Natural Resources Code
CHAPTER 113. LIQUEFIED PETROLEUM GAS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 113.001. Title.
This chapter may be cited as the Liquefied Petroleum Gas Code
or LPG Code.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.002. Definitions.
In this chapter:
(1) "Commission" means the Railroad Commission of Texas.
(2) "Division" means the liquefied petroleum gas division of
the commission.
(3) "Employee" means any individual who renders or performs
any services or labor for compensation and includes individuals
hired on a part-time or temporary basis or a full-time or
permanent basis including an owner-employee.
(4) "Liquefied petroleum gas," "LPG," or "LP-gas" means any
material that is composed predominantly of any of the following
hydrocarbons or mixtures of hydrocarbons: propane, propylene,
normal butane, isobutane, and butylenes.
(5) "Container" means any receptacle designed for the
transportation or storage of LPG or any receptacle designed for
the purpose of receiving injections of LPG for use or
consumption by or through an LPG system.
(6) "Appliance" means any apparatus or fixture that uses or
consumes LPG furnished or supplied by an LPG system to which it
is connected or attached.
(7) "LPG system" means all piping, fittings, valves, and
equipment, excluding containers and appliances, that connect
one or more containers to one or more appliances that use or
consume LPG.
(8) "Transport system" means any and all piping, fittings,
valves, and equipment on a transport, excluding the container.
(9) "Transfer system" means all piping, fittings, valves,
and equipment utilized in dispensing LPG between containers.
(10) "Transport" means any bobtail or semitrailer equipped
with one or more containers.
(11) "Subframing" means the attachment of supporting
structural members to the pads of a container but does not
include welding directly to or on the container.
(12) "Representative" means the individual designated to the
commission by a license applicant or licensee as the principal
person in authority and actively supervising the conduct of the
licensee's LPG activities.
(13) "Person" means any individual, partnership, firm,
corporation, association, or any other business entity, a state
agency or institution, county, municipality, school district,
or other governmental subdivision.
(14) "Registrant" means any person exempt from the licensing
requirements, as established by rule pursuant to Section
113.081 of this code, who is required to register with the
commission, any person qualified by examination by the
commission, or any person who applies for registration with the
commission.
(15) "Intermodal portable tank" means a portable tank built
according to the United States Department of Transportation
specifications and designed primarily for international
intermodal use.
(16) "Intermodal container" means a freight container
designed and constructed for interchangeable use in two or more
modes of transport.
(17) "Mobile fuel system" means an LPG system, excluding the
container, to supply LP-gas as a fuel to an auxiliary engine
other than the engine to propel the vehicle or for other uses
on the vehicle.
(18) "Mobile fuel container" means an LPG container mounted
on a vehicle to store LPG as the fuel supply to an auxiliary
engine other than the engine to propel the vehicle or for other
uses on the vehicle.
(19) "Motor fuel system" means an LPG system, excluding the
container, to supply LP-gas as a fuel to an engine used to
propel the vehicle.
(20) "Motor fuel container" means an LPG container mounted
on a vehicle to store LPG as the fuel supply to an engine used
to propel the vehicle.
(21) "Portable cylinder" means a receptacle constructed to
United States Department of Transportation specifications,
designed to be moved readily, and used for the storage of LPG
for connection to an appliance or an LPG system. The term does
not include a cylinder designed for use on a forklift or
similar equipment.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 1, eff. June
11, 1987; Acts 1991, 72nd Leg., ch. 725, Sec. 1, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 1, eff. Sept. 1,
1993; Acts 1997, 75th Leg., ch. 66, Sec. 1, eff. Sept. 1, 1997.
Sec. 113.003. Exceptions.
(a) None of the provisions of this chapter apply to:
(1) the production, refining, or manufacture of LPG;
(2) the storage, sale, or transportation of LPG by pipeline
or railroad tank car by a pipeline company, producer, refiner,
or manufacturer;
(3) equipment used by a pipeline company, producer, refiner,
or manufacturer in a producing, refining, or manufacturing
process or in the storage, sale, or transportation by pipeline
or railroad tank car;
(4) any deliveries of LPG to another person at the place of
production, refining, or manufacturing;
(5) underground storage facilities other than LP-gas
containers designed for underground use;
(6) any LP-gas container having a water capacity of one
gallon or less, or to any LP-gas piping system or appliance
attached or connected to such container; or
(7) a railcar loading rack used by a pipeline company,
producer, refiner, or manufacturer.
(b) Nothing in Subsection (a) of this section shall be
construed to exempt truck loading racks from the jurisdiction of
the commission under this chapter.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1991, 72nd Leg., ch. 725, Sec. 2, eff. Aug.
26, 1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 2, eff. Sept. 1,
1993; Acts 1995, 74th Leg., ch. 239, Sec. 1, eff. Sept. 1, 1995.
SUBCHAPTER B. ADMINISTRATIVE PROVISIONS
Sec. 113.011. Liquefied Petroleum Gas Division.
There is created and organized a separate and distinct division
of the commission known as the liquefied petroleum gas division
or the LPG division.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.012. General Duties.
The LPG division shall administer and enforce the laws of this
state and the rules and standards of the commission relating to
liquefied petroleum gas.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.013. Director of LPG Division.
The commission shall appoint and employ a director of the LPG
division, who shall serve at the pleasure of the commission and
who shall devote full time and attention to administering the
provisions of this chapter.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.014. Employees.
Sufficient employees shall be provided to the LPG division for
the enforcement of this chapter.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.015. Funds for Financing LPG Division.
The commission shall look only to the revenue derived from the
operation of this chapter and appropriated by the legislature for
expenses of conducting the liquefied petroleum gas division and
administering this chapter. The LPG examination fund is
established in the state treasury to be used to pay the costs of
training, including examinations, seminars, and continuing
education programs, administered or sponsored by the commission
pursuant to Sections 113.087 and 113.088 of this code. All fees
collected pursuant to Sections 113.088 and 113.090(c) of this
code relating to training or registration for qualification to
perform LPG-related activities shall be credited to this fund.
There is hereby appropriated from the fund to the commission all
such fees collected.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1991, 72nd Leg., ch. 725, Sec. 3, eff. Aug.
26, 1991.
SUBCHAPTER C. RULES AND STANDARDS
Sec. 113.051. Adoption of Rules and Standards.
Except as provided in Section 113.003 of this code, the
commission shall promulgate and adopt rules or standards or both
relating to any and all aspects or phases of the LPG industry
that will protect or tend to protect the health, welfare, and
safety of the general public.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.0511. Limitations on Rulemaking Authority.
(a) The commission may not adopt rules restricting competitive
bidding or advertising by a person regulated by the commission
except to prohibit false, misleading, or deceptive practices by
the person.
(b) The commission may not include in any rules to prohibit
false, misleading, or deceptive practices by a person regulated
by the commission a rule that:
(1) restricts the person's use of any medium for
advertising;
(2) restricts the person's personal appearance or use of his
voice in an advertisement;
(3) relates to the size or duration of an advertisement by
the person; or
(4) restricts the person's advertisement under a trade name.
Added by Acts 1983, 68th Leg., p. 1168, ch. 263, Sec. 6, eff.
Sept. 1, 1983.
Sec. 113.052. Adoption of National Codes.
The commission may adopt by reference, in whole or in part, the
published codes of the National Board of Fire Underwriters, the
National Fire Protection Association, the American Society for
Mechanical Engineers, and other nationally recognized societies
or any one or more of these codes as standards to be met in the
design, construction, fabrication, assembly, installation, use,
and maintenance of containers, tanks, appliances, systems, and
equipment for the transportation, storage, delivery, use, and
consumption of LPG or any one or more of these purposes.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.053. Effect on Certain Containers.
Rules, standards, and codes adopted pursuant to Sections
113.051 through 113.052 of this code do not apply to containers
used in accordance with and subject to the regulations of the
United States Department of Transportation or to containers that
are owned or used by the United States government.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
SUBCHAPTER D. LICENSING
Sec. 113.081. License Requirement.
(a) Unless otherwise stated in this chapter, no person may engage
in any of the following activities unless that person has
obtained a license from the commission authorizing that activity:
(1) container activities: the manufacture, assembly, repair,
testing, sale, installation, or subframing of containers for use
in this state, except that no license is required for the sale of
a new container of 96 pounds water capacity or less;
(2) systems activities: the installation, service, and repair of
systems for use in this state, including the laying or connecting
of pipes and fittings connecting with or to systems or serving a
system and appliances to be used with liquefied petroleum gas as
a fuel;
(3) appliance activities: the service, installation, and repair
of appliances used or to be used in this state in connection with
systems using liquefied petroleum gas as a fuel, except that no
license shall be required for installation or connection of
manufactured unvented appliances to LPG systems by means of LPG
appliance connectors, or where only duct or electrical work is
performed to or on an LP-gas appliance; or
(4) product activities: the sale, transportation, dispensation,
or storage of liquefied petroleum gas in this state, except that
no license shall be required to sell LPG where the vendor never
obtains possessory rights to the product sold or where the
product is transported or stored by the ultimate consumer for
personal consumption only.
(b) The provisions of Subsection (a) of this section do not apply
to a person who is not engaged in business as provided in Section
113.082 of this code. A person, except a political subdivision,
is considered to be engaged in business as provided in Section
113.082 of this code if such person installs or services an LPG
motor or mobile fuel system on a motor vehicle used in the
transportation of the general public. The provisions of
Subsections (a)(1) and (a)(2) of this section do not apply to
intermodal containers or intermodal portable tanks constructed in
accordance with United States Department of Transportation
specifications.
(c) A mobile home park operator will not be deemed to be a person
engaged in business as provided in Section 113.082 of this code
if such mobile home park operator obtains no possessory rights to
LP-gas products, and utilizes only LP-gas licensees in the
installation and maintenance of the LP-gas containers and system.
For purposes of this subsection, the term "mobile home park
operator" means an individual or business entity owning or
operating a place, divided into sites, at which the primary
business is the rental or leasing of the sites to persons for use
in occupying mobile homes as dwellings. "Mobile home" has the
meaning set out in the Texas Manufactured Housing Standards Act
(Article 5221f, Vernon's Texas Civil Statutes).
(d) The commission by rule may exempt from Section 113.082(D) of
this code journeymen or master plumbers licensed by the Texas
State Board of Plumbing Examiners.
(e) The commission by rule may exempt from Section 113.082(D) of
this code a person licensed under the Air Conditioning and
Refrigeration Contractor License Law (Article 8861, Vernon's
Texas Civil Statutes).
(f) No license is required by an original manufacturer of a new
motor vehicle powered by LPG or subcontractor of such a
manufacturer who produces a new LPG-powered vehicle for the
manufacturer.
(g) The commission by rule may establish reasonable conditions
for licensing and exemptions from license requirements for a
state agency or institution, county, municipality, school
district, or other governmental subdivision.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 5428, ch. 1011, Sec. 1,
eff. Aug. 29, 1983; Acts 1985, 69th Leg., ch. 911, Sec. 1, eff.
Aug. 26, 1985; Acts 1989, 71st Leg., ch. 533, Sec. 1, eff. Sept.
1, 1989; Acts 1991, 72nd Leg., ch. 725, Sec. 4, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 3, eff. Sept. 1,
1993; Acts 1995, 74th Leg., ch. 239, Sec. 2, eff. Sept. 1, 1995.
Sec. 113.082. Categories of Licensee; Fees.
A prospective licensee in LPG may apply to the LPG division for
a license to engage in any one or more of the following
categories:
(A) container manufacturers/fabricators: the
manufacture, fabrication, assembly, repair, installation,
subframing, testing, and sale of LPG containers, including
LPG motor or mobile fuel containers and systems, and the
repair and installation of transport and transfer systems;
and the category "A" application and original license fee is
an amount not to exceed $1,000 as determined by the
commission; the annual renewal license fee is an amount not
to exceed $600 as determined by the commission;
(B) transport outfitters: the subframing, testing, and
sale of LPG transport containers, the testing of LPG storage
containers, the installation, testing, and sale of LPG motor
or mobile fuel containers and systems, and the installation
and repair of transport systems, and motor or mobile fuel
systems; the category "B" application and original license
fee is an amount not to exceed $400 as determined by the
commission; the annual renewal license fee is an amount not
to exceed $200 as determined by the commission;
(C) carriers: the transportation of LPG by transport,
including the loading and unloading of LPG, and the
installation and repair of transport systems; the category
"C" application and original license fee is an amount not to
exceed $1,000 as determined by the commission; the annual
renewal license fee is an amount not to exceed $300 as
determined by the commission;
(D) general installers and repairmen: the sale,
service, and installation of containers, excluding motor
fuel containers, and the service, installation, and repair
of piping, certain appliances as defined by rule, excluding
recreational vehicle appliances and LPG systems, excluding
motor fuel and recreational vehicle systems; the category
"D" application and original license fee is an amount not to
exceed $100 as determined by the commission; the annual
renewal license fee is an amount not to exceed $70 as
determined by the commission;
(E) retail and wholesale dealers: the storage, sale,
transportation, and distribution of LPG at retail and
wholesale, and all other activities included in this section
except the manufacture, fabrication, assembly, repair,
subframing, and testing of LPG containers; the category "E"
application and original license fee is an amount not to
exceed $750 as determined by the commission; the annual
renewal license fee is an amount not to exceed $300 as
determined by the commission;
(F) cylinder filling: the operation of a
cylinder-filling facility, including cylinder filling, the
sale of LPG in cylinders, and the replacement of a cylinder
valve; the category "F" application and original license fee
is an amount not to exceed $100 as determined by the
commission; the annual renewal license fee is an amount not
to exceed $50 as determined by the commission;
(G) service station: the operation of an LPG service
station filling ASME containers designed for motor and
mobile fuel; the category "G" application and original
license fee is an amount not to exceed $100 as determined by
the commission; the annual renewal license fee is an amount
not to exceed $50 as determined by the commission;
(H) cylinder dealers: the transportation and sale of
LPG in cylinders; the category "H" application and original
license fee is an amount not to exceed $1,000 as determined
by the commission; the annual renewal license fee is an
amount not to exceed $300 as determined by the commission;
(I) service station and cylinder filling: any service
station and cylinder activity set out in categories "F" and
"G" of this section; the category "I" application and
original license fee is an amount not to exceed $150 as
determined by the commission; the annual renewal license fee
is an amount not to exceed $70 as determined by the
commission;
(J) service station and cylinder facilities: the
operation of a cylinder-filling facility, including cylinder
filling and the sale, transportation, installation, and
connection of LPG in cylinders, the replacement of cylinder
valves, and the operation of an LPG service station as set
out in category "G"; the category "J" application and
original license fee is an amount not to exceed $1,000 as
determined by the commission; the annual renewal license fee
is an amount not to exceed $300 as determined by the
commission;
(K) distribution system: the sale and distribution of
LPG through mains or pipes and the installation and repair
of LPG systems; the category "K" application and original
license fee is an amount not to exceed $1,000 as determined
by the commission; the annual renewal license fee is an
amount not to exceed $300 as determined by the commission;
(L) engine fuel: the sale and installation of LPG motor
or mobile fuel containers, and the sale and installation of
LPG motor fuel systems; the category "L" application and
original license fee is an amount not to exceed $100 as
determined by the commission; the annual renewal license fee
is an amount not to exceed $50 as determined by the
commission;
(M) recreational vehicle installers and repairmen: the
sale, service, and installation of recreational vehicle
containers, and the installation, repair, and service of
recreational vehicle appliances, piping, and LPG systems,
including recreational vehicle motor or mobile fuel systems
and containers; the category "M" application and original
license fee is an amount not to exceed $100 as determined by
the commission; the annual renewal license fee is an amount
not to exceed $70 as determined by the commission;
(N) manufactured housing installers and repairmen: the
service and installation of containers that supply fuel to
manufactured housing, and the installation, repair, and
service of appliances and piping systems for manufactured
housing; the category "N" application and original license
fee is an amount not to exceed $100 as determined by the
commission; the annual renewal license fee is an amount not
to exceed $70 as determined by the commission;
(O) testing laboratory: the testing of an LP-gas
container, LP-gas motor fuel systems or mobile fuel systems,
transfer systems, and transport systems for the purpose of
determining the safety of the container or systems for
LP-gas service, including the necessary installation,
disconnection, reconnecting, testing, and repair of LPG
motor fuel systems or mobile fuel systems, transfer systems,
and transport systems involved in the testing of containers;
the category "O" application and original license fee is an
amount not to exceed $400 as determined by the commission;
the annual renewal license fee is an amount not to exceed
$100 as determined by the commission; or
(P) portable cylinder exchange: the operation of a
portable cylinder exchange service, where the sale of LP-gas
is within a portable cylinder with an LP-gas capacity not to
exceed 21 pounds; the portable cylinders are not filled on
site, and no other LP-gas activity requiring a license is
conducted; the category "P" application and original license
fee is an amount not to exceed $100 as determined by the
commission; the annual renewal license fee is an amount not
to exceed $50 as determined by the commission.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 1168, ch. 263, Sec. 7,
eff. Sept. 1, 1983; Acts 1987, 70th Leg., ch. 325, Sec. 2, eff.
June 11, 1987; Acts 1989, 71st Leg., ch. 533, Sec. 2, eff. Sept.
1, 1989; Acts 1991, 72nd Leg., ch. 725, Sec. 5, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 4, eff. Sept. 1,
1993; Acts 1995, 74th Leg., ch. 239, Sec. 3, eff. Sept. 1, 1995;
Acts 1997, 75th Leg., ch. 66, Sec. 2, eff. Sept. 1, 1997.
Sec. 113.083. Liquefied Petroleum Gas Emergency.
(a) In the event of a temporary statewide, regional, or local
shortage of liquid petroleum gas in this state or another state,
as determined under Subsection (b) of this section, LP gas trucks
and operators meeting all certification, permitting, and
licensing requirements of the federal government and another
state whose governor has declared an LP gas emergency may
transport LP gas in this state without having first obtained any
license, permit, or certification ordinarily required under state
law.
(b) The governor may determine the existence of a temporary
statewide, regional, or local shortage of LP gas in this state or
another state and on such a determination, the governor may join
with the governor of any other state in declaring an LP gas
emergency.
(c) The waiver of Texas licensing, permitting, and
certification requirements regarding LP gas trucks and operators
is valid only during the time of the emergency. An LP gas
emergency may not continue for more than 14 days unless renewed
by the governor.
Added by Acts 1991, 72nd Leg., 1st C.S., ch. 9, Sec. 1, eff. Aug.
29, 1991.
Sec. 113.084. Application.
(a) An application for a license shall be submitted to the
commission on forms furnished by the commission or on a facsimile
of those forms.
(b) A prospective licensee shall submit the required
application together with the original nonrefundable license fee
required by Section 113.082 of this code for each category for
which a license application is made. The applicant shall submit
additional information and data with each application as the
commission may reasonably require.
(c) A licensee shall submit the nonrefundable renewal fee for
each category for which license is sought along with information
and data the commission may reasonably require.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.087. Course of Instruction, Examination, and Seminar
Requirements.
(a) The satisfactory completion of the requirements of this
section is mandatory, and operations requiring an LP-gas license
may not commence, continue, or resume unless examination and
seminar requirements are fulfilled.
(b) Before license issuance, the commission shall require the
individual designated as the licensee's representative to the
commission to provide good and sufficient proof through
examination prepared and administered by the commission of
working knowledge of this chapter and rules of the commission
which affect the category of license for which application is
made. Thereafter, each licensee shall maintain a qualified
representative at all times.
(c) Each individual who will be actively supervising those
operations requiring any license under this chapter at any outlet
or location, as designated by the commission, shall be required
to provide good and sufficient proof through examination prepared
and administered by the commission that the supervisor has a
working knowledge of the safety requirements and penalties in
this chapter and the rules of the commission which apply to that
category of license.
(d) As determined by commission rule, each individual who is or
will be utilized by a licensee or a public employee of the state,
the federal government, or a state or federal subdivision in
LPG-related activities shall be required to provide good and
sufficient proof through examination prepared and administered by
the commission that the employee has a working knowledge of the
safety requirements in the rules of the commission relating to
the activity or activities. Should the commission determine that
an individual has a history of failure to comply with the
requirements of this code or with the rules of the commission,
the commission shall promptly mail written notification of
failure to qualify for LP-gas employee certification and the
reasons therefor to the registrant. Written notice by the
commission, a written request for a hearing, and the public
hearing itself shall be governed by Section 113.091 of this code.
(e) No licensee may employ or otherwise utilize any person as a
representative to the commission, nor as a supervisor or employee
in LPG-related activities, unless and until the person has
qualified by satisfactory completion of the examination
requirements established by this section.
(f) The commission shall promulgate rules relating to changes
in representatives, supervisors, and employees, and may permit
temporary exemption from the examination requirements for a
maximum period of 45 days.
(g) In no event shall an original or renewal license be issued
to an applicant whose listed representative has not maintained
qualified status, as defined by rule, or to any person who has a
history of failure to comply with the requirements of this code
or with the rules of the commission. The commission shall have
written notification of license denial and the reasons therefor
prepared promptly and mailed to both the representative and the
license applicant. Written notice by the commission, a written
request for a hearing, and the public hearing itself shall be
governed by Section 113.091 of this code.
(h) Satisfactory completion of any required examination under
this section shall accrue to the individual.
(i) Not later than the 30th day on which an examination is
administered under this section, the commission shall notify each
examinee of the results of the examination. If the notice of the
examination results will be delayed for longer than 90 days after
the examination date, the commission shall notify the examinee of
the reason for the delay before the 90th day.
(j) If requested in writing by a person who fails the licensing
examination administered under this section, the commission shall
furnish the person with an analysis of the person's performance
on the examination.
(k) The commission, by appropriate rule, may require, in
addition to examination requirements as set out in Subsections
(b), (c), and (d) of this section:
(1) an examination for technical competence that is
validated by a recognized educational testing organization or
similar organization; or
(2) attendance at approved academic, trade, professional, or
commission-sponsored seminars, other continuing education
programs, and periodic reexaminations.
(l) Prior to qualifying an individual to perform LP-gas work,
the commission may establish by rule an initial course of
instruction for any person who has not yet passed the category of
examination for which the person seeks qualification; for any
person who has not maintained qualified status, as defined by
rule; and for any person whose certification has been revoked
pursuant to Subchapter F of this code. If an initial course of
instruction is established by the commission, it shall be
available at least once every 90 days.
(m) The commission by rule may exempt from any provision of
this section:
(1) a journeyman or master plumber licensed by the Texas
State Board of Plumbing Examiners;
(2) a person licensed under the Air Conditioning and
Refrigeration Contractor License Law (Article 8861, Vernon's
Texas Civil Statutes); or
(3) company representatives, operations supervisors, or
employees of a testing laboratory that was registered under
Section 113.135 prior to the effective date of this subsection.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 1168, ch. 263, Sec. 7,
eff. Sept. 1, 1983; Acts 1987, 70th Leg., ch. 325, Sec. 3, eff.
June 11, 1987; Acts 1989, 71st Leg., ch. 533, Sec. 3, eff. Sept.
1, 1989; Acts 1991, 72nd Leg., ch. 725, Sec. 6, eff. Aug. 26,
1991.
Amended by Acts 1995, 74th Leg., ch. 239, Sec. 4, eff. Sept. 1,
1995.
Sec. 113.088. Examination; Seminar Fees.
(a) The commission shall establish reasonable examination,
course of instruction, and seminar registration fees.
(b) Before seminar attendance or examination of any person,
except as provided in Subsection (c) of this section, the
commission shall receive a nonrefundable fee for each examination
or seminar registration.
(c) The commission may exempt voluntary firemen, or public
employees of the State of Texas, federal government, or state or
federal subdivisions from the examination fee, the examination
renewal fee, and seminar fees.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 4, eff. June
11, 1987; Acts 1989, 71st Leg., ch. 533, Sec. 4, eff. Sept. 1,
1989.
Sec. 113.089. Special Requirements for Licensing.
(a) If application is made for a license under category "E" of
Section 113.082 of this code or any other category specified by
commission rule, the commission, in addition to other
requirements, shall have an actual inspection conducted of any
and all facilities, bulk storage equipment, transportation
equipment, and dispensing equipment of the applicant to verify
satisfactory compliance with all current safety laws, rules, and
practices. The inspection may be waived by the commission on an
application resulting solely from a change in legal entities
under which a current licensee operates.
(b) The inspection, if required, shall be performed before the
issuance of the license, but in no event later than 15 days after
the inspection is requested in writing by the applicant for
license.
(c) A category "E" license and any other license specified by
commission rule shall not be issued until the inspection under
Subsection (a) of this section verifies the applicant to be in
satisfactory compliance with all current safety laws, rules, and
practices.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1991, 72nd Leg., ch. 725, Sec. 7, eff. Aug.
26, 1991.
Sec. 113.090. Filing and Registration Fees.
(a) The commission by rule may establish reasonable fees for
the examination of plans and specifications related to the
installation of containers when plans and specifications are
reviewed by the commission before such installation is placed
into LP-gas service.
(b) The commission by rule may establish reasonable fees for
recording the location of containers at public buildings and
commercial installations when prior approval of plans and
specifications is not required.
(c) The commission by rule may establish reasonable fees for
any registration required under this code.
Added by Acts 1987, 70th Leg., ch. 325, Sec. 5, eff. June 11,
1987.
Sec. 113.091. License Denial.
(a) Should an applicant fail to meet the requirements for
original or renewal licensing set out in this chapter, the
commission shall have written notification prepared promptly and
mailed to the applicant. The notice shall specify the reason for
the applicant's failure to qualify for license and advise the
applicant of the right to request a hearing.
(b) Within 30 days of the notice of denial, an applicant for
license under this chapter who is denied a license may request a
hearing to determine whether or not the applicant has complied in
all respects with the licensing procedure applicable to the
category or categories of license sought. The applicant's
request for hearing must be in writing and delivered to the
director of the LP-gas division.
(c) A hearing to determine an applicant's compliance with the
licensing procedure applicable to the category or categories of
license sought must be scheduled within 30 days following receipt
of a request under Subsection (b) of this section.
(d) If the record made at the hearing supports the applicant's
claim, the commission shall enter an order in its records to that
effect, noting the category or categories for which the applicant
is found entitled to be licensed, and the commission shall have
the license or licenses issued. If the applicant is found
unqualified, the commission shall likewise enter an order in its
records to that effect, and no license may be issued to the
applicant.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.092. License Issuance.
(a) The commission shall issue the appropriate license to an
applicant who has satisfied the licensing procedures and
requirements set out in this chapter and in the rules of the
commission, except where a prior license has been revoked as
provided for in Subsection (a) of Section 113.163 of this code.
(b) The license shall be issued in the name under which the
applicant proposes to conduct business.
(c) The license shall belong to the applicant to which it is
issued and shall be nontransferable.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 6, eff. June
11, 1987.
Sec. 113.093. License Renewal.
(a) A license issued pursuant to this chapter is renewable on
the timely payment or tender of the renewal license fee before
the expiration date of the license each year.
(b) If a person's license has been expired for not longer than
90 days, the person may renew the license by paying to the
commission the required renewal fee and a fee that is one-half of
the amount of the renewal fee for the license.
(c) If a person's license has been expired for longer than 90
days but less than two years, the person may renew the license by
paying to the commission all unpaid renewal fees and a fee that
is equal to the amount of the unpaid renewal fees for the
license.
(d) If a person's license has been expired for two years or
longer, the person may not renew the license. The person may
obtain a new license by complying with the requirements and
procedures for obtaining an original license.
(e) A renewal license will be issued to a licensee as soon as
is practicable after compliance with this section, and
fulfillment of insurance, examination, and seminar requirements
established by this chapter, and submission of any information
and data the commission may reasonably require.
(f) Renewal license fees shall be nonrefundable.
(g) At least 15 days before the expiration of a person's
license the commission shall notify the person in writing of the
impending license expiration and shall attempt to obtain from the
person a signed receipt confirming receipt of the notice.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 1168, ch. 263, Sec. 7,
eff. Sept. 1, 1983.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 5, eff. Sept. 1,
1993.
Sec. 113.094. Staggered Renewal of Licenses.
The commission, by rule, may adopt a system under which
licenses expire on various dates during the year. For the year
in which the license expiration date is changed, license fees
payable on a specified date shall be prorated on a monthly basis
so that each licensee shall pay only that portion of the license
fee that is allocable to the number of months during which the
license is valid. On renewal of the license on the new
expiration date, the total license renewal fee is payable.
Added by Acts 1983, 68th Leg., p. 1174, ch. 263, Sec. 8, eff.
Sept. 1, 1983.
Sec. 113.095. License and Examination by Endorsement.
(a) The commission may waive any license requirement for an
applicant with a valid license from another state having license
requirements substantially equivalent to those of this state.
(b) The commission by rule may waive the requirements of
Section 113.087 for an applicant holding a valid examination
certificate issued by another state having certification
requirements substantially equivalent to those of this state.
Added by Acts 1983, 68th Leg., p. 1174, ch. 263, Sec. 8, eff.
Sept. 1, 1983.
Amended by Acts 1995, 74th Leg., ch. 239, Sec. 5, eff. Sept. 1,
1995.
Sec. 113.097. Insurance Requirement.
(a) The commission shall not issue a license authorizing
activities under Section 113.082 of this code or renew an
existing license unless the applicant for license or license
renewal provides proof of required insurance coverage with an
insurance carrier authorized to do business in this state as
evidenced by a certificate of authority having been issued to the
carrier by the State Board of Insurance or, if the applicant is
unable to obtain coverage from such a carrier, provides, on
approval of the commission, proof of required insurance coverage
issued by a surplus lines insurer that meets the requirements of
Article 1.14-2, Insurance Code, and rules adopted by the State
Board of Insurance under that article.
(b) A licensee shall not perform any licensed activity under
Section 113.082 of this code unless the insurance coverage
required by this chapter is in effect.
(c) Except as provided in Section 113.099 of this code, the
types and amounts of insurance provided in Subsections (d)
through (i) of this section are required while engaged in any of
the activities set forth in Section 113.082 of this code or any
activity incidental thereto.
(d) Each category "C," "E," "H," or "J" licensee must carry
motor vehicle bodily injury and property damage liability
coverage on each motor vehicle, including trailers and
semitrailers, used to transport LP-gas. The commission shall
establish by rule a reasonable amount of coverage to be
maintained, except that coverage shall not be less than the
amounts required as evidence of financial responsibility under
Chapter 601, Transportation Code.
(e) All licensees must carry general liability coverage in a
reasonable amount, based on the type or types of licensed
activities, which shall be established by commission rule.
(f) All licensees must acquire and maintain appropriate
workers' compensation or coverage for its employees under
policies of work-related accident, disability, and health
insurance, including coverage for death benefits, from an
insurance carrier authorized to provide coverage in this state,
in the amounts required by the commission.
(g) Notwithstanding Subsection (f) of this section, a state
agency or institution, county, municipality, school district, or
other governmental subdivision may submit appropriate evidence of
workers' compensation coverage by self-insurance if permitted by
the state workers' compensation act. The commission may require
forms of evidence of coverage for this purpose other than that
required under Section 113.098 of this code.
(h) As required by commission rule, a category "A," "B," "C,"
"E," or "O" licensee must carry completed operations or products
liability insurance, or both, in a reasonable amount, based on
the type or types of licensed activities.
(i) The commission by rule may exempt or provide reasonable
alternatives to the insurance requirements set forth in
Subsections (a) through (e) and (h) of this section for a state
agency or institution, county, municipality, school district, or
other governmental subdivision.
(j) The commission by rule may exempt from the insurance
requirements of this section or adopt a reasonable alternative to
those requirements for:
(1) a master or journeyman plumber licensed by the Texas
State Board of Plumbing Examiners; or
(2) a person licensed under the Air Conditioning and
Refrigeration Contractor License Law (Article 8861, Vernon's
Texas Civil Statutes).
(k) The commission by rule may allow a licensee to self-insure
under Subsection (d), (e), or (f) and by rule shall establish
standards for that self-insurance.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 7, eff. June
11, 1987; Acts 1987, 70th Leg., ch. 1050, Sec. 2, eff. June 19,
1987; Acts 1989, 71st Leg., ch. 533, Sec. 5, eff. Sept. 1, 1989;
Acts 1991, 72nd Leg., ch. 16, Sec. 14.01, eff. Aug. 26, 1991;
Acts 1991, 72nd Leg., ch. 725, Sec. 8, eff. Aug. 26, 1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 6, eff. Sept. 1,
1993; Acts 1995, 74th Leg., ch. 239, Sec. 6, eff. Sept. 1, 1995;
Acts 1997, 75th Leg., ch. 66, Sec. 4, eff. Sept. 1, 1997; Acts
1997, 75th Leg., ch. 165, Sec. 30.229, eff. Sept. 1, 1997.
Sec. 113.098. Insurance Conditions.
(a) As evidence that required insurance has been secured and is
in force, certificates of insurance which are approved by the
division shall be filed with the division before licensing,
license renewal, and during the entire period that the license is
in effect. Any document filed with the division in a timely
manner which is not completed in accordance with the instructions
indicated on the insurance certificate forms supplied by the
division, but which complies with the substantive requirements of
this section and with the rules adopted under this section may be
considered by the division to be evidence that required insurance
has been secured and is in force for a temporary period not to
exceed 45 days. During this temporary period, a licensee shall
file with the division an amended certificate of insurance which
complies with all procedural and substantive requirements of this
section and the rules adopted hereunder.
(b) All certificates filed under this section shall be
continuous in duration.
(c) Cancellation of a certificate of insurance becomes
effective on the occurrence of any of the following events and
not before:
(1) division receipt of written notice stating the insurer's
intent to cancel a policy of insurance and the passage of time
equivalent to the notice period required by law to be given the
insured before the insurance cancellation;
(2) receipt by the division of an acceptable replacement
insurance certificate;
(3) voluntary surrender of a license and the rights and
privileges conferred by the license;
(4) division receipt of a statement made by a licensee
stating that the licensee is not actively engaging in any
operations which require a particular type of insurance and
will not engage in those operations unless and until all
certificates of required insurance applicable to those
operations are filed with the division; or
(5) written order of commission.
(d) Cancellation under Subsection (c) of this section shall not
become effective until approved by the commission.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 8, eff. June
11, 1987; Acts 1991, 72nd Leg., ch. 725, Sec. 9, eff. Aug. 26,
1991.
Sec. 113.099. Statements in Lieu of Insurance Certificates.
(a) A category "C," "E," "H," or "J" licensee or applicant for
license that does not operate or contemplate the operation of a
motor vehicle equipped with an LP-gas cargo container and does
not transport or contemplate the transportation of LP-gas by
vehicle in any manner, may make and file with the division a
statement to that effect in lieu of filing a certificate of motor
vehicle bodily injury and property damage insurance.
(b) A licensee or applicant for a license that does not engage
in or contemplate engaging in any operations which would be
covered by general liability insurance for a period of time may
make and file with the division a statement to that effect in
lieu of filing a certificate of general liability insurance.
(c) A licensee or applicant for license that does not employ or
contemplate the hiring of an employee or employees to be engaged
in LPG-related activities in this state may make and file with
the division a statement to that effect in lieu of filing
evidence of coverage of workers' compensation or other
alternative form of coverage as provided in this subchapter.
(d) A category "A," "B," "C," "E," or "O" licensee or applicant
for a license that does not engage in or contemplate engaging in
any LP-gas operations which would be covered by completed
operations or products liability insurance, or both, for a period
of time may make and file with the division a statement to that
effect in lieu of filing a certificate of insurance.
(e) Any statement filed pursuant to Subsections (a) through (d)
of this section must further state that the licensee or applicant
agrees to file a certificate of insurance evidencing appropriate
coverage before engaging in any activities that require insurance
coverage under this subchapter.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1989, 71st Leg., ch. 533, Sec. 6, eff. Sept.
1, 1989; Acts 1991, 72nd Leg., ch. 725, Sec. 10, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 7, eff. Sept. 1,
1993; Acts 1995, 74th Leg., ch. 239, Sec. 7, eff. Sept. 1, 1995.
Sec. 113.102. Prior Licenses.
All prior LP-gas licenses authorizing portable cylinder
exchange activities shall, on an applicant's compliance with the
renewal procedure set out in this chapter, be converted to a
license identified as category "P".
Added by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Amended by Acts 1997, 75th Leg., ch. 66, Sec. 3, eff. Sept. 1,
1997.
SUBCHAPTER E. MOTOR VEHICLES AND TESTING LABORATORIES
Sec. 113.131. Transport Trucks and Trailers.
(a) Each transport truck, trailer, or other motor vehicle
equipped with an LPG cargo container and each truck used
principally for transporting LPG in portable containers shall be
registered with the commission.
(b) A licensee who has purchased, leased, or obtained other
rights to use any unit described in Subsection (a) of this
section shall register that unit in the name or names under which
the licensee conducts business before the transportation of LPG
by means of that unit.
(c) An ultimate consumer of LPG who has purchased, leased, or
obtained other rights to use any unit described in Subsection (a)
of this section shall register that unit in the person's name
before the transportation of LPG by means of that unit on public
roads or highways.
(d) The commission, by rule, shall establish reasonable,
nonrefundable annual registration and transfer fees for each
LP-gas cargo trailer, semitrailer, bobtail, and cylinder-delivery
unit registered or transferred as follows:
(1) the annual registration fee established by the commission
shall not be less than $100 nor more than $300.
(2) the annual transfer fee established by the commission shall
not be less than $25 nor more than $100.
(e) Any unit registered pursuant to this section shall be covered
by motor vehicle bodily injury and property damage liability
insurance as prescribed by Section 113.097 of this code.
(f) Any delivery or transport driver shall meet the applicable
examination and seminar requirements set out in Section 113.087
of this code.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 9, eff. June
11, 1987; Acts 1989, 71st Leg., ch. 533, Sec. 7, eff. Sept. 1,
1989; Acts 1991, 72nd Leg., ch. 725, Sec. 11, eff. Aug. 26, 1991.
Amended by Acts 1993, 73rd Leg., ch. 1016, Sec. 8, eff. Sept. 1,
1993; Acts 1997, 75th Leg., ch. 66, Sec. 5, eff. Sept. 1, 1997.
Sec. 113.133. Motor Carrier Laws.
No provision of this chapter shall be construed to modify,
amend, or revoke any motor carrier law of this state.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.134. Department of Public Safety.
The Department of Public Safety shall cooperate with the
commission in the administration and enforcement of this chapter
and the rules promulgated under this chapter to the extent that
they are applicable to motor vehicles.
Added by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
SUBCHAPTER F. SUSPENSION AND REVOCATION OF LICENSES AND
REGISTRATIONS
Sec. 113.161. Violations of Chapter or Rules; Informal Actions.
(a) The commission shall notify a licensee or registrant in
writing when it finds probable violation or noncompliance with
this chapter or the safety rules promulgated under this chapter.
(b) The notification shall specify the particular acts,
omissions, or conduct comprising the alleged violation and shall
designate a date by which the violation must be corrected or
discontinued.
(c) The licensee or registrant shall report timely compliance or
shall request extension of time for compliance if deemed
necessary.
(d) If a licensee or registrant objects to the complaint or
requirements under this section, or if the commission determines
that the licensee or registrant is not proceeding adequately to
compliance, then, on written request of the licensee or
registrant or order of the commission, a public hearing shall be
conducted as provided in Section 113.162 of this code.
(e) If the commission or division determines that the probable
violation or noncompliance constitutes an immediate danger to the
public health, safety, and welfare, it shall require the
immediate cessation of the probable violation or noncompliance
and proceed with a hearing as provided in Section 113.162 of this
code.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.162. Hearings.
Any hearing or proceeding under this chapter shall be subject
to the provisions of the Administrative Procedure and Texas
Register Act.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.163. Findings and Judgment.
(a) If the commission finds that the licensee or registrant has
violated or failed to comply with or is violating or failing to
comply with this chapter or a rule or standard promulgated and
adopted under this chapter, or both, the commission may suspend
the license or registration for a definite period not to exceed
90 days or may revoke the license or registration. If the
commission determines that no violation has occurred or is
occurring, its order shall so state. Whenever a license or
registration is revoked by order of the commission, a new license
or registration shall not be issued for at least 90 days from the
effective date of the order. Such time period shall be stated in
the order.
(b) The commission may place on probation a person whose
license or registration has been suspended under Subsection (a)
of this section for a definite period not to exceed one year, but
if the commission does place the licensee or registrant on
probation and does allow him to continue to operate, the fact
that the license or registration has been suspended and the
licensee or registrant has been put on probation shall appear in
the records of the commission relating to the suspension and
probation.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 1167, ch. 263, Sec. 5,
eff. Sept. 1, 1983; Acts 1987, 70th Leg., ch. 325, Sec. 11, eff.
June 11, 1987.
Sec. 113.164. Appeal.
Any party to a proceeding before the commission is entitled to
judicial review under the substantial evidence rule.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
SUBCHAPTER G. FEES AND FUNDS
Sec. 113.201. Deposit and Expenditure of Fees and Funds.
Money received by the commission under this chapter shall be
deposited in the state treasury to the credit of the General
Revenue Fund and spent in accordance with the appropriations made
by law.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1981, 67th Leg., p. 144, ch. 65, Sec. 2, eff.
Sept. 1, 1981.
SUBCHAPTER H. ENFORCEMENT
Sec. 113.231. Injunctions.
(a) On request of the commission, the attorney general may bring
an action in the name and on behalf of the state to enjoin a
person from committing any act that violates or does not comply
with any provision of this chapter or of any rule promulgated
under this chapter.
(b) A suit for injunction instituted pursuant to Subsection (a)
of this section shall be in addition to any other remedies at law
or in equity.
(c) A district court of any county in which it is shown that all
or part of the acts have been or are about to be committed has
jurisdiction of an action brought under Subsection (a) of this
section.
(d) No bond for injunction may be required of the commission or
the attorney general in relation to a proceeding instituted
pursuant to Subsection (a) of this section.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
Sec. 113.232. General Penalty.
(a) In addition to injunctive relief and other penalties
provided in this chapter, a person who knowingly violates or
fails to comply with this chapter or rules adopted under this
chapter is guilty of a Class C misdemeanor and is punishable by a
fine of not less than $100 nor more than the maximum fine as set
out in Section 12.23 of the Penal Code.
(b) A person previously convicted under Subsection (a) of this
section who knowingly violates or fails to comply with this
chapter is guilty of a Class A misdemeanor punishable by a fine
of not less than the maximum fine allowed by law for a Class C
misdemeanor, nor more than the maximum fine as set out in Section
12.21 of the Penal Code.
(c) A penalty prescribed by this section is in addition to
injunctive relief and other penalties provided by this chapter.
(d) Each day the violation or failure to comply continues
constitutes a separate offense.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1983, 68th Leg., p. 5429, ch. 1011, Sec. 2,
eff. Aug. 29, 1983; Acts 1987, 70th Leg., ch. 325, Sec. 12, eff.
June 11, 1987.
Sec. 113.233. Entry for Inspection and Investigation.
(a) An inspector, employee, or agent of the commission may
enter the premises of a licensee under this chapter or any
building or other premises open to the public at any reasonable
time for the purpose of determining and verifying compliance with
this chapter and the safety rules of the commission. This same
authority shall extend to private property with the permission of
the owner of such private property or an authorized agent of the
owner.
(b) Any authorized representative of the LP-Gas Division may
enter any buildings or premises where an accident has occurred in
which LP-gas was a probable cause for purposes of investigating
the cause, origin, and circumstances of such accident. The
LP-Gas Division may request that any state or local authority
having jurisdiction take appropriate action, to the extent
permitted by law, as may be necessary for preservation of
property and premises.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1985, 69th Leg., ch. 911, Sec. 2, eff. Aug.
26, 1985.
Sec. 113.234. Warning Tag.
An inspector, employee, or agent of the commission may declare
any container, appliance, equipment, transport, system, or LP-gas
operation that does not conform to the safety requirements of
this chapter or rules adopted under this chapter, or which is
otherwise defective, as unsafe or dangerous for LP-gas service
and shall attach a warning tag in a conspicuous location.
Amended by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980; Acts 1987, 70th Leg., ch. 325, Sec. 13, eff. June
11, 1987.
Sec. 113.235. Supplying or Removing LPG After Warning Tag Attached.
(a) Any person who knowingly sells, furnishes, delivers, or
supplies LPG for storage in or use or consumption by or through a
container, appliance, transport, or system to which a warning tag
is attached is guilty of a misdemeanor and on conviction is
punishable by a fine of not less than $50 and not more than
$2,000.
(b) LP-gas shall be removed from a container to which a warning
tag is attached only under the direction of the commission.
(c) In an emergency situation and for immediate need, the
commission may allow a reasonable amount of LP-gas to be
introduced into a container or may allow an LP-gas system or an
LP-gas appliance to be placed into LP-gas service, for a
reasonable time period provided the reasons for the warning tag
have been eliminated.
Added by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980. Amended by Acts 1991, 72nd Leg., ch. 725, Sec.
13, eff. Aug. 26, 1991.
Sec. 113.236. Penalty for Unauthorized Removal of Tag.
An unauthorized person who knowingly removes, destroys, or in
any way obliterates a warning tag attached to a container,
appliance, transport, or system is guilty of a misdemeanor and on
conviction is punishable by a fine of not less than $50 and not
more than $2,000.
Added by Acts 1979, 66th Leg., p. 2031, ch. 799, Sec. 1, eff.
Sept. 1, 1980.
SUBCHAPTER I. ALTERNATIVE FUELS RESEARCH AND EDUCATION
Sec. 113.241. Rules Regarding Research and Education.
The commission may adopt all necessary rules relating to the
purposes of this subchapter and activities regarding the use of
LPG and other environmentally beneficial alternative fuels that
are or have the potential to be effective in improving the
quality of air in this state.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 394, Sec. 1, eff. Aug. 30,
1993; Acts 1993, 73rd Leg., ch. 603, Sec. 1, eff. Sept. 1, 1993.
Sec. 113.242. Advisory Committees.
The commission may appoint one or more advisory committees
composed of members representing the LPG industry and other
environmentally beneficial alternative fuels industries,
consumers, and other interests to consult with and advise the
commission on opportunities and methods to expand the use of LPG
and other environmentally beneficial alternative fuels.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 603, Sec. 2, eff. Sept. 1,
1993.
Sec. 113.243. Alternative Fuels Research and Education Fund.
(a) The alternative fuels research and education fund is
created in the state treasury.
Text of subsec. (b) effective until issuance of order by the
Railroad Commission of Texas
(b) The fund consists of money from:
(1) fees charged under this subchapter;
(2) the penalties for the late payment of the fee charged
under this subchapter;
(3) gifts, grants, or other assistance received by the
commission from any source for the purposes of this subchapter;
(4) interest earned on amounts in the fund; and
(5) amounts collected by the commission under an agreement
with another state in accordance with Section 113.246(d).
Text of subsec. (b) effective upon issuance of order by the
Railroad Commission of Texas
(b) The fund consists of money from:
(1) fees charged under this subchapter;
(2) the penalties for the late payment of the fee charged
under this subchapter;
(3) gifts, grants, or other assistance received by the
commission from any source for the purposes of this subchapter;
(4) interest earned on amounts in the fund;
(5) amounts collected by the commission under an agreement
with another state in accordance with Section 113.246(e); and
(6) assessments, rebates on assessments, and other money
collected by the commission under the Propane Education and
Research Act of 1996 (15 U.S.C. Section 6401 et seq.) or other
applicable federal law.
(c) The fund may be used only by the commission to pay for
activities relating to the specific fuel from which the fee was
derived or the specific fuel, if any, for which the gift, grant,
or other assistance is given, including direct and indirect costs
relating to:
(1) researching all possible uses of LPG and other
environmentally beneficial alternative fuels to enhance air
quality;
(2) researching, developing, and implementing marketing,
advertising, and informational programs relating to alternative
fuels to make alternative fuels more understandable and readily
available to consumers;
(3) developing and implementing conservation and
distribution plans to minimize the frequency and severity of
disruptions in the supply of alternative fuels;
(4) developing a public information plan that will provide
advisory services relating to alternative fuels to consumers;
(5) developing voluntary participation plans to promote the
use of alternative fuels by federal, state, and local agencies;
(6) implementing consumer incentive or rebate programs
developed pursuant to Section 113.2435 of this subchapter;
(7) other functions the commission determines are necessary
to add a program established by the commission for the purpose
of promoting the use of LPG or other environmentally beneficial
alternative fuels; and
(8) the administrative costs incurred by the commission
under this subchapter.
(d) If a specific fee, gift, grant, or other assistance is
designated for or collected from discrete components of the
alternative fuels industry, the fee, gift, grant, or other
assistance shall be deposited in a separate account in the fund.
(e) The commission may apply for, request, solicit, contract
for, receive, and accept gifts, grants, and other assistance from
any source for the purposes of this subchapter. Money received
under this subsection shall be deposited in a separate account in
the fund as provided in Subsection (d) of this section.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1993, 73rd Leg., ch. 394, Sec. 2, eff. Aug. 30,
1993; Acts 1993, 73rd Leg., ch. 603, Sec. 3, eff. Sept. 1, 1993;
Acts 1993, 73rd Leg., ch. 883, Sec. 2, eff. Aug. 30, 1993; Acts
1997, 75th Leg., ch. 496, Secs. 1, 2.
Sec. 113.2435. Consumer Incentive or Rebate Programs.
(a) The commission may establish consumer rebate programs for
purchasers of appliances and equipment fueled by LPG or other
environmentally beneficial alternative fuels for the purpose of
achieving energy conservation and efficiency and improving the
quality of air in this state.
(b) The commission may adopt rules necessary to establish a
program under this section.
(c) Rules adopted and promulgated by the commission under this
section shall specify the following:
(1) rebate levels for various types of equipment such that
the rebates achieve an amount of public good comparable to the
rebate amount;
(2) a condition that the recipient agree to practice
environmentally sound operating principles;
(3) a condition that the rebate recipient agree to not
modify the equipment for a specified number of years as set by
the commission;
(4) any other conditions or restrictions determined by the
commission that would help ensure that either of the desired
goals of achieving energy conservation and efficiency or
improving air quality in this state is furthered;
(5) a limitation on the proportion of the fund usable for
the rebate program that limits the proportion usable to not
more than 50 percent of the funds available; and
(6) that the name or seal of the commission shall not be
used on any advertising that promotes the propane water heater
rebate program.
Added by Acts 1993, 73rd Leg., ch. 883, Sec. 1, eff. Aug. 30,
1993. Amended by Acts 1997, 75th Leg., ch. 496, Sec. 3, eff.
Sept. 1, 1997.
Sec. 113.244. Fee on Delivery of LPG.
(a) A fee is imposed on odorized LPG delivered into any means
of conveyance to be sold and placed into commerce. Except as
provided by Subsection (e), the fee is in an amount determined as
follows:
(1) $7.50 for each delivery into a cargo tank having a
capacity of less than 1,500 gallons;
(2) $9 for each delivery into a cargo tank having a capacity
of 1,500 gallons or more but less than 1,800 gallons;
(3) $10 for each delivery into a cargo tank having a
capacity of 1,800 gallons or more but less than 2,000 gallons;
(4) $12.50 for each delivery into a cargo tank having a
capacity of 2,000 gallons or more but less than 2,500 gallons;
(5) $13.50 for each delivery into a cargo tank having a
capacity of 2,500 gallons or more but less than 2,700 gallons;
(6) $25 for each delivery into a cargo tank having a
capacity of 2,700 gallons or more but less than 5,000 gallons;
(7) $37.50 for each delivery into a cargo tank having a
capacity of 5,000 gallons or more but less than 8,000 gallons;
(8) $50 for each delivery into a cargo tank having a
capacity of 8,000 gallons or more but less than 12,000 gallons;
and
(9) $25 for each increment of 5,000 gallons or any part of
5,000 gallons delivered into a cargo tank having a capacity of
12,000 gallons or more.
(b) The owner of LPG at the time of odorization or at the time
of import of odorized LPG shall pay the fee based on the net
amount of odorized LPG sold and placed into commerce. The fee
shall be collected and remitted to the commission as provided by
Section 113.245 by the person who odorizes the LPG or imports
odorized LPG.
(c) "Time of import" means the time of entry into this state
from another state or from outside the United States.
(d) The fee does not apply to a delivery of odorized LPG
destined for export from the United States or this state if the
LPG is in continuous movement to a destination outside the United
States or this state. As to LPG exported from this state, and
notwithstanding any other provision of this chapter, a delivery
fee may be levied and collected under this section only if
required to be levied and collected by implementation of the
Propane Education and Research Act of 1996 (15 U.S.C. Section
6401 et seq.).
(e) If the commission is party to an agreement with another
state's propane education and research program under Section
113.246(c), the fee on LPG destined for export to that state and
in continuous movement to a destination in that state shall be
assessed at the rate in effect in that state.
(f) The commission may transfer fees collected under Subsection
(e) to the agency or organization in the other state that is
party to the commission's agreement with that state.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1997, 75th Leg., ch. 496, Sec. 4, eff. Sept. 1,
1997.
Sec. 113.245. Report and Remission of Fees.
(a) Each person responsible for collecting and remitting a fee
on a delivery of LPG shall, on or before the 25th day of the
month following the end of each calendar month, file a report
with the commission and remit the amount of fees required to be
collected or paid during the preceding month.
(b) Each person responsible for collecting and remitting a fee
on a delivery of LPG or the person's representative shall prepare
the report required under Subsection (a) of this section on a
form provided or approved by the commission.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1997, 75th Leg., ch. 496, Sec. 5, eff. Sept. 1,
1997.
Sec. 113.246. Rules Regarding Fees; Agreements With Other States.
Text of section effective until issuance of order by the Railroad
Commission of Texas
(a) The commission shall adopt rules necessary for the
administration, collection, reporting, and payment of the fees
payable or collected under this subchapter.
(b) The rebate program provided in Section 113.2435 shall be
funded by 50 percent of the total delivery fees collected under
Section 113.244. Administrative costs for the Alternative Fuels
Research and Education Division program may not exceed 25 percent
of the total delivery fees collected. The remainder of the total
delivery fees collected may be expended at the discretion of the
commission.
(c) The commission may enter into an agreement with an agency
of or an organization in another state to coordinate the
administration, collection, reporting, and payment of the fees
payable or collected under this subchapter and the other state's
propane education and research program created by that state's
law or rule.
(d) An agreement executed under Subsection (c) may include
reporting, auditing, collecting, apportioning, and remitting fees
and assessments payable or collected under this subchapter, any
applicable federal law, and the other state's propane education
and research program. The commission may adopt rules necessary
to implement the agreements authorized by this section.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1997, 75th Leg., ch. 496, Sec. 6.
For text of section effective upon issuance of order by the
Railroad Commission of Texas, see Sec. 113.246, post
Sec. 113.246. Rules Regarding Fees; Agreements With Other States.
Text of section effective upon issuance of order by the Railroad
Commission of Texas
(a) The commission shall adopt rules necessary for the
administration, collection, reporting, and payment of the fees
payable or collected under this subchapter and the Propane
Education and Research Act of 1996 (15 U.S.C. Section 6401 et
seq.) or other applicable federal law.
(b) The rebate program provided in Section 113.2435 shall be
funded by 50 percent of the total delivery fees collected under
Section 113.244. Administrative costs for the Alternative Fuels
Research and Education Division program may not exceed 25 percent
of the total delivery fees collected. The remainder of the total
delivery fees collected may be expended at the discretion of the
commission.
(c) The commission may enter into an agreement with an agency
of or an organization in another state and with the national
Propane Education and Research Council to coordinate the
administration, collection, reporting, and payment of the fees
payable or collected under the Propane Education and Research Act
of 1996 (15 U.S.C. Section 6401 et seq.) or other applicable
federal law.
(d) The commission may enter into an agreement with an agency
of or an organization in another state to coordinate the
administration, collection, reporting, and payment of the fees
payable or collected under this subchapter and the other state's
propane education and research program created by that state's
law or rule.
(e) An agreement executed under Subsection (c) or (d) may
include reporting, auditing, collecting, apportioning, and
remitting fees and assessments payable or collected under this
subchapter, the Propane Education and Research Act of 1996 (15
U.S.C. Section 6401 et seq.) or other applicable federal law, and
the other state's propane education and research program. The
commission may adopt rules necessary to implement the agreements
authorized by this section.
(f) None of the funds payable or collected under or by the
authority of the Propane Education and Research Act of 1996 (15
U.S.C. Section 6401 et seq.) may be spent on the promotion or
marketing of propane for use in on-the-road vehicles.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Amended by Acts 1997, 75th Leg., ch. 496, Secs. 6, 7.
For text of section effective until issuance of order by the
Railroad Commission of Texas, see Sec. 113.246, ante
Sec. 113.247. Penalties Related to Report or Fees.
(a) A person who fails to file a report as provided by this
subchapter or who possesses a fee collected or payable under this
subchapter and who fails to remit the fee to the commission at
the time and in the manner required by this subchapter and rules
of the commission shall pay a penalty of five percent of the
amount of the fee due and payable. If the person fails to file
the report or pay the fee before the 30th day after the date on
which the fee or report is due, the person shall pay a penalty of
an additional five percent of the amount of the fee due and
payable.
(b) The commission may add a penalty of 75 percent of the
amount of the fee or penalty due if failure to file the report or
pay the fee when it comes due is attributable to fraud or an
intent to evade the application of this section or a rule made
under this subchapter.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Sec. 113.248. Civil Penalty.
A person forfeits to the state a civil penalty of not less than
$25 nor more than $200 if the person:
(1) fails or refuses to comply with or violates this
subchapter; or
(2) fails or refuses to comply with or violates a commission
rule for administering or enforcing this subchapter.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Sec. 113.249. Attorney General.
The attorney general, at the request of the commission, may sue
in a court of competent jurisdiction to collect any fee or
penalty due under this subchapter.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
Sec. 113.250. Criminal Penalty.
(a) A person commits an offense if the person makes and
delivers to the commission a report required under this
subchapter to be made and delivered to the commission, if the
report contains false information. An offense under this
subsection is a felony of the third degree.
(b) The court may not fine a corporation or association under
Section 12.51(c), Penal Code, unless the amount of the fine under
that subsection is greater than the amount that could be fixed by
the court under Section 12.51(b), Penal Code.
(c) In addition to a sentence imposed on a corporation, the
court shall give notice of the conviction to the attorney general
as required by Article 17A.09, Code of Criminal Procedure.
Added by Acts 1991, 72nd Leg., ch. 725, Sec. 14, eff. Aug. 26,
1991.
SUBCHAPTER J. ALTERNATIVE FUELS COUNCIL
Sec. 113.281. Definition.
In this subchapter, "council" means the Alternative Fuels
Council.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.282. Alternative Fuels Council.
The Alternative Fuels Council is an agency of the state.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.283. Composition.
(a) The council is composed of the following individuals:
(1) the commissioner of the General Land Office;
(2) the members of the Railroad Commission of Texas;
(3) the chairman of the General Services Commission; and
(4) the chairman of the Texas Natural Resource Conservation
Commission.
(b) A member may designate an individual from the state agency
the member represents to serve in place of the member.
(c) The initial chairman of the council shall be the
commissioner of the General Land Office or a person designated by
the commissioner. Chairmanship of the council shall rotate
annually between the commissioner of the General Land Office and
the chairman of the Railroad Commission of Texas or individuals
designated by those members under Subsection (b) of this section.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.273, eff.
Sept. 1, 1995.
Sec. 113.284. Alternative Fuels Program.
(a) The council shall coordinate a comprehensive program to be
carried out by state agencies in support of the use of
environmentally beneficial alternative fuels.
(b) In developing a program under this section, the council may
adopt rules necessary to achieve the purposes of this subchapter.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.285. Legislative Findings.
(a) The legislature finds that this subchapter serves the
public purposes of:
(1) development and diversification of the economy of the
state;
(2) elimination of unemployment or underemployment in the
state; and
(3) development or expansion of transportation or commerce
in the state.
(b) The enumeration of public purposes in Subsection (a) of
this section is not intended to be a complete list of the public
purposes served by this subchapter and does not preclude a
finding that this subchapter serves a public purpose not
enumerated in that subsection.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.286. Alternative Fuels Conversion Fund.
(a) The alternative fuels conversion fund is in the state
treasury.
(b) To the extent permitted by federal law or regulations, the
council may use the money in the fund only to:
(1) make loans or grants under this subchapter;
(2) finance activities supporting or encouraging the use of
compressed natural gas, liquefied natural gas, liquefied
petroleum gas, methanol or methanol/gasoline blends of 85
percent or greater, ethanol or ethanol/gasoline blends of 85
percent or greater, or electricity ; or
(3) pay the costs of administering this subchapter.
(c) The council may apply for, request, solicit, contract for,
receive, and accept gifts, grants, and other assistance from any
source for the purposes of this subchapter.
(d) The council shall maintain a separate account in the fund
for money received that is designated for the promotion of a
specific fuel or that is collected from a discrete component of
the alternative fuels industry. The council may use money in a
separate account in the fund only to finance an activity that
relates to the fuel for which the money is received.
(e) The fund consists of:
(1) oil overcharge funds appropriated by the legislature;
(2) gifts, grants, and other assistance to the council or
fund for the purpose of financing alternative fuels activities;
(3) other money designated by the legislature or the
executive branch;
(4) payments of principal and interest on loans made under
this subchapter; and
(5) interest earned on amounts in the fund.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993. Amended by Acts 1995, 74th Leg., ch. 11, Sec. 16, eff.
Sept. 1, 1995.
Sec. 113.287. Fuels Conversion Loan Program.
(a) The council may make loans, grants, or other distributions
to eligible borrowers to fund conversion or infrastructure
projects to promote the use of environmentally beneficial fuels
or for other purposes, subject to applicable regulations or
approval of the United States Department of Energy.
(b) The council shall adopt rules necessary to administer the
fuels conversion loan program.
(c) The council shall adopt rules under this section in
accordance with applicable rules and regulations of the United
States Department of Energy.
(d) The council by rule shall determine which individuals and
businesses are eligible for a loan, grant, or other disbursement
under this section. The rules shall provide for historically
underutilized businesses, individuals with low incomes,
institutions of higher education, and health care facilities to
be eligible for loans, grants, or other disbursements to
undertake conversion and infrastructure projects for fuels.
(e) A state agency, county, municipality, school district, or
mass transit authority or department is eligible to receive a
loan, grant, or other disbursement under this subchapter to carry
out an eligible conversion or infrastructure project regarding
LPG or another environmentally beneficial fuel to comply with
fuel requirements provided by or by rules adopted under:
(1) Subchapter F, Chapter 382, Health and Safety Code;
(2) Subchapter A, Chapter 2158, Government Code;
(3) Subchapter C, Chapter 2171, Government Code;
(4) Subchapter G, Chapter 451, Transportation Code;
(5) Subchapter F, Chapter 452, Transportation Code; or
(6) Subchapter F, Chapter 453, Transportation Code.
(f) The council may make a loan to finance the construction of
an infrastructure refueling facility only if the facility is to
serve and be accessible to the general public to the extent
practicable.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993. Amended by Acts 1995, 74th Leg., ch. 11, Sec. 17, eff.
Sept. 1, 1995; Acts 1995, 74th Leg., ch. 260, Sec. 41, eff. May
30, 1995; Acts 1997, 75th Leg., ch. 165, Sec. 30.230, eff. Sept.
1, 1997.
Sec. 113.288. Interest Amounts.
(a) The council may loan money under this subchapter at no
interest to a state agency, county, municipality, school
district, or mass transit authority or department.
(b) A loan to any other entity must bear interest at a rate
that is not greater than the auction average rate quoted on a
bank discount basis for 26-week treasury bills issued by the
United States as published by the federal reserve board for the
week preceding the week in which the interest rate is determined,
plus two percent.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.289. Term of Loan.
A loan under this subchapter must be repaid not later than the
fifth anniversary of the date the loan was issued.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
Sec. 113.290. Transfer of Vehicle or Other Property Converted With Loan
Proceeds.
A borrower may not transfer to another person a vehicle or
other property converted to alternative fuel use with the
proceeds of a loan under this subchapter unless before the
transfer:
(1) the loan is fully repaid; or
(2) the alternative fuels equipment purchased, installed, or
constructed with the loan proceeds is removed and installed on
another vehicle or other property owned by the person.
Added by Acts 1993, 73rd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1993.
SUBCHAPTER J. LIABILITY OF LICENSE HOLDER
Sec. 113.301. Limitation of Liability of Licensed Installer or Servicer.
A person is not liable for damages caused solely by a malfunction
or improper operation of an LPG system that the person installed
or serviced in a residential, commercial, or public building or
in a motor vehicle if:
(1) the person was licensed to perform the installation or
service;
(2) the installation or service was performed in compliance with
the safety rules and standards adopted by the commission;
(3) the person has no control over the operation of the LPG
system;
(4) the person was not negligent; and
(5) the person did not supply a defective product which was a
producing cause of harm.
Added by Acts 1993, 73rd Leg., ch. 80, Sec. 1, eff. Aug. 30,
1993. Amended by Acts 1997, 75th Leg., ch. 300, Sec. 1, eff. May
26, 1997