SRC-MWN H.B. 2912 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 2912
By: Bosse (Harris)
Natural Resources
5/2/2001
Engrossed


DIGEST AND PURPOSE 

The Texas Natural Resource Conservation Commission (TNRCC) protects the
state's natural resources and human health by ensuring clean air, clean
water, and the safe management of waste. The legislature created the agency
in 1993, by consolidating the Texas Water Commission, Texas Air Control
Board, and environmental programs from the Texas Department of Health. The
agency implements state and federal environmental regulatory laws by
issuing permits and authorizations for the control of air pollution, the
safe operation of water and wastewater facilities, and the treatment,
storage, and disposal of hazardous, industrial, municipal, and low-level
radioactive waste. TNRCC ensures compliance with environmental laws by
conducting inspections of regulated facilities, monitoring air and water
quality, providing technical assistance, encouraging voluntary compliance,
and taking formal enforcement action against suspected violators. The
agency also develops programs for the cleanup and eventual reclamation of
contaminated industrial and abandoned hazardous waste sites.  

TNRCC is subject to the Texas Sunset Act and will be abolished September 1,
2001 unless it is continued by the legislature. In its review of TNRCC, the
Sunset Advisory Commission (commission) found that the traditional,
prescriptive regulatory approach focuses on outputs and does not adequately
support innovation, provide incentives to reward performance, or solve
persistent environmental problems. The commission also found that TNRCC
lacks tools needed to better support its environmental protection mission
and that additional changes are needed to ensure greater public access to
the agency's decision making process. The commission's recommendations
would give regulated entities a larger stake in and enable all affected
groups to take a greater role in protecting the environment. H.B. 2912
continues TNRCC for 12 years and contains the commission's recommendations
to better position the agency to address the state's environmental
regulatory needs.  


RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the Texas Natural Resource
Conservation Commission in SECTIONS 1.12 (Sections 5.127 and 5.129, Water
Code), 1.19 (Section 5.228, Water Code), 1.23 (Section 7.0025, Water Code),
2.13 (Section 5.662, Water Code), 2.16 (Section 5.6645, Water Code), 4.01
(Sections 5.752, 5.754, 5.756 and 5.757 Water Code), 4.06 (Section
382.0216, Health and Safety Code), 4.08 (Sections 382.05183, 382.05184,
382.05185, 383.05186, Health and Safety Code), 4.12 (Section 382.065,
Health and Safety Code), 5.01 (Sections 5.802 and 5.803, Water Code), 6.01
(Section 341.102, Article 6243-101, V.T.C.S.), 7.03 (Section 366.076,
Health and Safety Code), 8.01 (Section 361.114, Health and Safety Code),
8.02 (Section 361.119, Health and Safety Code), 11.02 (Section 26.503,
Water Code), 15.03 (Sections 382.154 and 382.155, Health and Safety Code),
17.18 (Section 361.079, Health and Safety Code), 17.22 (Section 361.082,
Health and Safety Code), 17.25 (Section 361.089, Health and Safety Code),
19.05, 19.08, 19.10, and 19.11. Rulemaking authority is granted to the
Texas Department of Health in SECTION 2.25 (Section5.673, Health and Safety
Code).   

SECTION BY SECTION ANALYSIS

SECTION 1.01. Amends Section 5.014, Water Code, as follows:
 
Sec. 5.014. SUNSET PROVISION. Provides that unless in existence as provided
by that chapter, the Texas Natural Resource Conservation Commission
(commission) is abolished and this chapter expires September 1, 2013,
rather than 2001. 

SECTION 1.02. Amends Section 5.052(c), Water Code, to require appointments
to the commission to be made without regard to certain factors. 

SECTION 1.03. Amends Section 5.053(a), Water Code, to prohibit a person
from being a member of the commission if the person or the person's spouse
meets certain criteria. Deletes text regarding eligibility to serve on the
commission. 

SECTION 1.04. Amends Chapter 5C, Water Code, by adding Section 5.0535, as
follows: 
 
Sec. 5.0535.  REQUIRED TRAINING PROGRAM FOR COMMISSION MEMBERS. (a)
Prohibits a person who is appointed to and qualifies for office as a member
of the commission from voting, deliberating, or being counted as a member
in attendance at a meeting of the commission until the person completes a
training program that complies with this section. 
.
(b)  Requires the training program to provide the person with certain
information. 

 (c)  Provides that a person appointed to the commission is entitled to
reimbursement, as provided by the General Appropriations Act, for the
travel expenses incurred in attending the training program regardless of
whether the attendance at the program occurs before or after the person
qualifies for office. 

SECTION 1.05. Amends Section 5.054, Water Code, as follows:

Sec. 5.054. (a) Provides that it is a ground for removal from the
commission that, rather than if, a member meets certain conditions. 

  (b) Makes conforming changes.

(c) Requires the executive director, if the executive director or a member
has knowledge that a potential ground for removal exists, to notify the
presiding officer, rather than chairman, of the commission of the potential
ground. Requires the presiding officer, rather than chairman of the
commission, to then notify the governor and the attorney general that a
potential ground for removal exists. Requires the executive director or
another member of the commission, if the potential ground for removal
involves the presiding officer, to notify the member of the commission with
the most seniority, who will then notify the governor and the attorney
general that a potential ground for removal exists. 

SECTION 1.06. Amends Sections 5.058(a)-(d), Water Code, as follows:

(a) Requires the governor to designate a member of the commission as the
presiding officer, rather than chairman, of the commission to serve in that
capacity at the pleasure of the governor. Deletes text regarding chairman. 

(b) Authorizes the presiding officer to designate another commissioner to
act for the presiding officer in the presiding officer's absence. Makes
conforming and nonsubstantive changes. 

  (c) Makes a conforming change.

  (d) Makes conforming changes.
 
SECTION 1.07. Amends Sections 5.059 and 5.060, Water Code, as follows:

Sec. 5.059.  Defines "Texas trade association."  Prohibits a person from
being a member of the commission and being a commission employee employed
in a "bona fide executive, administrative, or professional capacity," as
that phrase is used for purposes of establishing an exemption to the
overtime provisions of the federal Fair Labor Standards Act of 1938 (29
U.S.C. Section 201 et seq.) and its subsequent amendments, if certain
conditions exist. Deletes text regarding certain persons affiliated with a
trade association. 

Sec. 5.060. Prohibits a person from being a member of the commission or
acting as general counsel to the commission if the person is required to
register as a lobbyist under Chapter 305 (Registration of Lobbyists),
Government Code, because, rather than by virtue, of the person's activities
for compensation on behalf of a profession related to the operation of the
commission. Deletes text regarding certain persons serving on the
commission. Makes conforming and nonsubstantive changes. 

SECTION 1.08. Amends Chapter 5D, Water Code, by adding Section 5.1031, as
follows: 

Sec. 5.1031.  RULES RESTRICTING ADVERTISING OR COMPETITIVE BIDDING
PROHIBITED. (a)  Prohibits the commission from adopting rules restricting
advertising or competitive bidding by a license holder except to prohibit
false, misleading, or deceptive practices. 

(b)  Prohibits the commission, in its rules to prohibit false, misleading,
or deceptive practices, from including a rule that meets certain
conditions. 

SECTION 1.09. Amends Section 5.107, Water Code, as follows:

Sec. 5.107.  New heading: ADVISORY COMMITTEES, WORK GROUPS, AND TASK
FORCES. (a)  Authorizes the commission or the executive director to create
and consult with groups for certain purposes. 

(b)  Requires the commission to identify affected groups of interested
persons for advisory committees, work groups, and task forces and to make
reasonable attempts to have balanced representation on all advisory
committees, work groups, and task forces.  Provides that this subsection
does not require the commission to ensure that all representatives attend a
scheduled meeting.  Prohibits a rule or other action of the commission from
being challenged solely because of the composition of an advisory
committee, work group, or task force. 

(c)  Requires the commission to monitor the composition and activities of
advisory committees, work groups, and task forces appointed by the
commission or formed at the staff level and to maintain that information in
a form and location that is easily accessible to the public, including
making the information available on the Internet. 

SECTION 1.10. Amends Chapter 5D, Water Code, by adding Section 5.1115,  as
follows: 

Sec. 5.1115.  RECORD OF OUTSIDE CONTACT BY COMMISSION MEMBER OR STAFF. (a)
Requires each commission member and each commission staff member with
discretionary authority over any aspect of a permit  or enforcement
decision, rulemaking, or other regulatory matter pending before or within
the jurisdiction of the commission to keep a written record of each
communication with any person other than a commission member or commission
employee regarding that regulatory matter.  Provides that a commission
member or commission employee has discretionary authority if the person has
authority to make a decision that is final regarding that regulatory
matter. 
 
  (b)  Requires the written record to state certain information.
  
(c)  Provides that a written record prepared as required by this section is
subject to disclosure under the public information law, Chapter 552 (Public
Information), Government Code. 

(d)  Provides that this section does not apply to an unplanned
communication that occurs outside commission offices. 

(e)  Requires the written record, if the communication occurs as part of a
presentation to a group or association, to include the name of the group or
association instead of the information required by Subsections (b)(1)-(3). 

SECTION 1.11. Amends Chapter 5D, Water Code, by adding Sections
5.1191-5.1193, as follows: 

Sec. 5.1191.  RESEARCH MODEL. (a)  Defines "research model." Requires the
commission's plan to be prioritized by need and to identify certain
research goals.   Authorizes the plan to address preferred methods of
conducting the identified research. 

(b)  Requires the commission to develop a research model. Authorizes the
commission to appoint a research advisory board to assist the commission in
providing appropriate incentives to encourage various interest groups to
participate in developing the research model and to make recommendations
regarding research topics specific to this state. Requires the research
advisory board to include certain persons. 

Sec. 5.1192.  COORDINATION OF RESEARCH. (a)  Requires the commission to
facilitate and coordinate environmental research in the state according to
the research model developed under Section 5.1191. 

(b)  Requires the commission to explore private and federal funding
opportunities for research needs identified in the research model.
Authorizes the commission to conduct, direct, and facilitate research to
implement the commission's research model by administering grants or by
contracting for research if money is appropriated to the commission for
those purposes. 

(c) Requires the commission, through the research model, to coordinate with
or make use of any research activities conducted under existing state
initiatives, including research by certain state entities. 

(d)  Provides that this section does not authorize the commission to
initiate or direct the research efforts of another entity except under the
terms of a grant or contract. 
 
Sec. 5.1193.  REPORT. Requires the commission to include in the reports
required by Section 5.178 a description of cooperative research efforts, an
accounting of money spent on research, and a review of the purpose,
implementation, and results of particular research projects conducted. 

SECTION 1.12. Amends Chapter 5D, Water Code, by adding Sections
5.127-5.130, as follows: 

Sec. 5.127.  USE OF ENVIRONMENTAL TESTING LABORATORY DATA AND ANALYSIS. (a)
Authorizes the commission to accept environmental testing laboratory data
and analysis for use in commission decisions regarding any matter under the
commission's jurisdiction relating to permits or other authorizations,
compliance matters, enforcement actions, or corrective actions only if the
data and analysis is prepared by an environmental testing  laboratory
accredited by the commission under Subchapter R or an environmental testing
laboratory described in Subsection (b). 

(b)  Authorizes the commission to accept for use in commission decisions
data and analysis prepared by certain entities. 
  
(c)  Authorizes the commission by rule to require that data and analysis
used in other commission decisions be obtained from an environmental
testing laboratory accredited by the commission under Subchapter R. 

Sec. 5.128.  ELECTRONIC REPORTING TO COMMISSION; REDUCTION OF DUPLICATE
REPORTING. (a)  Requires the commission to encourage the use of electronic
reporting through the Internet, to the extent practicable, for reports
required by the commission. Requires an electronic report to be submitted
in a format prescribed by the commission. Authorizes the commission to
consult with the Department of Information Resources on developing a
simple format for use in implementing this subsection. 

(b)  Requires the commission to strive to reduce duplication in reporting
requirements throughout the agency. 

Sec. 5.129.  SUMMARY FOR PUBLIC NOTICES. (a)  Requires the commission by
rule to provide for each public notice issued or published by the
commission or by a person under the jurisdiction of the commission as
required by law or by commission rule to include at the beginning of the
notice a succinct statement of the subject of the notice.  Requires the
rules to provide that a summary statement  be designed to inform the reader
of the subject matter of the notice without having to read the entire text
of the notice. 

(b)  Prohibits the summary statement from being grounds for challenging the
validity of the proposed action for which the notice was published. 

Sec. 5.130.  CONSIDERATION OF CUMULATIVE RISKS. Requires the commission to
perform certain duties. 
  
SECTION 1.13. Amends Chapter 5E, Water Code, by adding Section 5.1765, as
follows: 

Sec. 5.1765.  PUBLICATION OF INFORMATION REGARDING COMPLAINT PROCEDURES AND
POLICIES. Requires the commission to establish a process for educating the
public regarding the commission's complaint policies and procedures.
Requires the commission, as part of the public education process, to make
available to the public in pamphlet form an explanation of the complaint
policies and procedures, including information regarding and standards
applicable to the collection and preservation of credible evidence of
environmental problems by members of the public. 

SECTION 1.14. Amends Sections 5.176 and 5.177, Water Code, as follows:

Sec. 5.176.  (a) Requires the commission to maintain a, rather than keep an
information, file on each written complaint filed with the commission about
a matter within the commission's regulatory jurisdiction. Deletes text
regarding entity regulated by the commission. Requires the files to include
certain information. 
 
(b)  Requires the commission to establish and implement procedures for
receiving complaints submitted by means of the Internet and orally and to
maintain files on those complaints as provided by Subsection (a). 

Sec. 5.177.  New heading: NOTICE OF COMPLAINT PROCEDURES; NOTICE OF
INVESTIGATION STATUS. (a)  Requires the agency to provide to the person
filing the complaint about a matter within the commission's regulatory
jurisdiction and to each person who is the subject of the complaint a copy
of the commission's policies and procedures relating to complaint
investigation and resolution. 

(b) Requires the commission, at least quarterly until final disposition of
the complaint, to notify the person filing the complaint and each person
who is a subject of, rather than parties to, the complaint the of the
status of the investigation, rather than complaint, unless the notice would
jeopardize an undercover investigation. Deletes text regarding written
complaint. 

 (c)  Provides that the commission is not required to provide the
information described in Subsection (a) or (b) to a complainant who files
an anonymous complaint or provides inaccurate contact information. 

SECTION 1.15. Amends Chapter 5E, Water Code, by adding Sections 5.1771,
5.1772, and 5.1773, as follows: 

Sec. 5.1771.  COORDINATION OF COMPLAINT INVESTIGATIONS WITH LOCAL
ENFORCEMENT OFFICIALS:  TRAINING. (a)  Requires the commission to share
information regarding a complaint about a matter within the commission's
regulatory jurisdiction made to the commission with local officials with
authority to act on the complaint in the county or municipality in which
the alleged action or omission that is the subject of the complaint
occurred or is threatening to occur. 

 (b) Requires the commission, on request, to provide training for local
enforcement officials in investigating complaints and enforcing
environmental laws relating to matters under the commission's jurisdiction
under this code or the Health and Safety Code. Requires the training to
include certain information. 

(c)  Authorizes the commission to charge a reasonable fee for providing
training to local enforcement officials as required by Subsection (b) in an
amount sufficient to recover the costs of the training. 

Sec. 5.1772.  AFTER-HOURS RESPONSE TO COMPLAINTS. (a)  Requires the
commission to adopt and implement a policy to provide timely response to
complaints during periods outside regular business hours. 
 
(b)  Provides that this section does not require availability of field
inspectors for response 24 hours a day, seven days a week, in all parts of
the state; or  authorize additional use of overtime. 

Sec. 5.1773.  COMPLAINT ASSESSMENT. (a)  Requires the commission annually
to conduct a comprehensive analysis of the complaints it receives,
including analysis of certain categories. 

(b)  Requires the commission, in addition to the analysis required by
Subsection (a), to assess the impact of changes made in the commission's
complaint policy. 

SECTION 1.16. Amends Section 5.178(b), Water Code, to require the report
due by December 1 of an even-numbered year to include certain information. 

SECTION 1.17. Amends Section 5.227, Water Code, to require the executive
director of his designee to prepare and maintain a written policy statement
that implements a program of equal employment opportunity to ensure that al
personnel decisions, rather than transactions, are made without regard to
certain factors. Makes conforming changes.  Requires the policy statement
to include certain information. Deletes text regarding procedures and
reasonable methods.  Requires the policy statement to meet certain
conditions. 

SECTION 1.18. Amends Chapter 5F, Water Code, by adding Section 5.2275, as
follows: 

Sec. 5.2275.  STATE EMPLOYEE INCENTIVE PROGRAM. Requires the executive
director or the executive director's designee to provide to commission
employees information and training on the benefits and methods of
participation in the state employee incentive program under Chapter
2108(B), Government Code. 

SECTION 1.19. Amends Section 5.228, Water Code, as follows:

(b)  Requires the executive director to be named a party in hearings before
the commission on an enforcement matter under the jurisdiction of the
commission. 

(c)  Authorizes the executive director to participate as a party in permit
hearings or contested case permit hearings before the commission or the
State Office of Administrative Hearings for the sole purpose of providing
information to complete the administrative record.  Requires the commission
by rule to specify the factors the executive director must consider in
determining, case by case, whether to participate as a party in a permit
hearing or a contested case permit hearing. Requires the commission to
consider to perform certain procedures. 
  
(d)  Prohibits the executive director or the executive director's
designated representative,  in a contested case hearing relating to a
permit application, from rehabilitating the testimony of a witness unless
the witness is a commission employee testifying for the sole purpose of
providing information to complete the administrative record. 
 
(e)  Prohibits the executive director or the executive director's
designated representative from assisting a permit applicant in meeting its
burden of proof in a hearing before the commission or the State Office of
Administrative Hearings unless the permit applicant fits a category of
permit applicant that the commission by rule has designated as eligible to
receive assistance.  Requires the commission to adopt rules establishing
categories of permit applicants eligible to receive assistance. 

SECTION 1.20. Amends Chapter 5F, Water Code, by adding Section 5.2291, as
follows: 

Sec. 5.2291.  SCIENTIFIC AND TECHNICAL SERVICES. (a)  Defines "scientific
and technical environmental services." 

(b)  Authorizes the procurement of a contract for scientific and technical
environmental services to be conducted under the procedures for
professional services selection provided in Chapter 2254A, Government Code,
if the executive director determines there is a compelling public need to
do so. 

SECTION 1.21. Amends Section 5.234(b), Water Code, as follows:

(b) Requires the executive director,  if, in the course of reviewing an
application and preparing a draft permit, the executive director has
required changes to be made to the applicant's proposal, to prepare a
summary of the changes that were made to increase protection of public
health and the environment. 

SECTION 1.22. Amends Chapter 5G, Water Code, as follows:
 
SUBCHAPTER G. New heading: OFFICE OF NATURAL RESOURCE PUBLIC 
INTEREST COUNSEL

 Sec. 5.271. New heading: DEFINITIONS. Defines "counsel," "office," and
"public interest." 

Sec. 5.272.  New heading: CREATION AND GENERAL RESPONSIBILITY OF OFFICE OF
NATURAL RESOURCE PUBLIC INTEREST COUNSEL. Provides that the Office of
Natural Resource Public Interest Counsel is created to ensure that the
public interest is represented in all matters before the commission. 

Sec. 5.273.  New heading: NATURAL RESOURCE PUBLIC INTEREST COUNSEL. (a)
Requires the governor with the advice and consent of the senate to appoint
a natural resource public interest counsel to serve as the executive
director of the office. 

(b)  Requires a person, to be eligible to serve as counsel, to meet certain
conditions. 
  
(c)  Provides that the counsel serves a two-year term that expires February
1 of each odd-numbered year. 

(d)  Authorizes the counsel to serve on a board, committee, or advisory
group unless prohibited by law. 

Sec. 5.274.  New heading: POWERS AND DUTIES OF COUNSEL AND COMMISSION. (a)
Authorizes the counsel to represent the public interest in any issue that
arises in a proceeding before the commission.  The counsel is entitled to
be admitted as a party to any proceeding before the commission. 

  (b)  Requires the counsel to perform certain procedures.
  
  (c)  Provides that the counsel is responsible for approving actual and
necessary    expenditures incurred in administering the office, including
expenses for     professional services, travel, and per diem payments. 
 
(d)  Authorizes the counsel to perform certain duties.
  
(e)  Requires the counsel to participate in a meeting of any of the
commission's advisory committees when necessary to ensure that the
committee considers the public interest perspective. 

(f)  Requires the commission to provide the counsel a copy of each notice
related to a matter under the jurisdiction of the commission that is
required by statute or commission rule to be mailed, published, or posted
in any manner by the commission or another person.  

(g)  Requires the commission to give the office access to the commission's
technical staff and resources to assist the counsel in a proceeding before
the commission. Provides that the commission is not required to give the
office access to a technical staff member if the staff member is expected
to participate in the proceeding on the commission's behalf. 
 
Sec. 5.275.  New heading: REPRESENTATION BY FORMER COUNSEL; PENALTY. (a)
Prohibits a former counsel from making any communication to or appearance
before the commission or an officer or employee of the commission before
the second anniversary of the date the person ceases to serve as counsel if
the communication or appearance is made under certain conditions. 
   
(b)  Prohibits a former counsel from representing any person or receive
compensation for services rendered on behalf of any person regarding a
matter before the commission before the second anniversary of the date the
person ceases to serve as counsel. 

(c)  Provides that a person commits an offense if the person violates this
section. Provides that an offense under this subsection is a Class A
misdemeanor. 

Sec. 5.276.  New heading: JUDICIAL REVIEW AND APPEAL. Authorizes the
counsel to appeal on behalf of the public an action taken by the commission
in a proceeding in which the counsel participated.  Authorizes the counsel
to intervene as a matter of right or appear in any other appropriate
capacity in a judicial proceeding that arises out of a commission
proceeding in which the counsel participated.  

 Deletes existing text of Sections 5.271-5.275.

SECTION 1.23.  Amends Chapter 7A, Water Code, by adding Section 7.0025, as
follows: 

Sec. 7.0025.  INITIATION OF ENFORCEMENT ACTION USING INFORMATION PROVIDED
BY PRIVATE INDIVIDUAL. (a)  Authorizes the commission to initiate an
enforcement action on a matter under its jurisdiction under this code or
the Health and Safety Code based on information it receives from a private
individual if that information, in the commission's judgment, is of
sufficient value and credibility to warrant the initiation of an
enforcement action. 

(b)  Authorizes the executive director or the executive director's
designated representative to evaluate the value and credibility of
information received from a private individual and the merits of any
proposed enforcement action based on that information. 

(c)  Authorizes the commission by rule to adopt criteria for the executive
director to use in evaluating the value and credibility of information
received from a private individual and for use of that information in an
enforcement action. 

(d)  Authorizes a private individual who submits information on which the
commission relies for all or part of an enforcement case to be called to
testify in the enforcement proceedings.  Provides that if the commission
relies solely on the information submitted by a private individual to prove
an enforcement case, any physical or sampling data is required to have been
collected or gathered in accordance with commission protocols. 

SECTION 1.24.  Amends Section 361.0231(a), Health and Safety Code, to
delete text regarding encourage economic development. 

SECTION 1.25.  Amends Section 26.003, Water Code, to delete text regarding
economic development. Makes a conforming change. 

SECTION 1.26.  Amends Section 27.003, Water Code, to make conforming
changes. 

ARTICLE 2.  NOTICE REQUIREMENTS

SECTION 2.01. Amends Chapter 5, Water Code, by adding a heading for
Subchapter O, as follows: 

SUBCHAPTER O.  NOTICE REQUIREMENTS

SECTION 2.02. Amends Section 5.115, Water Code, transferring new Chapter
5O, Water Code,  redesignating as Section 5.651, as follows: 

Sec. 5.651. New heading: PERSONS AFFECTED IN COMMISSION HEARINGS; NOTICE OF
APPLICATION FOR PERMIT OR LICENSE. 

SECTION 2.03. Amends Sections 11.085(f)-(i), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.652, as follows: 

Sec. 5.652. NOTICE OF APPLICATION FOR INTERBASIN TRANSFER. (a) Requires
that notice of an application for an interbasin transfer under Section
11.085 to be mailed to certain persons or groundwater conservation
districts. 

(c) Requires the notice of application to state how a person may obtain the
information described by Section 11.085(b). 

SECTION 2.04.  Amends Sections 11.132(a)-(c), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.653, as follows: 

Sec. 5.653. NOTICE OF PROPOSED APPROPRIATION OF WATER. (a) Requires notice
to be given to the persons who in the judgment of the commission may be
affected by an application for authorization to appropriate unappropriated
state water under Chapter 11, including those persons listed in Section
5.654(b). Deletes text regarding the commission holding a public hearing. 

SECTION 2.05. Amends Sections 11.132(d) and (e), Water Code, transferring
new Chapter 5O, Water Code, redesignated as Section 5.654, as follows: 

Sec. 5.654.  NOTICE REQUIRED TO OBTAIN AUTHORIZATION TO APPROPRIATE WATER
WITHOUT HEARING. (a)  Requires the applicant, not later than 30 days,
rather than not less than 30 days, before the date of action by the
commission on an application for authorization to appropriate
unappropriated state water under Chapter 11, rather than by the commission,
to publish the commission's notice of the application under Section 5.653
at least once in a newspaper regularly published or circulated within the
section of the state where the source of water is located. Deletes text
regarding the commission is prohibited from acting on an application. Makes
conforming changes. 

(b) Requires the commission not later, rather than not less, than 30 days
before the date of action on the application by the commission, to mail a
copy of the notice by firstclass mail, postage prepaid, to certain persons
or entities. 

  (c) Makes conforming changes.

SECTION 2.06. Amends Sections 11.143(e) and (f), Water Code, transferring
new Chapter 5O, Water Code, redesignated as Section 5.655, as follows: 

Sec. 5.655.  NOTICE OF APPLICATION AND OF HEARING ON APPLICATION FOR PERMIT
TO USE DOMESTIC AND LIVESTOCK RESERVOIR FOR OTHER PURPOSES. (a)  Requires
the commission to give notice of an application for a permit to use water
from a dam or reservoir exempted under Section 11.142 for a purpose other
than domestic or livestock use as provided by this section. 

SECTION 2.07. Amends Sections 11.143(d), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.656, as follows: 

Sec. 5.656.  NOTICE REQUIRED TO OBTAIN A PERMIT WITHOUT HEARING TO  USE
DOMESTIC AND LIVESTOCK RESERVOIR FOR OTHER PURPOSES. (a) Requires the
applicant, not later, rather than not less, than 30 days before the date of
action by the commission on an application to obtain a permit under Section
11.143 to use water from a dam or reservoir exempted under Section 11.142
for a purpose other than domestic or livestock use, to publish the
commission's notice of the application at least once in a newspaper
regularly published or circulated within the section of the state where the
source of water is located. 

  (b) Makes conforming changes. Deletes text regarding public hearing.

SECTION 2.08. Amends Sections 11.175, Water Code, transferring new Chapter
5O, Water Code, redesignated as Section 5.657, as follows: 

Sec. 5.657. New heading: NOTICE OF CANCELLATION PROCEEDING. (a)  Requires
the commission, at least 45 days before the date of a hearing on the
proposed cancellation of a permit, certified filing, or certificate of
adjudication under Section 11.176, to send notice of the hearing to the
holder of the permit, certified filing, or certificate of adjudication
being considered for cancellation in whole or in part. 

SECTION 2.09. Amends Sections 26.022(b) and (c), Water Code, transferring
new Chapter 5O, Water Code, redesignated as Section 5.658, as follows: 

Sec. 5.658.  NOTICE OF HEARINGS HELD UNDER CHAPTER 26. (a) Requires notice
of all hearings held under Chapter 26, except as otherwise provided by
Sections 5.501, 5.504, 5.509, and 26.176, to be published at least once in
a newspaper regularly published or circulated in each county where, by
virtue of the county's geographical relation to the subject matter of the
hearing, the commission has reason to believe persons reside who may be
affected by the action that may be taken as a result of the hearing.   

(b) Requires the notice, if notice of the hearing is required by Chapter 26
to be given to a person, to be served personally or mailed not less than 20
days before the date set for the hearing to the person at his last address
known to the commission. 

SECTION 2.10.  Amends Sections 26.028(a), (b), and (e), Water Code,
transferring new Chapter 5O, Water Code, redesignated as Section 5.659, as
follows: 

Sec. 5.659.  NOTICE TO AFFECTED PERSONS OF APPLICATION FOR PERMIT, PERMIT
AMENDMENT, OR PERMIT RENEWAL UNDER CHAPTER 26. Requires the commission to
give notice of an application for a permit, permit amendment, or permit
renewal under Chapter 26 to the persons who in the judgment of the
commission may be affected by the application, except as provided by this
section. Makes conforming changes. 

(c) Requires notice of an application under Section 26.028(c) to be mailed
to certain persons at least 10 days before the commission meeting. Deletes
text regarding presenting information to the commission. Makes a
nonsubstantive 
  change.

SECTION 2.11. Amends Sections 26.028(g), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.660, as follows: 

Sec. 5.660.  NOTICE REQUIRED TO OBTAIN PERMIT DECISION WITHOUT HEARING
UNDER SECTION 26.028(a). Requires the applicant, not later than 30 days
before the date of action by the commission on an application for a permit,
permit amendment, or permit renewal under Chapter 26, to publish the
commission's notice of the application at least once in a newspaper
regularly published or circulated within each county where the  proposed
facility or discharge is located and in each county affected by the
discharge. 

(b) Requires the applicant, not later, rather than not less, than 30 days
before the date of action on the application by the commission, to serve or
mail the commission's notice of the application to persons who in the
judgment of the commission may be affected, including the county judges as
required by Section 5.659(b).  Requires the applicant, as part of the
application, to submit an affidavit which lists the names and addresses of
the persons who may be affected by the application and include the source
of the list. Deletes text regarding application. Makes conforming changes. 

SECTION 2.12.  Amends Sections 26.040(b), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.661, as follows: 

(a) Requires the commission to publish the notice of a proposed general
permit to discharge waste into or adjacent to waters in the state under
Section 26.040 in a daily or weekly newspaper of general circulation in the
area affected by the activity that is the subject of the proposed general
permit and in the Texas Register. 

SECTION 2.13. Amends Sections 27.018(b), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.662, as follows: 

Sec. 5.662.  NOTICE OF OPPORTUNITY FOR HEARING ON PERMIT APPLICATION FOR
INJECTION WELL TO DISPOSE OF INDUSTRIAL AND MUNICIPAL WASTE.   Requires the
commission by rule to provide for giving notice of the opportunity to
request a public hearing on a permit application for an injection well to
dispose of industrial and municipal waste under Chapter 27. 

SECTION 2.14. Amends Sections 361.063(c), Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.663, as follows: 

Sec. 5.663.  NOTICE OF INTENT TO FILE APPLICATION FOR HAZARDOUS WASTE
PERMIT. Requires the applicant, if an applicant for a permit for a
hazardous waste management facility decides to participate in a local
review committee process under Section 361.063, Health and Safety Code, to
file with the commission a notice of intent to file an application, setting
forth the proposed location and type of hazardous waste management
facility. Deletes text regarding filing of notice. 

SECTION 2.15. Amends Sections 361.0665, Water Code, transferring new
Chapter 5O, Water Code, redesignated as Section 5.664, as follows: 

Sec. 5.664. NOTICE OF INTENT TO OBTAIN MUNICIPAL SOLID WASTE PERMIT. (a)
Requires a person who applies for a municipal solid waste permit to publish
notice of intent to obtain a permit under Chapter 361(Solid Waste Disposal
Act), Health and Safety Code, at least once in a newspaper of the largest
general circulation that is published in the county in which the facility
is located or proposed to be located. 

SECTION 2.16. Amends new Chapter 5O, Water Code, by adding Section 5.6645,
as follows: 

 Sec. 5.6645.  PUBLIC MEETING AND NOTICE FOR SOLID WASTE FACILITIES. (a)
Requires an applicant for a permit under Chapter 361, Health and Safety
Code, for a new facility that accepts municipal solid wastes to hold a
public meeting in the county in which the proposed facility is to be
located.  Requires the meeting to be held before the 45th day after the
date the application is filed.  
 
(b)  Requires the applicant to publish notice of the public meeting at
least once each  week during the three weeks preceding the meeting.
Requires the notice to be published in the newspaper of the largest general
circulation that is published in the county in which the proposed facility
is to be located.  Requires the notice, if a newspaper is not published in
the county, to be published in a newspaper of general circulation in the
county.  

(c)  Requires the applicant to present to the commission an affidavit
certifying that the notice was published as required by Subsection (b).
Provides that the commission's acceptance of the affidavit raises a
presumption that the  applicant has complied with Subsection (b).  

(d)  The published notice may not be smaller than 96.8 square centimeters
or 15 square inches with the shortest dimension not less than 7.5
centimeters or 3 inches.  The notice must contain certain information. 

(e)  Requires the applicant to pay the cost of the notice required under
this section. Authorizes the commission by rule to establish a procedure
for payment of those costs. 

SECTION 2.17.  Amends Sections 361.079(a) and (c), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.665,
as follows: 

Sec. 5.665.  NOTICE OF APPLICATION FOR SOLID WASTE OR HAZARDOUS INDUSTRIAL
SOLID WASTE PERMIT. (a) Requires the commission by rule, except as provided
by Sections 361.080(b) and 361.081(c), Health and Safety Code, to establish
procedures for public notice under Section 361.080 or 361.081, Health and
Safety Code. 

  (b) Makes a conforming change.

SECTION 2.18. Amends Sections 361.0791(e), (f), and (g), Health and Safety
Code, transferring to new Chapter 5O, Water Code, redesignated as Section
5.666, as follows: 

Sec. 5.666.  NOTICE OF REQUIRED PUBLIC MEETING ON APPLICATION FOR PERMIT
FOR NEW HAZARDOUS WASTE MANAGEMENT FACILITY. (a) Requires an applicant, if
a meeting is required under Section 361.0791(a), Health and Safety Code,
not less than once each week during the three weeks preceding a public
meeting, to publish notice of the meeting in the newspaper of the largest
general circulation that is published in the county in which the proposed
facility is to be located or, if no newspaper is published in the county,
in a newspaper of general circulation in the county. 

SECTION 2.19. Amends Sections 361.081(a) and (b), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.667,
as follows: 

Sec. 5.667. NOTICE OF HEARING ON APPLICATION FOR SOLID WASTE FACILITY.
Requires an applicant to mail notice to each residential or business
address located within one-half mile of a new solid waste management
facility and to each owner of real property located within one-half mile of
a new solid waste management facility listed in the real property appraisal
records of the appraisal district in which the solid waste management
facility is sought to be permitted under Chapter 361, Health and Safety
Code, as of the date the commission determines the permit application is
administratively complete. 

SECTION 2.20. Amends Sections 361.082(c), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.668,
as follows: 

Sec. 5.668. NOTICE OF PUBLIC HEARING ON APPLICATION FOR HAZARDOUS WASTE
PERMIT. Requires the commission by rule to establish procedures for public
notice  of a public hearing on an application for a hazardous waste permit
under Section 361.082, Health and Safety Code. Requires the rules, at a
minimum, to include the public notice requirements set forth in Section
5.667, rather than Section 361.081. 

SECTION 2.21. Amends Sections 361.089(b) and (c), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.669,
as follows: 

Sec. 5.669. NOTICE REGARDING DENIAL OR AMENDMENT OF SOLID WASTE PERMIT. (a)
Requires the commission to notify each governmental entity listed under
Section 361.067, Health and Safety Code, regarding possible commission
action to deny or amend a solid waste permit under Section 361.089, Health
and Safety Code. Deletes text regarding opportunity for a hearing to the
permit holder. Deletes text regarding as provided by Section 361.110. 

(b) Requires the commission by rule to establish procedures for public
notice of any public hearing on the denial or amendment of a solid waste
permit under Section 361.089, Health and Safety Code Makes nonsubstantive
changes. 

SECTION 2.22. Amends Sections 382.017(b), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.670,
as follows: 

Sec. 5.670.  NOTICE OF HEARING ON ADOPTION OF STATEWIDE RULE RELATING TO
AIR POLLUTION. Provides that if a rule adopted under Section 382.017,
Health and Safety Code, will have statewide effect, notice of the date,
time, place, and purpose of the hearing is required to be published one
time at least 20 days before the scheduled date of the hearing in at least
three newspapers, the combined circulation of which will, in the
commission's judgment, give reasonable circulation throughout the state.
Makes a nonsubstantive change. 

SECTION 2.23.  Amends Sections 382.0516, Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.671,
as follows: 

Sec. 5.671. New heading: NOTICE TO STATE SENATOR AND REPRESENTATIVE OF
RECEIPT OF PERMIT APPLICATION FOR A FACILITY THAT MAY EMIT AIR
CONTAMINANTS. Makes a conforming change. 

SECTION 2.24. Amends Sections 382.055, Health and Safety Code, transferring
to new Chapter 5O, Water Code, redesignated as Section 5.672, as follows: 

Sec. 5.672. NOTICE TO PERMIT HOLDER OF REVIEW AND RENEWAL OF
PRECONSTRUCTION PERMIT. Requires the commission, not less than 180 days
before the date on which an application for renewal of a preconstruction
permit is due under Section 382.055, Health and Safety Code, to provide
written notice to the permit holder, by registered or certified mail, that
the permit is scheduled for review in accordance with this section. Deletes
text regarding renewal. 

SECTION 2.25. Amends Sections 382.056(a)-(c), (g), and (i), Health and
Safety Code, transferring to new Chapter 5O, Water Code, redesignated as
Section 5.673, as follows: 

Sec. 5.673.  NOTICE OF INTENT TO OBTAIN PRECONSTRUCTION PERMIT OR PERMIT
REVIEW. (a) Makes conforming changes. 

  (b) Requires the notice to include certain information.

  (d) Makes conforming changes. Deletes text regarding public hearing.
 
  (e) Requires the notice to include certain information.

(f)  Requires the department to establish rules to ensure that a permit
applicant complies with the notice requirement under Subsection (a). 

  (g)  This section does not apply to certain criteria.

SECTION 2.26. Amends Sections 382.0561(f), Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.674,
as follows: 

Sec. 5.674.  NOTICE OF COMMENT PERIOD AND HEARING ON FEDERAL OPERATING
PERMIT. Requires notice of the public comment period and opportunity for a
hearing on an application for issuance, revision, reopening, or renewal of
a federal operating permit under Section 382.0561, Health and Safety Code,
to be published in accordance with Section 5.673, rather than 382.056.
Makes a nonsubstantive change. 

SECTION 2.27. Amends Sections 382.0562, Health and Safety Code,
transferring to new Chapter 5O, Water Code, redesignated as Section 5.675,
as follows: 

Sec. 5.675.  New heading: NOTICE OF DECISION ON FEDERAL OPERATING PERMIT.
(a)  Requires the commission or its designee to send notice of a proposed
final action on a federal operating permit under Section 382.0542, Health
and Safety Code, by first-class mail to the applicant and all persons who
comment during the public comment period or at the public hearing.   

  (b)  Makes a conforming change.

SECTION 2.28. Amends Chapter 5O, Water Code, by adding Sections 5.676 and
5.677, as follows: 

Sec. 5.676.  NOTICE OF HEARING ON ISSUANCE OR RENEWAL OF LICENSE TO DISPOSE
OF LOW-LEVEL RADIOACTIVE WASTE. (a)  Requires notice of a hearing on the
issuance or renewal of a license to dispose of low-level radioactive waste
under Section 401.114 (Notice and Hearing), Health and Safety Code, to be
given as provided by this section and Section 401.114, Health and Safety
Code. 

 (b)   Requires the commission, in addition to other notice, to publish
notice of the hearing in the manner provided by Chapter 313 (Notice For
Local and Special Laws), Government Code, in the county in which the
proposed facility is to be located. Requires the notice to state the
subject and the time, place, and date of the hearing. 

(c)  Requires the commission to mail, by certified mail in the manner
provided by the commission's rules, written notice to each person who owns
property adjacent to the proposed site.  Requires the notice to be mailed
not later than the 31st day before the date of the hearing and to include
the same information that is in the published notice. Requires the
commission or the applicant, if true, to certify that the notice was mailed
as required by this subsection, and at the hearing the certificate is
conclusive evidence of the mailing. 

Sec. 5.677.  NOTICE OF AMENDMENT TO LICENSE TO DISPOSE OF LOW-LEVEL
RADIOACTIVE WASTE. (a)  Requires the commission to publish notice of an
amendment to a license to dispose of low-level radioactive waste under
Section 401.116 (License Amendment), Health and Safety Code, once in the
Texas Register and in a newspaper of general circulation in the county in
which the licensed activity is located and to give notice to any person who
has notified the agency, in advance, of the desire to receive notice of
proposed amendment of the license. 
 
  (b)  Requires notice under this section to include certain information.

ARTICLE 3. FEES AND RATES

SECTION 3.01.  Amends Chapter 5, Water Code, by adding a heading for
Subchapter P, as follows: 

SUBCHAPTER P.  FEES

SECTION 3.02. Amends Section 5.235, Water Code, transferring to new Chapter
5P, Water Code, redesignating as Section 5.701, as follows: 

(a) Authorizes the commission by rule to establish, rather than set, the
application fee in an amount sufficient to cover, rather than not to
exceed, the costs of reviewing and possessing the application, plus the
cost of required notice. Authorizes the commission to also use the
application fee to cover other costs incurred to protect water resources in
this state reasonably related to the activities of any of the persons
required to pay a fee under the statutes listed in Subsection (p). 

(p)  Authorizes fees collected for deposit to the water resource management
account under the following statutes, notwithstanding any other law, to be
appropriated and used to protect water resources in this state reasonably
related to the activities of any of the persons required to pay a fee under
certain Subsections or Sections. 
  
(q)  Authorizes fees collected for deposit to the water resource management
account under the following statutes,  notwithstanding any other law, to be