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ENGROSSED SENATE AMENDMENT
TO
ENGROSSED HOUSE
BILL NO. 1072 By: Gann of the House
and
Dahm of the Senate
An Act relating to sunset; amending 52 O.S. 2011,
Section 288.3, as last amended by Section 1, Chapter
295, O.S.L. 2017 (52 O.S. Supp. 2020, Section 288.3),
which relates to the Oklahoma Energy Resources Board;
re-creating the Board; and modifying termination
date.
AUTHOR: Remove as principal Senate author Dahm and substitute as
principal Senate autho r Quinn. Retain Dahm as Senate
coauthor
AMENDMENT NO. 1. Page 1, strike the title, enacting clause and
entire bill and insert
“An Act relating to the Oklahoma Liquefied Petrole um
Gas Regulation Act; amending 52 O.S. 2021, Sections
420.4, 420.5, 420.9, and 420.15, wh ich relate to
registration permit, fees on sale, reports, and
penalties, and safety schools for liquefied petroleum
dealers; providing for additional permit cl asses to
be assessed annual fee; modif ying public hearing
dates; directing promulgation of rules; clarifying
language; providing for in person or virtual
instruction for safety school ; and providing an
effective date.
BE IT ENACTED BY THE PEOPLE O F THE STATE OF OKLAHOMA:
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SECTION 1. AMENDATORY 52 O.S. 2021, Section 420.4, is
amended to read as follo ws:
Section 420.4. A. No person, firm or corporation sha ll
manufacture, fabricate, assemble or install in this state any
system, container, apparatus or appliance used or to be used in this
state in or for the transportation, storage, dispensing or
utilization of LPG, nor shall any transporter, distributor or
retailer of LPG store, dispense or transport over the highways of
this state any LPG intended for use in this state in any such
system, container, appar atus or appliance, without having first
applied for and obtained a registration permit to do so. A permi t
shall not be required by any person, firm or corporation engaged in
the production or manufacture of LPG, or selling or reselling LPG to
transporters, gas processors, distributors or retailers, no r by any
person, firm or corporation selling or delivering motor vehicles or
tractors which are factory equipped with an LPG syste m, container,
apparatus or appliance for the utilization of LPG as motor fuel.
The provisions of this section shall not preve nt an individual from
installing in his or her own single -unit residence any system,
container, apparatus or appliance which uses or will utilize LPG,
provided that such individual has secured an inspection of the
installation by the Administrator or someo ne designated by the
Administrator or by a person duly lic ensed to make such an
installation prior to the use of the system, conta iner, apparatus or
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appliance. Applications for registration permits shall be in
writing, on a form provided by the Board, and shall contain such
pertinent information as is required b y the Board. Upon approval of
each application and receipt of the certi ficates of insurance or
securities required by the provisions of this section, the
Administrator shall issue to the applicant a permit to engage in the
phase of the LPG industry in thi s state to which such permit
applies. No permit other than the Class I Dealer Permit shall be
transferable. The Board is authorized to establish a fee fo r the
transfer of a Class I Permit. Nothin g in Sections 420.1 through
420.15 of this title shall be construed to regulate the
manufacturing, fabrication, assembling, sellin g or installing of any
system, container, apparatus or appliance having a fuel cont ainer
with a maximum individual water capac ity of less than two and one-
half (2 1/2) pounds.
B. 1. The Board is authorized to establish an annual permit
fee for the issuance of each class of permit listed in subsection C
of this section.
2. All such registration permits shall expire annually wit h no
permit extending longer than one (1) calendar year. The expiration
dates shall be set by the Board in the rules. The Admini strator may
issue a semiannual permit to applicants engaging in the business
within six (6) months or less of the annual renew al date. A
semiannual permit shall expire on the followin g annual expiration
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date. The fee for a semiannual permit shall be one -half (1/2) that
of the fee of the annual permit. All registration permits required
pursuant to the provisions of this section shall be renewed upon
payment of the annual fees on or be fore the expiration of the
registration permit, and upon fulfilling all insurance requirements.
The Board is authorized to establish necessary penalty pro visions
required to ensure prompt payment o f the annual fees.
3. The Board is authorized to establ ish specifications which
set forth the scope of authority for each class o f permits.
4. The Board is authorized to establish an initial permit fee
for the issuance of Class I and Class II permits to any person, firm
or corporation for the first time.
C. Persons, firms and corporations required to be registered
pursuant to the provisions of Sections 420.1 through 420.15 of this
title, at the time of issuance of each permit, shall pay to the
Administrator the initial permit fee, if applicable, and any annua l
fee that is applicable to the following pe rmit classes:
1. Class I - Dealer Permit;
2. Class II - Truck Transporter Permit;
3. Class III - DOT Cylinder Transporter Permit;
4. Class IV - Installer Permit;
5. Class IV-D - Driver/Installer Permit;
6. Class VI - DOT Cylinder and/or LPG Motor Fue l Station;
7. Class VI-A - LPG Dispensing Permit;
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8. Class VII - Cylinder Exchange Program Permit;
9. Class VIII – Unodorized LPG Permit;
10. Class IX - LPG Container Sales Permit;
10. 11. Class IX-A - Manufactured Homes and Recreation Sales
Permit; and
11. 12. Class X - Manager's Permit.
D. 1. Each person, firm or corporation holding a permit
authorizing the use of an LPG bulk delivery truck or trail er shall
pay owe at the time of inspection an annual insp ection fee in an
amount as established by t he Board for each delivery tru ck or
trailer belonging to the person, firm or corporation. Each person,
firm or corporation who does not hold a permit issue d by the Board
authorizing the use of an LPG bulk deliver y truck or trailer in the
state shall pay an annual inspection fee in an amount as established
by the Board for each such truck or trailer belonging to person,
firm or corporation being used to dispe nse or transport LPG in the
state.
2. The inspection fee shall increase to an amount established
by the Board per vehicle if the inspection is not completed within
sixty (60) days of the expiration date, or at a later date at the
discretion of the Adminis trator.
E. Any LPG bulk delivery truck or trailer failing to be
approved at its annual inspection shall be assessed a fee in an
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amount as established by the Board at the time that it is
reinspected.
F. The fees provided for in this section shall be applicable to
residents and nonresidents of Oklahoma.
G. The Board is authorized to approve or disapprove
applications for registratio n permits to distributors and retailers
of LPG and managers of LPG e stablishments. The Admi nistrator is
authorized to approve or disapprove all other applications for
registration permits that may be issued pursuant to the provisions
of this section.
1. No application shall be approved by the Administrator unless
the Administrator is satisfied that the applicant by written
examination has shown a working knowledge of the safety requir ements
provided by the rules of the Board.
2. No application shall be a pproved by the Board unless the
Board is satisfied by adequate writt en examination of the ap plicant,
or the individual who is or shall be directly responsible for
actively supervising the operations of such applicant which is a
partnership, firm or corpora tion, that the applicant or such
individual has a working knowledge of the safety requiremen ts
provided by the rules of the Board. The Board shall cause to be
held public hearings on the second Monday in the months of January,
April, July and October of e ach year on all applications for new
registration permits required b y the provisions of this section, or
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upon such other occasions as the Board may deem necessary. Notice
of each hearing shall be mailed to each such applicant and shall be
posted in a conspicuous place in the Office of the Administrator in
Oklahoma City, Oklahoma, at least thirty (30) days prior to the date
of the hearing. The notice shall include the name, address, pe rmit
class and business location of each applicant whose application is
to be considered at the hearing. The applicant, or the individual
who is or shall be direct ly responsible for and actively supervising
the operations of the applicant, may be present at the hearing. If,
after the public hearing, an applicant is found by the Board to have
a working knowledge of the safety requirements pro vided by the rules
and regulations of the Board, the Board shall cause an order to that
effect to be entered upon it s records and the application shall be
approved. In the event an applic ant fails to qualify, the fact
shall be entered upon the Board 's records.
3. The Board shall charge a fee, in an amount established by
the Board, for testing materials and the expense of holding the
examinations provided for in this section. The fee shal l be paid
upon filing an application for any permit.
H. A registration permit shall not be issued to any applicant
unless the Administrator has received certificates of insurance or
security as required by this section.
I. Except as otherwise provided fo r in this section, all
persons, firms or corporations engaged in the business of
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manufacturing, fabricating, assembling or installing any LPG system,
container, apparatus or appliance in this state, and required to be
registered pursuant to the provisions of Sections 420.1 through
420.15 of this title, shall file with the Administrator a
certificate indicating liability insurance coverage for the
manufacturer and contractor. The Board is authorized to establish
coverage amounts for each class of permit, pr ovided coverage shall
be for an amount of not less than Twenty -five Thousand Dollars
($25,000.00) to Fifty Thousand Dollars ($50,000.00) for bodily
injury and limits of not less than T wenty-five Thousand Dollars
($25,000.00) for property damage, and shall be in full force and
effect, covering the plant, equipment and motor vehicles used in
such business, and the operations of the business.
J. Except as otherwise provided for in this se ction, all
transporters, distributors, or retailers of LPG in this state ,
required to be registered pursuant to Sections 420.1 through 420.1 5
of this title, shall f ile with the Administrator a certificate
indicating that public liability and property damag e insurance
coverage has been issued. The Board is authorized to establ ish
coverage amounts for each class of permit, provided coverage sha ll
be for an amount of n ot less than Twenty-five Thousand Dollars
($25,000.00) to Fifty Thousand Dollars ($50,000.00 ) for bodily
injury and limits of not less than Twenty -five Thousand Dollars
($25,000.00) for property damage has been issued, and is in ful l
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force and effect, cove ring the plant, equipment, and motor vehicles
used in such business, and the operations of t he business.
K. Insurance pursuant to the provisions of this section sh all
be maintained in full force and effect during the operation of t he
business for which th e coverage was issued. Except as otherwise
provided for in this section, or in administrative rules promulgated
by the Board, no registration permit shall be issue d until the
certificate is filed with the Administrator. No insuran ce coverage
shall be canceled or terminated without thirty (30) days prior
written notice of cancellation or termina tion to the Administrator.
L. The Board is authorized, upon proof of or a satisfactory
showing that any person, firm or corporation is fina ncially able to
pay or satisfy any judgment, claim or demand against the person,
firm or corporation, to waive the i nsurance coverage required by
this section. The Board, in lieu of the c ertificate, may require
the deposit, with the Administrator, of secu rities, or satisfactory
indemnity bond, in an amount and of a kind designated by the Board,
to secure the liability of such person, firm or corporation to pay
any judgment, claim or demand . The security shall not be in excess
of the limits set forth in th is section. If the Boar d deems the
financial status of such person, firm or corporation to be impaired
so as to reduce the ability of such person, firm or corporation to
make payment or to satisfy any judgment, claim or demand, the Board
may revoke the waiver and require the per son, firm or corporation to
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file certificates required by this section within thirty (30) da ys
after written notice is sent by the Board to the person, firm or
corporation.
SECTION 2. AMENDATORY 52 O.S. 202 1, Section 420.5, is
amended to read as follows:
Section 420.5. A. The Board is authorized to establish a fee,
to be paid to the Administrator, upon the sale, purchase, rental
and/or use in this state of liquefie d petroleum gas refillable
cylinders and all other liquefied petro leum gas containers.
B. Each manufacturer of LP-Gas containers in Oklahoma, each
vendor of containers manufactured without outside of the state, and
each person, firm or corporation placing any LPG co ntainer or
cylinder in use in t his state shall pay the applicable fee. For
vendors of containers manufactured without outside of this state,
the fee or fees shall apply and become due upon delivery to the
vendors, or for their account, within the state, of containers or
cylinders purchased without outside of the state. In no event shall
the fees herein levied be paid or become payable on any contai ner or
cylinder sold, rented, purchased or placed in use in this state
prior to the effective date of this act, or more than once o n any
container or cylinder, or u pon any container or cylinder resold,
rerented, repurchased or reused in this state. The Ad ministrator is
authorized to refund or credit fees upon containers sold without
outside of the state upon which the fees have previously bee n paid,
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or any fees which have erroneously been paid, upon written
application supported by affidavit setting forth the basis for such
refund. The Administrator is authorized to adopt a s ystem of
identification of containers on which the fees herein levie d have
been paid.
C. No person, firm or corporation shall use or install in this
state any container or cylinder up on which the applicable fee levied
above applies and has not been paid. In case of failure to pay
within the specified time, there shall be assessed a penalty of
twenty-five percent (25%), which shall be added to the applicable
fee.
SECTION 3. AMENDATORY 52 O.S. 2021, Section 420.9, is
amended to read as follows:
Section 420.9. A. All liquefied petroleum gases desi gnated as
commercial propane, commercial butane or mixtures thereof, sold for
consumption in this state, shall, when subjected to the test methods
of the Gas Processors Association of Amer ica GPA Midstream
Association, meet applicable specifications adopte d as tentative
standards by the Association for the particular product sold.
B. All vehicles used in hauling or tra nsporting liquefied
petroleum gases upon the highways of this state shal l be identified
in such manner as the Administrator may, by rule, pr escribe.
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C. The Department of Public Safety of the State of Oklahoma
shall cooperate with the Administrator in the enforcement of the
provisions of this section, and the rules promulgated thereunder.
D. Transport trucks transporting liquefied petroleum g ases
intrastate which are owned or operated by a person subject to and
licensed by the Oklahoma Liquefied Petroleum Gas Regulation Act
shall not be required to obtain or possess an intrast ate motor
carrier or private carrier license issued by the Oklahoma
Corporation Commission.
E. Containers shall be filled or used only upon authorization
of the fee simple owner. The name of the fee simple owner, if other
than the consumer, shall be cons picuously shown on the container.
F. At least one attendant shall r emain close to the trans fer
connection from the time the connections are first made until they
are finally disconnec ted, during the transfer of the product.
During the actual transfer of liquids into containers at domestic
type dwellings and installations , the attendant shall no t enter into
any type of enclosure including but not limited to truck cabs,
dwellings and barns and shall maintain visual contact with the
liquid level gauge at all times.
SECTION 4. AMENDATORY 52 O.S. 2021 , Section 420.15, is
amended to read as follows:
Section 420.15. The LP-Gas Board shall provide for the holding
of safety schools for the benefit of the liquefied petroleum gas
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dealers and employees in the State of Oklahoma, at such times and in
such places as may be deemed advi sable and. The Board may, by
lawfully adopted rules, require attendance and successful comp letion
of courses, by in-person or virtual instruction, held as a condition
precedent to retaining permits issued hereunder. Such courses shall
be in the format as established by the Board in its sole discretion.
The Administrator shall perform such duti es in connection with those
schools as the Board might direct.
SECTION 5. This act shall become effective November 1, 2022.”
Passed the Senate the 28th day of April, 2022.
Presiding Officer of the Senate
Passed the House of Representatives the ____ day of __________,
2022.
Presiding Officer of the House
of Representatives
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ENGROSSED HOUSE
BILL NO. 1072 By: Gann of the House
and
Dahm of the Senate
An Act relating to sunset; amending 52 O.S. 2011,
Section 288.3, as last amended by Section 1, Chapter
295, O.S.L. 2017 (52 O.S. Supp. 2020, Section 288.3),
which relates to the Oklahoma Energy Resources Board;
re-creating the Board; and modifying termination
date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 6. AMENDATORY 52 O.S. 2011, Section 288.3, as
last amended by Section 1, Chapter 295, O.S.L. 2017 (52 O.S. Supp.
2020, Section 288.3), is amended to read as fo llows:
Section 288.3 There is hereby re-created until July 1, 2021
2024, the Oklahoma Energy Resources Board which shall be subject to
the provisions of the Okl ahoma Sunset Law. The purpose of the Board
is to coordinate a program designed to demonstrate to the general
public the importance of the Oklahoma oil and natural gas
exploration and production industry, to encourage the wise and
efficient use of energy, to promote environmentally sound production
methods and technologies, to develop existing suppl ies of Oklahoma's
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oil and natural gas resources, to support research and educational
activities concerning the oil and natural gas exploration and
production industry and to cause remediation of historical oilfield
environmental problems.
Passed the House of Representatives the 3rd day of March, 2021.
Presiding Officer of the House
of Representatives
Passed the Senate the ___ day of __________, 2021.
Presiding Officer of the Senate