HBA-SEB H.B. 3312 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3312 By: Merritt Energy Resources 4/20/1999 Introduced BACKGROUND AND PURPOSE The Oil Spill Prevention and Response Act of 1991 gave the General Land Office the responsibility of preventing and responding to oil spills along the 624 miles of Texas coastline. This was in an attempt to set a statewide policy of keeping Texas' coastal waters, rivers, lakes, estuaries, marshes, tidal flats, beaches, and public lands as pristine as possible. The Railroad Commission of Texas also responds to those oil spills that are less than 240 barrels. According to the Legislative Budget Board, numerous oil spill activities are duplicated by both agencies. H.B. 3312 designates the commission as the sole prevention and response authority to oil spills along the coast. In order to facilitate this designation, this bill also calls for the development of a state coastal discharges contingency plan and the administration of a fund for oil spill activities. RULEMAKING AUTHORITY "It is the opinion of the Office of House Bill Analysis that the rulemaking authority previously delegated to the Commissioner of the General Land Office is transferred to the Railroad Commission of Texas in SECTION 4 (Section 40.007, Natural Resources Code)of this bill." SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 40.002(c), Natural Resources Code, to provide that the legislature intends to confer certain powers to the Railroad Commission of Texas, rather than the Commissioner of the General Land Office (GLO). Establishes that those powers include preventing oil spills, responding to oil spills, developing a state coastal discharge contingency plan with the Texas Natural Resource Conservation Commission to protect coastal waters from oil spills, and administering a fund for these activities. SECTION 2. Amends Section 40.003(3), Natural Resources Code, to redefine "commission" to mean the Railroad Commission of Texas. SECTION 3. Amends Subchapter A, Chapter 40, Natural Resources Code, by adding Section 40.0025, as follows: Sec. 40.0025. TRANSFER OF POWERS AND DUTIES TO RAILROAD COMMISSION OF TEXAS. Establishes that a reference to the commissioner, the commissioner of GLO, or GLO means the Railroad Commission of Texas. SECTION 4. Amends Sections 40.004-40.007, Natural Resources Code, as follows: Sec. 40.004. ADMINISTRATION OF OIL SPILL RESPONSE AND CLEANUP. Makes conforming changes. Sec. 40.005. ADMINISTRATION OF HAZARDOUS SUBSTANCE SPILL RESPONSE AND CLEANUP. Makes a conforming change. Sec. 40.006. INTERAGENCY COUNCIL. Requires a member of the commission appointed by the commission to serve as chairperson of an interagency council for coordinating of state prevention, response, and cleanup operations involving unauthorized discharges of oil and hazardous substances. Makes conforming changes. Sec. 40.007. GENERAL POWERS AND DUTIES. Requires the commission, by rule, to establish administrative procedures for all hearings required by this chapter (Oil Spill Prevention and Response Act of 1991). Makes conforming changes. SECTION 5. Amends Sections 40.053(a), (b), and (d), Natural Resources Code, as follows: (a) Deletes existing text requiring consultation with the commission by the GLO. Makes conforming changes. (b) Deletes existing text designating the commission as coordinator for a cleanup of an oil spill of 240 barrels or less. Makes a conforming change. (d) Makes conforming changes. SECTION 6. Amends Section 40.152, Natural Resources Code, to delete exiting text establishing a fund in GLO for paying response costs and damages. SECTION 7. Repealers: Sections 40.008 (Railroad Commission Authority) and 40.303 (Oil Spill Oversight Council), Natural Resources Code. SECTION 8. (a) Effective date: September 1, 1999. (b) Establishes that all powers and duties of GLO under Chapter 40, Natural Resources Code, and all obligations, rights, contracts, records, and real or personal property of GLO relating to those powers and duties are transferred to the commission. (c) Authorizes an obligation payable by GLO from the coastal protection fund to established by Section 40.151, Natural Resources Code, to be paid under applicable law by the commission from the unexpended balance of an appropriation from the fund made to GLO for the state fiscal biennium ending August 31, 1999. Establishes that this authorization applies to an obligation that is transferred by this Act to the commission. (d) Provides that an appropriation to GLO is transferred to the commission on September 1, 1999, for the state fiscal biennium beginning on that date. (e) Transfers a person to the commission on the effective date of this Act from employment in GLO if the person is in a position involving the performance of a function under Chapter 40, Natural Resources Code, other than an administrative function. Authorizes the commission to transfer to the commission a person who is employed by GLO in a position involving the performance of an administrative function under that chapter and whose functions approximates that required by the commission to implement this Act. Provides that the commission is not required to post a job vacancy notice for a position involving the performance of an administrative function if it transfers an employee of GLO. Authorizes the commission to give preference to a person employed in a similar position at GLO if the position is posted. SECTION 9. Emergency clause.