By:  West (Senate Sponsor - Seliger)                              H.B. No. 2161
	(In the Senate - Received from the House April 28, 2005; 
April 29, 2005, read first time and referred to Committee on 
Natural Resources; May 21, 2005, reported adversely, with 
favorable Committee Substitute by the following vote:  Yeas 8, 
Nays 0; May 21, 2005, sent to printer.)


COMMITTEE SUBSTITUTE FOR H.B. No. 2161                                   By:  Seliger

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. Section 121.201, Utilities Code, is amended by amending Subsections (a) and (b) and adding Subsections (d), (e), and (f) 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, other than movement by tillage that does not exceed a depth of 16 inches; (2) by rule 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) by rule 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) by rule 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. (d) In this subsection, "telecommunications service" and "information service" have the meanings assigned by 47 U.S.C. Section 153. Notwithstanding Subsection (a), this title does not grant the railroad commission jurisdiction or right-of-way management authority over a provider of telecommunications service or information service. A provider of telecommunications service or information service shall comply with all applicable safety standards, including those provided by Subchapter G, Chapter 756, Health and Safety Code. (e) The power granted by Subsection (a) does not apply to: (1) surface mining operations; or (2) other entities or occupations if the railroad commission determines in its rulemaking process that exempting those entities or occupations from rules adopted under that subsection: (A) is in the public interest; or (B) is not likely to cause harm to the safety and welfare of the public. (f) The railroad commission may not implement rules adopted under Subsection (a) until September 1, 2007. This subsection expires September 1, 2008. 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, Natural Resources Code, is amended by amending Subsection (a) and adding Subsections (n), (o), and (p) 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, other than movement by tillage that does not exceed a depth of 16 inches. (n) In this subsection, "telecommunications service" and "information service" have the meanings assigned by 47 U.S.C. Section 153. Notwithstanding Subsection (a), this title does not grant the commission jurisdiction or right-of-way management authority over a provider of telecommunications service or information service. A provider of telecommunications service or information service shall comply with all applicable safety standards, including those provided by Subchapter G, Chapter 756, Health and Safety Code. (o) The power granted by Subsection (a) does not apply to: (1) surface mining operations; or (2) other entities or occupations if the commission determines in its rulemaking process that exempting those entities or occupations from rules adopted under that subsection: (A) is in the public interest; or (B) is not likely to cause harm to the safety and welfare of the public. (p) The commission may not implement rules adopted under Subsection (a) regulating the movement of earth by a person in the vicinity of a facility until September 1, 2007. This subsection expires September 1, 2008. SECTION 4. The Railroad Commission of Texas may not adopt safety standards under Section 121.201(a), Utilities Code, or Section 117.012(a), Natural Resources Code, as amended by this Act, until the Pipeline and Hazardous Materials Safety Administration of the United States Department of Transportation adopts the rules published at 69 Fed. Reg. 35279 (2004) (to be codified at 49 C.F.R. Parts 192 and 195) (proposed June 3, 2004) or other rules pertaining to public education programs for hazardous liquid and gas pipeline operators. SECTION 5. (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 6. This Act takes effect September 1, 2005.
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