| 1 | 1 | | By: Zaffirini S.B. No. 1975 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | A BILL TO BE ENTITLED |
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| 5 | 5 | | AN ACT |
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| 6 | 6 | | relating to a study of the economic cost of significant oil and gas |
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| 7 | 7 | | activity in rural areas of the state. |
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| 8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 9 | | SECTION 1. Chapter 403, Government Code, is amended by |
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| 10 | 10 | | adding Subchapter R to read as follows: |
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| 11 | 11 | | SUBCHAPTER R. STUDY OF ECONOMIC COST OF SIGNIFICANT OIL |
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| 12 | 12 | | AND GAS ACTIVITY IN RURAL AREAS. |
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| 13 | 13 | | Sec. 403.601. DEFINITIONS. In this subchapter: |
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| 14 | 14 | | (1) "Rural county" means a county with a population of |
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| 15 | 15 | | less than 50,000. |
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| 16 | 16 | | (2) "Significant oil and gas activity" means oil and |
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| 17 | 17 | | gas operations, including development, production, and waste |
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| 18 | 18 | | disposal, associated with a recognized oil and gas play that in |
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| 19 | 19 | | total is producing more than 500,000 barrels of oil per day or two |
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| 20 | 20 | | billion cubic feet of natural gas per day. |
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| 21 | 21 | | (3) "Rural area" means an area located in a rural |
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| 22 | 22 | | county, or contiguous with a rural county, where significant oil |
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| 23 | 23 | | and gas activity is occurring. |
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| 24 | 24 | | Sec. 403.602. STUDY OF ECONOMIC COST OF SIGNIFICANT OIL AND |
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| 25 | 25 | | GAS ACTIVITY IN RURAL AREAS. (a) The comptroller, in conjunction |
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| 26 | 26 | | with the Texas Railroad Commission, the Texas Department of |
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| 27 | 27 | | Transportation, the Texas Workforce Commission, the Texas |
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| 28 | 28 | | Education Agency, the Texas Higher Education Coordinating Board, |
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| 29 | 29 | | and the Texas Health and Human Services Commission, shall conduct a |
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| 30 | 30 | | study on the economic cost of significant oil and gas activity in |
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| 31 | 31 | | rural areas of the state. |
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| 32 | 32 | | (b) In conducting the study, the comptroller shall: |
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| 33 | 33 | | (1) analyze the amount of local government and state |
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| 34 | 34 | | revenues generated by the activity; |
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| 35 | 35 | | (2) analyze the need for increased services or |
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| 36 | 36 | | infrastructure development related to the activity, including: |
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| 37 | 37 | | (i) state and county roads; |
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| 38 | 38 | | (ii) healthcare facilities and workforce; |
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| 39 | 39 | | (iii) housing; |
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| 40 | 40 | | (iv) police, fire, and emergency medical |
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| 41 | 41 | | services; and |
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| 42 | 42 | | (v) public and higher education. |
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| 43 | 43 | | (3) assess whether revenues generated by the activity |
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| 44 | 44 | | at the local level are adequate to address the needs analyzed in |
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| 45 | 45 | | subsection (b)(2); |
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| 46 | 46 | | (c) The comptroller shall submit a report on the study to |
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| 47 | 47 | | the legislature not later than December 1, 2016. The report must |
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| 48 | 48 | | include a summary of the information resulting from the study and |
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| 49 | 49 | | recommendations for changes in law or appropriations necessary to |
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| 50 | 50 | | address shortfalls in needed public services and infrastructure |
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| 51 | 51 | | development. |
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| 52 | 52 | | Sec. 403.603. EXPIRATION. This subchapter expires |
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| 53 | 53 | | September 1, 2017. |
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| 54 | 54 | | SECTION 2. This Act takes effect immediately if it receives |
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| 55 | 55 | | a vote of two-thirds of all the members elected to each house, as |
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| 56 | 56 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 57 | 57 | | Act does not receive the vote necessary for immediate effect, this |
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| 58 | 58 | | Act takes effect September 1, 2015. |
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