By: Darby H.B. No. 3246 A BILL TO BE ENTITLED AN ACT relating to treating and recycling for beneficial use certain liquid or semiliquid waste arising out of or incidental to drilling for or pro ducing oil or gas. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 122.002(1), Natural Resources Code is amended to read as follows: (1) when fluid oil and gas waste is produced and utilized by or transferred to a person who takes possession of that waste for the purpose of treating the waste for a subsequent beneficial use, the waste [transferred material] is considered to be the property of the person who takes possession of it for the purpose of treating the waste for subsequent beneficial use until the person transfers the waste or treated waste to another person for disposal or use; and (2) when a person who takes possession of fluid oil and gas waste for the purpose of treating the waste for a subsequent beneficial use transfers possession of the treated product or any treatment byproduct to another person for the purpose of subsequent disposal or beneficial use, the transferred product or byproduct is considered to be the property of the person to whom the material is transferred. SECTION 2. This Act takes effect September 1, 2019.