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BILL ANALYSIS

 

 

Senate Research Center

C.S.S.B. 1293

82R21058 TRH-F

By: Hegar

 

Natural Resources

 

4/13/2011

 

Committee Report (Substituted)

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

C.S.S.B. 1293 amends current law relating to the amounts of administrative, civil, and criminal penalties for violations relating to certain pipelines.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Section 81.0531, Natural Resources Code, by amending Subsection (b) and adding Subsection (b-1), as follows:

 

(b) Prohibits the penalty from exceeding $25,000 a day for each violation that is not related to pipeline safety, or $100,000 a day for each violation that is related to pipeline safety.  Deletes existing text prohibiting the penalty from exceeding $10,000 a day for each violation.

 

(b-1) Creates this subsection from existing text.  Provides that each day a violation continues may be considered a separate violation for purposes of penalty assessments.

 

SECTION 2.  Amends Section 117.051, Natural Resources Code, to provide that a person who violates this chapter or a rule adopted by the Railroad Commission of Texas under this chapter is subject a civil penalty of not less than $50 or more than $100,000, rather than not less than $50 nor more than $25,000, for each act of violation and for each day of violation, provided that the maximum civil penalty that is authorized to be assessed for any related series of violations is prohibited from exceeding $1 million, rather than $500,000.

 

SECTION 3.  Amends Section 117.053(b), Natural Resources Code, to provide that an offense under this section (relating to a violation of this chapter or a rule adopted under it) is punishable by a fine of not more than $1 million, rather than not more than $25,000, confinement in the Texas Department of Criminal Justice for a term of not more than five years, or both such fine and imprisonment.

 

SECTION 4.  Amends Section 117.054(b), Natural Resources Code, to provide that an offense under this section (Criminal Penalty for Injuring or Destroying Pipeline Facilities) is punishable by a fine of not more than $1 million, rather than not more than $25,000, confinement in the Texas Department of Criminal Justice for a term of not more than 15 years, or both such fine and imprisonment.

 

SECTION 5.  Amends Section 121.204, Utilities Code, to provide that each day of each violation of a safety standard adopted under this subchapter is subject to a civil penalty of not more than $100,000, rather than $25,000, except that the maximum penalty that is authorized to be assessed for any related series of violation is prohibited from exceeding $1 million, rather than $500,000.

 

SECTION 6.  Amends Section 121.206(b), Utilities Code, to prohibit the penalty for each violation from exceeding $100,000, rather than $10,000.

 

SECTION 7.  Amends Section 121.302, Utilities Code, by amending Subsection (a) and adding Subsection (a-1), as follows:

 

(a) Makes no changes to this subsection.

 

(a-1) Creates this subsection from existing text.  Requires that a penalty under this section is payable to the state and be not less than $1,000 and not more than $100,000, rather than not less than $100 and not more than $1,000 for each violation or failure.

 

SECTION 8.  Amends Section 121.304(b), Utilities Code, to prohibit the penalty for each violation or failure from exceeding $100,000, rather than $10,000, a day.

 

SECTION 9.  Amends Section 121.310(b), Utilities Code, to provide that an offense under this section is punishable by a fine of not less than $500 and not more than $1 million, rather than not less than $50 and not more than $1,000.

 

SECTION 10.  Makes application of this Act prospective.

 

SECTION 11.  Effective date: September 1, 2011.