HBA-SEP H.B. 2725 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2725 By: Driver Energy Resources 3/23/2001 Introduced BACKGROUND AND PURPOSE Twenty-pound cylinders containing liquified petroleum gas (LP-gas) for use with gas grills are sold, through exchange for empty cylinders, at many retail merchant sites across the state. The cylinders are maintained and precision-filled at a propane plant using automatic fill scales while exchange sites are limited to storing the cylinders in metal racks and reselling them. However, under current law and Railroad Commission of Texas (commission) rules, each retail store that engages in cylinder exchange must obtain a Category "P" license which requires employee certification. Each location is required to have a company representative qualified through the commission's LP-gas examination procedures. House Bill 2725 exempts category "P" licensees from the certification requirement and requires suppliers to provide each exchange site with a procedural manual for handling LP-gas in the portable cylinder exchange process and training to supervising individuals. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 2725 amends the Natural Resources Code to exempt an individual actively supervising the operation of a portable cylinder exchange service (category "P" license) from the requirement that each location have a company representative qualified through the Railroad Commission of Texas LP-gas examination procedures. The bill requires retail and wholesale dealers of LP-gas (category "E" license) who provide portable cylinders to category "P" licensees to prepare or obtain a manual covering the proper procedures for handling LP-gas in the portable cylinder exchange process, provide a copy of the manual to each outlet, and provide training regarding the contents of the manual to each individual who will be actively supervising operations requiring a category "P" license. EFFECTIVE DATE September 1, 2001.