Texas 2019 - 86th Regular

Texas House Bill HB3802 Latest Draft

Bill / Comm Sub Version Filed 04/24/2019

                            86R26364 JRR-F
 By: Guillen H.B. No. 3802
 Substitute the following for H.B. No. 3802:
 By:  Lozano C.S.H.B. No. 3802


 A BILL TO BE ENTITLED
 AN ACT
 relating to the creation of a zero-emission vehicle program under
 the Texas emissions reduction plan.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 386.051(b), Health and Safety Code, is
 amended to read as follows:
 (b)  Under the plan, the commission and the comptroller shall
 provide grants or other funding for:
 (1)  the diesel emissions reduction incentive program
 established under Subchapter C, including for infrastructure
 projects established under that subchapter;
 (2)  the motor vehicle purchase or lease incentive
 program established under Subchapter D;
 (3)  the air quality research support program
 established under Chapter 387;
 (4)  the clean school bus program established under
 Chapter 390;
 (5)  the new technology implementation grant program
 established under Chapter 391;
 (6)  the regional air monitoring program established
 under Section 386.252(a);
 (7)  a health effects study as provided by Section
 386.252(a);
 (8)  air quality planning activities as provided by
 Section 386.252(d);
 (9)  a contract with the Energy Systems Laboratory at
 the Texas A&M Engineering Experiment Station for computation of
 creditable statewide emissions reductions as provided by Section
 386.252(a);
 (10)  the Texas clean fleet program established under
 Chapter 392;
 (11)  the Texas alternative fueling facilities program
 established under Chapter 393;
 (12)  the Texas natural gas vehicle grant program
 established under Chapter 394;
 (13)  other programs the commission may develop that
 lead to reduced emissions of nitrogen oxides, particulate matter,
 or volatile organic compounds in a nonattainment area or affected
 county;
 (14)  other programs the commission may develop that
 support congestion mitigation to reduce mobile source ozone
 precursor emissions;
 (15)  the seaport and rail yard areas emissions
 reduction program established under Subchapter D-1;
 (16)  conducting 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;
 (17)  studies of or pilot programs for incentives for
 port authorities located in nonattainment areas or affected
 counties as provided by Section 386.252(a); [and]
 (18)  the governmental alternative fuel fleet grant
 program established under Chapter 395; and
 (19)  the zero-emission vehicle program established
 under Subchapter G.
 SECTION 2.  Section 386.252, Health and Safety Code, is
 amended by adding Subsection (b-1) to read as follows:
 (b-1)  Money in the fund may be used by the commission for the
 zero-emission vehicle program established under Subchapter G as may
 be appropriated for that purpose.
 SECTION 3.  Chapter 386, Health and Safety Code, is amended
 by adding Subchapter G to read as follows:
 SUBCHAPTER G. ZERO-EMISSION VEHICLE PROGRAM
 Sec. 386.301.  DEFINITIONS. In this subchapter:
 (1)  "Governmental entity" has the meaning assigned by
 Section 2252.001, Government Code.
 (2)  "Motor vehicle" means a self-propelled device
 designed for transporting persons or property on a public highway
 that is required to be registered under Chapter 502, Transportation
 Code.
 (3)  "Program" means the zero-emission vehicle program
 established under Section 386.302.
 (4)  "Retrofit" means to equip a motor vehicle exhaust
 system with new emissions-reducing parts or technology verified by
 the United States Environmental Protection Agency after
 manufacture of the original engine and fuel system.
 (5)  "Zero-emission vehicle" means a motor vehicle from
 which the exhaust emissions contain not more than two percent of the
 following pollutants, as determined by the commission:
 (A)  carbon dioxide;
 (B)  carbon monoxide;
 (C)  nitrogen dioxide; and
 (D)  sulfur dioxide.
 Sec. 386.302.  PROGRAM. (a) The commission shall establish
 and administer a zero-emission vehicle program designed to reduce
 the total volume of pollutants in exhaust emissions from motor
 vehicles in this state. Under the program, the commission shall
 provide grants for eligible projects to offset the incremental cost
 of projects that lead to the creation of additional zero-emission
 vehicles through retrofitting or modification of existing motor
 vehicles.
 (b)  Projects that may be considered for a grant under the
 program include:
 (1)  the purchase and use of emissions-reducing add-on
 equipment for motor vehicles, including devices that reduce
 pollutants in exhaust emissions;
 (2)  the cost of retrofitting motor vehicles operated
 by the state or a county or municipality with equipment to convert
 those vehicles to zero-emission vehicles; and
 (3)  other technologies that the commission finds will
 facilitate the conversion of motor vehicles into zero-emission
 vehicles.
 Sec. 386.303.  APPLICATION FOR GRANT. (a) A governmental
 entity in this state that operates one or more motor vehicles may
 apply for and receive a grant under the program.
 (b)  The commission may adopt guidelines to allow a regional
 planning commission, council of governments, or similar regional
 planning agency created under Chapter 391, Local Government Code,
 or a private nonprofit organization to also apply for and receive a
 grant to improve the ability of the program to achieve its goals.
 (c)  An application for a grant under this subchapter must be
 made on a form provided by the commission and must contain the
 information required by the commission.
 Sec. 386.304.  ELIGIBILITY OF PROJECTS FOR GRANTS. (a) The
 commission by rule shall establish criteria for setting priorities
 for projects eligible to receive grants under this subchapter. The
 commission shall review and may modify the criteria and priorities
 as appropriate.
 (b)  A motor vehicle proposed for retrofitting must:
 (1)  be of model year 2006 or earlier;
 (2)  be in good operational condition;
 (3)  have at least five years of useful life remaining
 unless the applicant agrees to remove the retrofit device at the end
 of the life of the vehicle and reinstall the device on another motor
 vehicle, where applicable;
 (4)  have been owned, or leased, and operated by the
 applicant for at least the two years before submission of the grant
 application; and
 (5)  be currently used at least once a month by the
 applicant.
 (c)  Except as otherwise provided by this subsection, a
 project is not eligible to receive a grant under this subchapter
 unless not less than 75 percent of vehicle miles traveled or hours
 of operation projected for the five years immediately following the
 award of a grant is projected to take place in a nonattainment area
 or affected county of this state. The commission may set the
 minimum percentage of vehicle miles traveled or hours of operation
 required to take place in a nonattainment area or affected county at
 a percentage and for a period that is different from the percentage
 and period specified by this subsection.
 Sec. 386.305.  RESTRICTION ON USE OF GRANT. A recipient of a
 grant under this subchapter shall use the grant to pay the
 incremental costs of the project for which the grant is made, which
 may include the reasonable and necessary expenses incurred for the
 labor needed to install equipment to eliminate pollutant emissions.
 The recipient may not use the grant to pay the recipient's
 administrative expenses.
 SECTION 4.  This Act takes effect September 1, 2019.