HBA-SEP H.B. 3431 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3431 By: Merritt Environmental Regulation 3/25/2001 Introduced BACKGROUND AND PURPOSE To reduce carbon monoxide and hydrocarbon levels in areas that do not meet the National Ambient Air Quality Standards, the federal Clean Air Act of 1990 mandated the use of reformulated gasoline (RFG) with a specific oxygen content. The primary oxygenate used in RFG is methyl tertiary-butyl ether (MTBE) which has a small molecular size and is soluble in water. While the use of MTBE has resulted in reduced air pollution, the leaking of MTBE in underground gasoline storage systems, recreational watercraft, pipelines, and above-ground tanks has created surface and groundwater contamination including wells and reservoirs. In drinking water, MTBE has an unpleasant odor and taste and at higher concentrations is a potential carcinogen. House Bill 3431 phases out the use of MTBE by the earliest possible date. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3431 amends the Health and Safety Code to prohibit the sale of methyl tertiary butyl ether (MTBE) unless the gasoline is sold or offered for sale in a nonattainment area and the state implementation plan (SIP) for the nonattainment area approved by the administrator of the United States Environmental Protection Agency (EPA) authorizes the sale of gasoline containing that substance for use in motor vehicles. The SIP is prohibited from authorizing, in a nonattainment area, the sale of gasoline containing MTBE for use in motor vehicles unless federal law requires that reformulated gasoline be used in gasoline-fueled motor vehicles in the non-attainment area, federal law does not prohibit the use of MTBE in gasoline in motor vehicles, and the nonattainment area cannot otherwise achieve and maintain compliance with national ambient air quality standards. A SIP that authorizes the sale of gasoline containing MTBE for use in motor vehicles is required, to the extent permitted by federal law, to provide for phasing out the sale of gasoline containing MTBE by the earliest practicable date. The bill requires the Texas Natural Resource Conservation Commission to revise the SIP for each air quality control region as necessary to conform to this Act and submit the SIP revision to the administrator of the EPA. EFFECTIVE DATE On passage.