By: Hegar S.B. No. 1134

A BILL TO BE ENTITLED

AN ACT

relating to air permitting requirements for certain oil and gas facilities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 382, Health and Safety Code, is amended by adding Section 382.051961 to read as follows:

Sec. 382.051961. AUTHORIZATIONS RELATING TO CERTAIN OIL AND GAS FACILITIES. (a) This section applies to new facilities or modifications of existing facilities that belong to Standard Industrial Classification Codes 1311 (Crude Petroleum and Natural Gas), 1321 (Natural Gas Liquids), 4612 (Crude Petroleum Pipelines), 4613 (Refined Petroleum Pipelines), 4922 (Natural Gas Transmission), and 4923 (Natural Gas Transmission and Distribution).

(b) Notwithstanding other requirements of this Chapter, the commission may not adopt a new permit by rule or a new standard permit, or amend an existing permit by rule or an existing standard permit, that relates to facilities described in Subsection (a), unless the commission:

(1) conducts a regulatory analysis of a major environmental rule, as described in Section 2001.0225, Government Code;

(2) finds that credible air quality monitoring data and the evaluations of such data indicate that the emissions limits or other requirements of the new permit by rule or standard permit or the amendments to an existing permit by rule or standard permit are necessary to protect public health and physical property;

(3) establishes emissions limits or other requirements based on:

(A) the air quality monitoring data and evaluations identified in Subdivision (b)(2); and

(B) credible air quality modeling that is not based on worst-case emissions or other worst-case modeling inputs unless the actual air quality monitoring data and evaluation identified in Subdivision (b)(2) indicate that the worst-case emissions or worst-case modeling inputs yield modeling results that are reflective of the actual air quality monitoring data and evaluation; and

(4) considers whether the applicability of the new permit by rule or standard permit, or amendments to the existing permit by rule or standard permit, should be limited to facilities that are located in one or more certain geographic regions of the state.

SECTION 2. Chapter 382, Health and Safety Code, is amended by adding Section 382.051962 to read as follows:

Sec. 382.051962. AUTHORIZATION FOR PLANNED MAINTENANCE, STARTUP, OR SHUTDOWN ACTIVITIES RELATING TO CERTAIN OIL AND GAS FACILITIES. (a) In this Subsection, "planned maintenance, startup, or shutdown activity" means an activity with emissions or opacity that is:

(1) not expressly authorized by commission permit, rule or order and involves the maintenance, startup, or shutdown of a facility;

(2) part of normal or routine facility operations;

(3) predictable as to timing; and

(4) the type of emissions normally authorized by permit.

(b) For facilities that belong to a Standard Industrial Classification Code that is identified in Section 382.051961(a), the commission may adopt one or more permits by rule and one or more standard permits, or amend one or more existing permits by rule or standard permits, to authorize planned maintenance, startup or shutdown activities from such facilities. If the commission adopts or amends a permit by rule or standard permit under this Section, the commission shall meet the requirements of Section 382.051961(b).

SECTION 3. (a) Sections 382.051961 and 382.051962, Health and Safety Code, as added by this Act, apply only to a new permit by rule or a new standard permit, or any amendment to an existing permit by rule or amendment to an existing standard permit, that is adopted by the commission after the effective date of this Act.

(b) A permit by rule or standard permit that has been adopted by the commission and is in effect on the effective date of this Act is not subject to Sections 382.051961 and 382.051962, Health and Safety Code, as added by this Act.

SECTION 4. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2011.