Texas House Bill HB3547

Texas 2013 - 83rd Regular

Caption

Relating to standards and procedures for determining whether a person who owns, operates, or manages a pipeline is a common carrier; authorizing a fee.

Impact

The impact of HB 3547 extends to the regulation of pipelines and the authorities granted to the owners, operators, and managers of such entities. By establishing clearer criteria for classifying common carriers, the bill seeks to standardize the procedures involved, particularly concerning the exercise of eminent domain to construct pipelines. This could streamline the approvals for new pipelines while ensuring that the operations fall within clear regulatory frameworks, thus potentially reducing disputes over pipeline operations and their implications for property owners.

Summary

House Bill 3547 establishes new standards and procedures for determining if a person who owns, operates, or manages a pipeline qualifies as a common carrier in Texas. The legislation aims to clarify the definitions surrounding common carrier status, particularly for pipelines transporting petroleum, coal, carbon dioxide, and hydrogen. It mandates that a common carrier must have at least 33 percent of its pipeline capacity utilized for transporting substances for persons other than corporate affiliates of the carrier. This distinction is significant in the context of regulating pipeline operations and ensuring accountability in transportation practices.

Contention

Notable points of contention regarding HB 3547 may center on the power of eminent domain and its implications for landowners. Critics may argue that determining common carrier status under the new criteria could favor large corporations while sidelining smaller operators or local interests. Additionally, the introduction of regulatory fees for common carrier determinations raises concerns about financial barriers that smaller operators could face when attempting to enter the market or establish pipeline operations. As the bill moves forward, discussions around its implications for local communities and property rights are expected.