By Chisum H.B. No. 3132
76R2242 JJT-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to a program for recycling and disposal of scrap tires.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 361, Health and Safety Code, is amended
1-5 by adding Subchapter P to read as follows:
1-6 SUBCHAPTER P. SCRAP TIRE PROGRAM
1-7 Sec. 361.461. FINDINGS AND INTENT. (a) The legislature
1-8 finds:
1-9 (1) scrap tires have a market value for beneficial
1-10 uses;
1-11 (2) if the market value of scrap tires exceeds their
1-12 handling costs, the free market will provide for the beneficial use
1-13 of scrap tires;
1-14 (3) if the handling costs of scrap tires exceed their
1-15 market value, the disposal of scrap tires is a cost of conducting
1-16 business; and
1-17 (4) market forces may fail to address the beneficial
1-18 use or disposal of scrap tires in limited situations or areas.
1-19 (b) The legislature intends:
1-20 (1) for negative conditions caused by the presence of
1-21 scrap tires to be alleviated or mitigated by the state only if
1-22 market forces have not adequately addressed the beneficial use or
1-23 disposal of the scrap tires; and
1-24 (2) for the persons who use tires to pay the costs of
2-1 alleviating or mitigating negative conditions caused by scrap
2-2 tires.
2-3 Sec. 361.462. DEFINITIONS. In this subchapter:
2-4 (1) "Approved beneficial end use" means the use of
2-5 scrap tires or components of scrap tires for a beneficial purpose
2-6 approved by commission rules.
2-7 (2) "Distressed area" means a place where the presence
2-8 of scrap tires reasonably may cause a condition that:
2-9 (A) threatens human health or safety;
2-10 (B) threatens the environment;
2-11 (C) detrimentally affects the quality of life;
2-12 (D) interferes with the orderly transaction of
2-13 business; or
2-14 (E) causes a nuisance.
2-15 (3) "Scrap tire" has the meaning assigned by Section
2-16 361.112.
2-17 Sec. 361.463. SCRAP TIRE RECYCLING FEE. (a) A person shall
2-18 pay to the comptroller a fee of $1:
2-19 (1) for each new tire the person resells if the person
2-20 received the tire from a tire manufacturer located in this state or
2-21 from any person located outside this state; and
2-22 (2) for each new tire in or on a new vehicle the
2-23 person sells not for resale.
2-24 (b) The fee applies only to a motor vehicle tire with a rim
2-25 diameter of 12 inches or larger.
2-26 (c) A person required to collect a fee under this section
2-27 shall pay the fees collected each fiscal quarter to the comptroller
3-1 at a time and in the manner prescribed by the comptroller.
3-2 (d) The comptroller shall adopt rules as necessary to
3-3 administer this section, including rules governing the
3-4 administration, collection, reporting, and payment of a fee payable
3-5 or collected under this section.
3-6 Sec. 361.464. SCRAP TIRE RECYCLING FUND. (a) The scrap
3-7 tire recycling fund is a special account in the general revenue
3-8 fund.
3-9 (b) The fund consists of:
3-10 (1) recycling fees and penalties collected under this
3-11 subchapter;
3-12 (2) interest on the money in the fund; and
3-13 (3) a gift, grant, or money from another source
3-14 received by the commission for use for the purposes of the fund.
3-15 (c) The fund may be used only to pay:
3-16 (1) the costs of handling scrap tires under a contract
3-17 or grant awarded under Section 361.466;
3-18 (2) the commission's reasonable and necessary
3-19 administrative costs of performing the commission's duties under
3-20 this subchapter; and
3-21 (3) the comptroller's reasonable and necessary
3-22 administrative costs of performing the comptroller's duties under
3-23 this subchapter.
3-24 (d) Payments from the fund for the commission's costs
3-25 described by Subsection (c)(2) in a fiscal year may not exceed six
3-26 percent of the money that accrues to the fund in that fiscal year.
3-27 Payments from the fund for the comptroller's costs described by
4-1 Subsection (c)(3) in a fiscal year may not exceed two percent of
4-2 the money that accrues to the fund in that fiscal year.
4-3 Sec. 361.465. SCRAP TIRE RULES. (a) The commission by rule
4-4 shall:
4-5 (1) identify approved beneficial end uses including:
4-6 (A) energy recovery;
4-7 (B) recycling;
4-8 (C) use for construction material;
4-9 (D) use as a filler substitute for dirt or
4-10 gravel; and
4-11 (E) other uses the commission finds reasonable;
4-12 and
4-13 (2) establish criteria for determining whether an area
4-14 is a distressed area.
4-15 (b) The commission by rule may establish a process by which
4-16 a person may apply for an end use to be approved as a beneficial
4-17 end use for the purposes of this subchapter.
4-18 Sec. 361.466. CONTRACTS AND GRANTS. (a) The commission
4-19 shall identify distressed areas that are in need of assistance to
4-20 alleviate or mitigate a nuisance, threat to the environment or
4-21 human health or safety, or other detrimental effects caused by the
4-22 presence of scrap tires.
4-23 (b) To alleviate or mitigate a nuisance, threat, or other
4-24 condition of a distressed area, the commission may award a contract
4-25 or grant to a person for:
4-26 (1) the transportation of scrap tires;
4-27 (2) an approved beneficial end use;
5-1 (3) the remediation of an illegal scrap tire dump or
5-2 storage facility;
5-3 (4) the processing of scrap tires; or
5-4 (5) a cost of scrap tire disposal, including:
5-5 (A) the payment of tipping fees; or
5-6 (B) a cost of quartering scrap tires.
5-7 (c) A contract or grant awarded for processing of scrap
5-8 tires must be conditioned on the contracting party's:
5-9 (1) processing the scrap tires in a manner that is
5-10 reasonably designed to render the resulting material marketable;
5-11 and
5-12 (2) having a verified and binding contract to supply
5-13 the material resulting from the processing for an approved
5-14 beneficial end use.
5-15 (d) The commission shall attempt to act under this section
5-16 to encourage the use of scrap tires or scrap tire components for an
5-17 approved beneficial end use instead of the disposal of the tires or
5-18 components.
5-19 (e) A contract with the commission entered into under this
5-20 section may provide for each of the contracting parties to pay a
5-21 specified portion of scrap tire handling costs.
5-22 (f) The commission shall determine the number and types of
5-23 contracts or grants awarded under this section and shall determine
5-24 the provisions, including the amount and area served, of each
5-25 contract or grant. In making those determinations, the commission
5-26 shall consider:
5-27 (1) the necessity of alleviating or mitigating
6-1 conditions scrap tires are causing or have caused;
6-2 (2) the relative seriousness of conditions in
6-3 different distressed areas; and
6-4 (3) the amount of money appropriated to the commission
6-5 from the scrap tire recycling fund for contracts or grants under
6-6 this subchapter.
6-7 SECTION 2. (a) The state comptroller of public accounts
6-8 shall adopt rules as required under Subchapter P, Chapter 361,
6-9 Health and Safety Code, as added by this Act, so that the
6-10 comptroller may:
6-11 (1) begin receiving payments of fees collected under
6-12 Section 361.463, Health and Safety Code, as added by this Act, for
6-13 the fiscal quarter beginning December 1, 1999; and
6-14 (2) assess a penalty for a violation of Section
6-15 361.463, Health and Safety Code, as added by this Act, that occurs
6-16 on or after January 1, 2000.
6-17 (b) The fee requirement imposed by Section 361.463, Health
6-18 and Safety Code, as added by this Act, applies only to a new tire
6-19 received or a new tire in or on a vehicle sold on or after January
6-20 1, 2000.
6-21 (c) The Texas Natural Resource Conservation Commission shall
6-22 adopt rules to implement Subchapter P, Chapter 361, Health and
6-23 Safety Code, as added by this Act, to take effect not later than
6-24 January 1, 2000.
6-25 SECTION 3. This Act takes effect September 1, 1999.
6-26 SECTION 4. The importance of this legislation and the
6-27 crowded condition of the calendars in both houses create an
7-1 emergency and an imperative public necessity that the
7-2 constitutional rule requiring bills to be read on three several
7-3 days in each house be suspended, and this rule is hereby suspended.