CHAPTER 81. RAILROAD COMMISSION OF TEXAS
NATURAL RESOURCES CODE
TITLE 3. OIL AND GAS
SUBTITLE A. ADMINISTRATION
CHAPTER 81. RAILROAD COMMISSION OF TEXAS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 81.001. DEFINITIONS. In this chapter:
(1) "Commission" means the Railroad Commission of Texas.
(2) "Commissioner" means any member of the Railroad Commission
of Texas.
Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Text of section effective on April 01, 2011
Sec. 81.002. DEFINITION OF PERSON FOR CERTAIN PROVISIONS. In
this chapter:
(1) "person" includes a corporation, as provided by Section
312.011, Government Code; and
(2) the definition of "person" assigned by Section 311.005,
Government Code, does not apply.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.01, eff. April 1, 2011.
SUBCHAPTER B. ADMINISTRATIVE PROVISIONS
Text of section effective on April 01, 2011
Sec. 81.01001. SUNSET PROVISION. The Railroad Commission of
Texas is subject to Chapter 325, Government Code (Texas Sunset
Act). Unless continued in existence as provided by that chapter,
the commission is abolished September 1, 2011.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01002. CHAIRMAN. The commissioners shall elect one
commissioner as the chairman.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01003. QUALIFICATIONS FOR OFFICE. A commissioner must
be:
(1) a qualified voter under the constitution and laws; and
(2) at least 25 years of age.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01004. PERSONAL FINANCIAL DISCLOSURE, STANDARDS OF
CONDUCT, AND CONFLICT OF INTEREST. A commissioner is subject to
the provisions of Chapter 572, Government Code, that apply to
elected officers, including the requirements governing personal
financial statements, standards of conduct, and conflicts of
interest.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01005. NAME AND SEAL. (a) The commissioners are known
collectively as the "Railroad Commission of Texas."
(b) The seal of the commission contains a star of five points
with the words "Railroad Commission of Texas" engraved on it.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01006. PROCEDURAL RULES. The commissioners may adopt
all rules necessary for the commission's government and
proceedings.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01007. SUPPLIES. The commissioners shall be furnished
necessary furniture, stationery, supplies, and expenses, to be
paid for on the order of the governor.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01008. SESSIONS. The commission may hold sessions at
any place in this state when considered necessary.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01009. RECORDS RESEARCH FEE. The commission shall
charge a person who requests an examination or search of
commission records $5 for each half hour or fraction of a half
hour that a commission employee spends in the examination or
search unless the person requesting the search represents this
state or a county.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01010. FEE FOR COPIES. (a) The commission may charge a
fee for copies of papers provided by the commission to a person
other than a department of this state.
(b) The fee for a copy of a paper, document, or record in the
commission's office, including the certificate and seal to be
applied by the secretary, is 15 cents for each 100 words.
(c) This section does not authorize the commission to charge a
person a fee for a tariff sheet for the person's own use if the
tariff sheet is in effect.
(d) The fees charged and collected under this section shall be
accounted for by the secretary of the commission and paid into
the treasury as provided by Chapter 603, Government Code.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01011. METHOD OF MAKING PAYMENTS TO COMMISSION. (a)
The commission may authorize payment, as prescribed by the
commission, of a regulatory fee, fine, penalty, or charge for
goods and services by means of an electronic payment method or a
credit card issued by a financial institution chartered by a
state or the United States or issued by a nationally recognized
credit organization approved by the commission. A payment by the
authorized method may be made in person, by telephone, or through
the Internet.
(b) The commission may require a person who makes a payment to
the commission by means of an electronic payment method or credit
card to pay a discount or service charge in an amount reasonable
and necessary to reimburse the commission for the costs involved
in processing the payment.
(c) The commission may adopt rules as necessary to implement
this section.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01012. GIFTS, GRANTS, AND DONATIONS. (a) In this
section, "contested case" has the meaning assigned by Section
2001.003, Government Code.
(b) The commission may apply for, request, solicit, contract
for, receive, accept, and administer gifts, grants, and donations
of money or other assistance from any source to carry out any
commission purpose or power.
(c) The commission may not, under Subsection (b), accept a gift
or donation of money or of property from a party in a contested
case during the period from the inception of the contested case
until the 30th day after the date a final order is signed in the
contested case.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01013. CONFLICT OF INTEREST. (a) In this section,
"Texas trade association" means a cooperative and voluntarily
joined association of business or professional competitors in
this state designed to assist its members and its industry or
profession in dealing with mutual business or professional
problems and in promoting their common interest.
(b) A person may not be an employee of the commission employed
in a "bona fide executive, administrative, or professional
capacity," as that phrase is used for purposes of establishing an
exemption to the overtime provisions of the federal Fair Labor
Standards Act of 1938 (29 U.S.C. Section 201 et seq.) if:
(1) the person is an officer, employee, or paid consultant of a
Texas trade association in a business or industry regulated by
the commission; or
(2) the person's spouse is an officer, manager, or paid
consultant of a Texas trade association in a business or industry
regulated by the commission.
(c) A person who is required to register as a lobbyist under
Chapter 305, Government Code, may not act as the general counsel
to the commission.
(d) The commission shall provide to commissioners and to agency
employees, as often as necessary, information regarding the
requirements for office or employment under this chapter,
including information regarding a person's responsibilities under
applicable laws relating to standards of conduct for state
officers or employees.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01014. EQUAL EMPLOYMENT OPPORTUNITY. (a) The
commission shall prepare and maintain a written policy statement
that implements a program of equal employment opportunity to
ensure that all personnel decisions are made without regard to
race, color, disability, sex, religion, age, or national origin.
(b) The policy statement must include:
(1) personnel policies, including policies relating to
recruitment, evaluation, selection, training, and promotion of
personnel, that show the intent of the commission to avoid the
unlawful employment practices described by Chapter 21, Labor
Code; and
(2) an analysis of the extent to which the composition of the
commission's personnel is in accordance with state and federal
law and a description of reasonable methods to achieve compliance
with state and federal law.
(c) The policy statement must:
(1) be updated annually;
(2) be reviewed by the Texas Workforce Commission civil rights
division for compliance with Subsection (b); and
(3) be filed with the governor's office.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01015. EMPLOYEE INCENTIVE PROGRAM. The commission shall
provide to commission employees information and training on the
benefits and methods of participation in the state employee
incentive program.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.01016. SEPARATION OF RESPONSIBILITIES. The commission
shall develop and implement policies that clearly separate the
policy-making responsibilities of the commissioners and the
management responsibilities of the staff of the commission.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Sec. 81.011. CHIEF SUPERVISOR. (a) The commission shall employ
a chief supervisor of its oil and gas division to assist the
commission in enforcing the laws relating to the production,
transportation, and conservation of oil and gas and rules and
orders of the commission adopted under these laws.
(b) The chief supervisor also shall perform the duties of the
pipeline expert as provided in the pipeline laws of this state.
Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.012. QUALIFICATIONS OF CHIEF SUPERVISOR. In addition to
other qualifications that may be required by the commission, a
person appointed chief supervisor must have had at least five
years' experience in some line of the oil or gas business, or in
some other business or profession that would provide the
necessary knowledge and experience for the performance of his
duties.
Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.013. DEPUTY SUPERVISORS, ASSISTANTS, AND CLERICAL
PERSONNEL. The commission may appoint a chief deputy supervisor,
deputy supervisors, assistants, and clerical personnel necessary
to execute the laws relating to oil and gas.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.014. QUALIFICATIONS OF CHIEF DEPUTY SUPERVISOR. A
person appointed chief deputy supervisor must have had at least
three years' experience in oil and gas field work.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.015. QUALIFICATIONS OF DEPUTY SUPERVISORS. Any person
appointed deputy supervisor must have had at least two years'
experience in oil and gas field work, including substantial
experience in drilling or production.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.016. SALARIES. The salary of the chief supervisor, the
chief deputy supervisor, and the deputy supervisors shall be the
same as that provided in the General Appropriations Act.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Text of section effective on April 01, 2011
Sec. 81.0165. SALARY OF SECRETARY. The salary of the secretary
of the commission shall be the amount appropriated for that
purpose by the legislature.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.02, eff. April 1, 2011.
Sec. 81.017. ADDITIONAL EMPLOYEES. The commission may employ
gaugers, inspectors, investigators, supervisors, and clerical
employees. These employees shall include a chief engineer, chief
petroleum engineer, and an administrative chief, and their
salaries shall be paid in the amounts provided in the General
Appropriations Act.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65,
Sec. 1, eff. Sept. 1, 1981.
Sec. 81.018. PAYMENT OF SALARIES AND OTHER EXPENSES. (a)
Salaries and other expenses necessary in the administration and
enforcement of the oil and gas laws shall be paid by warrants
drawn by the comptroller on the State Treasury from funds
provided under Section 81.112 of this code.
(b) Warrants for expenses shall be issued only on duly verified
statements of the persons entitled to the funds and on approval
of the chairman of the commission.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.019. DUTIES OF CHIEF SUPERVISOR, CHIEF DEPUTY
SUPERVISOR, DEPUTY SUPERVISORS, AND OTHER EMPLOYEES. The chief
supervisor, chief deputy supervisor, deputy supervisors, and
other employees shall perform the duties prescribed by the
commission in conformity with rules of the commission relating to
the production, transportation, and conservation of crude oil and
natural gas.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.020. ADDITIONAL DUTIES OF CHIEF SUPERVISOR AND HIS
DEPUTIES. (a) The chief supervisor and his deputies shall
supervise the plugging of all abandoned wells and the shooting of
wells and shall follow the rules of the commission relating to
the production and conservation of oil and gas.
(b) The chief supervisor shall gather information and assist the
commission in the performance of its duties under this title.
Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER C. JURISDICTION, POWERS, AND DUTIES
Sec. 81.051. JURISDICTION OF COMMISSION. (a) The commission
has jurisdiction over all:
(1) common carrier pipelines defined in Section 111.002 of this
code in Texas;
(2) oil and gas wells in Texas;
(3) persons owning or operating pipelines in Texas; and
(4) persons owning or engaged in drilling or operating oil or
gas wells in Texas.
(b) Persons listed in Subsection (a) of this section and their
pipelines and oil and gas wells are subject to the jurisdiction
conferred by law on the commission.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1977, 65th Leg., p. 2694, ch. 871,
art. II, Sec. 5, eff. Sept. 1, 1977.
Sec. 81.052. RULES. The commission may adopt all necessary
rules for governing and regulating persons and their operations
under the jurisdiction of the commission as set forth in Section
81.051, including such rules as the commission may consider
necessary and appropriate to implement state responsibility under
any federal law or rules governing such persons and their
operations.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 19, ch. 12,
Sec. 1, eff. March 15, 1979.
Sec. 81.0521. FEE FOR APPLICATION FOR EXCEPTION TO RAILROAD
COMMISSION RULE. (a) With each application for an exception to
any commission rule contained in Chapter 3 of Part I of Title 16
of the Texas Administrative Code, the applicant shall submit to
the commission a fee of $150.
(b) The application fee for an exception to any commission rule
may not be refunded.
(c) Two-thirds of the proceeds from this fee, including any
penalties collected in connection with the fee, shall be
deposited to the oil-field cleanup fund as provided by Section
91.111.
Added by Acts 1985, 69th Leg., ch. 239, Sec. 73, eff. Sept. 1,
1985. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 3, eff.
Sept. 1, 2001.
Sec. 81.0522. NATURAL GAS POLICY ACT APPLICATION FEE. (a) With
each Natural Gas Policy Act (15 U.S.C. Sections 3301-3432)
application, the applicant shall submit to the commission a fee.
The commission shall set the application fee in an amount
necessary to cover the cost of the commission's well category
determination program but not to exceed $150.
(b) The fee for any Natural Gas Policy Act application may not
be refunded.
Added by Acts 1985, 69th Leg., ch. 239, Sec. 73, eff. Sept. 1,
1985. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 4, eff.
Sept. 1, 2001.
Sec. 81.053. COMMISSION POWERS. In the discharge of its duties
and the enforcement of its jurisdiction under this title, the
commission shall:
(1) institute suits;
(2) hear and determine complaints;
(3) require the attendance of witnesses and pay their expenses
out of funds provided for that purpose;
(4) obtain the issuance of writs and process which may be
necessary for the enforcement of its orders; and
(5) punish for contempt or disobedience of its orders in the
manner provided for the district courts.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.0531. ADMINISTRATIVE PENALTY. (a) If a person violates
provisions of this title which pertain to safety or the
prevention or control of pollution or the provisions of a rule,
order, license, permit, or certificate which pertain to safety or
the prevention or control of pollution and are issued under this
title, the person may be assessed a civil penalty by the
commission.
(b) The penalty may not exceed $10,000 a day for each violation.
Each day a violation continues may be considered a separate
violation for purposes of penalty assessments.
(c) In determining the amount of the penalty, the commission
shall consider the permittee's history of previous violations,
the seriousness of the violation, any hazard to the health or
safety of the public, and the demonstrated good faith of the
person charged. In determining the amount of the penalty for a
violation of a provision of this title or a rule, order, license,
permit, or certificate that relates to pipeline safety, the
commission shall consider the guidelines adopted under Subsection
(d).
(d) The commission by rule shall adopt guidelines to be used in
determining the amount of the penalty for a violation of a
provision of this title or a rule, order, license, permit, or
certificate that relates to pipeline safety. The guidelines shall
include a penalty calculation worksheet that specifies the
typical penalty for certain violations, circumstances justifying
enhancement of a penalty and the amount of the enhancement, and
circumstances justifying a reduction in a penalty and the amount
of the reduction. The guidelines shall take into account:
(1) the permittee's history of previous violations, including
the number of previous violations;
(2) the seriousness of the violation and of any pollution
resulting from the violation;
(3) any hazard to the health or safety of the public;
(4) the degree of culpability;
(5) the demonstrated good faith of the person charged; and
(6) any other factor the commission considers relevant.
(e) A penalty collected under this section shall be deposited to
the credit of the oil-field cleanup fund.
Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff.
Sept. 1, 1983. Amended by Acts 1999, 76th Leg., ch. 1089, Sec. 1,
eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 1233, Sec. 5, eff.
Sept. 1, 2001.
Sec. 81.0532. PENALTY ASSESSMENT PROCEDURE. (a) A civil
penalty may be assessed only after the person charged with a
violation described under Section 81.0531 of this code has been
given an opportunity for a public hearing.
(b) If a public hearing has been held, the commission shall make
findings of fact, and it shall issue a written decision as to the
occurrence of the violation and the amount of the penalty that is
warranted, incorporating, when appropriate, an order requiring
that the penalty be paid.
(c) If appropriate, the commission shall consolidate the
hearings with other proceedings.
(d) If the person charged with the violation fails to avail
himself of the opportunity for a public hearing, a civil penalty
may be assessed by the commission after it has determined that a
violation did occur and the amount of the penalty that is
warranted.
(e) The commission shall then issue an order requiring that the
penalty be paid.
Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff.
Sept. 1, 1983.
Sec. 81.0533. PAYMENT OF PENALTY; REFUND. (a) On the issuance
of an order finding that a violation has occurred, the commission
shall inform the person charged within 30 days of the amount of
the penalty.
(b) Within the 30-day period immediately following the day on
which the decision or order is final as provided in Subchapter F,
Chapter 2001, Government Code, the person charged with the
penalty shall:
(1) pay the penalty in full; or
(2) if the person seeks judicial review of either the amount of
the penalty or the fact of the violation, or both:
(A) forward the amount to the commission for placement in an
escrow account; or
(B) in lieu of payment into escrow, post with the commission a
supersedeas bond in a form approved by the commission for the
amount of the penalty, such bond to be effective until all
judicial review of the order or decision is final.
(c) If through judicial review of the decision or order it is
determined that no violation occurred or that the amount of the
penalty should be reduced or not assessed, the commission shall,
within the 30-day period immediately following that
determination, if the penalty has been paid to the commission,
remit the appropriate amount to the person, with accrued
interest, or where a supersedeas bond has been posted, the
commission shall execute a release of such bond.
(d) Failure to forward the money to the commission within the
time provided by Subsection (b) of this section results in a
waiver of all legal rights to contest the violation or the amount
of the penalty.
(e) Judicial review of the order or decision of the commission
assessing the penalty shall be under the substantial evidence
rule and shall be instituted by filing a petition with the
district court of Travis County, Texas, and not elsewhere, as
provided for in Subchapter G, Chapter 2001, Government Code.
Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff.
Sept. 1, 1983. Amended by Acts 1995, 74th Leg., ch. 76, Sec.
5.95(53), (59), eff. Sept. 1, 1995.
Sec. 81.0534. RECOVERY OF PENALTY. Civil penalties owed under
Sections 81.0531-81.0533 of this code may be recovered in a civil
action brought by the attorney general at the request of the
commission.
Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff.
Sept. 1, 1983.
Sec. 81.054. ENFORCEMENT BY ATTORNEY GENERAL. (a) The attorney
general shall enforce the provision of this title by injunction
or other adequate remedy and as otherwise provided by law.
(b) If an action is instituted by the attorney general under
this section alleging a violation of an NPDES permit or the
failure to obtain an NPDES permit under Chapter 91 or Chapter 141
of the Natural Resources Code, the attorney general may not
oppose intervention by a person who has standing to intervene, as
provided by Rule 60, Texas Rules of Civil Procedure.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1995, 74th Leg., ch. 310, Sec. 5,
eff. Aug. 28, 1995.
Sec. 81.055. PIPELINE SYSTEM FINANCIAL RESPONSIBILITY
REQUIREMENTS. (a) Not later than March 1, 2002, the legislature
may:
(1) study the desirability of requiring an owner, operator, or
manager of a pipeline system to obtain liability insurance
coverage, a bond, or other evidence of financial responsibility
in order to protect the public from the costs resulting from a
discharge from the pipeline system; and
(2) report its findings to the legislature and make the report
available to the public.
(b) If the legislature finds that adoption of such a requirement
is desirable, the commission by rule may require an owner,
operator, or manager of a pipeline system to obtain evidence of
financial responsibility. The rules must specify the appropriate
form and amount of that evidence and may require evidence of
financial responsibility in different amounts for different
pipeline systems, taking into consideration whether the pipeline
system:
(1) has a history of discharges or other violations of
regulatory requirements; or
(2) is located over a public drinking water supply, a natural
resource, or a critical groundwater resource or near a school or
populated area.
Added by Acts 2001, 77th Leg., ch. 1233, Sec. 6, eff. Sept. 1,
2001.
Sec. 81.056. CONTAMINATION REPORT. (a) In this section:
(1) "Common carrier" has the meaning assigned by Section
111.002.
(2) "Owner of the land" or "landowner" means the first person
who is shown on the appraisal roll of the appraisal district
established for the county in which a tract of land is located as
owning an interest in the surface estate of the land at the time
a contamination report is required to be made under this section.
(b) If in the process of placing, repairing, replacing, or
maintaining a pipeline a common carrier or an owner or operator
of a pipeline observes or detects any petroleum-based
contamination of soil or water in proximity to the pipeline, the
common carrier or pipeline owner or operator shall report the
contamination to the commission and the owner of the land on
which the pipeline is located. Petroleum-based contamination of
soil or water that is observed or detected is required to be
reported under this subsection if:
(1) hydrocarbons are present on the surface of the water;
(2) at least five linear yards of soil have been affected by
hydrocarbons; or
(3) soil affected by hydrocarbons extends beyond the face of the
excavation in which the contamination is observed or detected.
(c) The contamination report:
(1) must be made not later than 24 hours after the common
carrier or pipeline owner or operator observes or detects the
contamination;
(2) must include the global positioning satellite coordinates of
the location of the contamination; and
(3) may be made by telephone, facsimile, or electronic mail.
(d) Not later than the third business day after the date the
commission receives the contamination report, a person authorized
by the commission shall withdraw a soil sample from the
contaminated land. The person is entitled to enter the land for
the purpose of withdrawing the sample.
(e) A common carrier or pipeline owner or operator that makes a
contamination report under this section is released from all
liability for the contamination or the cleanup of the
contamination covered by the report, except for any contamination
caused by the common carrier or pipeline owner or operator.
(f) The commission shall adopt rules to implement this section.
(g) The commission may use money in the oil-field cleanup fund
to implement this section. The amount of money in the fund the
commission may use for that purpose may not exceed the amount of
money in the fund that is derived from fees collected under
Section 91.142 from common carriers or owners or operators of
pipelines as determined annually by the commission.
Added by Acts 2005, 79th Leg., Ch.
339, Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2009, 81st Leg., R.S., Ch.
166, Sec. 1, eff. September 1, 2009.
Acts 2009, 81st Leg., R.S., Ch.
166, Sec. 2, eff. September 1, 2009.
Sec. 81.057. EXEMPTION FROM CERTAIN PURCHASING RULES. The
commission is not required to follow any purchasing procedures
prescribed by or under Subchapter E, Chapter 2155, Government
Code, when the commission makes a purchase in connection with the
remediation of surface locations or well plugging.
Added by Acts 2003, 78th Leg., ch. 1272, Sec. 2, eff. Sept. 1,
2003.
Amended by:
Acts 2005, 79th Leg., Ch.
514, Sec. 2, eff. September 1, 2005.
Acts 2009, 81st Leg., R.S., Ch.
393, Sec. 3.06, eff. September 1, 2009.
Sec. 81.058. ADMINISTRATIVE PENALTY FOR CERTAIN NATURAL
GAS-RELATED ACTIVITIES. (a) The commission, after notice and
opportunity for hearing, may impose an administrative penalty
against a purchaser, transporter, gatherer, shipper, or seller of
natural gas, a person described by Section 81.051(a) or
111.081(a), or any other entity under the jurisdiction of the
commission under this code that the commission determines has:
(1) violated a commission rule adopting standards or a code of
conduct for entities in the natural gas industry prohibiting
unlawful discrimination; or
(2) unreasonably discriminated against a seller of natural gas
in the purchase of natural gas from the seller.
(b) The commission, after notice and opportunity for hearing,
may impose an administrative penalty against a purchaser,
transporter, or gatherer of natural gas if the commission
determines that the person engaged in prohibited discrimination
against a shipper or seller of natural gas because the shipper or
seller filed a formal or informal complaint with the commission
against the person relating to the person's purchase,
transportation, or gathering of the gas.
(c) The commission, after notice and opportunity for hearing,
may impose an administrative penalty against a purchaser,
transporter, gatherer, shipper, or seller of natural gas who is a
party to an informal complaint resolution proceeding and is
determined by the commission to have:
(1) failed to participate in the proceeding; or
(2) failed to provide information requested by a mediator in the
proceeding.
(d) An administrative penalty imposed under this section may not
exceed $5,000 a day for each violation. Each day a violation
continues or occurs is a separate violation for purposes of
imposing a penalty under this section.
(e) If the commission determines after notice and opportunity
for hearing that an entity has engaged in prohibited
discrimination for which a penalty may be imposed under this
section, the commission may issue any order necessary and
reasonable to prevent the discrimination from continuing.
(f) The remedy provided by this section is cumulative of any
other remedy the commission may order.
Added by Acts 2007, 80th Leg., R.S., Ch.
757, Sec. 1, eff. September 1, 2007.
Sec. 81.059. APPOINTMENT OF MEDIATORS FOR INFORMAL COMPLAINTS.
(a) The commission may provide for the appointment of a
commission staff member as the mediator of an informal complaint
filed with the commission, or the parties may agree to employ and
pay an independent mediator for the purpose of mediating the
complaint.
(b) If the parties request that the mediation be conducted at a
location other than the offices of the commission in Austin, the
parties shall reimburse the commission for the commission's costs
related to travel to those other locations.
(c) This section does not prohibit the commission from requiring
that the parties participate in a formal complaint resolution
proceeding.
(d) At least annually, the commission shall notify oil and gas
producers of the existence of any informal complaint resolution
process provided for by the commission.
(e) Filing an informal complaint is not a prerequisite for
filing a formal complaint.
Added by Acts 2007, 80th Leg., R.S., Ch.
757, Sec. 1, eff. September 1, 2007.
Text of section effective on April 01, 2011
Sec. 81.0591. COMPLAINTS. (a) The commission shall maintain a
file on each written complaint filed with the commission. The
file must include:
(1) the name of the person who filed the complaint;
(2) the date the complaint is received by the commission;
(3) the subject matter of the complaint;
(4) the name of each person contacted in relation to the
complaint;
(5) a summary of the results of the review or investigation of
the complaint; and
(6) an explanation of the reason the file was closed, if the
commission closed the file without taking action other than to
investigate the complaint.
(b) The commission shall provide to the person filing the
complaint and to each person who is a subject of the complaint a
copy of the commission's policies and procedures relating to
complaint investigation and resolution.
(c) The commission, at least quarterly until final disposition
of the complaint, shall notify the person filing the complaint
and each person who is a subject of the complaint of the status
of the investigation unless the notice would jeopardize an
undercover investigation.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.03, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.0592. CONSUMER INTEREST INFORMATION. (a) The
commission shall prepare information of consumer interest
describing the regulatory functions of the commission and the
procedures by which consumer complaints are filed with and
resolved by the commission.
(b) The commission shall make the information available to the
public and appropriate state agencies.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.03, eff. April 1, 2011.
Sec. 81.060. CONFIDENTIALITY PROVISIONS. (a) A confidentiality
provision may not be required in a contract to which a producer
is a party for the sale, transportation, or gathering of natural
gas that is entered into on or after September 1, 2007.
(b) A confidentiality provision in a contract to which a
producer is a party for the sale, transportation, or gathering of
natural gas that was entered into before September 1, 2007,
becomes unenforceable on the date the term of the contract
expires.
Added by Acts 2007, 80th Leg., R.S., Ch.
757, Sec. 1, eff. September 1, 2007.
Sec. 81.061. AUTHORITY TO ESTABLISH MARKET-BASED RATES. (a)
This section does not apply to rates established under Chapter
103, Utilities Code, or Subchapter C or G, Chapter 104, of that
code.
(b) The commission may use a cost-of-service method or a
market-based rate method in setting a rate in a formal rate
proceeding.
(c) On the filing of a complaint by a shipper or seller of
natural gas, the commission may set a transportation or gathering
rate in a formal rate proceeding if the commission determines
that the rate is necessary to remedy unreasonable discrimination
in the provision of transportation or gathering services. The
commission may set a rate regardless of whether the transporter
or gatherer is classified as a utility by other law.
Added by Acts 2007, 80th Leg., R.S., Ch.
757, Sec. 1, eff. September 1, 2007.
Text of section effective on April 01, 2011
Sec. 81.062. PUBLIC PARTICIPATION. The commission shall develop
and implement policies that provide the public with a reasonable
opportunity to appear before the commission and to speak on any
issue under the jurisdiction of the commission.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.03, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.063. ISSUANCE, SUSPENSION, OR REVOCATION OF LICENSE,
PERMIT, OR CERTIFICATE. (a) If the commission proposes to
suspend or revoke a person's license, permit, or certificate of
public convenience and necessity, the person is entitled to a
hearing before the commission.
(b) The commission may not:
(1) refuse to issue a license, permit, or certificate to a
person because of the person's race, religion, color, sex, or
national origin; or
(2) revoke or suspend the license, permit, or certificate of a
person because of the person's race, religion, color, sex, or
national origin.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.03, eff. April 1, 2011.
Text of section effective on April 01, 2011
Sec. 81.064. POWERS OF COMMISSIONER OR DESIGNATED EMPLOYEE IN
CASES BEFORE COMMISSION. (a) In a case before the commission, a
commissioner, or an authorized commission employee, designated by
the commission for that purpose, in the same manner as if the
entire commission were present, may:
(1) hold a hearing;
(2) conduct an investigation;
(3) make a record of a hearing or investigation for the use and
benefit of the commission;
(4) administer an oath;
(5) certify to an official act; and
(6) compel the attendance of a witness and the production of
papers, books, accounts, and other pertinent documents and
testimony.
(b) The record of a hearing or investigation made under this
section that is certified to by the commissioner or employee has
the same effect as if made before the commission. The commission
shall determine a case in which the record is made under this
section in the same manner as if the record had been made before
the commission.
(c) The commission may punish for contempt a person who:
(1) refuses to comply with this section; or
(2) obstructs or attempts to obstruct a proceeding under this
section.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.03, eff. April 1, 2011.
SUBCHAPTER D. WITNESSES
Sec. 81.091. INCRIMINATING TESTIMONY. If a witness fails or
refuses to appear on being summoned, to answer any question he is
asked, or to produce any record or data required by subpoena, the
claim that the testimony may tend to incriminate the person
giving it does not excuse the witness from testifying or
producing the records and data, but the evidence or testimony may
not be used against the person on the trial of any criminal
proceeding.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.092. FEE FOR EXECUTING PROCESS. The sheriff or
constable executing process shall receive the compensation
authorized by the commission.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Text of section effective on April 01, 2011
Sec. 81.093. DEPOSITIONS. (a) In a matter pending for hearing
before the commission or a division of the commission, the
commission or an interested party may produce the testimony of a
witness by written or oral deposition instead of compelling the
personal attendance of the witness. For that purpose, the
commission may issue a commission or other process necessary to
take a deposition.
(b) The deposition shall be taken, to the extent applicable and
to the greatest extent possible, in accordance with the
provisions of the Texas Rules of Civil Procedure relating to
written and oral depositions.
Added by Acts 2009, 81st Leg., R.S., Ch.
85, Sec. 3.04, eff. April 1, 2011.
SUBCHAPTER E. TAX
Sec. 81.111. TAX LEVY. (a) A tax is levied on crude petroleum
produced in this state in the amount of three-sixteenths of one
cent on each barrel of 42 standard gallons.
(b) This tax is in addition to and shall be collected in the
same manner as the occupation tax on the production of crude
petroleum.
(c) Chapter 202, Tax Code, as amended, applies to the
administration and collection of the tax imposed by this section,
and the penalties provided by that chapter apply to any person
who fails to pay or report the tax under this section.
Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 1024, ch. 235,
art. 5, Sec. 3(a), eff. Sept. 1, 1983.
Sec. 81.112. DISPOSITION OF TAX PROCEEDS. The tax shall be
deposited in the General Revenue Fund.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65,
Sec. 1, eff. Sept. 1, 1981.
Sec. 81.113. USE OF TAX PROCEEDS. Proceeds from the tax shall
be used for the administration of the state's oil and gas
conservation laws.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.114. PRODUCTION REPORTS. Producers of crude petroleum
shall make reports of production in the same manner and under the
same penalties as provided for the occupation tax on the
production of crude oil.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.115. PAYMENTS TO OIL AND GAS DIVISION. Money
appropriated to the oil and gas division of the commission under
the General Appropriations Act shall be paid from the General
Revenue Fund.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65,
Sec. 1, eff. Sept. 1, 1981.
Sec. 81.116. OIL-FIELD CLEANUP REGULATORY FEE ON OIL. (a) An
oil-field cleanup regulatory fee is imposed on crude petroleum
produced in this state in the amount of five-eighths of one cent
on each barrel of 42 standard gallons.
(b) The fee is in addition to, and independent of any liability
for, the taxes imposed under Section 81.111 of this code and
Chapter 202, Tax Code.
(c) Except as provided by Subsection (d) of this section,
Chapter 202, Tax Code, applies to the administration and
collection of the fee, and the penalties provided by that chapter
apply to any person who fails to pay or report the fee.
(d) The comptroller shall suspend collection of the fee in the
manner provided by Section 91.111. The exemptions and reductions
set out in Sections 202.052, 202.054, 202.056, 202.057, 202.059,
and 202.060, Tax Code, do not affect the fee imposed by this
section.
(e) Proceeds from the fee, including any penalties collected in
connection with the fee, shall be deposited to the oil-field
cleanup fund as provided by Section 91.111 of this code.
Added by Acts 1991, 72nd Leg., ch. 603, Sec. 2, eff. Sept. 1,
1991. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 7, eff.
Sept. 1, 2001; Acts 2003, 78th Leg., ch. 200, Sec. 17, eff. Sept.
1, 2003.
Amended by:
Acts 2005, 79th Leg., Ch.
267, Sec. 1, eff. January 1, 2006.
Sec. 81.117. OIL-FIELD CLEANUP REGULATORY FEE ON GAS. (a) An
oil-field cleanup regulatory fee is imposed on gas initially
produced and saved in this state in the amount of one-fifteenth
of one cent for each thousand cubic feet.
(b) The fee is in addition to, and independent of any liability
for, the tax imposed under Section 201.052, Tax Code.
(c) Except as provided by Subsection (d), the administration,
collection, and enforcement of the fee is the same as for the tax
imposed under Section 201.052, Tax Code.
(d) The comptroller shall suspend collection of the fee in the
manner provided by Section 91.111. The exemptions and reductions
set out in Sections 201.053, 201.057, 201.058, and 202.060, Tax
Code, do not affect the fee imposed by this section.
(e) Proceeds from the fee, including any penalties collected in
connection with the fee, shall be deposited to the oil-field
cleanup fund as provided by Section 91.111 of this code.
Added by Acts 1991, 72nd Leg., ch. 603, Sec. 2, eff. Sept. 1,
1991. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 8, eff.
Sept. 1, 2001; Acts 2003, 78th Leg., ch. 200, Sec. 18, eff. Sept.
1, 2003.
Amended by:
Acts 2005, 79th Leg., Ch.
267, Sec. 2, eff. January 1, 2006.
SUBCHAPTER F. CAMPAIGNING
Sec. 81.151. PENALTY FOR CAMPAIGNING. A person who receives a
salary from funds provided under this title and who uses his time
or a state-owned automobile for campaign purposes or for the
purpose of furthering the candidacy of his employer or any other
candidate for state office is guilty of a misdemeanor and on
conviction shall be fined not less than $100 nor more than $500
and shall be confined in jail for not less than 30 nor more than
90 days.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.152. DISCHARGE AND INELIGIBILITY. A person found guilty
under Section 81.151 of this code shall be discharged immediately
from his position and shall be ineligible for employment by the
state in the future.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.153. SETTING CIVIL COMPLAINT FOR HEARING. If a citizen
of this state files a civil complaint with a district court in
Travis County charging an employee with use of his time or a
state-owned automobile for campaign purposes or to further the
candidacy of his employer or any other candidate for state
office, the court shall set the complaint for hearing at a time
not less than 10 nor more than 20 days after the day on which the
complaint is filed.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.154. NOTICE TO EMPLOYEE. The court shall have notice of
the hearing served on the employee against whom the complaint was
filed at least five days before the date of the hearing.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.155. COURT'S ORDER. At the hearing, if the court
determines that the employee has used his time or a state-owned
automobile as charged in the complaint, the court shall certify
the fact to the department, agency, or commission which employs
the person and order the employee's immediate discharge.
Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 81.156. APPEAL. Any person against whom charges have been
filed is entitled to appeal to the court of appeals, but the
pendency of the appeal does not suspend his discharge.
Acts 1977, 65th Leg., p. 2512, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 799, ch. 291,
Sec. 91, eff. Sept. 1, 1981.