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78R5112 MI-F
By: Bonnen H.B. No. 1365
A BILL TO BE ENTITLED
AN ACT
relating to the Texas emissions reduction plan.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 386.001(2), Health and Safety Code, is
amended to read as follows:
(2) "Affected county" includes:
(A) Bastrop County;
(B) Bexar County;
(C) Caldwell County;
(D) Comal County;
(E) Ellis County;
(F) Gregg County;
(G) Guadalupe County;
(H) Harrison County;
(I) Hays County;
(J) Henderson County;
(K) Hood County;
(L) Hunt County;
(M) Johnson County;
(N) [(K)] Kaufman County;
(O) [(L)] Nueces County;
(P) [(M)] Parker County;
(Q) [(N)] Rockwall County;
(R) [(O)] Rusk County;
(S) [(P)] San Patricio County;
(T) [(Q)] Smith County;
(U) [(R)] Travis County;
(V) [(S)] Upshur County;
(W) [(T)] Victoria County;
(X) [(U)] Williamson County; [and]
(Y) [(V)] Wilson County; and
(Z) any other county designated as an affected
county by commission rule because of deteriorating air quality.
SECTION 2. Section 386.053(d), Health and Safety Code, is
amended to read as follows:
(d) The commission may propose revisions to the guidelines
and criteria adopted under this section as necessary to improve the
ability of the plan to achieve its goals. Revisions may include,
among other changes, adding additional pollutants, adding vehicles
and equipment that use fuels other than diesel, or adjusting
eligible program categories, as appropriate, to ensure that
incentives established under this chapter achieve the maximum
possible emissions reductions. The commission shall make a
proposed revision available to the public before the 45th day
preceding the date of final adoption of the revision and shall hold
at least one public meeting to consider public comments on the
proposed revision before final adoption.
SECTION 3. Section 386.101(9), Health and Safety Code, is
amended to read as follows:
(9) "Repower" means to replace an old engine powering
an on-road or non-road diesel with a new engine, a used engine, or
electric motors, drives, or fuel cells[:
[(A) a new engine that emits at least 30 percent
less than the oxides of nitrogen emissions standard required by
federal regulation for the current model year for that engine;
[(B) an engine manufactured later than 1987 that
emits at least 30 percent less than the oxides of nitrogen emissions
standard emitted by a new engine certified to the baseline oxides of
nitrogen emissions standard for that engine;
[(C) an engine manufactured before 1988 that
emits not more than 50 percent of the oxides of nitrogen emissions
standard emitted by a new engine certified to the baseline oxides of
nitrogen emissions standard for that engine; or
[(D) electric motors, drives, or fuel cells].
SECTION 4. Section 386.102(b), Health and Safety Code, is
amended to read as follows:
(b) Projects that may be considered for a grant under the
program include:
(1) purchase or lease of on-road or non-road diesels;
(2) emissions-reducing retrofit projects for on-road
or non-road diesels;
(3) emissions-reducing repower projects for on-road
or non-road diesels;
(4) purchase and use of emissions-reducing add-on
equipment for on-road or non-road diesels;
(5) development and demonstration of practical,
low-emissions retrofit technologies, repower options, and advanced
technologies for on-road or non-road diesels with lower emissions
of oxides of nitrogen;
(6) use of qualifying fuel; [and]
(7) implementation of infrastructure projects; and
(8) replacement of on-road or non-road diesels with
newer on-road or non-road diesels.
SECTION 5. Section 386.103(a), Health and Safety Code, is
amended to read as follows:
(a) Any person as defined by Section 382.003 that owns one
or more on-road or non-road diesels that operate primarily within a
nonattainment area or affected county of this state or that
otherwise contributes to the state inventory of emissions of oxides
of nitrogen may apply for a grant under the program. The commission
may adopt guidelines to allow a person other than the owner to apply
for and receive a grant in order to improve the ability of the
program to achieve its goals.
SECTION 6. Section 386.104(f), Health and Safety Code, is
amended to read as follows:
(f) A proposed retrofit, repower, replacement, or add-on
equipment project must document, in a manner acceptable to the
commission, a reduction in emissions of oxides of nitrogen of at
least 30 percent compared with the baseline emissions adopted by
the commission for the relevant engine year and application. After
study of available emissions reduction technologies, after public
notice and comment, and after consultation with the advisory board,
the commission may revise the minimum percentage reduction in
emissions of oxides of nitrogen required by this subsection to
improve the ability of the program to achieve its goals.
SECTION 7. Section 386.105, Health and Safety Code, is
amended by adding Subsection (e) to read as follows:
(e) The commission may allow for the apportionment of
credits associated with a project between the plan and another
program or entity if the part of the credit assigned to the program
that is part of the plan still meets any applicable
cost-effectiveness criteria.
SECTION 8. Section 386.112(b), Health and Safety Code, is
amended to read as follows:
(b) The program shall authorize statewide incentives for
the reimbursement of incremental costs for the purchase or lease,
according to the schedule provided by Section 386.113, of new
on-road diesels that are certified by the United States
Environmental Protection Agency or the California Air Resources
Board to an emissions standard provided by Section 386.113 if the
purchaser or lessee of the on-road diesel agrees to register the
vehicle in this state and to operate the on-road diesel in this
state for not less than 75 percent of the on-road diesel's annual
mileage.
SECTION 9. Subchapter C, Chapter 386, Health and Safety
Code, is amended by adding Section 386.115 to read as follows:
Sec. 386.115. MODIFICATION OF VEHICLE ELIGIBILITY. After
evaluating the availability of vehicles meeting the emissions
standards and after public notice and comment, the commission, in
consultation with the advisory board, may expand the program to
include other on-road vehicles, regardless of fuel type used, that
meet the emissions standards, have a gross vehicle weight rating of
10,000 pounds or more, and are purchased or leased in lieu of a new
on-road diesel.
SECTION 10. Section 386.252(a), Health and Safety Code, is
amended to read as follows:
(a) Money in the fund may be used only to implement and
administer programs established under the plan and shall be
allocated as follows:
(1) for the diesel emissions reduction incentive
program, 72 percent of the money in the fund, of which not more than
[three percent may be used for infrastructure projects and not more
than] 10 percent may be used for on-road diesel purchase or lease
incentives;
(2) for the motor vehicle purchase or lease incentive
program, 15 percent of the money in the fund;
(3) for the energy efficiency grant program, 7.5
percent of the money in the fund;
(4) for the new technology research and development
program, 7.5 percent of the money in the fund, of which up to
$250,000 is allocated for administration, up to $200,000 is
allocated for a health effects study, and $500,000 is to be
deposited in the state treasury to the credit of the clean air
account created under Section 382.0622 to supplement funding for
air quality planning activities in affected counties; and
(5) for administrative costs incurred by the utility
commission, the commission, the comptroller, and the laboratory,
three percent.
SECTION 11. Section 224.153(c), Transportation Code, is
amended to read as follows:
(c) If federal highway funding will not be negatively
affected, the commission by rule may provide that a [A] motor
vehicle displaying the "low-emissions vehicle" insignia authorized
by Section 502.186 in an easily readable location on the back of the
vehicle is entitled to travel in a preferential car pool or high
occupancy vehicle lane designated under this section regardless of
the number of occupants in the vehicle. This subsection expires
August 31, 2008.
SECTION 12. 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 receive the vote necessary for immediate
effect, this Act takes effect September 1, 2003.