By: Shapiro S.B. No. 910 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the regulation of aggregate quarries; providing for an 1-3 administrative penalty. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Title 4, Natural Resources Code, is amended by 1-6 adding Chapter 135 to read as follows: 1-7 CHAPTER 135. AGGREGATE QUARRYING AND RECLAMATION 1-8 SUBCHAPTER A. GENERAL PROVISIONS 1-9 Sec. 135.001. SHORT TITLE. This chapter may be cited as the 1-10 Texas Aggregate Quarrying and Reclamation Act. 1-11 Sec. 135.002. DEFINITIONS. In this chapter: 1-12 (1) "Commission," "operator," "owner," "pit," 1-13 "quarrying," "quarry," and "site" have the meanings assigned those 1-14 terms by Section 133.003. 1-15 (2) "Certificate holder" means a person who holds a 1-16 certificate of registration issued under this chapter. 1-17 (3) "Land affected" means: 1-18 (A) the area from which any materials are to be 1-19 or have been displaced in a quarrying operation; 1-20 (B) the area on which any materials that are 1-21 displaced are to be or have been deposited; 1-22 (C) the haul roads and impoundment basins within 1-23 the quarrying area; and 1-24 (D) other land whose natural state has been or 1-25 will be disturbed as a result of the quarrying operations. 2-1 Sec. 135.003. EXEMPTIONS. This chapter does not apply to: 2-2 (1) land under the jurisdiction of the General Land 2-3 Office; or 2-4 (2) a parcel of land of less than five acres. 2-5 Sec. 135.004. RULES AND ORDERS. The commission may adopt 2-6 rules and issue orders as necessary to implement and enforce this 2-7 chapter. 2-8 (Sections 135.005-135.050 reserved for expansion 2-9 SUBCHAPTER B. CERTIFICATE OF REGISTRATION 2-10 Sec. 135.051. CERTIFICATE OF REGISTRATION REQUIRED. A 2-11 person may not conduct a quarrying operation in this state unless 2-12 the person holds a certificate of registration for that operation 2-13 issued by the commission under this chapter. 2-14 Sec. 135.052. APPLICATION. (a) To obtain a certificate of 2-15 registration, a person must file an application for a certificate 2-16 of registration with the commission on a concise form prescribed by 2-17 the commission, accompanied by a fee of $200. 2-18 (b) The application must include: 2-19 (1) the name, address, and telephone number of the 2-20 operator; 2-21 (2) the name, address, and telephone number of each 2-22 owner of the site of the proposed quarry who is not the operator; 2-23 (3) the type of aggregate extraction and production 2-24 activities to be conducted on the site of the proposed quarry, 2-25 including an estimate of the number of acres of land to be 2-26 disturbed annually for quarrying purposes; 3-1 (4) a legal description of the land on which the 3-2 quarry is to be located; 3-3 (5) a map of the site of the proposed quarry showing 3-4 any easement, public or private road, or right-of-way; and 3-5 (6) a statement that the operator has the legal right 3-6 to quarry the land described. 3-7 (c) A separate application is required for each quarrying 3-8 operation. The commission by rule shall specify criteria for 3-9 determining whether a quarrying operation constitutes a separate 3-10 operation for which a separate application is required. 3-11 Sec. 135.053. ISSUANCE OF CERTIFICATE. (a) Not later than 3-12 the 30th day after the date the commission receives a completed 3-13 application and the application fee, the commission shall: 3-14 (1) issue a certificate of registration to the 3-15 applicant entitling the applicant to engage in aggregate quarrying 3-16 operations on the land described in the application; or 3-17 (2) provide the applicant a written statement 3-18 explaining the reason for denial of the certificate. 3-19 (b) The commission may not give public notice or hold a 3-20 public hearing before issuing a certificate of registration. 3-21 Sec. 135.054. TERM OF CERTIFICATE. A certificate of 3-22 registration is valid for the life of the quarry for which it is 3-23 issued. 3-24 Sec. 135.055. TRANSFER OF CERTIFICATE. (a) An operator 3-25 must provide written notice to the commission at least 15 days 3-26 before the date the operator transfers a certificate of 4-1 registration. The notice must include the name of the person to 4-2 whom the operator proposes to transfer the certificate. 4-3 (b) An operator may transfer a certificate of registration 4-4 on or after the 15th day after the date the operator provides 4-5 notice under Subsection (a) unless the commission notifies the 4-6 operator that the transfer is disapproved before that day. 4-7 Sec. 135.056. AMENDMENT OF CERTIFICATE. (a) On 4-8 application, the commission may amend a certificate of registration 4-9 to cover additional land that is in the immediate vicinity of the 4-10 quarry for which the certificate was issued, including land that is 4-11 not contiguous to the quarry. 4-12 (b) An application for an amended certificate of 4-13 registration must describe: 4-14 (1) the additional land to be covered by the 4-15 certificate; and 4-16 (2) the quarrying operations to be conducted on the 4-17 land. 4-18 (c) The filing of an application to amend a certificate of 4-19 registration does not affect the authority granted under the 4-20 certificate of which amendment is sought. 4-21 (Sections 135.057-135.100 reserved for expansion 4-22 SUBCHAPTER C. CONDUCT OF QUARRYING OPERATIONS 4-23 Sec. 135.101. DISTANCE OF PIT PERIMETER FROM PROPERTY LINE. 4-24 A pit perimeter must be located at least: 4-25 (1) 50 feet from the nearest property line if the 4-26 slope has a horizontal to vertical ratio of at least two to one; or 5-1 (2) 100 feet from the nearest property line if the 5-2 slope is vertical and has a height of at least 10 feet. 5-3 (Sections 135.102-135.150 reserved for expansion 5-4 SUBCHAPTER D. ADMINISTRATIVE PENALTY 5-5 Sec. 135.151. IMPOSITION OF PENALTY. The commission shall 5-6 impose an administrative penalty on an owner or operator of a 5-7 quarrying operation who violates this chapter or a rule adopted or 5-8 order issued under this chapter. 5-9 Sec. 135.152. AMOUNT OF PENALTY. (a) The amount of the 5-10 penalty is $500, except that the penalty for a violation of Section 5-11 135.101 is determined by the commission in an amount of not less 5-12 than $500 and not more than $5,000. 5-13 (b) The amount of the penalty for a violation of Section 5-14 135.101 shall be based on: 5-15 (1) the seriousness of the violation, including the 5-16 nature, circumstances, extent, and gravity of the violation; 5-17 (2) the economic harm to property or the environment 5-18 caused by the violation; 5-19 (3) the history of previous violations; 5-20 (4) the amount necessary to deter a future violation; 5-21 (5) efforts to correct the violation; and 5-22 (6) any other matter that justice may require. 5-23 Sec. 135.153. NOTICE OF VIOLATION AND PENALTY. (a) If, 5-24 after investigation of a possible violation and the facts 5-25 surrounding that possible violation, the commission determines that 5-26 a violation has occurred, the commission shall give written notice 6-1 of the violation to the person alleged to have committed the 6-2 violation. 6-3 (b) The notice must: 6-4 (1) include a brief summary of the alleged violation; 6-5 (2) state the amount of the proposed administrative 6-6 penalty; and 6-7 (3) inform the person of the person's right to a 6-8 hearing on the occurrence of the violation, the amount of the 6-9 penalty, or both. 6-10 Sec. 135.154. PENALTY TO BE PAID OR HEARING REQUESTED. (a) 6-11 Not later than the 20th day after the date the person receives the 6-12 notice, the person in writing may: 6-13 (1) accept the determination and the proposed 6-14 administrative penalty; or 6-15 (2) make a request for a hearing on the occurrence of 6-16 the violation, the amount of the penalty, or both. 6-17 (b) If the person accepts the determination and proposed 6-18 penalty, the commission by order shall approve the determination 6-19 and impose the proposed penalty. 6-20 Sec. 135.155. HEARING. (a) If the person requests a 6-21 hearing or fails to respond in a timely manner to the notice, the 6-22 commission shall set a hearing and give written notice of the 6-23 hearing to the person. The commission may employ a hearings 6-24 officer to hold the hearing. 6-25 (b) The hearings officer shall make findings of fact and 6-26 conclusions of law and promptly issue to the commission a proposal 7-1 for a decision about the occurrence of the violation and the amount 7-2 of a proposed penalty. 7-3 Sec. 135.156. DECISION BY COMMISSION. (a) Based on the 7-4 findings of fact, conclusions of law, and proposal for a decision, 7-5 the commission by order may: 7-6 (1) find that a violation occurred and impose a 7-7 penalty; or 7-8 (2) find that a violation did not occur. 7-9 (b) The notice of the commission's order given to the person 7-10 must include a statement of the right of the person to judicial 7-11 review of the order. 7-12 Sec. 135.157. OPTIONS FOLLOWING DECISION: PAY OR APPEAL. 7-13 Not later than the 30th day after the date the commission's order 7-14 becomes final, the person shall: 7-15 (1) pay the penalty; or 7-16 (2) file a petition for judicial review contesting the 7-17 occurrence of the violation, the amount of the penalty, or both. 7-18 Sec. 135.158. STAY OF ENFORCEMENT OF PENALTY. (a) Within 7-19 the 30-day period prescribed by Section 135.157, a person who files 7-20 a petition for judicial review may: 7-21 (1) stay enforcement of the penalty by: 7-22 (A) paying the penalty to the court for 7-23 placement in an escrow account; or 7-24 (B) giving the court a supersedeas bond approved 7-25 by the court that: 7-26 (i) is for the amount of the penalty; and 8-1 (ii) is effective until all judicial 8-2 review of the commission's order is final; or 8-3 (2) request the court to stay enforcement of the 8-4 penalty by: 8-5 (A) filing with the court a sworn affidavit of 8-6 the person stating that the person is financially unable to pay the 8-7 penalty and is financially unable to give the supersedeas bond; and 8-8 (B) giving a copy of the affidavit to the 8-9 commission by certified mail. 8-10 (b) If the commission receives a copy of an affidavit under 8-11 Subsection (a)(2), the commission may file with the court, within 8-12 five days after the date the copy is received, a contest to the 8-13 affidavit. The court shall hold a hearing on the facts alleged in 8-14 the affidavit as soon as practicable and shall stay the enforcement 8-15 of the penalty on finding that the alleged facts are true. The 8-16 person who files an affidavit has the burden of proving that the 8-17 person is financially unable to pay the penalty and to give a 8-18 supersedeas bond. 8-19 Sec. 135.159. COLLECTION OF PENALTY. (a) If the person 8-20 does not pay the penalty and the enforcement of the penalty is not 8-21 stayed, the penalty may be collected. 8-22 (b) The attorney general may sue to collect the penalty. 8-23 Sec. 135.160. DECISION BY COURT. (a) If the court sustains 8-24 the finding that a violation occurred, the court may uphold or 8-25 reduce the amount of the penalty and order the person to pay the 8-26 full or reduced amount of the penalty. 9-1 (b) If the court does not sustain the finding that a 9-2 violation occurred, the court shall order that a penalty is not 9-3 owed. 9-4 Sec. 135.161. REMITTANCE OF PENALTY AND INTEREST. (a) If 9-5 the person paid the penalty and if the amount of the penalty is 9-6 reduced or the penalty is not upheld by the court, the court shall 9-7 order, when the court's judgment becomes final, that the 9-8 appropriate amount plus accrued interest be remitted to the person. 9-9 (b) The interest accrues at the rate charged on loans to 9-10 depository institutions by the New York Federal Reserve Bank. 9-11 (c) The interest shall be paid for the period beginning on 9-12 the date the penalty is paid and ending on the date the penalty is 9-13 remitted. 9-14 Sec. 135.162. RELEASE OF BOND. (a) If the person gave a 9-15 supersedeas bond and the penalty is not upheld by the court, the 9-16 court shall order, when the court's judgment becomes final, the 9-17 release of the bond. 9-18 (b) If the person gave a supersedeas bond and the amount of 9-19 the penalty is reduced, the court shall order the release of the 9-20 bond after the person pays the reduced amount. 9-21 Sec. 135.163. ADMINISTRATIVE PROCEDURE. A proceeding to 9-22 impose the penalty is considered to be a contested case under 9-23 Chapter 2001, Government Code. 9-24 SECTION 2. (a) This Act takes effect September 1, 2001. 9-25 (b) Not later than March 1, 2002, the Railroad Commission of 9-26 Texas shall adopt rules as necessary to implement this Act. 10-1 (c) Notwithstanding Section 135.051, Natural Resources Code, 10-2 as added by this Act, an operator may begin or continue conducting 10-3 a quarrying operation in this state on or after the effective date 10-4 of this Act and before the Railroad Commission of Texas adopts 10-5 rules as provided by Subsection (b) of this section without 10-6 obtaining a certificate of registration for that operation from the 10-7 commission under Chapter 135, Natural Resources Code, as added by 10-8 this Act. As soon as practicable after the commission adopts 10-9 rules, an operator described by this subsection shall file an 10-10 application for a certificate of registration under Section 10-11 135.052, Natural Resources Code, as added by this Act. An operator 10-12 who files an application may continue conducting the operation 10-13 under this subsection until the commission approves or disapproves 10-14 the application.