83R9105 JXC-F
By: King of Taylor H.B. No. 3168
A BILL TO BE ENTITLED
AN ACT
relating to wind energy facilities and the rights of owners of land
on which wind energy facilities are located.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 402, Government Code, is
amended by adding Section 402.0311 to read as follows:
Sec. 402.0311. PREPARATION OF WIND ENERGY GENERATION
LANDOWNER BILL OF RIGHTS STATEMENT. (a) The attorney general shall
prepare a written statement that includes a bill of rights for a
landowner whose land is used for the generation of wind energy by a
wind energy facility to which Chapter 212, Natural Resources Code,
applies.
(b) The wind energy generation landowner bill of rights must
list the rights of the landowner and the obligations of the owner of
the wind energy facility to the landowner under Chapter 212,
Natural Resources Code.
(c) The statement must include the title "Wind Energy
Generation Landowner Bill of Rights."
(d) The office of the attorney general shall:
(1) write the statement in plain language designed to
be easily understood by the average property owner; and
(2) make the statement available on the attorney
general's Internet website.
SECTION 2. Title 11, Natural Resources Code, is amended by
adding Chapter 212 to read as follows:
CHAPTER 212. WIND ENERGY FACILITIES
Sec. 212.001. DEFINITIONS. In this chapter:
(1) "Commencement of construction":
(A) means beginning excavation of wind turbine
foundations or other actions relating to the actual erection and
installation of a wind tower or turbine; and
(B) does not include erecting meteorological
towers, conducting environmental assessments, conducting surveys,
or conducting preliminary engineering or other activities
associated with assessment of development of wind resources.
(2) "Wind energy conversion system" means a system
that converts wind energy into electric energy through the use of a
wind turbine generator and includes a turbine, blade, tower, base,
and pad transformer, if any.
(3) "Wind energy facility" means an electric
generating facility that consists of one or more wind energy
conversion systems under common ownership or operating control and
the substations, meteorological data towers, aboveground and
underground electric transmission lines, transformers, control
systems, and other buildings or facilities used to support the
operation of the facility.
Sec. 212.002. APPLICABILITY. This chapter applies only to
a wind energy conversion system or wind energy facility:
(1) the primary purpose of which is to supply electric
energy to an off-site customer; and
(2) that is not located entirely on property held in
fee simple by the owner of the wind energy facility.
Sec. 212.003. INSURANCE. (a) An owner or operator of a wind
energy conversion system or wind energy facility consisting of one
or more wind towers and turbines any of which has a total nameplate
generating capacity of 500 kilowatts or more shall obtain before
the commencement of construction of the system or facility and
shall keep in effect:
(1) a commercial general liability insurance policy
with a limit consistent with prevailing industry standards; or
(2) a combination of self-insurance and an excess
liability insurance policy.
(b) The owner or operator shall cause the owner of the land
where the wind energy conversion system or wind energy facility is
located to be named as an additional insured in the policy.
(c) The owner or operator shall deliver to the landowner a
certificate of insurance evidencing the policy.
(d) Not later than the 30th day before the date the owner or
operator modifies, cancels, or terminates the insurance policy, the
owner or operator shall give notice to the landowner of the
modification, cancellation, or termination.
Sec. 212.004. RIGHTS OF LANDOWNER. (a) An owner or operator
of a wind energy conversion system or wind energy facility who pays
a landowner for the use of the landowner's property to generate
electric energy from the conversion of wind energy based on the
amount of electric energy produced from the conversion of wind
energy shall:
(1) provide to the landowner not later than 10
business days after each date the owner or operator pays the
landowner a statement that includes the information reasonably
necessary to provide the landowner an understanding of the basis
for the payment to the landowner and a means of confirming the
accuracy of the payment; and
(2) allow the landowner to inspect the records of the
owner or operator relating to the wind energy conversion system or
wind energy facility for the purpose of confirming the accuracy of a
payment made to the landowner in the 24 months preceding the date of
the inspection.
(b) Not more frequently than once each year, a landowner
described by Subsection (a) may request that the owner or operator
of a wind energy conversion system or wind energy facility on the
landowner's property make available in this state all records
necessary for the landowner to conduct the inspection described by
Subsection (a)(2), including documents, data, and other
information, or copies of the records, documents, data, or
information. The records are subject to any confidentiality
requirements in a lease agreement between the landowner and the
owner or operator of the system or facility.
(c) The owner or operator shall comply with the landowner's
request to make the records available within a reasonable time.
(d) The owner or operator shall:
(1) make the records available in a location and
manner that affords the landowner reasonable access to the records
during normal business hours; and
(2) allow the landowner a reasonable period of time to
complete the inspection.
(e) A landowner may not cause undue disruption to the
operations of an owner or operator during an inspection described
by Subsection (a)(2).
(f) Before entering into a lease agreement with a landowner,
an owner of a wind energy conversion system or wind energy facility
must send to the landowner, by first class mail or otherwise, a wind
energy generation landowner bill of rights statement prepared under
Section 402.0311, Government Code. The statement must be printed in
an easily readable font and type size.
SECTION 3. The attorney general shall prepare the wind
energy generation landowner bill of rights statement required by
Section 402.0311, Government Code, as added by this Act, not later
than September 1, 2014.
SECTION 4. (a) The changes in law made by this Act apply to
an owner or operator of a wind energy conversion system or a wind
energy facility, as those terms are defined by Section 212.001,
Natural Resources Code, as added by this Act, the construction or
installation of which began before or begins on or after the
effective date of this Act.
(b) An owner or operator of a wind energy conversion system
or a wind energy facility as those terms are defined by Section
212.001, Natural Resources Code, as added by this Act, the
construction or installation of which began before the effective
date of this Act is not required to comply with the provisions of
Chapter 212, Natural Resources Code, as added by this Act, until
September 1, 2018.
(c) An owner or operator of a wind energy conversion system
or a wind energy facility, as those terms are defined by Section
212.001, Natural Resources Code, as added by this Act, the
construction or installation of which begins on or after the
effective date of this Act is not required to comply with Section
212.004(f), Natural Resources Code, as added by this Act, until
October 1, 2014.
SECTION 5. This Act takes effect September 1, 2013.