Texas 2021 - 87th Regular

Texas Senate Bill SB622 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	By: Gutierrez S.B. No. 622
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the new technology implementation grant program.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 386.252(a), Health and Safety Code, is
9	9	amended to read as follows:
10	10	Sec. 386.252. USE OF FUND. (a) Money in the fund may be
11	11	used only to implement and administer programs established under
12	12	the plan. Subject to the reallocation of funds by the commission
13	13	under Subsection (h), money appropriated to the commission to be
14	14	used for the programs under Section 386.051(b) shall initially be
15	15	allocated as follows:
16	16	(1) four percent may be used for the clean school bus
17	17	program under Chapter 390;
18	18	(2) six [three] percent may be used for the new
19	19	technology implementation grant program under Chapter 391, from
20	20	which at least $1 million will be set aside for electricity storage
21	21	projects related to renewable energy;
22	22	(3) two [five] percent may be used for the clean fleet
23	23	program under Chapter 392;
24	24	(4) not more than $3 million may be used by the
25	25	commission to fund a regional air monitoring program in commission
26	26	Regions 3 and 4 to be implemented under the commission's oversight,
27	27	including direction regarding the type, number, location, and
28	28	operation of, and data validation practices for, monitors funded by
29	29	the program through a regional nonprofit entity located in North
30	30	Texas having representation from counties, municipalities, higher
31	31	education institutions, and private sector interests across the
32	32	area;
33	33	(5) 10 percent may be used for the Texas natural gas
34	34	vehicle grant program under Chapter 394;
35	35	(6) not more than $6 million may be used for the Texas
36	36	alternative fueling facilities program under Chapter 393, of which
37	37	a specified amount may be used for fueling stations to provide
38	38	natural gas fuel, except that money may not be allocated for the
39	39	Texas alternative fueling facilities program for the state fiscal
40	40	year ending August 31, 2019;
41	41	(7) not more than $750,000 may be used each year to
42	42	support research related to air quality as provided by Chapter 387;
43	43	(8) not more than $200,000 may be used for a health
44	44	effects study;
45	45	(9) at least $6 million but not more than $8 million is
46	46	allocated to the commission for administrative costs, including all
47	47	direct and indirect costs for administering the plan, costs for
48	48	conducting outreach and education activities, and costs
49	49	attributable to the review or approval of applications for
50	50	marketable emissions reduction credits;
51	51	(10) six percent may be used by the commission for the
52	52	seaport and rail yard areas emissions reduction program established
53	53	under Subchapter D-1;
54	54	(11) five percent may be used for the light-duty motor
55	55	vehicle purchase or lease incentive program established under
56	56	Subchapter D;
57	57	(12) not more than $216,000 is allocated to the
58	58	commission to contract with the Energy Systems Laboratory at the
59	59	Texas A&M Engineering Experiment Station annually for the
60	60	development and annual computation of creditable statewide
61	61	emissions reductions obtained through wind and other renewable
62	62	energy resources for the state implementation plan;
63	63	(13) not more than $500,000 may be used for studies of
64	64	or pilot programs for incentives for port authorities located in
65	65	nonattainment areas or affected counties to encourage cargo
66	66	movement that reduces emissions of nitrogen oxides and particulate
67	67	matter; and
68	68	(14) the balance is to be used by the commission for
69	69	the diesel emissions reduction incentive program under Subchapter C
70	70	as determined by the commission.
71	71	SECTION 2. Section 391.002, Health and Safety Code, is
72	72	amended to read as follows:
73	73	Sec. 391.002. GRANT PROGRAM. (a) The commission shall
74	74	establish and administer a new technology implementation grant
75	75	program to assist the implementation of new technologies to reduce
76	76	emissions from facilities and other stationary sources in this
77	77	state. The commission may establish a minimum capital expenditure
78	78	threshold for projects under Subsection (b)(2). Under the program,
79	79	the commission shall provide grants or other financial incentives
80	80	for eligible projects to offset the incremental cost of emissions
81	81	reductions.
82	82	(b) Projects that may be considered for a grant under the
83	83	program include:
84	84	(1) advanced clean energy projects, as defined by
85	85	Section 382.003;
86	86	(2) new technology projects that reduce emissions of
87	87	regulated pollutants from stationary sources;
88	88	(3) new technology projects that reduce emissions from
89	89	upstream and midstream oil and gas production, completions,
90	90	gathering, storage, processing, and transmission activities
91	91	through:
92	92	(A) the replacement, repower, or retrofit of
93	93	stationary compressor engines;
94	94	(B) the installation of systems to reduce or
95	95	eliminate the loss of gas, flaring of gas, or burning of gas using
96	96	other combustion control devices; or
97	97	(C) the installation of systems that reduce
98	98	flaring emissions and other site emissions [by capturing waste heat
99	99	to generate electricity solely for on-site service]; and
100	100	(4) electricity storage projects related to renewable
101	101	energy, including projects to store electricity produced from wind
102	102	and solar generation that provide efficient means of making the
103	103	stored energy available during periods of peak energy use.
104	104	SECTION 3. Section 391.205, Health and Safety Code, is
105	105	amended to read as follows:
106	106	Sec. 391.205. PREFERENCES. (a) Except as provided by
107	107	Subsection (c), in awarding grants under this chapter the
108	108	commission shall give preference to projects that:
109	109	(1) involve the transport, use, recovery for use, or
110	110	prevention of the loss of natural resources originating or produced
111	111	in this state;
112	112	(2) contain an energy efficiency component;
113	113	(3) include the use of solar, wind, or other renewable
114	114	energy sources; [or]
115	115	(4) recover waste heat from the combustion of natural
116	116	resources and use the heat to generate electricity; or
117	117	(5) systems that reduce flaring emissions and other
118	118	site emissions.
119	119	(b) Projects that include more than one of the criteria
120	120	described by Subsection (a) shall be given a greater preference in
121	121	the award of grants under this chapter.
122	122	(c) The commission may give preference under Subsection (a)
123	123	only if the cost-effectiveness and emission performance of the
124	124	project are comparable to those of a project not claiming a
125	125	preference described by that subsection.
126	126	SECTION 4. Section 391.301, Health and Safety Code, is
127	127	amended to read as follows:
128	128	Sec. 391.301. RESTRICTION ON USE OF GRANT. A recipient of a
129	129	grant under this chapter must use the grant to pay the incremental
130	130	costs of the purchase, rental and installation of the project for
131	131	which the grant is made, which may include reasonable and necessary
132	132	expenses for the labor needed to install emissions-reducing
133	133	equipment. [The recipient may not use the grant for the costs of
134	134	operating and maintaining the emissions-reducing equipment].
135	135	SECTION 5. The changes in law made by this Act apply only to
136	136	a Texas emissions reduction plan grant awarded on or after the
137	137	effective date of this Act. A grant awarded before the effective
138	138	date of this Act is governed by the law in effect on the date the
139	139	award was made, and the former law is continued in effect for that
140	140	purpose.
141	141	SECTION 6. This Act takes effect September 1, 2021.