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A BILL TO BE ENTITLED
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AN ACT
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relating to the establishment of a strategic fuel reserve program |
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in this state. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 418, Government Code, is amended by |
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adding Subchapter K to read as follows: |
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SUBCHAPTER K. STRATEGIC FUEL RESERVE PROGRAM |
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Sec. 418.351. DEFINITIONS. In this subchapter: |
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(1) "Commission" means the Railroad Commission of |
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Texas. |
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(2) "Gas" means natural gas. |
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(3) "Petroleum product" means any product derived by |
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refining petroleum and intended to produce power by burning the |
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product. |
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(4) "Program" means the strategic fuel reserve program |
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established under this subchapter. |
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Sec. 418.352. PROGRAM ESTABLISHMENT AND PURPOSE. The |
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commission shall establish a program for acquiring and maintaining |
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a strategic fuel reserve of gas and petroleum products for |
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distribution in this state in the event of a disaster to reduce the |
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impact of disruptions in supplies of the gas and petroleum products |
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in this state. |
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Sec. 418.353. GUIDELINE FOR PROGRAM ESTABLISHMENT AND |
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OPERATION. The program must be established and operated in a manner |
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that substantially reduces this state's vulnerability to an energy |
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emergency while considering the energy needs and infrastructure of |
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each region of this state. |
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Sec. 418.354. POWERS; EXCEPTION. (a) Except as provided by |
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Subsection (b), the commission may purchase, sell, and lease |
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property, including gas and petroleum products, and take any other |
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action reasonable and necessary to establish and operate the |
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program. |
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(b) The commission may not distribute gas or petroleum |
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products maintained as part of the strategic fuel reserve unless |
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the governor declares a state of disaster and directs the |
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distribution or determines that a disaster has occurred in another |
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state and that state is in need of gas or petroleum products. |
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(c) The governor may direct the distribution of not more |
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than 30 percent of the gas or petroleum products in the strategic |
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fuel reserve to another state under Subsection (b). |
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Sec. 418.355. MINIMUM REQUIREMENTS. The strategic fuel |
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reserve established under this subchapter must have the capacity to |
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hold at least the amount of gas and petroleum products needed to |
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provide fuel and power for this state for a period of at least 30 |
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days in the event of a disaster that would likely disrupt the |
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regular distribution of gas and petroleum products throughout this |
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state. The commission shall maintain at least that amount of gas |
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and petroleum products in the reserve except when gas and petroleum |
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products are being distributed in response to a disaster and for a |
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reasonable time needed to replenish the reserve after a disaster. |
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Sec. 418.356. RULEMAKING. The commission, in consultation |
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with the governor, shall adopt rules as necessary to implement this |
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subchapter, including rules governing the distribution of gas or |
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petroleum products maintained as part of the strategic fuel reserve |
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in the event of a disaster. |
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SECTION 2. (a) As soon as practicable after the effective |
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date of this Act, the Railroad Commission of Texas shall adopt any |
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rules necessary to implement Subchapter K, Chapter 418, Government |
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Code, as added by this Act. |
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(b) After the strategic fuel reserve program described by |
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Section 418.352, Government Code, as added by this Act, is |
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established, the Texas Division of Emergency Management shall |
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revise the state emergency management plan described by Section |
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418.042, Government Code, and the state emergency management plan |
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annex described by Section 418.0425, Government Code, to account |
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for the establishment and operation of a strategic fuel reserve |
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program under Section 1 of this Act. |
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SECTION 3. This Act takes effect September 1, 2023. |