H.B. No. 3306
AN ACT
relating to the removal and disposal of certain vessels and
structures in or on coastal waters.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 40.003, Natural Resources Code, is
amended by adding Subdivisions (16-a) and (16-b) to read as
follows:
(16-a) "No intrinsic value" means that the cost of
removal and disposal of a vessel or structure that has been
abandoned or left in or on coastal waters exceeds the salvage value
of the vessel or structure.
(16-b) "Numbered vessel" means a vessel:
(A) for which a certificate of number has been
awarded by this state as required by Chapter 31, Parks and Wildlife
Code; or
(B) covered by a number in full force and effect
awarded under federal law or a federally approved numbering system
of another state.
SECTION 2. Section 40.108, Natural Resources Code, is
amended by amending Subsections (b) and (d) and adding Subsections
(d-1), (d-2), and (d-3) to read as follows:
(b) The commissioner may remove and dispose of or contract
for the removal and disposal of any vessel or structure described in
Subsection (a) and may recover the costs of removal, storage, and
disposal from the owner or operator of the vessel or
structure. Except as provided by Subsection (d-1), the [The]
recovered costs shall be deposited to the credit of the coastal
protection fund established by Section 40.151.
(d) The commissioner may dispose of the vessel or structure
in any reasonable and environmentally sound manner. The
commissioner shall give preference to disposal options that
generate a monetary benefit from the vessel or structure. If no
value may be generated from the vessel or structure, the
commissioner shall select the least costly method. Except as
provided by Subsection (d-1), proceeds [Proceeds] from the sale of
the vessel or structure shall be used for removal, storage, and
disposal costs, and any proceeds in excess of the cost of removal,
storage, and disposal shall be deposited to the credit of the
coastal protection fund.
(d-1) If the commissioner has actual notice that a person
holds a security interest in a vessel or structure subject to
removal or disposal under this section, notice must be given to the
person in the manner provided by Section 40.254. If the vessel or
structure is not removed within a reasonable time as specified in
the preliminary report under Section 40.254, the commissioner may
remove and dispose of, or contract for the removal and disposal of,
any vessel or structure described by Subsection (a). The interest
of the state in recovering removal, storage, and disposal costs
shall have priority over the interest of the holder of a security
interest in a vessel or structure described by Subsection (a).
Proceeds from the sale of the vessel or structure in excess of the
cost of removal, storage, and disposal shall be paid to the holder
of the security interest in the vessel or structure in an amount not
to exceed the amount necessary to satisfy the secured debt.
(d-2) For purposes of this section, the term "structure"
includes a vehicle as defined by Section 502.001, Transportation
Code, if the vehicle is:
(1) located in coastal waters; and
(2) in a wrecked, derelict, or substantially
dismantled condition.
(d-3) The commissioner shall make information on abandoned
vessels and structures accessible on the General Land Office's
Internet website and in any other medium, as determined by the
commissioner, to the public and to a person receiving notice as
required by Section 40.254.
SECTION 3. Section 40.254, Natural Resources Code, is
amended by amending Subsections (b-1), (c-1), (d), (e), (f), and
(g) and adding Subsection (c-2) to read as follows:
(b-1) The preliminary report must:
(1) state the facts that support the commissioner's
conclusion;
(2) in the case of a derelict vessel or structure,
determine whether the vessel or structure is considered:
(A) a numbered vessel; or
(B) a vessel or structure that has no intrinsic
value;
(3) recommend:
(A) that a penalty be imposed;
(B) that a certificate be suspended;
(C) that a derelict vessel or structure be
removed or disposed of; or
(D) any combination of remedies under Paragraphs
(A)-(C); and
(4) [(3)] if a penalty under Subdivision (3)(A)
[(2)(A)] is recommended, recommend the amount of the penalty.
(c-1) The notice required by Subsection (c) must be given:
(1) by service in person or by registered or certified
mail, return receipt requested; or
(2) if personal service cannot be obtained or the
address of the person is unknown, by posting a copy of the notice on
the facility, vessel, or structure and by publishing notice on the
Internet website of the General Land Office and in the Texas
Register [a newspaper with general circulation in the county in
which the facility, vessel, or structure is located] at least two
times within 10 consecutive days.
(c-2) The notice required by Subsection (c) must be given by
posting a copy of the notice on a derelict vessel or structure if
the derelict vessel or structure has been determined to have no
intrinsic value under Subsection (b-1).
(d) Not later than the 20th day after the date on which the
notice is served, the person charged with the violation or a person
claiming ownership of a vessel or structure for which notice is
posted under Subsection (c-2) may consent in writing to the report,
including the commissioner's recommendations, or make a written
request for a hearing.
(e)(1) If the person charged with the violation or a person
claiming ownership of a vessel for which notice is posted under
Subsection (c-2) consents to the commissioner's recommendations or
does not timely respond to the notice, the commissioner by order
shall take the recommended action or order a hearing to be held on
the findings and recommendations in the report.
(2) If the commissioner takes the recommended action,
the commissioner shall serve written notice of the decision to the
person in the same manner as provided for notice of the preliminary
report. The person must comply with the order, including a removal
order, and pay any penalty assessed.
(f)(1) If the person charged with the violation or a person
claiming ownership of a vessel for which notice is posted under
Subsection (c-2) requests a hearing, the commissioner shall order a
hearing and shall give written notice of that hearing.
(2) The hearing shall be held by a hearing examiner
designated by the commissioner.
(3) The hearing examiner shall make findings of fact
and promptly issue to the commissioner a written decision as to the
occurrence of the violation and a recommendation on suspension of
the discharge prevention and response certificate, the amount of
any proposed penalty, the removal or disposal of the derelict
vessel or structure, or any combination of those remedies.
(4) Based on the findings of fact and the
recommendations of the hearing examiner, the commissioner by order
may:
(A) find that a violation has occurred and assess
a penalty;
(B) suspend a discharge prevention and response
certificate;
(C) order the removal or disposal of a derelict
vessel or structure;
(D) order any combination of those remedies; or
(E) find that no violation occurred.
(5) The commissioner shall serve notice to the person
of the commissioner's decision. If the commissioner finds that a
violation has occurred and assesses a penalty, suspends a discharge
prevention and response certificate, or orders the removal or
disposal of a derelict vessel or structure, the commissioner shall
give to the person written notice of:
(A) the commissioner's findings;
(B) the amount of the penalty or the terms of the
suspension or removal or disposal; and
(C) the person's right to judicial review of the
commissioner's order.
(g)(1) Not later than the 30th day after the date on which
the commissioner's order is final, the person charged with the
violation or a person claiming ownership of a vessel for which
notice is posted under Subsection (c-2) shall comply with the order
or file a petition for judicial review.
(2) On failure of the person to comply with the order
or file a petition for judicial review, the commissioner may refer
the matter to the attorney general for collection and enforcement.
(3) Judicial review of the order or decision of the
commissioner shall be under Subchapter G, Chapter 2001, Government
Code.
SECTION 4. This Act takes effect September 1, 2009.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 3306 was passed by the House on April
30, 2009, by the following vote: Yeas 144, Nays 0, 1 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 3306 was passed by the Senate on May
19, 2009, by the following vote: Yeas 30, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor