SEB S.B. 1184 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 1184
By: Bivins
Energy Resources
4/12/1999
Engrossed



BACKGROUND AND PURPOSE 

The Railroad Commission of Texas (commission) regulates the liquefied
petroleum gas (LPG) industry and issues licenses to persons who handle LPG
or LPG systems.  Under commission rules, there are various categories of
licenses and specific requirements for each category.  Currently, category
"E" licensees, retail and wholesale dealers, are authorized to install and
repair LPG motors or mobile fuel systems.  The demand for LPG-propelled
vehicles is increasing, however, and advancing technology requires a degree
of skill and knowledge that exceeds the qualifications for a category "E"
license.  H.B. 3752 specifies that a category "E" licensee is not licensed
to sell and install LPG motors or mobile fuel systems that have an engine
with a rating of more than 25 horsepower, in effect requiring a category
"L" license, the engine fuel category, for that activity. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Railroad Commission of Texas in
SECTION 1 (Section 113.102, Natural Resources Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Sections 113.082 and 113.102, Natural Resources Code, as
follows: 

Sec. 113.082.  CATEGORIES OF LICENSEE; FEES.  Establishes that the sale and
installation of liquefied petroleum gas (LPG) motors or mobile fuel systems
that have an engine with a rating of more than 25 horsepower do not belong
in the category "E" application for a prospective LPG licensee.  Category
"E" pertains to retail and wholesale dealers.  Provides that the sale and
installation of LPG motor or mobile fuel systems belong in the category "L"
application with engine fuel.   

Sec. 113.102.  New title:  ADDITIONAL ACTIVITIES PERMITTED UNDER CATEGORY
"E" LICENSES.  Authorizes the Railroad Commission of Texas, by rule, to
permit a category "E" licensee whose LP gas license was issued before
September 1, 1999, to perform an activity described by category "L" of
Section 113.082 for a reasonable period. Establishes that this section
expires September 1, 2001.  Deletes existing text regarding prior LP gas
licenses. 

SECTION 2.  Provides that the change in law made by this Act applies to a
license issued under Chapter 113, Natural Resources Code (Liquefied
Petroleum Gas), before, on, or after the effective date of this Act.   

SECTION 3.  Effective date: September 1, 1999.

SECTION 4.  Emergency clause.