BILL ANALYSIS

C.S.H.B. 1499

By: Walle

Environmental Regulation

Committee Report (Substituted)

BACKGROUND AND PURPOSE

The bill author has informed the committee that concrete batch plants have limited incentives to voluntarily reduce emissions beyond what is required under their permit. C.S.H.B. 1499 seeks to provide that incentive for small businesses that operate concrete batch plants and support them in adopting more advanced emission reduction processes and technologies by providing for grants that cover the cost of accessing an environmental product declaration database or other software that discloses the environmental impact of products used by the plants based on a life cycle assessment.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is expressly granted to the Texas Commission on Environmental Quality in SECTION 1 of this bill.

ANALYSIS

C.S.H.B. 1499 amends the Water Code to require the Texas Commission on Environmental Quality (TCEQ) to establish and administer a grant program to reimburse certain manufacturers of ready-mixed concrete for the cost of accessing an environmental product declaration database or other software for generating environmental product declarations for ready-mixed concrete products. The bill applies to a manufacturer of ready-mixed concrete that meets the following criteria:

· is a corporation, partnership, sole proprietorship, or other legal entity formed for the purpose of making a profit;

· is independently owned and operated; and

· has fewer than 100 employees or less than $6 million in annual gross receipts.

The bill defines "environmental product declaration" as an independently verified product-specific label that discloses the environmental impact of a manufactured product based on a life cycle assessment.

C.S.H.B. 1499 requires an applicable manufacturer to agree to use environmental product declarations for the manufacturer's ready-mixed concrete products as a condition of receiving a grant under the program. The bill requires the TCEQ to adopt rules to implement the program, including rules establishing the following:

· eligibility criteria for grant applicants;

· grant application procedures;

· criteria for evaluating grant applications and awarding grants;

· guidelines related to grant amounts; and

· procedures for monitoring the use of a grant and ensuring compliance with any conditions of the grant.

The bill requires the TCEQ to adopt rules and establish procedures under the bill's provisions as soon as practicable after the bill's effective date.

EFFECTIVE DATE

September 1, 2025.

COMPARISON OF INTRODUCED AND SUBSTITUTE

While C.S.H.B. 1499 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill.

The substitute includes a provision absent from the introduced limiting the applicability of the bill's provisions to a manufacturer of ready-mixed concrete that is a corporation, partnership, sole proprietorship or other legal entity formed for the purpose of making a profit, is independently owned and operated, and has fewer than 100 employees or less than $6 million in annual gross receipts.