| 1 | 1 | | 86R2566 BRG-D |
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| 2 | 2 | | By: Anchia H.B. No. 863 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to gas pipeline operator reporting of pipeline incidents; |
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| 8 | 8 | | clarifying changes to related administrative penalties. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Sections 121.206(a) and (d), Utilities Code, are |
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| 11 | 11 | | amended to read as follows: |
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| 12 | 12 | | (a) The railroad commission may assess an administrative |
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| 13 | 13 | | penalty against a person who violates Section 121.201 or a safety |
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| 14 | 14 | | standard or other rule prescribed or adopted under this subchapter |
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| 15 | 15 | | [that section]. |
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| 16 | 16 | | (d) The railroad commission by rule shall adopt guidelines |
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| 17 | 17 | | to be used in determining the amount of a penalty under this |
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| 18 | 18 | | subchapter. The guidelines shall include a penalty calculation |
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| 19 | 19 | | worksheet that specifies the typical penalty for certain |
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| 20 | 20 | | violations, circumstances justifying enhancement of a penalty and |
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| 21 | 21 | | the amount of the enhancement, and circumstances justifying a |
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| 22 | 22 | | reduction in a penalty and the amount of the reduction. The |
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| 23 | 23 | | guidelines shall take into account: |
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| 24 | 24 | | (1) the person's history of previous violations of |
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| 25 | 25 | | Section 121.201 or a safety standard or other rule prescribed or |
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| 26 | 26 | | adopted under this subchapter [that section], including the number |
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| 27 | 27 | | of previous violations; |
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| 28 | 28 | | (2) the seriousness of the violation and of any |
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| 29 | 29 | | pollution resulting from the violation; |
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| 30 | 30 | | (3) any hazard to the health or safety of the public; |
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| 31 | 31 | | (4) the degree of culpability; |
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| 32 | 32 | | (5) the demonstrated good faith of the person charged; |
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| 33 | 33 | | and |
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| 34 | 34 | | (6) any other factor the commission considers |
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| 35 | 35 | | relevant. |
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| 36 | 36 | | SECTION 2. Subchapter E, Chapter 121, Utilities Code, is |
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| 37 | 37 | | amended by adding Section 121.214 to read as follows: |
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| 38 | 38 | | Sec. 121.214. PIPELINE INCIDENT NOTIFICATION. (a) The |
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| 39 | 39 | | railroad commission by rule shall require a distribution gas |
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| 40 | 40 | | pipeline facility operator to notify the commission of each event |
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| 41 | 41 | | involving a release of gas from its pipelines that results in one or |
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| 42 | 42 | | more of the following consequences: |
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| 43 | 43 | | (1) a death or a personal injury necessitating |
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| 44 | 44 | | inpatient hospitalization; |
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| 45 | 45 | | (2) estimated property damage of $50,000 or more, |
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| 46 | 46 | | including loss to the operator, loss to others, or both, but |
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| 47 | 47 | | excluding cost of gas lost; or |
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| 48 | 48 | | (3) unintentional estimated gas loss of three million |
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| 49 | 49 | | cubic feet or more. |
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| 50 | 50 | | (b) The rules must require that the distribution gas |
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| 51 | 51 | | pipeline facility operator notify the commission of an event before |
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| 52 | 52 | | the expiration of two hours following the operator's discovery of |
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| 53 | 53 | | the event. |
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| 54 | 54 | | SECTION 3. The Railroad Commission of Texas shall adopt the |
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| 55 | 55 | | rules required by Section 121.214, Utilities Code, as added by this |
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| 56 | 56 | | Act, not later than December 31, 2019. |
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| 57 | 57 | | SECTION 4. This Act takes effect September 1, 2019. |
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