Texas House Bill HB3997

Texas 2025 - 89th Regular

• Filed: 3/6/25

Caption

Relating to permit application review and contested case procedures for environmental permits involving a project to construct or modify a liquefied natural gas export terminal; authorizing a fee.

Impact

The implementation of HB3997 will modify existing procedures under the Texas Water Code, particularly enhancing the review and contested case processes for LNG projects. The Texas Commission on Environmental Quality (TCEQ) is mandated to establish specific rules governing this expedited application review. The bill stipulates that all relevant public comments must be addressed within 120 days, ensuring that public input is considered in a timely manner. This could lead to a more efficient processing of applications, thereby potentially accelerating the timeline for new projects to reach execution stage.

Summary

House Bill 3997 aims to streamline the permit application process for constructing or modifying liquefied natural gas (LNG) export terminals. Specifically, the bill introduces an expedited review process for these environmental permits, which would require applicants to pay an additional fee sufficient to cover the costs of this expedited process. This change is designed to encourage and facilitate investment in LNG infrastructure by reducing bureaucratic delays in permit approvals, addressing a critical area in Texas's energy sector amidst increasing demand for LNG exports.

Contention

While supporters of HB3997 argue that it will promote economic growth and enhance the state's competitiveness in the LNG market, there may be contention surrounding the implications for environmental oversight. Critics may express concerns that the expedited review process could limit thorough assessments of environmental impacts, particularly in regions where LNG projects could affect local ecosystems and communities. The allowance for contested case hearings under certain conditions indicates a balance intended to ensure that stakeholder voices are still heard, even within a faster processing framework.

Texas Constitutional Statutes Affected

Water Code

• Chapter 5. Texas Commission On Environmental Quality
  • Section: New Section

Government Code

• Chapter 2001. Administrative Procedure
  • Section: New Section