TITLE 16. ECONOMIC REGULATION

PART 1. RAILROAD COMMISSION OF TEXAS

CHAPTER 13. REGULATIONS FOR COMPRESSED NATURAL GAS (CNG)

The Railroad Commission of Texas (Commission) adopts amendments, new rules, and repeals in 16 TAC Chapter 13, relating to Regulations for Compressed Natural Gas (CNG). Sections 13.25 and 13.36 are adopted with changes and the remaining rules without changes from the proposed text as published in the November 6, 2020, issue of the Texas Register (45 TexReg 7847). Sections 13.25 and 13.36 will be republished.

In Subchapter A, Scope and Definitions, the Commission adopts amendments to §13.1, Applicability, Severability, and Retroactivity; the repeal of §13.2, Retroactivity; amendments to §13.3, Definitions; §13.4, CNG Forms; and §13.15, Penalty Guidelines and Enforcement.

In Subchapter B, General Rules for Compressed Natural Gas (CNG) Equipment Qualifications, the Commission adopts amendments to §13.21, Applicability; and §13.22, Odorization; new §13.23, Installation and Maintenance; amendments to §13.24, School Bus, Public Transportation, Mass Transit, and Special Transit Vehicle Installations and Inspections; and §13.25, Filings Required for Stationary CNG Installations; the repeal of §13.26, Design and Construction of Cylinders, Pressure Vessels, and Vapor Recovery Receivers; new §13.26, Notice of, Objections to, and Hearings on Proposed Stationary CNG Installations; the repeal of §§13.27 - 13.33, Pressure Relief Devices; Pressure Gauges; Pressure Regulators; Piping; Valves; Hose and Hose Connections; and Compression Equipment; amendments to §13.34, Vehicle Fueling Connection; §13.35, Application for an Exception to a Safety Rule; and §13.36, Report of CNG Incident/Accident; new §13.37, Appurtenances and Equipment; amendments to §13.38, Removal from CNG Service; §13.39, Filling Unapproved Containers Prohibited; and §13.40, Manufacturer's Nameplates and Markings on ASME Containers.

In Subchapter C, Classification, Registration, and Examination, the Commission adopts amendments to §13.61, License Categories, Container Manufacturer Registration, Fees, and Application for Licenses, Manufacturer Registrations, and Renewals; §13.62, Insurance Requirements; §13.63, Self-Insurance Requirements; §13.64, Irrevocable Letter of Credit; the repeal of §13.65, Statements in Lieu of Insurance Certificates; amendments to §13.67, Changes in Ownership, Form of Dealership, or Name of Dealership; the repeal of §13.68, Dealership Name Change; amendments to §13.69, Registration and Transfer of CNG Cargo Tanks or Delivery Units; §13.70, Examination and Exempt Registration Requirements and Renewals; §13.71, Hearings for Denial, Suspension, or Revocation of Licenses, Manufacturer Registrations, or Certificates; §13.72, Designation and Responsibilities of Company Representatives and Operations Supervisors; §13.73, Employee Transfers; §13.75, Franchise Tax Certification and Assumed Name Certificate; and §13.80, Requests for CNG Classes.

In Subchapter D, CNG Compression, Storage, and Dispensing Systems, the Commission adopts the repeal of §13.92, System Component Qualification; amendments to §13.93, System Protection Requirements; the repeal of §§13.94 - 13.105, Location of Installations; Installation of Cylinders and Cylinder Appurtenances; Installation of Pressure Relief Devices; Installation of Pressure Regulators; Installation of Pressure Gauges; Installation of Piping and Hoses; Testing; Installation of Emergency Shutdown Equipment; Installation of Electrical Equipment; Stray or Impressed Currents and Bonding; Operation; and Fire Protection; and amendments to §13.106, Maintenance; and §13.107, Dispenser Installation.

In Subchapter E, Engine Fuel Systems, the Commission adopts the repeal of §13.132, System Component Qualification; amendments to §13.133, Installation of Fuel Supply Containers; the repeal of §§13.134 - 13.141, Installation of Venting Systems; Installation of Piping; Installation of Valves; Installation of Pressure Gauges; Installation of Pressure Regulators; Installation of Fueling Connection; Labeling; and System Testing; amendments to §13.142, Maintenance and Repair; and §13.143, Venting of CNG to the Atmosphere.

In Subchapter F, Residential Fueling Facilities, the Commission adopts the repeal of §13.182, Scope; amendments to §13.183, System Component Qualifications; the repeal of §§13.184 - 13.186, General; Installation; and Outdoor Installations; amendments to §13.187, Installation of Pressure Relief Devices; the repeal of §13.188 and §13.189, Installation of Pressure Gauges; and Pressure Regulation; amendments to §13.190, Piping and Hose; and the repeal of §§13.191 - 13.194, Testing; Installation of Emergency Shutdown Equipment; Operation; and Maintenance and Inspection.

The Commission adopts new Subchapter G, Adoption by Reference of NFPA 52 (Vehicular Gaseous Fuel Systems Code) to include new §13.201, Adoption by Reference of NFPA 52; §13.202, Clarification of Certain Terms Used in NFPA 52; and §13.203, Sections in NFPA 52 Adopted with Additional Requirements or Not Adopted.

The Commission adopts new Subchapter H, Adoption by Reference of NFPA 55 (Compressed Gases and Cryogenic Fluids Code) to include new §13.301, Adoption by Reference of NFPA 55; §13.302, Clarification of Certain Terms Used in NFPA 55; and §13.303, Sections in NFPA 55 Adopted with Additional Requirements or Not Adopted. The Commission adopts to adopt the two NFPA standards to establish requirements for Texas CNG licensees and consumers consistent with most other states in the United States. Because NFPA 52 and 55 have been adopted in whole or in part by many states, the Texas CNG industry would benefit from their adoption because Texas companies would be held to the same standards.

The Commission received one comment on the proposal from CenterPoint Energy Resources generally supporting the proposal. CenterPoint suggested a clarification in the wording of §13.36 to change the word "event" to "incident or accident." The Commission agrees and has adopted that rule with this change.

The Commission also adopts two nonsubstantive clarifying changes in §13.25(b)(1)(D) and (5)(B).

The Commission adopts the amendments, new rules, and repeals to update and clarify the Commission's CNG rules. The main purpose of the rulemaking is to adopt by reference NFPA 52 and 55 in the new rules in Subchapters G and H. In addition to the new rules, the Commission adopts amendments to certain rules to incorporate or update references to sections in the NFPA standards, as well as other nonsubstantive clarifications. Rules adopted with these types of amendments include §§13.3, 13.4, 13.23, 13.25, 13.36, 13.37, 13.61, and 13.70.

Several rules are repealed; with the adoption by reference of NFPA 52 and 55, these rules are no longer necessary. Repealed rules include §§13.2, 13.26 - 13.33, 13.68, 13.92, 13.94 - 13.105, 13.132, 13.134 - 13.141, 13.182, 13.184 - 13.186, 13.188, 13.189, and 13.191 - 13.194.

Other rules with adopted amendments to add references to NFPA sections and make other clarifying changes include §§13.22, 13.34, 13.35, 13.38, 13.40, 13.93, 13.107, 13.133, 13.143, 13.183, 13.187, and 13.190.

The second purpose for the amendments, new rules, and repeals is to implement changes from the 86th Legislative Session. House Bill 2127 removed the requirement that manufacturers of CNG containers obtain a license from the Commission and instead requires registration with the Commission. Adopted changes to reflect this statutory change are found in §§13.3, 13.15, 13.61 - 13.63, 13.67, 13.70, 13.71, and 13.75. Operators will be required to comply with changes directly related to manufacturer registrations beginning February 15, 2021, the effective date of the amendments.

These rules also include nonsubstantive amendments to clarify existing language, correct outdated language such as incorrect division and department names, update references to other Commission rules, and ensure language throughout Chapter 13, and throughout the Commission's alternative fuels regulations, is consistent. Clarifying changes include amendments to improve readability such as removing repetitive language, adding internal cross references, and including language from a referenced section (e.g., a fee amount) to give the reader better access to applicable requirements.

Adopted amendments in §13.1 clarify that the requirements of Chapter 13 apply to the operation of CNG compression and dispensing systems in addition to their design and installation. Subsections (b) and (c) are moved from §13.21, and subsection (d) is moved from §13.2, which is repealed.

Adopted amendments to §13.3 remove definitions of terms that no longer appear in Chapter 13 or are only used within one section and, therefore, do not need to be defined. The amendments add definitions of "certificate holder," "certified," "licensed," "licensee," "operations supervisor," "registered manufacturer," "rules examination," "trainee," and "transfer system" as those terms are now used throughout the chapter. The amendments also clarify several existing definitions.

Adopted amendments in §13.4 remove the list of official forms from the rule language to ensure consistency with other chapters. All Commission forms are now located on the Commission's website. The amendments also specify the form amendment and adoption process, which is consistent with forms referenced in other Commission chapters.

New §13.23, relating to Installation and Maintenance, is added to ensure consistency among the Commission's alternative fuels regulations. It requires all CNG containers, valves, dispensers, accessories, piping, transfer equipment, and gas utilization equipment to be installed and maintained in safe working order according to the manufacturer's instructions and the rules in Chapter 13.

Adopted amendments in §13.24, in addition to general updates and clarifications, clarify existing filing requirements for registering a CNG transport.

In addition to incorporating NFPA requirements, amendments to §13.25 make minor updates for clarity and change requirements to ensure consistency among the Commission's alternative fuels regulations. The amendments also reorganize the rule; several subsections are moved within §13.25 and subsection (l) was removed and relocated to §13.37.

New §13.26 specifies the process for notice of, objections to, and hearings on proposed stationary installations. The Commission's other alternative fuels regulations contain this process and it is added here for consistency.

Adopted amendments to §13.36 clarify existing requirements and include a change from the proposal as suggested by CenterPoint and discussed above.

Adopted amendments in §13.61 include changes to implement the registration requirement from House Bill 2127. "Manufacturer registration" is included alongside references to applications for license and exemptions, and the license categories are updated to include licenses currently offered by the Commission, including Categories 1A and 1B. New subsection (k) requires a new form, CNG Form 1001M, and specifies that a container manufacturer registration authorizes the manufacture, assembly, repair, testing and sale of CNG containers. The original registration fee is $1,000; the renewal fee is $600. Other wording generally clarifies license requirements and reflects the adoption of NFPA 52 and 55.

Adopted amendments to §13.67 specify the requirements for any changes in ownership, form of dealership, or name of dealership. The new rule incorporates existing procedures and reflects the process from the corresponding rule in Chapter 9 of this title.

Adopted amendments to §13.69 clarify requirements for registration and transfer of CNG cargo tanks or delivery units and conform the rule to similar provisions in Chapter 9 of this title.

Adopted amendments in §13.70 include requirements for individuals who perform work, directly supervise CNG activities, or are employed in any capacity requiring contact with CNG, in addition to certain NFPA-related amendments previously discussed. The amendments also ensure "certificate" and "certificate holder" are used throughout instead of using "certificate," "certificate holder," "certified," and "certification" inconsistently. Adopted wording clarifies requirements for certificate renewal and steps to renew a lapsed certificate. Other new wording specifies that an individual who passes the applicable examination with a score of at least 75% will become a certificate holder, clarifies where and when examinations are available, and states what an examinee must bring to the exam site. Further, the wording incorporates the examinations and their descriptions, which were previously included in a table, and clarifies the process for obtaining a management-level certificate.

Adopted amendments in §13.72 clarify filing requirements for company representatives, operations supervisors, and outlets, in addition to NFPA-related amendments previously discussed. The amendments specify the requirements for designating company representatives and operations supervisors, and change wording from "termination" to "conclusion of employment" to better communicate AFS's intent for when a licensee must notify AFS of a company representative's or operations supervisor's departure.

Amendments adopted in §13.73 update the process for licensees who hire certificate holders, including allowing notification to the Commission to include only the last four digits of the employee's Social Security Number.

Amendments adopted in §13.93 include updates due to NFPA changes and also require uprights, braces, and cornerposts to be anchored in concrete a minimum of 12 inches below the ground. This change ensures consistency among the Commission's alternative fuels regulations.

Adopted amendments in §13.107 include updates due to NFPA changes and also add language previously found in other sections of the chapter. New language in subsection (b) was moved from subsection (d) of §13.93 (relating to System Protection Requirements) and new language in subsection (d) of §13.107 was moved from §13.104(i) (relating to Operation).

Adopted amendments in §13.142 remove specific requirements related to damaged supply lines and pressure relief devices and add a provision requiring removal of a vehicle from CNG service if any component is not in safe working order.

Other adopted amendments are nonsubstantive clarifications or updates such as correcting Commission department or division names, reorganization of the rule text, or other similar revisions. These types of amendments are adopted in §§13.21, 13.39, 13.64, 13.71, 13.73, 13.80, and 13.106.

SUBCHAPTER A. SCOPE AND DEFINITIONS

16 TAC §§13.1, 13.3, 13.4, 13.15

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100339

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §13.2

The Commission adopts the repeal under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100338

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER B. GENERAL RULES FOR COMPRESSED NATURAL GAS (CNG) EQUIPMENT QUALIFICATIONS

16 TAC §§13.21 - 13.26, 13.34 - 13.40

The Commission adopts the amendments and new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

§13.25.Filings Required for Stationary CNG Installations.

(a) General requirements. In addition to NFPA 52 §7.3.1, and NFPA 55 §4.1, no CNG container shall be placed into CNG service or an installation operated or used in CNG service until the requirements of this section, as applicable, are met and the facility is in compliance with the rules in this chapter and all applicable statutes, in addition to any applicable requirements of the municipality or the county where an installation is or will be located.

(b) Installations with an aggregate storage capacity of 84,500 standard cubic feet or more. The storage capacity of each container is based on the container's operating pressure.

(1) For installations with an aggregate storage capacity of 84,500 standard cubic feet or more, the licensee shall submit the following information to AFS at least 30 days prior to construction:

(A) CNG Form 1500;

(B) CNG Form 1500A 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 CNG containers and compression and dispensing equipment already on site or proposed to be on site;

(ii) the distances from the containers, compression equipment, dispensing equipment, and material handling equipment to property lines, buildings on the same property, any electric transmission lines, and railroads. If the area where the container and/or compression equipment will be installed is a leased area or utility easement, the site plan shall indicate the boundaries of the leased area or utility easement, regardless of the size of the property in which the lease or easement lies;

(iii) any known potential hazards;

(iv) the location of CNG dispensers and their distance from any proposed container (the nearest container if more than one), property lines, buildings on the same property, roadways, and railroad track centerlines;

(v) the location of the nearest public sidewalk, highway, street, or road and its distance to containers and equipment;

(vi) the location of all sources of ignition;

(vii) the location of other types of aboveground fuel containers, the type of fuel stored, and the distance to CNG containers and dispensing equipment; and

(viii) the location of other types of fuel dispensers, the type of fuel dispensed, and the distance to CNG containers and dispensing equipment;

(E) a nonrefundable fee of $50 for the initial application, or a nonrefundable fee of $30 for a resubmission; and

(F) if the facility is accessed by cargo tanks from a public highway under the jurisdiction of the Texas Department of Transportation, a statement or permit from the Texas Department of Transportation showing that the driveway is of proper design and construction to allow safe entry and egress of the CNG cargo tanks.

(2) Printed copies of site plans with a legend must be printed to the correct size for the legend or distance provided.

(3) Prior to the installation of any individual CNG container, AFS shall determine whether the proposed installation constitutes a danger to the public health, safety, and welfare. 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. The applicant shall provide additional information if requested by AFS. AFS may impose restrictions or conditions on the proposed CNG installation based on one or more of the following factors:

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

(B) nature of use of property located within 500 feet of the CNG installation;

(C) type of activities on the installation's premises;

(D) potential sources of ignition that might affect a CNG leak;

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

(F) any known potential hazards or other factors material to the public health, safety, and welfare.

(4) AFS shall notify the applicant in writing outlining its findings.

(A) When AFS notifies an applicant of an incomplete CNG Form 1500 or CNG Form 1500A, the applicant has 120 calendar days from the date of the notification letter to resubmit the corrected application or the application will expire. After 120 days, the applicant shall file a new application to reactivate AFS review of the proposed installation.

(B) The applicant may request in writing an extension of the 120-day time period. The request shall be postmarked or physically delivered to AFS before the expiration date. AFS may extend the application period for up to an additional 90 days.

(5) If the application is administratively denied:

(A) AFS shall specify the deficiencies in the written notice required in paragraph (3) of this subsection.

(B) To proceed with the application, the applicant shall modify the submission and resubmit it for approval or request a hearing on the matter in accordance with Chapter 1 of this title (relating to Practice and Procedure). If the Commission finds after a public hearing that the proposed installation complies with the rules in this chapter and the statutes of the State of Texas, and does not constitute a danger to the public health, safety, and welfare, the Commission shall issue an interim approval order. The construction of the installation and the setting of the container shall not proceed until the applicant has received written notification of the interim approval order. Any interim approval order shall include a provision that such approval may be suspended or revoked if:

(i) the applicant has introduced CNG into the system prior to final approval;

(ii) a physical inspection of the installation indicates that it is not installed in compliance with the submitted plat drawing for the installation, the rules in this chapter, or the statutes of the State of Texas; or

(iii) the installation constitutes a danger to the public health, safety, and welfare.

(6) The licensee shall not commence construction until notice of approval is received from AFS.

(A) If the subject installation is not completed within one year from the date AFS has granted construction approval, the application will expire.

(B) Prior to the date of expiration, the applicant may request in writing an extension of time of up to 90 days to complete the installation.

(C) If the applicant fails to request an extension of time within the time period prescribed in this paragraph, the applicant shall submit a new application before the installation can be completed.

(7) The applicant shall submit to AFS written notice of completed construction and the Commission shall complete the field inspection as specified in subsection (e) of this section. After the Commission has completed the inspection, the operator, pending the inspection findings, may commence CNG activities at the facility.

(8) A licensee shall not be required to submit CNG Form 1500, CNG Form 1500A, or a site plan prior to the installation of dispensers, equipment, piping, or when maintenance and improvements are being made at an existing CNG installation.

(9) If a licensee is replacing a container with a container of the same or less overall diameter and length or height, and is installing the replacement container in the identical location of the existing container, the licensee shall file CNG Form 1500.

(10) AFS may request CNG Form 1008, a Manufacturer's Data Report, or any other documentation or information pertinent to the installation in order to determine compliance with the rules in this chapter.

(11) For an installation that is a licensee outlet, the licensee shall submit CNG Form 1001A within 30 days of installation, in accordance with §13.61(j) of this title (relating to License Categories, Container Manufacturer Registration, Fees, and Application for Licenses, Manufacturer Registrations, and Renewals).

(c) Commercial installations with an aggregate storage capacity of less than 240 standard cubic feet water volume. The storage capacity of each container is based on the container's operating pressure.

(1) Within 10 calendar days following the completion of a commercial container installation, the licensee shall submit CNG Form 1501 to AFS stating:

(A) the installation fully complies with the statutes and the rules in this chapter;

(B) all necessary Commission licenses, certificates, and permits have been issued; and

(C) the date the installation has been placed into CNG service.

(2) The licensee shall pay a nonrefundable fee of $10 for each container, cascade, and compressor listed on the form. One fee is required for each cascade regardless of the number of cylinders in the cascade.

(A) AFS shall review the submitted information and shall notify the applicant in writing of any deficiencies.

(B) A nonrefundable fee of $20 shall be required for any resubmission.

(3) CNG activities may commence prior to the submission of CNG Form 1501 if the facility is in compliance with the rules in this chapter.

(d) Physical inspection of stationary installations.

(1) Aggregate storage capacity of 240 standard cubic feet water volume or more. The applicant shall notify AFS in writing when the installation is ready for inspection.

(A) If any non-compliance items are cited at the time of AFS' initial inspection, the installation shall not be placed into CNG service until the non-compliance items are corrected, as determined at the time of inspection, depending on the nature of the non-compliance items cited.

(B) If AFS does not physically inspect the facility within 30 calendar days of receipt of notice that the facility is ready for inspection, the facility may operate conditionally until the initial inspection is completed.

(2) Aggregate storage capacity of less than 240 standard cubic feet water volume. After receipt of CNG Form 1501, AFS shall conduct an inspection as soon as possible to verify the installation described complies with the rules in this chapter. The facility may be operated prior to inspection if the facility fully complies with the rules in this chapter. If the initial inspection at a commercial installation results in the citation of non-compliance items, AFS may require that the subject container, including any piping, appliances, appurtenances, or equipment connected to it be immediately removed from CNG service until the applicant corrects the non-compliance items.

(3) Material variances. If AFS determines the completed installation varies materially from the application originally accepted, correction of the variance and notification to AFS or resubmittal of the application is required. AFS' review of such resubmitted application shall comply with subsection (b)(3) of this section.

(4) In the event an applicant has requested an inspection and AFS' inspection identifies non-compliance items requiring modifications by the applicant, AFS may assess an inspection fee to cover the costs associated with any additional inspection, including mileage and per diem rates set by the legislature.

§13.36.Report of CNG Incident/Accident.

(a) At the earliest practical moment or within two hours following discovery, a licensee owning, operating, or servicing equipment or an installation shall notify AFS by telephone of any incident or accident involving CNG which:

(1) caused a death or personal injury requiring hospitalization;

(2) required taking an operating facility out of service;

(3) resulted in unintentional gas ignition requiring emergency response;

(4) meets the requirements of subsection (c) of this section;

(5) caused an estimated damage to the property of the operator, others or both totaling $50,000 or more, including gas loss;

(6) involves a single release of CNG during or following CNG transfer or during container transportation. Any loss of CNG which is less than 1.0% of the gross amount delivered, stored, or withdrawn need not be reported. However, any loss occurring as a result of a pullaway shall be reported;

(7) could reasonably be judged as significant because of rerouting of traffic, evacuation of buildings, or media interest, even though it does not meet paragraphs (1) - (6) of this subsection; or

(8) is required to be reported to any other state or federal agency (such as the Texas Department of Public Safety or the United States Department of Transportation).

(b) The telephonic notice required by this section shall be made to the Railroad Commission's 24‑hour emergency line at (512) 463‑6788 or (844) 773-0305 and shall include the following:

(1) date and time of the incident;

(2) name of reporting operator;

(3) phone number of operator;

(4) location of leak or incident;

(5) personal injuries and/or fatalities;

(6) whether fire, explosion, or gas leak has occurred;

(7) status of gas leak or other immediate hazards;

(8) other significant facts relevant to the incident; and

(9) whether immediate assistance from AFS is requested.

(c) Any transport unit required to be registered with AFS in accordance with §13.69 of this title (relating to Registration and Transfer of CNG Cargo Tanks and Delivery Units) which is involved in an accident where there is damage to the tank, piping or appurtenances, or any release of CNG resulting from an accident shall be reported to AFS in accordance with this section regardless of the accident location. Any CNG powered motor vehicle used for school transportation or mass transit including any state owned vehicle which is involved in an accident resulting in a substantial release of CNG or damage to the CNG conversion equipment shall be reported to AFS in accordance with this section regardless of accident location.

(d) Following the initial telephone report, the licensee who made the telephonic report shall submit CNG Form 1020 to AFS. The form shall be postmarked within 14 calendar days of the date of initial notification to AFS, or within five business days of receipt of the fire department report, whichever occurs first, unless AFS grants authorization for a longer period of time when additional investigation or information is necessary.

(e) Within five business days of receipt, AFS shall review CNG Form 1020 and notify in writing the person submitting CNG Form 1020 if the report is incomplete and specify in detail what information is lacking or needed. Incomplete reports may delay the resumption of CNG activities at the involved location.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100341

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§13.26 - 13.33

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100340

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER C. CLASSIFICATION, REGISTRATION, AND EXAMINATION

16 TAC §§13.61 - 13.64, 13.67, 13.69 - 13.73, 13.75, 13.80

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100351

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §13.65, §13.68

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100342

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER D. CNG COMPRESSION, STORAGE, AND DISPENSING SYSTEMS

16 TAC §§13.92, 13.94 - 13.105

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100343

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§13.93, 13.106, 13.107

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100344

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER E. ENGINE FUEL SYSTEMS

16 TAC §§13.132, 13.134 - 13.141

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100345

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§13.133, 13.142, 13.143

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100346

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER F. RESIDENTIAL FUELING FACILITIES

16 TAC §§13.182, 13.184 - 13.186, 13.188, 13.189, 13.191 - 13.194

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100347

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§13.183, 13.187, 13.190

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100348

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER G. ADOPTION BY REFERENCE OF NFPA 52 (VEHICULAR GASEOUS FUEL SYSTEMS CODE)

16 TAC §§13.201 - 13.203

The Commission adopts the new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100349

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER H. ADOPTION BY REFERENCE OF NFPA 55 (COMPRESSED GASES AND CRYOGENIC FLUIDS CODE)

16 TAC §§13.301 - 13.303

The Commission adopts the new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to adopt rules and standards relating to compressed natural gas activities to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the Commission in accordance with rules adopted by the Commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100350

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


CHAPTER 14. REGULATIONS FOR LIQUEFIED NATURAL GAS (LNG)

The Railroad Commission of Texas (Commission) adopts amendments, new rules, and repeals in 16 TAC Chapter 14. Sections 14.2040 and 14.2049 are adopted with changes. The rules will be republished. The remaining sections are adopted without changes from the proposed text as published in the November 6, 2020, issue of the Texas Register (45 TexReg 7881). The rules will not be republished. In Subchapter A, General Applicability and Requirements, the Commission adopts amendments to §14.2004, Applicability, Severability, and Retroactivity; §14.2007, Definitions; §14.2010, LNG Forms; and §14.2013, License Categories, Container Manufacturer Registration, Fees, and Application for Licenses, Manufacturer Registrations, and Renewals; the repeal of §14.2014, Military Fee Exemption; new §14.2014, Application for License or Manufacturer Registration (New and Renewal); the repeal of §14.2015, Penalty Guidelines for LNG Safety Violations; new §14.2015, Military Fee Exemption; the repeal of §14.2016, Licensing Requirements; new §14.2016, Penalty Guidelines and Enforcement; amendments to §14.2019, Examination Requirements and Renewals; §14.2020, Employee Transfers; and §14.2021, Requests for LNG Classes; the repeal of §14.2022, Denial, Suspension, or Revocation of Licenses or Certifications, and Hearing Procedure; amendments to §14.2025, Designation and Responsibilities of Company Representatives and Operations Supervisors; and §14.2028, Franchise Tax Certification and Assumed Name Certificates; new §14.2029, Changes in Ownership, Form of Dealership, or Name of Dealership; amendments to §14.2031, Insurance Requirements; and §14.2034, Self-Insurance Requirements; the repeal of §14.2037, Components of LNG Stationary Installations Not Specifically Covered; amendments to §14.2040, Filings Required for Stationary LNG Installations; new §14.2041, Notice of, Objections to, and Hearings on Proposed Stationary LNG Installations; and new §14.2042, Physical Inspection of Stationary Installations; amendments to §14.2043, Temporary Installations; §14.2046, School Bus, Public Transportation, Mass Transit, and Special Transit Vehicle Installations and Inspections; §14.2049, Report of LNG Incident/Accident; and.§14.2052, Application for an Exception to a Safety Rule.

In Subchapter B, General Rules for All Stationary LNG Installations, the Commission adopts amendments to §14.2101, System Protection Requirements; new §14.2102. Installation and Maintenance; amendments to §14.2104, Testing of Containers; the repeal of §14.2107, Stationary LNG Storage Containers; amendments to §14.2110, LNG Container Installation Distance Requirements; the repeal of §14.2113, Maintenance Tanks; amendments to §14.2116, Venting of LNG; §14.2119, Transport Vehicle Loading and Unloading Facilities and Procedures; §14.2122, Pumps and Compressors Used for LNG and Refrigerants; and §14.2125, Hoses and Arms; the repeal of §14.2128, Communications and Lighting; amendments to §14.2131, Fire Protection; the repeal of §14.2134, Container Purging Procedures; amendments to §14.2137, Employee Safety and Training; and the repeal of §14.2140, Inspection and Maintenance.

In Subchapter D, General Rules for LNG Fueling Facilities, the Commission adopts amendments to §14.2304, General Facility Design; the repeal of §14.2307, Indoor Fueling; amendments to §14.2310, Emergency Refueling; and §14.2313, Fuel Dispensing Systems; new §14.2314, Removal from LNG Service; the repeal of §14.2316, Filings Required for Installation of Fuel Dispensers; amendments to §14.2319, Automatic Fuel Dispenser Safety Requirements; the repeal of §14.2322, Protection of Automatic and Other Dispensers; §14.2325, LNG Transport Unloading at Fueling Facilities; and §14.2328, Training, Written Instructions, and Procedures Required.

In Subchapter E, Piping Systems and Components for All Stationary LNG Installations, the repeal of §14.2404, Piping Materials; §14.2407, Fittings Used in Piping; §14.2410, Valves; and §14.2413, Installation of Piping; amendments to §14.2416, Installation of Valves; the repeal of §14.2419, Welding at Piping Installations; §14.2422, Pipe Marking and Identification; §14.2425, Pipe Supports; §14.2428, Inspection and Testing of Piping; §14.2431, Welded Pipe Tests; §14.2434, Purging of Piping Systems; §14.2437, Pressure and Relief Valves in Piping; and §14.2440, Corrosion Control.

In Subchapter F, Instrumentation and Electrical Services, the Commission adopts the repeal of all rules in the subchapter, including §14.2501, Liquid Level Gauging; §14.2504, Pressure Gauges; §14.2507, Vacuum Gauges; §14.2510, Emergency Failsafe; §14.2513, Electrical Equipment; and §14.2516, Electrical Grounding and Bonding.

In Subchapter G, Engine Fuel Systems, the Commission adopts amendments to §14.2604, System Component Qualification, the repeal of §14.2607, Vehicle Fuel Containers; amendments to §14.2610, Installation of Vehicle Fuel Containers; the repeal of §14.2613, Engine Fuel Delivery Equipment; and §14.2616, Installation of Venting Systems and Monitoring Sensors; amendments to §14.2619, Installation of Piping; the repeal of §14.2622, Installation of Valves; amendments to §14.2625, Installation of Pressure Gauges; the repeal of §14.2628, Installation of Pressure Regulators; and §14.2631, Wiring; amendments to §14.2634, Vehicle Fueling Connection; §14.2637, Signs and Labeling; and §14.2640, System Testing.

In Subchapter H, LNG Transports, the Commission adopts amendments to §14.2701, DOT Requirements; §14.2704, Registration and Transfer of LNG Transports; §14.2705, Replacement Decals; §14.2707, Testing Requirements; §14.2710, Markings; §14.2737, Parking of LNG Transports and Container Delivery Units, and Use of Chock Blocks; and §14.2746, Delivery of Inspection Report to Licensee; and the repeal of §14.2749, Issuance of LNG Form 2004 Decal.

The Commission adopts new Subchapter I, Adoption by Reference of NFPA 52 (Vehicular Gaseous Fuel Systems Code) to include new §14.2801, Adoption by Reference of NFPA 52; §14.2802, Clarification of Certain Terms Used in NFPA 52; and §14.2803, Sections in NFPA 52 Adopted with Additional Requirements or Not Adopted.

The Commission adopts new Subchapter J, Adoption by Reference of NFPA 59A (Standard for the Production, Storage, and Handling of Liquefied Natural Gas (LNG)) to include new §14.2901, Adoption by Reference of NFPA 59A; §14.2902, Clarification of Certain Terms Used in NFPA 59A; and §14.2903, Sections in NFPA 59A Adopted with Additional Requirements or Not Adopted. The Commission adopts to adopt the two NFPA standards to establish requirements for Texas LNG licensees and consumers consistent with most other states in the United States. Because NFPA 52 and 59A have been adopted in whole or in part by many states, the Texas LNG industry would benefit from their adoption because Texas companies would be held to the same standards.

The Commission received one comment on the proposal from CenterPoint Energy Resources generally supporting the proposal. CenterPoint suggested a clarification in the wording of §14.2049 to change the word "event" to "incident or accident." The Commission agrees and has adopted that rule with this change.

The Commission also adopts nonsubstantive clarifying changes in §14.2040(c)(1)(D) and (6)(B).

The Commission adopts the amendments, new rules, and repeals to update and clarify the Commission's LNG rules. The main purpose of the rulemaking is to adopt by reference NFPA 52 and 59A in the new rules in Subchapters I and J. In addition, the Commission adopts amendments to certain rules to incorporate or update references to sections in the NFPA standards, as well as other nonsubstantive clarifications. Rules adopted with these types of amendments include §§14.2019, 14.2025, 14.2052, 14.2101, 14.2110, 14.2116, 14.2119, 14.2122, 14.2125, 14.2131, 14.2304, 14.2313, 14.2319, 14.2416, 14.2604, 14.2610, 14.2619, 14.2625, 14.2634, 14.2637, and 14.2640.

Several rules are repealed; with the adoption by reference of NFPA 52 and 59A, these rules are no longer necessary. Rules that are repealed include §§14.2037, 14.2107, 14.2113, 14.2128, 14.2134, 14.2140, 14.2307, 14.2316, 14.2322, 14.2325, 14.2328, 14.2404, 14.2407, 14.2410, 14.2413, 14.2419, 14.2422, 14.2425, 14.2428, 14.2431, 14.2434, 14.2437, 14.2440, 14.2501, 14.2504, 14.2507, 14.2510, 14.2513, 14.2516, 14.2607, 14.2613, 14.2616, 14.2622, 14.2628, 14.2631, 14.2643, and 14.2749.

The second purpose for the amendments, new rules, and repeals is to implement changes from the 86th Legislative Session. House Bill 2127 removed the requirement that manufacturers of LNG containers obtain a license from the Commission and instead requires registration with the Commission. Changes to reflect this statutory change are found in §§14.2007, 14.2013, 14.2014, 14.2016, 14.2028, new 14.2029, and 14.2031. Operators will be required to comply with changes directly related to manufacturer registrations beginning February 15, 2021, the effective date of the amendments.

These rules also include nonsubstantive amendments to clarify existing language, correct outdated language such as incorrect division and department names, update references to other Commission rules, and ensure language within Chapter 14, and throughout the Commission's alternative fuels regulations, is consistent. Clarifying changes include amendments to improve readability such as removing repetitive language, adding internal cross references, and including language from a referenced section (e.g., a fee amount) to give the reader better access to applicable requirements.

Adopted amendments to §14.2007 remove definitions of terms that no longer appear in Chapter 14 or are only used within one section and, therefore, do not need to be defined. The amendments add definitions of "certificate holder," "pullaway," "registered manufacturer," and "rule examination," as those terms are now used throughout the chapter. The amendments also clarify several existing definitions.

Amendments in §14.2010 remove the list of official forms from the rule language to ensure consistency with other chapters. All Commission forms are now located on the Commission's website. The amendments also specify the form amendment and adoption process.

Amendments in §14.2013 include changes to implement the registration requirement from House Bill 2127.

New §14.2014 contains language moved from current §14.2016. New language includes subsection (h), which implements House Bill 2127 by requiring a new form, LNG Form 2001M, and specifying that a container manufacturer registration authorizes the manufacture, assembly, repair, testing and sale of LNG containers. The original registration fee is $1,000; the renewal fee is $600. Other adopted wording generally clarifies license requirements and reflects the adoption of NFPA 52 and 59A.

Current §14.2014 is repealed and the text is adopted as new §14.2015 with no changes other than the rule number.

Current §14.2015 is repealed and most of its text moved to §14.2016. The tables in §14.2016(a)(5) and (a)(11) include some changes from the existing tables in §14.2015. Most of these changes are made to reference container manufacturer requirements and penalty amounts, as well as the adoption of the NFPA documents. The remaining three tables moving from §14.2015 to new §14.2016 have no changes other than the Figure heading indicating the rule number.

New §14.2016(b) is moved from current §14.2022, which is repealed. New subsection (b) also incorporates references to registered manufacturers.

Adopted amendments in §14.2019 include requirements for individuals who perform work, directly supervise LNG activities, or are employed in any capacity requiring contact with LNG, in addition to certain NFPA-related amendments previously discussed. The amendments also ensure "certificate" and "certificate holder" are used throughout instead of using "certificate," "certificate holder," "certified," and "certification" inconsistently. Adopted wording clarifies requirements for certificate renewal and steps to renew a lapsed certificate. New wording specifies that an individual who passes the applicable examination with a score of at least 75% will become a certificate holder and clarifies where and when examinations are available and what an examinee must bring to the exam site. Further, the wording incorporates the examinations and their descriptions, which were previously included in a table, and clarifies the process for obtaining a management-level certificate. The examinations were previously listed in Figure 14.2019(a)(3) and are now adopted in §14.2019(c).

Amendments adopted in §14.2020 update the process for licensees who hire certificate holders, including allowing notification to the Commission to include only the last four digits of the employee's Social Security Number.

Adopted amendments in §14.2025 clarify filing requirements for company representatives, operations supervisors, and outlets, in addition to NFPA-related amendments previously discussed. The amendments specify the requirements for designating company representatives and operations supervisors, and change wording from "termination" to "conclusion of employment" to better communicate AFS's intent for when a licensee must notify AFS of a company representative's or operations supervisor's departure.

New §14.2029 specifies the requirements for any changes in ownership, form of dealership, or name of dealership. The new rule incorporates existing procedures and reflects the process from the corresponding rule in Chapter 9 of this title (relating to LP-Gas Safety Rules).

Amendments adopted in §14.2031 incorporate insurance requirements for registered manufacturers.

Amendments to §14.2040 remove language related to local requirements to ensure consistency among the Commission's alternative fuels regulations. Amendments reorganize the rule, make minor updates for clarity, and change requirements to ensure consistency among the Commission's alternative fuels regulations.

Existing §14.2040 (c) through (m) are deleted from §14.2040 and moved to new §§14.2041 and 14.2042 for better organization of the subject matter. Adopted wording in §14.2042 incorporates new terminology used by AFS such that a "safety rule violation" is now called a "non-compliance item."

Adopted amendments in §14.2046, in addition to general updates and clarifications, clarify existing filing requirements for registering an LNG transport.

Amendments to §14.2049 clarify existing requirements and include a change from the proposal as suggested by CenterPoint and discussed above.

Amendments in §14.2101 include updates due to NFPA changes, and require uprights, braces, and cornerposts to be anchored in concrete a minimum of 12 inches below the ground. This provision is added to ensure consistency among the Commission's alternative fuels regulations.

Amendments in new §14.2102 and §14.2314 ensure the rules match current Commission procedure as well as the corresponding rules in Chapter 9.

Amendments in §14.2704 clarify requirements for registration and transfer of LNG cargo tanks or delivery units and conform the rule to similar provisions in Chapters 9 and 13 of this title.

Amendments in §14.2710 clarify the requirements for markings on LNG transports. New language adopted in subsection (b) requires certain types of public transportation vehicles to mark the location of the manual shutoff valve.

Other amendments are nonsubstantive clarifications or updates such as correcting Commission department or division names, reorganization of the rule text, or other similar revisions. These types of amendments are adopted in §§14.2004, 14.2021, 14.2034, 14.2043, 14.2104, 14.2137, 14.2310, 14.2701, 14.2704, 14.2705, 14.2707, 14.2710, 14.2737, and 14.2746.

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

SUBCHAPTER A. GENERAL APPLICABILITY AND REQUIREMENTS

16 TAC §§14.2004, 14.2007, 14.2010, 14.2013 - 14.2016, 14.2019 - 14.2021, 14.2025, 14.2028, 14.2029, 14.2031, 14.2034, 14.2040 - 14.2043, 14.2046, 14.2049, 14.2052

The Commission adopts the amendments and new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

§14.2040.Filings Required for Stationary LNG Installations.

(a) General requirements. No LNG container shall be placed into LNG service or an installation operated or used in LNG service until the requirements of this section, as applicable, are met and the facility is in compliance with all applicable rules in this chapter and statutes. LNG systems under the jurisdiction of DOT Safety regulations in 49 CFR Part 193 shall comply with Chapter 8 of this title (relating to Pipeline Safety Regulations) prior to implementation of service.

(b) Commercial installations with an aggregate water capacity of less than 15,540 gallons.

(1) Within 10 calendar days following the completion of a commercial container installation, the licensee shall submit LNG Form 2501 to AFS stating:

(A) the installation fully complies with the statutes and the rules in this chapter;

(B) all necessary Commission licenses, certificates, and permits have been issued; and

(C) the date the installation has been placed into LNG service.

(2) The licensee shall pay a nonrefundable fee of $10 for each LNG container listed on the form.

(A) AFS shall review the submitted information and shall notify the applicant in writing of any deficiencies.

(B) A nonrefundable $20 fee shall be required for any resubmission.

(3) LNG activities may commence prior to the submission of LNG Form 2501 if the facility is in compliance with the rules in this chapter.

(c) Aggregate water capacity of 15,540 gallons or more.

(1) For stationary installations with an aggregate water capacity of 15,540 gallons or more, the licensee shall submit the following information to AFS at least 30 days prior to construction:

(A) LNG Form 2500;

(B) LNG Form 2500A 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) fire protection which complies with §14.2131 of this title (relating to Fire Protection);

(ii) the location, types, and size of all LNG containers already on site or proposed to be on site,

(iii) the distances from the container(s) to property lines and buildings;

(iv) the location of LNG dispensers and their distance from the proposed container (the nearest container if more than one), property lines, buildings on the same property, roadways, driveways, and railroad track centerlines;

(v) any known potential hazards;

(vi) the location of any sources of ignition;

(vii) the location of other types of aboveground fuel containers, the type of fuel stored, and the distance to LNG containers and dispensing equipment;

(viii) the location of other types of fuel dispensers, the type of fuel dispensed, and the distance to LNG containers and dispensing equipment;

(E) a non-refundable fee of $50 for the initial application or a nonrefundable fee of $30 for any resubmission; and

(F) if the facility is accessed by cargo tanks from a public highway under the jurisdiction of the Texas Department of Transportation, a statement or permit from the Texas Department of Transportation showing that the driveway is of proper design and construction to allow safe entry and egress of the LNG cargo tanks.

(2) Site plans shall include a scale or legend indicating the distances or measurements described and printed copies of plans with a legend must be printed to the correct size for the legend or distance provided.

(3) Plans and specifications submitted under paragraph (1)(D) of this subsection shall be sealed by a registered professional engineer licensed and in good standing to practice in the State of Texas and who is qualified in the area of the design and construction of LNG facilities.

(4) If the applicant modifies the plans and specifications before tentative or interim approval is granted by AFS or the Commission, respectively, the plans and specifications shall be resealed by a registered professional engineer licensed to practice in the State of Texas and resubmitted to AFS.

(5) Prior to the installation of any individual LNG container, AFS shall determine whether the proposed installation constitutes a danger to the public health, safety, and welfare. The applicant shall provide additional information if requested by AFS.

(A) AFS may impose restrictions or conditions on the proposed LNG 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 LNG installation;

(iii) type of activities on the installation's premises;

(iv) potential sources of ignition that might affect an LNG leak;

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

(vi) any known potential hazards or 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.

(6) AFS shall notify the applicant as follows:

(A) If AFS administratively approves the installation, AFS shall notify the applicant in writing within 21 business days.

(B) If the application is administratively denied:

(i) AFS shall notify the applicant in writing, specifying the deficiencies, within 21 business days.

(ii) To proceed with the application, the applicant shall modify the submission and resubmit it for approval or request a hearing on the matter in accordance with Chapter 1 of this title (relating to Practice and Procedure). The subject of the submission shall not be operated or used in LNG service in this state until approved by the Commission following a hearing.

(iii) When AFS notifies an applicant of an incomplete LNG Form 2500 or LNG Form 2500A, the applicant has 120 calendar days from the date of the notification letter to resubmit the corrected application or the application will expire. After 120 days, the applicant shall file a new application to reactivate AFS review of the proposed installation.

(iv) The applicant may request in writing an extension of the 120-day time period. The request shall be postmarked or physically delivered to AFS before the expiration date. AFS may extend the application period for up to an additional 90 days.

(7) The licensee shall not commence construction until notice of approval is received from AFS.

(A) If the subject installation is not completed within one year from the date AFS has granted construction approval, the application will expire.

(B) Prior to the date of expiration, the applicant may request in writing an extension of time of up to 90 days to complete the installation.

(C) If the applicant fails to request an extension of time within the time period prescribed in this paragraph, the applicant will be required to submit a new application before the installation can be completed.

(8) The applicant shall submit to AFS written notice of completed construction and the Commission shall complete the field inspection as specified in §14.2042 of this title (relating to Physical Inspection of Stationary Installations).

(9) The container may be placed into service after AFS has completed the inspection and determines the installation meets all safety requirements.

(10) The proposed installation shall not be operated or used in LNG service until approved by AFS.

(11) A licensee shall not be required to submit LNG Form 2500, LNG Form 2500A, or a site plan prior to the installation of pull-away devices, or emergency shutoff valves (ESV's), or when maintenance and improvements are being made to the piping system at an existing LNG installation.

(12) If a licensee is replacing a container with a container of the same or less overall diameter and length or height, and is installing the replacement container in the identical location of the existing container, the licensee shall file LNG Form 2500.

(d) AFS may request LNG Form 2008, a Manufacturer's Data Report, or any other documentation or information pertinent to the installation in order to determine compliance with the rules in this chapter.

(e) For an installation that is a licensee outlet, the operating licensee shall comply with §14.2014 of this title (relating to Applications for License or Manufacturer Registration (New and Renewal)) within 30 days of installation.

§14.2049.Report of LNG Incident/Accident.

(a) At the earliest practical moment or within two hours following discovery, a licensee owning, operating, or servicing equipment or an installation shall notify AFS by telephone of any incident or accident involving LNG which:

(1) involves a single release of LNG during or following LNG transfer or during container transportation. Any loss of LNG which is less than 1.0% of the gross amount delivered, stored, or withdrawn need not be reported. Any loss occurring as a result of a pullaway shall be reported;

(2) caused an estimated damage to the property of the operator, others, or both totaling $50,000 or more, including gas loss;

(3) caused a death or any personal injury requiring hospitalization;

(4) required taking an operating facility out of service;

(5) resulted in an unintentional ignition of LNG requiring an emergency response;

(6) involved the LNG installation on any vehicle propelled by or transporting LNG;

(7) could reasonably be judged as significant because of rerouting of traffic, evacuation of buildings, or media interest, even though it does not meet paragraphs (1) - (6) of this subsection; or

(8) is required to be reported to any other state or federal agency (such as the Texas Department of Public Safety or U.S. Department of Transportation).

(b) Any transport unit required to be registered with AFS in accordance with §14.2704 of this title (relating to Registration and Transfer of LNG Transports) which is involved in an accident where there is damage to the tank, piping appurtenances, or any release of LNG resulting from the accident shall be reported to AFS, regardless of the accident location. Any LNG-powered motor vehicle used for school transportation or mass transit, including any state-owned vehicle, which is involved in an accident resulting in a release of LNG or damage to LNG equipment shall be reported to AFS, regardless of the accident location.

(c) The telephonic notice required by this section shall be made to the Railroad Commission's 24-hour emergency line at (512) 463-6788 or (844) 773-0305 and shall include the following:

(1) date and time of the incident;

(2) name of the reporting operator;

(3) phone number of the operator;

(4) location of the leak or incident;

(5) personal injuries and/or fatalities;

(6) whether fire, explosion, or leak has occurred;

(7) status of leak or other immediate hazards;

(8) other significant facts relevant to the incident; and

(9) whether immediate assistance from AFS is requested.

(d) Following the initial telephone report, the licensee who made the telephonic report shall submit LNG Form 2020 to AFS. The form shall be postmarked within 14 calendar days of the date of initial notification to AFS, or within five business days of receipt of the fire department report, whichever occurs first, unless AFS grants authorization for a longer period of time when additional investigation or information is necessary.

(e) Within five business days of receipt, AFS shall review LNG Form 2020 and notify in writing the person submitting LNG Form 2020 if the report is incomplete and specify in detail what information is lacking or needed. Incomplete reports may delay the resumption of LNG activities at the involved location.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100353

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§14.2014 - 14.2016, 14.2022, 14.2037

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100352

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER B. GENERAL RULES FOR ALL STATIONARY LNG INSTALLATIONS

16 TAC §§14.2101, 14.2102, 14.2104, 14.2110, 14.2116, 14.2119, 14.2122, 14.2125, 14.2131, 14.2137

The Commission adopts the amendments and new rule under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100355

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§14.2107, 14.2113, 14.2128, 14.2134, 14.2140

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100354

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER D. GENERAL RULES FOR LNG FUELING FACILITIES

16 TAC §§14.2304, 14.2310, 14.2313, 14.2314, 14.2319

The Commission adopts the amendments and new rule under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100357

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§14.2307, 14.2316, 14.2322, 14.2325, 14.2328>

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100356

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER E. PIPING SYSTEMS AND COMPONENTS FOR ALL STATIONARY LNG INSTALLATIONS

16 TAC §§14.2404, 14.2407, 14.2410, 14.2413, 14.2419, 14.2422, 14.2425, 14.2428, 14.2431, 14.2434, 14.2437, 14.2440

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100358

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §14.2416

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100359

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER F. INSTRUMENTATION AND ELECTRICAL SERVICES

16 TAC §§14.2501, 14.2504, 14.2507, 14.2510, 14.2513, 14.2516

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100360

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER G. ENGINE FUEL SYSTEMS

16 TAC §§14.2604, 14.2610, 14.2619, 14.2625, 14.2634, 14.2637, 14.2640

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100362

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §§14.2607, 14.2613, 14.2616, 14.2622, 14.2628, 14.2631

The Commission adopts the repeals under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100361

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER H. LNG TRANSPORTS

16 TAC §§14.2701, 14.2704, 14.2705, 14.2707, 14.2710, 14.2737, 14.2746

The Commission adopts the amendments under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100364

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


16 TAC §14.2749

The Commission adopts the repeal under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100363

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER I. ADOPTION BY REFERENCE OF NFPA 52 (VEHICULAR GASEOUS FUEL SYSTEMS CODE)

16 TAC §§14.2801 - 14.2803

The Commission adopts the new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100365

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


SUBCHAPTER J. ADOPTION BY REFERENCE OF NFPA 59A (STANDARD FOR THE PRODUCTION, STORAGE, AND HANDLING OF LIQUEFIED NATURAL GAS (LNG))

16 TAC §§14.2901 - 14.2903

The Commission adopts the new rules under Texas Natural Resources Code, §116.012, which authorizes the Commission to promulgate and adopt rules and standards relating to any and all aspects or phases of the compressed natural gas and liquefied natural gas industries that will protect or tend to protect the health, welfare, and safety of the general public; Texas Natural Resources Code §116.013, which allows the Commission to adopt by reference in its rules all or part of the published codes of nationally recognized societies as standards to be met in the design, construction, fabrication, assembly, installation, use, and maintenance of CNG or LNG components and equipment; and Texas Natural Resources Code §116.031(e), which requires a person engaging in the manufacture or fabrication of containers to register with the commission in accordance with rules adopted by the commission.

Statutory authority: Texas Natural Resources Code, §§116.012, 116.013, and 116.031.

Cross reference to statute: Texas Natural Resources Code Chapter 116.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100366

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


CHAPTER 15. ALTERNATIVE FUELS PROGRAMS

16 TAC §§15.1 - 15.13

The Railroad Commission of Texas adopts the repeal of 16 Texas Administrative Code Chapter 15, relating to Alternative Fuels Programs, specifically §§15.1 - 15.13, relating to Purpose; Definitions; Establishment and Duration; Availability of Funds; Eligibility; Application; Conditions of Receipt of Rebate or Incentive; Selection of Equipment and Installer; Rebate or Incentive Amount; Minimum Efficiency Factor; or Performance Standard; Verification, Safety, Disallowance, and Refund; Assignment of Rebate or Incentive; Compliance; and Complaints, without changes to the proposed text as published in the November 6, 2020, issue of the Texas Register (45 TexReg 7921). The repeals are adopted pursuant to House Bill 1818, 85th Legislative Session (2017) which repealed the statute authorizing the Alternative Fuels Research and Education program.

Texas Natural Resources Code Chapter 113, Subchapter I, provided authority to create the Alternative Fuels Research and Education Program. In 2013, House Bill 7 (83rd Legislature) repealed Texas Natural Resources Code, Chapter 113, Subchapter I, and moved the authority for the program to Texas Natural Resources Code §81.0681, which read (in part): "The commission shall adopt all necessary rules relating to activities regarding the use of alternative fuels that are or have the potential to be effective in improving the air quality, energy security, or economy of this state." Finally, House Bill 1818 of the 85th Legislature repealed §81.0681, thus eliminating the Alternative Fuels Research and Education Program.

The Commission received one comment from CenterPoint Energy in support of the proposed repeals.

The Commission adopts the repeals pursuant to House Bill 1818 (85th Legislature, 2017). House Bill 1818 repealed Nat. Res. Code §81.0681 which authorized the Commission to adopt all necessary rules relating to activities regarding the use of alternative fuels that are or have the potential to be effective in improving the air quality, energy security, or economy of this state.

Statutory authority: Texas Natural Resources Code, §81.0681.

Cross-reference to statute: Texas Natural Resources Code, Chapter 81.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 26, 2021.

TRD-202100337

Haley Cochran

Rules Attorney, Office of General Counsel

Railroad Commission of Texas

Effective date: February 15, 2021

Proposal publication date: November 6, 2020

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


PART 3. TEXAS ALCOHOLIC BEVERAGE COMMISSION

CHAPTER 33. LICENSING

SUBCHAPTER B. FEES AND PAYMENTS

16 TAC §§33.22, 33.27, 33.30 - 33.32, 33.37 - 33.39

The Texas Alcoholic Beverage Commission (TABC, agency, or commission) adopts new rules in Chapter 33, Licensing, Subchapter B: §§33.22, 33.27, and 33.30 - 33.32, and 33.37 - 33.39 without changes to the text as published in the December 4, 2020, issue of the Texas Register (45 TexReg 8683). The title of Subchapter B is also changed from "License and Permit Surcharges" to "Fees and Payments" to more accurately describe its contents.

No comments were received.

In 2019, the Texas Legislature adopted House Bill 1545, which made significant amendments throughout the Alcoholic Beverage Code (Code). HB 1545 further required the commission to adopt a variety of new rules and amend others to implement its provisions. To adopt the necessary new and amended rules, the commission either has or will make changes to every subchapter in existing Chapter 33, Licensing. With these proposed rules and other related rulemaking packages, the commission is taking the opportunity presented by the extensive necessary changes to Chapter 33 to streamline and reorganize Chapter 33 to be more intuitive and user-friendly. The majority of the amendments are not intended to make substantive changes. Rather, they move rule provisions to more appropriate places and make other editorial changes for accuracy and consistency.

The rules are adopted pursuant to the commission's general powers and duties under §5.31 of the Code.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 28, 2021.

TRD-202100403

Shana Horton

Rules Attorney

Texas Alcoholic Beverage Commission

Effective date: February 17, 2021

Proposal publication date: December 4, 2020

For further information, please call: (512) 487-9905


CHAPTER 45. MARKETING PRACTICES

SUBCHAPTER F. ADVERTISING AND PROMOTION--ALL BEVERAGES

16 TAC §45.103

The Texas Alcoholic Beverage Commission (TABC, agency, or commission) adopts amended 16 TAC §45.103, On-Premises Promotions, without changes to the proposed text as published in the December 4, 2020, issue of the Texas Register (45 TexReg 8685). The rule will not be republished.

No comments were received.

Tex. Gov't Code §2001.0039 requires the agency to review its existing rules every four years and determine whether to readopt, readopt with amendments, or repeal the rule. As part of this regular review, the agency has reviewed §45.103 of its rules, which relates to and restricts the promotion of alcoholic beverages for on-site consumption. The reasons for the initial adoption of the rule continue to exist because it remains in the best interest of the state of Texas and its citizens to regulate promotions to discourage overconsumption of alcoholic beverages. However, amendments adopted will:

- allow tickets to certain charity events to include more than two alcoholic beverages in the price of a ticket;

- allow Public Entertainment Facilities, such as sports arenas, to sell special tickets or passes that include more than two alcoholic beverages in the price of the ticket or pass; and

- reinforce the legal duty of the seller and server of alcoholic beverages to refuse to serve an intoxicated or underage individual, regardless of the number of alcoholic beverages included with a ticket or pass held by that person.

The amendments are adopted pursuant to the commission's authority under §5.31 of the Code to prescribe and publish rules necessary to carry out the provisions of the Code.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on January 28, 2021.

TRD-202100402

Shana Horton

Rules Attorney

Texas Alcoholic Beverage Commission

Effective date: February 17, 2021

Proposal publication date: December 4, 2020

For further information, please call: (512) 487-9905