Texas 2021 - 87th Regular

Texas House Bill HB2468 Compare Versions

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11 87R16682 JRR-F
2- By: Thompson of Brazoria, Zwiener, Ramos H.B. No. 2468
2+ By: Thompson of Brazoria H.B. No. 2468
3+ Substitute the following for H.B. No. 2468:
4+ By: Kuempel C.S.H.B. No. 2468
35
46
57 A BILL TO BE ENTITLED
68 AN ACT
79 relating to programs established and funded under the Texas
810 emissions reduction plan.
911 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1012 SECTION 1. Section 386.051(b), Health and Safety Code, is
1113 amended to read as follows:
1214 (b) Under the plan, the commission and the comptroller shall
1315 provide grants or other funding for:
1416 (1) the diesel emissions reduction incentive program
1517 established under Subchapter C, including for infrastructure
1618 projects established under that subchapter;
1719 (2) the motor vehicle purchase or lease incentive
1820 program established under Subchapter D;
1921 (3) the air quality research support program
2022 established under Chapter 387;
2123 (4) the clean school bus program established under
2224 Chapter 390;
2325 (5) the new technology implementation grant program
2426 established under Chapter 391;
2527 (6) the regional air monitoring program established
2628 under Section 386.252(a);
2729 (7) a health effects study as provided by Section
2830 386.252(a);
2931 (8) air quality planning activities as provided by
3032 Section 386.252(d);
3133 (9) a contract with the Energy Systems Laboratory at
3234 the Texas A&M Engineering Experiment Station for computation of
3335 creditable statewide emissions reductions as provided by Section
3436 386.252(a);
3537 (10) the Texas clean fleet program established under
3638 Chapter 392;
3739 (11) the Texas alternative fueling facilities program
3840 established under Chapter 393;
3941 (12) the Texas natural gas vehicle grant program
4042 established under Chapter 394;
4143 (13) other programs the commission may develop that
4244 lead to reduced emissions of nitrogen oxides, particulate matter,
4345 or volatile organic compounds in a nonattainment area or affected
4446 county;
4547 (14) other programs the commission may develop that
4648 support congestion mitigation to reduce mobile source ozone
4749 precursor emissions;
4850 (15) the seaport and rail yard areas emissions
4951 reduction program established under Subchapter D-1;
5052 (16) conducting research and other activities
5153 associated with making any necessary demonstrations to the United
5254 States Environmental Protection Agency to account for the impact of
5355 foreign emissions or an exceptional event;
5456 (17) studies of or pilot programs for incentives for
5557 port authorities located in nonattainment areas or affected
5658 counties as provided by Section 386.252(a); [and]
5759 (18) the governmental alternative fuel fleet grant
5860 program established under Chapter 395;
5961 (19) the purchase, maintenance, upgrade, and
6062 operation of air monitoring equipment as provided by Section
6163 386.252(a); and
6264 (20) fee-based contracts entered into under the
6365 program established under Section 386.058.
6466 SECTION 2. Subchapter B, Chapter 386, Health and Safety
6567 Code, is amended by adding Section 386.058 to read as follows:
6668 Sec. 386.058. FEE-BASED CONTRACTS FOR PURCHASE OF
6769 REDUCTIONS IN EMISSIONS OF NITROGEN OXIDES. (a) The commission by
6870 rule shall establish a program authorizing the commission to enter
6971 into fee-based contracts for the purchase of reductions in
7072 emissions of nitrogen oxides.
7173 (b) The program established under this section must:
7274 (1) specify the types of projects that are eligible
7375 for fee-based contracts under the program, such as marine emission
7476 capture systems;
7577 (2) measure nitrogen oxides emissions input and output
7678 on a continuous basis;
7779 (3) require nitrogen oxides emissions reduced under
7880 the contract to be verified and certified by the commission;
7981 (4) assign a dollar per ton fee based solely on the
8082 dollar per ton cost of the reduction in emissions of nitrogen
8183 oxides;
8284 (5) require payments under the contract to be made
8385 only for actual reductions in nitrogen oxides emissions that are
8486 verified by the commission; and
8587 (6) authorize the commission to enter into multiyear
8688 contracts under the program.
8789 (c) Notwithstanding Section 386.055:
8890 (1) the commission may enter into a fee-based contract
8991 under the program established under this section for a project
9092 involving a new emissions reduction measure that would otherwise
9193 generate marketable credits under a state or federal emissions
9294 reduction credit averaging, banking, or trading program if, during
9395 the term of the contract, the project is not used for credit under
9496 any state or federal emissions reduction credit averaging, banking,
9597 or trading program; and
9698 (2) a project that was subject to a fee-based contract
9799 under the program established under this section may be used for
98100 credit under a state or federal emissions reduction credit
99101 averaging, banking, or trading program if:
100102 (A) the contract has expired or otherwise
101103 terminated and the project is not subject to any other fee-based
102104 contract entered into under the program established under this
103105 section; and
104106 (B) the project otherwise meets the requirements
105107 of the applicable state or federal emissions reduction credit
106108 averaging, banking, or trading program.
107109 SECTION 3. Sections 386.252(a) and (f), Health and Safety
108110 Code, as effective September 1, 2021, are amended to read as
109111 follows:
110112 (a) Money in the fund and account may be used only to
111113 implement and administer programs established under the plan.
112114 Subject to the reallocation of funds by the commission under
113115 Subsection (h), money from the fund and account to be used for the
114116 programs under Section 386.051(b) shall initially be allocated as
115117 follows:
116118 (1) four percent may be used for the clean school bus
117119 program under Chapter 390;
118120 (2) three percent may be used for the new technology
119121 implementation grant program under Chapter 391, from which at least
120122 $1 million will be set aside for electricity storage projects
121123 related to renewable energy;
122124 (3) five percent may be used for the Texas clean fleet
123125 program under Chapter 392;
124126 (4) not more than $3 million may be used by the
125127 commission to fund a regional air monitoring program in commission
126128 Regions 3 and 4 to be implemented under the commission's oversight,
127129 including direction regarding the type, number, location, and
128130 operation of, and data validation practices for, monitors funded by
129131 the program through a regional nonprofit entity located in North
130132 Texas having representation from counties, municipalities, higher
131133 education institutions, and private sector interests across the
132134 area;
133135 (5) 10 percent may be used for the Texas natural gas
134136 vehicle grant program under Chapter 394;
135137 (6) not more than $6 million may be used for the Texas
136138 alternative fueling facilities program under Chapter 393, of which
137139 a specified amount may be used for fueling stations to provide
138140 natural gas fuel, except that money may not be allocated for the
139141 Texas alternative fueling facilities program for the state fiscal
140142 year ending August 31, 2019;
141143 (7) not more than $1 million [$750,000] may be used
142144 each year to support research related to air quality as provided by
143145 Chapter 387;
144146 (8) not more than $200,000 may be used for a health
145147 effects study;
146148 (9) at least $6 million but not more than $16 million
147149 may be used by the commission for administrative costs, including
148150 all direct and indirect costs for administering the plan, costs for
149151 conducting outreach and education activities, and costs
150152 attributable to the review or approval of applications for
151153 marketable emissions reduction credits;
152154 (10) six percent may be used by the commission for the
153155 seaport and rail yard areas emissions reduction program established
154156 under Subchapter D-1;
155157 (11) five percent may be used for the light-duty motor
156158 vehicle purchase or lease incentive program established under
157159 Subchapter D;
158160 (12) not more than $216,000 may be used by the
159161 commission to contract with the Energy Systems Laboratory at the
160162 Texas A&M Engineering Experiment Station annually for the
161163 development and annual computation of creditable statewide
162164 emissions reductions obtained through wind and other renewable
163165 energy resources for the state implementation plan;
164166 (13) not more than $500,000 may be used for studies of
165167 or pilot programs for incentives for port authorities located in
166168 nonattainment areas or affected counties to encourage cargo
167169 movement that reduces emissions of nitrogen oxides and particulate
168170 matter; [and]
169171 (14) not more than $10 million may be used by the
170172 commission for the purchase, maintenance, upgrade, and operation of
171173 air monitoring equipment to be used in nonattainment areas and
172174 affected counties; and
173175 (15) the balance is to be used by the commission for:
174176 (A) the diesel emissions reduction incentive
175177 program under Subchapter C as determined by the commission; and
176178 (B) fee-based contracts entered into under the
177179 program established under Section 386.058.
178180 (f) Not more than $5 [$2.5] million from the fund and
179181 account may be used by the commission to conduct research and other
180182 activities associated with making any necessary demonstrations to
181183 the United States Environmental Protection Agency to account for
182184 the impact of foreign emissions or an exceptional event.
183185 SECTION 4. This Act takes effect September 1, 2021.