AN ACT 1-1 relating to a requirement that a payor of the proceeds from the 1-2 sale of gas produced from certain gas wells furnish certain 1-3 information to the payee. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter J, Chapter 91, Natural Resources Code, 1-6 is amended by adding Section 91.408 to read as follows: 1-7 Sec. 91.408. INFORMATION FOR PAYEES OF PROCEEDS OF 1-8 PRODUCTION FROM CERTAIN GAS WELLS. A payor of the proceeds from 1-9 the sale of gas produced from a tight formation as defined by 1-10 Section 29(c)(2)(B), Internal Revenue Code of 1986, annually shall 1-11 furnish the payee a statement providing the information necessary 1-12 to compute the federal income tax credit provided by that section 1-13 for the gas for which payment was made in the preceding year, 1-14 including: 1-15 (1) information described in Section 91.502(1); and 1-16 (2) the volume of the gas measured: 1-17 (A) in thousands of cubic feet and heating 1-18 value; or 1-19 (B) in millions of British thermal units for 1-20 each thousand cubic feet. 1-21 SECTION 2. The statement described by Section 91.408, 1-22 Natural Resources Code, as added by this Act, shall be furnished no 1-23 later than the 15th day of March. 1-24 SECTION 3. This Act takes effect September 1, 1999. 2-1 SECTION 4. The importance of this legislation and the 2-2 crowded condition of the calendars in both houses create an 2-3 emergency and an imperative public necessity that the 2-4 constitutional rule requiring bills to be read on three several 2-5 days in each house be suspended, and this rule is hereby suspended. _______________________________ _______________________________ President of the Senate Speaker of the House I hereby certify that S.B. No. 792 passed the Senate on April 26, 1999, by the following vote: Yeas 30, Nays 0. _______________________________ Secretary of the Senate I hereby certify that S.B. No. 792 passed the House on May 22, 1999, by a non-record vote. _______________________________ Chief Clerk of the House Approved: _______________________________ Date _______________________________ Governor