C.S.H.B. 1843 78(R)    BILL ANALYSIS


C.S.H.B. 1843
By: West, George "Buddy"
Energy Resources
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

The Health and Safety Code contains provisions dealing with the duties and
responsibilities of those whose activities may create a safety risk to the
public. HB 1843 adds Subchapter G to Chapter 756 to include activities
involving on construction on, over or under pipelines and pipeline routes
which is similar to the existing provisions in Chapter 752 dealing with
activities around high voltage power lines. 

The bill requires notice to be given to the pipeline facility operator
prior to construction and that the person responsible for construction
activities pay for any required safety measures caused by the
construction. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 

ANALYSIS

SECTION 1. Chapter 756, Health and Safety Code, is amended by adding
Subchapter G. 

SUBCHAPTER G. CONSTRUCTION AFFECTING PIPELINE EASEMENTS AND RIGHTS OF WAY.

Section 756.101 DEFINITIONS.

(1) Defines "Construction" as a building, structure, driveway, roadway, or
other  construction any       part of which is physically located on,
across, over, or under the easement or right-of-way of a       pipeline
facility or that physically impacts or creates a risk to a pipeline
facility. 
                         
(2) Defines "Constructor" as a person that builds, operates, repairs,
replaces, or maintains a       construction or causes a construction to be
built, operated, maintained, or replaced. 

(3) Defines "Pipeline facility" as a pipeline used to transmit or
distribute natural gas or to gather or       transmit oil, gas, or
products of oil and gas. 

Section 756.102.  APPLICABILITY. 

This subchapter applies to a construction or the repair, replacement, or
maintenance of a construction unless there is a written agreement,
including a Texas Department of Transportation right-of-way agreement,  to
the contrary between the owner or operator of the affected pipeline
facility and the person that places or causes a construction to be placed
on the easement or right-of-way of a pipeline facility. 

Section 756.103. PROHIBITION OF CONSTRUCTION WITHOUT NOTICE.

Section 756.103. A person may not build, repair, replace, or maintain a
construction on, across, over, or under the easement or right-of-way for a
pipeline facility unless notice of the construction is given the operator
of the pipeline facility and: 
  
 (1) the operator of the pipeline facility determines that the
construction will not increase a                 risk to the public or
increase a risk of a break, leak, rupture, or other damage to the pipeline
facility; 

 (2) if the operator of the pipeline facility determines that the
construction will increase the risk to the public or the pipeline
facility, the constructor pays the cost of the additional fortifications,
barriers, conduits, or other changes or improvements necessary to protect
the public or pipeline facility from that risk before proceeding with the
construction; 

 (3) the building, repair, replacement, or maintenance is conducted under
an existing written agreement; or 

 (4) the building, repair, replacement, or maintenance is required to be
done promptly by a regulated utility company because of the effects of a
natural disaster.  

SECTION 2. 

(a) This Act takes effect immediately if it receives a vote of two-thirds
of all the members elected to each house, as provided by Section 39,
Article III, Texas Constitution. If this Act does not receives the vote
necessary for immediate effect, this Act takes effect September 1, 2003. 

(b) The change in law made by Subchapter G, Chapter 756, Health and Safety
Code, as added by this Act, applies only to an activity described by
Section 756.103, Health and Safety Code, as added by this Act, that is
initiated on or after the effective date of this Act.  

EFFECTIVE DATE

(a) This Act takes effect immediately if it receives a vote of two-thirds
of all the members elected to each house, as provided by Section 39,
Article III, Texas Constitution. If this Act does not receives the vote
necessary for immediate effect, this Act takes effect September 1, 2003. 

(b) The change in law made by Subchapter G, Chapter 756, Health and Safety
Code, as added by this Act, applies only to an activity described by
Section 756.103, Health and Safety Code, as added by this Act, that is
initiated on or after the effective date of this Act.  

COMPARISON OF ORIGINAL TO SUBSTITUTE

SECTION 1. Chapter 756, Health and Safety Code, SUBCHAPTER E. CONSTRUCTION
AFFECTING PIPELINE EASEMENTS AND RIGHTS OF WAY is removed from the
substitute and replaced with SECTION 1. Chapter 756, Health and Safety
Code, SUBCHAPTER G. CONSTRUCTION AFFECTING PIPELINE EASEMENTS AND RIGHT-OF
WAY. 

Section 756.101 DEFINITIONS

(1) Deletes "in whole or part" and adds "any part of" on line 12, page 1.
Deletes the word "any" and adds the word "a". Deletes "as defined herein". 

(2) Deletes "any" and adds "a". Deletes "or entity which" and "as defined
herein". Deletes the word "such" and replaces with "a". 

(3) Deletes "any" and adds "a". Deletes "for the transmission or
distribution of" and adds "to transmit or distribute". Deletes "for the
gathering or transmission of oil, gas or the products thereof" and adds
"to gather or transmit oil, gas, or the products of oil or gas". 

CSHB 1843 removes Section 756.051 (a) and (b). APPLICABILITY and places it
in Section 756.102. APPLICABILITY of the substitute.  Section 756.051 (a)
and (b) are combined into one subsection of the substitute. 

 


Section 756.102 deletes the word "Section" and adds "subchapter".  CSHB
1843 replaces (a) and (b) with the following new language:  "to a
construction or the repair, replacement, or maintenance of a construction
unless there is a written agreement, including a Texas Department of
Transportation right-of-way agreement, to the contrary between the owner
or operator of the affected pipeline facility and the person that places
or causes a construction to be placed on the easement or right-of -way of
a pipeline facility.   

CSHB 1843 removes Section 756.053  and places it in Section 756.103.
PROHIBITION OF CONSTRUCTION WITHOUT NOTICE. 

CSHB 1843 removes Section 756.051 (a) and (b). APPLICABILITY and places it
in Section 756.102. APPLICABILITY of the substitute.  Section 756.051 (a)
and (b) are combined into one subsection of the substitute. 

CSHB 1843 Section 756.103 deletes "No" and adds "A". It deletes "or
entity". It adds "not" and "a construction". 

The language in Section 756.103 (1) is from 756.053(2) of the original
bill. The word "not" is added to this subsection in the substitute.   

The language in Section 756.103 (2) is from 756.053(3) of the original
bill. The substitute adds "pays the cost" and "before proceeding with that
construction".  

CSHB 1843 adds Subsection (3) of Section 756.103 to include the following
language: "the building, repair, replacement, or maintenance is  conducted
under an existing written agreement".   

CSHB 1843 adds Subsection (4) of Section 756.103 to include the following
language: "the building, repair, replacement, or maintenance is required
to be done promptly by a regulated utility company because of the effects
of a natural disaster. 

CSHB 1843 adds new language to Subsection (b) of SECTION 2 which affects
the effective date by adding subsection (b) to read as follows: 

The change in law made by Subchapter G, chapter 756, Health and Safety
Code, as added by this Act, applies  only to an activity described by
Section 756.103, Health and Safety Code, as added by this Act, that is
initiated on or after the effective date of this Act.