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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of certain transactions involving oil |
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and gas tubing. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1956.001, Occupations Code, is amended |
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by adding Subdivision (7-a) and amending Subdivision (10) to read |
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as follows: |
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(7-a) "Oil and gas tubing" means steel pipe with a |
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nominal outside diameter between one inch and eight inches and a |
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total length of 10 feet or longer, commonly used in the process of |
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drilling and completing oil and gas wells. |
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(10) "Regulated metal" means: |
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(A) manhole covers; |
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(B) guardrails; |
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(C) metal cylinders designed to contain |
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compressed air, oxygen, gases, or liquids; |
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(D) malt beverage kegs made from metal other than |
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aluminum; |
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(E) historical markers or cemetery vases, |
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receptacles, or memorials made from metal other than aluminum; |
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(F) unused rebar; |
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(G) street signs; |
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(H) drain gates; |
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(I) safes; |
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(J) communication, transmission, and service |
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wire or cable; |
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(K) condensing or evaporator coils for central |
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heating or air conditioning units; |
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(L) utility structures, including the fixtures |
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and hardware; |
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(M) aluminum or stainless steel containers |
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designed to hold propane for fueling forklifts; |
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(N) metal railroad equipment, including tie |
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plates, signal houses, control boxes, signs, signals, traffic |
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devices, traffic control devices, traffic control signals, switch |
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plates, e-clips, and rail tie functions; |
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(O) catalytic converters not attached to a |
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vehicle; |
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(P) fire hydrants; |
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(Q) metal bleachers or other seating facilities |
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used in recreational areas or sporting arenas; |
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(R) any metal item clearly and conspicuously |
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marked with any form of the name, initials, or logo of a |
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governmental entity, utility, cemetery, or railroad; |
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(S) insulated utility, communications, or |
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electrical wire that has been burned in whole or in part to remove |
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the insulation; |
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(T) backflow valves; |
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(U) metal in the form of commonly recognized |
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products of the industrial metals recycling process, including |
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bales, briquettes, billets, sows, ingots, pucks, and chopped or |
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shredded metals; [and] |
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(V) commercial grade lead batteries or lead-acid |
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batteries; and |
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(W) oil and gas tubing. |
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SECTION 2. Section 1956.002, Occupations Code, is amended |
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to read as follows: |
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Sec. 1956.002. EXCEPTION. This chapter does not apply to: |
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(1) a purchase of regulated material from a public |
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utility, a telecommunications provider as defined by Section |
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51.002, Utilities Code, a cable service provider as defined by |
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Section 66.002, Utilities Code, a video service provider as defined |
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by Section 66.002, Utilities Code, or a manufacturing, industrial, |
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commercial, retail, or other seller that sells regulated material |
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in the ordinary course of the seller's business; |
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(2) a purchase of regulated material by a manufacturer |
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whose primary business is the manufacture of iron and steel |
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products made from melting scrap iron and scrap steel; [or] |
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(3) the transport or hauling of recyclable materials |
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to or from the metal recycling entity; or |
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(4) a purchase or sale of oil and gas tubing by an |
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organization whose primary business is the extraction, refining, or |
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transport of oil and gas, or that has been issued a Railroad |
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Commission of Texas operator number. |
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SECTION 3. Subchapter A, Chapter 1956, Occupations Code, is |
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amended by adding Section 1956.0021 to read as follows: |
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Sec. 1956.0021. APPLICATION TO CERTAIN OIL AND GAS TUBING |
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TRANSACTIONS. The recordkeeping and reporting requirements of this |
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chapter apply to a purchase of oil and gas tubing by a person whose |
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primary business is purchasing and reselling oil and gas tubing to |
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the same extent as a purchase of regulated material by a metal |
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recycling entity. |
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SECTION 4. Section 1956.017(b), Occupations Code, is |
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amended to read as follows: |
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(b) The advisory committee consists of 16 [15] members |
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appointed by the director as follows: |
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(1) one representative of the department; |
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(2) two representatives of local law enforcement |
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agencies located in different municipalities, each with a |
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population of 500,000 or more; |
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(3) two representatives of local law enforcement |
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agencies located in different municipalities, each with a |
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population of 200,000 or more but less than 500,000; |
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(4) one representative of a local law enforcement |
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agency located in a municipality with a population of less than |
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200,000; |
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(5) five representatives of metal recycling entities; |
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(6) three [two] members who represent industries that |
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are impacted by theft of regulated material, at least one of whom |
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represents the oil and gas industry; |
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(7) one sheriff of a county with a population of |
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500,000 or more; and |
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(8) one sheriff of a county with a population of less |
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than 500,000. |
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SECTION 5. As soon as practicable after the effective date |
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of this Act: |
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(1) the Public Safety Commission shall adopt rules to |
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implement the changes in law made by this Act to Chapter 1956, |
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Occupations Code; and |
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(2) the public safety director of the Department of |
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Public Safety shall appoint a member to the advisory committee |
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under Section 1956.017, Occupations Code, as amended by this Act, |
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in accordance with that section. |
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SECTION 6. This Act takes effect September 1, 2023. |