Texas 2017 - 85th Regular

Texas Senate Bill SB1731 Compare Versions

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1-S.B. No. 1731
1+By: Birdwell, et al. S.B. No. 1731
2+ (Meyer)
23
34
5+ A BILL TO BE ENTITLED
46 AN ACT
57 relating to the repeal of laws governing certain state entities,
6- including the functions of those entities, and to certain duties,
7- responsibilities, and functions of the Texas Commission on
8- Environmental Quality on the abolishment of certain of those
9- entities.
8+ including the functions of those entities.
109 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1110 SECTION 1. AGRICULTURE AND WILDLIFE RESEARCH AND MANAGEMENT
1211 ADVISORY COMMITTEE. (a) The Agriculture and Wildlife Research and
1312 Management Advisory Committee is abolished.
1413 (b) Section 50.001, Agriculture Code, is amended to read as
1514 follows:
1615 Sec. 50.001. PROGRAM. The Texas Agricultural Experiment
1716 Station[, in consultation with the Agriculture and Wildlife
1817 Research and Management Advisory Committee established under
1918 Section 88.216, Education Code,] shall develop and administer a
2019 program to finance agriculture and wildlife research that the Texas
2120 Agricultural Experiment Station determines to be of the highest
2221 scientific merit and to offer significant promise in providing new
2322 directions for long-term solutions to continued agriculture
2423 production, water availability, and wildlife habitat availability.
2524 (c) Section 88.216, Education Code, is repealed.
2625 SECTION 2. STATE OF TEXAS ANNIVERSARY REMEMBRANCE DAY MEDAL
2726 COMMITTEE. (a) The State of Texas Anniversary Remembrance Day
2827 Medal Committee is abolished.
2928 (b) Chapter 3103, Government Code, is repealed.
3029 SECTION 3. TEXAS BIOENERGY POLICY COUNCIL AND TEXAS
3130 BIOENERGY RESEARCH COMMITTEE. (a) The Texas Bioenergy Policy
3231 Council and the Texas Bioenergy Research Committee are abolished.
3332 (b) Chapter 50D, Agriculture Code, is repealed.
3433 (c) To the extent of any conflict, this section prevails
3534 over another Act of the 85th Legislature, Regular Session, 2017,
3635 relating to nonsubstantive additions to and corrections in enacted
3736 codes.
3837 SECTION 4. BORDER SECURITY COUNCIL. (a) The Border
3938 Security Council is abolished.
4039 (b) Section 421.0025, Government Code, is repealed.
4140 SECTION 5. COLLEGE OPPORTUNITY ACT COMMITTEE. (a) The
4241 College Opportunity Act committee is abolished.
4342 (b) Chapter 1233, Government Code, is repealed.
4443 SECTION 6. TEXAS DISTINGUISHED SERVICE AWARDS COMMITTEE.
4544 (a) The Texas Distinguished Service Awards Committee is
4645 abolished.
4746 (b) Chapter 3102, Government Code, is repealed.
4847 SECTION 7. ADVISORY BOARD OF ECONOMIC DEVELOPMENT
4948 STAKEHOLDERS. (a) The advisory board of economic development
5049 stakeholders is abolished.
5150 (b) Section 481.169, Government Code, is repealed.
5251 SECTION 8. TEXAS EMISSIONS REDUCTION PLAN ADVISORY BOARD.
53- (a) The Texas Emissions Reduction Plan Advisory Board is abolished
54- on the date that the programs described by Section 386.252(a),
55- Health and Safety Code, and the funding for those programs are
56- continued in effect.
57- (a-1) In effectuating the abolition of the Texas Emissions
58- Reduction Plan Advisory Board, the Texas Commission on
59- Environmental Quality shall complete any unfinished work of the
60- abolished advisory board, including conducting the annual review of
61- programs required under Section 386.057(a), Health and Safety Code.
62- In conducting that annual review, the commission shall consider the
63- feasibility and benefits of implementing a governmental
64- alternative fuel fleet grant program. If the commission determines
65- that implementing a governmental alternative fuel fleet grant
66- program is feasible and would contribute to emissions reductions,
67- the commission may adopt rules governing the program and the
68- eligibility of entities to receive grants from the fund created
69- under Section 386.251, Health and Safety Code.
70- (a-2) Notwithstanding any other provision of law, except as
71- provided by Subsection (b) of this section, the programs described
72- by Section 386.252(a), Health and Safety Code, and the funding for
73- those programs are continued until the last day of the state fiscal
74- biennium during which the United States Environmental Protection
75- Agency publishes in the Federal Register certification that, with
76- respect to each national ambient air quality standard for ozone
77- under 40 C.F.R. Section 81.344, the agency has, for each designated
78- area under that section, designated the area as attainment or
79- unclassifiable or approved a redesignation substitute making a
80- finding of attainment for the area.
81- (b) To the extent of a conflict between Subsection (a-2) of
82- this section and any change in law made by another provision of this
83- section, the change in law made by the other provision of this
84- section controls.
85- (b-1) Effective on the date that the Texas Emissions
86- Reduction Plan Advisory Board is abolished under Subsection (a) of
87- this section, Subchapter B, Chapter 382, Health and Safety Code, is
88- amended by adding Section 382.037 to read as follows:
89- Sec. 382.037. NOTICE IN TEXAS REGISTER REGARDING NATIONAL
90- AMBIENT AIR QUALITY STANDARDS FOR OZONE. (a) This section applies
91- only if:
92- (1) with respect to each active or revoked national
93- ambient air quality standard for ozone referenced in 40 C.F.R.
94- Section 81.344, the United States Environmental Protection Agency
95- has, for each designated area referenced in that section:
96- (A) designated the area as attainment or
97- unclassifiable/attainment; or
98- (B) approved a redesignation substitute making a
99- finding of attainment for the area; and
100- (2) for each designated area described by Subdivision
101- (1), with respect to an action of the United States Environmental
102- Protection Agency described by Subdivision (1)(A) or (B):
103- (A) the action has been fully and finally upheld
104- following judicial review or the limitations period to seek
105- judicial review of the action has expired; and
106- (B) the rules under which the action was approved
107- by the agency have been fully and finally upheld following judicial
108- review or the limitations period to seek judicial review of those
109- rules has expired.
110- (b) Not later than the 30th day after the date the
111- conditions described by Subsection (a) have been met, the
112- commission shall publish notice in the Texas Register that, with
113- respect to each active or revoked national ambient air quality
114- standard for ozone referenced in 40 C.F.R. Section 81.344, the
115- United States Environmental Protection Agency has, for each
116- designated area referenced in that section:
117- (1) designated the area as attainment or
118- unclassifiable/attainment; or
119- (2) approved a redesignation substitute making a
120- finding of attainment for the area.
121- (b-2) Effective on the date that the Texas Emissions
122- Reduction Plan Advisory Board is abolished under Subsection (a) of
123- this section, Section 386.001(3), Health and Safety Code, is
124- amended to read as follows:
125- (3) "Commission" means the Texas [Natural Resource
126- Conservation] Commission on Environmental Quality.
127- (c) Effective on the date that the Texas Emissions Reduction
128- Plan Advisory Board is abolished under Subsection (a) of this
129- section, Section 386.002, Health and Safety Code, is amended to
130- read as follows:
131- Sec. 386.002. EXPIRATION. This chapter expires on the last
132- day of the state fiscal biennium during which the commission
133- publishes in the Texas Register the notice required by Section
134- 382.037 [August 31, 2019].
135- (c-1) Effective on the date that the Texas Emissions
136- Reduction Plan Advisory Board is abolished under Subsection (a) of
137- this section, Section 386.051(b), Health and Safety Code, is
138- amended to read as follows:
139- (b) Under the plan, the commission and the comptroller shall
140- provide grants or other funding for:
141- (1) the diesel emissions reduction incentive program
142- established under Subchapter C, including for infrastructure
143- projects established under that subchapter;
144- (2) the motor vehicle purchase or lease incentive
145- program established under Subchapter D;
146- (3) the air quality research support program
147- established under Chapter 387;
148- (4) the clean school bus program established under
149- Chapter 390;
150- (5) the new technology implementation grant program
151- established under Chapter 391;
152- (6) the regional air monitoring program established
153- under Section 386.252(a);
154- (7) a health effects study as provided by Section
155- 386.252(a);
156- (8) air quality planning activities as provided by
157- Section 386.252(d) [386.252(a)];
158- (9) a contract with the Energy Systems Laboratory at
159- the Texas A&M Engineering Experiment Station for computation of
160- creditable statewide emissions reductions as provided by Section
161- 386.252(a) [386.252(a)(14)];
162- (10) the clean fleet program established under Chapter
163- 392;
164- (11) the alternative fueling facilities program
165- established under Chapter 393;
166- (12) the natural gas vehicle grant program [and clean
167- transportation triangle program] established under Chapter 394;
168- (13) other programs the commission may develop that
169- lead to reduced emissions of nitrogen oxides, particulate matter,
170- or volatile organic compounds in a nonattainment area or affected
171- county;
172- (14) other programs the commission may develop that
173- support congestion mitigation to reduce mobile source ozone
174- precursor emissions; [and]
175- (15) the seaport and rail yard areas emissions
176- reduction [drayage truck incentive] program established under
177- Subchapter D-1;
178- (16) conducting research and other activities
179- associated with making any necessary demonstrations to the United
180- States Environmental Protection Agency to account for the impact of
181- foreign emissions or an exceptional event;
182- (17) studies of or pilot programs for incentives for
183- port authorities located in nonattainment areas or affected
184- counties as provided by Section 386.252(a); and
185- (18) the governmental alternative fuel fleet grant
186- program established under Chapter 395.
187- (c-2) Effective on the date that the Texas Emissions
188- Reduction Plan Advisory Board is abolished under Subsection (a) of
189- this section, Sections 386.0515(a) and (c), Health and Safety Code,
190- are amended to read as follows:
191- (a) In this section:
192- (1) "Agricultural[, "agricultural] product
193- transportation" means the transportation of a raw agricultural
194- product from the place of production using a heavy-duty truck to:
195- (A) [(1)] a nonattainment area;
196- (B) [(2)] an affected county;
197- (C) [(3)] a destination inside the clean
198- transportation zone [triangle]; or
199- (D) [(4)] a county adjacent to a county described
200- by Paragraph (B) [Subdivision (2)] or that contains an area
201- described by Paragraph (A) or (C) [Subdivision (1) or (3)].
202- (2) "Clean transportation zone" has the meaning
203- assigned by Section 393.001.
204- (c) The determining factor for eligibility for
205- participation in a program established under Chapter 392 or
206- [Chapter] 394[, as added by Chapter 892 (Senate Bill No. 385), Acts
207- of the 82nd Legislature, Regular Session, 2011,] for a project
208- relating to agricultural product transportation is the overall
209- accumulative net reduction in emissions of oxides of nitrogen in a
210- nonattainment area, an affected county, or the clean transportation
211- zone [triangle].
212- (d) Effective on the date that the Texas Emissions Reduction
213- Plan Advisory Board is abolished under Subsection (a) of this
214- section, Sections 386.057(a) and (b), Health and Safety Code, are
52+ (a) The Texas Emissions Reduction Plan Advisory Board is
53+ abolished.
54+ (b) Sections 386.057(a) and (b), Health and Safety Code, are
21555 amended to read as follows:
21656 (a) The commission[, in consultation with the advisory
21757 board,] annually shall review programs established under the plan,
21858 including each project funded under the plan, the amount granted
21959 for the project, the emissions reductions attributable to the
22060 project, and the cost-effectiveness of the project.
22161 (b) Not later than December 1, 2002, and not later than
22262 December 1 of each subsequent second year, the commission[, in
22363 consultation with the advisory board,] shall publish and submit to
22464 the legislature a biennial plan report. The report must include:
22565 (1) the information included in the annual reviews
22666 conducted under Subsection (a);
22767 (2) specific information for individual projects as
22868 required by Subsection (c);
22969 (3) information contained in reports received under
23070 Sections 386.205, 388.003(e), 388.006, and 391.104; and
23171 (4) a summary of the commission's activities under
23272 Section 386.052.
233- (d-1) Effective on the date that the Texas Emissions
234- Reduction Plan Advisory Board is abolished under Subsection (a) of
235- this section, Section 386.103, Health and Safety Code, is amended
236- by adding Subsection (c) to read as follows:
237- (c) To reduce the administrative burden for the commission
238- and applicants, the commission may streamline the application
239- process by:
240- (1) reducing data entry and the copying and recopying
241- of applications; and
242- (2) developing, maintaining, and periodically
243- updating a system to accept applications electronically through the
244- commission's Internet website.
245- (d-2) Effective on the date that the Texas Emissions
246- Reduction Plan Advisory Board is abolished under Subsection (a) of
247- this section, Sections 386.104(f) and (j), Health and Safety Code,
248- are amended to read as follows:
73+ (c) Section 386.104(f), Health and Safety Code, is amended
74+ to read as follows:
24975 (f) A proposed retrofit, repower, replacement, or add-on
25076 equipment project must document, in a manner acceptable to the
25177 commission, a reduction in emissions of oxides of nitrogen of at
25278 least 30 percent compared with the baseline emissions adopted by
25379 the commission for the relevant engine year and application. After
25480 study of available emissions reduction technologies and[,] after
25581 public notice and comment, [and after consultation with the
25682 advisory board,] the commission may revise the minimum percentage
25783 reduction in emissions of oxides of nitrogen required by this
25884 subsection to improve the ability of the program to achieve its
25985 goals.
260- (j) The executive director may [shall] waive any
261- eligibility requirements established under this section on a
262- finding of good cause, which may include a waiver for short lapses
263- in registration or operation attributable to economic conditions,
264- seasonal work, or other circumstances.
265- (e) Effective on the date that the Texas Emissions Reduction
266- Plan Advisory Board is abolished under Subsection (a) of this
267- section, Sections 386.107, 386.114, and 386.115, Health and Safety
268- Code, are amended to read as follows:
86+ (d) Sections 386.107, 386.114, and 386.115, Health and
87+ Safety Code, are amended to read as follows:
26988 Sec. 386.107. ADJUSTMENT TO MAXIMUM COST-EFFECTIVENESS
27089 AMOUNT AND AWARD AMOUNT. After study of available emissions
27190 reduction technologies and costs and after public notice and
27291 comment, the commission[, in consultation with the advisory board,]
27392 may change the values of the maximum grant award criteria
27493 established in Section 386.106 to account for inflation or to
27594 improve the ability of the program to achieve its goals.
27695 Sec. 386.114. MODIFICATION OF INCENTIVE EMISSIONS
27796 STANDARDS. After evaluating new technologies and after public
27897 notice and comment, the commission[, in consultation with the
27998 advisory board,] may change the incentive emissions standards
28099 established by Section 386.113 to improve the ability of the
281100 program to achieve its goals.
282101 Sec. 386.115. MODIFICATION OF VEHICLE ELIGIBILITY. After
283102 evaluating the availability of vehicles meeting the emissions
284103 standards and after public notice and comment, the commission[, in
285104 consultation with the advisory board,] may expand the program to
286105 include other on-road vehicles, regardless of fuel type used, that
287106 meet the emissions standards, have a gross vehicle weight rating of
288107 greater than 8,500 pounds, and are purchased or leased in lieu of a
289108 new on-road diesel.
290- (e-1) Effective on the date that the Texas Emissions
291- Reduction Plan Advisory Board is abolished under Subsection (a) of
292- this section, Sections 386.116(a), (b), and (c), Health and Safety
293- Code, are amended to read as follows:
294- (a) In this section, "small business" means a business owned
295- by a person who:
296- (1) owns and operates not more than five [two]
297- vehicles, one of which is:
298- (A) an on-road diesel [with a pre-1994 engine
299- model]; or
300- (B) a non-road diesel [with an engine with
301- uncontrolled emissions]; and
302- (2) has owned the vehicle described by Subdivision
303- (1)(A) or (B) for more than two years [one year].
304- (b) The commission [by rule] shall develop a method of
305- providing fast and simple access to grants under this subchapter
306- for a small business. The method must:
307- (1) create a separate small business grant program; or
308- (2) require the commission to give special
309- consideration to small businesses when implementing another
310- program established under this subchapter.
311- (c) The commission shall publicize and promote the
312- availability of grants under this subchapter for small businesses
313- [section] to encourage the use of vehicles that produce fewer
314- emissions.
315- (e-2) Effective on the date that the Texas Emissions
316- Reduction Plan Advisory Board is abolished under Subsection (a) of
317- this section, Chapter 386, Health and Safety Code, is amended by
318- adding Subchapter D to read as follows:
319- SUBCHAPTER D. MOTOR VEHICLE PURCHASE OR LEASE INCENTIVE PROGRAM
320- Sec. 386.151. DEFINITIONS. In this subchapter:
321- (1) "Light-duty motor vehicle" means a motor vehicle
322- with a gross vehicle weight rating of less than 10,000 pounds.
323- (2) "Motor vehicle" means a self-propelled device
324- designed for transporting persons or property on a public highway
325- that is required to be registered under Chapter 502, Transportation
326- Code.
327- Sec. 386.152. APPLICABILITY. The provisions of this
328- subchapter relating to a lessee do not apply to a person who rents
329- or leases a light-duty motor vehicle for a term of 30 days or less.
330- Sec. 386.153. COMMISSION DUTIES REGARDING LIGHT-DUTY MOTOR
331- VEHICLE PURCHASE OR LEASE INCENTIVE PROGRAM. (a) The commission
332- shall develop a purchase or lease incentive program for new
333- light-duty motor vehicles and shall adopt rules necessary to
334- implement the program.
335- (b) The program shall authorize statewide incentives for
336- the purchase or lease of new light-duty motor vehicles powered by
337- compressed natural gas, liquefied petroleum gas, or hydrogen fuel
338- cell or other electric drives for a purchaser or lessee who agrees
339- to register and operate the vehicle in this state for a minimum
340- period of time to be established by the commission.
341- (c) Only one incentive will be provided for each new
342- light-duty motor vehicle. The incentive shall be provided to the
343- lessee and not to the purchaser if the motor vehicle is purchased
344- for the purpose of leasing the vehicle to another person.
345- (d) The commission by rule may revise the standards for the
346- maximum unloaded vehicle weight rating and gross vehicle weight
347- rating of an eligible vehicle to ensure that all of the vehicle
348- weight configurations available under one general vehicle model may
349- be eligible for an incentive.
350- Sec. 386.154. LIGHT-DUTY MOTOR VEHICLE PURCHASE OR LEASE
351- INCENTIVE REQUIREMENTS. (a) A new light-duty motor vehicle
352- powered by compressed natural gas or liquefied petroleum gas is
353- eligible for a $5,000 incentive if the vehicle:
354- (1) has four wheels;
355- (2) was originally manufactured to comply with and has
356- been certified by an original equipment manufacturer or
357- intermediate or final state vehicle manufacturer as complying with,
358- or has been altered to comply with, federal motor vehicle safety
359- standards, state emissions regulations, and any additional federal
360- or state regulations applicable to vehicles powered by compressed
361- natural gas or liquefied petroleum gas;
362- (3) was manufactured for use primarily on public
363- streets, roads, and highways;
364- (4) has a dedicated or bi-fuel compressed natural gas
365- or liquefied petroleum gas fuel system:
366- (A) installed prior to first sale or within 500
367- miles of operation of the vehicle following first sale; and
368- (B) with a range of at least 125 miles as
369- estimated, published, and updated by the United States
370- Environmental Protection Agency;
371- (5) has, as applicable, a:
372- (A) compressed natural gas fuel system that
373- complies with the:
374- (i) 2013 NFPA 52 Vehicular Gaseous Fuel
375- Systems Code; and
376- (ii) American National Standard for Basic
377- Requirements for Compressed Natural Gas Vehicle (NGV) Fuel
378- Containers, commonly cited as "ANSI/CSA NGV2"; or
379- (B) liquefied petroleum gas fuel system that
380- complies with:
381- (i) the 2011 NFPA 58 Liquefied Petroleum
382- Gas Code; and
383- (ii) Section VII of the 2013 ASME Boiler and
384- Pressure Vessel Code; and
385- (6) was acquired on or after September 1, 2013, or a
386- later date established by the commission, by the person applying
387- for the incentive under this subsection and for use or lease by that
388- person and not for resale.
389- (b) If the commission determines that an updated version of
390- a code or standard described by Subsection (a)(5) is more stringent
391- than the version of the code or standard described by Subsection
392- (a)(5), the commission by rule may provide that a vehicle for which
393- a person applies for an incentive under Subsection (a) is eligible
394- for the incentive only if the vehicle complies with the updated
395- version of the code or standard.
396- (c) The incentive under Subsection (a) is limited to 1,000
397- vehicles for each state fiscal biennium.
398- (d) A new light-duty motor vehicle powered by an electric
399- drive is eligible for a $2,500 incentive if the vehicle:
400- (1) has four wheels;
401- (2) was manufactured for use primarily on public
402- streets, roads, and highways;
403- (3) has not been modified from the original
404- manufacturer's specifications;
405- (4) has a maximum speed capability of at least 55 miles
406- per hour;
407- (5) is propelled to a significant extent by an
408- electric motor that draws electricity from a hydrogen fuel cell or
409- from a battery that:
410- (A) has a capacity of not less than four kilowatt
411- hours; and
412- (B) is capable of being recharged from an
413- external source of electricity; and
414- (6) was acquired on or after September 1, 2013, or a
415- later date as established by the commission, by the person applying
416- for the incentive under this subsection and for use or lease by that
417- person and not for resale.
418- (e) The incentive under Subsection (d) is limited to 2,000
419- vehicles for each state fiscal biennium.
420- Sec. 386.155. MANUFACTURER'S REPORT. (a) At the beginning
421- of but not later than July 1 of each year preceding the vehicle
422- model year, a manufacturer of motor vehicles, an intermediate or
423- final state vehicle manufacturer, or a manufacturer of compressed
424- natural gas or liquefied petroleum gas systems shall provide to the
425- commission a list of the new vehicle or natural gas or liquefied
426- petroleum gas systems models that the manufacturer intends to sell
427- in this state during that model year that meet the incentive
428- requirements established under Section 386.154. The manufacturer
429- or installer may supplement the list provided to the commission
430- under this section as necessary to include additional new vehicle
431- models the manufacturer intends to sell in this state during the
432- model year.
433- (b) The commission may supplement the information provided
434- under Subsection (a) with additional information on available
435- vehicle models, including information provided by manufacturers or
436- installers of systems to convert new motor vehicles to operate on
437- natural gas or liquefied petroleum gas before sale as a new vehicle
438- or within 500 miles of operation of the vehicle following first
439- sale.
440- Sec. 386.156. LIST OF ELIGIBLE MOTOR VEHICLES. (a) On
441- August 1 of each year the commission shall publish a list of new
442- motor vehicle models eligible for inclusion in an incentive under
443- this subchapter. The commission shall publish supplements to that
444- list as necessary to include additional new vehicle models.
445- (b) The commission shall publish the list of eligible motor
446- vehicle models on the commission's Internet website.
447- Sec. 386.157. LIGHT-DUTY MOTOR VEHICLE PURCHASE OR LEASE
448- INCENTIVE. (a) A person who purchases or leases a new light-duty
449- motor vehicle described by Section 386.154 and listed under Section
450- 386.156(a) is eligible to apply for an incentive under this
451- subchapter.
452- (b) A lease incentive for a new light-duty motor vehicle
453- shall be prorated based on a three-year lease term.
454- (c) To receive money under an incentive program provided by
455- this subchapter, the purchaser or lessee of a new light-duty motor
456- vehicle who is eligible to apply for an incentive under this
457- subchapter shall apply for the incentive in the manner provided by
458- law or by rule of the commission.
459- Sec. 386.158. COMMISSION TO ACCOUNT FOR MOTOR VEHICLE
460- PURCHASE OR LEASE INCENTIVES. (a) The commission by rule shall
461- develop a method to administer and account for the motor vehicle
462- purchase or lease incentives authorized by this subchapter and to
463- pay incentive money to the purchaser or lessee of a new motor
464- vehicle, on application of the purchaser or lessee as provided by
465- this subchapter.
466- (b) The commission shall develop and publish forms and
467- instructions for the purchaser or lessee of a new motor vehicle to
468- use in applying to the commission for an incentive payment under
469- this subchapter. The commission shall make the forms available to
470- new motor vehicle dealers and leasing agents. Dealers and leasing
471- agents shall make the forms available to their prospective
472- purchasers or lessees.
473- (c) The commission may require the submission of forms and
474- documentation as needed to verify eligibility for an incentive
475- under this subchapter.
476- Sec. 386.159. PURCHASE OR LEASE INCENTIVES INFORMATION.
477- (a) The commission shall establish a toll-free telephone number
478- available to motor vehicle dealers and leasing agents for the
479- dealers and agents to call to verify that incentives are available.
480- The commission may provide for issuing verification numbers over
481- the telephone line.
482- (b) Reliance by a dealer or leasing agent on information
483- provided by the commission is a complete defense to an action
484- involving or based on eligibility of a vehicle for an incentive or
485- availability of vehicles eligible for an incentive.
486- Sec. 386.160. RESERVATION OF INCENTIVES. The commission
487- may provide for dealers and leasing agents to reserve for a limited
488- time period incentives for vehicles that are not readily available
489- and must be ordered, if the dealer or leasing agent has a purchase
490- or lease order signed by an identified customer.
491- (f) Effective on the date that the Texas Emissions Reduction
492- Plan Advisory Board is abolished under Subsection (a) of this
493- section, the heading to Subchapter D-1, Chapter 386, Health and
494- Safety Code, is amended to read as follows:
495- SUBCHAPTER D-1. SEAPORT AND RAIL YARD AREAS EMISSIONS REDUCTION
496- [DRAYAGE TRUCK INCENTIVE] PROGRAM
497- (f-1) Effective on the date that the Texas Emissions
498- Reduction Plan Advisory Board is abolished under Subsection (a) of
499- this section, the heading to Section 386.181, Health and Safety
500- Code, is amended to read as follows:
501- Sec. 386.181. DEFINITIONS [DEFINITION]; RULES.
502- (f-2) Effective on the date that the Texas Emissions
503- Reduction Plan Advisory Board is abolished under Subsection (a) of
504- this section, Section 386.181(a), Health and Safety Code, is
505- amended to read as follows:
506- (a) In this subchapter:
507- (1) "Cargo handling equipment" means any heavy-duty
508- non-road, self-propelled vehicle or land-based equipment used at a
509- seaport or rail yard to lift or move cargo, such as containerized,
510- bulk, or break-bulk goods.
511- (2) "Drayage[, "drayage] truck" means a heavy-duty
512- on-road or non-road vehicle that is used for drayage activities and
513- that operates in or transgresses through [truck that transports a
514- load to or from] a seaport or rail yard for the purpose of loading,
515- unloading, or transporting cargo, including transporting empty
516- containers and chassis.
517- (3) "Repower" means to replace an old engine powering
518- a vehicle with a new engine, a used engine, a remanufactured engine,
519- or electric motors, drives, or fuel cells.
520- (g) Effective on the date that the Texas Emissions Reduction
521- Plan Advisory Board is abolished under Subsection (a) of this
522- section, Section 386.182, Health and Safety Code, is amended to
523- read as follows:
524- Sec. 386.182. COMMISSION DUTIES. (a) The commission
525- shall:
526- (1) develop a purchase incentive program to encourage
527- owners to:
528- (A) replace older drayage trucks and cargo
529- handling equipment [with pre-2007 model year engines] with newer
530- drayage trucks and cargo handling equipment; or
531- (B) repower drayage trucks and cargo handling
532- equipment; and
533- (2) [shall] adopt guidelines necessary to implement
534- the program described by Subdivision (1).
535- (b) The commission by rule and guideline shall establish
536- criteria for the engines and the models of drayage trucks and cargo
537- handling equipment that are eligible for inclusion in an incentive
538- program under this subchapter. [The guidelines must provide that a
539- drayage truck owner is not eligible for an incentive payment under
540- this subchapter unless the truck being replaced contains a pre-2007
541- model year engine and the replacement truck's engine is from model
542- year 2010 or later as determined by the commission and that the
543- truck operates at a seaport or rail yard.]
544- (g-1) Effective on the date that the Texas Emissions
545- Reduction Plan Advisory Board is abolished under Subsection (a) of
546- this section, the heading to Section 386.183, Health and Safety
547- Code, is amended to read as follows:
548- Sec. 386.183. DRAYAGE TRUCK AND CARGO HANDLING EQUIPMENT
549- PURCHASE INCENTIVE.
550- (g-2) Effective on the date that the Texas Emissions
551- Reduction Plan Advisory Board is abolished under Subsection (a) of
552- this section, Section 386.183, Health and Safety Code, is amended
553- by amending Subsections (a), (b), (c), (d), and (e) and adding
554- Subsection (a-1) to read as follows:
555- (a) To be eligible for an incentive under this subchapter, a
556- person must:
557- (1) purchase a replacement drayage truck, piece of
558- cargo handling equipment, or engine that under Subsection
559- (a-1)(1)(A) or (2)(A), as applicable, and the guidelines adopted by
560- the commission under Section 386.182 is eligible for inclusion in
561- the program for an incentive under this subchapter; and
562- (2) agree to:
563- (A) register the drayage truck in this state, if
564- the replacement or repowered vehicle is an on-road drayage truck;
565- (B) operate the replacement or repowered drayage
566- truck or cargo handling equipment in and within a maximum distance
567- established by the commission of a seaport or rail yard in a
568- nonattainment area of this state for not less than 50 percent of the
569- truck's or equipment's [vehicle's] annual mileage or hours of
570- operation, as determined by the commission; and
571- (C) permanently remove the [a pre-2007] drayage
572- truck, cargo handling equipment, or engine replaced under the
573- program [containing a pre-2007 engine owned by the person] from
574- operation in a nonattainment area of this state by destroying the
575- engine in accordance with guidelines established by the commission
576- and, if the incentive is for a replacement drayage truck or cargo
577- handling equipment, scrapping the truck or equipment after the
578- purchase of the replacement [new] truck or equipment in accordance
579- with guidelines established by the commission.
580- (a-1) To be eligible for purchase under this program:
581- (1) a drayage truck or cargo handling equipment must:
582- (A) be powered by an electric motor or contain an
583- engine certified to the current federal emissions standards
584- applicable to that type of engine, as determined by the commission;
585- and
586- (B) emit oxides of nitrogen at a rate that is at
587- least 25 percent less than the rate at which the truck or equipment
588- being replaced under the program emits such pollutants; and
589- (2) an engine repowering a drayage truck or cargo
590- handling equipment must:
591- (A) be an electric motor or an engine certified
592- to the current federal emissions standards applicable to that type
593- of engine, as determined by the commission; and
594- (B) emit oxides of nitrogen at a rate that is at
595- least 25 percent less than the rate at which the former engine in
596- the truck or equipment being repowered under the program emits such
597- pollutants.
598- (b) To receive money under an incentive program provided by
599- this subchapter, the purchaser of a drayage truck, piece of cargo
600- handling equipment, or engine eligible for inclusion in the program
601- must apply for the incentive in the manner provided by law, rule, or
602- guideline of the commission.
603- (c) Not more than one incentive may be provided for each
604- drayage truck or piece of cargo handling equipment purchased or
605- repowered.
606- (d) An incentive provided under this subchapter may be used
607- to fund not more than 80 percent of, as applicable, the purchase
608- price of:
609- (1) the drayage truck or cargo handling equipment; or
610- (2) the engine and any other eligible costs associated
611- with repowering the drayage truck or cargo handling equipment, as
612- determined by the commission.
613- (e) The commission shall establish procedures to verify
614- that a person who receives an incentive:
615- (1) has operated in a seaport or rail yard and owned or
616- leased the drayage truck or cargo handling equipment to be replaced
617- or repowered for at least two years prior to receiving the grant;
618- and
619- (2) as applicable:
620- (A) after purchase of the replacement drayage
621- truck or cargo handling equipment, permanently destroys the engine
622- and scraps the [drayage] truck or equipment replaced under the
623- program [that contained the pre-2007 engine owned or leased by the
624- person,] in accordance with guidelines established by the
625- commission; or
626- (B) after repowering the drayage truck or cargo
627- handling equipment, permanently destroys the engine that was
628- contained in the truck or equipment in accordance with guidelines
629- established by the commission[, after the purchase of the new
630- truck].
631- (h) Effective on the date that the Texas Emissions Reduction
632- Plan Advisory Board is abolished under Subsection (a) of this
633- section, Section 386.252, Health and Safety Code, is amended to
634- read as follows:
635- Sec. 386.252. USE OF FUND. (a) Money in the fund may be
636- used only to implement and administer programs established under
637- the plan. Subject to the reallocation of funds by the commission
638- under Subsection (h), money [Money] appropriated to the commission
639- to be used for the programs under Section 386.051(b) shall
640- initially be allocated as follows:
641- (1) [not more than] four percent may be used for the
642- clean school bus program under Chapter 390;
643- (2) [not more than] three percent may be used for the
644- new technology implementation grant program under Chapter 391, from
645- which at least $1 million will be set aside for electricity storage
646- projects related to renewable energy;
647- (3) five percent may [shall] be used for the clean
648- fleet program under Chapter 392;
649- (4) not more than $3 million may be used by the
650- commission to fund a regional air monitoring program in commission
651- Regions 3 and 4 to be implemented under the commission's oversight,
652- including direction regarding the type, number, location, and
653- operation of, and data validation practices for, monitors funded by
654- the program through a regional nonprofit entity located in North
655- Texas having representation from counties, municipalities, higher
656- education institutions, and private sector interests across the
657- area;
658- (5) 10 [not less than 16] percent may [shall] be used
659- for the Texas natural gas vehicle grant program under Chapter 394;
660- (6) not more than $6 million [five percent] may be used
661- [to provide grants for natural gas fueling stations under the clean
662- transportation triangle program under Section 394.010;
663- [(7) not more than five percent may be used] for the
664- Texas alternative fueling facilities program under Chapter 393, of
665- which a specified amount may be used for fueling stations to provide
666- natural gas fuel, except that money may not be allocated for the
667- Texas alternative fueling facilities program for the state fiscal
668- year ending August 31, 2019;
669- (7) [(8)] not more than $750,000 [a specified amount]
670- may be used each year to support research related to air quality as
671- provided by Chapter 387;
672- (8) [(9)] not more than $200,000 may be used for a
673- health effects study[;
674- [(10) $500,000 is to be deposited in the state
675- treasury to the credit of the clean air account created under
676- Section 382.0622 to supplement funding for air quality planning
677- activities in affected counties];
678- (9) [(11)] at least $6 [$4] million but not more than
679- $8 [and up to four percent to a maximum of $7] million[, whichever
680- is greater,] is allocated to the commission for administrative
681- costs, including all direct and indirect costs for administering
682- the plan, costs for conducting outreach and education activities,
683- and costs attributable to the review or approval of applications
684- for marketable emissions reduction credits;
685- (10) six [(12) at least two] percent may [and up to
686- five percent of the fund is to] be used by the commission for the
687- seaport and rail yard areas emissions reduction [drayage truck
688- incentive] program established under Subchapter D-1;
689- (11) [(13) not more than] five percent may be used for
690- the light-duty motor vehicle purchase or lease incentive program
691- established under Subchapter D;
692- (12) [(14)] not more than $216,000 is allocated to the
693- commission to contract with the Energy Systems Laboratory at the
694- Texas A&M Engineering Experiment Station annually for the
695- development and annual computation of creditable statewide
696- emissions reductions obtained through wind and other renewable
697- energy resources for the state implementation plan;
698- (13) not more than $500,000 may be used for studies of
699- or pilot programs for incentives for port authorities located in
700- nonattainment areas or affected counties to encourage cargo
701- movement that reduces emissions of nitrogen oxides and particulate
702- matter [(15) 1.5 percent of the money in the fund is allocated for
703- administrative costs incurred by the laboratory]; and
704- (14) [(16)] the balance is to be used by the
705- commission for the diesel emissions reduction incentive program
706- under Subchapter C as determined by the commission.
707- (b) [The commission may allocate unexpended money
708- designated for the clean fleet program under Chapter 392 to other
709- programs described under Subsection (a) after the commission
710- allocates money to recipients under the clean fleet program.
711- [(c) The commission may allocate unexpended money
712- designated for the Texas alternative fueling facilities program
713- under Chapter 393 to other programs described under Subsection (a)
714- after the commission allocates money to recipients under the
715- alternative fueling facilities program.
716- [(d) The commission may reallocate money designated for the
109+ (e) Section 386.252(d), Health and Safety Code, is amended
110+ to read as follows:
111+ (d) The commission may reallocate money designated for the
717112 Texas natural gas vehicle grant program under Chapter 394 to other
718113 programs described under Subsection (a) if:
719- [(1) the commission, in consultation with the governor
720- and the advisory board, determines that the use of the money in the
721- fund for that program will cause the state to be in noncompliance
722- with the state implementation plan to the extent that federal
723- action is likely; and
724- [(2) the commission finds that the reallocation of
725- some or all of the funding for the program would resolve the
114+ (1) the commission, in consultation with the governor
115+ [and the advisory board], determines that the use of the money in
116+ the fund for that program will cause the state to be in
117+ noncompliance with the state implementation plan to the extent that
118+ federal action is likely; and
119+ (2) the commission finds that the reallocation of some
120+ or all of the funding for the program would resolve the
726121 noncompliance.
727- [(e) Under Subsection (d), the commission may not
728- reallocate more than the minimum amount of money necessary to
729- resolve the noncompliance.
730- [(e-1) Money allocated under Subsection (a) to a particular
731- program may be used for another program under the plan as determined
732- by the commission.
733- [(f)] Money in the fund may be used by the commission for
734- programs under Sections 386.051(b)(13), (b)(14), and (b-1) as may
735- be appropriated for those programs.
736- (c) [(g)] If the legislature does not specify amounts or
737- percentages from the total appropriation to the commission to be
738- allocated under Subsection (a) or (b) [(f)], the commission shall
739- determine the amounts of the total appropriation to be allocated
740- under each of those subsections, such that the total appropriation
741- is expended while maximizing emissions reductions.
742- (d) To supplement funding for air quality planning
743- activities in affected counties, $500,000 from the fund is to be
744- deposited annually in the state treasury to the credit of the clean
745- air account created under Section 382.0622.
746- (e) Money in the fund may be allocated for administrative
747- costs incurred by the Energy Systems Laboratory at the Texas A&M
748- Engineering Experiment Station as may be appropriated by the
749- legislature.
750- (f) To the extent that money is appropriated from the fund
751- for that purpose, not more than $2.5 million may be used by the
752- commission to conduct research and other activities associated with
753- making any necessary demonstrations to the United States
754- Environmental Protection Agency to account for the impact of
755- foreign emissions or an exceptional event.
756- (g) To the extent that money is appropriated from the fund
757- for that purpose, the commission may use that money to award grants
758- under the governmental alternative fuel fleet grant program
759- established under Chapter 395, except that the commission may not
760- use for that purpose more than three percent of the balance of the
761- fund as of September 1 of each state fiscal year of the biennium for
762- the governmental alternative fuel fleet grant program in that
763- fiscal year.
764- (h) Subject to the limitations outlined in this section and
765- any additional limitations placed on the use of the appropriated
766- funds, money allocated under this section to a particular program
767- may be used for another program under the plan as determined by the
768- commission, based on demand for grants for eligible projects under
769- particular programs after the commission solicits projects to which
770- to award grants according to the initial allocation provisions of
771- this section.
772- (h-1) Effective on the date that the Texas Emissions
773- Reduction Plan Advisory Board is abolished under Subsection (a) of
774- this section, Section 390.001, Health and Safety Code, is amended
775- by amending Subdivision (1) and adding Subdivision (1-a) to read as
776- follows:
777- (1) "Commission" means the Texas Commission on
778- Environmental Quality.
779- (1-a) "Diesel exhaust" means one or more of the air
780- pollutants emitted from an engine by the combustion of diesel fuel,
781- including particulate matter, nitrogen oxides, volatile organic
782- compounds, air toxics, and carbon monoxide.
783- (h-2) Effective on the date that the Texas Emissions
784- Reduction Plan Advisory Board is abolished under Subsection (a) of
785- this section, Section 390.002(b), Health and Safety Code, is
122+ (f) Sections 394.005(a) and (g), Health and Safety Code, are
786123 amended to read as follows:
787- (b) Projects that may be considered for a grant under the
788- program include:
789- (1) diesel oxidation catalysts for school buses built
790- before 1994;
791- (2) diesel particulate filters for school buses built
792- from 1994 to 1998;
793- (3) the purchase and use of emission-reducing add-on
794- equipment for school buses, including devices that reduce crankcase
795- emissions;
796- (4) the use of qualifying fuel; [and]
797- (5) other technologies that the commission finds will
798- bring about significant emissions reductions; and
799- (6) replacement of a pre-2007 model year school bus.
800- (i) Effective on the date that the Texas Emissions Reduction
801- Plan Advisory Board is abolished under Subsection (a) of this
802- section, Section 390.004, Health and Safety Code, is amended by
803- adding Subsections (c) and (d) to read as follows:
804- (c) A school bus proposed for replacement must:
805- (1) be of model year 2006 or earlier;
806- (2) have been owned and operated by the applicant for
807- at least the two years before submission of the grant application;
808- (3) be in good operational condition; and
809- (4) be currently used on a regular, daily route to and
810- from a school.
811- (d) A school bus proposed for purchase to replace a pre-2007
812- model year school bus must be of the current model year or the year
813- before the current model year at the time of submission of the grant
814- application.
815- (i-1) Effective on the date that the Texas Emissions
816- Reduction Plan Advisory Board is abolished under Subsection (a) of
817- this section, Section 390.005, Health and Safety Code, is amended
818- to read as follows:
819- Sec. 390.005. RESTRICTION ON USE OF GRANT. (a) A
820- recipient of a grant under this chapter shall use the grant to pay
821- the incremental costs of the project for which the grant is made,
822- which may include the reasonable and necessary expenses incurred
823- for the labor needed to install emissions-reducing equipment. The
824- recipient may not use the grant to pay the recipient's
825- administrative expenses.
826- (b) A school bus acquired to replace an existing school bus
827- must be purchased and the grant recipient must agree to own and
828- operate the school bus on a regular, daily route to and from a
829- school for at least five years after a start date established by the
830- commission, based on the date the commission accepts documentation
831- of the permanent destruction or permanent removal of the school bus
832- being replaced.
833- (c) A school bus replaced under this program must be
834- rendered permanently inoperable by crushing the bus, by making a
835- hole in the engine block and permanently destroying the frame of the
836- bus, or by another method approved by the commission, or be
837- permanently removed from operation in this state. The commission
838- shall establish criteria for ensuring the permanent destruction or
839- permanent removal of the engine or bus. The commission shall
840- enforce the destruction and removal requirements.
841- (d) In this section, "permanent removal" means the
842- permanent export of a school bus or the engine of a school bus to a
843- destination outside of the United States, Canada, or the United
844- Mexican States.
845- (i-2) Effective on the date that the Texas Emissions
846- Reduction Plan Advisory Board is abolished under Subsection (a) of
847- this section, Section 390.006, Health and Safety Code, is amended
848- to read as follows:
849- Sec. 390.006. EXPIRATION. This chapter expires on the last
850- day of the state fiscal biennium during which the commission
851- publishes in the Texas Register the notice required by Section
852- 382.037 [August 31, 2019].
853- (j) Effective on the date that the Texas Emissions Reduction
854- Plan Advisory Board is abolished under Subsection (a) of this
855- section, Section 391.002(b), Health and Safety Code, is amended to
856- read as follows:
857- (b) Projects that may be considered for a grant under the
858- program include:
859- (1) advanced clean energy projects, as defined by
860- Section 382.003;
861- (2) new technology projects that reduce emissions of
862- regulated pollutants from stationary [point] sources;
863- (3) new technology projects that reduce emissions from
864- upstream and midstream oil and gas production, completions,
865- gathering, storage, processing, and transmission activities
866- through:
867- (A) the replacement, repower, or retrofit of
868- stationary compressor engines;
869- (B) the installation of systems to reduce or
870- eliminate the loss of gas, flaring of gas, or burning of gas using
871- other combustion control devices; or
872- (C) the installation of systems that reduce
873- flaring emissions and other site emissions by capturing waste heat
874- to generate electricity solely for on-site service; and
875- (4) [(3)] electricity storage projects related to
876- renewable energy, including projects to store electricity produced
877- from wind and solar generation that provide efficient means of
878- making the stored energy available during periods of peak energy
879- use.
880- (j-1) Effective on the date that the Texas Emissions
881- Reduction Plan Advisory Board is abolished under Subsection (a) of
882- this section, Section 391.102(f), Health and Safety Code, is
883- amended to read as follows:
884- (f) In reviewing a grant application under this chapter
885- [coordinating interagency application review procedures], the
886- commission may [shall]:
887- (1) solicit review and comments from:
888- (A) the comptroller to assess:
889- (i) the financial stability of the
890- applicant;
891- (ii) the economic benefits and job creation
892- potential associated with the project; and
893- (iii) any other information related to the
894- duties of that office;
895- (B) the Public Utility Commission of Texas to
896- assess:
897- (i) the reliability of the proposed
898- technology;
899- (ii) the feasibility and
900- cost-effectiveness of electric transmission associated with the
901- project; and
902- (iii) any other information related to the
903- duties of that agency; and
904- (C) the Railroad Commission of Texas to assess:
905- (i) the availability and cost of the fuel
906- involved with the project; and
907- (ii) any other information related to the
908- duties of that agency; and
909- (2) consider the comments received under Subdivision
910- (1) in the commission's grant award decision process[; and
911- [(3) as part of the report required by Section
912- 391.104, justify awards made to projects that have been negatively
913- reviewed by agencies under Subdivision (1)].
914- (j-2) Effective on the date that the Texas Emissions
915- Reduction Plan Advisory Board is abolished under Subsection (a) of
916- this section, Section 391.104, Health and Safety Code, is amended
917- to read as follows:
918- Sec. 391.104. REPORTING REQUIREMENTS. The commission
919- [annually] shall include in the biennial plan report required by
920- Section 386.057(b) information [prepare a report] that summarizes
921- the applications received and grants awarded in the preceding
922- biennium [year]. Preparation of the information for the report may
923- [must] include the participation of any [the] state agency
924- [agencies] involved in the review of applications under Section
925- 391.102, if the commission determines participation of the agency
926- is needed.
927- (k) Effective on the date that the Texas Emissions Reduction
928- Plan Advisory Board is abolished under Subsection (a) of this
929- section, Section 391.205(a), Health and Safety Code, is amended to
930- read as follows:
931- (a) Except as provided by Subsection (c), in awarding grants
932- under this chapter the commission shall give preference to projects
933- that:
934- (1) involve the transport, use, recovery for use, or
935- prevention of the loss of natural resources originating or produced
936- in this state;
937- (2) contain an energy efficiency component; [or]
938- (3) include the use of solar, wind, or other renewable
939- energy sources; or
940- (4) recover waste heat from the combustion of natural
941- resources and use the heat to generate electricity.
942- (k-1) Effective on the date that the Texas Emissions
943- Reduction Plan Advisory Board is abolished under Subsection (a) of
944- this section, Section 391.304, Health and Safety Code, is amended
945- to read as follows:
946- Sec. 391.304. EXPIRATION. This chapter expires on the last
947- day of the state fiscal biennium during which the commission
948- publishes in the Texas Register the notice required by Section
949- 382.037 [August 31, 2019].
950- (k-2) Effective on the date that the Texas Emissions
951- Reduction Plan Advisory Board is abolished under Subsection (a) of
952- this section, Section 392.001(1), Health and Safety Code, is
953- amended to read as follows:
954- (1) "Alternative fuel" means a fuel other than
955- gasoline or diesel fuel, including electricity, compressed natural
956- gas, liquefied [liquified] natural gas, hydrogen, propane, or a
957- mixture of fuels containing at least 85 percent methanol by volume.
958- (l) Effective on the date that the Texas Emissions Reduction
959- Plan Advisory Board is abolished under Subsection (a) of this
960- section, Sections 392.002(b) and (c), Health and Safety Code, are
961- amended to read as follows:
962- (b) An entity that places 10 [20] or more qualifying
963- vehicles in service for use entirely in this state during a calendar
964- year is eligible to participate in the program.
965- (c) Notwithstanding Subsection (b), an entity that submits
966- a grant application for 10 [20] or more qualifying vehicles is
967- eligible to participate in the program even if the commission
968- denies approval for one or more of the vehicles during the
969- application process.
970- (l-1) Effective on the date that the Texas Emissions
971- Reduction Plan Advisory Board is abolished under Subsection (a) of
972- this section, Section 392.003(a), Health and Safety Code, is
973- amended to read as follows:
974- (a) A vehicle is a qualifying vehicle that may be considered
975- for a grant under the program if during the eligibility period
976- established by the commission [calendar year] the entity purchases
977- a new on-road vehicle that:
978- (1) is certified to the appropriate current federal
979- emissions standards as determined by the commission;
980- (2) replaces a diesel-powered on-road vehicle of the
981- same weight classification and use; and
982- (3) is a hybrid vehicle or fueled by an alternative
983- fuel.
984- (l-2) Effective on the date that the Texas Emissions
985- Reduction Plan Advisory Board is abolished under Subsection (a) of
986- this section, Section 392.004(d), Health and Safety Code, is
987- amended to read as follows:
988- (d) The commission shall minimize, to the maximum extent
989- possible, the amount of paperwork required for an application. [An
990- applicant may be required to submit a photograph or other
991- documentation of a vehicle identification number, registration
992- information, inspection information, tire condition, or engine
993- block identification only if the photograph or documentation is
994- requested by the commission after the commission has decided to
995- award a grant to the applicant under this chapter.]
996- (m) Effective on the date that the Texas Emissions Reduction
997- Plan Advisory Board is abolished under Subsection (a) of this
998- section, Section 392.005, Health and Safety Code, is amended by
999- amending Subsections (c) and (i) and adding Subsection (c-1) to
1000- read as follows:
1001- (c) As a condition of receiving a grant, the qualifying
1002- vehicle must be continuously owned, registered, and operated in the
1003- state by the grant recipient until the earlier of the fifth
1004- anniversary of the activity start date established by the
1005- commission [the date of reimbursement of the grant-funded expenses]
1006- or [until] the date the vehicle has been in operation for 400,000
1007- miles after the activity start date established by the commission
1008- [of reimbursement]. Not less than 75 percent of the annual use of
1009- the qualifying vehicle, either mileage or fuel use as determined by
1010- the commission, must occur in the state.
1011- (c-1) For purposes of Subsection (c), the commission shall
1012- establish the activity start date based on the date the commission
1013- accepts verification of the disposition of the vehicle being
1014- replaced.
1015- (i) The executive director may [shall] waive the
1016- requirements of Subsection (b)(2)(A) on a finding of good cause,
1017- which may include a waiver for short lapses in registration or
1018- operation attributable to economic conditions, seasonal work, or
1019- other circumstances.
1020- (m-1) Effective on the date that the Texas Emissions
1021- Reduction Plan Advisory Board is abolished under Subsection (a) of
1022- this section, Section 392.008, Health and Safety Code, is amended
1023- to read as follows:
1024- Sec. 392.008. EXPIRATION. This chapter expires on the last
1025- day of the state fiscal biennium during which the commission
1026- publishes in the Texas Register the notice required by Section
1027- 382.037 [August 31, 2017].
1028- (m-2) Effective on the date that the Texas Emissions
1029- Reduction Plan Advisory Board is abolished under Subsection (a) of
1030- this section, Section 393.001, Health and Safety Code, is amended
1031- by amending Subdivision (1) and adding Subdivision (1-a) to read as
1032- follows:
1033- (1) "Alternative fuel" means a fuel other than
1034- gasoline or diesel fuel, other than biodiesel fuel, including
1035- electricity, compressed natural gas, liquefied [liquified] natural
1036- gas, hydrogen, propane, or a mixture of fuels containing at least 85
1037- percent methanol by volume.
1038- (1-a) "Clean transportation zone" means:
1039- (A) counties containing or intersected by a
1040- portion of an interstate highway connecting the cities of Houston,
1041- San Antonio, Dallas, and Fort Worth;
1042- (B) counties located within the area bounded by
1043- the interstate highways described by Paragraph (A);
1044- (C) counties containing or intersected by a
1045- portion of:
1046- (i) an interstate highway connecting San
1047- Antonio to Corpus Christi or Laredo;
1048- (ii) the most direct route using highways
1049- in the state highway system connecting Corpus Christi and Laredo;
1050- or
1051- (iii) a highway corridor connecting Corpus
1052- Christi and Houston;
1053- (D) counties located within the area bounded by
1054- the highways described by Paragraph (C);
1055- (E) counties in this state all or part of which
1056- are included in a nonattainment area designated under Section
1057- 107(d) of the federal Clean Air Act (42 U.S.C. Section 7407); and
1058- (F) counties designated as affected counties
1059- under Section 386.001.
1060- (n) Effective on the date that the Texas Emissions Reduction
1061- Plan Advisory Board is abolished under Subsection (a) of this
1062- section, Section 393.002, Health and Safety Code, is amended to
1063- read as follows:
1064- Sec. 393.002. PROGRAM. (a) The commission shall establish
1065- and administer the Texas alternative fueling facilities program to
1066- provide fueling facilities for alternative fuel in the clean
1067- transportation zone [nonattainment areas]. Under the program, the
1068- commission shall provide a grant for each eligible facility to
1069- offset the cost of those facilities.
1070- (b) An entity that constructs or[,] reconstructs[, or
1071- acquires] an alternative fueling facility is eligible to
1072- participate in the program.
1073- (c) To ensure that alternative fuel vehicles have access to
1074- fuel and to build the foundation for a self-sustaining market for
1075- alternative fuels in Texas, the commission shall provide for
1076- strategically placed fueling facilities in the clean
1077- transportation zone to enable an alternative fuel vehicle to travel
1078- in those areas relying solely on the alternative fuel.
1079- (d) The commission shall maintain a listing to be made
1080- available to the public online of all vehicle fueling facilities
1081- that have received grant funding, including location and hours of
1082- operation.
1083- (n-1) Effective on the date that the Texas Emissions
1084- Reduction Plan Advisory Board is abolished under Subsection (a) of
1085- this section, Section 393.003, Health and Safety Code, is amended
1086- by amending Subsections (a) and (b) and adding Subsections (d) and
1087- (e) to read as follows:
1088- (a) An entity operating in this state that constructs or[,]
1089- reconstructs[, or acquires] a facility to [store, compress, or]
1090- dispense alternative fuels may apply for and receive a grant under
1091- the program.
1092- (b) The commission may [adopt guidelines to] allow a
1093- regional planning commission, council of governments, or similar
1094- regional planning agency created under Chapter 391, Local
1095- Government Code, or a private nonprofit organization to apply for
1096- and receive a grant to improve the ability of the program to achieve
1097- its goals.
1098- (d) An application for a grant under the program must
1099- include a certification that the applicant complies with laws,
1100- rules, guidelines, and requirements applicable to taxation of fuel
1101- provided by the applicant at each fueling facility owned or
1102- operated by the applicant. The commission may terminate a grant
1103- awarded under this section without further obligation to the grant
1104- recipient if the commission determines that the recipient did not
1105- comply with a law, rule, guideline, or requirement described by
1106- this subsection. This subsection does not create a cause of action
1107- to contest an application or award of a grant.
1108- (e) The commission shall disburse grants under the program
1109- through a competitive application selection process to offset a
1110- portion of the eligible costs.
1111- (n-2) Effective on the date that the Texas Emissions
1112- Reduction Plan Advisory Board is abolished under Subsection (a) of
1113- this section, Section 393.004, Health and Safety Code, is amended
1114- to read as follows:
1115- Sec. 393.004. ELIGIBILITY OF FACILITIES FOR GRANTS.
1116- (a) In addition to the requirements of this chapter, the
1117- commission shall establish additional eligibility and
1118- prioritization criteria as needed to implement the program [The
1119- commission by rule shall establish criteria for prioritizing
1120- facilities eligible to receive grants under this chapter. The
1121- commission shall review and revise the criteria as appropriate].
1122- (b) The prioritization criteria established under
1123- Subsection (a) must provide that, for each grant round, the
1124- commission may not award a grant to an entity that does not [To be
1125- eligible for a grant under the program, the entity receiving the
1126- grant must] agree to make the alternative fueling facility
1127- accessible and available to the public [persons not associated with
1128- the entity] at times designated by the grant contract until each
1129- eligible entity that does agree to those terms has been awarded a
1130- grant [agreement].
1131- (c) The commission may not award more than one grant for
1132- each facility.
1133- (d) The commission may give preference to or otherwise limit
1134- grant selections to:
1135- (1) fueling facilities providing specific types of
1136- alternative fuels;
1137- (2) fueling facilities in a specified area or
1138- location; and
1139- (3) fueling facilities meeting other specified
1140- prioritization criteria established by the commission.
1141- (e) For fueling facilities to provide natural gas, the
1142- commission shall give preference to:
1143- (1) facilities providing both liquefied natural gas
1144- and compressed natural gas at a single location;
1145- (2) facilities located not more than one mile from an
1146- interstate highway system;
1147- (3) facilities located in the area in and between the
1148- Houston, San Antonio, and Dallas-Fort Worth areas; and
1149- (4) facilities located in the area in and between the
1150- Corpus Christi, Laredo, and San Antonio areas [A recipient of a
1151- grant under this chapter is not eligible to receive a second grant
1152- under this chapter for the same facility].
1153- (o) Effective on the date that the Texas Emissions Reduction
1154- Plan Advisory Board is abolished under Subsection (a) of this
1155- section, Section 393.005, Health and Safety Code, is amended to
1156- read as follows:
1157- Sec. 393.005. RESTRICTION ON USE OF GRANT. (a) A
1158- recipient of a grant under this chapter shall use the grant only to
1159- pay the costs of the facility for which the grant is made. The
1160- recipient may not use the grant to pay the recipient's:
1161- (1) administrative expenses;
1162- (2) expenses for the purchase of land or an interest in
1163- land; or
1164- (3) expenses for equipment or facility improvements
1165- that are not directly related to the delivery, storage,
1166- compression, or dispensing of the alternative fuel at the facility.
1167- (b) Each grant must be awarded using a contract that
1168- requires the recipient to meet operational, maintenance, and
1169- reporting requirements as specified by the commission.
1170- (o-1) Effective on the date that the Texas Emissions
1171- Reduction Plan Advisory Board is abolished under Subsection (a) of
1172- this section, Section 393.006, Health and Safety Code, is amended
1173- to read as follows:
1174- Sec. 393.006. AMOUNT OF GRANT. (a) Grants awarded under
1175- this chapter for a facility to provide alternative fuels other than
1176- natural gas may not exceed [For each eligible facility for which a
1177- recipient is awarded a grant under the program, the commission
1178- shall award the grant in an amount equal to] the lesser of:
1179- (1) 50 percent of the sum of the actual eligible costs
1180- incurred by the grant recipient within deadlines established by the
1181- commission [to construct, reconstruct, or acquire the facility]; or
1182- (2) $600,000.
1183- (b) Grants awarded under this chapter for a facility to
1184- provide natural gas may not exceed:
1185- (1) $400,000 for a compressed natural gas facility;
1186- (2) $400,000 for a liquefied natural gas facility; or
1187- (3) $600,000 for a facility providing both liquefied
1188- and compressed natural gas.
1189- (o-2) Effective on the date that the Texas Emissions
1190- Reduction Plan Advisory Board is abolished under Subsection (a) of
1191- this section, Section 393.007, Health and Safety Code, is amended
1192- to read as follows:
1193- Sec. 393.007. EXPIRATION. This chapter expires on the last
1194- day of the state fiscal biennium during which the commission
1195- publishes in the Texas Register the notice required by Section
1196- 382.037 [August 31, 2018].
1197- (p) Effective on the date that the Texas Emissions Reduction
1198- Plan Advisory Board is abolished under Subsection (a) of this
1199- section, Section 394.001, Health and Safety Code, is amended by
1200- amending Subdivisions (1), (4), (5), and (8) and adding
1201- Subdivisions (1-a) and (7-a) to read as follows:
1202- (1) "Certified" includes:
1203- (A) new vehicle or new engine certification by
1204- the United States Environmental Protection Agency; or
1205- (B) certification or approval by the United
1206- States Environmental Protection Agency of a system to convert a
1207- vehicle or engine to operate on an alternative fuel and a
1208- demonstration by the emissions data used to certify or approve the
1209- vehicle or engine, if the commission determines the testing used to
1210- obtain the emissions data is consistent with the testing required
1211- for approval of an alternative fuel conversion system for new and
1212- relatively new vehicles or engines under 40 C.F.R. Part 85
1213- ["Advisory board" means the Texas Emissions Reduction Plan Advisory
1214- Board].
1215- (1-a) "Clean transportation zone" has the meaning
1216- assigned by Section 393.001.
1217- (4) "Heavy-duty motor vehicle" means a motor vehicle
1218- that [with]:
1219- (A) has a gross vehicle weight rating of more
1220- than 8,500 pounds; and
1221- (B) is certified to or has an engine certified to
1222- the United States Environmental Protection Agency's emissions
1223- standards for heavy-duty vehicles or engines.
1224- (5) "Incremental cost" has the meaning assigned by
1225- Section 386.001 [means the difference between the manufacturer's
1226- suggested retail price of a baseline vehicle, the documented dealer
1227- price of a baseline vehicle, cost to lease or otherwise
1228- commercially finance a baseline vehicle, cost to repower with a
1229- baseline engine, or other appropriate baseline cost established by
1230- the commission, and the actual cost of the natural gas vehicle
1231- purchase, lease, or other commercial financing, or repower].
1232- (7-a) "Natural gas engine" means an engine that
1233- operates:
1234- (A) solely on natural gas, including compressed
1235- natural gas, liquefied natural gas, or liquefied petroleum gas; or
1236- (B) on a combination of diesel fuel and natural
1237- gas, including compressed natural gas, liquefied natural gas, or
1238- liquefied petroleum gas, and is capable of achieving at least 60
1239- percent displacement of diesel fuel with natural gas.
1240- (8) "Natural gas vehicle" means a motor vehicle that
1241- is powered by a natural gas engine [receives not less than 75
1242- percent of its power from compressed or liquefied natural gas].
1243- (p-1) Effective on the date that the Texas Emissions
1244- Reduction Plan Advisory Board is abolished under Subsection (a) of
1245- this section, Section 394.003(a), Health and Safety Code, is
1246- amended to read as follows:
1247- (a) A vehicle is a qualifying vehicle that may be considered
1248- for a grant under the program if during the eligibility period
1249- established by the commission [calendar year] the entity:
1250- (1) purchased, leased, or otherwise commercially
1251- financed the vehicle as a new on-road heavy-duty or medium-duty
1252- motor vehicle that:
1253- (A) is a natural gas vehicle;
1254- (B) is certified to the appropriate current
1255- federal emissions standards as determined by the commission; and
1256- (C) replaces an on-road heavy-duty or
1257- medium-duty motor vehicle of the same weight classification and
1258- use; [and
1259- [(D) is powered by an engine certified to:
1260- [(i) emit not more than 0.2 grams of
1261- nitrogen oxides per brake horsepower hour; or
1262- [(ii) meet or exceed the United States
1263- Environmental Protection Agency's Bin 5 standard for light-duty
1264- engines when powering the vehicle;] or
1265- (2) repowered the on-road motor vehicle to a natural
1266- gas vehicle powered by a natural gas engine that[:
1267- [(A)] is certified to the appropriate current
1268- federal emissions standards as determined by the commission[; and
1269- [(B) is:
1270- [(i) a heavy-duty engine that is certified
1271- to emit not more than 0.2 grams of nitrogen oxides per brake
1272- horsepower hour; or
1273- [(ii) certified to meet or exceed the
1274- United States Environmental Protection Agency's Bin 5 standard for
1275- light-duty engines when powering the vehicle].
1276- (p-2) Effective on the date that the Texas Emissions
1277- Reduction Plan Advisory Board is abolished under Subsection (a) of
1278- this section, Section 394.005, Health and Safety Code, is amended
1279- by amending Subsections (a), (b), (c), (f), (g), and (i) and adding
1280- Subsection (c-1) to read as follows:
1281- (a) The commission [by rule] shall establish criteria for
124+ (a) The commission by rule shall establish criteria for
1282125 prioritizing qualifying vehicles eligible to receive grants under
1283126 this chapter. The commission shall review and revise the criteria
1284127 as appropriate [after consultation with the advisory board].
1285- (b) To be eligible for a grant under the program:
1286- (1) the use of the qualifying vehicle must be
1287- projected to result in a reduction in emissions of nitrogen oxides
1288- of at least 25 percent as compared to the motor vehicle or engine
1289- being replaced, based on:
1290- (A) the baseline emission level set by the
1291- commission under Subsection (g); and
1292- (B) the certified emission rate of the new
1293- vehicle; and
1294- (2) the qualifying vehicle must:
1295- (A) replace a heavy-duty or medium-duty motor
1296- vehicle that:
1297- (i) is an on-road vehicle that has been
1298- owned, leased, or otherwise commercially financed and registered
1299- and operated by the applicant in Texas for at least the two years
1300- immediately preceding the submission of a grant application;
1301- (ii) satisfies any minimum average annual
1302- mileage or fuel usage requirements established by the commission;
1303- (iii) satisfies any minimum percentage of
1304- annual usage requirements established by the commission; and
1305- (iv) is in operating condition and has at
1306- least two years of remaining useful life, as determined in
1307- accordance with criteria established by the commission; [or]
1308- (B) replace a heavy-duty or medium-duty motor
1309- vehicle that:
1310- (i) is owned by the applicant;
1311- (ii) is an on-road vehicle that has been:
1312- (a) owned, leased, or otherwise
1313- commercially financed and operated in Texas as a fleet vehicle for
1314- at least the two years immediately preceding the submission of a
1315- grant application; and
1316- (b) registered in a county located in
1317- the clean transportation zone for at least the two years
1318- immediately preceding the submission of a grant application; and
1319- (iii) otherwise satisfies the mileage,
1320- usage, and useful life requirements established under Paragraph (A)
1321- as determined by documentation associated with the vehicle; or
1322- (C) be a heavy-duty or medium-duty motor vehicle
1323- repowered with a natural gas engine that:
1324- (i) is installed in an on-road vehicle that
1325- has been owned, leased, or otherwise commercially financed and
1326- registered and operated by the applicant in Texas for at least the
1327- two years immediately preceding the submission of a grant
1328- application;
1329- (ii) satisfies any minimum average annual
1330- mileage or fuel usage requirements established by the commission;
1331- (iii) satisfies any minimum percentage of
1332- annual usage requirements established by the commission; and
1333- (iv) is installed in an on-road vehicle
1334- that, at the time of the vehicle's repowering, was in operating
1335- condition and had at least two years of remaining useful life, as
1336- determined in accordance with criteria established by the
1337- commission.
1338- (c) As a condition of receiving a grant, the qualifying
1339- vehicle must be continuously owned, leased, or otherwise
1340- commercially financed and registered and operated in the state by
1341- the grant recipient until the earlier of the fourth anniversary of
1342- the activity start date established by the commission [the date of
1343- reimbursement of the grant-funded expenses] or [until] the date the
1344- vehicle has been in operation for 400,000 miles after the activity
1345- start date established by the commission [of reimbursement]. Not
1346- less than 75 percent of the annual use of the qualifying vehicle,
1347- either mileage or fuel use as determined by the commission, must
1348- occur in the clean transportation zone[:
1349- [(1) the counties any part of which are included in the
1350- area described by Section 394.010(a); or
1351- [(2) counties designated as nonattainment areas
1352- within the meaning of Section 107(d) of the federal Clean Air Act
1353- (42 U.S.C. Section 7407)].
1354- (c-1) For purposes of Subsection (c), the commission shall
1355- establish the activity start date based on the date the commission
1356- accepts verification of the disposition of the vehicle or engine.
1357- (f) A heavy-duty or medium-duty motor vehicle replaced
1358- under this program must be rendered permanently inoperable by
1359- crushing the vehicle, by making a hole in the engine block and
1360- permanently destroying the frame of the vehicle, or by another
1361- method approved by the commission, or be [that] permanently removed
1362- [removes the vehicle] from operation in this state. The commission
1363- shall establish criteria for ensuring the permanent destruction or
1364- permanent removal of the engine or vehicle. The commission shall
1365- enforce the destruction and removal requirements. For purposes of
1366- this subsection, "permanent removal" means the permanent export of
1367- the vehicle or engine to a destination outside of the United States,
1368- Canada, or the United Mexican States.
1369128 (g) The commission shall establish baseline emission levels
1370129 for emissions of nitrogen oxides for on-road heavy-duty or
1371- medium-duty motor vehicles being replaced or repowered by using the
1372- emission certification for the engine or vehicle being replaced.
1373- The commission may consider deterioration of the emission
1374- performance of the engine of the vehicle being replaced in
1375- establishing the baseline emission level. The commission may
1376- consider and establish baseline emission rates for additional
1377- pollutants of concern[, as determined by the commission after
1378- consultation with the advisory board].
1379- (i) The executive director may [shall] waive the
1380- requirements of Subsection (b)(2)(A)(i) or (B)(ii) on a finding of
1381- good cause, which may include short lapses in registration or
1382- operation due to economic conditions, seasonal work, or other
1383- circumstances.
1384- (q) Effective on the date that the Texas Emissions Reduction
1385- Plan Advisory Board is abolished under Subsection (a) of this
1386- section, Section 394.006, Health and Safety Code, is amended to
1387- read as follows:
1388- Sec. 394.006. RESTRICTION ON USE OF GRANT. A recipient of a
1389- grant under this chapter shall use the grant to pay the incremental
1390- costs of the replacement or vehicle repower for which the grant is
1391- made, which may include a portion of the initial cost of the natural
1392- gas vehicle or natural gas engine, including the cost of the natural
1393- gas fuel system and installation [and the reasonable and necessary
1394- expenses incurred for the labor needed to install
1395- emissions-reducing equipment]. The recipient may not use the
1396- grant to pay the recipient's administrative expenses.
1397- (q-1) Effective on the date that the Texas Emissions
1398- Reduction Plan Advisory Board is abolished under Subsection (a) of
1399- this section, Section 394.007(c), Health and Safety Code, is
1400- amended to read as follows:
1401- (c) A person may not receive a grant under this chapter
1402- that, when combined with any other grant, tax credit, or other
1403- governmental incentive, exceeds the incremental cost of the vehicle
1404- or vehicle repower for which the grant is awarded. A person shall
1405- return to the commission the amount of a grant awarded under this
1406- chapter that, when combined with any other grant, tax credit, or
1407- other governmental incentive, exceeds the incremental cost of the
1408- vehicle or vehicle repower for which the grant is awarded.
1409- (q-2) Effective on the date that the Texas Emissions
1410- Reduction Plan Advisory Board is abolished under Subsection (a) of
1411- this section, Sections 394.008(a) and (b), Health and Safety Code,
1412- are amended to read as follows:
1413- (a) The commission shall establish [adopt] procedures for:
1414- (1) awarding grants under this chapter to reimburse
1415- eligible costs; [in the form of rebates; and]
1416- (2) streamlining the grant application, contracting,
1417- reimbursement, and reporting process for qualifying natural gas
1418- vehicle purchases or repowers; and
1419- (3) preapproving the award of grants to applicants who
1420- propose to purchase and replace motor vehicles described by Section
1421- 394.005(b)(2)(B).
1422- (b) Procedures established [adopted] under this section
1423- must:
1424- (1) provide for the commission to compile and
1425- regularly update a listing of potentially eligible [preapproved]
1426- natural gas vehicles and natural gas engines that are certified to
1427- the appropriate current federal emissions standards as determined
1428- by the commission[:
1429- [(A) powered by natural gas engines certified to
1430- emit not more than 0.2 grams of nitrogen oxides per brake horsepower
1431- hour; or
1432- [(B) certified to the United States
1433- Environmental Protection Agency's light-duty Bin 5 standard or
1434- better];
1435- (2) [if a federal standard for the calculation of
1436- emissions reductions exists,] provide a method to calculate the
1437- reduction in emissions of nitrogen oxides, volatile organic
1438- compounds, carbon monoxide, particulate matter, and sulfur
1439- compounds for each replacement or repowering;
1440- (3) assign a standardized grant [rebate] amount for
1441- each qualifying vehicle or engine repower under Section 394.007;
1442- (4) allow for processing applications [rebates] on an
1443- ongoing first-come, first-served basis;
1444- (5) [provide for contracts between the commission and
1445- participating dealers under Section 394.009;
1446- [(6) allow grant recipients to assign their grant
1447- funds to participating dealers to offset the purchase or lease
1448- price;
1449- [(7)] require grant applicants to identify natural gas
1450- fueling stations that are available to fuel the qualifying vehicle
1451- in the area of its use;
1452- (6) [(8)] provide for payment not later than the 30th
1453- day after the date the request for reimbursement for an approved
1454- grant is received;
1455- (7) [(9)] provide for application submission and
1456- application status checks using procedures established by the
1457- commission, which may include application submission and status
1458- checks to be made over the Internet; and
1459- (8) [(10)] consolidate, simplify, and reduce the
1460- administrative work for applicants and the commission associated
1461- with grant application, contracting, reimbursement, and reporting
1462- requirements.
1463- (r) Effective on the date that the Texas Emissions Reduction
1464- Plan Advisory Board is abolished under Subsection (a) of this
1465- section, Section 394.012, Health and Safety Code, is amended to
1466- read as follows:
1467- Sec. 394.012. EXPIRATION. This chapter expires on the last
1468- day of the state fiscal biennium during which the commission
1469- publishes in the Texas Register the notice required by Section
1470- 382.037 [August 31, 2017].
1471- (r-1) Effective on the date that the Texas Emissions
1472- Reduction Plan Advisory Board is abolished under Subsection (a) of
1473- this section, Subtitle C, Title 5, Health and Safety Code, is
1474- amended by adding Chapter 395 to read as follows:
1475- CHAPTER 395. GOVERNMENTAL ALTERNATIVE FUEL FLEET GRANT PROGRAM
1476- Sec. 395.001. DEFINITIONS. In this chapter:
1477- (1) "Alternative fuel" means compressed natural gas,
1478- liquefied natural gas, liquefied petroleum gas, hydrogen fuel
1479- cells, or electricity, including electricity to power fully
1480- electric motor vehicles and plug-in hybrid motor vehicles.
1481- (2) "Commission" means the Texas Commission on
1482- Environmental Quality.
1483- (3) "Incremental cost" has the meaning assigned by
1484- Section 386.001.
1485- (4) "Motor vehicle" means a self-propelled device
1486- designed for transporting persons or property on a public highway
1487- that is required to be registered under Chapter 502, Transportation
1488- Code.
1489- (5) "Plug-in hybrid motor vehicle" has the meaning
1490- assigned by Section 2158.001, Government Code.
1491- (6) "Political subdivision" means a county,
1492- municipality, school district, junior college district, river
1493- authority, water district or other special district, or other
1494- political subdivision created under the constitution or a statute
1495- of this state.
1496- (7) "Program" means the governmental alternative fuel
1497- fleet grant program established under this chapter.
1498- (8) "State agency" has the meaning assigned by Section
1499- 2151.002, Government Code, and includes the commission.
1500- Sec. 395.002. PROGRAM. (a) The commission shall establish
1501- and administer a governmental alternative fuel fleet grant program
1502- to assist an eligible applicant described by Section 395.003 in
1503- purchasing or leasing new motor vehicles that operate primarily on
1504- an alternative fuel.
1505- (b) The program may provide a grant to an applicant
1506- described by Section 395.003 to:
1507- (1) purchase or lease a new motor vehicle described by
1508- Section 395.004; or
1509- (2) purchase, lease, or install refueling
1510- infrastructure or equipment or procure refueling services as
1511- described by Section 395.005 to store and dispense alternative fuel
1512- needed for a motor vehicle described by Subdivision (1) of this
1513- subsection.
1514- Sec. 395.003. ELIGIBLE APPLICANTS. (a) A state agency or
1515- political subdivision is eligible to apply for a grant under the
1516- program if the entity operates a fleet of more than 15 motor
1517- vehicles, excluding motor vehicles that are owned and operated by a
1518- private company or other third party under a contract with the
1519- entity.
1520- (b) A mass transit or school transportation provider or
1521- other public entity established to provide public or school
1522- transportation services is eligible for a grant under the program.
1523- Sec. 395.004. MOTOR VEHICLE REQUIREMENTS. (a) A grant
1524- recipient may purchase or lease with money from a grant under the
1525- program a new motor vehicle that is originally manufactured to
1526- operate using one or more alternative fuels or is converted to
1527- operate using one or more alternative fuels before the first retail
1528- sale of the vehicle, and that:
1529- (1) has a dedicated system, dual-fuel system, or
1530- bi-fuel system; and
1531- (2) if the motor vehicle is a fully electric motor
1532- vehicle or plug-in hybrid motor vehicle, has a United States
1533- Environmental Protection Agency rating of at least 75 miles per
1534- gallon equivalent or a 75-mile combined city and highway range.
1535- (b) A grant recipient may not use money from a grant under
1536- the program to replace a motor vehicle, transit bus, or school bus
1537- that operates on an alternative fuel unless the replacement vehicle
1538- produces fewer emissions and has greater fuel efficiency than the
1539- vehicle being replaced.
1540- Sec. 395.005. REFUELING INFRASTRUCTURE, EQUIPMENT, AND
1541- SERVICES. A grant recipient may purchase, lease, or install
1542- refueling infrastructure or equipment or procure refueling
1543- services with money from a grant under the program if:
1544- (1) the purchase, lease, installation, or procurement
1545- is made in conjunction with the purchase or lease of a motor vehicle
1546- as described by Section 395.004 or the conversion of a motor vehicle
1547- to operate primarily on an alternative fuel;
1548- (2) the grant recipient demonstrates that a refueling
1549- station that meets the needs of the recipient is not available
1550- within five miles of the location at which the recipient's vehicles
1551- are stored or primarily used; and
1552- (3) for the purchase or installation of refueling
1553- infrastructure or equipment, the infrastructure or equipment will
1554- be owned and operated by the grant recipient, and for the lease of
1555- refueling infrastructure or equipment or the procurement of
1556- refueling services, a third-party service provider engaged by the
1557- grant recipient will provide the infrastructure, equipment, or
1558- services.
1559- Sec. 395.006. ELIGIBLE COSTS. (a) A motor vehicle lease
1560- agreement paid for with money from a grant under the program must
1561- have a term of at least three years.
1562- (b) Refueling infrastructure or equipment purchased or
1563- installed with money from a grant under the program must be used
1564- specifically to store or dispense alternative fuel, as determined
1565- by the commission.
1566- (c) A lease of or service agreement for refueling
1567- infrastructure, equipment, or services paid for with money from a
1568- grant under the program must have a term of at least three years.
1569- Sec. 395.007. GRANT AMOUNTS. (a) The commission may
1570- establish standardized grant amounts based on the incremental costs
1571- associated with the purchase or lease of different categories of
1572- motor vehicles, including the type of fuel used, vehicle class, and
1573- other categories the commission considers appropriate.
1574- (b) In determining the incremental costs and setting the
1575- standardized grant amounts, the commission may consider the
1576- difference in cost between a new motor vehicle operated using
1577- conventional gasoline or diesel fuel and a new motor vehicle
1578- operated using alternative fuel.
1579- (c) The amount of a grant for the purchase or lease of a
1580- motor vehicle may not exceed the amount of the incremental cost of
1581- the purchase or lease.
1582- (d) The commission may establish grant amounts to reimburse
1583- the full cost of the purchase, lease, installation, or procurement
1584- of refueling infrastructure, equipment, or services or may
1585- establish criteria for reimbursing a percentage of the cost.
1586- (e) A grant under the program may be combined with funding
1587- from other sources, including other grant programs, except that a
1588- grant may not be combined with other funding or grants from the
1589- Texas emissions reduction plan. When combined with other funding
1590- sources, a grant may not exceed the total cost to the grant
1591- recipient.
1592- (f) In providing a grant for the lease of a motor vehicle
1593- under this chapter, the commission shall establish criteria:
1594- (1) to offset incremental costs through an up-front
1595- payment to lower the cost basis of the lease; or
1596- (2) if determined appropriate by the commission, to
1597- provide for reimbursement of lease payments over no more than the
1598- period of availability of the contracted funds under applicable
1599- state law and regulation, which may be less than the required
1600- three-year lease term.
1601- (g) In providing a grant for the lease of refueling
1602- infrastructure, equipment, or services, the commission shall
1603- establish criteria:
1604- (1) to offset incremental costs through an up-front
1605- payment to lower the cost basis of the lease; or
1606- (2) if determined appropriate by the commission, to
1607- provide for reimbursement of lease payments over no more than the
1608- period of availability of the contracted funds under applicable
1609- state law and regulation, which may be less than the required
1610- three-year lease term.
1611- (h) Notwithstanding Subsection (d), the commission is not
1612- obligated to fund the full cost of the purchase, lease,
1613- installation, or procurement of refueling infrastructure,
1614- equipment, or services if those costs cannot be incurred and
1615- reimbursed over the period of availability of the funds under
1616- applicable state law and regulation.
1617- Sec. 395.008. AVAILABILITY OF EMISSIONS REDUCTION CREDITS.
1618- (a) A project that is funded from a grant under the program and
1619- that would generate marketable emissions reduction credits under a
1620- state or federal emissions reduction credit averaging, banking, or
1621- trading program is not eligible for funding under the program
1622- unless:
1623- (1) the project includes the transfer of the credits,
1624- or the reductions that would otherwise be marketable credits, to
1625- the commission and, if applicable, the state implementation plan;
1626- and
1627- (2) the credits or reductions, as applicable, are
1628- permanently retired.
1629- (b) An emissions reduction generated by a purchase or lease
1630- under this chapter may be used to demonstrate conformity with the
1631- state implementation plan.
1632- Sec. 395.009. USE OF GRANT MONEY. A grant recipient when
1633- using money from a grant under the program shall prioritize:
1634- (1) the purchase or lease of new motor vehicles,
1635- including new motor vehicles that are converted to operate on an
1636- alternative fuel, when replacing vehicles or adding vehicles to the
1637- fleet;
1638- (2) the purchase of new motor vehicles, including new
1639- motor vehicles that are converted to operate on an alternative
1640- fuel, to replace vehicles that have the highest total mileage and do
1641- not use an alternative fuel; and
1642- (3) to the extent feasible, obtaining, whether by
1643- purchase, purchase and conversion, or lease, motor vehicles that
1644- use compressed natural gas, liquefied natural gas, or liquefied
1645- petroleum gas.
1646- Sec. 395.010. GRANT PROCEDURES AND CRITERIA. (a) The
1647- commission shall establish specific criteria and procedures in
1648- order to implement and administer the program, including the
1649- creation and provision of application forms and guidance on the
1650- application process.
1651- (b) The commission shall award a grant through a contract
1652- between the commission and the grant recipient.
1653- (c) The commission shall provide an online application
1654- process for the submission of all required application documents.
1655- (d) The commission may limit funding for a particular period
1656- according to priorities established by the commission, including
1657- limiting the availability of grants to specific entities, for
1658- certain types of vehicles and infrastructure, or to certain
1659- geographic areas to ensure equitable distribution of grant funds
1660- across the state.
1661- (e) In awarding grants under the program, the commission
1662- shall prioritize projects in the following order:
1663- (1) projects that are proposed by a state agency;
1664- (2) projects that are in or near a nonattainment area;
1665- (3) projects that are in an affected county, as that
1666- term is defined by Section 386.001; and
1667- (4) projects that will produce the greatest emissions
1668- reductions.
1669- (f) In addition to the requirements under Subsection (e), in
1670- awarding grants under the program, the commission shall consider:
1671- (1) the total amount of the emissions reduction that
1672- would be achieved from the project;
1673- (2) the type and number of vehicles purchased or
1674- leased;
1675- (3) the location of the fleet and the refueling
1676- infrastructure or equipment;
1677- (4) the number of vehicles served and the rate at which
1678- vehicles are served by the refueling infrastructure or equipment;
1679- (5) the amount of any matching funds committed by the
1680- applicant; and
1681- (6) the schedule for project completion.
1682- (g) The commission may not award more than 10 percent of the
1683- total amount awarded under the program in any fiscal year for
1684- purchasing, leasing, installing, or procuring refueling
1685- infrastructure, equipment, or services.
1686- Sec. 395.011. FUNDING. The legislature may appropriate
1687- money to the commission from the Texas emissions reduction plan
1688- fund established under Section 386.251 to administer the program.
1689- Sec. 395.012. ADMINISTRATIVE COSTS. In each fiscal year,
1690- the commission may use up to 1.5 percent of the total amount of
1691- money allocated to the program in that fiscal year, but not more
1692- than $1 million, for the administrative costs of the program.
1693- Sec. 395.013. RULES. The commission may adopt rules as
1694- necessary to implement this chapter.
1695- Sec. 395.014. REPORT REQUIRED. On or before November 1 of
1696- each even-numbered year, the commission shall submit to the
1697- governor, lieutenant governor, and members of the legislature a
1698- report that includes the following information regarding awards
1699- made under the program during the preceding state fiscal biennium:
1700- (1) the number of grants awarded under the program;
1701- (2) the recipient of each grant awarded;
1702- (3) the number of vehicles replaced;
1703- (4) the number, type, and location of any refueling
1704- infrastructure, equipment, or services funded under the program;
1705- (5) the total emissions reductions achieved under the
1706- program; and
1707- (6) any other information the commission considers
1708- relevant.
1709- Sec. 395.015. EXPIRATION. This chapter expires on the last
1710- day of the state fiscal biennium during which the commission
1711- publishes in the Texas Register the notice required by Section
1712- 382.037.
1713- (r-2) Effective on the date that the Texas Emissions
1714- Reduction Plan Advisory Board is abolished under Subsection (a) of
1715- this section, the following provisions of the Health and Safety
1716- Code are repealed:
130+ medium-duty motor vehicles being replaced by using the emission
131+ certification for the engine or vehicle being replaced. The
132+ commission may consider deterioration of the emission performance
133+ of the engine of the vehicle being replaced in establishing the
134+ baseline emission level. The commission may consider and establish
135+ baseline emission rates for additional pollutants of concern, as
136+ determined by the commission [after consultation with the advisory
137+ board].
138+ (g) The following provisions of the Health and Safety Code
139+ are repealed:
1717140 (1) Section 386.001(1);
1718- (2) Section 386.058;
1719- (3) Section 394.001(1);
1720- (4) Section 394.009;
1721- (5) Section 394.010; and
1722- (6) Section 394.011.
1723- (s) This subsection takes effect on the date that the Texas
1724- Emissions Reduction Plan Advisory Board is abolished under
1725- Subsection (a) of this section. As soon as practicable after the
1726- effective date of this subsection, the Texas Commission on
1727- Environmental Quality shall implement the online application
1728- process required by Section 395.010(c), Health and Safety Code, as
1729- added by this section. Prior to the implementation of the online
1730- application process, the commission may accept applications for a
1731- grant under Chapter 395, Health and Safety Code, as added by this
1732- section, in any manner provided by the commission.
1733- (s-1) This subsection takes effect on the date that the
1734- Texas Emissions Reduction Plan Advisory Board is abolished under
1735- Subsection (a) of this section. The changes in law made by this
1736- section apply only to a Texas emissions reduction plan grant
1737- awarded on or after the effective date of this section. A grant
1738- awarded before the effective date of this section is governed by the
1739- law in effect on the date the award was made, and the former law is
1740- continued in effect for that purpose.
1741- (t) This section takes effect August 30, 2017.
141+ (2) Section 386.058; and
142+ (3) Section 394.001(1).
1742143 SECTION 9. FIRE ANT RESEARCH AND MANAGEMENT ACCOUNT
1743144 ADVISORY COMMITTEE. (a) The Fire Ant Research and Management
1744145 Account Advisory Committee is abolished.
1745146 (b) The following provisions are repealed:
1746147 (1) Section 77.022, Agriculture Code; and
1747148 (2) Section 88.215, Education Code.
1748- SECTION 10. PALLIATIVE CARE INTERDISCIPLINARY ADVISORY
1749- COUNCIL. Section 118.003, Health and Safety Code, is repealed.
1750- SECTION 11. AGRICULTURE POLICY BOARD. (a) The Agriculture
1751- Policy Board is abolished.
1752- (b) Section 2.004, Agriculture Code, is repealed.
1753- SECTION 12. ADVISORY OVERSIGHT COMMUNITY OUTREACH
1754- COMMITTEE. (a) The Advisory Oversight Community Outreach
1755- Committee is abolished.
1756- (b) Section 411.0197, Government Code, is repealed.
1757- SECTION 13. RAIN HARVESTING AND WATER RECYCLING TASK FORCE.
1758- (a) The task force under Section 2113.301(h), Government Code, as
1759- repealed by this section, is abolished.
1760- (b) Section 2113.301(h), Government Code, is repealed.
1761- SECTION 14. STATE COGENERATION COUNCIL. (a) The State
1762- Cogeneration Council is abolished. All rules adopted by the State
1763- Cogeneration Council are abolished.
1764- (b) Section 2302.024, Government Code, is amended to read as
1765- follows:
1766- Sec. 2302.024. AUTHORITY TO SELL POWER. A [(a) After the
1767- council has approved the application to construct or operate a
1768- cogeneration facility, a] cogenerating state agency may contract in
1769- the same manner as a qualifying facility for the sale to an electric
1770- utility of firm or nonfirm power produced by the state agency
1771- cogeneration facility that exceeds the agency's power
1772- requirements.
1773- [(b) A cogenerating state agency may consult with the
1774- council about the price or other terms of a contract entered under
1775- this section.]
1776- (c) The following provisions of the Government Code are
1777- repealed:
1778- (1) Section 2302.001(3);
1779- (2) Sections 2302.002, 2302.003, 2302.004, 2302.005,
1780- 2302.006, and 2302.007;
1781- (3) Section 2302.021(a); and
1782- (4) Section 2302.022.
1783- SECTION 15. PREMARITAL EDUCATION HANDBOOK ADVISORY
1784- COMMITTEE. (a) The advisory committee under Section 2.014(d),
1785- Family Code, as repealed by this section, is abolished.
1786- (b) Section 2.014(d), Family Code, is repealed.
1787- SECTION 16. INDEPENDENT REVIEW ORGANIZATION ADVISORY
1788- GROUP. (a) The advisory group under Section 4202.011, Insurance
1789- Code, as repealed by this section, is abolished.
1790- (b) Section 4202.011, Insurance Code, is repealed.
1791- SECTION 17. VEHICLE PROTECTION PRODUCT WARRANTOR ADVISORY
1792- BOARD. (a) The Vehicle Protection Product Warrantor Advisory
1793- Board is abolished.
1794- (b) Subchapter C, Chapter 2306, Occupations Code, is
1795- repealed.
1796- SECTION 18. Except as otherwise provided by this Act, this
1797- Act takes effect September 1, 2017.
1798- ______________________________ ______________________________
1799- President of the Senate Speaker of the House
1800- I hereby certify that S.B. No. 1731 passed the Senate on
1801- April 27, 2017, by the following vote: Yeas 31, Nays 0;
1802- May 26, 2017, Senate refused to concur in House amendments and
1803- requested appointment of Conference Committee; May 27, 2017, House
1804- granted request of the Senate; May 28, 2017, Senate adopted
1805- Conference Committee Report by the following vote: Yeas 28,
1806- Nays 3.
1807- ______________________________
1808- Secretary of the Senate
1809- I hereby certify that S.B. No. 1731 passed the House, with
1810- amendments, on May 24, 2017, by the following vote: Yeas 145,
1811- Nays 0, one present not voting; May 27, 2017, House granted request
1812- of the Senate for appointment of Conference Committee;
1813- May 28, 2017, House adopted Conference Committee Report by the
1814- following vote: Yeas 146, Nays 0, one present not voting.
1815- ______________________________
1816- Chief Clerk of the House
1817- Approved:
1818- ______________________________
1819- Date
1820- ______________________________
1821- Governor
149+ SECTION 10. This Act takes effect September 1, 2017.