H.B. 2021 78(R)    BILL ANALYSIS


H.B. 2021
By: Farabee
Energy Resources
Committee Report (Unamended)



BACKGROUND AND PURPOSE 

Currently, the Railroad Commission statewide rule requires regulated
entities to notify the Railroad Commission Office of General Counsel of
bankruptcy filings.  House Bill 2021 expands the scope of that requirement
to encompass affiliates of those entities and will make the rule-mandated
notice requirement a statutory requirement.   


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 of this bill amends Section 91.142, Natural Resources Code, to
better protect the state's resources, an entity described by Subsection
(a) or an affiliate of such an entity that files for federal bankruptcy
protection shall give written notice to the commission of that action by
submitting the notice to the office of general counsel not later than the
30th day after the date of filing.  

EFFECTIVE DATE

(a) This Act takes effect September 1, 2003. (b) The change in law made by
Section 91.142(h), Natural Resources Code, as added by this Act, applies
on to a bankruptcy filing that occurs on or after September 1, 2003.