BILL ANALYSIS
By: Chisum
Committee Report (Substituted)
BACKGROUND AND PURPOSE
In 2001, the 77th Texas Legislature enacted House Bill 2134, to expand the mandatory inspection and maintenance program in the Dallas-Fort Worth and Houston-Galveston non-attainment areas. House Bill 2134 also introduced the Low-Income Vehicle Repair, Retrofit, and Accelerated Retirement Program (LIRAP), also named the AirCheck Texas Repair and Replacement Assistance Program. This program offers financial assistance to low-income vehicle owners whose vehicles fail the emissions inspection test. Qualified participants receive a voucher for emissions repairs or assistance towards the cost of a replacement vehicle that meets emissions standards if they retire their old vehicle.
Since the implementation of LIRAP in November 2002, the Dallas-Fort Worth program has repaired over 7,500 vehicles and retired over 380 vehicles, and the Houston-Galveston program has repaired over 7,400 vehicles and retired over 280 vehicles. On average, vehicles repaired under LIRAP achieve over a 70% reduction in nitrogen oxide emissions.
The purpose of this bill is to improve the operation and efficiency of LIRAP based upon the experience gained during the last two years and utilize funds generated by the program for additional air quality programs primarily in the Dallas- Fort Worth and Houston-Galveston nonattainment areas.
C.S.H.B. 1611 amends the Health and Safety Code to make certain changes to the Low-Income Vehicle Repair Assistance, Retrofit, Retirement Program.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is expressly granted to the Texas Commission on Environmental Quality in SECTION 2 of this bill.
ANALYSIS
C.S.H.B. 1611 amends the Health and Safety Code to change the eligibility requirements for the Low-Income Vehicle Repair Assistance, Retrofit, Retirement Program (LIRAP) to require a vehicle to be registered in the implementing county for 12 months rather than 2 years.
Fees collected under the vehicle emissions inspection and maintenance program and the inspection and maintenance program in an early action compact participating county that are not appropriated for the LIRAP are to be credited to the clean air account in an amount not to exceed $20 million. Seventy percent of these funds go to the Texas Commission on Environmental Quality (TCEQ) for counties that are participating in the LIRAP in an amount proportionate to their contribution to the fund. Thirty percent of these funds go to the TCEQ to provide grants to projects that would be eligible to receive grants under the diesel emissions reduction incentive program. The bill authorizes the TCEQ to apply the same rules for these grants as are applied to grants under the diesel emissions reduction incentive program. The bill authorizes these funds to be used to improve air quality. The bill specifies what may be included in programmatic costs. The bill requires a program that uses unexpended vehicle repair assistance, retrofit, and retirement money to be implemented in consultation with the TCEQ. The bill sets forth the authorized components of a program. The bill provides that programmatic costs may include call center management, application oversight, invoice analysis, education, outreach, and advertising. The bill removes language that provides that not more than five percent of the money provided to a local LIRAP may be used for administration of the program.
The bill authorizes a county to contract with the regional council of governments or the metropolitan planning organization in the appropriate region for services necessary to implement the local LIRAP.
The bill allows nonattainment counties or early action compact counties to agree to have money collected in one county used in any other participating county in the same region. The bill allows a county participating in LIRAP to agree to contract with an appropriate entity to implement the LIRAP program.
The bill requires the LIRAP to be administered in accordance with the Uniform Grant and Contract Management Act.
The bill provides that $1 million is appropriated to Dallas County and to the regional planning commission for the purpose of developing and implementing a pilot inspection and maintenance program in the Dallas-Fort Worth nonattainment area and to improve and expand LIRAP programs. The bill requires Dallas County and the regional planning commission to report to the TCEQ on the results of the pilot program.
EFFECTIVE DATE
If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2005.
COMPARISON OF ORIGINAL TO SUBSTITUTE
The substitute amends the manner in which the unused LIRAP funds are disbursed. The substitute caps the amount of unused LIRAP funds that go to clean air projects at $20 million. The substitute adds language that provides 70 percent of the unused LIRAP funds goes to the county and 30 percent goes to TCEQ for the diesel emissions reduction incentive program. The substitute sets forth requirements for the use of unused LIRAP funds. The substitute amends the list of projects eligible for unused LIRAP funds. The substitute removes language from statute that provides that not more than five percent of the money provided to a local LIRAP may be used for administration of the program.
The substitute authorizes a county to contract with the regional council of governments or the metropolitan planning organization in the appropriate region for services necessary to implement the local LIRAP.
The substitute allows nonattainment counties or early action compact counties to agree to have money collected in one county used in any other participating county in the same region. The substitute allows a county participating in LIRAP to agree to contract with an appropriate entity to implement the LIRAP program.
The substitute provides that $1 million is appropriated to Dallas County and to the regional planning commission for the purpose of developing and implementing a pilot inspection and maintenance program in the Dallas-Fort Worth nonattainment area and to improve and expand LIRAP programs. The substitute requires Dallas County and the regional planning commission to report to the TCEQ on the results of the pilot program.