H.B. No. 866
AN ACT
relating to the installation, removal, and replacement of certain
gas pipelines; clarifying changes to related administrative
penalties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 121.206(a) and (d), Utilities Code, are
amended to read as follows:
(a) The railroad commission may assess an administrative
penalty against a person who violates Section 121.201 or a safety
standard or other rule prescribed or adopted under this subchapter
[that section].
(d) The railroad commission by rule shall adopt guidelines
to be used in determining the amount of a penalty under this
subchapter. The guidelines shall include a penalty calculation
worksheet that specifies the typical penalty for certain
violations, circumstances justifying enhancement of a penalty and
the amount of the enhancement, and circumstances justifying a
reduction in a penalty and the amount of the reduction. The
guidelines shall take into account:
(1) the person's history of previous violations of
Section 121.201 or a safety standard or other rule prescribed or
adopted under this subchapter [that section], including the number
of previous violations;
(2) the seriousness of the violation and of any
pollution resulting from the violation;
(3) any hazard to the health or safety of the public;
(4) the degree of culpability;
(5) the demonstrated good faith of the person charged;
and
(6) any other factor the commission considers
relevant.
SECTION 2. Subchapter E, Chapter 121, Utilities Code, is
amended by adding Section 121.213 to read as follows:
Sec. 121.213. INSTALLATION, REMOVAL, AND REPLACEMENT OF
CERTAIN PIPELINES. (a) In this section, "distribution gas
pipeline facility" means a pipeline facility that distributes
natural gas directly to end-use customers.
(b) A distribution gas pipeline facility operator may not
install as part of the operator's underground system a cast iron,
wrought iron, or bare steel pipeline.
(c) The railroad commission by rule shall require the
operator of a distribution gas pipeline facility system to:
(1) develop and implement a risk-based program for the
removal or replacement of underground distribution gas pipeline
facilities; and
(2) annually remove or replace at least eight percent
of underground distribution gas pipeline facilities posing the
greatest risk in the system and identified for replacement under
the program.
(d) A distribution gas pipeline facility operator shall
replace any known cast iron pipelines installed as part of the
operator's underground system not later than December 31, 2021.
(e) Subsection (d) and this subsection expire September 1,
2023.
SECTION 3. The Railroad Commission of Texas shall adopt any
rules necessary to implement the changes in law made by this Act not
later than December 31, 2019.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2019.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 866 was passed by the House on May 3,
2019, by the following vote: Yeas 123, Nays 17, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 866 was passed by the Senate on May
19, 2019, by the following vote: Yeas 28, Nays 3.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor