TITLE 16.ECONOMIC REGULATION

Part 1. RAILROAD COMMISSION OF TEXAS

Chapter 9. LIQUEFIED PETROLEUM GAS DIVISION

The Railroad Commission of Texas adopts the repeal of all rules in 16 TAC chapter 9 and adopts the following new subchapters and rules in chapter 9: in new subchapter A, new §§9.1-9.3, 9.6-9.13, 9.16-9.18, 9.21-9.23, 9.26-9.28, 9.31- 9.33, 9.36-9.38, and 9.51-9.53, relating to general requirements; in new subchapter B, new §§9.101-9.103, 9.107-9.110, 9.113- 9.115, 9.126, 9.129-9.132, 9.134-9.137, 9.141-9.143, relating to stationary installations and container requirements; in new subchapter C, new §§9.201-9.203, 9.206-9.208, 9.211-9.212, relating to vehicles and vehicle dispensers; in new subchapter D, new §§9.301-9.303, 9.306-9.308, 9.311-9.313, relating to adoption by reference of NFPA 54 ( National Fuel Gas Code ); in new subchapter E, new §§9.401-9.403, relating to adoption by reference of NFPA 58 ( LP-Gas Code ); and in new subchapter F, new §§9.501-9.503, 9.506-9.508, relating to adoption by reference of NFPA 51 ( Standard for the Design and Installation of Oxygen-Fuel Gas Systems for Welding, Cutting, and Allied Processes ). Sections 9.2, 9.7, 9.8, 9.11, 9.13, 9.16, 9.17, 9.51, 9.52, 9.53, 9.101, 9.107, 9.140, 9.143, 9.202, 9.203, 9.212, and 9.403 are adopted with changes, §9.54 is withdrawn, and all remaining sections are adopted without changes to the proposed versions published in the September 29, 2000, issue of the Texas Register (25 TexReg 9748).

The Commission adopts the repeals and new sections for two reasons: First, the repeals and new sections remove some existing language from the LP-Gas Safety Rules and add new language to adopt by reference the National Fire Protection Association's LP-Gas Code (commonly referred to as "NFPA 58" and formerly titled Standard for the Storage and Handling of Liquefied Petroleum Gases ), a nationally- recognized standard adopted in whole or in part by most other states in the United States; and second, the new rules add new requirements for training and continuing education for the LP-gas industry in Texas.

Adoption of NFPA 58. Adoption of NFPA 58 is the next step in adopting national standards such as NFPA 54, National Fuel Gas Code , which the Commission adopted effective June 1, 1997. The repeals and new sections, including the adoption by reference of the 1998 edition of NFPA 58, will establish requirements for Texas LP-gas licensees and consumers that are consistent with most other states in the United States. Because NFPA 58 has been adopted in whole or in part by most other states in the United States, the Texas LP-gas industry would benefit from its adoption because Texas companies would be held to the same standards when doing business in other states; therefore, LP-gas companies wishing to expand their businesses to other states would have a better opportunity to do so.

Most of the repeals will remove existing language from the LP-Gas Safety Rules altogether because NFPA 58 includes the same or similar requirements; however, some rules are being repealed so that the language may be moved to another new rule or another subchapter in order to better organize the rules.

The Commission adopts NFPA 58 in new §9.401, with certain clarifications described in §9.402 and §9.403. The Commission also adopts by reference all other NFPA publications or portions of those publications referenced in NFPA 58 which apply to LP-gas activities only. In other words, if other LP-gas activities are to be performed by a licensee and those activities are included in an NFPA publication referenced in NFPA 58, then the licensee shall perform those activities in compliance with the referenced document. For example, §3-2.2.7(e) of NFPA 58 refers to another NFPA publication, NFPA 30, Flammable and Combustible Liquids Code . Licensees who will be performing LP-gas activities authorized in §3-2.2.7(e) shall also be required to purchase that NFPA publication and perform the work to those standards.

In a slight change from the proposal, the Commission adopts an effective date of February 1, 2001, rather than January 1, for the implementation of the adoption by reference of NFPA 58 and other related requirements. The training and continuing education requirements in §§9.51-9.53 will be effective March 1, 2001, which will result in these requirements being consistent with the March through May period each year during which individuals renew their certifications.

To assist Commission staff in the review of NFPA 58, the Commission appointed an NFPA 58 task force consisting of members of the LP-gas industry from all areas of the state. The task force met several times to review NFPA 58 and discuss whether any exceptions or other changes would be necessary for Texas. The task force thoroughly reviewed NFPA 58 and the task force's recommendations were reviewed and approved by the Commission's LP-gas advisory committee. The table in new §9.403 shows which NFPA 58 sections are adopted with changes based on Texas requirements, which sections are adopted with corrections due to typographical or other errors corrected by NFPA in errata documents published at a later date, and which sections are not adopted at all. With regard to chapters 9 and 10 of NFPA 58, the Commission adopts chapter 9, regarding refrigerated containers, even though at this time there are no such installations in Texas. The Commission does not adopt chapter 10 regarding marine shipping and receiving because the Commission's §9.1 states that the LP-gas safety rules do not apply to these types of installations or activities.

Also, the Commission does not adopt language in NFPA 58 and other related pamphlets referring to the practice of engineering (such as "sound engineering practices" or "good engineering practices," for example) and has clarified its existing rule that prohibits the practice of engineering. In order to achieve this goal, wording such as "plans and specifications" has been deleted to avoid any possible confusion. Likewise, in §9.203, regarding school buses and other similar vehicles, the Commission has deleted the submission of plans and specifications, but has added a requirement for these types of vehicles to be inspected by Commission personnel prior to being placed into LP-gas service in order to ensure compliance with the LP-Gas Safety Rules .

The adoption by reference of NFPA 58 will necessitate some Commission rulemaking in the future. Secretary of State rules, 1 Tex. Admin. Code §91.41 and §91.42, state that an adoption by reference must incorporate the document being adopted as it exists on the date of adoption. NFPA amends NFPA 58 approximately every three years, with the next republication to be in 2001, although NFPA occasionally issues interim amendments. If NFPA changes NFPA 58 or issues an interim amendment and the Commission wants to incorporate those changes into the requirements for Texas, then the Commission will have to re-adopt the new language or edition through the rulemaking process in order for the changes to be effective. Likewise, if NFPA changes any of the 19 other NFPA documents referenced in NFPA 58 between now and 2001, for instance, then the Commission will have to adopt the changes in those particular editions for them to become effective. If the Commission waits until 2001 to re-adopt NFPA 58, then the referenced documents that are changed between now and then will not become effective until that time. For this reason, new §9.401(b)(1)-(19) separately lists the 19 pamphlets referenced in NFPA 58 and the date of the edition being adopted. If the Commission wishes to adopt different editions of any of these referenced pamphlets, then only a minor rulemaking will be necessary, and the rule will always include a list of the NFPA standards currently effective in Texas.

The adoption by reference of NFPA 58 means that the Commission must provide for public viewing a complete set of NFPA 58 and all the referenced NFPA documents. Providing copies for public viewing complies with the public information law in Texas; however, because the NFPA documents are copyrighted, copies may not be made. The Commission does not assume any responsibility or liability for the use of the NFPA documents, other than as specified in the adopted rules.

Main Differences Between NFPA 58 and Current Commission Rules. Some of the provisions in NFPA 58 are different from what is currently required in Texas. For example, current Commission §9.185 requires a minimum distance of 80 feet from buildings, adjacent property lines, roadway right-of-ways, etc. for containers with an aggregate water capacity of 12,001 gallons or more when a vertical bulkhead and pneumatically activated emergency shutoff vales (ESVs) are installed. However, NFPA 58 §3-2.2.2 allows an individual container of 2,001 to 30,000 gallons to be only 50 feet from buildings, adjoining property lines, etc., regardless if a vertical or horizontal bulkhead or pneumatic or cable-activated ESVs are installed. Also, NFPA 58 requires no specific distance between containers and a bulkhead and highway right-of-ways or rail right-of-ways. NFPA 58 does specify the minimum distance of 25 feet from a point of transfer to buildings, public streets, railroad tracks, etc. Current Commission requirements require a distance of at least 50 feet for a container of 4,001 gallons or larger, individual or aggregate water capacity. The Commission notes that the requirement for vertical bulkheads and pneumatic emergency shut- off valves, discussed later in this preamble, will offer improved safety features so that the decreased distance should not adversely affect safety. NFPA 58 also allows underground and mounded ASME containers of 2,001 through 30,000 gallons water capacity to be installed a minimum of 10 feet from buildings and adjoining property lines when internal valves and redundant fail- safe control measures are installed. NFPA 58, §3-10.2.3 requires a fire analysis for certain installations; LPG Form 501 may be revised to include some information concerning the fire analysis.

New §9.143 is similar to current §9.187 but includes some substantive differences. The current rule requires new installations to have vertical bulkheads, pneumatic or cable- actuated ESVs, and allows back-check valves in one-way systems. Existing installations may have a vertical or horizontal bulkhead, pneumatic or cable-actuated ESVs, a back-check valve, or even, depending on the age of the installation, none of this equipment. The requirements in new §9.143 are as follows: in subsection (a), new installations must have vertical bulkheads (as they do now) and pneumatic ESVs; cable-actuated ESVs will no longer be allowed. In subsection (b), existing installations have until February 1, 2003 (changed from the proposed date of January 1, 2003), to install this equipment if they do not already have a bulkhead and ESVs. In subsection (c), existing installations may retain their currently installed horizontal bulkheads, cable-actuated ESVs, and/or certain back-check valves unless any of this equipment has to be replaced or is moved to a different location, at which time the installation shall replace the equipment with vertical bulkheads and pneumatic ESVs, and eliminate the back-check valve.

The installations that will be most affected by the new rules will be current installations which do not have any type of bulkhead or ESVs. The Commission estimates that about 75% of an estimated 3,000 LP-gas licensee and consumer installations already have at least one type of bulkhead and ESV, and that about 75% will have to add pneumatically-operated internal valves required in new §9.143(a). New §9.143(b) requires existing stationary LP-gas installations with individual or aggregate water capacities of 4,001 gallons or more which do not currently have bulkheads or ESVs to install vertical bulkheads and pneumatic ESVs by February 1, 2003. Since 1984, new installations were required to have bulkheads and ESVs; in January 1988, the requirement specified these for installations of 4,000 gallons or more, and in November 1994, only a vertical bulkhead and pneumatic or cable-actuated ESVs were allowed for a new installation. NFPA 58 allows horizontal or vertical bulkheads and cable- or pneumatic-actuated ESVs, as well as requiring back- check valves in one-way systems. The Commission's records on stationary LP-gas installations show that no serious accidents have occurred at installations with bulkheads and ESVs. The bulkhead secures the piping from being dislodged in an accident or pullaway, while the ESV provides a means of thermally, remotely, and manually shutting off the flow of LP-gas in the event of an emergency, even when the site is unattended. The Commission believes that the gain in safety by requiring this equipment far outweighs the monetary cost. In fact, this equipment is required in NFPA 58 as the Commission proposed to adopt it by reference; however, the Commission recognizes the number of installations in Texas which will be required to comply with the new requirements, and has adopted some phase-in periods as a way for installations to gradually replace or install this equipment. The specific phase-in periods are included in the table in §9.403, in the entry for NFPA 58, 2-3.3.2.

Other rules affected by the adoption of NFPA 58 are as follows. New §9.129 and §9.130 regarding nameplates are substantively the same as current Commission rules §9.160 and §9.161. The Commission does not adopt NFPA 58, 2-2.6.3, but retains the Commission's current language. Both 2-2.6.3 and the current Commission nameplate rules require a nameplate to be stainless steel; however, 2-2.6.3 allows the nameplate to be attached with a stand-off bracket. The Commission prefers to retain its requirement for the nameplate to be continuously welded to the container, which has been in place since 1984. The Commission has slightly revised the information to be included on the nameplate, as well as including the exception language in 2- 2.6.3, adopted in §9.129(h).

New §9.136 (comparable to current §9.307) includes a difference from requirements in NFPA 58 but remains consistent with the current Commission requirement that certain cylinders must be filled by weight. Filling by weight has been a requirement in Texas for over 25 years and the Commission finds that this method is superior to any other.

New §9.140 retains much of the language in current §9.183 regarding fencing and guardrailing. The current Commission language being retained is more specific than many of the sections in NFPA 58; the Commission has attempted to include all the cross-references to sections in NFPA 58 which refer to fencing and guardrailing, so that the exact requirements are clear. Some of the NFPA 58 language has been added as part of this rule and is different from current Commission requirements; in particular, §9.140(b)(4) requires a second gate in certain sized fenced enclosures. In §9.140(d)(5), the Commission has added a distance requirement that is specific to cylinder filling operations to recognize current practices in Texas. The table in §9.140(g) includes some slight changes to rows 6 and 7 and new row 8 is added concerning the wording required on signs. Subsection (h)(3) addresses certain aspects of LP-gas cylinder exchange activities and situations. Subsection §9.140(b) and (d) are changed from the current 24-inch clearance to three feet clearance as required in NFPA 58.

Another main difference with regard to the adoption of NFPA 58 is in new §9.142 (current §9.185). The Commission adopts NFPA 58, 3-2.2, which specifies the distances required from LP- gas containers to buildings, adjoining property lines, etc. Most of these distances are the same as currently required by the Commission; however, there are two significant changes. The first, discussed in previous paragraphs, involves minimum distances for containers with water capacities of 12,001 gallons or more being decreased from 80 feet to 50 feet for certain installations. The second involves containers with less than 125 gallon water capacities; these containers are currently required to be at least 10 feet from any building. NFPA 58, 3-2.2, allows these containers to be installed right next to a building as long as minimum distance requirements from building openings, sources of ignition, etc., are met. The NFPA 58 task force and the LP- gas advisory committee discussed this issue from all aspects and ultimately agreed with the NFPA requirements.

Most of the requirements in §9.143(d)(4) allow the Pipeline and LP-Gas Safety Section to grant some administrative variances at those limited facilities where the 10-foot distance requirement for bulkheads cannot be obtained. The Commission believes that having a bulkhead is more important than preserving the 10-foot distance requirement, and the Pipeline and LP-Gas Safety Section will make every effort to assist LP-gas installations in complying with the bulkhead requirement.

Another new requirement in §9.143(d)(8) allows the use of a breakaway loading arm and specifies requirements for its use, and new paragraph (9) states that the Commission may require additional bulkhead protection in certain instances. New subsection (g) allows installations until February 1, 2003, to replace rubber flexible connectors which are 3/4-inch in diameter or larger with stainless steel flexible connectors; new installations installed after February 1, 2001, must have stainless steel flexible connectors.

Other Main Differences Between Current Commission Rules and Proposed New Rules. Section §9.2, as adopted, includes new definitions for "advanced field training," "continuing education," and "training," and changes the definition of "commercial installation" to include installations near microwave towers and agricultural installations. As adopted, in the definition of "public transportation vehicle," the Commission changed "cars" to "vehicles." New §9.11 includes an employee transfer fee of $10 for each employee listed on LPG Form 16A, which is the form licensees must file with the Commission whenever they hire a previously certified employee. This procedure is critical to the Commission in determining where LP- gas employees are located throughout the state and will enable the Commission to plan where and how many training or continuing education classes might need to be offered in a particular area of the state. A change in §9.11 as adopted clarifies that the $10 fee is also due when a written notice is filed in lieu of the form.

New §9.17 (based on current §9.8) specifies the requirements for company representatives and operations supervisors. These management-level individuals will have greater responsibility with regard to the new training and continuing education program, because they will be responsible for certifying that an employee has completed the advanced field training required in §9.52. In addition, the Commission has clarified when an applicant for a management-level position must take the Category E 80-hour training course and when an applicant's previous experience may count towards this requirement. The new rule also addresses requirements for Category P licensees (cylinder exchange racks), which is a fast- growing portion of the LP-gas industry in Texas.

New §9.27 includes most of the language in current §9.29, but adds some additional required information for applications for exceptions to safety rules.

New §9.36 (based on current §9.181) clarifies the circumstances in which an incident or accident must be reported to the Commission.

New subchapter B includes mostly language from current §9.20 through §9.28 regarding stationary LP-gas installations. The main change in the new rules is that the Commission will no longer grant tentative or interim approval for stationary installations. Commission staff will review the application and inspect the installation for compliance with the LP-Gas Safety Rules . As adopted, the 250-foot distance in §9.101(c)(1)(C)(iii) is corrected to 500 feet to be consistent with other existing and newly adopted rules. In §9.103, the time period for Commission review of objections to proposed installations has been reduced from 21 days to 10 days.

The rules in new subchapter C address requirements for vehicles. Many of the current rules in subchapters H and T (regarding specification and nonspecification transports) are repealed because NFPA 58 incorporates United States Department of Transportation rules and regulations regarding these vehicles, so separate Commission rules are unnecessary. New §9.208 changes the current testing requirements to the testing outlined in Title 49, Code of Federal Regulations. Most of the remaining rules in subchapter C relate to administrative activities required by the Commission.

Effects of New Rules on Safety. Major accidents or incidents in other states have heightened an interest in increasing safety. A major incident occurred in 1996 in Sanford, North Carolina, in which about 40,000 gallons of LP-gas were released from two 30,000-gallon LP-gas stationary storage vessels and an LP-gas transport. The primary cause of the incident was a hose separating from its coupling. The investigation determined that the back-check valves installed at the storage facility were inoperable, while the equipment installed on or connected to the transport may not have allowed the safety equipment to operate as designed. DOT recently adopted regulations covering hose inspection, passive shutdown systems, and testing of hose assemblies for LP-gas transportation vehicles, and established a retrofit and phase-in time period. The new DOT requirements appear to provide adequate protection for cargo tanks, but do not necessarily provide protection for stationary storage facilities.

The number of existing facilities in Texas without internal valves is unknown because the Commission is not required to be notified when such equipment is installed. Most new installations are equipped with pneumatically-operated internal valves. The cost for each valve is about $500 or approximately $1,000 per tank.

Under the current requirements, if a situation occurred where the piping or flexible connector between the tanks, the bulkhead, and the ESVs developed a leak but the amount of leakage did not exceed the flow rate of the excess flow valve in the container, there would be no way to shut off the leak other than someone going into the liquid or vapor area to close the shutoff valves at the container, placing the individual in a very dangerous situation. With pneumatically-operated internal valves, which must have remote shutdown capability, such a situation could possibly be safely resolved from the remote location. The internal valves, along with the bulkheads and ESVs, will greatly increase safety and should virtually prevent any large LP-gas accident or incident.

Adoption of New Edition of NFPA 54. The Commission also adopts the 1999 edition of NFPA 54 to update the version adopted by reference effective June 1, 1997. The 1999 version contains only nonsubstantive differences from the 1997 version. New §9.313 adds a new table to show some corrections to NFPA 54 adopted by NFPA in two errata documents.

New Training and Continuing Education Requirements. The other significant portion of this proposal involves new training and continuing education requirements for individuals in the LP-gas industry in Texas. As defined in §9.2, relating to definitions, the term "training" refers to courses and other requirements which individuals who are new to the LP-gas industry must complete, while the term "continuing education" refers to courses and other requirements which LP-gas certificate holders must complete in order to maintain their active status.

The Commission has long recognized the need for training and continuing education to improve safety for the LP-gas industry and for the public. As with the adoption by reference of NFPA 58, the Commission, with the assistance of the Commission's LP- gas advisory committee and its training subcommittee, and later a separate training task force, spent many months reviewing and studying different types of training and continuing education. The new rules incorporate the results of this extensive review. New §9.7 contains some of the language in current §9.5, but addresses only the requirements for applicants for a new license, including specifying the most commonly required forms and fees. New §9.8 addresses requirements, including forms and fees, for applicants for a new certificate. Both of these types of applicants must comply with training requirements as outlined in new §9.51 through §9.53. New §9.9 specifies the requirements for certificate renewal, including the new requirements for a certain number of continuing education hours specified in §9.52. The annual certificate renewal fee will remain due by May 31 each year, but the continuing education deadline will be staggered over a four-year period. New §9.10 outlines the procedures for the rules examinations, which are the written examinations that applicants for a certificate must successfully complete as part of their certification process. The main change from the current examination procedures is that, in addition to being offered each business day at the Commission's Austin office, the rules examinations will also be offered at certain times during the business week at certain Commission district offices, as well as in conjunction with the Category E and I training courses. This will make the rules examinations more accessible to people in other parts of the state.

New §9.51 through §9.53 specify the requirements for the new training and continuing education program for new and current LP-gas licensees and certificate holders. New §9.51 lists some general requirements for the program and new §9.52 lists the specific classes required for each type of license or certificate. The new classes cover only certain types of licenses and certificates; however, the Commission is planning to add additional courses as they are developed and will amend the rules as necessary. New §9.52(a)(3) allows a time period in which individuals must complete the advanced field training (AFT), which is the "hands-on" portion of the training. This time period is necessary to allow LP-gas licensees to employ individuals who have passed the rules examination and completed training courses, while ensuring that the AFT will be completed in a timely manner. The Category E management-level course is being increased from 64 hours to 80 hours in order to cover all the necessary LP-gas activities required for that category of license. The current fee for this course is $750. Section 9.52(b) requires each individual to complete eight hours of continuing education during each four-year period and outlines the procedure by which currently certified individuals will be assigned a deadline to complete their initial continuing education requirement. This phasing in of the continuing education deadlines is necessary due to resource constraints. The Commission currently has four LP-gas instructors; with about 10,000 individuals who will be required to complete continuing education courses, a phase-in period is essential. New §9.53 allows individuals to receive continuing education credit for certain courses they have attended in the past. The rule specifies which courses, taken between September 1, 1997, and March 1, 2001, (changed from the proposed date of January 1, 2001) are applicable towards the initial continuing education requirement. The allowance of this one-time credit will also ease the initial burden on the Commission's training staff, while recognizing attendance at other Commission-taught or certain outside courses.

Adopted Rule Review. Simultaneously with the proposal, the Commission reviewed the rules in chapter 9 pursuant to Tex. Gov't Code, §2001.039 (added by Acts 1999, 76th Leg., Ch. 1499, §1.11(a)). The adopted rule review will be submitted for publication in the Texas Register in conjunction with the adopted repeals and new sections.

Explanation of Comments Received, Commission Review of the Comments, and Summary of Changes Being Adopted. The Commission received comments from two associations and three individuals. The Commission has worked with its LP-gas advisory committee and other members of the LP-gas industry and the public for several years on this project and the LP-gas industry has been informed throughout the process about this rulemaking. In general, the comments raised no new issues which the Commission had not previously considered, although a few changes are adopted for clarity.

The Texas Propane Gas Association (TPGA) filed comments in support of some proposals and suggesting changes to others. TPGA generally supported the Commission's proposals with regard to use of a blue decal for vehicles; retaining licensing, certification, insurance and training requirements; retaining odorization reports; retaining applications for exceptions to safety rules; eliminating references to "engineering practices" and the elimination of plans and specifications; retaining the requirement to fill certain containers by weight; exempting certain cylinders from OPD requirements; adopting the uniform protection standards and uniform safety requirements in §9.140 and §9.141 as proposed; adopting new §9.131 regarding 200-PSIG vessels as proposed; maintaining stainless steel continuously welded nameplates; protecting underground metallic piping against corrosion; venting gas through a fixed maximum liquid level gauge during filling of vehicles equipped with OPDs (stop-fill devices); and the Commission's strict oversight of outside instructors.

TPGA suggested that the Commission's Gas Services Division be designated the "authority having jurisdiction" for purposes of NFPA language. The Commission disagrees and makes no change to this definition; the Commission itself was designated as the authority having jurisdiction because there may be cases where a division other than the Gas Services Division is handling a matter (such as the Alternative Fuels Research and Education Division, which includes the Commission's training staff), and in any event, the Commission is the entity to which the legislature has delegated regulatory authority over LP-gas activities.

In the §9.403 table, in the entry for NFPA 58 §3-2.7.1, TPGA suggested retaining the sentence proposed for deletion regarding single-stage regulators and changing the referenced date from June 30, 1997, to January 1, 2001 (the proposed effective date of the rule package). The Commission disagrees; the sentence was deleted because it referred to a date already past, and changing the date to the new effective date would be redundant. The proposed language is retained in the adoption.

TPGA suggested a change to the Commission's proposal regarding NFPA 58 §5-4.1. This section currently requires cylinder exchange racks outside certain buildings to be at least 20 feet from a doorway or opening in certain buildings frequented by the public. NFPA has, however, recently adopted a previously-issued temporary interim agreement (which has the full force and effect of an adopted standard; it is temporary only in the respect that it has not been added to the NFPA 58 publication) which states that this distance may be reduced to five feet or 10 feet, depending on the number of egresses. This language was the focus of lengthy discussion between the Commission and its LP-Gas Advisory Committee and its Cylinder Exchange Task Force; after much deliberation, the Commission, the committee, and the task force agreed to propose the language in the NFPA temporary interim agreement (i.e., the five-foot distance). TPGA offered no explanation as to why it believed the 20-foot distance to be necessary; therefore, the Commission makes no change to this item.

In NFPA 58 §6-5.2.1, the Commission proposed to delete some language from the section so that the resulting language would be in compliance with United States Department of Transportation requirements. TPGA requested that the deleted language be returned to the final rule; as this would result in a rule which does not comply with the Department of Transportation, the Commission declines to make this change.

NFPA 58 includes several references to LP-gas containers of less than one gallon water capacity. In each case, the Commission changed the NFPA 58 language, as noted on the table in §9.403, to indicate that these one-gallon water capacity or equivalent containers are not within the Commission's jurisdiction. TPGA suggested that rather than having each reference noted on the §9.403 table, the Commission could simply add a disclaimer to state that the Commission has no jurisdiction over these containers. However, the Commission believes that the proposed changes, while they may add to the length of the chart, are more user-friendly, accurate, and specific.

Regarding bulkheads and ESVs, TPGA suggested that the Commission allow only vertical bulkheads, pneumatic ESVs, and require existing installations a certain phase-in period to retrofit to include this equipment. The Commission disagrees that requiring existing facilities to retrofit to vertical bulkheads is necessary. Many existing installations have horizontal bulkheads, which are preferable to no bulkhead at all. The Commission believes the proposed language provides for safety, while allowing phase-in periods for existing facilities.

TPGA suggested that two dates in NFPA 58 be retained, instead of deleted as the Commission proposed. The dates are September 30, 1998, in §2-3.1.5(a) and January 1, 1984, in §8-2.3.1(i). The Commission disagrees with this suggestion; because the Commission has not yet adopted NFPA 58, retaining these two dates would make those requirements retroactive, which the Commission does not intend.

Regarding Commission inspection of vehicles converted to LP- gas, TPGA suggested that public transportation vehicles converted to LP-gas should be inspected by the Commission within 30 days of being placed into service. The Commission partially agrees with this comment, but points out that TPGA's comment addressed only public transportation vehicles (which are defined in §9.2 as taxis, airport shuttles, etc.) and conversion; the Commission believes that vehicles originally manufactured for LP-gas service (and as original equipment are subject to other safety requirements such as the Federal Motor Vehicle Safety Standards) should also be included, and therefore has added the following sentence to §9.203(b): "For public transportation vehicles only, either manufactured to use or converted to LP-gas, if the Commission does not conduct the initial inspection of such vehicle within 30 business days of receipt of LPG Form 503, the vehicle may be operated in LP-gas service if it complies with the LP-Gas Safety Rules ."

Again, regarding items in the table in §9.403, TPGA commented that it does not believe "that it is incumbent upon the commission to codify into rule corrections . . . every minor error or inconsistency in the current edition of NFPA 58" and recommended that the Commission publish a sheet of "errata" corrections to indicate corrections to NFPA 58 as identified by NFPA. The Commission disagrees with this suggestion because publishing a sheet of errata would not comply with legal requirements regarding adoptions by reference and notice requirements for rulemaking. In addition, as with the corrections made in the table in §9.403 regarding one-gallon water capacity or equivalent LP-gas containers, the Commission believes that indicating each correction specifically is more helpful to the LP-gas industry, as well as to the Commission.

TPGA had several suggestions regarding proposed §9.54 concerning outside instructors. TPGA suggested that outside instructor applicants also be required to attend the Commission's individual subject matter courses (in addition to the "Train-the- Trainer" course) and to pass the subject-matter examinations with a score of at least 85 percent rather than 75 percent. The Commission agrees with these suggestions, but notes that these changes will require the proposed rule language to be republished for another period of public comment. Therefore, the Commission has decided to withdraw §9.54 from the adoption and propose it at another time to include these suggestions.

TPGA also suggested that outside instructors be required to attend a Commission-taught renewal course whenever a new edition of NFPA 54 or NFPA 58 is adopted by the Commission. The Commission agrees that this would be preferable, but due to staff and budget constraints, the Commission cannot offer renewal courses for outside instructors. Currently, the Commission has four instructors to provide the training and continuing education for the approximately 10,000 certified individuals currently in the LP-gas industry in Texas. The Commission will, however, attempt to clarify, before §9.54 is republished, the duty of outside instructors to remain knowledgeable about the Commission's requirements.

TPGA also suggested that the $300 application fee for outside instructors be changed to $100. The Commission disagrees; the $300 application fee includes curriculum and qualification review by three Commission employees, plus the Train-the-Trainer course, plus the subject matter examinations for the subject the outside instructor applicant wishes to teach.

The Association of Home Appliance Manufacturers submitted a comment regarding language in §9.6(c)(4) concerning the licensing exemption for the service and repair of an LP-gas appliance. The Association's comments appeared to address language which was not included in the proposal. Because the Commission's proposed language does not change the current requirements, the Commission makes no change as a result of this comment.

One individual submitted comments in opposition to allowing LP-gas containers with capacities of less than 125 gallons to be installed next to a building. This was another area of lengthy discussion between the Commission and the LP-Gas Advisory Committee. Some committee members believed that the Commission's current requirement that these containers be at least 10 feet from a building (with some exceptions allowed in manufactured housing parks) should be retained. Other members believed that because this item was part of NFPA 58 that has been in place in most other states, it should be adopted. The Commission and the committee ultimately agreed to adopt the NFPA 58 language allowing these containers to be next to a building. NFPA has not reported any requested changes to this language from other states or other interested persons. Therefore, the Commission makes no change to its proposal.

Another individual had five suggestions. First, in §9.6(c)(16), concerning Category P licenses, the individual suggested deleting the phrase "and where no other LP-gas activity requiring a license is conducted." The Commission declines to make this change because the language follows the statutory language regarding Category P licenses.

The second suggestion, in §9.17(d)(1), was to replace "and" with "or" in the requirements for company representatives. Making this change would result in conflicts between this rule and other requirements for company representative; therefore, the Commission declines to make this change.

The third suggestion was to require a standard operating procedures (SOP) manual for cylinder exchange locations. The Commission agrees with this suggestion, but it will require more work to determine what the SOP manual should include and what training should be required. The Commission has discussed these suggestions with its Cylinder Exchange Task Force; amendments to this rule may be proposed in the future.

The fourth suggestion, in §9.101(b)(2), regarded adding the word "location" after the phrase "each retail LP-gas cylinder exchange storage rack." The Commission disagrees with this suggestion because it would result in the Commission receiving only one form and one fee for a location no matter how many racks are there. However, the Commission has adopted this rule with minor wording changes that clarify the current Commission practices with regard to when the forms and fees are required for cylinder exchange locations.

The fifth suggestion was to change §9.140(h)(3) to allow cylinder exchange racks to be as close as 36 inches to cement parking wheelstops in certain situations. The Commission disagrees with this change. Even some small vehicles may be as long as 34 inches from the front of the tire to the front of the bumper; the proposed language requiring at least 48 inches will address a larger range of vehicles. The 48-inch distance was also approved by the Commission's LP-Gas Advisory Committee and the Cylinder Exchange Task Force; therefore, the Commission makes no change to this rule.

A third individual submitted a comment generally supporting the Commission's proposal.

Other Changes Adopted Based on Commission Review. In addition to the adopted changes previously mentioned, the Commission also adopts changes to a few other rules, mostly for clarification.

In §9.7(f), the sentence relating to verification which appears at the end of subsection (f)(1) and (2) is added to the end of subsection (f), so that it also applies to timely renewals. In §9.13(f), the references to "certification" are changed to "exemption," which is a more accurate term. A reference to calendar days in §9.16(c)(2) is changed to business days because it describes a Commission deadline. The title of §9.102 as referenced in §9.107(b) is corrected. Adopted changes to §§9.8(1), 9.17(b)(6), 9.202(a), and 9.212(a) involve punctuation corrections. Section §9.140(b)(4) is adopted with changes to correct a reference to §9.51(a)(4), which is now §9.51(b)(4) due to changes adopted in §9.51.

The Commission adopts a few changes in §§9.51, 9.52, and 9.53.As previously discussed, a new subsection (a) is added to §9.51 to indicate a March 1, 2001, effective date for the training and continuing education requirements. In addition, the last sentence in §9.51(e), which in the proposal was subsection (d), is deleted because it referred to §9.54, which is being withdrawn. In §9.52, subsections (a)(1)(F) and (b)(1)(A)(vi), as proposed, referred to appliance service and installation, and have been deleted. These individuals will not be required to attend training or continuing education classes at this time. Commission records indicate there may be over 6,000 individuals in this category. Further research is necessary to determine if any of these individuals are licensed by the Texas Department of Licensing and Regulation as Class A or B air conditioning and refrigeration contractors, or by the Texas Board of Plumbing Examiners as master/journeyman plumbers; if so, these individuals would be exempt from the Commission's training and continuing education requirements. In §9.52(b)(4), the phrase "if space is available" is added for clarification, and in subsection (e), language was added to clarify when the AFT forms must be returned to the Commission. Also, §9.52(f)(5) has been modified to delete a reference to §9.54. The table in §9.52(g) has two changes: the dates of January 1, 2001, have been changed to March 1, 2001, to be consistent with the same change in §9.51, and the "x" indicating AFT for course P120, Bulk Plant Management, has been deleted because there is no AFT associated with that course. In the first sentence of §9.53, the date of January 1, 2001, has been changed to March 1, 2001, to correspond with the same change in §9.52.

New §9.54 was proposed to establish requirements for individuals who wish to be approved as outside instructors to offer training or continuing education courses approved by the Commission for Commission training or continuing education credit. The proposed rule required applicants for outside instructors to hold a Category E license because this category authorizes the widest number of LP-gas activities and the Commission believes that outside instructors should be knowledgeable and experienced in LP-gas activities. The outside instructor application includes a $300 registration fee which covers the applicable management-level rules examination, the train-the-trainer course, and administrative review of curriculum, credentials, and any other investigation or review that may be necessary. However, the Commission, as well as a commenter, determined that other requirements may be necessary for outside instructor applicants; therefore, the Commission has withdrawn §9.54 from the adoption and will propose it again at a later date.

The Commission adopts three changes in §9.143. The last sentence of subsection (b)(1), as proposed, concerning certain emergency shutoff valves, is deleted to avoid confusion with other requirements. Also, proposed subsection (b)(3) is deleted; it included a requirement that is part of NFPA 59, which the Commission has not yet adopted. In subsection (e), the proposed date of July 1, 2001, is changed to August 1, 2001, to correspond with the change from January 1 to February 1 as the effective date of the rule package.

Last, the table in §9.403 includes a few changes. The entries for 2-3.2.5, 2-3.3.2, 3-2.4.2(c), and 8-3.7 as proposed referred to a January date, which is changed to February to be consistent with the effective date of adoption. Also, in the entry for 6-3.3.4, the proposed date of July 1, 2001, is changed to August 1, 2001. The entry proposed for 3-2.1.4(c) included inverted numbers and is corrected to 3-2.4.1(c). The proposed table included an entry for 3-2.4.8, which was deleted because it was already covered in the next line. Finally, in the entry for 3-3.3.7, a reference to 3-2.10.11, which the Commission is not adopting, is corrected to refer to §9.143, the corresponding Commission rule, and at the end of 3-3.3.7, a reference to January 1, 2005, is deleted.

Subchapter A. GENERAL APPLICABILITY AND REQUIREMENTS

16 TAC §§9.1-9.9, 9.13-9.32, 9.34

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100120

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter A. GENERAL REQUIREMENTS

16 TAC §§9.1-9.3, 9.6-9.13, 9.16-9.18, 9.21-9.23, 9.26-9.28, 9.31-9.33, 9.36-9.38, 9.51-9.53

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

§9.2.Definitions.

In addition to the definitions in any adopted NFPA pamphlets, the following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise.

(1)

Advanced field training (AFT)--The final portion of the training or continuing education requirements in which an individual shall successfully perform the specified LP-gas activities in order to demonstrate proficiency in those activities.

(2)

AFRED--The Commission's Alternative Fuels Research and Education Division.

(3)

Aggregate water capacity (AWC)--The sum of all individual container capacities measured by weight or volume of water which are placed at a single installation location.

(4)

Assistant director--The assistant director of the Pipeline and LP-Gas Safety Section who is the Commission's delegate responsible for the enforcement of the LP-Gas Safety Rules and the Texas Natural Resources Code.

(5)

Breakaway--The accidental separation of a hose from a cylinder, container, transfer equipment, or dispensing equipment, which could occur on a cylinder, container, transfer equipment, or dispensing equipment whether or not they are protected by a breakaway device.

(6)

Certified--Authorized to perform LP-gas work as set forth in the Texas Natural Resources Code. Employee certification alone does not allow an individual to perform those activities which require licensing.

(7)

CETP--The National Propane Gas Association's Certified Employee Training Program.

(8)

Commercial installation--An LP-gas installation located on premises other than a single family dwelling used as a residence, including but not limited to a retail business establishment, school, bulk storage facility, convalescent home, hospital, retail LP-gas cylinder filling/exchange operation, service station, forklift refueling facility, private motor/mobile fuel cylinder filling operation, a microwave tower, or a public or private agricultural installation.

(9)

Commission--The Railroad Commission of Texas.

(10)

Company representative--The individual designated to the Commission by a license applicant or a licensee as the principal individual in authority and actively supervising the conduct of the licensee's LP-gas activities.

(11)

Container delivery unit--A vehicle used by an operator principally for transporting LP-gas in cylinders.

(12)

Continuing education--Courses required to be successfully completed at least every four years by certain certificate holders.

(13)

DOT--The United States Department of Transportation.

(14)

Employee--An individual who renders or performs any services or labor for compensation, including individuals hired on a part-time or temporary basis, on a full-time or permanent basis, or, for purposes of this chapter, an owner-employee.

(15)

Interim approval order--The authority issued by the Railroad Commission of Texas following a public hearing allowing construction of an LP-gas installation.

(16)

Licensed--Authorized to perform LP-gas activities through the issuance of a valid license.

(17)

Licensee--A person which has applied for and been granted an LP-gas license by the Commission.

(18)

LP-Gas Safety Rules --The rules adopted by the Railroad Commission in the Texas Administrative Code , Title 16, Part 1, Chapter 9, including any NFPA or other documents adopted by reference. The official text of the Commission's rules is that which is on file with the Secretary of State's office and available at www.sos.state.tx.us or through the Commission's web site at www.rrc.state.tx.us.

(19)

LP-gas system--All piping, fittings, valves, and equipment, excluding containers and appliances, that connect one or more containers to one or more appliances that use or consume LP-gas.

(20)

Mass transit vehicle--Any vehicle which is owned or operated by a political subdivision of a state, city, or county, used primarily in the conveyance of the general public.

(21)

Motor fuel container--An LP-gas container mounted on a vehicle to store LP-gas as the fuel supply to an engine used to propel the vehicle.

(22)

Motor fuel system--An LP-gas system, excluding the container, which supplies LP-gas to an engine used to propel the vehicle.

(23)

Noncorrosive--Corrosiveness of gas which does not exceed the limitation for Classification 1 of the American Society of Testing Material (ASTM) Copper Strip Classifications when tested in accordance with ASTM D 1834-64, "Copper Strip Corrosion of Liquefied Petroleum (LP) Gases."

(24)

Nonspecification unit--An LP-gas transport not constructed to DOT MC-330 or MC-331 specifications but which complies with the exemption in 49 Code of Federal Regulations §173.315(k). (See also "Specification unit" in this section.)

(25)

Operations supervisor--The individual who is certified by the Commission to actively supervise a licensee's LP-gas operations.

(26)

Outlet--A site operated by an LP-gas licensee at which the business conducted materially duplicates the operations for which the licensee is initially granted a license.

(27)

Outside instructor--An individual other than a Commission employee approved by the Commission to teach an LP-gas continuing education course.

(28)

Person--An individual, partnership, firm, corporation, joint ventureship, association, or any other business entity, a state agency or institution, county, municipality, school district, or other governmental subdivision, or licensee, including the definition of "person" as defined in the applicable sections of 49 CFR relating to cargo tank hazardous material regulations.

(29)

Portable cylinder--A receptacle constructed to DOT specifications, designed to be moved readily, and used for the storage of LP-gas for connection to an appliance or an LP-gas system. The term does not include a cylinder designed for use on a forklift or similar equipment.

(30)

Property line--The boundary which designates the point at which one real property interest ends and another begins.

(31)

Public transportation vehicle--A vehicle for hire to transport persons, including but not limited to taxis, buses (excluding school buses and mass transit or special transit vehicles), or airport courtesy vehicles.

(32)

Register (or registration)--The procedure to inform the Commission of the use of an LP-gas transport or container delivery unit in Texas.

(33)

Repair to container--The correction of damage or deterioration to an LP-gas container, the alteration of the structure of such a container, or the welding on such container in a manner which causes the temperature of the container to rise above 400 degrees Fahrenheit.

(34)

Rules examination--The Commission's written examination that measures an examinee's working knowledge of Chapter 113 of the Texas Natural Resources Code and/or the current LP-Gas Safety Rules .

(35)

School--A public or private institution which has been accredited through the Texas Education Agency or the Texas Private School Accreditation Commission.

(36)

School bus--A vehicle that is sold or used for purposes that include carrying students to and from school or related events.

(37)

Special transit vehicle--A vehicle designed with limited passenger capacity which is used by a school or mass transit authority for special transit purposes, such as transport of mobility impaired persons.

(38)

Specification unit--An LP-gas transport constructed to DOT MC-330 or MC-331 specifications. (See also "Nonspecification unit" in this section.)

(39)

Subframing--The attachment of supporting structural members to the pads of a container, excluding welding directly to or on the container.

(40)

Trainee--An individual who has not yet taken and passed an employee-level rules examination.

(41)

Training--Courses required to be successfully completed as part of an individual's requirements to obtain certain new certificates.

(42)

Transfer--The procedure to inform the Commission of a change in operator of an LP-gas transport or container delivery unit already registered with the Commission.

(43)

Transfer system--All piping, fittings, valves, and equipment utilized in dispensing LP-gas between containers.

(44)

Transport--Any bobtail or semitrailer equipped with one or more containers.

(45)

Transport system--Any and all piping, fittings, valves, and equipment on a transport, excluding the container.

(46)

Ultimate consumer--The individual controlling LP-gas immediately prior to its ignition.

§9.7.Application for License and License Renewal Requirements.

(a)

No person shall perform work or be employed in any capacity requiring contact with LP-gas until that individual has taken and passed the applicable rules examination specified in §9.10 of this title (relating to Rules Examination) and, except for a trainee described in §9.12 of this title (relating to Trainees), has successfully completed the training requirements beginning in §9.51 of this title (relating to General Requirements for Training and Continuing Education). Licensees, company representatives, and operations supervisors at each outlet shall have copies of all current licenses and examination identification cards for employees at that location available for inspection during regular business hours.

(b)

Licensees shall maintain a current version of the LP-Gas Safety Rules and shall provide at least one copy to each company representative and operations supervisor. The copies shall be available to employees during business hours.

(c)

Licenses issued under this chapter expire one year after issuance at midnight on the last day of the month prior to the month in which they are issued.

(d)

An applicant for a new license shall file with the Commission:

(1)

a properly completed LPG Form 1 listing all names under which LP-gas related activities requiring licensing are to be conducted. Any company performing LP-gas activities under an assumed name ("DBA" or "doing business as" name) shall file copies of the assumed name certificates which are required to be filed with the respective county clerk's office and/or the Secretary of State's office with the Commission; and

(2)

LPG Form 16 or 16B and any of the following applicable forms:

(A)

LPG Form 1A if the applicant will establish any outlets;

(B)

LPG Form 7 and any information requested in §9.202 of this title (relating to Registration and Transfer of LP-Gas Transports or Container Delivery Units) if the applicant intends to register any LP-gas transports or container delivery units;

(C)

LPG Form 19 if the applicant will be transferring the operation of an existing bulk plant, service station, cylinder filling, or portable cylinder exchange rack installation from another owner or name;

(D)

LPG Form 26 if the applicant for license is a corporation or limited liability company; and the applicant shall also comply with §9.21 of this title (relating to Franchise Tax Certification and Assumed Name Certificates);

(E)

LPG Form 996A or 996B if the applicant is required to carry workers' compensation; and the applicant shall also comply with §9.26 of this title (relating to Insurance Requirements);

(F)

LPG Form 997A or 997B if the applicant will operate a transport or container delivery unit; and the applicant shall also comply with §9.26; and/or

(G)

LPG Form 998A or 998B if the applicant is required to carry general liability; and the applicant shall also comply with §9.26;

(3)

pay the following fees:

(A)

the applicable license fee specified in §9.6 of this title (relating to Licenses and Fees);

(B)

transport registration fees specified in §9.202 of this title (relating to Registration and Transfer of LP-Gas Transports or Container Delivery Units), if the applicant for license intends to operate a transport or container delivery unit; and

(C)

the management-level rules examination fee specified in §9.10 of this title (relating to Rules Examination); and

(D)

the fee for any required training course as specified in §9.51 of this title (relating to General Requirements for Training and Continuing Education).

(e)

An applicant for license shall not engage in LP-gas activities governed by the Texas Natural Resources Code, Chapter 113, and the LP-Gas Safety Rules , until it has employed a company representative and/or operations supervisor who has passed the management-level rules examination specified in §9.10 of this title (relating to Rules Examination) with a score of at least 75% and who has completed any required training in §9.51 and §9.52 of this title (relating to General Requirements for Training and Continuing Education; and Training and Continuing Education Courses), or who has obtained a General Installers and Repairman Exemption as specified in §9.13 of this title (relating to General Installers and Repairman Exemption). Company representatives and operations supervisors shall also comply with §9.17 of this title (relating to Designation and Responsibilities of Company Representatives and Operations Supervisors).

(f)

For license renewals, the Commission shall notify the licensee in writing of the impending license expiration at least 15 business days prior to the expiration date. The renewal notice shall include copies of LPG Forms 1, 1A, 7, and 26, whichever are applicable, showing the information currently on file. Renewals shall be submitted to the Commission with any necessary changes clearly marked on the forms, along with the license renewal fee specified in §9.6 of this title (relating to Licenses and Fees) and any applicable transport registration fee specified in §9.202 of this title (relating to Registration and Transfer of LP-Gas Transports or Container Delivery Units) on or before the last day of the month in which the license expires in order for the licensee to continue LP-gas activities. Failure to meet the renewal deadline set forth in this section shall result in expiration of the license. If a person's license expires, that person shall immediately cease performance of any LP-gas activities authorized by the license. After verification, if the licensee has met all other requirements for licensing, the Commission shall renew the license, and the person may resume LP-gas activities.

(1)

If a person's license has been expired for fewer than 90 calendar days, the person shall submit a late-filing penalty of one-half the amount of the annual renewal fee in addition to the required annual renewal fee. Upon receipt of the annual renewal fee and late-filing penalty, the Commission shall verify that the person's license has not been suspended, revoked, or expired for more than two years. After verification, if the licensee has met all other requirements for licensing, the Commission shall renew the license, and the person may resume LP-gas activities.

(2)

If a person's license has been expired for 90 calendar days but less than two years, the person shall submit a late-filing penalty equal to the amount of the annual renewal fee in addition to the required annual renewal fee. Upon receipt of the annual renewal fee and late-filing penalty, the Commission shall verify that the person's license has not been suspended, revoked, or expired for more than two years. After verification, if the licensee has met all other requirements for licensing, the Commission shall renew the license, and the person may resume LP-gas related activities.

(3)

If a person's license has been expired for more than two years, that person shall not renew, but shall comply with the requirements for issuance of a new license.

(g)

Applicants for license or license renewal in the following categories shall comply with these additional requirements:

(1)

An applicant for a Category A license or renewal shall file with the Commission for each of its outlets legible copies of:

(A)

its current Department of Transportation (DOT) authorization. A licensee shall not continue to operate after the expiration date of the DOT authorization; and/or

(B)

its current American Society of Mechanical Engineers (ASME) Code, Section VIII certificate of authorization.

(2)

An applicant for a Category B or O license or renewal shall file with the Commission a properly completed LPG Form 505 certifying that the applicant will follow the testing procedures indicated. The company representative designated on the licensee's LPG Form 1 shall sign the LPG Form 505.

(3)

An applicant for Category A, B, or O license or renewal who tests tanks, subframes LP-gas cargo tanks, or performs other activities requiring DOT registration shall file with the Commission a copy of any applicable current DOT registrations. Such registration shall comply with Title 49, Code of Federal Regulations, Part 107 (Hazardous Materials Program Procedures), Subpart F (Registration of Cargo Tank and Cargo Tank Motor Vehicle Manufacturers and Repairers and Cargo Tank Motor Vehicle Assemblers).

§9.8.Application for a New Certificate.

An applicant for a new certificate shall:

(1)

file with the Commission a properly completed LPG Form 16 and the applicable rules examination fee specified in §9.10 of this title (relating to Rules Examination);

(2)

pass the applicable rules examination with a score of at least 75%; and

(3)

complete any required training and AFT in §9.51 and §9.52 of this title (relating to General Requirements for Training and Continuing Education; and Training and Continuing Education Courses).

§9.11.Previously Certified Individuals.

(a)

A licensee shall notify the Commission when a previously certified individual is hired by immediately filing LPG Form 16A and a $10 fee with the Commission, or in lieu of that form, the $10 fee and a written notice including the employee's name as recorded on a current driver's license or Texas Department of Public Safety identification card, employee social security number, names of the newly-hired certified employee's previous and new employers, and types of LP-gas work to be performed by the newly-hired certified employee.

(b)

An ultimate consumer that operates an LP-gas transport shall also comply with this section.

§9.13.General Installers and Repairman Exemption.

(a)

Any individual who is currently licensed as a master or journeyman plumber by the Texas State Board of Plumbing Examiners or who is currently licensed with a Class A or B Air Conditioning and Refrigeration Contractors License issued by the Department of Licensing and Regulation may apply for and be granted an exemption to the Category D management-level rules examination and any service and installation employee-level rules examination for Categories D, E, K, or N only by submitting to the Commission the following:

(1)

LPG Form 16B;

(2)

a $30 original filing fee; and

(3)

any information the Commission may reasonably require.

(b)

This exemption does not become effective until the examination exemption card is issued by the Commission.

(c)

An individual who holds a general installers and repairmen exemption shall not perform LP-gas related activities unless:

(1)

that individual works for a properly licensed Category D, E, K, or N licensee;

(2)

the individual successfully completes the applicable employee-level rules examination and training or continuing education required to work for a licensee in a category other than D, E, K, or N; or

(3)

the individual successfully completes the rules examination and any training or continuing education requirements for a category of license other than Category D, E, K, or N.

(d)

The examination exemption accrues to the individual and is nontransferable.

(e)

Any individual granted such exemption shall maintain certified status at all times. Upon failure to maintain certified status, the individual shall immediately cease all affected LP-gas activities until proper status has been regained.

(f)

In order to maintain an exemption, each individual issued an examination exemption card shall pay a $20 annual renewal fee to the Commission on or before May 31 of each year. Failure to pay the annual renewal fee by May 31 shall result in a lapsed exemption. If an individual's exemption lapses, that individual shall cease all LP-gas activities until the exemption has been renewed. To renew a lapsed exemption, the applicant shall pay the $20 annual renewal fee plus a $20 late-filing fee. Failure to do so shall result in the expiration of the examination exemption. If an individual's examination exemption has been expired for more than two years, that individual shall complete all requirements necessary to apply for a new exemption.

(g)

Each applicant for exemption who plans to substitute an individual as noted in §9.17 of this title (relating to Designation and Responsibilities of Company Representatives and Operations Supervisors) for its company representative or operations supervisor may do so provided that individual complies with all of the other requirements.

(h)

Any individual who is issued this exemption agrees to comply with the current edition of the LP-Gas Safety Rules . In the event the exempt individual surrenders, fails to renew, or has the licensed revoked either by the Texas State Board of Plumbing Examiners or the Department of Licensing and Regulation, that individual shall immediately cease performing any LP-gas activities granted by this section. The examination exemption card shall be returned immediately to the Commission and all rights and privileges surrendered.

§9.16.Hearings for Denial, Suspension, or Revocation of Licenses or Certificates.

(a)

The Commission may deny, suspend, or revoke a license or certificate for any individual who fails to comply with the LP-Gas Safety Rules .

(1)

If the Commission determines that an applicant for license, certificate, or renewal has not met the requirements of the LP-Gas Safety Rules , the Commission shall notify the applicant in writing of the reasons for the proposed denial. In the case of an applicant for license or certificate, the notice shall advise the person that the application may be resubmitted within 30 calendar days of receipt of the denial with all cited deficiencies corrected, or, if the person disagrees with the Commission's determination, that person may request in writing a hearing on the matter within 30 calendar days of receipt of the notice of denial.

(2)

If a person resubmits the application for license or license renewal within 30 calendar days of receipt of the denial with all deficiencies corrected, the Commission shall issue the license or license renewal.

(b)

Hearing regarding denial of license or license renewal.

(1)

An applicant receiving a notice of denial of a license or license renewal may request a hearing to determine whether the applicant did comply in all respects with the requirements for the category or categories of license sought. The request for hearing shall be in writing, shall refer to the specific requirements the applicant claims were met, and shall be submitted to the Commission within 30 calendar days of the applicant's receipt of the notification of denial.

(2)

Upon receipt of a request complying with paragraph (1) of this subsection, the Commission shall schedule a hearing within 30 calendar days following the receipt of the request for hearing to determine the applicant's compliance or noncompliance with the licensing requirements for the category or categories of license sought.

(3)

If, after hearing, the Commission finds the applicant's claim has been supported, it shall enter an order in its records to that effect, noting the category or categories of license for which the applicant is entitled to be licensed, and the license or renewal shall be issued.

(4)

If, after hearing, the Commission finds that the applicant is not qualified for the license or license renewal in the category or categories of license sought, it shall likewise enter an order in its records to that effect, and no license or renewal shall be issued to the applicant.

(c)

Suspension or revocation of licenses or certifications.

(1)

If the Commission finds by means including but not limited to inspection, review of required documents submitted, or complaint by a member of the general public or any other person, a probable or actual violation of or noncompliance with the Texas Natural Resources Code, Chapter 113, or the LP-Gas Safety Rules , the Commission shall notify the licensee or certified person of the alleged violation or noncompliance in writing.

(2)

The notice shall specify the acts, omissions, or conduct constituting the alleged violation or noncompliance and shall designate a date not less than 30 calendar days or more than 45 calendar days after the licensee or certified person receives the notice by which the violation or noncompliance shall be corrected or discontinued. If the Commission determines the violation or noncompliance may pose imminent peril to the health, safety, or welfare of the general public, the Commission may notify the licensee or certified person orally with instruction to immediately cease the violation or noncompliance. When oral notice is given, the Commission shall follow it with written notification no later than five business days after the oral notification.

(3)

The licensee or certified person shall either report the correction or discontinuance of the violation or noncompliance within the time frame specified in the notice or shall request an extension of time in which to comply. The request for extension of the time to comply shall be received by the Commission within the same time frame specified in the notice for correction or discontinuance.

(d)

Hearing regarding suspension or revocation of licenses and certifications.

(1)

If a licensee or certified person disagrees with the determination of the Commission under this section, that person may request a public hearing on the matter to be conducted in compliance with the Texas Government Code, Chapter 2001, et seq. , the general rules of practice and procedure of the Railroad Commission of Texas, and the LP-Gas Safety Rules . The request shall be in writing, shall refer to the specific rules or statutes the licensee or certified person claims to have complied with, and shall be received by the Commission within 30 calendar days of the licensee's or certified person's receipt of the notice of violation or noncompliance.

(2)

If the Commission determines that the licensee or certified person may not comply within the specified time, the Commission may call a public hearing to be conducted in compliance with the Texas Government Code, Chapter 2001, et seq. , the general rules of practice and procedure of the Railroad Commission of Texas, and any other applicable rules.

§9.17.Designation and Responsibilities of Company Representatives and Operations Supervisors.

(a)

Each licensee shall have at least one company representative for the license and at least one operations supervisor for each outlet.

(1)

A licensee maintaining one or more outlets shall file LPG Form 1 with the Commission designating the company representative for the license and/or LPG Form 1A designating the operations supervisor for each outlet.

(2)

A licensee may have more than one company representative.

(3)

An individual shall be operations supervisor at only one outlet.

(4)

The company representative may also serve as operations supervisor for one of the licensee's outlets provided that the individual meets both the company representative and the operations supervisor requirements in this section.

(5)

A licensee shall immediately notify the Commission in writing upon termination, for whatever reason, of its company representative or any operations supervisor and shall at the same time designate a replacement by submitting a new LPG Form 1 for a new company representative or a new LPG Form 1A for a new operations supervisor.

(A)

A licensee shall cease all LP-gas activities if, at the termination of its company representative, there is no other qualified company representative of the licensee who has complied with the Commission's requirements. A licensee shall not resume LP-gas activities until such time as it has a properly qualified company representative or it has been granted an extension of time in which to comply as specified in subsection (e) of this section.

(B)

A licensee shall cease LP-gas activities at an outlet if, at the termination of its operations supervisor for that outlet, there is no other qualified operations supervisor at that outlet who has complied with the Commission's requirements. A licensee shall not resume LP-gas activities at that outlet until such time as it has a properly qualified operations supervisor or it has been granted an extension of time in which to comply as specified in subsection (e) of this section.

(b)

Company representative. A company representative shall comply with the following requirements:

(1)

be an owner or employee of the licensed entity;

(2)

be the licensee's principal individual in authority and responsible for actively supervising all LP-gas activities conducted by the licensee, including all appliance, container, portable cylinder, product, and system activities;

(3)

have a working knowledge of the licensee's LP-gas activities to insure compliance with the LP-Gas Safety Rules ;

(4)

pass the appropriate management-level rules examination and complete any required training specified in §9.52 of this title (relating to Training and Continuing Education Courses), or in the case of an applicant for a Category D license, obtain a General Installers and Repairman Exemption as specified in §9.13 of this title (relating to General Installers and Repairman Exemption);

(5)

comply with the work experience or training requirements in subsection (e) of this section, if applicable;

(6)

be directly responsible for all employees performing their assigned LP-gas activities, unless an operations supervisor is fulfilling this requirement; and

(7)

submit any additional information as deemed necessary by the Commission.

(c)

Operations supervisors. An operations supervisor shall comply with the following requirements:

(1)

be an owner or employee of the licensee;

(2)

pass the applicable management-level rules examination and complete any required training specified in §9.52 of this title (relating to Training and Continuing Education Courses) or, in the case of a Category D license only, obtain a General Installers and Repairman Exemption as specified in §9.13 of this title (relating to General Installers and Repairman Exemption), before commencing or continuing the licensee's LP-gas activities at the outlet; and

(3)

be directly responsible for actively supervising the LP-gas activities of the licensee at the designated outlet.

(d)

Category P licensees. The company representative requirement for a Category P licensee may be satisfied by employing a Category E or J licensee company representative if the Category E or J company representative:

(1)

is an employee of the Category P licensee; and

(2)

is authorized by the Category P licensee to assign and supervise the LP-gas activities of any employee, including removing any employee who does not comply with the LP-Gas Safety Rules or who performs any unsafe LP-gas activities.

(e)

Work experience substitution for Category E and I. The assistant director may, upon written request, allow a conditional qualification for a Category E or I company representative or operations supervisor who passes the applicable management-level rules examination provided that the individual attends and successfully completes the next available Category E or I training course, or one agreed on by the assistant director and the applicant. The written request shall include a description of the individual's LP-gas experience and other related information in order that the assistant director may properly evaluate the request. If the individual fails to complete the training requirements within the time granted by the assistant director, the conditional qualification shall immediately be voided and the conditionally qualified company representative or operations supervisor shall immediately cease all LP-gas activities. Applicants for company representative or operations supervisor who have less than three years' experience or experience which is not applicable to the category for which the individual is applying shall not be granted a conditional qualification and shall comply with the training requirements in §9.52 of this title (relating to Training and Continuing Education Courses) prior to the Commission issuing a certificate.

§9.51.General Requirements for Training and Continuing Education.

(a)

Effective March 1, 2001, individuals shall comply with the training and continuing education requirements in this chapter.

(b)

Applicants for new licenses or new certificates, as set forth in §9.7 and §9.8 of this title (relating to Application for License and License Renewal Requirements, and Application for a New Certificate, respectively) and persons holding existing licenses or certificates shall comply with the training or continuing education requirements in this chapter.

(1)

The training requirements apply only to applicants for Category E or I management-level certificates and certain employee-level certificates.

(2)

The continuing education requirements apply to:

(A)

all management-level certificate holders and employee-level certificate holders as specified in Table 1 of §9.52 of this title (relating to Training and Continuing Education Courses); and

(B)

any ultimate consumer who has purchased, leased, or obtained other rights in any LP-gas bobtail, including any employee of such ultimate consumer if that employee drives or in any way operates the equipment on an LP-gas bobtail.

(3)

The training and continuing education requirements do not apply to:

(A)

an ultimate consumer driving or fueling a motor vehicle powered by LP-gas;

(B)

an individual who fuels motor vehicles as an employee of an ultimate consumer;

(C)

an employee of a state agency, county, municipality, school district, or other governmental subdivision;

(D)

an individual with a general installers and repairman exemption; or

(E)

anyone certified only as a transport driver.

(4)

Any employee of an ultimate consumer or a state agency, county, municipality, school district, or other governmental subdivision who is not required to complete the training or continuing education shall be properly supervised and trained by the employer in the maintenance and storage of LP-gas and vehicles fueled by LP-gas, and in the operation of equipment during the filling and dispensing of LP-gas.

(c)

Individual credit. Successful completion of any required training or continuing education shall be credited to and accrue to the individual.

(d)

No partial credit. Individuals attending courses shall receive credit only if they attend the entire course and complete any required AFT. The Commission shall not award partial credit for partial attendance.

(e)

Schedules. Dates and locations of all Commission LP-gas training and continuing education courses/seminars shall be available in the Austin offices of the Gas Services Division and AFRED, at certain Commission district offices, and on the Commission's web site at www.rrc.state.tx.us and shall be updated February 1 and June 1 of each year. Commission courses shall be conducted in Austin and in other locations around the state. Individuals or companies may request in writing that Commission courses be taught in their area. The Commission shall schedule its courses and locations at its discretion.

(f)

Registering for a course.

(1)

To register for a scheduled training or continuing education course, an individual shall complete the registration form provided by AFRED and file the form with the AFRED training section at least seven calendar days prior to the course. AFRED shall also accept course registrations via regular mail, electronic mail, or facsimile transmission; such requests shall include the applicant's full name, address, phone number, electronic mail address, and the name and date of the requested course.

(2)

Costs for courses.

(A)

Requests for training courses shall include the appropriate nonrefundable course fee of $75 for an eight-hour course, $150 for the 16-hour Category I training course, and $750 for the 80- hour Category E seminar. The Category E and I seminar fees do not include the fee to take the management-level rules examination which is described in §9.10 of this title (relating to Rules Examination).

(B)

Continuing education courses, other than courses P115, P116, and P117, shall be offered at no charge to certificate holders who have timely paid the annual certificate renewal fee specified in §9.9 of this title (relating to Requirements for Certificate Renewal).

(C)

The Commission may charge reasonable fees for materials for GAS Check or similar courses using third-party materials.

(3)

The Commission shall schedule individuals to attend courses on a first-come, first-served basis. If any course has fewer than eight individuals registered within seven calendar days prior to the course, the Commission may cancel the course and shall refund any course registration fees.

(4)

If a previously registered individual is unable to attend the course at the time and place for which the individual is registered due to illness or other unforeseen circumstances, another individual from the same company may attend that same course in his or her place.

(5)

Applicants who take courses offered by an entity other than the Commission shall comply with the registration, fee, and other requirements specified by that entity.

(g)

Retention of records. Individual employees shall be responsible for promptly notifying the AFRED training section of any discrepancies or errors in the training or continuing education records, and shall notify the Pipeline and LP-Gas Safety Section for discrepancies or errors in examination records. In the event of a discrepancy, the Commission's records shall be deemed correct unless the individual has copies of applicable documents which clarify the discrepancy.

§9.52.Training and Continuing Education Courses.

(a)

Training. Applicants for a new license or certificate listed in this subsection, except as stated in paragraph (4) of this subsection, shall comply with the applicable training requirements as shown in Table 1 of this section.

(1)

The following management- or employee-level applicants shall complete the training requirements:

(A)

Category E management-level;

(B)

Category I management-level;

(C)

Delivery truck employee-level;

(D)

DOT portable cylinder filler employee-level;

(E)

Service and Installation employee-level; and

(F)

Motor/mobile fuel dispensing employee-level.

(2)

Training requirements for an applicant for license shall be fulfilled by all prospective company representatives and operations supervisors for the license applicant.

(3)

Individuals who pass an employee-level rules examination between March 1 and May 31 of any year shall have until May 31 of the next year to complete any required training and AFT. Individuals who pass an employee-level rules examination at other times shall have until the next May 31 to complete any required training and AFT.

(4)

Applicants for company representative or operations supervisor who do not comply with the conditional qualification in §9.17(e) of this title (relating to Designation and Responsibilities of Company Representatives and Operations Supervisors) shall comply with the training requirements in this section prior to the Commission issuing a certificate.

(b)

Continuing education. A certificate holder shall complete at least eight hours of continuing education every four years. Attendance at more than eight hours of continuing education prior to a deadline shall not count toward the fulfillment of this requirement for any subsequent four-year period and shall not extend the deadline.

(1)

As soon as practicable after the effective date of this rule, the Commission shall randomly assign each certified individual a continuing education deadline date. One-fourth of the certified individuals shall be assigned a deadline date of May 31, 2002, and equal numbers of the remaining certified individuals shall be assigned deadline dates of May 31, 2003, May 31, 2004, and May 31, 2005. Individuals who complete their continuing education requirements by the year randomly assigned shall then have an additional four years to complete the next eight-hour continuing education requirement.

(A)

Certificate holders with one of the following certificates shall complete the continuing education classroom instruction and any required AFT for that course:

(i)

Category E management-level;

(ii)

Category I management-level;

(iii)

Delivery truck employee-level;

(iv)

DOT portable cylinder filler employee-level;

(v)

Service and Installation employee-level; and

(vi)

Motor/mobile fuel dispensing employee-level.

(B)

Certificate holders who are certified to perform LP-gas activities covered by different certifications shall complete the continuing education requirements for any one of the certifications held in order to maintain active status. For each subsequent continuing education requirement, such individuals shall attend a different continuing education course relevant to one of the other certifications held.

(2)

Certificate holders who attend a course offered by an outside instructor shall not be entitled to a refund of the annual renewal fee or any other fees or penalties required by the Commission.

(3)

Individuals who have not paid the annual certificate renewal fee, including general installers and repairman exemption holders or members of the general public, shall not attend continuing education courses free of charge, but may request from the AFRED training section to attend courses at the charge specified in §9.51 of this title (relating to General Requirements for Training and Continuing Education). Such requests shall be in writing and handled at AFRED's discretion on an individual basis and if space is available in the requested course.

(4)

Any certificate holder who has timely paid the annual certificate renewal fee but is not otherwise required to attend a continuing education course may voluntarily attend a continuing education course, if space is available, by registering with the AFRED training section as specified in §9.51 of this title (relating to General Requirements for Training and Continuing Education).

(c)

Course materials. Individuals who attend Commission-taught courses shall receive a copy of the course materials at no charge. Additional copies may be purchased from the Commission at a reasonable charge.

(d)

Certificates of completion. The AFRED training section shall issue a certificate of completion to each individual who completes a Commission-taught course. Individuals shall retain the certificates as proof of completion of the course.

(e)

Advanced field training. Some courses may include AFT in addition to the course classroom hours, during which course attendees shall perform LP-gas activities. AFT shall be completed and the individual responsible for certifying the AFT shall return the AFT certification within a reasonable time following the completion of the classroom hours and prior to the individual's certificate renewal date in accordance with subsection (a)(3) of this section.

(1)

AFT shall be certified as being successfully completed as follows:

(A)

For licensees with only one company representative, that company representative shall self-certify the AFT.

(B)

For licensees with more than one company representative, one company representative may certify the AFT of another company representative, but shall not self-certify.

(C)

Company representatives shall certify operations supervisors' AFT.

(D)

The company representative or an operations supervisor authorized by the licensee and in current good standing with the Commission shall certify the employees' AFT.

(E)

A Commission-approved outside instructor may certify any AFT.

(2)

Individuals who attend the Category E 80-hour management- level course or the Category I 16-hour management-level course shall perform any required AFT activities during the course. The Commission instructor shall certify the AFT.

(3)

If AFT is required for a course, the AFT checklist outlining the specific activities to be performed shall be included in the course materials.

(f)

Computer-based continuing education courses.

(1)

To receive credit for a computer-based continuing education course as shown in Table 1 of this section, the individual shall have successfully completed all sections and exercises of the course.

(2)

The company representative or operations supervisor shall comply with AFRED's written computer-based course agreement.

(3)

The individual shall ensure that all hardware and software shall be returned to the AFRED training section within the time period established by the AFRED training section. AFRED shall inspect the computer upon its return. If AFRED determines that changes or modifications have been made (including, for example, files or information downloaded from the Internet), the individual shall not receive credit for the computer-based course and the Commission shall not issue a certificate. If the computer requires any work to return the computer to its original condition, the individual shall reimburse the Commission for the repair costs.

(g)

Training and continuing education courses and other information are shown in Table 1 of this subsection. Items on the table marked with an "x" indicate courses that meet training or continuing education requirements for management-level or employee-level certificate holders in that category.

Figure: 16 TAC §9.52(g)

§9.53.Continuing Education Credit for Previous Courses.

An individual who is a current and valid certificate holder as of March 1, 2001, may receive credit toward the first continuing education requirement randomly assigned by the Commission as described in §9.52(b) of this title (relating to Training and Continuing Education Courses) if the individual completed one or more of the following:

(1)

Commission classroom courses. An individual who attended a Commission course on or after September 1, 1997, shall receive credit as shown in the table in §9.52(g) of this title (relating to Training and Continuing Education Courses) for a course if it is directly related to the LP-gas activities authorized by that individual's certificate.

(2)

Commission computer-based courses. An individual who completed a Commission computer-based course on or after September 1, 1997, shall receive credit as shown in the table in §9.52(g) for up to two courses, for a total of eight hours, if the courses were applicable to the individual's LP-gas activities. An individual who has received credit for a computer-based course shall attend a classroom-based course the next time that individual is required to attend a continuing education course.

(3)

CETP courses. An individual who has attended a CETP course on or after September 1, 1997, shall receive credit as shown in the table in §9.52(g) if the course applies directly to the LP- gas activities authorized by the individual's certificate. Individuals wishing to receive credit for a CETP course shall submit to the AFRED training section, in writing, the individual's name, address, phone number, valid Social Security number, CETP course date, and a copy of the CETP certificate for an equivalent CETP course as follows:

(A)

Basic Principles and Practices;

(B)

Propane Delivery;

(C)

Plant Operations;

(D)

Distribution Systems Operations;

(E)

Transfer Systems Operations;

(F)

Appliance Installation; or

(G)

Appliance Service.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100135

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter B. STATIONARY INSTALLATIONS AND CONTAINER REQUIREMENTS

16 TAC §§9.101-9.103, 9.107-9.110, 9.113-9.115, 9.126, 9.129-9.132, 9.134-9.137, 9.140-9.143

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

§9.101.Filings Required for Stationary LP-Gas Installations.

(a)

No LP-gas container shall be placed into LP-gas service or an installation operated or used in LP-gas service until the requirements of this section, as applicable, are met and the facility is in compliance with all applicable LP-Gas Safety Rules and statutes, in addition to any applicable requirements of the municipality or the county where an installation is or will be located.

(b)

Commercial installations with an aggregate water capacity of less than 10,000 gallons.

(1)

Within 10 calendar days following the completion of a container installation, the licensee shall submit LPG Form 501 to the Commission stating:

(A)

the installation is in total compliance with the statutes and LP-Gas Safety Rules ;

(B)

all necessary LP-gas licenses and certificates have been issued; and

(C)

the date the installation has been placed into LP-gas service.

(2)

Pay a nonrefundable fee of $10 for each LP-gas container, including cylinders, each retail LP-gas cylinder exchange storage rack, and each forklift cylinder exchange rack or a forklift cylinder exchange installation where a storage rack is not installed listed on the form. A nonrefundable $20 fee shall be required for any resubmission.

(3)

The Commission shall review the submitted information within 21 business days of receipt of all required information and shall notify the applicant in writing of any deficiencies. LP-gas operations may commence prior to the submission of LPG Form 501 if the facility is in compliance with the LP-Gas Safety Rules .

(c)

Aggregate water capacity of 10,000 gallons or more.

(1)

For installations with an aggregate water capacity of 10,000 gallons or more, the licensee shall submit the following information to the Commission at least 30 days prior to construction if the applicant is required to give notice as described in §9.102 of this title (relating to Notice of Stationary LP-Gas Installations):

(A)

LPG Form 500;

(B)

LPG Form 500A with all applicable documents;

(C)

a plat drawing from the appropriate appraisal district identifying:

(i)

the facility's property boundaries;

(ii)

the names of all real property owners within 500 feet; and

(iii)

a 500-foot radius measured from the proposed container location on the site.

(D)

a site plan of sufficient scale that identifies:

(i)

the location, types, and sizes of all containers already on site or proposed to be on site;

(ii)

the distances from the containers and material handling equipment to the property lines, buildings, and railroad, pipeline, or roadway rights-of-way; and

(iii)

any known potential hazards.

(E)

pay a nonrefundable fee of $50 for the initial application. A nonrefundable $30 fee shall be required for any resubmission.

(2)

In addition to NFPA 58, §3-2.2.3, prior to the installation of any individual LP-gas container, the Commission shall determine whether the proposed installation constitutes a danger to the public health, safety, and welfare.

(A)

The Commission may impose restrictions or conditions on the proposed LP-gas installation based on one or more of the following factors:

(i)

nature and density of the population or occupancy of structures within 500 feet of the proposed or existing container locations;

(ii)

nature of use of property located within 500 feet of the LP-gas installation;

(iii)

nature and volume of vehicular traffic within 500 feet of the proposed container;

(iv)

type and number of roadways within 500 feet of the proposed container;

(v)

type of operations on the installation's premises;

(vi)

potential sources of ignition that might affect an LP-gas leak;

(vii)

existence of dangerous or combustible materials in the area that might be affected by an emergency situation;

(viii)

any other factors material to the public health, safety, and welfare.

(B)

The Commission does not consider public health, safety, and welfare to include such factors as the value of property adjacent to the installation, the esthetics of the proposed installation, or similar considerations.

(3)

If an LP-gas stationary installation, equipment, or appurtenances not specifically covered by the LP-Gas Safety Rules has been or will be installed, the Commission shall apply and require any reasonable safety provisions to ensure the LP-gas installation is safe for LP-gas service. If the affected entity disagrees with the Commission's determination, the entity may request a hearing. The installation shall not be placed into LP-gas operation until the Commission has determined that the installation is safe for LP-gas service.

(4)

The Commission shall notify the applicant in writing outlining its findings. If the application is administratively denied, the applicant may modify the submission and resubmit it or request a hearing on the matter in accordance with the General Rules of Practice and Procedure of the Railroad Commission of Texas.

(5)

The licensee shall not commence construction until notice is received from the Commission. Upon completion of a field inspection as specified in §9.109 of this title (relating to Physical Inspection of Stationary LP-Gas Installations), the operator, pending the inspection findings, may commence LP-gas operations of the facility.

(d)

An applicant or operator shall not be required to submit LPG Form 500, LPG Form 500A, or a site plan prior to the installation of bulkheads, swivel-type piping, breakaway devices, pneumatically-operated internal valves, or emergency shutoff valves, or when maintenance and improvements are being made to the piping system at an existing LP-gas installation with a capacity of 10,000 gallons or more.

(e)

If a licensee is replacing a container with the same or less overall length and diameter, installed in the identical location of the existing container, the licensee shall file LPG Form 500.

(f)

In addition, the Commission may request LPG Form 5, LPG Form 8, or any other documentation or information pertinent to the installation in order to determine compliance with the LP- Gas Safety Rules .

(g)

If the subject installation is not completed within one year from the date of the Commission's completed review, the requirements of subsection (c) shall be resubmitted for the Commission's review.

§9.107.Hearings on Stationary LP-Gas Installations.

(a)

Reason for hearing. The Commission shall call a public hearing if:

(1)

the notice given to each real property owner situated within 500 feet of the proposed installation does not meet the requirements set forth in §9.102(a) of this title (relating to Notice of Stationary LP-Gas Installations);

(2)

the Commission receives an objection that complies with §9.103 of this title (relating to Objections to Proposed Stationary LP-Gas Installations); or

(3)

the Commission determines that a hearing is necessary to investigate the impact of the installation.

(b)

Notice of public hearing. The Commission shall give notice of the public hearing at least 21 calendar days prior to the date of the hearing to the applicant and to all real property owners who were required to receive notice of the proposed installation under §9.102 of this title (relating to Notice of Stationary LP-Gas Installations).

(c)

Procedure at hearing. The public hearing shall be conducted in accordance with the Texas Government Code, Chapter 2001 et seq., the general rules of practice and procedure of the Railroad Commission of Texas, and the LP-Gas Safety Rules .

§9.140.Uniform Protection Standards.

(a)

LP-gas transfer systems and storage containers shall be protected from tampering and/or vehicular traffic as specified in this section. New LP-gas containers which have never been installed or had LP-gas introduced into them are not required to comply with the fencing and guardrailing requirements in subsections (b) and (c) of this section.

(b)

In addition to NFPA 58, §§3-3.6, 3-4.2.4, 3-9.3.6, 4- 2.3.8, 5-2.1.1, and 5-4.2.1, fencing at LP-gas installations shall comply with the following:

(1)

Fencing material shall be chain link with wire at least 12 1/2 American wire gauge in size.

(2)

Fencing shall be at least six feet in height at all points.

(3)

Uprights, braces, and cornerposts of the fence shall be composed of noncombustible material.

(4)

Gates in fences where bulkheads are installed shall be located directly in front of the bulkhead. Gates shall be locked whenever the area enclosed is unattended. The width of the gate shall be sufficient to prevent binding of the transfer hoses on the gate posts and to ensure breaking of the bulkhead pipe risers or nipples in the event of a pullaway. There shall be at least two means of emergency access from the fenced enclosure. If guard service is provided, it shall be extended to the LP-gas installation. Guard service shall be properly trained as set forth in §9.51(b)(4) of this title (relating to General Requirements for Training and Continuing Education). However, if a fenced area is not larger than 100 square feet in area, the point of transfer is within three feet of a gate, and any containers being filled are not located within the enclosure, a second gate shall not be required.

(5)

Clearance of at least three feet shall be maintained between the fencing and the container, material handling equipment, and the entire dispensing system.

(6)

Fencing which is located more than 25 feet from any point of an LP-gas transfer system or container shall be designated as perimeter fencing. If an LP-gas transfer system or container is located inside perimeter fencing and is subject to vehicular traffic, it shall be protected against damage according to the specifications set forth in subsection (d) of this section.

(7)

The operating end of a container, including all material handling equipment and the entire dispensing system, shall be completely enclosed by fencing.

(c)

Containers which are exempt from the fencing requirements include:

(1)

ASME containers or manual dispensers originally manufactured to or modified to be considered by the Commission as self- contained units. Self-contained units shall be protected as specified in subsection (d) of this section;

(2)

DOT portable or forklift containers in storage racks or at single family dwellings used as private residences; and

(3)

DOT portable or forklift containers that have been used in LP-gas service but are not awaiting use or resale.

(d)

In addition to NFPA 58, §3-2.4.1(c), §3-2.4.8(a), (b), and (d), §3-2.4.9(d), §3-3.6, §3-9.3.8, and §5-4.2.1, guardrails at LP-gas installations, except as noted in paragraph (7) of this subsection, shall comply with the following:

(1)

Where fencing is not used to protect the installation as specified in subsection (b) of this section, locks for the valves or other suitable means shall be provided to prevent unauthorized withdrawal of LP-gas.

(2)

Vertical supports for guardrails shall be at least three-inch schedule 40 steel pipe or other material with equal or greater strength. The vertical supports shall be capped on the top or otherwise protected to prevent the entrance of water or debris into the guardpost; anchored in concrete at least 18 inches below the ground; and rise at least 30 inches above the ground. Supports shall be spaced four feet apart or less.

(3)

The top of the horizontal guardrailing shall be secured to the vertical supports at least 30 inches above the ground. The horizontal guardrailing shall be at least three-inch schedule 40 steel pipe or other material with equal or greater strength. The horizontal guardrailing shall be capped on the ends or otherwise protected to prevent the entrance of water or debris into the guardpost; and welded or bolted to the vertical supports with bolts of sufficient size and strength to prevent damage to the protected equipment under normal conditions, including the nature of the traffic to which the protected equipment is subjected.

(4)

Openings in horizontal guardrailing, except the opening that is required directly in front of a bulkhead, shall not exceed three feet. Only one opening is allowed on each side of the guardrailing. A means of temporarily removing the horizontal guardrailing and vertical supports to facilitate the handling of heavy equipment may be incorporated into the horizontal guardrailing and vertical supports. In no case shall the protection provided by the horizontal guardrailing and vertical supports be decreased. Transfer hoses from the bulkhead shall be routed only through the 45-degree opening in front of the bulkhead or over the horizontal guardrailing.

(5)

Clearance of at least three feet shall be maintained between the railing and any part of an LP-gas transfer system or container or clearance of two feet for retail cylinder filling or service station installations. The two posts at the ends of any railing which protects a bulkhead shall be located at 45-degree angles to the corner of the bulkhead.

(6)

The operating end of the container, including all material handling equipment and the entire dispensing system, and any part of the LP-gas transfer system or container which is exposed to collision damage or vehicular traffic shall be protected from this type of damage. The protection shall extend at least three feet beyond any part of the LP-gas transfer system or container which is exposed to collision damage or vehicular traffic.

(7)

The requirements of this subsection do not apply to the following:

(A)

LP-gas systems and containers located at private residences;

(B)

LP-gas systems and containers which service vapor systems where the aggregate storage capacity of the installation is less than 4,001 gallons, unless the LP-gas system, transfer system, or container is subject to tampering or vehicular traffic;

(C)

LP-gas piping which contains no valves and which complies with all other applicable LP-Gas Safety Rules ; and

(D)

LP-gas storage containers located on a rural consumer's property from which motor or mobile fuel containers are filled.

(e)

A combination of fencing and guardrails specified in subsections (b) and (d) of this section shall not result in less protection than using either fencing or guardrails alone.

(f)

If exceptional circumstances exist or will exist at an installation which would require additional protection such as larger-diameter guardrailing, then the licensee or operator shall install such additional protection. In addition, the Commission at its own discretion may require an installation to be protected with added safeguards to adequately protect the health, safety, and welfare of the general public. The Commission shall notify the person in writing of the additional protection needed and shall establish a reasonable time period during which the additional protection shall be installed. The licensee shall ensure that any necessary extra protection is installed. If a person owning or operating such an installation disagrees with the Commission's determination made under this subsection, that person may request a public hearing on the matter. The installation shall either be protected in the manner prescribed by the Commission or removed from service with all product withdrawn from it until the Commission's final decision.

(g)

LP-gas installations shall comply with the sign and lettering requirements specified in Table 1 of this section. An asterisk indicates that the requirement applies to the equipment or location listed in that column.

Figure: 16 TAC §9.140(g)

(1)

Unless colors are specified, lettering shall be in a color that sharply contrasts to the background color of the sign, and shall be readily visible to the public.

(2)

Items 1, 2, and 3 in Table 1 may be combined on one sign.

(3)

Items 1, 2, and 3 in the column entitled "Licensee or Non-Licensee ASME 4001+ Gal. A.W.C." in Table 1 apply to installations with 4,001 gallons or more aggregate water capacity protected only by guardrailing as required in subsection (d) of this section, and bulkheads as required by §9.143 of this title (relating to Bulkhead, Internal Valve, and ESV Protection for Stationary LP-Gas Installations with Individual or Aggregate Water Capacities of 4,001 Gallons or More) for commercial, bulk storage, cylinder filling, or forklift installations.

(4)

Item 11 in the column entitled "Requirements" in Table 1 applies to facilities which have two or more containers.

(h)

In addition to NFPA 58, §5-4.2.2, storage racks used to store nominal 20-pound DOT portable or any size forklift containers shall be protected against vehicular damage by:

(1)

meeting the guardrail requirements of subsection (d) of this section; or

(2)

installing guardposts, provided that:

(A)

the guardposts are at least three-inch schedule 40 steel pipe, capped on top or otherwise protected to prevent the entrance of water or debris into the guardpost, no more than four feet apart, and anchored in concrete at least 30 inches below ground and rising at least 30 inches above the ground; or

(B)

if the guardposts cannot be anchored in concrete at least 30 inches below ground, they are constructed of at least four-inch schedule 40 steel pipe capped on top or otherwise protected to prevent the entrance of water or debris into the guardpost, and attached by welding to a minimum 8-inch by 8-inch steel plate at least 1/2 inch thick. The guardposts and steel plate shall be permanently installed.

(3)

Guardrail or guardposts are not required to be installed if:

(A)

any portable cylinder exchange rack is located against a building;

(B)

the rack is located on a walkway which is a minimum of four inches in height above the grade of the driveway or parking space;

(C)

a minimum six-inch-high cement parking wheelstop is installed on the driveway or parking space;

(D)

the cement parking wheelstop is secured against displacement; and

(E)

the distance from the cement parking wheelstop to any portable cylinder exchange rack is 48 inches or more.

(4)

If exceptional circumstances exist or will exist at the location of a storage rack which would require additional protection such as larger-diameter guardrailing or guardposts, then the licensee or operator of the installation shall install such additional protection. In addition, the Commission at its own discretion may require an installation to be protected with added safeguards to adequately protect the health, safety, and welfare of the general public. The Commission shall notify the person in writing of the specific additional protection needed and shall establish a reasonable time period during which the additional protection shall be installed. The licensee shall ensure that any necessary extra protection is installed. If a person owning or operating such an installation disagrees with the Commission's determination made under this subsection, that person may request a public hearing on the matter. The installation shall either be protected in the manner prescribed by the Commission or removed from service with all product withdrawn from it until the Commission's final decision.

§9.143.Bulkhead, Internal Valve, and ESV Protection for Stationary LP-Gas Installations with Individual or Aggregate Water Capacities of 4,001 Gallons or More.

(a)

Instead of NFPA 58, §3-2.10.11, effective February 1, 2001, new stationary LP-gas installations with individual or aggregate water capacities of 4,001 gallons or more, including licensee and nonlicensee locations, shall install a vertical bulkhead and pneumatically-operated internal valves and pneumatically-operated emergency shutoff valves (ESVs), as required in this section and in the table in §9.403 of this title (relating to Sections in NFPA 58 Not Adopted by Reference, and Adopted With Changes, Additional Requirements, or Corrections) for NFPA 58 sections 3-2.11, 3-3.3.7, and 3-11.3.

(b)

Within two years of February 1, 2001, or by February 1, 2003, at the latest, stationary LP-gas installations in existence as of February 1, 2001, with individual or aggregate water capacities of 4,001 gallons or more, including licensee and nonlicensee locations, or railroad tank car transfer systems to fill trucks with no stationary storage involved, which do not have a bulkhead and/or backflow check valves where the flow is in one direction into the container and ESVs installed shall install vertical bulkheads and pneumatic ESVs.

(1)

The pneumatic ESVs shall be installed in the fixed piping of the transfer system upstream of the bulkhead and within four feet of the bulkhead with a stainless steel flexible wire-braided hose not more than 24 inches long installed between the ESV and the bulkhead.

(2)

The ESVs shall be installed in the piping so that any break resulting from a pullaway will occur on the hose or swivel-type piping side of the connection while retaining intact the valves and piping on the storage side of the connection. Provisions for anchorage and breakaway shall be provided on the cargo tank side for transfer from a railroad tank car directly into a cargo tank. Such anchorage shall not be required from the tank car side.

(3)

Temperature sensitive elements of ESVs shall not be painted nor shall they have any ornamental finishes applied after manufacture.

(4)

Internal valves, ESVs, and backflow check valves shall be tested annually for working order. The results of the tests shall be documented in writing and kept in a readily accessible location for one year following the performed tests.

(5)

Pneumatically-operated internal valves and ESVs shall be incorporated into at least one remote operating system.

(c)

Existing installations which have horizontal bulkheads and/or backflow check valves where the flow is in one direction into the container or cable-actuated ESVs are not required to replace that equipment except as follows:

(1)

If the horizontal bulkhead requires replacement, it shall be replaced with a vertical bulkhead;

(2)

If a backflow check valve or a cable-actuated ESV requires replacement, it shall be replaced with a pneumatic actuated ESV; or

(3)

If the horizontal bulkhead or a backflow check valve or a cable-actuated ESV are moved from their original location to another location, no matter what the distance from the original location, then the installation shall comply with the requirements for a vertical bulkhead and pneumatic actuated ESVs.

(d)

Bulkheads, whether horizontal or vertical, shall comply with the following requirements:

(1)

Bulkheads shall be installed for both liquid and vapor return piping;

(2)

Only one or two transfer hoses shall be attached to a pipe riser. If two hoses are simultaneously connected to one or two transports, the use of the two hoses shall not prevent the activation of the ESV in the event of a pullaway;

(3)

Both liquid and vapor transfer hoses shall be plugged or capped;

(4)

Bulkheads shall be located at least 10 feet from the container or containers. If the 10-foot distance cannot be obtained, the licensee or nonlicensee shall inform the Commission in writing and include all necessary information. The Commission may grant administrative distance variances to a minimum distance of five feet. If the licensee or nonlicensee requests that the bulkhead be closer than five feet to the container or containers, the licensee or nonlicensee shall apply for an exception to a safety rule as specified in §9.27 of this title (relating to Application for an Exception to a Safety Rule);

(5)

Horizontal bulkheads shall not be converted to vertical bulkheads;

(6)

Bulkheads shall be anchored in reinforced concrete to prevent displacement of the bulkhead, piping, and fittings in the event of a pullaway;

(7)

Bulkheads shall be constructed by welding using the following materials or materials with equal or greater strength, as shown in the diagram.

Figure: 16 TAC §9.143(d)(7)

(A)

Six-inch steel channel iron shall be used;

(B)

Legs shall be four-inch schedule 80 piping;

(C)

The top crossmember of a vertical bulkhead shall be 28 inches or less above ground level and shall be six-inch standard weight steel channel iron. The channel iron shall be installed so the channel portion is pointing downward to prevent accumulation of water or other debris;

(D)

The kick plate shall be 1/4 inch steel plate installed at least 10 inches from the top of the bulkhead crossmember. A kick plate is not required if the crossmember is constructed to prevent torsional stress from being placed on the piping to the pipe risers;

(E)

Either a schedule 40 pipe sleeve or a 3,000-pound coupling shall be welded between the top crossmember and the kick plate;

(i)

Pipe sleeves shall have a clearance of 1/4 inch or less for the piping to the pipe riser, and the piping shall terminate through the bulkhead with a schedule 80 pipe collar, a minimum 12-inch schedule 80 threaded (not welded) pipe riser (nipple), and an elbow or other fitting between the bulkhead and hose coupling;

(ii)

If a 3,000-pound coupling is used, no collar is required; however, the minimum 12-inch length of schedule 80 threaded pipe riser and an elbow or other fitting between the bulkhead and hose coupling are required;

(iii)

Elbows or other fittings shall comply with NFPA 58, §2- 4.4 and shall direct the transfer hose from vertical to prevent binding or kinking of the hose.

(8)

In lieu of a minimum 12-inch nipple or a vertical bulkhead, swivel-type piping (breakaway loading arm) may be installed. The swivel-type piping shall meet all applicable provisions of the LP-Gas Safety Rules . The swivel-type piping may also be used for unloading, but shall not be used in lieu of ESVs. The swivel-type piping shall be installed and maintained according to the manufacturer's instructions.

(9)

The Commission may require additional bulkhead protection if the installation is subject to exceptional circumstances or located in an unusual area where additional protection is necessary to protect the health, safety, and welfare of the general public.

(e)

In addition to NFPA 58, §2-3.3.2 as amended in the table in §9.403 of this title (relating to Sections in NFPA 58 Not Adopted by Reference, and Adopted with Changes, Additional Requirements, or Corrections), ESVs and internal valves shall have emergency remote controls conspicuously marked according to the requirements of Table 1 of §9.140 of this title (relating to Uniform Protection Standards). Effective February 1, 2001, for all new facilities, where a bulkhead, internal valves, and ESVs are installed, at least one clearly identified and easily accessible manually operated remote emergency shutoff device shall be located between 20 and 100 feet from the ESV in the path of egress from the ESV. Existing installations shall comply by August 1, 2001. The use of swivel-type piping as specified in subsection (d)(8) of this section shall not eliminate the requirement for an ESV. Swivel-type piping may be installed between the bulkhead and the minimum 12-inch nipple, but shall not eliminate the requirement for an ESV. The swivel-type piping shall be installed and maintained according to the manufacturer's instructions.

(f)

The bulkheads, internal valves, backflow check valves, and ESVs shall be kept in working order at all times in accordance with the manufacturer's instructions and the LP-Gas Safety Rules . If the bulkheads, internal valves, backflow check valves and ESVs are not in working order in accordance with the manufacturer's instructions and the LP-Gas Safety Rules , the licensee or operator of the installation shall immediately remove them from LP-gas service and shall not operate the installation until all necessary repairs have been made.

(g)

By February 1, 2003, rubber flexible connectors which are 3/4-inch or larger in size installed in liquid or vapor piping at an existing liquid transfer operation shall be replaced with a stainless steel flexible connector. Stainless steel flexible connectors shall be 24 inches in length or less, and shall comply with all applicable LP-Gas Safety Rules . Flexible connectors installed at a new installation after February 1, 2001, shall be stainless steel.

(h)

If necessary to increase LP-gas safety, the Commission may require a pneumatically-operated internal valve equipped for remote closure and automatic shutoff through thermal (fire) actuation to be installed for certain liquid and/or vapor connections with an opening of 3/4 inch or one inch in size.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100136

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter B. BASIC RULES

16 TAC §§9.151, 9.152, 9.154-9.157, 9.159-9.174, 9.176-9.190

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100121

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter C. VAPORIZERS AND HEATERS

16 TAC §§9.201-9.204

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100122

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter C. VEHICLES AND VEHICLE DISPENSERS

16 TAC §§9.201-9.203, 9.206-9.208, 9.211, 9.212

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

§9.202.Registration and Transfer of LP-Gas Transports or Container Delivery Units.

(a)

A person who operates a transport equipped with LP-gas cargo tanks or any container delivery unit, regardless of who owns the transport or unit, shall register such transport or unit with the Commission in the name or names under which the operator conducts business in Texas prior to the unit being used in LP-gas service.

(1)

To register a unit previously unregistered in Texas, the operator of the unit shall:

(A)

pay to the Commission the $270 registration fee for each bobtail truck, semitrailer, container delivery unit, or other motor vehicle equipped with LP-gas cargo tanks; and

(B)

file a properly completed LPG Form 7.

(2)

To register an MC-330/MC-331 specification unit which was previously registered in Texas but for which the registration has expired, the operator of the unit shall:

(A)

pay to the Commission the $270 registration fee;

(B)

file a properly completed LPG Form 7; and

(C)

file a copy of the latest test results if an expired unit has not been used in the transportation of LP-gas for over one year.

(3)

To transfer a unit, the new operator of the unit shall:

(A)

pay the $100 transfer fee for each unit; and

(B)

file a properly completed LPG Form 7.

(b)

The Commission may also request that an operator registering or transferring any unit:

(1)

file a copy of the Manufacturer's Data Report; or

(2)

have the unit tested by a test other than those required by §9.208 of this title (relating to Testing Requirements).

(c)

When all registration or transfer requirements have been met, the Commission shall issue LPG Form 4 which shall be properly affixed in accordance with the placement instructions on the form. LPG Form 4 shall authorize the licensee or ultimate consumer to whom it has been issued and no other person to operate such unit in the transportation of LP-gas and to fill the transport containers.

(1)

A person shall not operate an LP-gas transport unit or container delivery unit in Texas unless the LPG Form 4 has been properly affixed or unless its operation has been specifically approved by the Commission.

(2)

A person shall not introduce LP-gas into a transport container unless that unit bears an LPG Form 4 or unless specifically approved by the Commission.

(3)

LPG Form 4 shall not be transferable by the person to whom it has been issued, but shall be registered by any subsequent licensee or ultimate consumer prior to the unit being placed into LP-gas service.

(4)

This subsection shall not apply to:

(A)

a container manufacturer/fabricator who introduces a reasonable amount of LP-gas into a newly constructed container in order to properly test the vessel, piping system, and appurtenances prior to the initial sale of the container. The liquid LP-gas shall be removed form the transport container prior to the unit leaving the container manufacturer/fabricator's premises; or

(B)

a person who introduces a maximum of 150 gallons of LP-gas into a newly constructed transport container when such container will provide the motor fuel to the chassis engine for the purpose of allowing the unit to reach its destination.

(5)

The Commission shall not issue an LPG Form 4 if the Commission or a Category A, B, or O licensee determines that the transport is unsafe for LP-gas service.

(6)

If an LPG Form 4 decal on a unit currently registered with the Commission is destroyed, lost, or damaged, the operator of that vehicle shall obtain a replacement decal by filing LPG Form 18B and a $50 replacement fee with the Commission.

§9.203.School Bus, Public Transportation, Mass Transit, and Special Transit Vehicle Installations and Inspections.

(a)

After the manufacture of or the conversion to an LP-gas system on any vehicle to be used as a school bus, mass transit, public transportation, or special transit vehicle, the manufacturer, licensee, or ultimate consumer making the installation or conversion shall notify the Commission in writing on LPG Form 503 that the applicable LP-gas powered vehicles are ready for a complete inspection to determine compliance with the LP-Gas Safety Rules .

(b)

If the Commission's initial complete inspection finds the vehicle in compliance with the LP-Gas Safety Rules and the statutes, the vehicle may be placed into LP-gas service. For fleet installations of identical design, an initial inspection shall be conducted prior to the operation of the first vehicle, and subsequent vehicles of the same design may be placed into service without prior inspections. Inspections shall be conducted within a reasonable time frame to ensure the vehicles are operating in compliance with the LP-Gas Safety Rules . If violations exist at the time of the initial complete inspection, the vehicle shall not be placed into LP-gas service and the manufacturer, licensee, or ultimate consumer making the installation or conversion shall correct the violations. For public transportation vehicles only, either manufactured to use or converted to LP-gas, if the Commission does not conduct the initial inspection of such vehicle within 30 business days of receipt of LPG Form 503, the vehicle may be operated in LP-gas service if it complies with the LP-Gas Safety Rules . The manufacturer, licensee, or ultimate consumer shall file with the Commission documentation demonstrating compliance with the LP-Gas Safety Rules , or the Commission shall conduct another complete inspection before the vehicle may be placed into LP-gas service.

(c)

The manufacturer, licensee, or ultimate consumer making the installation or conversion shall be responsible for compliance with the LP-Gas Safety Rules , statutes, and any other local, state, or federal requirements.

(d)

If the requested Commission inspection identifies violations requiring modifications by the manufacturer, licensee, or ultimate consumer, the Commission shall consider the assessment of an inspection fee to cover the costs associated with any additional inspection, including mileage and per diem rates set by the legislature.

§9.212.Manifests.

(a)

All manifests or bills of lading shall indicate the amount and type of odorant per gross gallons, the vapor pressure of the product at 100 degree Fahrenheit, the net gallons, the loading temperature, the specific gravity at 60 degrees Fahrenheit, the type of product, and the United Nations number with verification by the loading entity and loader. A copy of the manifest or bill of lading shall be given to the entity receiving the shipment.

(b)

This requirement shall not apply to loads covered by permanent shipping papers authorized by DOT.

(c)

Manifests shall be made available to the Commission upon request.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100137

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter D. ADOPTION BY REFERENCE OF NFPA 54 (NATIONAL FUEL GAS CODE) AND NFPA 501C (STANDARD ON RECREATIONAL VEHICLES) AND ADOPTED EXCEPTIONS TO NFPA 54

16 TAC §§9.251, 9.254, 9.257, 9.260, 9.263, 9.266, 9.269, 9.272, 9.275

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100123

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter D. ADOPTION BY REFERENCE OF NFPA 54 (NATIONAL FUEL GAS CODE)

16 TAC §§9.301-9.303, 9.306-9.308, 9.311-9.313

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100138

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter E. CONTAINERS

16 TAC §§9.302-9.304, 9.306-9.309

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100124

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter E. ADOPTION BY REFERENCE OF NFPA 58 (LP-GAS CODE)

16 TAC §§9.401-9.403

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

§9.403.Sections in NFPA 58 Not Adopted by Reference, and Adopted with Changes, Additional Requirements, or Corrections.

(a)

Table 1 of this section lists certain NFPA 58 sections which the Commission does not adopt because the Commission's corresponding rules are more pertinent to LP-gas activities in Texas, or which the Commission adopts with changed language or additional requirements in order to address the Commission's existing rules, or with corrections listed in the Errata dated June 1, 1998, issued by NFPA to correct typographical or other errors in the published NFPA 58 pamphlet. According to NFPA, these errors may be corrected in future printings.

Figure: 16 TAC §9.403(a)

(b)

If a section in NFPA 58 refers to another section in NFPA 58 which the Commission has not adopted, or which the Commission has adopted with additional or alternative language, then persons shall comply with the applicable Commission rule.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100139

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter F. CONSUMER LP-GAS SYSTEMS

16 TAC §§9.451, 9.453, 9.457, 9.462-9.464, 9.467

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100125

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter F. ADOPTION BY REFERENCE OF NFPA 51 (STANDARD FOR THE DESIGN AND INSTALLATION OF OXYGEN-FUEL GAS SYSTEMS FOR WELDING, CUTTING, AND ALLIED PROCESSES)

16 TAC §§9.501-9.503, 9.506-9.508

The new sections are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted new sections.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100140

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter H. NONSPECIFICATION TRANSPORT CONTAINERS; TRUCKS TRANSPORTING LP-GAS IN PORTABLE CONTAINERS

16 TAC §§9.651, 9.653-9.667, 9.669-9.682

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100126

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter I. LP-GAS MOTOR FUEL AND MOBILE FUEL CONTAINERS

16 TAC §§9.752-9.769, 9.771

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100127

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter J. ADOPTION BY REFERENCE OF NFPA 51, STANDARD FOR THE DESIGN AND INSTALLATION OF OXYGEN-FUEL GAS SYSTEMS FOR WELDING, CUTTING, AND ALLIED PROCESSES, AND OTHER REQUIREMENTS FOR LP-GAS WELDING APPLICATIONS

16 TAC §§9.801, 9.804, 9.807, 9.810, 9.813, 9.816

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100128

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter K. APPENDICES

16 TAC §§9.921-9.926, 9.928

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100129

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter O. BOTTLE FILLING PLANTS; SERVICE STATION DISPENSERS

16 TAC §9.1255

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100130

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter P. FARM CARTS

16 TAC §§9.1351-9.1354, 9.1356, 9.1357, 9.1359-9.1363

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100131

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter Q. LP-GAS POWERED VEHICLES AND ENGINE FUEL EQUIPMENT USED IN A BUILDING OR ON CONSUMER'S PREMISES

16 TAC §§9.1451, 9.1454-9.1458

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100132

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter R. LP-GAS AUTOMATIC DISPENSERS

16 TAC §§9.1551, 9.1557, 9.1565, 9.1570, 9.1571

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100133

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295


Subchapter T. DOT MC-330 AND MC-331 TRANSPORT CONTAINERS

16 TAC §§9.1751-9.1764, 9.1766-9.1777

The repeals are adopted under the Texas Natural Resources Code, §113.051, which authorizes the Commission to adopt rules relating to any and all aspects or phases of the LP-gas industry that will protect or tend to protect the health, welfare, and safety of the general public; and §113.052, which allows the Commission to adopt by reference the published codes of nationally recognized societies, including the National Fire Protection Association.

The Texas Natural Resources Code, §113.051 and §113.052, are affected by the adopted repeals.

Issued in Austin, Texas, on January 9, 2001.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 9, 2001.

TRD-200100134

Mary Ross McDonald

Deputy General Counsel

Railroad Commission of Texas

Effective date: February 1, 2001

Proposal publication date: September 29, 2000

For further information, please call: (512) 475-1295