By: Anchia H.B. No. 3150
A BILL TO BE ENTITLED
AN ACT
relating to the creation of alternative fuel programs to be funded
by the Texas Emissions Reduction Plan Fund.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subsections (a) and (c), Section 386.252, Health
and Safety Code, are amended to read as follows:
(a) Money in the fund may be used only to implement and
administer programs established under the plan and shall be
allocated as follows:
(1) for the diesel emissions reduction incentive
program, 87.5 percent of the money in the fund, of which not more
than four percent may be used for the clean school bus program, not
more than five percent may be used for the clean fleet program, not
more than two percent may be used for the alternative fueling
facilities program, and not more than 10 percent may be used for
on-road diesel purchase or lease incentives;
(2) for the new technology research and development
program, 9.5 percent of the money in the fund, of which up to
$250,000 is allocated for administration, up to $200,000 is
allocated for a health effects study, $500,000 is to be deposited in
the state treasury to the credit of the clean air account created
under Section 382.0622 to supplement funding for air quality
planning activities in affected counties, not less than 20 percent
is to be allocated each year to support research related to air
quality for the Houston-Galveston-Brazoria and Dallas-Fort Worth
nonattainment areas by a nonprofit organization based in Houston of
which $216,000 each year shall be contracted to the Energy Systems
Laboratory at the Texas Engineering Experiment Station for the
development and annual calculation of creditable statewide
emissions reductions obtained through wind and other renewable
energy resources for the State Implementation Plan, and the balance
is to be allocated each year to a nonprofit organization or an
institution of higher education based in Houston to be used to
implement and administer the new technology research and
development program under a contract with the commission for the
purpose of identifying, testing, and evaluating new
emissions-reducing technologies with potential for
commercialization in this state and to facilitate their
certification or verification; and
(3) for administrative costs incurred by the
commission and the laboratory, three percent of the money in the
fund.
(c) Money in the fund may be allocated to the clean school
bus program, the clean fleet program, and the alternative fueling
facilities program only if:
(1) the money is available for that purpose after
money is allocated for the other purposes of the fund as required by
the state implementation plan; or
(2) the amount of money deposited to the credit of the
fund in a state fiscal year exceeds the amount the comptroller's
biennial revenue estimate shows as the comptroller's estimated
amount to be deposited to the credit of the fund in that year.
SECTION 2. Subtitle C, Title 5, Health and Safety Code, is
amended by adding Chapters 391 and 392 to read as follows:
CHAPTER 391. TEXAS CLEAN FLEET PROGRAM
Sec. 391.001. DEFINITIONS. In this chapter:
(1) "Alternative fuel" means a fuel other than
gasoline or diesel fuel, other than biodiesel fuel, including
electricity, compressed natural gas, liquified natural gas,
hydrogen, propane, methanol, ethanol, or a mixture of fuels
containing at least 85 percent methanol or ethanol by volume.
(2) "Commission" means the Texas Commission on
Environmental Quality.
(3) "Hybrid vehicle" means a vehicle with at least two
different energy converters and two different energy storage
systems on board the vehicle for the purpose of propelling the
vehicle.
(4) "Incremental cost" has the meaning assigned by
Section 386.001.
(5) "Program" means the Texas clean fleet program
established under this chapter.
Sec. 391.002. PROGRAM. (a) The commission shall establish
and administer the Texas clean fleet program designed to encourage
entities that have a fleet of vehicles to either convert
diesel-powered or gasoline-powered vehicles to alternative fuel
vehicles or replace them with such vehicles, including
hybrid-electric, compressed natural gas, liquefied natural gas,
hydrogen, or other alternative fuel vehicles, to reduce the
exposure of the citizens living in nonattainment areas of the
state. Under the program, the commission shall provide grants for
eligible projects to offset the incremental cost of projects for
fleet owners.
(b) An entity that places 25 or more qualifying vehicles in
service in this state during a calendar year is eligible to
participate in the program.
(c) A vehicle is a qualifying vehicle that may be considered
for a grant under the program if during a calendar year the entity:
(1) purchases the vehicle and the vehicle is a hybrid
vehicle, or is fueled by an alternative fuel, and is to be used
entirely in this state;
(2) converts the vehicle to be a hybrid vehicle or to
be fueled by an alternative fuel in a manner other than the manner
described by Subdivision (3), and the vehicle is to be used entirely
in this state; or
(3) replaces the vehicle's power source with a power
source that is fueled by an alternative fuel or that causes the
vehicle to be a hybrid vehicle, and the vehicle is to be used
entirely in this state.
(d) A vehicle is not a qualifying vehicle if the vehicle:
(1) is a mild hybrid vehicle, such as a:
(A) Chevrolet Malibu;
(B) Chevrolet Silverado;
(C) Dodge Ram;
(D) GMC Sierra;
(E) Saturn Aura; or
(F) Saturn Vue;
(2) is a neighborhood electric vehicle, as defined by
Section 551.301, Transportation Code; or
(3) has been used as a qualifying vehicle to qualify
for a grant under this chapter for a previous reporting period or by
another entity.
Sec. 391.003. APPLICATION FOR GRANT. (a) An entity
operating in this state that operates a fleet of at least 100
vehicles may apply for and receive a grant under the program.
(b) The commission may adopt guidelines to allow a regional
planning commission, council of governments, or similar regional
planning agency created under Chapter 391, Local Government Code,
or a private nonprofit organization to apply for and receive a grant
to improve the ability of the program to achieve its goals.
(c) An application for a grant under this chapter must be
made on a form provided by the commission and must contain the
information required by the commission.
Sec. 391.004. ELIGIBILITY OF PROJECTS FOR GRANTS. (a) The
commission by rule shall establish criteria for setting priorities
for projects eligible to receive grants under this chapter. The
commission shall review and may modify the criteria and priorities
as appropriate.
(b) A qualifying vehicle must be used on a regular, daily
route and must have at least five years of useful life remaining.
Sec. 391.005. RESTRICTION ON USE OF GRANT. A recipient of a
grant under this chapter shall use the grant to pay the incremental
costs of the project for which the grant is made, which may include
the initial cost of the alternative fuel vehicle and the reasonable
and necessary expenses incurred for the labor needed to install
emissions-reducing equipment. The recipient may not use the grant
to pay the recipient's administrative expenses.
Sec. 391.006. AMOUNT OF GRANT. The amount the commission
shall award for each vehicle is:
(1) for a certified low-emission vehicle fueled by an
alternative fuel, 50 percent of the incremental cost;
(2) for a certified ultra-low-emission vehicle or
certified inherently low-emission vehicle fueled by an alternative
fuel, 75 percent of the incremental cost;
(3) for a certified super-ultra-low-emission vehicle
or certified zero-emission vehicle fueled by an alternative fuel,
85 percent of the incremental cost; or
(4) for a hybrid vehicle, 80 percent of the
incremental cost.
Sec. 391.007. EXPIRATION. This chapter expires August 31,
2017.
CHAPTER 392. TEXAS ALTERNATIVE FUELING FACILITIES PROGRAM
Sec. 392.001. DEFINITIONS. In this chapter:
(1) "Alternative fuel" means a fuel other than
gasoline or diesel fuel, other than biodiesel fuel, including
electricity, compressed natural gas, liquified natural gas,
hydrogen, propane, methanol, ethanol, or a mixture of fuels
containing at least 85 percent methanol or ethanol by volume.
(2) "Commission" means the Texas Commission on
Environmental Quality.
(3) "Program" means the Texas alternative fueling
facilities program established under this chapter.
Sec. 392.002. PROGRAM. (a) The commission shall establish
and administer the Texas alternative fueling facilities program
designed to provide fueling facilities in nonattainment areas for
alternative fuel. Under the program, the commission shall provide
grants for eligible projects to offset the cost of qualifying
projects.
(b) An entity that constructs, reconstructs, or acquires an
alternative fuel refueling facility is eligible for a grant as
provided by this chapter.
(c) An entity's qualified amount is the cost incurred by the
entity during a calendar year to construct, reconstruct, or acquire
a facility to store, compress, charge, or dispense alternative
fuels.
Sec. 392.003. APPLICATION FOR GRANT. (a) An entity
operating in this state that constructs, reconstructs, or acquires
a facility to store, compress, charge, or dispense alternative
fuels may apply for and receive a grant under the program.
(b) The commission may adopt guidelines to allow a regional
planning commission, council of governments, or similar regional
planning agency created under Chapter 391, Local Government Code,
or a private nonprofit organization to apply for and receive a grant
to improve the ability of the program to achieve its goals.
(c) An application for a grant under this chapter must be
made on a form provided by the commission and must contain the
information required by the commission.
Sec. 392.004. ELIGIBILITY OF PROJECTS FOR GRANTS. The
commission by rule shall establish criteria for setting priorities
for projects eligible to receive grants under this chapter. The
commission shall review and may modify the criteria and priorities
as appropriate.
Sec. 392.005. RESTRICTION ON USE OF GRANT. A recipient of a
grant under this chapter shall use the grant to pay the costs of the
alternative fuel project. The recipient may not use the grant to
pay the recipient's administrative expenses.
Sec. 392.006. AMOUNT OF GRANT. The amount the commission
shall award for each alternative fueling facility is 50 percent of
the actual cost of the facility.
Sec. 392.007. LIMITATIONS. (a) An entity may not receive
a grant under this chapter that exceeds $500,000 for a single
facility.
(b) An entity may not receive a second grant under this
chapter for the same facility.
(c) An entity receiving a grant under this chapter must make
the refueling facility accessible to persons other than the entity
at designated times during the day.
Sec. 392.008. EXPIRATION. This chapter expires August 31,
2017.
SECTION 3. The Texas Commission on Environmental Quality
shall adopt rules under Sections 391.004 and 392.004, Health and
Safety Code, as added by this Act, as soon as practicable after the
effective date of this Act.
SECTION 4. This Act takes effect September 1, 2009.