77R14304 JJT-D                          
         By Armbrister                                         S.B. No. 1071
         Substitute the following for S.B. No. 1071:
         By Chisum                                         C.S.S.B. No. 1071
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to contested case hearings regarding applications for
 1-3     certain environmental permits.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter M, Chapter 5, Water Code, as added by
 1-6     Section 2, Chapter 1350, Acts of the 76th Legislature, Regular
 1-7     Session, 1999, is amended by adding Section 5.557 to read as
 1-8     follows:
 1-9           Sec. 5.557.  DIRECT REFERRAL TO CONTESTED CASE HEARING.  (a)
1-10     Immediately after the executive director issues a preliminary
1-11     decision on an application under Section 5.553, the commission, on
1-12     the request of the applicant or the executive director, shall refer
1-13     the application directly to the State Office of Administrative
1-14     Hearings for a contested case hearing on whether the application
1-15     complies with all applicable statutory and regulatory requirements.
1-16           (b)  Sections 5.554-5.556 of this code and Sections
1-17     2003.047(e) and (f), Government Code, do not apply to an
1-18     application referred for a hearing under Subsection (a).
1-19           (c)  Notwithstanding Subsection (b), the commission by rule
1-20     shall provide for public comment and the executive director's
1-21     response to public comment to be entered into the administrative
1-22     record of decision on an application.
1-23           SECTION 2.  Section 382.056(n), Health and Safety Code, is
1-24     amended to read as follows:
 2-1           (n)  Except as provided by Section 382.0561, the commission
 2-2     shall consider a request that the commission reconsider the
 2-3     executive director's decision or hold a public hearing in
 2-4     accordance with the procedures provided by Sections [Section] 5.556
 2-5     and 5.557, Water Code.
 2-6           SECTION 3.  The Texas Natural Resource Conservation
 2-7     Commission shall adopt rules to implement Section 5.557, Water
 2-8     Code, as added by this Act, and Section 382.056(n), Health and
 2-9     Safety Code, as amended by this Act, as soon as is necessary for
2-10     the rules to take effect on or before January 1, 2002.
2-11           SECTION 4.  This Act takes effect immediately if it receives
2-12     a vote of two-thirds of all the members elected to each house, as
2-13     provided by Section 39, Article III, Texas Constitution.  If this
2-14     Act does not receive the vote necessary for immediate effect, this
2-15     Act takes effect September 1, 2001.