79R4701 SMH-F

By:  West                                                         H.B. No. 2161



A BILL TO BE ENTITLED

AN ACT

relating to the power of the Railroad Commission of Texas to adopt 
and enforce safety standards and practices applicable to the 
transportation by pipeline of certain substances and to certain 
pipeline facilities; imposing an administrative penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Sections 121.201(a) and (b), Utilities Code, are 
amended to read as follows:
	(a)  The railroad commission [by rule] may:                   
		(1)  by rule prescribe or adopt safety standards for 
the transportation of gas and for gas pipeline facilities, 
including safety standards related to the prevention of damage to 
such a facility resulting from the movement of earth by a person in 
the vicinity of the facility;
		(2)  require an operator that does not file operator 
organization information under Section 91.142, Natural Resources 
Code, to provide the information to the commission in the form of an 
application;
		(3)  require record maintenance and reports;                                  
		(4)  inspect records and facilities to determine 
compliance with [adopted] safety standards prescribed or adopted 
under Subdivision (1);
		(5)  make certifications and reports from time to time;                
		(6)  seek designation by the United States secretary of 
transportation as an agent to conduct safety inspections of 
interstate gas pipeline facilities located in this state; and
		(7)  take any other requisite action in accordance with  
49 U.S.C. Section 60101 et seq., or a succeeding law.
	(b)  The power granted by Subsection (a):                               
		(1)  does not apply to the transportation of gas or to 
gas facilities subject to the exclusive control of the United 
States but applies to the transportation of gas and gas pipeline 
facilities in this state to the maximum degree permissible under 49 
U.S.C. Section 60101 et seq., or a succeeding law; and
		(2)  is granted to provide exclusive state control over 
safety standards and practices applicable to the transportation of 
gas and gas pipeline facilities within the borders of this state to 
the maximum degree permissible under that law.
	SECTION 2.  Sections 121.206(a) and (d), Utilities Code, are 
amended to read as follows:
	(a)  The railroad commission may assess an administrative 
penalty against a person who violates Section 121.201 [or 
Subchapter I] or a safety standard or other rule prescribed or
[relating to the transportation of gas and gas pipeline facilities] 
adopted under that section [those provisions].
	(d)  The railroad commission by rule shall adopt guidelines 
to be used in determining the amount of a penalty under this 
subchapter.  The guidelines shall include a penalty calculation 
worksheet that specifies the typical penalty for certain 
violations, circumstances justifying enhancement of a penalty and 
the amount of the enhancement, and circumstances justifying a 
reduction in a penalty and the amount of the reduction.  The 
guidelines shall take into account:
		(1)  the person's history of previous violations of  
Section 121.201 or a safety standard or other rule prescribed or
[relating to the transportation of gas and gas pipeline facilities] 
adopted under that section, including the number of previous 
violations;
		(2)  the seriousness of the violation and of any 
pollution resulting from the violation;
		(3)  any hazard to the health or safety of the public;                        
		(4)  the degree of culpability;                                               
		(5)  the demonstrated good faith of the person charged; 
and                 
		(6)  any other factor the commission considers 
relevant.                    
	SECTION 3.  Section 117.012(a), Natural Resources Code, is 
amended to read as follows:
	(a)  The commission shall adopt rules that include safety 
standards for and practices applicable to the intrastate 
transportation of hazardous liquids or carbon dioxide by pipeline 
and intrastate hazardous liquid or carbon dioxide pipeline 
facilities, including safety standards related to the prevention of 
damage to such a facility resulting from the movement of earth by a 
person in the vicinity of the facility.
	SECTION 4.  (a)  The change in law made by this Act to Section 
121.206, Utilities Code, applies only to a violation committed on 
or after the effective date of this Act.  For purposes of this 
section, a violation is committed before the effective date of this 
Act if any element of the violation occurred before that date.
	(b)  A violation committed before the effective date of this 
Act is covered by the law in effect when the violation was 
committed, and the former law is continued in effect for that 
purpose.
	SECTION 5.  This Act takes effect September 1, 2005.