Texas 2019 86th Regular

Texas House Bill HB2871 Introduced / Bill

Filed 03/01/2019

                    86R5681 JXC-D
 By: Biedermann H.B. No. 2871


 A BILL TO BE ENTITLED
 AN ACT
 relating to the regulation of certain aggregate production
 operations by the Railroad Commission of Texas; authorizing a fee;
 providing administrative penalties and other civil remedies;
 creating criminal offenses.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Title 4, Natural Resources Code, is amended by
 adding Chapter 135 to read as follows:
 CHAPTER 135. AGGREGATE PRODUCTION OPERATIONS
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 135.0001.  DEFINITIONS. In this chapter:
 (1)  "Affected land" means:
 (A)  the area from which any materials are to be or
 have been displaced in an aggregate production operation;
 (B)  the area on which any materials that are
 displaced are to be or have been deposited;
 (C)  the haul roads and impoundment basins within
 the aggregate production operation; and
 (D)  other land whose natural state has been or
 will be disturbed as a result of the aggregate production
 operations.
 (2)  "Aggregate production operation" means an
 extraction operation at an aggregate production operation site
 described by Section 28A.001(1), Water Code.
 (3)  "Commission" means the Railroad Commission of
 Texas.
 (4)  "Operator" and "responsible party" have the
 meanings assigned by Section 28A.001, Water Code.
 Sec. 135.0002.  APPLICABILITY. This chapter applies only to
 an aggregate production operation that includes a facility for
 which a permit is required under Chapter 382, Health and Safety
 Code.
 Sec. 135.0003.  REPORT. The commission shall provide to the
 governor, the lieutenant governor, and the speaker of the house of
 representatives an annual report with information regarding the
 implementation of this chapter, including:
 (1)  the results of the survey to locate unregistered
 active aggregate production operations under Section 135.0102;
 (2)  the number and general location of the registered
 aggregate production operations;
 (3)  the number of inspectors trained in multiple areas
 related to the inspection of aggregate production operations;
 (4)  the number of inspections conducted; and
 (5)  the results of the inspections.
 Sec. 135.0004.  AGGREGATE PRODUCTION OPERATION REGULATION
 ACCOUNT. (a) The aggregate production operation regulation
 account is created as an account in the general revenue fund of the
 state treasury.
 (b)  Money in the aggregate production operation regulation
 account may be used only by the commission or its employees or
 agents for the purposes of this chapter.
 Sec. 135.0005.  MEMORANDUM OF UNDERSTANDING. The commission
 may enter into a memorandum of understanding with the Texas
 Commission on Environmental Quality as necessary to administer and
 enforce this chapter.
 SUBCHAPTER B. POWERS AND DUTIES OF COMMISSION
 Sec. 135.0051.  GENERAL AUTHORITY OF COMMISSION. To
 accomplish the purposes of this chapter, the commission may:
 (1)  adopt, amend, and enforce rules pertaining to
 aggregate production operations consistent with this chapter;
 (2)  issue permits under this chapter;
 (3)  conduct hearings under this chapter and Chapter
 2001, Government Code;
 (4)  issue orders requiring a person to take actions
 necessary to comply with this chapter or rules adopted under this
 chapter;
 (5)  issue orders modifying previous orders;
 (6)  issue a final order revoking the permit of a person
 who has not complied with a commission order to take action required
 by this chapter or rules adopted under this chapter;
 (7)  hire employees, adopt standards for employment,
 and hire or authorize the hiring of outside contractors to assist in
 carrying out this chapter;
 (8)  accept, receive, and administer grants, gifts,
 loans, or other money made available from any source for the
 purposes of this chapter; and
 (9)  perform any other duty or act required by or
 provided for in this chapter.
 Sec. 135.0052.  MONITORING, REPORTING, AND INSPECTIONS. (a)
 The commission may:
 (1)  require monitoring and reporting;
 (2)  enter and inspect aggregate production
 operations; and
 (3)  take other actions necessary to administer,
 enforce, or evaluate the administration of this chapter.
 (b)  For purposes of this section, the commission or its
 authorized representative:
 (1)  without advance notice and on presentation of
 appropriate credentials, has the right to enter:
 (A)  an aggregate production operation; or
 (B)  premises on which records required to be
 maintained are located; and
 (2)  at reasonable times and without delay, may have
 access to and copy records required under this chapter or rules
 adopted under this chapter or inspect any monitoring equipment or
 method of operation required under this chapter or rules adopted
 under this chapter.
 (c)  The commission shall inspect each active aggregate
 production operation in this state for compliance with any
 applicable environmental laws and rules under the jurisdiction of
 the commission at least once every three years.
 (d)  The commission may conduct an inspection only after
 providing notice to the responsible party in accordance with
 commission policy.
 (e)  Except as provided by Subsection (f), an inspection must
 be conducted by one or more inspectors trained in the regulatory
 requirements under the jurisdiction of the commission that are
 applicable to an active aggregate production operation. If the
 inspection is conducted by more than one inspector, each inspector
 is not required to be trained in each of the applicable regulatory
 requirements, but the combined training of the inspectors must
 include each of the applicable regulatory requirements.
 (f)  An investigation in response to a complaint satisfies
 the requirement of an inspection under this section if a potential
 noncompliance issue not related to the complaint is observed and
 is:
 (1)  not within an area of expertise of the
 investigator but is referred by the investigator to the commission
 for further investigation; or
 (2)  within an area of expertise of the inspector and is
 appropriately investigated and appropriately addressed in the
 investigation report.
 SUBCHAPTER C. REGISTRATION AND SURVEY
 Sec. 135.0101.  REGISTRATION. (a) The responsible party
 for an aggregate production operation shall register the operation
 with the commission not later than the 10th business day before the
 beginning date of extraction activities and shall renew the
 registration annually as extraction activities continue.
 (b)  After extraction activities at an aggregate production
 operation have ceased and the operator has notified the commission
 in writing that the operations have ceased, the requirements of
 this subchapter are not applicable to the aggregate production
 operation.
 (c)  The commission may not register an aggregate production
 operation unless the commission has issued a reclamation permit for
 the operation under Subchapter D.
 (d)  The commission may not register an aggregate production
 operation unless the responsible party provides to the commission
 documentation of any required permit issued for the operation by
 each groundwater conservation district in which the operation is
 located.
 Sec. 135.0102.  SURVEY. (a) The commission annually shall
 conduct a physical survey of the state to:
 (1)  identify all active aggregate production
 operations in this state; and
 (2)  ensure that each active aggregate production
 operation in this state is registered with the commission.
 (b)  The commission may contract with or seek assistance from
 a governmental entity or other person to conduct the annual survey
 required by Subsection (a) to identify active aggregate production
 operations that are not registered under this chapter.
 Sec. 135.0103.  FEES. (a) A person who registers an
 aggregate production operation under this subchapter shall pay
 annually an aggregate production operation registration fee to the
 commission in an amount established by commission rule.
 (b)  The commission shall set the annual registration fee in
 an amount sufficient to maintain a registry of active aggregate
 production operations in this state and implement this chapter, not
 to exceed $1,000.
 (c)  Registration fees collected under this section shall be
 deposited in the aggregate production operation regulation account
 and may be used only to implement this chapter.
 Sec. 135.0104.  REGISTRATION PENALTY. The commission may
 assess a penalty of not less than $5,000 and not more than $10,000
 for each year in which an aggregate production operation operates
 without being registered under this subchapter. The total penalty
 under this section may not exceed $25,000 for an aggregate
 production operation that is operated in three or more years
 without being registered.
 SUBCHAPTER D. RECLAMATION PERMIT
 Sec. 135.0151.  RECLAMATION OBJECTIVE. (a) The basic
 objective of reclamation is to reestablish on a continuing basis,
 where required, vegetation and other natural conditions consistent
 with the anticipated subsequent use of the affected land.
 (b)  The process of reclamation may require contouring,
 terracing, grading, backfilling, resoiling, revegetation,
 compaction and stabilization and settling ponds, water
 impoundments, diversion ditches, and other water treatment
 facilities in order to minimize water diminution to existing water
 sources, pollution, soil and wind erosion, or flooding resulting
 from extraction or any other activity that may be considered
 necessary to accomplish the reclamation of the affected land to a
 substantially beneficial condition.
 Sec. 135.0152.  RECLAMATION PERMIT REQUIRED. (a) A person
 may not conduct an aggregate production operation without first
 obtaining a reclamation permit for that operation from the
 commission under this subchapter.
 (b)  The commission by rule shall establish requirements for
 obtaining a permit. The requirements must:
 (1)  ensure that the permit holder is capable of
 completing a reclamation process for the permit area in a manner
 that is compatible with the objective described by Section
 135.0151; and
 (2)  be modeled on the reclamation requirements for
 surface mining of uranium and uranium ore under Chapter 131 and
 surface coal mining under Chapter 134, including the submission of
 a reclamation plan and a performance bond.
 Sec. 135.0153.  PERMIT APPLICATION AND ISSUANCE. (a) The
 commission by rule shall establish requirements for submitting a
 permit application.
 (b)  Chapter 2001, Government Code, applies to a permit
 application under this subchapter.
 (c)  On the basis of a complete application for a permit, the
 commission shall approve, require modification of, or deny a permit
 application.
 (d)  An applicant for a permit has the burden of establishing
 that the application complies with this subchapter and rules
 adopted under this chapter.
 Sec. 135.0154.  PERMIT REVISIONS. (a) The commission by
 rule shall require that a permit holder:
 (1)  notify the commission of any significant changes
 in a condition that the commission evaluated as part of the permit
 application process that occur after the permit was issued; and
 (2)  apply for a permit revision if the commission
 determines a revision is appropriate.
 (b)  A permit revision application is subject to the same
 requirements for issuance as an initial permit.
 Sec. 135.0155.  CIVIL OR ADMINISTRATIVE ENFORCEMENT.
 Subchapter H, Chapter 134, applies to the civil or administrative
 enforcement of this subchapter or a rule, order, or permit adopted
 or issued under this subchapter in the same manner as Subchapter H,
 Chapter 134, applies to the civil or administrative enforcement of
 that chapter or a rule, order, or permit adopted or issued under
 that chapter.
 Sec. 135.0156.  CRIMINAL PENALTY FOR WILFUL AND KNOWING
 VIOLATION. (a) A person commits an offense if the person wilfully
 and knowingly violates a condition of a permit issued under this
 subchapter or does not comply with an order issued under this
 subchapter, except an order incorporated in a decision issued by
 the commission under Section 134.175, as applicable under Section
 135.0155.
 (b)  An offense under this section is punishable by:
 (1)  a fine of not more than $10,000;
 (2)  imprisonment for not more than one year; or
 (3)  both the fine and the imprisonment.
 Sec. 135.0157.  CRIMINAL PENALTY FOR FALSE STATEMENT,
 REPRESENTATION, OR CERTIFICATION. (a) A person commits an offense
 if the person knowingly makes a false statement, representation, or
 certification, or knowingly fails to make a statement,
 representation, or certification, in an application, record,
 report, or other document filed or required to be maintained under
 this subchapter or under an order of decision issued by the
 commission under this subchapter.
 (b)  An offense under this section is punishable by:
 (1)  a fine of not more than $10,000;
 (2)  imprisonment for not more than one year; or
 (3)  both the fine and the imprisonment.
 SECTION 2.  Subchapter A, Chapter 28A, Water Code, is
 amended by adding Section 28A.002 to read as follows:
 Sec. 28A.002.  APPLICABILITY. This chapter applies only to
 an aggregate production operation that does not include a facility
 for which a permit is required under Chapter 382, Health and Safety
 Code.
 SECTION 3.  (a) The Texas Commission on Environmental
 Quality shall continue to carry out the commission's powers and
 duties that are transferred by this Act until the commission and the
 Railroad Commission of Texas adopt the memorandum of understanding
 required by this section, complete the transfer of the items
 specified in the memorandum, and publicly announce that the
 transfer is complete.
 (b)  The Railroad Commission of Texas and the Texas
 Commission on Environmental Quality shall enter into a memorandum
 of understanding that:
 (1)  identifies in detail the applicable powers and
 duties that are transferred by this Act;
 (2)  establishes a plan for the identification and
 transfer of any records, personnel, property, and unspent
 appropriations of the Texas Commission on Environmental Quality
 that are used solely for purposes of the powers and duties that are
 transferred by this Act; and
 (3)  establishes a plan for the transfer of any pending
 applications, hearings, rulemaking proceedings, and orders
 relating to the powers and duties that are transferred by this Act.
 (c)  The executive directors of the Railroad Commission of
 Texas and the Texas Commission on Environmental Quality may agree
 in the memorandum of understanding under this section to transfer
 to the Railroad Commission of Texas any personnel of the Texas
 Commission on Environmental Quality whose functions predominantly
 involve powers and duties related to the powers and duties that are
 transferred by this Act.
 (d)  A rule, form, policy, procedure, or decision of the
 Texas Commission on Environmental Quality related to a power or
 duty transferred under this Act continues in effect as a rule, form,
 policy, procedure, or decision of the Railroad Commission of Texas
 and remains in effect until amended or replaced by that agency.
 SECTION 4.  This Act takes effect September 1, 2019.