligated balance
3-12 equals or exceeds $100 [$125] million.
3-13 (y) If the unobligated balance in the petroleum storage tank
3-14 remediation account falls below $25 million, the fee shall be
3-15 reinstated, effective on the first day of the second month
3-16 following notification by the commission, in amounts determined as
3-17 follows:
3-18 (1) $9.38 [$12.50] for each delivery into a cargo tank
3-19 having a capacity of less than 2,500 gallons;
3-20 (2) $18.75 [$25] for each delivery into a cargo tank
3-21 having a capacity of 2,500 gallons or more but less than 5,000
3-22 gallons;
3-23 (3) $28.13 [$37.50] for each delivery into a cargo
3-24 tank having a capacity of 5,000 gallons or more but less than 8,000
3-25 gallons;
3-26 (4) $37.50 [$50] for each delivery into a cargo tank
3-27 having a capacity of 8,000 gallons or more but less than 10,000
4-1 gallons; and
4-2 (5) an $18.75 [a $25] fee for each increment of 5,000
4-3 gallons or any part thereof delivered into a cargo tank having a
4-4 capacity of 10,000 gallons or more.
4-5 (aa) The commission shall report to the Legislative Budget
4-6 Board at the end of each fiscal quarter on the financial status of
4-7 the petroleum storage tank remediation account.
4-8 SECTION 3. Section 26.361, Water Code, is amended to read as
4-9 follows:
4-10 Sec. 26.361. EXPIRATION OF REIMBURSEMENT PROGRAM. (a)
4-11 Notwithstanding any other provision of this subchapter, the
4-12 reimbursement program established under this subchapter expires
4-13 September 1, 2003 [2001]. On or after September 1, 2003 [2001],
4-14 the commission may not[:]
4-15 [(1)] use money from the petroleum storage tank
4-16 remediation account to reimburse an eligible owner or operator for
4-17 any expenses of corrective action or to pay the claim of a person
4-18 who has contracted with an eligible owner or operator to perform
4-19 corrective action[; or]
4-20 [(2) collect a fee under Section 26.3574 of this
4-21 code].
4-22 (b) On or after March 1, 2002, the commission may not
4-23 collect a fee under Section 26.3574 of this code.
4-24 SECTION 4. Chapter 26, Water Code, is amended by adding
4-25 Subchapter L to read as follows:
4-26 SUBCHAPTER L. UNDERGROUND PETROLEUM STORAGE TANK LOAN PROGRAM
4-27 Sec. 26.481. LOANS TO REMOVE UNDERGROUND PETROLEUM STORAGE
5-1 TANKS. (a) The commission by rule shall protect groundwater and
5-2 surface water sources from contamination caused by leakage from
5-3 underground petroleum storage tanks by establishing a program to
5-4 loan money to a business that owns an underground petroleum storage
5-5 tank to pay for the removal of the tank and for remediation of any
5-6 harm to the environment attributable to leakage from the tank. The
5-7 commission may make a loan under the program at a rate of interest
5-8 determined under commission rules.
5-9 (b) The commission shall require an applicant for a loan to
5-10 demonstrate that the applicant is not able to pay for the tank
5-11 removal project with the applicant's resources and is not able to
5-12 obtain a loan from a private lending institution. Rules of the
5-13 commission must provide that an applicant must have been denied a
5-14 loan for the tank removal project by at least two private lenders.
5-15 (c) A loan the commission grants under the program
5-16 constitutes a lien on the real property of the business in the
5-17 amount of the loan. The commission may require additional security
5-18 for a loan granted under the program.
5-19 (d) The commission shall deposit money it receives as
5-20 payment for principal of or interest on a loan granted under the
5-21 program to the credit of the petroleum storage tank removal loan
5-22 program account.
5-23 Sec. 26.482. PETROLEUM STORAGE TANK REMOVAL LOAN PROGRAM
5-24 ACCOUNT. (a) In this section:
5-25 (1) "Account" means the petroleum storage tank removal
5-26 loan program account.
5-27 (2) "Program" means the underground petroleum storage
6-1 tank loan program established under Section 26.481.
6-2 (b) The account consists of:
6-3 (1) money the legislature by law transfers into the
6-4 account;
6-5 (2) interest earned on money in the account;
6-6 (3) payments of principal and interest on loans made
6-7 under the program that are received by the commission; and
6-8 (4) any other money deposited to the credit of the
6-9 account.
6-10 (c) The account is an account in the general revenue fund.
6-11 The account is not subject to Section 403.095, Government Code.
6-12 Interest on the money in the account shall be credited to the
6-13 account.
6-14 (d) Money in the account may be appropriated only for a
6-15 purpose related to:
6-16 (1) administration of the account;
6-17 (2) providing a loan under the program; or
6-18 (3) administering the program.
6-19 SECTION 5. This Act takes effect September 1, 1999.
6-20 SECTION 6. The importance of this legislation and the
6-21 crowded condition of the calendars in both houses create an
6-22 emergency and an imperative public necessity that the
6-23 constitutional rule requiring bills to be read on three several
6-24 days in each house be suspended, and this rule is hereby suspended.