Texas 2023 - 88th Regular

Texas House Bill HB3244 Compare Versions

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Version 2 (New)

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1	1	88R22274 JXC-D
2	2	By: Goldman, Canales H.B. No. 3244
3	3	Substitute the following for H.B. No. 3244:
4	4	By: Goldman C.S.H.B. No. 3244
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to the operation of certain infrastructure during a
10	10	weather emergency; authorizing administrative penalties.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Section 81.073(b), Natural Resources Code, as
13	13	added by Chapter 426 (S.B. 3), Acts of the 87th Legislature, Regular
14	14	Session, 2021, is amended to read as follows:
15	15	(b) The rules must:
16	16	(1) establish criteria for designating persons who own
17	17	or operate a facility under the jurisdiction of the commission
18	18	under Section 81.051(a) or engage in an activity under the
19	19	jurisdiction of the commission under Section 81.051(a) who must
20	20	provide critical customer and critical gas supply information, as
21	21	defined by the commission, to the entities described by Section
22	22	38.074(b)(1), Utilities Code; and
23	23	(2) consider essential operational elements when
24	24	defining critical customer designations and critical gas supply
25	25	information for the purposes of Subdivision (1), including natural
26	26	gas production, processing, and transportation, related produced
27	27	water handling and disposal facilities, and the delivery of natural
28	28	gas to generators of electric energy[; and
29	29	[(3) require that only facilities and entities that
30	30	are prepared to operate during a weather emergency may be
31	31	designated as a critical customer under this section].
32	32	SECTION 2. Sections 86.044(d), (f), and (g), Natural
33	33	Resources Code, are amended to read as follows:
34	34	(d) The commission shall:
35	35	(1) inspect gas supply chain facilities for compliance
36	36	with rules adopted under Subsection (c); and
37	37	(2) provide the owner of a facility described by
38	38	Subdivision (1) with a reasonable period of time in which to remedy
39	39	any violation the commission discovers in an inspection[; and
40	40	[(3) report to the attorney general any violation that
41	41	is not remedied in a reasonable period of time].
42	42	(f) The commission by rule shall require an operator of a
43	43	gas supply chain facility that experiences repeated
44	44	weather-related or major weather-related forced interruptions of
45	45	production to:
46	46	(1) [contract with a person who is not an employee of
47	47	the operator to] assess the operator's weatherization plans,
48	48	procedures, and operations and propose remedial measures; and
49	49	(2) submit the assessment and remedial measures to the
50	50	commission.
51	51	(g) The commission may require an operator of a gas supply
52	52	chain facility to implement remedial measures [appropriate
53	53	recommendations included in an assessment] submitted to the
54	54	commission under Subsection (f) if the commission determines the
55	55	remedial measures are necessary for compliance with rules adopted
56	56	under Subsection (c).
57	57	SECTION 3. Section 86.223, Natural Resources Code, is
58	58	amended to read as follows:
59	59	Sec. 86.223. SUIT FOR PENALTY. The penalty authorized by
60	60	Section 86.222 may be recovered with the cost of suit by the State
61	61	of Texas through the attorney general or the county or district
62	62	attorney when joined by the attorney general in a civil action
63	63	instituted in Travis County, in the county in which the violation
64	64	occurred, or in the county of residence of the defendant.
65	65	SECTION 4. Subchapter G, Chapter 86, Natural Resources
66	66	Code, is amended by adding Section 86.2235, and a heading is added
67	67	to that section to read as follows:
68	68	Sec. 86.2235. WEATHER EMERGENCY PREPAREDNESS PENALTIES.
69	69	SECTION 5. Sections 86.222(a-1), (c), and (d), Natural
70	70	Resources Code, are transferred to Section 86.2235, Natural
71	71	Resources Code, as added by this Act, redesignated as Sections
72	72	86.2235(a), (b), (c), and (d), Natural Resources Code, and amended
73	73	to read as follows:
74	74	(a) Section 86.222 does not apply to a violation
75	75	[(a-1) Notwithstanding Subsection (a), a person who violates a
76	76	provision] of a rule adopted under Section 86.044. If the
77	77	commission determines that a person has violated a rule adopted
78	78	under Section 86.044, the commission shall assess a penalty against
79	79	the person in the manner provided by Sections 81.0532-81.0534 for
80	80	assessing an administrative penalty under Section 81.0531.
81	81	(b) The penalty may not exceed [is liable for a penalty of
82	82	not more than] $1,000,000 for each offense. Each day a violation
83	83	occurs constitutes a separate offense.
84	84	(c) The commission by rule shall establish a classification
85	85	system to be used [by a court under this subchapter] for violations
86	86	of rules adopted under Section 86.044 that includes a range of
87	87	penalties that may be recovered for each class of violation based
88	88	on:
89	89	(1) the seriousness of the violation, including:
90	90	(A) the nature, circumstances, extent, and
91	91	gravity of a prohibited act; and
92	92	(B) the hazard or potential hazard created to the
93	93	health, safety, or economic welfare of the public;
94	94	(2) the history of previous violations;
95	95	(3) the amount necessary to deter future violations;
96	96	(4) efforts to correct the violation; and
97	97	(5) any other matter that justice may require.
98	98	(d) The classification system established under Subsection
99	99	(c) shall provide that a penalty in an amount that exceeds $5,000
100	100	may be recovered only if the violation is included in the highest
101	101	class of violations in the classification system.
102	102	SECTION 6. Section 86.2235, Natural Resources Code, as
103	103	added by this Act, is amended by adding Subsection (e) to read as
104	104	follows:
105	105	(e) Notwithstanding Subsection (a), the commission may not
106	106	assess a penalty against an operator of a facility for a violation
107	107	of a rule adopted under Section 86.044 if the commission determines
108	108	that the operator made reasonably prudent efforts to comply with
109	109	the rule, regardless of whether the facility failed to operate
110	110	during a weather emergency.
111	111	SECTION 7. Section 38.074, Utilities Code, is amended by
112	112	adding Subsection (c) to read as follows:
113	113	(c) The commission shall collaborate with the Railroad
114	114	Commission of Texas to adopt rules to allow a gas supply chain
115	115	facility, as defined by Section 86.044, Natural Resources Code,
116	116	that is not included on the electricity supply chain map created
117	117	under Section 38.203 to serve as a load resource or an emergency
118	118	response resource.
119	119	SECTION 8. Section 38.202(f), Utilities Code, is amended to
120	120	read as follows:
121	121	(f) Information written, produced, collected, assembled, or
122	122	maintained under law or in connection with the transaction of
123	123	official business by the committee or an officer or employee of the
124	124	committee is subject to Section 552.008, Government Code, including
125	125	information that is confidential under Section 418.181, Government
126	126	Code. This subsection does not apply to the physical locations of
127	127	critical facilities, maps created under this subchapter, or
128	128	proprietary information created or gathered during the mapping
129	129	process.
130	130	SECTION 9. Section 38.203(d), Utilities Code, is amended to
131	131	read as follows:
132	132	(d) Except as provided by Section 38.202(f):
133	133	(1) the [The] information maintained in the database
134	134	is confidential under Section 418.181, Government Code, and not
135	135	subject to disclosure under Chapter 552, Government Code; and
136	136	(2) portions of documents in the possession of the
137	137	committee that are confidential under Section 418.181, Government
138	138	Code, are not subject to disclosure under Chapter 552, Government
139	139	Code.
140	140	SECTION 10. Subchapter F, Chapter 38, Utilities Code, is
141	141	amended by adding Section 38.205 to read as follows:
142	142	Sec. 38.205. NOTICE AND HEARING BEFORE ADDING NATURAL GAS
143	143	FACILITY TO MAP. (a) The committee may include on the electricity
144	144	supply chain map a gas supply chain facility, as defined by Section
145	145	86.044, Natural Resources Code, or a gas pipeline facility
146	146	described by Section 121.2015, only after the Railroad Commission
147	147	of Texas provides the operator of the facility with notice and an
148	148	opportunity for a hearing in the manner provided by Chapter 2001,
149	149	Government Code.
150	150	(b) If an operator requests a hearing under Subsection (a),
151	151	the Railroad Commission of Texas shall hold the hearing and issue a
152	152	decision in writing in accordance with Chapter 2001, Government
153	153	Code, as to whether the facility may be included on the electricity
154	154	supply chain map based on applicable rules and provisions of this
155	155	code and the Natural Resources Code.
156	156	(c) The committee shall comply with the decision issued by
157	157	the Railroad Commission of Texas.
158	158	(d) Except as otherwise provided by this subchapter, the
159	159	information, data, and documents collected during a hearing
160	160	convened under this section that are confidential under Section
161	161	418.181, Government Code, are not subject to disclosure under
162	162	Chapter 552, Government Code.
163	163	(e) Portions of a decision or order issued by the Railroad
164	164	Commission of Texas under this section that are confidential under
165	165	Section 418.181, Government Code, are not subject to disclosure
166	166	under Chapter 552, Government Code.
167	167	SECTION 11. The following provisions are repealed:
168	168	(1) Section 86.044(h), Natural Resources Code; and
169	169	(2) Section 186.008, Utilities Code.
170	170	SECTION 12. (a) Not later than December 1, 2023, the Public
171	171	Utility Commission of Texas shall adopt rules necessary to
172	172	implement Section 38.074(c), Utilities Code, as added by this Act.
173	173	(b) Section 38.205, Utilities Code, as added by this Act,
174	174	applies only to the addition of a gas supply chain facility or gas
175	175	pipeline facility to the electricity supply chain map under
176	176	Subchapter F, Chapter 38, Utilities Code, on or after the effective
177	177	date of this Act.
178	178	SECTION 13. This Act takes effect September 1, 2023.