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A BILL TO BE ENTITLED
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AN ACT
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relating to the administration of and funding for the Texas |
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emissions reduction plan. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 386.104, Health and Safety Code, is |
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amended by amending Subsection (c) and adding Subsections (c-1) and |
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(c-2) to read as follows: |
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(c) Except as otherwise provided by this subsection, for |
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[For] a proposed project as described by Section 386.102(b), other |
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than a project involving a marine vessel or engine, not less than 75 |
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percent of vehicle miles traveled or hours of operation projected |
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for the five years immediately following the award of a grant must |
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be projected to take place in a nonattainment area or affected |
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county of this state. The commission may set the minimum percentage |
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of vehicle miles traveled or hours of operation required to take |
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place in a nonattainment area or affected county at a percentage and |
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for a period that is different from the percentage and period |
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specified by this subsection. The commission may [also] allow |
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vehicle travel on highways and roadways, or portions of a highway or |
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roadway, designated by the commission and located outside a |
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nonattainment area or affected county to count towards the |
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percentage of use requirement in this subsection. |
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(c-1) For a proposed project involving a marine vessel or |
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engine, the vessel or engine must be operated in the intercoastal |
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waterways or bays adjacent to a nonattainment area or affected |
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county of this state for a sufficient amount of time over the |
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lifetime of the project, as determined by the commission, to meet |
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the cost-effectiveness requirements of Section 386.105. |
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(c-2) For a proposed project involving non-road equipment |
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used for natural gas recovery purposes, the equipment must be |
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operated in a nonattainment area or affected county for a |
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sufficient amount of use over the lifetime of the project, as |
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determined by the commission, to meet the cost-effectiveness |
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requirements of Section 386.105. |
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SECTION 2. Section 386.116(a), Health and Safety Code, is |
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amended to read as follows: |
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(a) In this section, "small business" means a business owned |
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by a person who: |
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(1) owns and operates not more than six [five] |
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vehicles, one of which is: |
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(A) an on-road diesel; or |
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(B) a non-road diesel; and |
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(2) has owned the vehicle described by Subdivision |
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(1)(A) or (B) for more than two years. |
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SECTION 3. Section 386.251(c), Health and Safety Code, is |
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amended to read as follows: |
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(c) The fund consists of: |
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(1) the amount of money deposited to the credit of the |
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fund under: |
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(A) Section 386.056; |
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(B) Section [Sections 151.0515 and] 152.0215, |
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Tax Code; and |
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(C) Sections 501.138, 502.358, and 548.5055, |
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Transportation Code; and |
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(2) grant money recaptured under Section 386.111(d) |
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and Chapter 391. |
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SECTION 4. Section 386.252, Health and Safety Code, is |
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amended by amending Subsection (a) and adding Subsection (i) to |
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read as follows: |
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(a) Money in the fund may be used only to implement and |
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administer programs established under the plan. Subject to the |
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reallocation of funds by the commission under Subsection (h), money |
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appropriated to the commission to be used for the programs under |
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Section 386.051(b) shall initially be allocated as follows: |
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(1) four percent may be used for the clean school bus |
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program under Chapter 390; |
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(2) one [three] percent may be used for the new |
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technology implementation grant program under Chapter 391, from |
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which at least $1 million will be set aside for electricity storage |
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projects related to renewable energy; |
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(3) five percent may be used for the Texas clean fleet |
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program under Chapter 392; |
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(4) not more than $3 million may be used by the |
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commission to fund a regional air monitoring program in commission |
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Regions 3 and 4 to be implemented under the commission's oversight, |
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including direction regarding the type, number, location, and |
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operation of, and data validation practices for, monitors funded by |
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the program through a regional nonprofit entity located in North |
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Texas having representation from counties, municipalities, higher |
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education institutions, and private sector interests across the |
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area; |
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(5) 10 percent may be used for the Texas natural gas |
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vehicle grant program under Chapter 394; |
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(6) not more than $6 million may be used for the Texas |
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alternative fueling facilities program under Chapter 393, of which |
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a specified amount may be used for fueling stations to provide |
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natural gas fuel, except that money may not be allocated for the |
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Texas alternative fueling facilities program for the state fiscal |
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year ending August 31, 2019; |
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(7) not more than $750,000 may be used each year to |
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support research related to air quality as provided by Chapter 387; |
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(8) not more than $200,000 may be used for a health |
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effects study; |
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(9) at least $6 million but not more than $8 million is |
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allocated to the commission for administrative costs, including all |
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direct and indirect costs for administering the plan, costs for |
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conducting outreach and education activities, and costs |
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attributable to the review or approval of applications for |
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marketable emissions reduction credits; |
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(10) six percent may be used by the commission for the |
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seaport and rail yard areas emissions reduction program established |
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under Subchapter D-1; |
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(11) five percent may be used for the light-duty motor |
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vehicle purchase or lease incentive program established under |
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Subchapter D; |
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(12) not more than $216,000 is allocated to the |
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commission to contract with the Energy Systems Laboratory at the |
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Texas A&M Engineering Experiment Station annually for the |
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development and annual computation of creditable statewide |
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emissions reductions obtained through wind and other renewable |
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energy resources for the state implementation plan; |
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(13) not more than $500,000 may be used for studies of |
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or pilot programs for incentives for port authorities located in |
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nonattainment areas or affected counties to encourage cargo |
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movement that reduces emissions of nitrogen oxides and particulate |
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matter; and |
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(14) the balance is to be used by the commission for |
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the diesel emissions reduction incentive program under Subchapter C |
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as determined by the commission. |
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(i) Notwithstanding any other provision of this section, |
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money in the fund, other than money in the non-road diesel |
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subaccount established under Section 386.253, may not be used for a |
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purpose described by Section 386.253(c). |
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SECTION 5. Subchapter F, Chapter 386, Health and Safety |
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Code, is amended by adding Section 386.253 to read as follows: |
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Sec. 386.253. NON-ROAD DIESEL SUBACCOUNT; USE OF |
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SUBACCOUNT. (a) The non-road diesel subaccount is established in |
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the fund. |
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(b) The subaccount consists of the amount of money deposited |
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to the credit of the subaccount under Section 151.0515, Tax Code. |
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Interest earned on the subaccount shall be credited to the |
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subaccount. |
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(c) Money in the subaccount may be used only to: |
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(1) provide grants for non-road diesels, as that term |
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is described by Section 386.101, under a program established under |
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the plan; and |
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(2) implement and administer a program described by |
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Subdivision (1), but only to the extent that the program relates to |
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the issuance of grants for non-road diesels. |
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SECTION 6. Sections 151.0515(c) and (d), Tax Code, are |
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amended to read as follows: |
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(c) The surcharge shall be collected at the same time and in |
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the same manner and shall be administered and enforced in the same |
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manner as the tax imposed under this chapter. The comptroller shall |
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adopt any additional procedures needed for the collection, |
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administration, and enforcement of the surcharge authorized by this |
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section and shall deposit all remitted surcharges to the credit of |
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the non-road diesel subaccount in the Texas emissions reduction |
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plan fund. |
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(d) This section expires on the last day of the state fiscal |
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biennium during which the Texas Commission on Environmental Quality |
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publishes in the Texas Register the notice required by Section |
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382.037, Health and Safety Code [August 31, 2019]. |
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SECTION 7. Section 152.0215(c), Tax Code, is amended to |
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read as follows: |
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(c) This section expires on the last day of the state fiscal |
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biennium during which the Texas Commission on Environmental Quality |
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publishes in the Texas Register the notice required by Section |
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382.037, Health and Safety Code [August 31, 2019]. |
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SECTION 8. Section 501.138(b-3), Transportation Code, is |
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amended to read as follows: |
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(b-3) This subsection and Subsection (b-2) expire on the |
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last day of the state fiscal biennium during which the Texas |
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Commission on Environmental Quality publishes in the Texas Register |
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the notice required by Section 382.037, Health and Safety Code |
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[August 31, 2019]. |
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SECTION 9. Section 502.358(c), Transportation Code, is |
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amended to read as follows: |
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(c) This section expires on the last day of the state fiscal |
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biennium during which the Texas Commission on Environmental Quality |
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publishes in the Texas Register the notice required by Section |
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382.037, Health and Safety Code [August 31, 2019]. |
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SECTION 10. The heading to Section 548.5055, Transportation |
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Code, is amended to read as follows: |
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Sec. 548.5055. TEXAS EMISSIONS [EMISSION] REDUCTION PLAN |
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FEE. |
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SECTION 11. Sections 548.5055(b) and (c), Transportation |
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Code, are amended to read as follows: |
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(b) The department shall remit fees collected under this |
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section to the comptroller at the time and in the manner prescribed |
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by the comptroller for deposit in the Texas emissions [emission] |
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reduction plan fund. |
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(c) This section expires on the last day of the state fiscal |
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biennium during which the conservation commission publishes in the |
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Texas Register the notice required by Section 382.037, Health and |
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Safety Code [August 31, 2019]. |
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SECTION 12. Sections 8(a-2) and (b), Chapter 755 (S.B. |
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1731), Acts of the 85th Legislature, Regular Session, 2017, are |
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repealed. |
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SECTION 13. The changes in law made by this Act apply only |
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to a Texas emissions reduction plan grant awarded on or after the |
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effective date of this Act. A grant awarded before the effective |
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date of this Act is governed by the law in effect on the date the |
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award was made, and the former law is continued in effect for that |
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purpose. |
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SECTION 14. The change in law made by this Act to Section |
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151.0515, Tax Code, applies only to a surcharge collected on or |
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after the effective date of this Act. A surcharge collected before |
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the effective date of this Act is governed by the law in effect |
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immediately before that date, and the former law is continued in |
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effect for that purpose. |
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SECTION 15. This Act takes effect August 30, 2019. |