By: Darby, et al. (Senate Sponsor - Nichols) H.B. No. 2174
(In the Senate - Received from the House May 3, 2017;
May 4, 2017, read first time and referred to Committee on
Transportation; May 19, 2017, reported adversely, with favorable
Committee Substitute by the following vote: Yeas 9, Nays 0;
May 19, 2017, sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR H.B. No. 2174 By: Nichols
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of motor fuel quality and motor fuel
metering devices; authorizing fees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 13.001(a), Agriculture Code, is amended
by adding Subdivision (1-a) to read as follows:
(1-a) "Motor fuel metering device" means a commercial
weighing or measuring device used for motor fuel sales with a
maximum flow rate of 20 gallons per minute or less.
SECTION 2. Section 13.029, Agriculture Code, is amended to
read as follows:
Sec. 13.029. EXEMPTION OF WEIGHING OR MEASURING DEVICES.
(a) The department by rule may exempt a weighing or measuring device
from a requirement established by this chapter if the department
determines that imposing or enforcing the requirement:
(1) is not cost-effective for the department;
(2) is not feasible with current resources or
standards; or
(3) will not substantially benefit or protect
consumers.
(b) A motor fuel metering device is exempt from the
requirements of this chapter if the motor fuel metering device is
not used to:
(1) calculate the amount of fuel sold in a commercial
transaction; or
(2) compute the charge for service.
SECTION 3. Section 13.101, Agriculture Code, is amended by
adding Subsection (e) to read as follows:
(e) This section does not apply to a motor fuel metering
device.
SECTION 4. Section 13.1011, Agriculture Code, is amended by
adding Subsection (e) to read as follows:
(e) This section does not apply to a motor fuel metering
device.
SECTION 5. Subchapter C, Chapter 13, Agriculture Code, is
amended by adding Sections 13.1015, 13.1016, and 13.1017 to read as
follows:
Sec. 13.1015. INSPECTION OF MOTOR FUEL METERING DEVICES.
(a) Unless a motor fuel metering device is exempt from the
application of this section by department rule, a motor fuel
metering device shall be inspected, tested, and calibrated for
correctness by a license holder under Subchapter I at least once
every two years if the device is:
(1) kept for sale, sold, or used by a proprietor,
agent, lessee, or employee in proving the measure of motor fuel; or
(2) purchased, offered, or submitted by a proprietor,
agent, lessee, or employee for sale, hire, or award.
(b) Inspection, testing, and calibration under this section
must be performed by a license holder under Subchapter I under
contract with the operator or user of the motor fuel metering
device.
Sec. 13.1016. REQUIRED REGISTRATION OF MOTOR FUEL METERING
DEVICES. (a) Unless a motor fuel metering device is exempt from
the application of this section by department rule, a person who
owns or operates a motor fuel metering device shall register the
device with the department before using the device for a commercial
transaction.
(b) An application for a device registration must:
(1) be submitted to the department on a form
prescribed by the department;
(2) be accompanied by any other document or form
required by the department;
(3) include the registration fee required under
Section 13.1151; and
(4) include documentation of compliance with Section
13.1015.
(c) A registration under this section is valid for one year
unless a different period is established by department rule. The
registration must be renewed at or before the end of each
registration period and the application for renewal must include
documentation of compliance with Section 13.1015.
(d) If a person fails to register or renew a registration as
required by this section, the department may not issue a
certificate to operate the motor fuel metering device. The
department shall issue the certificate when the operator submits to
the department the items required by Subsection (b).
(e) The department may assess a late fee if the registration
of one or more devices located on a premises is renewed after the
end of the registration period because of a registration error,
including one or more devices not properly registered, failure to
register the correct type of device, or failure to timely register a
previously registered device. The amount of the penalty may not
exceed $50 per device, with a maximum penalty amount of $500 per
year for the premises.
Sec. 13.1017. COMPLAINTS REGARDING MOTOR FUEL METERING
DEVICES. (a) The department shall receive complaints regarding
motor fuel metering devices.
(b) After receiving a complaint regarding a motor fuel
metering device, the department shall determine the date the device
was last inspected under Section 13.1015 and the number of
complaints received by the department in the previous 12 months
regarding motor fuel metering devices at the premises where the
device subject to the complaint is located.
(c) The department shall notify the person who last
registered the motor fuel metering device and take no further
action on the complaint if:
(1) the motor fuel metering device was last inspected
not more than 18 months before the date the complaint is received;
and
(2) the department received not more than two
complaints in the previous 12 months regarding motor fuel metering
devices at the premises where the device is located.
(d) The department shall notify the person who last
registered the motor fuel metering device and require the device to
be inspected by a license holder under Section 13.1015 not later
than one month after the notification date if:
(1) the motor fuel metering device was last inspected
more than 18 months before the date the complaint is received; or
(2) the department received at least three complaints
in the previous 12 months regarding motor fuel metering devices at
the premises where the device is located.
SECTION 6. Section 13.114, Agriculture Code, is amended to
read as follows:
Sec. 13.114. TOLERANCES. The department shall establish
specifications and tolerances for commercial weighing or measuring
devices used in this state. The specifications and tolerances
shall be similar to those recommended by the National Institute of
Standards and Technology, except that the specifications and
tolerances for motor fuel metering devices shall be the same as
those recommended by the National Institute of Standards and
Technology.
SECTION 7. Section 13.1151, Agriculture Code, is amended to
read as follows:
Sec. 13.1151. FEES FOR REGISTRATION AND INSPECTION. (a)
The department may charge the owner or operator of a weighing or
measuring device a fee, as provided by department rule, to recover
the costs of registration and inspection of a weighing or measuring
device required to be registered or inspected under this chapter.
(b) Notwithstanding any other law, the department may not in
a state fiscal biennium increase a fee under Subsection (a) for a
motor fuel metering device by an amount that exceeds 10 percent of
the amount of the fee at the end of the preceding state fiscal
biennium.
SECTION 8. Section 17.072, Agriculture Code, is amended by
amending Subsections (a) and (b) and adding Subsection (a-1) to
read as follows:
(a) The department or a representative of the department may
collect samples and conduct testing at any location where motor
fuel is kept, transferred, sold, or offered for sale, to verify that
the motor fuel complies with the minimum standards required by
Section 17.071.
(a-1) The collection of samples and conducting of testing at
a dealer's location must be performed by a license holder under
Subchapter I, Chapter 13, under contract with the dealer. The
license holder is considered a representative of the department for
purposes of this section.
(b) On arriving at a facility to conduct testing under
Subsection (a), a representative of the department shall notify the
owner or manager of the facility of the representative's presence
and purpose. The department representative shall follow the most
recent applicable procedures specified by ASTM International
Standard D4057, D4177, D5842, or D5854 for the collection,
sampling, and handling of fuel to prepare for laboratory analysis.
SECTION 9. Section 17.073(a), Agriculture Code, is amended
to read as follows:
(a) If the department has laboratory results to confirm
[reason to believe] that motor fuel is in violation of this chapter
or a rule adopted under this chapter, or that the motor fuel is
being sold or offered for sale in a manner that violates this
chapter or a rule adopted under this chapter, the department may:
(1) issue and enforce a written order to stop the sale
of the motor fuel;
(2) place on a device used to dispense the motor fuel a
tag or other mark with the words "Out of Order"; or
(3) stop the sale of the motor fuel and mark a device
used to dispense the motor fuel as out of order.
SECTION 10. This Act takes effect September 1, 2017.
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