By: Sparks S.B. No. 2037
(In the Senate - Filed March 7, 2025; March 17, 2025, read
first time and referred to Committee on Natural Resources;
April 7, 2025, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 9, Nays 0; April 7, 2025,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 2037 By: Zaffirini
A BILL TO BE ENTITLED
AN ACT
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.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 5.555, Water Code, is amended by adding
Subsection (a-1) to read as follows:
(a-1) With respect to a permit application filed with the
commission for a project to construct or modify a liquefied natural
gas export terminal or a renewal of that permit, the executive
director shall provide each response required by Subsection (a) not
later than the 120th day after the close of the public comment
period.
SECTION 2. Subchapter M, Chapter 5, Water Code, is amended
by adding Section 5.559 to read as follows:
Sec. 5.559. PROCEDURES FOR PERMIT APPLICATION REVIEW AND
CONTESTED CASES INVOLVING PROJECT TO CONSTRUCT OR MODIFY LIQUEFIED
NATURAL GAS EXPORT TERMINAL. (a) This section applies only to a
permit application filed with the commission for a project to
construct or modify a liquefied natural gas export terminal.
(b) The commission by rule shall establish an expedited
permit application review process for permit applications
described by Subsection (a). Rules adopted under this subsection
must require an applicant who elects the expedited permit
application review process to pay an additional fee in an amount the
commission determines is necessary to cover the costs of the
expedited review. The additional fee collected pursuant to this
subsection shall be deposited to the credit of a special account in
the general revenue fund and may be used only for the administration
of the expedited permit application established under this
subsection.
(c) In a request for a contested case hearing involving a
permit application described by Subsection (a), the party
requesting the hearing must specify each reason the party is an
affected person as defined by Section 5.115(a). In determining
whether a party is an affected person, the administrative law judge
may only consider the reasons specified by:
(1) the party in the party's request for a contested
case hearing; and
(2) the permit applicant in a response submitted under
Subsection (d) regarding why the requesting party should or should
not be considered an affected party.
(d) A permit applicant shall submit any response described
by Subsection (c)(2) not later than:
(1) the 20th day after the date the commission refers
the case to the State Office of Administrative Hearings; or
(2) a later date authorized by the administrative law
judge.
(e) In a contested case involving a permit application
described by Subsection (a), an administrative law judge shall set
a date for the preliminary hearing not later than the 30th day after
the date the commission refers the case to the State Office of
Administrative Hearings.
(f) The commission shall adopt rules as necessary to
implement this section.
SECTION 3. Section 382.056, Health and Safety Code, is
amended by adding Subsection (l-1) and amending Subsection (n) to
read as follows:
(l-1) With respect to a permit application filed with the
commission under Section 382.0518 for a project to construct or
modify a liquefied natural gas export terminal or a renewal review
of that permit under Section 382.055, the executive director shall
provide each response required by Subsection (l) not later than the
120th day after the close of the public comment period.
(n) Except as provided by Section 382.0561, the commission
shall consider a request that the commission reconsider the
executive director's decision or hold a contested case [public]
hearing in accordance with the procedures provided by Sections
5.556 and 5.557, Water Code.
SECTION 4. The change in law made by this Act applies only
to a permit application for a project to construct or modify a
liquefied natural gas export terminal or a renewal of that permit
that is filed with the Texas Commission on Environmental Quality on
or after the effective date of this Act. A permit application for a
project to construct or modify a liquefied natural gas export
terminal or a renewal of that permit that is pending on the
effective date of this Act is governed by the law in effect at the
time the application was filed, and the former law is continued in
effect for that purpose.
SECTION 5. This Act takes effect September 1, 2025.
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