By Brown                                               S.B. No. 814
         76R6357 SMH-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the reimbursement of the Railroad Commission of Texas
 1-3     for costs incurred by  the commission in relation to violations
 1-4     relating to safety or the prevention or control of pollution.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Section 91.104(b), Natural Resources Code, is
 1-7     amended to read as follows:
 1-8           (b)  A person required to file a bond under Section 91.103
 1-9     [of this code] may choose to file:
1-10                 (1)  an individual bond as provided under Section
1-11     91.1041 [of this code];
1-12                 (2)  a blanket bond as provided under Section 91.1042
1-13     [of this code];
1-14                 (3)  a nonrefundable annual fee of $100, if the person
1-15     can demonstrate to the commission an acceptable record of
1-16     compliance with all commission rules, orders, licenses, permits, or
1-17     certificates that relate to safety or the prevention or control of
1-18     pollution for the previous 48 months and the person and, if a firm,
1-19     partnership, joint stock association, corporation, or other
1-20     organization, its officers, directors, general partners, or owners
1-21     of more than 25 percent ownership interest or any trustee:
1-22                       (A)  has no outstanding violations of such
1-23     commission rules, orders, licenses, permits, or certificates;
1-24                       (B)  has paid all administrative, civil, and
 2-1     criminal penalties, if any, relating to any violation of such
 2-2     commission rules, orders, licenses, permits, or certificates; and
 2-3                       (C)  has paid all reimbursements of any costs and
 2-4     expenses incurred [assessed] by the commission in relation to any
 2-5     violation of such  commission rules, orders, licenses, permits, or
 2-6     certificates;
 2-7                 (4)  a nonrefundable annual fee equal to three percent
 2-8     of the bond that otherwise would be required; or
 2-9                 (5)  to give a first lien on tangible personal property
2-10     associated with oil and gas production whose salvage value equals
2-11     the value of an individual bond under Section 91.1041 [of this
2-12     code] or the value of a blanket bond under Section 91.1042 [of this
2-13     code] that otherwise would be required.
2-14           SECTION 2.  Section 91.1091, Natural Resources Code, is
2-15     amended to read as follows:
2-16           Sec. 91.1091.  REFUND.  The commission shall refund the
2-17     proceeds from a bond or other form of security required under this
2-18     subchapter if:
2-19                 (1)  the conditions that caused the proceeds to be
2-20     collected are corrected;
2-21                 (2)  all administrative, civil, and criminal penalties
2-22     relating to those conditions are paid; and
2-23                 (3)  the commission has been reimbursed for all
2-24     [reimbursements of] costs and expenses incurred [assessed] by the
2-25     commission [to be  collected] in relation to those conditions [are
2-26     collected].
2-27           SECTION 3.  Section 91.114(d), Natural Resources Code, is
 3-1     amended to read as follows:
 3-2           (d)  The commission shall accept the report or application or
 3-3     approve the certificate if:
 3-4                 (1)  the conditions that constituted the violation are
 3-5     corrected or are being corrected in accordance with a schedule to
 3-6     which the commission and the organization have agreed;
 3-7                 (2)  all administrative, civil, and criminal penalties
 3-8     and all cleanup and plugging costs incurred by the state [and
 3-9     assessed or adjudged against the organization] relating to those
3-10     conditions are paid or are being paid in accordance with a payment
3-11     schedule to which the commission and the organization have agreed;
3-12     and
3-13                 (3)  the report, application, or certificate is in
3-14     compliance with all other requirements of law and commission rules.
3-15           SECTION 4.  The importance of this legislation and the
3-16     crowded condition of the calendars in both houses create an
3-17     emergency and an imperative public necessity that the
3-18     constitutional rule requiring bills to be read on three several
3-19     days in each house be suspended, and this rule is hereby suspended,
3-20     and that this Act take effect and be in force from and after its
3-21     passage, and it is so enacted.