| 1 | 1 | | 89R3761 ANG-D |
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| 2 | 2 | | By: Rosenthal H.B. No. 575 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to preparation for and response to weather emergencies |
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| 10 | 10 | | that affect certain natural gas facilities; increasing the amount |
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| 11 | 11 | | of civil and administrative penalties. |
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| 12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 13 | | SECTION 1. Section 86.044(c), Natural Resources Code, is |
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| 14 | 14 | | amended to read as follows: |
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| 15 | 15 | | (c) The commission by rule shall require a gas supply chain |
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| 16 | 16 | | facility operator to implement measures to prepare to operate |
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| 17 | 17 | | during a weather emergency. In adopting the rules, the commission |
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| 18 | 18 | | shall take into consideration weather predictions produced by the |
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| 19 | 19 | | office of the state climatologist. The rules must include a process |
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| 20 | 20 | | that allows the commission to require a gas supply chain facility |
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| 21 | 21 | | operator to implement measures recommended by the commission in a |
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| 22 | 22 | | weather emergency preparedness report under Section 186.008(b)(4), |
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| 23 | 23 | | Utilities Code. |
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| 24 | 24 | | SECTION 2. Section 86.222(d), Natural Resources Code, is |
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| 25 | 25 | | amended to read as follows: |
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| 26 | 26 | | (d) The [classification] system established under |
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| 27 | 27 | | Subsection (c) must [shall] provide that a violation is punishable |
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| 28 | 28 | | by a penalty of, after taking into account the factors described by |
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| 29 | 29 | | Subsection (c): |
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| 30 | 30 | | (1) at least $100 and not more than $1,000 for the |
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| 31 | 31 | | first violation; |
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| 32 | 32 | | (2) at least $1,000 and not more than $50,000 for the |
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| 33 | 33 | | second violation; and |
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| 34 | 34 | | (3) at least $50,000 and not more than $1,000,000 for |
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| 35 | 35 | | the third violation and each subsequent violation [a penalty in an |
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| 36 | 36 | | amount that exceeds $5,000 may be recovered only if the violation is |
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| 37 | 37 | | included in the highest class of violations in the classification |
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| 38 | 38 | | system]. |
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| 39 | 39 | | SECTION 3. Section 121.2015(a-1), Utilities Code, is |
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| 40 | 40 | | amended to read as follows: |
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| 41 | 41 | | (a-1) In adopting rules under Subsection (a)(3), the |
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| 42 | 42 | | railroad commission shall take into consideration weather |
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| 43 | 43 | | predictions produced by the office of the state climatologist. The |
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| 44 | 44 | | rules must include a process that allows the railroad commission to |
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| 45 | 45 | | require a gas pipeline facility operator to implement measures |
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| 46 | 46 | | recommended by the railroad commission in a weather emergency |
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| 47 | 47 | | preparedness report under Section 186.008(b)(4). |
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| 48 | 48 | | SECTION 4. Section 121.206(e), Utilities Code, is amended |
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| 49 | 49 | | to read as follows: |
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| 50 | 50 | | (e) The guidelines adopted under Subsection (d) must |
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| 51 | 51 | | provide that a violation of a rule adopted under Section |
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| 52 | 52 | | 121.2015(a)(3) is punishable by a penalty of, after taking into |
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| 53 | 53 | | account the factors described by Subsection (d): |
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| 54 | 54 | | (1) at least $100 and not more than $1,000 for the |
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| 55 | 55 | | first violation; |
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| 56 | 56 | | (2) at least $1,000 and not more than $50,000 for the |
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| 57 | 57 | | second violation; and |
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| 58 | 58 | | (3) at least $50,000 and not more than $1,000,000 for |
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| 59 | 59 | | the third violation and each subsequent violation [in an amount |
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| 60 | 60 | | that exceeds $5,000 for a violation of a rule adopted under Section |
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| 61 | 61 | | 121.2015(a)(3) may be assessed only if circumstances justify the |
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| 62 | 62 | | enhancement of the penalty]. |
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| 63 | 63 | | SECTION 5. The changes in law made by this Act to Section |
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| 64 | 64 | | 86.222, Natural Resources Code, and Section 121.206, Utilities |
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| 65 | 65 | | Code, as amended by this Act, apply only to a violation that occurs |
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| 66 | 66 | | on or after the effective date of the rules adopted by the Railroad |
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| 67 | 67 | | Commission of Texas under Section 86.222, Natural Resources Code, |
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| 68 | 68 | | or Section 121.206, Utilities Code, as amended by this Act. A |
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| 69 | 69 | | violation that occurs before the effective date of the rules |
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| 70 | 70 | | adopted by the Railroad Commission of Texas under Section 86.222, |
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| 71 | 71 | | Natural Resources Code, or Section 121.206, Utilities Code, as |
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| 72 | 72 | | amended by this Act, is governed by the law in effect on the date the |
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| 73 | 73 | | violation occurred, and that law is continued in effect for that |
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| 74 | 74 | | purpose. |
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| 75 | 75 | | SECTION 6. This Act takes effect immediately if it receives |
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| 76 | 76 | | a vote of two-thirds of all the members elected to each house, as |
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| 77 | 77 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 78 | 78 | | Act does not receive the vote necessary for immediate effect, this |
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| 79 | 79 | | Act takes effect September 1, 2025. |
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