| TO: | Honorable Kenneth Armbrister, Chair, Senate Committee on Natural Resources |
| FROM: | John Keel, Director, Legislative Budget Board |
| IN RE: | HB2875 by Bonnen (Relating to the definition of "dispose of" for purposes of criminal penalties imposed under the Water Code. ), Committee Report 2nd House, As Amended |
| Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
|---|---|
| 2004 | $0 |
| 2005 | $0 |
| 2006 | $2,600,000 |
| 2007 | $2,600,000 |
| 2008 | $2,600,000 |
| Fiscal Year | Probable Savings from GENERAL REVENUE FUND 1 |
Probable Revenue (Loss) from FEDERAL FUNDS 555 |
|---|---|---|
| 2004 | $0 | $0 |
| 2005 | $0 | $0 |
| 2006 | $2,600,000 | ($8,500,000) |
| 2007 | $2,600,000 | ($8,500,000) |
| 2008 | $2,600,000 | ($8,500,000) |
The bill would amend the Water Code to add a definition to be used for the purpose of criminal prosecution for not properly disposing of solid and hazardous waste, including medical waste, used oil, low-level radioactive waste, and lead-acid batteries. The definition excludes passive migration, continuous seepage, or other movement that occurs after the substance is initially disposed of, unless there is further human assistance or initiation. Current law considers passive migration, continuous seepage, or other movement of waste after initial disposal to still be waste disposal.
The bill would amend the Health and Safety Code to release political subdivisions from liability for releases or threatened releases of solid waste arising from dredging, placement, or storage of any materials from or on land and waters within their jurisdiction. The bill would also exempt from regulation activities connected with the construction and maintenance of waterways within political subdivisions jurisdictions.
In exchange for receiving federal funding under Hazardous Waste Management State Program, Texas Commission on Environmental Quality (TCEQ) must enact state regulations for the disposal of waste no less stringent than the national standards set by the Environmental Protection Agency.
This bill would take effect upon passage or September 1, 2003.
Limiting TCEQ's authority to enforce federal regulation on waste disposal to exclude passive migration, continuous seepage, or other movement that occurs after a substance is initially disposed of, is expected to be considered less stringent than federal law. The federal authorization of Texas' hazardous waste program could be at risk if these provisions of the bill are implemented. If Texas loses the authorization, TCEQ would stand to lose $8.5 million each year in Hazardous Waste Management State Program funds starting in fiscal year 2006 (a total of $25.5 million for 2006-2008). This assumes the same level of funding would be provided to TCEQ for these years, and that it would take at least two years before the Environmental Protection Agency (EPA) would revoke funding.
With the loss of the Hazardous Waste Management State Program, TCEQ would no longer be required to provide matching funds totaling $2.6 million per year. This amount would thus be a savings to the General Revenue Fund. There would be no fiscal impact if the EPA approved the exclusion proposed in this bill.
The release of liability provided to political subdivisions for release or threatened of solid waste arising from dredging, placement, or storage of any materials from or on land and waters within their jurisdiction could result in a fiscal impact. According to TCEQ, the state could be responsible for cleaning up a site for which a political subdivision would otherwise be liable. The TCEQ reports that cleanup of one such site could cost an estimated $120 million.
| Source Agencies: | 582 Commission on Environmental Quality
|
| LBB Staff: | JK, CL, MS, TL, MH
|