Part 1.
RAILROAD COMMISSION OF TEXAS
Chapter 3.
OIL AND GAS DIVISION
16 TAC §3.83
The Railroad Commission of Texas proposes an amendment to §3.83,
regarding tax exemption for two-year inactive wells and three-year inactive
wells. The proposed amendment reflects changes in the Texas Tax Code, §202.056,
extending the time to designate wells that qualify for a tax exemption as
two-year inactive wells. Wells can qualify for a ten-year severance tax exemption
on subsequent oil and gas production if they have had no more than one month
of production in the two-year period prior to application to the Comptroller
for tax exemption.
The proposed amendment implements the statutory change allowing certifications
to continue until February 28, 2010. An operator seeking two-year inactive
well designation must apply or have applied for certification during the period
between September 1, 1997, through August 31, 2009.
The Commission simultaneously proposes the review and readoption of this
rule, with the proposed changes, in accordance with Tex. Gov't Code §2001.039.
The agency's reasons for adopting this rule continue to exist. The notice
of proposed review was filed with the
Texas Register
concurrently with this proposal.
Scott Petry, hearings examiner, Office of General Counsel, has determined
that, for the time period for which the proposed section is in effect, there
will be fiscal implications for state government as a result of enforcing
or administering the amended rule. These effects, however, are anticipated
to be negligible because the amendment is for a continuation of the incentive
program, which already has an administrative structure in place, and the existing
staff have already encountered, and adapted to, program adjustments. There
will be no effect on local government.
Mr. Petry has also determined that this incentive program has already benefitted
and will continue to benefit the public through increased oil and gas production.
This production may not have been economically feasible but for the tax incentive
program. Furthermore, the tax benefit, and the accompanying production from
previously inactive wells, has contributed to a greater supply of energy,
created increased business and employment opportunities in oil and gas related
industries, and has contributed to the more efficient allocation of existing
natural resources. Extending the severance tax incentive program will continue
these benefits and will provide for a more efficient oil and gas production
system.
Participation in this program will be voluntary, but the cost of compliance
for individuals, small businesses, and micro- businesses may include the following:
servicing will be required for most wells to be brought back into production;
any operator wishing to participate in the incentive will be required to file
a request for certification; and, if the request is denied administratively,
the operator may request and participate in a hearing. These costs cannot
be estimated because they vary according to each operator's situation. The
exemption will benefit producers and the general public by delaying the untimely
plugging of wells capable of production.
Because the Legislature has extended the time period for this program by
amending the Tax Code, the Commission proposes a shorter comment period. Comments
may be submitted to Scott Petry, Hearings Examiner, Office of General Counsel,
Railroad Commission of Texas, P.O. Box 12967, Austin, Texas 78711-2967, or
via electronic mail to scott.petry@rrc.state.tx.us. Comments will be accepted
for 15 days after publication in the
Texas Register
. Comments should refer to the docket number of this rulemaking proceeding:
20-0227487. For further information, call Mr. Petry at (512) 463-6768.
The Commission proposes the amendment under the Texas Tax Code, §202.056,
which directs the Commission to adopt all rules necessary to administer the
section.
Texas Tax Code, §202.056, is affected by the proposed amendment.
Issued in Austin, Texas on June 21, 2001.
§3.83.Tax Exemption for Two-Year Inactive Wells and Three-Year Inactive Wells.
(a) - (d)
(No change.)
(e)
Certified Wells.
(1)
(No change.)
(2)
Two-year inactive wells. The commission may not designate
a two-year inactive well under this section after
February 28, 2010
[
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State, on June 21, 2001.
TRD-200103520
Mary Ross McDonald
Deputy General Counsel
Railroad Commission of Texas
Earliest possible date of adoption: August 5, 2001
For further information, please call: (512) 475-1295
The Railroad Commission of Texas proposes amendments to §§9.2,
9.7, 9.17, 9.26, 9.36, 9.136, 9.140, 9.142, 9.403, and 9.506, relating to
Definitions; Application for License and License Renewal Requirements; Designation
and Responsibilities of Company Representatives and Operations Supervisors;
Insurance Requirements; Report of LP-Gas Incident/Accident; Filling of DOT
Containers; Uniform Protection Standards; LP-Gas Container Storage and Installation
Requirements; Sections in NFPA 58 Not Adopted by Reference, and Adopted with
Changes, Additional Requirements, or Corrections; and Sections in NFPA 51
Adopted with Additional or Alternative Language. The main purpose of the rulemaking
is to update the rules based on legislative changes to the Commission's authorizing
statutes made during the 77th legislative session (2001). The proposed amendments
in §§9.36, 9.136, 9.140, 9.142, 9.506 and some of the amendments
to the table in §9.403 result from discussions at the Commission's meetings
of the LP-Gas Advisory Committee and the Cylinder Exchange Task Force, held
in December 2000 and January 2001, as well as recommendations from a member
of the Commission's LP-Gas Welding Advisory Committee. These amendments are
made for clarification and the Commission does not anticipate any increased
burden or costs associated with these amendments.
The Commission proposes two amendments in §9.2. The first amendment
adds a definition for "categories of LPG activities," which is necessary because
of statutory changes in Senate Bill (SB) 310 which removed the license categories
and letter designations from the statute. This change allows the license categories
described in §9.6 to remain as they are. The second amendment is in the
definition of "company representative" and is necessary due to SB 1015 relating
to Category P license operations which removed the requirement for a company
representative of a Category P license to actively supervise the conduct of
the licensee's LP-gas activities. This change will by definition exempt a
company representative of a Category P license to actively supervise the conduct
of the licensee's LP- gas activities.
The Commission's proposed amendments in §9.7 are necessary because
of statutory changes in SB 310 and SB 1015 relating to license and license
renewal requirements, as well as some grammatical changes and wording changes
to bring the rule in line with the statutes. The first amendment adds a cross-reference
to §9.17 to clarify management-level examination requirements. The second
amendment, in subsection (f), reflects the statute and requires the notification
in writing to the address on file with the Commission of the impending license
expiration at least 30 days before the date a person's license is scheduled
to expire, instead of 15 days currently in the rule. The remaining amendments
reflect changes in SB 310. The amendment to §9.7(f)(1) requires a renewal
fee of 1 1/2 times the renewal fee required by §9.6 if a person's license
has expired for 90 calendar days or fewer and changes the time limit for license
expiration, suspension, or revocation from two years to one year. The amendment
in §9.7(f)(2) requires a renewal fee of two times the renewal fee required
by §9.6 if a person's license has expired for more than 90 calendar days
and also changes the time limit for license expiration, suspension, or revocation
from two years to one year. The amendment in §9.7(f)(3) requires a person
whose license has expired for more than one year, changed from two years,
to comply with all requirements for issuance of a new license. The amendment
in §9.7(f)(4) exempts a person previously licensed in this state but
who currently lives in another state and is currently licensed and has been
in practice in the other state for the two years preceding the date of application
from reexamination for licensing, and requires the person to pay a fee to
the Commission that is equal to two times the renewal fee required by §9.6.
The Commission's proposed amendments to §9.17 are necessary because
of statutory changes in SB 1015 which change current requirements for company
representatives and operation supervisors for a Category P license. Subsection
(a) as proposed exempts a Category P licensee from having one operations supervisor
for each outlet as is currently required. Subsection (b)(2) exempts a company
representative of a Category P licensee from being responsible for actively
supervising all LP-gas activities conducted by the licensee. Subsection (c)
exempts the Category P operations supervisor from being an owner of or employee
of the Category P licensee, from examination, and from actively supervising
the LP-gas activities at a designated outlet. New subsection (d) requires,
in lieu of an operations supervisor for a Category P licensee, the Category
E, J, or other licensee that provides the cylinders to the Category P licensee
to prepare and file a manual covering proper procedures for handling LP-gas
in the portable cylinder exchange process with the Commission for its approval,
to provide a copy of the approved manual to each outlet of the Category P
licensee, and to provide Commission-approved training regarding the contents
of the manual and to maintain records regarding the individuals of the Category
P licensee trained. This subsection also allows for a 45-day period with which
to comply with all requirements of §9.17(d) that is allowed by the statute.
New subsection (e) makes the Category P licensee responsible for compliance.
Subsection (f) authorizes the company representative to assign or remove any
employee of the Category P licensee who does not comply with the LP-gas safety
rules or who performs any unsafe LP-gas activity from LP-gas related activities
performed under the license.
The Commission's proposed amendment to §9.26 affects only the table
and is necessary because of statutory changes in SB 1015. The change to the
table, in the first row, exempts Category P licensees from the workers compensation
insurance or alternative requirement as is currently required.
The Commission's proposed amendment to §9.36 adds new subsection (e)
due to a request from the LP-Gas Advisory Committee at a meeting held January
11, 2001. New 9.36 (e) requires the Category P licensee to immediately notify
the Category E, J, or other licensee who supplies cylinders to the Category
P licensee of any reportable accident or incident, and requires the Category
E, J, or other licensee to report the accident or incident to the Commission.
The Commission's proposed amendment to §9.136(a) will increase the
safety of filling DOT cylinders by weight. The amendment adds the accepted
formula used for determining the setting of a scale when weighing a DOT cylinder
of less than 101 pounds LP-gas capacity as required by current rule to be
placed in the LP-gas safety rules. This formula was in a previous Commission
rule and will provide the LP-gas industry and other interested parties with
written instructions for setting a scale when filling a DOT cylinder of less
than 101 pounds LP-gas capacity. This amendment will strengthen the current
rule by providing the correct method for setting scales to be used during
the filling of certain DOT cylinders which should result in greater safety
by allowing greater access to the formula for setting the scales.
The Commission's proposed amendments to §9.140 will provide uniformity
when exempting the guardrailing and fencing requirements for certain LP-gas
installations as currently required in the LP-gas rules for fencing only,
and to address recommendations from the Commission's Cylinder Exchange Task
Force at its meeting held December 18, 2000, concerning certain protection
requirements for retail portable cylinder exchange racks. The amendments pertaining
to the exemption of certain LP- gas installations from the fencing requirements
move the current exemptions from §9.140(d)(7) to §9.140(b) and results
in the exemptions applying to both the fencing and guardrailing requirements.
The amendments pertaining to the retail portable cylinder exchange racks are
as follows. The wording in §9.140(h)(3)(A) currently exempts retail portable
cylinder exchange racks from guardrail or guardpost requirements if the cylinder
rack is located against a building. The amendment adds the wording "or attached
structure" after the word building. This additional wording allows a cylinder
rack to be exempt from the guardrail and guardpost requirements when located
against a structure (such as a fenced-in garden center at a home improvement
or other retail store) as well as a building which will allow for greater
flexibility in the installation of the cylinder racks without compromising
safety. The new wording in §9.140(h)(4) is added to allow for the exemption
of a wheelstop if a curb is at least six inches tall and the cylinder exchange
rack is at least 48 inches away from the curb. The current rule requires a
six-inch wheelstop to be installed 48 inches from a cylinder exchange rack
when the rack is located on a walkway that is four inches in height above
the grade of the parking space or driveway, installed against a building,
and is not protected with guardrailing or guardposts. The proposed amendment
will allow the exclusion of the wheelstop if the cylinder exchange rack is
48 inches away from the edge of a curb. This will allow greater flexibility
for industry to install cylinder exchange racks without compromising safety.
The Commission's proposed amendment to §9.142 clarifies the current
rule, which requires that containers shall be stored or installed in accordance
with the distance requirements in NFPA 58, 3-2.2. This change was recommended
by a member of the Commission's LP-Gas Welding Advisory Committee to clarify
requirements for welding and cutting activities. Along with the amendment
to §9.142, a section of NFPA 58 (3-4.5.1) is added to the table in §9.403;
this clarifying change is discussed in the following explanation of changes
to §9.403. Language is also added to §9.506 to refer to NFPA 58
3-4.5.1.
The Commission's proposed changes to the table in §9.403 will reduce
the number of Texas exceptions to NFPA 58 and bring the Texas rules more in
line with the 1998 edition of NFPA 58 which is a goal of the LP-Gas Section.
In particular, the changes to the table are as follows:
1. A new entry for 3-2.2.7 is proposed to be added to the table with one
change to the version in NFPA 58. The change will add a cross-reference to
NFPA 58 5-4.1, also to be added to the table, to clarify some requirements
for cylinder exchange racks recommended by the Commission's Cylinder Exchange
Task Force.
2. A new entry for 3-4.5.1 is proposed to be added to the table and adopted
with two changes. These changes are made in conjunction with changes to §§9.142
and 9.506 and clarify an exception for the use of LP-gas in welding or cutting
applications. The language allows the use of LP-gas inside buildings for these
specific applications and states that each LP-gas cylinder used for this purpose
shall not exceed nominal 239 pound water capacity and that all other LP-gas
safety rules, including those adopted in NFPA 58, shall apply.
3. A new entry for 5-4.1 is proposed to be added to the table and adopted
with one change. The change adds a new subsection (f) to 5-4.1 to require
combustible materials and sources of ignition to be at least five feet away
from any cylinder exchange rack. This amendment was recommended by the Commission's
LP-Gas Advisory Committee and addresses two situations not covered elsewhere
in NFPA 58.
Byron Caffey, Assistant Director, LP-Gas Section, Gas Services Division,
has determined that, for each year of the first five years that the amendments
are proposed to be in effect, there will be fiscal implications for state
or local governments. For the Commission, these will involve publishing and
distributing new rulebooks, revising rules examinations, changing material
for training and continuing education courses, reprogramming various computer-generated
reports and data bases, and retraining staff, including field inspectors.
These costs cannot be calculated, but will be handled through the regular
budget and duties of the LP-Gas Section with nominal charges to licensees
and the general public for purchase of new Commission rulebooks. Currently
the Commission's LP-gas rulebooks cost $11.00. There may be similar fiscal
implications for local governments which rely on Commission safety standards;
these costs are not calculable, but at a minimum will include purchase of
new rulebooks and possibly retraining inspection staff.
Mr. Caffey has also determined that, for each year of the first five years
the amendments are proposed to be in effect, the public benefit anticipated
as a result of enforcing the amendments will be improvement in safety and
clarification of requirements.
There is an anticipated economic cost to individuals, small businesses,
or micro-businesses required to comply with some of the proposed amendments.
There may also be some savings for those required to comply. All amendments
not specifically discussed in the following paragraphs have a negligible economic
impact.
There may be some costs associated with some of the amendments. Proposed §9.17
requires Category E licensees that provide the portable cylinders to the Category
P licensees to provide a standard-operating-procedure (SOP) manual and training
for each Category P outlet they supply as well as to maintain records on the
individuals trained. There are currently an estimated 450 Category P branch
outlets. The costs relating to these requirements are primarily labor and
other related costs and cannot be determined.
There may be some savings associated with some of the amendments. Proposed §9.17
exempts a Category P licensee from the operations supervisor requirements.
There are approximately 450 Category P branch outlets in the state. The cost
of a Category P management examination is $50.00. The Commission cannot estimate
the future savings of this amendment because the Commission cannot determine
the expected turnover rate of supervisors at branch outlets, nor can it accurately
predict how many branch outlets will be added in future years. Category P
licensees will have some savings through eliminating the travel and examination
costs for operations supervisors.
Proposed §9.26 exempts the Category P licensees from worker compensation
or alternative insurance requirements. The cost for this type of coverage
fluctuates greatly and is subject to various factors which the Commission
cannot predict.
Comments on the proposal may be submitted to Kellie Martinec, Rules Coordinator,
Office of General Counsel, Railroad Commission of Texas, P.O. Box 12967, Austin,
Texas 78711-2967. Comments will be accepted for 30 days after publication
in the
Texas Register
and should refer to
LP-Gas Docket No. 1663. For more information, call Mr. Caffey at (512) 463-6931.
Subchapter A. GENERAL REQUIREMENTS
16 TAC §§9.2, 9.7, 9.17, 9.26, 9.36
The amendments are proposed, pursuant to the Texas Government
Code, §2001.006 (
as added by Acts 1999, 76th
Leg., ch. 558, §1
), and 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; §113.052, which authorizes
the commission to adopt by reference the published codes of nationally recognized
societies, including the National Fire Protection Association; and Senate
Bills 310 and 1015, 77th Legislature (2001).
The Texas Natural Resources Code, §§113.051 and 113.052, and
Senate Bills 310 and 1015 are affected by the proposed amendments.
Issued in Austin, Texas on June 21, 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) - (5)
(No change.)
(6)
Categories of LPG activities--The
LP-gas license categories as specified in §9.6 of this title (relating
to Licenses and Fees).
(7)
[
(8)
[
(9)
[
(10)
[
(11)
[
(12)
[
(13)
[
(14)
[
(15)
[
(16)
[
(17)
[
(18)
[
(19)
[
(20)
[
(21)
[
(22)
[
(23)
[
(24)
[
(25)
[
(26)
[
(27)
[
(28)
[
(29)
[
(30)
[
(31)
[
(32)
[
(33)
[
(34)
[
(35)
[
(36)
[
(37)
[
(38)
[
(39)
[
(40)
[
(41)
[
(42)
[
(43)
[
(44)
[
(45)
[
(46)
[
(47)
[
§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
any
[
(b) - (e)
(No change.)
(f)
For license renewals, the Commission shall notify the licensee
in writing
at the address on file with the Commission
of the impending
license expiration
at least 30 calendar days before the date a person's
license is scheduled to expire
[
(1)
If a person's license has been expired for [
(2)
If a person's license has been expired for
more than
90 calendar days but less than
one year
[
(3)
If a person's license has been expired for
one year
or
more [
(4)
A person who was licensed in
this state, moved to another state, and is currently licensed and has been
in practice in the other state for the two years preceding the date of application
may obtain a new license without reexamination. The person shall pay to the
Commission a fee that is equal to two times the renewal fee required by §9.6
of this title.
(A)
As a prerequisite to licensing pursuant to this
provision, the person shall submit, in addition to an application for licensing,
proof of having been in practice and licensed in good standing in another
state continuously for the two years immediately preceding the filing of the
application;
(B)
A person licensed under this provision shall
be required to comply with all requirements of licensing other than the examination
requirement, including but not limited to the insurance requirements as specified
in §9.26 of this title (relating to Insurance Requirements) and the
continuing education and training requirements as specified in §9.51
of this title (relating to General Requirements for Training and Continuing
Education).
(g)
(No change.)
§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
, in the case of a licensee other than a Category
P licensee,
at least one operations supervisor for each outlet.
(1) - (4)
(No change.)
(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
(f)
[
(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
(f)
[
(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
, in the case of a licensee other than a Category P licensee,
responsible
for actively supervising all LP-gas activities conducted by the licensee,
including all appliance, container, portable cylinder, product, and system
activities;
(3) - (7)
(No change.)
(c)
Operations supervisors. An operations supervisor
,
in the case of a licensee other than a Category P licensee,
shall comply
with the following requirements:
(1) - (3)
(No change.)
(d)
In lieu of an operations supervisor
requirement for a Category P license, the Category E, J, or other licensee
providing the Category P licensee with portable cylinders for exchange shall
be required to:
(1)
prepare a manual containing, at a minimum, the
following:
(A)
a description of the basic characteristics and
properties of LP-gas;
(B)
an explanation of the various parts of an LP-gas
cylinder, including what the purpose of each part is and how to operate the
cylinder valve;
(C)
complete instructions on how to properly transport
cylinders in vehicles;
(D)
a prohibition against moving or installing cylinder
cages at any store location;
(E)
a prohibition against taking or storing inside
a building any cylinders that have or have had LP-gas in them;
(F)
a requirement that all cylinders containing
LP-gas be stored in a manner so that the relief valve is in the vapor space
of the cylinder;
(G)
a requirement that the employees who handle
the cylinders know the location within the store of the manual and know the
contents of the manual;
(H)
instructions related to any potential hazards
that may be specific to a location, including but not limited to the proper
distancing of cylinders from combustible materials and sources of ignition;
(I)
detailed emergency procedures regarding a leaking
cylinder, including all applicable emergency contact numbers;
(J)
a requirement that any accidents be reported
to the Category E, J, or other licensee who prepares the manual, and detailed
procedures for reporting any accidents;
(K)
all Railroad Commission rules applicable to
the Category P license, including the requirement that the Category P licensee
is responsible for complying with all such rules;
(L)
all provisions of Subchapter H ("Enforcement")
of Chapter 113 of the Texas Natural Resources Code;
(M)
a detailed description of the training provided
to each employee of the Category P licensee who may be engaged in any activities
covered by the Category P license; and
(N)
a page for the signatures, printed names and
dates of training for each individual trained at each outlet on this manual.
(2)
provide a copy of the manual for display at
each outlet or location of the Category P licensee;
(3)
provide training as to the contents of the manual
to each employee who may be engaged in any activities covered by the Category
P license at all outlets or locations of the Category P licensee and maintain
records regarding the employees of the Category P licensee who have been trained;
and
(4)
complete all three requirements of this subsection,
for existing Category P licensees, prior to October 25, 2001, and within 45
days of any Category P license obtained on or after September 1, 2001.
(e)
The Category P licensee is
responsible for the following:
(1)
insuring that each employee who is involved
with the activities covered by the Category P license is knowledgeable about
the contents of the manual and has signed and dated the signature page of
the manual; and
(2)
insuring that each such employee is aware of
the location of the manual and can show the manual to employees of the Commission
upon their request.
(f)
[
[
is an employee of the Category
P licensee; and]
[
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.]
(g)
[
§9.26.Insurance Requirements.
(a)
LP-gas licensees or applicants for license shall comply
with the minimum amounts of insurance specified in Table 1 of this section.
Applicants shall submit a valid certificate of insurance with the Commission
before it grants or renews a license, and a valid certificate of insurance
shall remain in effect during the entire period that the license is in effect.
Figure: 16 TAC §9.26(a)
(b) - (i)
(No change.)
§9.36.Report of LP-Gas Incident/Accident.
(a) - (d)
(No change.)
(e)
In the case of an accident
or incident at a Category P licensee's location, the Category P licensee shall
immediately notify the Category E, J, or other licensee who supplies cylinders
to the Category P licensee and the Category E, J, or other licensee shall
be responsible for making the accident or incident report to the Commission
as specified in this section.
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of
the Secretary of State, on June 21, 2001.
TRD-200103516
Mary Ross McDonald
Deputy General Counsel
Railroad Commission of Texas
Earliest possible date of adoption: August 5, 2001
For further information, please call: (512) 475-1295
16 TAC §§9.136, 9.140, 9.142
The amendments are proposed, pursuant to the Texas Government
Code, §2001.006 (
as added by Acts 1999, 76th
Leg., ch. 558, §1
), and 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; §113.052, which authorizes
the commission to adopt by reference the published codes of nationally recognized
societies, including the National Fire Protection Association; and Senate
Bills 310 and 1015, 77th Legislature (2001).
The Texas Natural Resources Code, §§113.051 and 113.052, and
Senate Bills 310 and 1015 are affected by the proposed amendments.
Issued in Austin, Texas on June 21, 2001.
§9.136.Filling of DOT Containers.
(a)
DOT containers of less than 101 pounds LP-gas capacity,
other than containers designed to be used on forklift or industrial trucks,
shall be filled by weight only. The weight of such containers shall be determined
by scales that meet the specifications of the National Institute of Standards
and Technology's Handbook 44. Scales at licensees' facilities shall be currently
registered with the Texas Department of Agriculture. The scales shall have
a rated weighing capacity which exceeds the total weight of the cylinders
being filled. The scales shall be accurate during the filling of the cylinder.
The formula for filling LP-gas containers by weight under this section is
as follows:
(1)
The propane capacity in pounds
is determined by multiplying the total water capacity in pounds by .42.
(2)
Add the tare weight of a cylinder
to the liquid weight of the product plus the weight of the hose and nozzle.
The total weight of these three is the proper scale setting.
(b)
(No change.)
§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
, or other installations listed in paragraphs (1) - (4) of this
subsection,
are not required to comply with the fencing and guardrailing
requirements in subsections (b) and (c) of this section.
The fencing
and guardrailing requirements also do not apply to the following:
(1)
LP-gas systems and containers
located at private residences;
(2)
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;
(3)
LP-gas piping which contains
no valves and which complies with all other applicable LP-Gas Safety Rules;
and
(4)
LP-gas storage containers located
on a rural consumer's property from which motor or mobile fuel containers
are filled.
(b) - (c)
(No change.)
(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
subsection (a)
of this section
[
(1) - (6)
(No change.)
[
The requirements of this subsection
do not apply to the following:]
[
LP-gas systems and containers located at private
residences;]
[
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;]
[
LP-gas piping which contains no valves and
which complies with all other applicable LP-Gas Safety Rules; and]
[
LP-gas storage containers located on a rural
consumer's property from which motor or mobile fuel containers are filled.]
(e) - (g)
(No change.)
(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) - (2)
(No change.)
(3)
Guardrail or guardposts are not required to be installed
if:
(A)
any portable cylinder exchange rack is located against
a building
or attached structure
;
(B) - (E)
(No change.)
(4)
A wheelstop is not required
to be installed if a curb is at least six inches tall and the cylinder exchange
rack is at least 48 inches away from the curb.
(5)
[
§9.142.LP-Gas Container Storage and Installation Requirements.
Except as noted in this section, LP-gas containers shall be stored
or installed in accordance with the distance requirements in NFPA 58, §3-2.2
and the entries for §3-2.2.7 and §5-4.1 as indicated 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)
and any other applicable requirements in NFPA 58 or the
LP-Gas Safety Rules
.
(1) - (2)
(No change.)
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed
with the Office of the Secretary of State, on June 21, 2001.
TRD-200103517
Mary Ross McDonald
Deputy General Counsel
Railroad Commission of Texas
Earliest possible date of adoption: August 5, 2001
For further information, please call: (512) 475-1295
February 29, 2000
]. An application for two-year inactive well
certification shall be made during the period of September 1, 1997
,
through
August 31, 2009
[
August 31, 1999
], to qualify
for the tax exemption. Certification will be issued upon the filing of a test
report showing the well's capability and an approval of application for certification.
Production is presumed to begin on the well test date as reported on the appropriate
report. The certification shall remain with the well in the event of a change
of operator or ownership.
Chapter 9.
LIQUEFIED PETROLEUM GAS DIVISION
(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
, in the case of a licensee
other than a Category P licensee,
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.
the
] applicable rules examination specified in §9.10
of this title (relating to Rules Examination)
and in §9.17 of this
title (relating to Designation and Responsibilities of Company Representatives
and Operations Supervisors,
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.
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.
fewer
than
] 90 calendar days
or fewer
, the person shall submit
a
renewal fee that is equal to 1 1/2 times the renewal fee required by §9.6
of this title (relating to Licenses and Fees)
[
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
one year
[
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.
two years
], the person shall submit a
renewal fee that is equal to two times
the renewal fee required by §9.6 of this title
[
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
one year
[
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.
than two years
], that person shall not renew, but
shall comply with the requirements for issuance of
an original
[
a new
] license.
(e)
] of this section.
(e)
] of this section.
(d)
] Category P licensees. The
company representative requirement for a Category P licensee may be satisfied
by employing a Category E
, J, or other
[
or J
] licensee
company representative if the Category E
, J, or other
[
or
J
] company representative
is authorized by the Category P licensee
to assign and remove any employee who does not comply with the LP-Gas Safety
Rules or who performs any unsafe LP-gas activities.
[
:
]
(1)
(2)
(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.
Subchapter B. STATIONARY INSTALLATIONS AND CONTAINER REQUIREMENTS
paragraph (7) of this subsection
], shall
comply with the following:
(7)
(A)
(B)
(C)
(D)
(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.
Subchapter E. ADOPTION BY REFERENCE OF NFPA 58 (LP-GAS CODE)