Texas 2019 86th Regular

Texas House Bill HB3745 Introduced / Bill

Filed 03/07/2019

                    86R16927 JRR-D
 By: Bell of Montgomery H.B. No. 3745


 A BILL TO BE ENTITLED
 AN ACT
 relating to the Texas emissions reduction plan fund and account.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 386.001, Health and Safety Code, is
 amended by adding Subdivision (1) and amending Subdivision (5) to
 read as follows:
 (1)  "Account" means the Texas emissions reduction plan
 account established under Section 386.251.
 (5)  "Fund" means the Texas emissions reduction plan
 fund established under Section 386.250.
 SECTION 2.  Section 386.057(c), Health and Safety Code, is
 amended to read as follows:
 (c)  For projects funded as part of the infrastructure
 program under Subchapter C, the report must:
 (1)  describe and evaluate:
 (A)  the infrastructure facilities funded under
 that subchapter;
 (B)  the degree to which the funded facilities are
 supporting on-road or non-road diesel projects;
 (C)  the amount of fuel or electricity dispensed
 for each facility; and
 (D)  associated emissions reductions and
 cost-effectiveness; and
 (2)  make a finding regarding the need for additional
 appropriations from the account [fund] to improve the ability of
 the program to achieve its goals.
 SECTION 3.  The heading to Subchapter F, Chapter 386, Health
 and Safety Code, is amended to read as follows:
 SUBCHAPTER F. TEXAS EMISSIONS REDUCTION PLAN FUND AND ACCOUNT
 SECTION 4.  Subchapter F, Chapter 386, Health and Safety
 Code, is amended by adding Section 386.250 to read as follows:
 Sec. 386.250.  TEXAS EMISSIONS REDUCTION PLAN FUND. (a) The
 Texas emissions reduction plan fund is established as a trust fund
 to be held by the comptroller and administered by the commission as
 trustee. Money in the fund may be spent without legislative
 appropriation and may be used only as provided by this chapter.
 Interest and other earnings on the balance of the fund shall be
 credited to the fund.
 (b)  The fund consists of:
 (1)  the amount of money deposited to the credit of the
 fund under:
 (A)  Section 386.056;
 (B)  Sections 151.0515 and 152.0215, Tax Code; and
 (C)  Sections 501.138, 502.358, and 548.5055,
 Transportation Code; and
 (2)  grant money recaptured under Section 386.111(d)
 and Chapter 391.
 (c)  Not later than the 30th day after the last day of each
 state fiscal biennium, the commission shall transfer the
 unencumbered balance of the fund remaining on the last day of the
 state fiscal biennium to the credit of the Texas emissions
 reduction plan account.
 SECTION 5.  Section 386.251, Health and Safety Code, is
 amended to read as follows:
 Sec. 386.251.  TEXAS EMISSIONS REDUCTION PLAN ACCOUNT
 [FUND]. (a) The Texas emissions reduction plan account [fund] is
 an account in the state treasury.
 (b)  The account [fund] is administered by the commission for
 the benefit of the plan established under this chapter.  The account
 [fund] is exempt from the application of Section 403.095,
 Government Code.  Interest earned on the account [fund] shall be
 credited to the account [fund].
 (c)  The account [fund] consists of its accumulated balance
 and [:
 [(1)]  the amount of money transferred to the account
 under Section 386.250(c) [deposited to the credit of the fund
 under:
 [(A)  Section 386.056;
 [(B)     Sections 151.0515 and 152.0215, Tax Code;
 and
 [(C)     Sections 501.138, 502.358, and 548.5055,
 Transportation Code; and
 [(2)     grant money recaptured under Section 386.111(d)
 and Chapter 391].
 SECTION 6.  The heading to Section 386.252, Health and
 Safety Code, is amended to read as follows:
 Sec. 386.252.  USE OF FUND AND ACCOUNT.
 SECTION 7.  Sections 386.252(a), (b), (e), (f), (g), and
 (h), Health and Safety Code, are amended to read as follows:
 (a)  Money in the fund and account may be used only to
 implement and administer programs established under the
 plan.  Subject to the reallocation of funds by the commission under
 Subsection (h), money from the fund and account [appropriated to
 the commission] to be used for the programs under Section
 386.051(b) shall initially be allocated as follows:
 (1)  four percent may be used for the clean school bus
 program under Chapter 390;
 (2)  three percent may be used for the new technology
 implementation grant program under Chapter 391, from which at least
 $1 million will be set aside for electricity storage projects
 related to renewable energy;
 (3)  five percent may be used for the clean fleet
 program under Chapter 392;
 (4)  not more than $3 million may be used by the
 commission to fund a regional air monitoring program in commission
 Regions 3 and 4 to be implemented under the commission's oversight,
 including direction regarding the type, number, location, and
 operation of, and data validation practices for, monitors funded by
 the program through a regional nonprofit entity located in North
 Texas having representation from counties, municipalities, higher
 education institutions, and private sector interests across the
 area;
 (5)  10 percent may be used for the Texas natural gas
 vehicle grant program under Chapter 394;
 (6)  not more than $6 million may be used for the Texas
 alternative fueling facilities program under Chapter 393, of which
 a specified amount may be used for fueling stations to provide
 natural gas fuel, except that money may not be allocated for the
 Texas alternative fueling facilities program for the state fiscal
 year ending August 31, 2019;
 (7)  not more than $750,000 may be used each year to
 support research related to air quality as provided by Chapter 387;
 (8)  not more than $200,000 may be used for a health
 effects study;
 (9)  at least $6 million but not more than $8 million
 may be used by [is allocated to] the commission for administrative
 costs, including all direct and indirect costs for administering
 the plan, costs for conducting outreach and education activities,
 and costs attributable to the review or approval of applications
 for marketable emissions reduction credits;
 (10)  six percent may be used by the commission for the
 seaport and rail yard areas emissions reduction program established
 under Subchapter D-1;
 (11)  five percent may be used for the light-duty motor
 vehicle purchase or lease incentive program established under
 Subchapter D;
 (12)  not more than $216,000 may be used by [is
 allocated to] the commission to contract with the Energy Systems
 Laboratory at the Texas A&M Engineering Experiment Station annually
 for the development and annual computation of creditable statewide
 emissions reductions obtained through wind and other renewable
 energy resources for the state implementation plan;
 (13)  not more than $500,000 may be used for studies of
 or pilot programs for incentives for port authorities located in
 nonattainment areas or affected counties to encourage cargo
 movement that reduces emissions of nitrogen oxides and particulate
 matter; and
 (14)  the balance is to be used by the commission for
 the diesel emissions reduction incentive program under Subchapter C
 as determined by the commission.
 (b)  Money in the fund and account may be used by the
 commission for programs under Sections 386.051(b)(13), (b)(14),
 and (b-1) [as may be appropriated for those programs].
 (e)  Money in the fund and account may be used [allocated]
 for administrative costs incurred by the Energy Systems Laboratory
 at the Texas A&M Engineering Experiment Station [as may be
 appropriated by the legislature].
 (f)  Not [To the extent that money is appropriated from the
 fund for that purpose, not] more than $2.5 million from the fund and
 account may be used by the commission to conduct research and other
 activities associated with making any necessary demonstrations to
 the United States Environmental Protection Agency to account for
 the impact of foreign emissions or an exceptional event.
 (g)  The [To the extent that money is appropriated from the
 fund for that purpose, the] commission may use [that] money from the
 fund and account to award grants under the governmental alternative
 fuel fleet grant program established under Chapter 395, except that
 the commission may not use for that purpose more than three percent
 of the balance of the fund as of September 1 of each state fiscal
 year of the biennium for the governmental alternative fuel fleet
 grant program in that fiscal year.
 (h)  Subject to the limitations outlined in this section [and
 any additional limitations placed on the use of the appropriated
 funds], money allocated under this section to a particular program
 may be used for another program under the plan as determined by the
 commission, based on demand for grants for eligible projects under
 particular programs after the commission solicits projects to which
 to award grants according to the initial allocation provisions of
 this section.
 SECTION 8.  Section 395.011, Health and Safety Code, is
 amended to read as follows:
 Sec. 395.011.  FUNDING.  The legislature may appropriate
 money to the commission from the Texas emissions reduction plan
 account [fund] established under Section 386.251 to administer the
 program.
 SECTION 9.  The amendments to Section 386.251, Health and
 Safety Code, made by this Act do not affect the balance of the Texas
 Emissions Reduction Plan Account No. 5071 remaining on the
 effective date of this Act.
 SECTION 10.  This Act takes effect September 1, 2019.