S.B. No. 2119
 
 
 
 
AN ACT
  relating to the transfer of the regulation of motor fuel metering
  and motor fuel quality from the Department of Agriculture to the
  Texas Department of Licensing and Regulation; providing civil and
  administrative penalties; creating criminal offenses; requiring
  occupational licenses; authorizing fees.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle A, Title 14, Occupations Code, is
  amended by adding Chapter 2310 to read as follows:
  CHAPTER 2310.  MOTOR FUEL METERING AND QUALITY
  SUBCHAPTER A.  GENERAL PROVISIONS
         Sec. 2310.001.  DEFINITIONS. (a)  In this chapter:
               (1)  "Commercial weighing or measuring device" means a
  weighing or measuring device used in a commercial transaction.
               (2)  "Commission" means the Texas Commission of
  Licensing and Regulation.
               (3)  "Dealer" means a person who:
                     (A)  is the operator of a service station or other
  retail outlet; and
                     (B)  delivers motor fuel into the fuel tanks of
  motor vehicles or motor boats.
               (4)  "Department" means the Texas Department of
  Licensing and Regulation.
               (5)  "Executive director" means the executive director
  of the department.
               (6)  "Motor fuel" has the meaning assigned by Section
  162.001, Tax Code.
               (7)  "Motor fuel metering device" means a commercial
  weighing or measuring device used for motor fuel sales.
               (8)  "Operator" or "user" means a person in possession
  or control of a weighing or measuring device.
               (9)  "Sell" includes barter or exchange.
               (10)  "Weighing or measuring device" means a scale or a
  mechanical or electronic device used to dispense or deliver a motor
  fuel by weight, volume, flow rate, or other measure or to compute
  the charge for a service related to motor fuel.
               (11)  "Weight or measure of a motor fuel" means the
  weight or measure of a motor fuel as determined by a weighing or
  measuring device.
         (b)  A reference to the weight of a motor fuel in this chapter
  is a reference to the net weight of the motor fuel.
         Sec. 2310.002.  ENFORCEMENT OF CHAPTER.
  (a)  Notwithstanding any other law, the department shall
  administer and enforce the provisions of this chapter and shall
  regulate all motor fuel metering devices sold or offered for sale in
  this state. The department may purchase apparatus as necessary for
  the administration of this chapter.
         (b)  To the extent this chapter conflicts with Chapter 13,
  Agriculture Code, with regard to motor fuel metering devices, this
  chapter controls.
         (c)  The department may contract with one or more license
  holders under Subchapter D of this chapter or Subchapter I, Chapter
  13, Agriculture Code, to perform the department's duties under this
  chapter related to motor fuel metering devices. A reference in this
  chapter to the commission or department in the context of a
  contracted service means the contractor.
         Sec. 2310.003.  CIVIL PENALTY; INJUNCTION. (a)  A person
  who violates Subchapter B or C or a rule adopted under Subchapter B
  or C is liable to the state for a civil penalty not to exceed $500
  for each violation. Each day a violation continues may be
  considered a separate violation for purposes of a civil penalty
  assessment.
         (b)  On request of the executive director, the attorney
  general or the county attorney or district attorney of the county in
  which the violation is alleged to have occurred shall file suit to
  collect the penalty.
         (c)  A civil penalty collected under this section shall be
  deposited in the state treasury to the credit of the general revenue
  fund. A civil penalty recovered in a suit first instituted by one
  or more local governments under this section shall be equally
  divided between this state and each local government that first
  instituted the suit, with 50 percent of the recovery deposited to
  the credit of the general revenue fund and the other 50 percent
  distributed equally to each local government.
         (d)  The executive director is entitled to appropriate
  injunctive relief to prevent or abate a violation of this chapter or
  a rule adopted under this chapter. On request of the executive
  director, the attorney general or the county or district attorney
  of the county in which the alleged violation is threatened or is
  occurring shall file suit for the injunctive relief. Venue is in
  the county in which the alleged violation is threatened or is
  occurring.
         (e)  The department and the attorney general may each recover
  reasonable expenses incurred in obtaining injunctive relief and
  civil penalties under this section, including investigative costs,
  court costs, reasonable attorney's fees, witness fees, and
  deposition expenses. The expenses recovered by the department may
  be appropriated only to the department for the administration and
  enforcement of this chapter. The expenses recovered by the
  attorney general may be appropriated only to the attorney general.
  SUBCHAPTER B. STANDARD WEIGHTS AND MEASURES FOR MOTOR FUEL
         Sec. 2310.051.  LEGAL STANDARDS. (a)  The legal standard
  for the weight or measure of a motor fuel in this state is the
  standard weight or measure adopted and used by the government of the
  United States for that motor fuel. If the United States does not
  provide a standard weight or measure for a motor fuel, the standard
  for the motor fuel is that established by this subchapter.
         (b)  The commission may adopt rules for the purpose of
  administering this subchapter and bringing about uniformity
  between the standards established under this subchapter and the
  standards established by federal law.
         (c)  Except as otherwise provided by an express contract, a
  contract for work or sales by weight or measure of a motor fuel
  shall be construed in accordance with the standards of this
  subchapter.
         (d)  The standards of this subchapter shall be the guide for
  making any adjustment of weighing or measuring devices under the
  law of this state.
         Sec. 2310.052.  STANDARD FOR LIQUID MOTOR FUEL. (a)  This
  section does not apply to compressed natural gas or liquefied
  natural gas.
         (b)  The standard unit of measure of capacity for liquid
  motor fuels is the gallon.
         (c)  Except as provided by Subsections (d) and (e), all other
  measures of capacity for liquid motor fuels are derived from the
  gallon by continual division by two, making half gallons, quarts,
  pints, half pints, and gills.
         (d)  A mechanism or machine that is adapted to measure and
  deliver liquid motor fuels by volume and that indicates fractional
  parts of a gallon shall indicate the fractional parts either in
  terms of binary submultiple subdivisions or in terms of tenths of a
  gallon.
         (e)  For purposes of the retail sale of motor fuel only, the
  liquid gallon contains 231 cubic inches without adjustment based on
  the temperature of the liquid.
         Sec. 2310.053.  EXEMPTION OF CERTAIN MOTOR FUEL METERING
  DEVICES. (a)  The commission by rule may exempt a motor fuel
  metering device from a requirement established by this chapter if
  the commission determines that imposing or enforcing the
  requirement:
               (1)  is not cost-effective for the department;
               (2)  is not feasible with current resources or
  standards; or
               (3)  will not substantially benefit or protect
  consumers.
         (b)  A motor fuel metering device is exempt from the
  requirements of this chapter if the motor fuel metering device is
  not used to:
               (1)  calculate the amount of motor fuel sold in a
  commercial transaction; or
               (2)  compute the charge for service.
         Sec. 2310.054.  SALE OF MOTOR FUEL BY PROPER MEASURE.
  (a)  Except as otherwise provided by this section, motor fuel shall
  be sold by liquid measure.
         (b)  Compressed natural gas and liquefied natural gas shall
  be sold by weight.
         (c)  A person violates this chapter if, in violation of this
  section, the person sells motor fuel by other than weight or liquid
  measure.
         Sec. 2310.055.  PRICE ADVERTISEMENT; MISREPRESENTATION OF
  PRICE OR QUANTITY. (a)  If a price sign, card, tag, poster, or
  other advertisement displaying the price of motor fuel includes a
  whole number and a fraction, the figures in the fraction shall be of
  proportionate size and legibility to those of the whole number.
         (b)  A person violates this chapter if the person:
               (1)  misrepresents the price of motor fuel sold or
  offered or exposed for sale; or
               (2)  represents the price or the quantity of motor fuel
  sold or offered or exposed for sale in a manner intended or tending
  to mislead or deceive an actual or prospective customer.
         Sec. 2310.056.  FALSE REPRESENTATION OF MOTOR FUEL QUANTITY.
  A person violates this chapter if the person or the person's
  representative or agent:
               (1)  sells or offers or exposes for sale a quantity of
  motor fuel that is less than the quantity the person represents; or
               (2)  as a buyer furnishing the weight or measure of a
  motor fuel by which the amount of the motor fuel is determined,
  takes or attempts to take more than the quantity the person
  represents.
         Sec. 2310.057.  USE OF INCORRECT MOTOR FUEL METERING DEVICE.
  (a)  A person commits an offense if the person or the person's
  representative or agent knowingly uses an incorrect weighing or
  measuring device in:
               (1)  buying or selling motor fuel;
               (2)  computing a charge for services rendered on the
  basis of weight or measure; or
               (3)  determining the weight or measure of motor fuel,
  if a charge is made for the determination.
         (b)  For the purpose of this section, a weighing or measuring
  device is incorrect if it:
               (1)  does not conform as closely as practicable to the
  official standards;
               (2)  is not accurate;
               (3)  is of a construction that is not reasonably
  permanent in adjustment or does not correctly repeat its
  indications;
               (4)  facilitates the perpetration of fraud; or
               (5)  does not conform to the specifications and
  tolerances under Section 2310.107.
         Sec. 2310.058.  SALE OF MOTOR FUEL IN VIOLATION OF
  SUBCHAPTER. A person violates this chapter if the person or the
  person's representative or agent sells or keeps, offers, or exposes
  for sale motor fuel in violation of this subchapter.
         Sec. 2310.059.  TESTING BY DEPARTMENT. (a)  The department
  shall from time to time weigh or measure an amount of motor fuel
  that is kept or offered for sale, sold, or in the process of
  delivery, in order to determine:
               (1)  if the motor fuel is of the amount or quantity
  represented; or
               (2)  if the motor fuel is being offered for sale or sold
  in accordance with law.
         (b)  If the department finds that any lot of motor fuel
  contains less of the motor fuel than the amount represented, the
  department may seize the motor fuel as evidence.
         (c)  A person commits an offense if the person or the
  person's employee or agent refuses to exhibit motor fuel being sold
  or offered for sale at a given weight or quantity, or ordinarily
  sold in that manner, to the department for testing and proving as to
  quantity.
         Sec. 2310.060.  STOP-SALE ORDER. (a)  If the department has
  reason to believe that motor fuel is being sold or kept, offered, or
  exposed for sale in violation of this chapter or that motor fuel is
  being sold or offered for sale by or through the use of a motor fuel
  metering device that is in violation of this chapter, the executive
  director may issue an order to stop the sale of the motor fuel. The
  executive director shall issue the order to the owner or custodian
  of the motor fuel or seller of the motor fuel. The person receiving
  the order may not sell the motor fuel until discharged by a court
  under Subsection (b) or until the executive director finds that the
  motor fuel or motor fuel metering device is in compliance with this
  chapter.
         (b)  The owner, custodian, or seller of motor fuel prohibited
  from sale by an order of the executive director is entitled to sue
  in a court where the motor fuel is found or is being sold or offered
  for sale for a judgment as to the justification of the order and for
  the discharge of the motor fuel in accordance with the findings of
  the court.
         (c)  This section does not limit the right of the department
  to proceed as authorized by other sections of this code.
         Sec. 2310.061.  PENALTIES; DEFENSE. (a)  An offense under
  Section 2310.057 or 2310.059 is a Class C misdemeanor.
         (b)  It is a defense to prosecution or to the imposition of a
  civil or administrative penalty for a violation of Section 2310.057
  or 2310.059 that a discrepancy between the actual weight or volume
  at the time of sale to a consumer or a discrepancy between the fill
  of a container and the capacity of the container is due to
  unavoidable leakage, shrinkage, evaporation, waste, or causes
  beyond the control of the seller acting in good faith.
  SUBCHAPTER C. INSPECTION AND REGISTRATION OF MOTOR FUEL METERING
  DEVICES
         Sec. 2310.101.  AUTHORITY TO INSPECT. (a)  If the
  department has reason to believe that a motor fuel metering device
  is being used for a commercial transaction and the device is not
  registered with the department, the department may inspect the
  device and the records of the owner, operator, or user of the device
  that relate to use of the device to determine whether the device is
  in compliance with this chapter.
         (b)  The department has reason to believe a motor fuel
  metering device is being used for a commercial transaction if:
               (1)  the motor fuel metering device is found near motor
  fuel being sold or offered for sale by weight or measure and the
  device appears to be under the control or in the possession of the
  person selling the motor fuel or offering the motor fuel for sale;
  or
               (2)  other available evidence is sufficient for a
  prudent person to believe that the motor fuel metering device is
  being used for a commercial transaction.
         Sec. 2310.104.  COMPLAINTS REGARDING MOTOR FUEL METERING
  DEVICES. In accordance with Chapter 51, the executive director
  shall establish methods by which consumers and service recipients
  are notified of the name, mailing address, and telephone number of
  the department for the purpose of directing complaints to the
  department. The department shall provide to the person filing the
  complaint and to each person who is a subject of the complaint
  information about the department's policies and procedures
  relating to complaint investigation and resolution.
         Sec. 2310.105.  REPAIR OR DESTRUCTION OF INCORRECT MOTOR
  FUEL METERING DEVICES. (a)  If, in the judgment of the department,
  a motor fuel metering device found to be incorrect is not capable of
  being repaired, the department may condemn, seize, and destroy the
  device.
         (b)  If, in the judgment of the department, an incorrect
  motor fuel metering device is capable of being repaired, the
  department shall place on the device a tag or other mark with the
  words "Out of Order." The owner or user of the motor fuel metering
  device may not use it until it is reinspected and released for use
  by the department or inspected and released for use in any other
  manner authorized by commission rule.
         (c)  The owner, operator, or user of a motor fuel metering
  device may not destroy, replace, or otherwise dispose of a device
  declared to be incorrect or condemned under this section except as
  provided by commission rule.
         Sec. 2310.106.  INSPECTION OF STANDARDS USED TO PERFORM
  DEVICE MAINTENANCE ACTIVITIES. (a)  In this section, "state
  metrology laboratory" means the metrology laboratory maintained by
  the Department of Agriculture under Subchapter C, Chapter 13,
  Agriculture Code.
         (b)  The commission may adopt rules to regulate the frequency
  and place of inspection and correction of the standards for motor
  fuel used by an individual or business licensed by the department to
  perform device maintenance activities under Subchapter D or an
  individual or business licensed under Subchapter I, Chapter 13,
  Agriculture Code.
         (c)  The department may inspect any standard for motor fuel
  used by an individual or business licensed by the department to
  perform device maintenance activities described by Subchapter D or
  an individual or business licensed under Subchapter I, Chapter 13,
  Agriculture Code, if the department has reason to believe a
  standard is no longer in compliance with this chapter.
         (d)  The department shall keep a record of the inspection and
  character of standards for motor fuel inspected under this section.
         (e)  The state metrology laboratory shall purchase
  additional sets of standards as necessary for use by a department
  inspector or other department personnel.
         (f)  The state metrology laboratory shall inspect and
  correct the standards for motor fuel used by a department
  inspector, another department employee, an individual or business
  licensed by the department to perform device maintenance activities
  under Subchapter D, or an individual or business licensed under
  Subchapter I, Chapter 13, Agriculture Code.
         (g)  The department and the state metrology laboratory shall
  enter into a memorandum of understanding to implement this section.  
  The memorandum of understanding must provide department personnel
  and persons licensed under Subchapter D with access to state
  metrology laboratory services equal to the access provided to
  Department of Agriculture personnel and persons licensed under
  Subchapter I, Chapter 13, Agriculture Code, and under equivalent
  terms and conditions.
         Sec. 2310.107.  TOLERANCES. Specifications and tolerances
  for motor fuel metering devices shall be the same as those
  recommended by the National Institute of Standards and Technology.
         Sec. 2310.108.  FEES. The commission by rule shall
  establish fees in amounts reasonable and necessary to cover the
  cost of administering this chapter.
         Sec. 2310.109.  REFUSING TO ALLOW TEST OF MOTOR FUEL
  METERING DEVICE.  (a)  A person commits an offense if the person
  refuses to allow a motor fuel metering device under the person's
  control or in the person's possession to be inspected, tested, or
  examined by the department, and the inspection, test, or
  examination is required or authorized by this chapter.
         (b)  A person commits an offense if the person hinders or
  obstructs in any way the department, a department inspector, or
  other department employee in the performance of official duties.
         (c)  A person commits an offense if the person removes or
  obliterates a tag or device placed or required by the department to
  be placed on a motor fuel metering device under this chapter.
         Sec. 2310.110.  SALE OR USE OF INCORRECT MOTOR FUEL METERING
  DEVICE. (a)  The department may condemn and prohibit the sale or
  distribution of any incorrect motor fuel metering device that is
  sold, offered for sale, or about to be sold in this state.
         (b)  A person commits an offense if the person or the
  person's representative or agent knowingly:
               (1)  offers or exposes for sale, hire, or award or sells
  an incorrect motor fuel metering device;
               (2)  possesses an incorrect motor fuel metering device;
  or
               (3)  sells, offers for sale, uses, or possesses for the
  purpose of sale or use a device or instrument to be used to falsify
  or intended to falsify a weight or measure for motor fuel.
         Sec. 2310.111.  DISPOSING OF CONDEMNED MOTOR FUEL METERING
  DEVICE. A person commits an offense if the person or the person's
  representative or agent disposes of a motor fuel metering device
  condemned under Section 2310.105 or 2310.110 in a manner contrary
  to those sections.
         Sec. 2310.112.  PENALTIES. An offense under Section
  2310.109, 2310.110, or 2310.111 is a Class C misdemeanor.
  SUBCHAPTER D.  LICENSING OF MOTOR FUEL METERING DEVICE SERVICE
  TECHNICIANS AND MOTOR FUEL METERING DEVICE SERVICE COMPANIES
         Sec. 2310.151.  DEFINITIONS. In this subchapter:
               (1)  "Device maintenance activities" means activities
  described by Section 2310.152.
               (2)  "License holder" means a person who holds a motor
  fuel metering device service company license or a motor fuel
  metering device service technician license.
               (3)  "Service company" means a person who holds a motor
  fuel metering device service company license issued by the
  department under this subchapter.
               (4)  "Service technician" means an individual who holds
  a motor fuel metering device service technician license issued by
  the department under this subchapter.
         Sec. 2310.152.  DEVICE MAINTENANCE ACTIVITIES. A person
  performs device maintenance activities if the person or the
  person's employee:
               (1)  places a motor fuel metering device in service;
               (2)  installs, calibrates, inspects, tests, or repairs
  a motor fuel metering device; or
               (3)  removes an out-of-order tag, stop-sale order,
  security seal, lock, condemnation notice, or other form of use
  prohibition placed on a motor fuel metering device by the
  department.
         Sec. 2310.153.  POWERS AND DUTIES OF DEPARTMENT. (a)  To
  verify compliance with licensing requirements, trade practices,
  commission rules, and this chapter, the department may periodically
  or in response to a complaint or previous violation inspect an
  applicant's or license holder's:
               (1)  facilities;
               (2)  inspecting and testing equipment and procedures;
               (3)  repair and calibration equipment, standards, and
  procedures;
               (4)  transportation equipment; and
               (5)  invoices, work orders, and other records related
  to device maintenance activities.
         (b)  The department may periodically or in response to a
  complaint or previous violation monitor and inspect or test motor
  fuel metering devices that have been inspected and tested by a
  license holder and any standards used by the license holder during
  an inspection or test.
         (c)  The commission by rule may adopt additional
  requirements for the issuance of a license and for the denial of an
  application for a license or renewal of a license.  Rules adopted by
  the commission under this subsection must be designed to protect
  the public health, safety, and welfare and ensure the proper
  inspection, testing, and operation of motor fuel metering devices.
         (d)  The commission may adopt other rules necessary for the
  regulation of device maintenance activities, for the proper
  operation of motor fuel metering devices, and to protect the
  health, safety, and welfare of the public and license holders.
         (e)  The department may specify the date, time, and place for
  any inspection authorized by this section.
         Sec. 2310.154.  EXEMPTIONS FROM LICENSE REQUIREMENTS.
  (a)  A person is not required to hold a license issued under this
  subchapter if the person:
               (1)  is a department employee who is performing device
  maintenance activities in the scope of the person's duties for the
  department;
               (2)  is the owner or operator of a motor fuel metering
  device or an employee of the owner or operator of a motor fuel
  metering device and the person:
                     (A)  completely removes the motor fuel metering
  device from the location at which the device was installed,
  including a device subject to an out-of-order tag, stop-sale order,
  security seal, lock, condemnation notice, or other item placed on
  the device by the department to prohibit use of the device; and
                     (B)  notifies the department of the motor fuel
  metering device's removal not later than the 10th day after the date
  the device was removed in the manner provided by commission rule;
               (3)  performs device maintenance activities only on a
  motor fuel metering device that is:
                     (A)  exempt from the inspection and registration
  requirements of Sections 2310.102 and 2310.103 under commission
  rules; and
                     (B)  not required to be inspected by other
  commission rules; or
               (4)  is a license holder under Subchapter I, Chapter
  13, Agriculture Code.
         (b)  The department is not required to hold a license issued
  under this subchapter or Subchapter I, Chapter 13, Agriculture
  Code.
         Sec. 2310.155.  SERVICE TECHNICIAN LICENSE REQUIRED. Unless
  exempt from the licensing requirement, an individual may not
  perform or offer to perform device maintenance activities unless
  the individual holds a service technician license issued by the
  department under this subchapter.
         Sec. 2310.156.  SERVICE COMPANY LICENSE REQUIRED.
  (a)  Unless exempt from the license requirement, a person may not
  employ or contract with an individual who performs or offers to
  perform device maintenance activities unless the person holds a
  service company license issued by the department under this
  subchapter.
         (b)  Unless exempt from the licensing requirement, an
  individual may not perform or offer to perform device maintenance
  activities as a sole proprietor unless the individual holds a
  service technician license and a service company license issued by
  the department under this subchapter.
         Sec. 2310.157.  APPLICATION FOR LICENSE. (a)  An applicant
  for a license under this subchapter must submit to the department:
               (1)  an application form prescribed by the department;
               (2)  any other information required by the department;
  and
               (3)  a fee in an amount set by the department.
         (b)  The department shall conduct a criminal background
  check on each applicant who submits an application for a license
  under this subchapter and on any controlling person of the
  applicant.  The department may, as permitted by law:
               (1)  examine any criminal conviction, guilty plea, or
  deferred adjudication of the applicant or controlling person; and
               (2)  obtain any criminal history or record of the
  applicant or controlling person.
         Sec. 2310.158.  SERVICE TECHNICIAN LICENSE REQUIREMENTS.
  (a)  The department shall issue a license to each qualified
  applicant who applies for a service technician license.
         (b)  The commission by rule may require an applicant for the
  issuance or renewal of a service technician license to:
               (1)  provide proof that the applicant has completed an
  academic, trade, or professional course of instruction approved by
  the department; and
               (2)  pass a written test, a practical skills test, or
  both.
         Sec. 2310.159.  SERVICE COMPANY LICENSE REQUIREMENTS.
  (a)  The department shall issue a license to each qualified
  applicant who applies for a service company license.
         (b)  An applicant for the issuance or renewal of a license
  under this section must:
               (1)  submit to the department a certificate of
  insurance evidencing that the applicant has an insurance policy
  that meets the requirements of Section 2310.160 effective for the
  period for which the license is to be issued or renewed; and
               (2)  meet any other requirements provided by commission
  rule.
         Sec. 2310.160.  INSURANCE POLICY REQUIRED FOR SERVICE
  COMPANY. A service company shall maintain a current effective
  liability insurance policy issued by an insurance company
  authorized to do business in this state or by a surplus lines
  insurer that meets the requirements of Chapter 981, Insurance Code,
  and rules adopted by the commissioner of insurance in an amount set
  by commission rule and based on the type of licensed activities to
  be performed.
         Sec. 2310.161.  TERM OF LICENSE. A license issued under this
  subchapter is valid for one or two years as established by
  commission rule.
         Sec. 2310.162.  LICENSE RENEWAL. The commission by rule
  shall establish the requirements for renewing a license and issuing
  a renewal license under this chapter, including payment of
  applicable fees.
         Sec. 2310.163.  PRACTICE BY LICENSE HOLDER. (a)  A license
  holder shall perform device maintenance activities in compliance
  with commission rules.
         (b)  A license holder may use only equipment approved by the
  department, as provided by commission rules, when performing device
  maintenance activities.
         Sec. 2310.164.  CRIMINAL PENALTY. (a)  A person commits an
  offense if the person violates Section 2310.155 or 2310.156 or
  causes another person to violate Section 2310.155 or 2310.156.
         (b)  An offense under Subsection (a) is a Class B
  misdemeanor, unless the person has been previously convicted of an
  offense under this section, in which case the offense is a Class A
  misdemeanor.
  SUBCHAPTER E.  SALE, DELIVERY, AND QUALITY OF MOTOR FUEL
         Sec. 2310.201.  NOTICE OF SALE OF ALCOHOL AND FUEL MIXTURE.
  (a)  A dealer may not sell or offer for sale motor fuel from a motor
  fuel pump supplied by a storage tank into which motor fuel, in a
  mixture in which at least one percent of the mixture measured by
  volume is ethanol or methanol, has been delivered within the 60-day
  period preceding the date of sale or offer of sale unless the dealer
  prominently displays on the pump from which the mixture is sold a
  sign that:
               (1)  is displayed on each side of the motor fuel pump on
  which the price of the motor fuel mixture sold from the pump is
  displayed;
               (2)  states "Contains Ethanol" or "Contains Methanol,"
  as applicable;
               (3)  appears in contrasting colors with block letters
  at least one-half inch high and one-fourth inch wide; and
               (4)  is displayed in a clear, conspicuous, and
  prominent manner, visible to customers using either side of the
  pump.
         (b)  This section does not prohibit the posting of any other
  alcohol or additive information.  Other alcohol or additive
  information and any relevant posting are subject to regulation by
  the department.
         Sec. 2310.202.  MINIMUM MOTOR FUEL QUALITY AND TESTING
  STANDARDS. (a)  The commission by rule shall adopt minimum motor
  fuel quality and testing standards for motor fuel that is sold or
  offered for sale in this state.  The standards must comply with the
  nationally recognized minimum standards established by:
               (1)  the American Society for Testing and Materials,
  for motor fuels other than motor fuels blended with ethanol; and
               (2)  the National Institute of Standards and
  Technology, for motor fuels blended with ethanol.
         (b)  The commission may adopt rules as necessary to bring
  about uniformity between the standards established under this
  subchapter and the nationally recognized standards described by
  Subsection (a).
         Sec. 2310.203.  TESTING OF MOTOR FUEL QUALITY. (a)  The
  department or a representative of the department may collect
  samples and conduct testing at any location where motor fuel is
  kept, transferred, sold, or offered for sale to verify that the
  motor fuel complies with the minimum standards required by Section
  2310.202.
         (b)  The collection of samples and conducting of testing at a
  dealer's location must be performed by a license holder under
  Subchapter D of this chapter or Subchapter I, Chapter 13,
  Agriculture Code, under contract with the dealer.  The license
  holder is considered a representative of the department for
  purposes of this section.
         (c)  On arriving at a facility to conduct testing under
  Subsection (a), a representative of the department shall notify the
  owner or manager of the facility of the representative's presence
  and purpose.  The department representative shall follow the most
  recent applicable procedures specified by the American Society for
  Testing and Materials (ASTM) International Standard D4057, D4177,
  D5842, or D5854 for the collection, sampling, and handling of fuel
  to prepare for laboratory analysis.
         (d)  A person commits an offense if the person refuses to
  allow a department representative to collect samples or conduct
  motor fuel testing under Subsection (a).
         (e)  An offense under Subsection (d) is a Class C
  misdemeanor.
         Sec. 2310.204.  RULES; FEES.  (a)  The commission may adopt
  rules consistent with this subchapter for the regulation of the
  sale of motor fuels, including motor fuels that contain ethanol and
  methanol.
         (b)  The commission by rule may impose a fee for testing,
  inspection, or the performance of other services provided as
  determined necessary by the commission in the administration of
  this subchapter.  A fee imposed under this subsection shall be
  collected from each dealer, distributor, and supplier, as defined
  by Section 162.001, Tax Code, on a periodic basis determined by the
  commission without regard to whether the motor fuel is subject to
  regulation under this subchapter.
         (c)  The commission by rule shall prescribe the form for
  reporting and remitting the fees imposed under this section.
         (d)  Fees collected under this section may be used only to
  administer and enforce this subchapter.
         Sec. 2310.205.  CIVIL PENALTY. A person who sells or offers
  for sale motor fuel in violation of this subchapter or a rule
  adopted under this subchapter is liable to this state for a civil
  penalty of not less than $200 and not more than $2,500.
         Sec. 2310.206.  ADMINISTRATIVE PENALTY. The commission may
  impose an administrative penalty on a person under Subchapter F,
  Chapter 51, if the person sells or offers for sale motor fuel in
  violation of this subchapter or a rule adopted under this
  subchapter.
         SECTION 2.  Sections 13.1015 and 13.1016, Agriculture Code,
  are transferred to Subchapter C, Chapter 2310, Occupations Code, as
  added by this Act, redesignated as Sections 2310.102 and 2310.103,
  Occupations Code, and amended to read as follows:
         Sec. 2310.102 [13.1015].  INSPECTION OF MOTOR FUEL METERING
  DEVICES. (a)  Unless a motor fuel metering device is exempt from
  the application of this section by commission [department] rule, a
  motor fuel metering device shall be inspected, tested, and
  calibrated for correctness by a license holder under Subchapter D
  of this chapter or Subchapter I, Chapter 13, Agriculture Code, at
  least once every two years if the device is:
               (1)  kept for sale, sold, or used by a proprietor,
  agent, lessee, or employee in proving the measure of motor fuel; or
               (2)  purchased, offered, or submitted by a proprietor,
  agent, lessee, or employee for sale, hire, or award.
         (b)  Inspection, testing, and calibration under this section
  must be performed by a license holder under Subchapter D of this
  chapter or Subchapter I, Chapter 13, Agriculture Code, under
  contract with the operator or user of the motor fuel metering
  device.
         Sec. 2310.103 [13.1016].  REQUIRED REGISTRATION OF MOTOR
  FUEL METERING DEVICES. (a)  Unless a motor fuel metering device is
  exempt from the application of this section by commission 
  [department] rule, a person who owns or operates a motor fuel
  metering device shall register the device with the department
  before using the device for a commercial transaction.
         (b)  An application for a device registration must:
               (1)  be submitted to the department on a form
  prescribed by the department;
               (2)  be accompanied by any other document or form
  required by the department;
               (3)  include any fees [the registration fee] required
  under Section 2310.108 [13.1151]; and
               (4)  include documentation of compliance with Section
  2310.102 [13.1015].
         (c)  A registration under this section is valid for one or
  two years as [year unless a different period is] established by
  commission [department] rule. The registration must be renewed at
  or before the end of each registration period and the application
  for renewal must include documentation of compliance with Section
  2310.102 [13.1015].
         (d)  If a person fails to register or renew a registration as
  required by this section, the department may not issue a
  certificate to operate the motor fuel metering device. The
  department shall issue the certificate when the operator submits to
  the department the items required by Subsection (b).
         (e)  The department may assess a late fee if the registration
  of one or more devices located on a premises is renewed after the
  end of the registration period because of a registration error,
  including one or more devices not properly registered, failure to
  register the correct type of device, or failure to timely register a
  previously registered device. The amount of the late fee [penalty]
  may not exceed $50 per device, with a maximum penalty amount of $500
  per year for the premises.
         SECTION 3.  Sections 17.001, 17.0515, 17.052, 17.053,
  17.054, 17.055, 17.152, 17.153, and 17.154, Agriculture Code, are
  transferred to Subchapter E, Chapter 2310, Occupations Code, as
  added by this Act, redesignated as Sections 2310.2001, 2310.2011,
  2310.2012, 2310.2013, 2310.2014, 2310.2015, 2310.207, 2310.208,
  and 2310.209, Occupations Code, and amended to read as follows:
         Sec. 2310.2001 [17.001].  DEFINITIONS.  In this subchapter
  [chapter]:
               (1)  "Automotive fuel rating" has the meaning assigned
  by 15 U.S.C. Section 2821.
               (2)  "Dealer" means a person who:
                     (A)  is the operator of a service station or other
  retail outlet; and
                     (B)  delivers motor fuel into the fuel tanks of
  motor vehicles or motor boats.
               (3)  "Distributor" has the meaning assigned by Section
  162.001, Tax Code.
               (4)  "Jobber" means a person who purchases tax-paid
  gasoline for resale or distribution at wholesale.
               (5)  "Motor fuel" has the meaning assigned by Section
  162.001, Tax Code.
               (6)  "Supplier" has the meaning assigned by Section
  162.001, Tax Code.
               (7)  "Wholesaler" means a person who purchases tax-paid
  gasoline for resale or distribution at wholesale.
         Sec. 2310.2011 [17.0515].  NOTICE OF MOTOR FUEL TAX RATES.  
  (a)  The department shall display on each motor fuel pump from
  which motor fuel is sold at retail a notice of the current rates of
  the federal and state motor fuel taxes.  The notice must:
               (1)  display the current rate of each tax, in cents per
  gallon, for each type of motor fuel;
               (2)  be displayed on each face of the motor fuel pump on
  which the price of the motor fuel sold from the pump is displayed;
  and
               (3)  be displayed in a clear, conspicuous, and
  prominent manner.
         (b)  The department shall include the notice required under
  Subsection (a) with any other notice displayed or required by
  commission [department] rule to be displayed[, including a "Fuel
  Feedback?" sticker].
         Sec. 2310.2012 [17.052].  DOCUMENTATION OF MOTOR FUEL
  MIXTURE SALES.  (a)  Except as provided by Subsection (b), a
  distributor, supplier, wholesaler, or jobber of motor fuel may not
  deliver to an outlet in this state a motor fuel mixture that
  contains ethanol or methanol exceeding one percent by volume of the
  mixture unless, at the time of the delivery of the mixture, the
  person also delivers to the outlet receiving the delivery a
  manifest, bill of sale, bill of lading, or other document
  evidencing delivery of the mixture, that includes a statement
  containing:
               (1)  the percentage of ethanol or methanol contained in
  the mixture; and
               (2)  the types and percentages of any associated
  cosolvents contained in the mixture.
         (b)  Subsection (a) does not apply to a delivery made into
  the fuel supply tanks of a motor vehicle.
         (c)  The commission [commissioner] by rule may prescribe the
  form of the statement required by Subsection (a).
         Sec. 2310.2013 [17.053].  RECORD OF DELIVERY DOCUMENTS;
  INSPECTION AUTHORIZED.  (a)  Each dealer shall keep a copy of each
  document required to be delivered to the dealer by Section
  2310.2012 [17.052] until the fourth anniversary of the delivery
  date.
         (b)  Each distributor, supplier, wholesaler, and jobber of
  motor fuel shall keep a copy of each document required to be
  delivered to the dealer by Section 2310.2012 [17.052] until the
  fourth anniversary of the delivery date.
         (c)  The department [commissioner] or an authorized
  representative of the department [commissioner] may inspect
  documents described by this section.  On written notice issued
  [presented] by the department [commissioner] or an authorized
  representative of the department [commissioner] to any employee at
  a dealer's station or retail outlet or mailed to the principal place
  of business of a dealer, distributor, supplier, wholesaler, or
  jobber, the dealer, distributor, supplier, wholesaler, or jobber
  shall provide the department [commissioner] or authorized
  representative of the department [commissioner] with the documents
  described by this section within the period specified in the
  notice.
         (d)  The commission [commissioner] by rule may:
               (1)  require each dealer, distributor, supplier,
  wholesaler, and jobber to maintain and make available to the
  department:
                     (A)  invoices, receipts, or other transmittal
  documents or records, including electronically stored information,
  showing or describing the purchase, sale, delivery, or distribution
  of motor fuel;
                     (B)  invoices, receipts, work orders, reports, or
  other documents, including electronically stored information,
  showing or describing the installation, maintenance, or repair of:
                           (i)  motor fuel dispensing devices; and
                           (ii)  any equipment used in connection with
  motor fuel dispensing devices to record, display, or produce
  receipts or audit trails concerning the purchase, sale, delivery,
  or distribution of motor fuel; and
                     (C)  any record or other document related to the
  sampling and testing of motor fuel purchased, sold, delivered, or
  distributed by the dealer, distributor, supplier, wholesaler, or
  jobber; and
               (2)  prescribe:
                     (A)  the manner of filing documents or records
  required to be kept under this section or by commission
  [department] rule; and
                     (B)  the time, place, and manner of inspection of
  the documents or records.
         Sec. 2310.2014 [17.054].  DOCUMENTS RELATING TO POSTING OR
  CERTIFICATION OF AUTOMOTIVE FUEL RATINGS.  (a)  Each dealer shall
  keep for at least one year a copy of:
               (1)  each delivery ticket or letter of certification on
  which the dealer based a posting of the automotive fuel rating of
  motor fuel contained in a motor fuel pump;
               (2)  each delivery ticket or letter of certification
  that is required to be delivered to the dealer under 16 C.F.R. Part
  306; and
               (3)  records of any automotive fuel rating
  determination made by the dealer under 16 C.F.R. Part 306.
         (b)  Each distributor or supplier shall keep for at least one
  year at the distributor's or supplier's principal place of business
  a copy of each delivery ticket or letter of certification required
  to be delivered by the distributor or supplier to a dealer in this
  state under 16 C.F.R. Part 306.
         (c)  The department [commissioner] or an authorized
  representative of the department [commissioner] may inspect a
  document required to be kept under this section.  On written notice
  issued [presented] by the department [commissioner] or an
  authorized representative of the department [commissioner] to any
  employee at a dealer's station or retail outlet or mailed to the
  dealer's principal place of business, the dealer shall provide the
  department [commissioner] or authorized representative of the
  department [commissioner] with the documents described by this
  section within the period specified in the notice.
         (d)  The commission [commissioner] by rule may:
               (1)  require each dealer to maintain and make available
  to the department:
                     (A)  invoices, receipts, or other transmittal
  documents or records, including electronically stored information,
  showing or describing the purchase, sale, delivery, or distribution
  of motor fuel;
                     (B)  invoices, receipts, work orders, reports, or
  other documents, including electronically stored information,
  showing or describing the installation, maintenance, or repair of:
                           (i)  motor fuel dispensing devices; and
                           (ii)  any equipment used in connection with
  motor fuel dispensing devices to record, display, or produce
  receipts or audit trails concerning the purchase, sale, delivery,
  or distribution of motor fuel; and
                     (C)  any record or other document related to the
  sampling and testing of motor fuel purchased, sold, delivered, or
  distributed by the dealer; and
               (2)  prescribe:
                     (A)  the manner of filing documents or records
  required to be kept under this section or by commission
  [department] rule; and
                     (B)  the time, place, and manner of inspection of
  the documents or records.
         Sec. 2310.2015 [17.055].  SALE OF MOTOR FUEL WITH INACCURATE
  AUTOMOTIVE FUEL RATING.  (a)  A dealer may not sell or offer for
  sale from a motor fuel pump motor fuel that has an automotive fuel
  rating lower than the rating for that motor fuel posted on the pump.
         (b)  A distributor or supplier of motor fuel may not deliver
  or transfer to a dealer in this state motor fuel that has an
  automotive fuel rating lower than the certification of the rating
  the distributor or supplier is required to make to the dealer under
  federal law.
         Sec. 2310.207 [17.152].  CIVIL ACTION.  (a)  If a dealer or
  a distributor, supplier, wholesaler, or jobber of motor fuel
  violates Section 2310.201, 2310.2012, 2310.2013, 2310.2014, or
  2310.2015 [17.051, 17.052, 17.053, 17.054, or 17.055], a motor fuel
  user who purchased the motor fuel and sustained damages or who has a
  complaint about the product may bring an action against the dealer,
  distributor, supplier, wholesaler, or jobber.
         (b)  The action may be brought, without regard to the
  specific amount of damages, in the district court in any county in
  which:
               (1)  the dealer, distributor, supplier, wholesaler, or
  jobber transacts business; or
               (2)  the dealer resides.
         (c)  The court shall award to a motor fuel user who prevails
  in an action under this section:
               (1)  the amount of actual damages;
               (2)  equitable relief as determined by the court to be
  necessary to remedy the effects of the violation, including a
  declaratory judgment, permanent injunctive relief, and temporary
  injunctive relief; and
               (3)  court costs and attorney's fees that are
  reasonable in relation to the amount of work expended.
         (d)  In addition to the remedies provided under Subsection
  (c), on finding that the defendant wilfully or knowingly violated
  Section 2310.201, 2310.2012, or 2310.2013 [17.051, 17.052, or
  17.053], the trier of fact shall award not more than three times the
  amount of actual damages.
         (e)  A violation of Section 2310.201, 2310.2012, 2310.2013,
  2310.2014, or 2310.2015 [17.051, 17.052, 17.053, 17.054, or 17.055]
  also constitutes a deceptive trade practice under Subchapter E,
  Chapter 17, Business & Commerce Code.
         (f)  An action alleging a violation of Section 2310.201,
  2310.2012, 2310.2013, 2310.2014, or 2310.2015 [17.051, 17.052,
  17.053, 17.054, or 17.055] must be commenced and prosecuted not
  later than the second anniversary of the date on which the cause of
  action accrues.
         Sec. 2310.208 [17.153].  CIVIL PENALTY.  A dealer,
  distributor, supplier, wholesaler, or jobber who violates Section
  2310.201, 2310.2012, 2310.2013, 2310.2014, or 2310.2015 [17.051,
  17.052, 17.053, 17.054, or 17.055] is liable to this state for a
  civil penalty of not less than $200 and not more than $10,000.
         Sec. 2310.209 [17.154].  CRIMINAL OFFENSES.  (a)  A person
  commits an offense if the person knowingly violates Section
  2310.201, 2310.2012, 2310.2013, 2310.2014, or 2310.2015 [17.051,
  17.052, 17.053, 17.054, or 17.055] or a rule adopted by the
  commission [commissioner] to enforce or implement those sections.
         (b)  A person commits an offense if the person knowingly:
               (1)  refuses to permit an authorized [a] person
  [authorized by Section 17.102] to test any motor fuel sold or held
  for sale in this state;
               (2)  refuses to permit inspection of any document
  required to be kept or delivered by this subchapter [chapter] on
  request of a person authorized to inspect the documents under
  Section 2310.2013 or 2310.2014 [17.053 or 17.054]; or
               (3)  mutilates, destroys, secretes, forges, or
  falsifies any document, record, report, or sign required to be
  delivered, kept, filed, or posted by this subchapter [chapter] or
  any rule adopted by the commission [commissioner] to enforce this
  subchapter [chapter].
         (c)  An offense under Subsection (a) is a Class C
  misdemeanor.
         (d)  An offense under Subsection (b) is a Class B
  misdemeanor.
         (e)  The department or executive director [commissioner or
  the authorized representative of the commissioner] may request the
  appropriate prosecuting attorney to prosecute a violation of this
  chapter.
         SECTION 4.  Section 12.020(c), Agriculture Code, is amended
  to read as follows:
         (c)  The provisions of law subject to this section and the
  applicable penalty amounts are as follows:
 
 
Provision Amount of Penalty  
 
 
Chapters 13, 14A, [17,] 18, 19, 41, 46, 61, 72, 73, 74, 76, 94, 95, 101, 102, 103, 125, 132,    
 
Chapters 13, 14A, [] 18, 19, 41, 46, 61, 72, 73, 74, 76, 94, 95, 101, 102, 103, 125, 132,    
 
Chapters 13, 14A, [] 18, 19, 41, 46, 61, 72, 73, 74, 76, 94, 95, 101, 102, 103, 125, 132,    
 
and 134 not more than $5,000
 
 
 
 
Subchapters A, B, and C, Chapter 71 not more than $5,000
 
Chapter 14 not more than $10,000
 
Chapter 1951, Occupations Code not more than $5,000
 
Chapter 153, Natural Resources    
 
Code not more than $5,000
 
Section 91.009 not more than $5,000.
         SECTION 5.  Section 13.001, Agriculture Code, is amended by
  adding Subsection (c) to read as follows:
         (c)  In this chapter, "commodity" does not include motor
  fuel.
         SECTION 6.  Section 13.024(b), Agriculture Code, is amended
  to read as follows:
         (b)  Except as provided by Subsection [Subsections] (c) [and
  (d)], all other measures of capacity for liquids are derived from
  the gallon by continual division by two, making half gallons,
  quarts, pints, half pints, and gills.
         SECTION 7.  Section 13.114, Agriculture Code, is amended to
  read as follows:
         Sec. 13.114.  TOLERANCES. The department shall establish
  specifications and tolerances for commercial weighing or measuring
  devices used in this state. The specifications and tolerances
  shall be similar to those recommended by the National Institute of
  Standards and Technology[, except that the specifications and
  tolerances for motor fuel metering devices shall be the same as
  those recommended by the National Institute of Standards and
  Technology].
         SECTION 8.  Section 162.009, Tax Code, is amended to read as
  follows:
         Sec. 162.009.  AUTHORITY TO STOP AND EXAMINE. To enforce
  this chapter, the comptroller or a peace officer may stop a motor
  vehicle that appears to be operating with or transporting motor
  fuel to examine the shipping document, cargo manifest, or invoices
  required to be carried, examine a license or copy of a license that
  may be required to be carried, take samples from the fuel supply or
  cargo tanks, and make any other investigation that could reasonably
  be made to determine whether the taxes have been paid or accounted
  for by a license holder or a person required to be licensed. The
  comptroller, a peace officer, an employee of the attorney general's
  office, an employee of the Texas Commission on Environmental
  Quality, or an employee of the Texas Department of Licensing and
  Regulation [Agriculture] may take samples of motor fuel from a
  storage tank or container to:
               (1)  determine if the fuel contains hazardous waste or
  is adulterated; or
               (2)  allow the comptroller to determine whether taxes
  on the fuel have been paid or accounted for to this state.
         SECTION 9.  Section 162.403, Tax Code, is amended to read as
  follows:
         Sec. 162.403.  CRIMINAL OFFENSES. Except as provided by
  Section 162.404, a person commits an offense if the person:
               (1)  refuses to stop and permit the inspection and
  examination of a motor vehicle transporting or using motor fuel on
  the demand of a peace officer or the comptroller;
               (2)  is required to hold a valid trip permit or
  interstate trucker's license, but operates a motor vehicle in this
  state without a valid trip permit or interstate trucker's license;
               (3)  transports gasoline or diesel fuel in any cargo
  tank that has a connection by pipe, tube, valve, or otherwise with
  the fuel injector or carburetor or with the fuel supply tank feeding
  the fuel injector or carburetor of the motor vehicle transporting
  the product;
               (4)  sells or delivers gasoline or diesel fuel from a
  fuel supply tank that is connected with the fuel injector or
  carburetor of a motor vehicle;
               (5)  owns or operates a motor vehicle for which reports
  or mileage records are required by this chapter without an
  operating odometer or other device in good working condition to
  record accurately the miles traveled;
               (6)  sells or delivers dyed diesel fuel for the
  operation of a motor vehicle on a public highway;
               (7)  uses dyed diesel fuel for the operation of a motor
  vehicle on a public highway except as allowed under Section
  162.235;
               (8)  refuses to permit the comptroller or the attorney
  general to inspect, examine, or audit a book or record required to
  be kept by a license holder, other user, or any person required to
  hold a license under this chapter;
               (9)  refuses to permit the comptroller or the attorney
  general to inspect or examine any plant, equipment, materials, or
  premises where motor fuel is produced, processed, blended, stored,
  sold, delivered, or used;
               (10)  refuses to permit the comptroller, the attorney
  general, an employee of either of those officials, a peace officer,
  an employee of the Texas Commission on Environmental Quality, or an
  employee of the Texas Department of Licensing and Regulation
  [Agriculture] to measure or gauge the contents of or take samples
  from a storage tank or container on premises where motor fuel is
  produced, processed, blended, stored, sold, delivered, or used;
               (11)  is a license holder, a person required to be
  licensed, or another user and fails or refuses to make or deliver to
  the comptroller a report required by this chapter to be made and
  delivered to the comptroller;
               (12)  is an importer who does not obtain an import
  verification number when required by this chapter;
               (13)  purchases motor fuel for export, on which the tax
  imposed by this chapter has not been paid, and subsequently diverts
  or causes the motor fuel to be diverted to a destination in this
  state or any other state or country other than the originally
  designated state or country without first obtaining a diversion
  number;
               (14)  conceals motor fuel with the intent of engaging
  in any conduct proscribed by this chapter or refuses to make sales
  of motor fuel on the volume-corrected basis prescribed by this
  chapter;
               (15)  refuses, while transporting motor fuel, to stop
  the motor vehicle the person is operating when called on to do so by
  a person authorized to stop the motor vehicle;
               (16)  refuses to surrender a motor vehicle and cargo
  for impoundment after being ordered to do so by a person authorized
  to impound the motor vehicle and cargo;
               (17)  mutilates, destroys, or secretes a book or record
  required by this chapter to be kept by a license holder, other user,
  or person required to hold a license under this chapter;
               (18)  is a license holder, other user, or other person
  required to hold a license under this chapter, or the agent or
  employee of one of those persons, and makes a false entry or fails
  to make an entry in the books and records required under this
  chapter to be made by the person or fails to retain a document as
  required by this chapter;
               (19)  transports in any manner motor fuel under a false
  cargo manifest or shipping document, or transports in any manner
  motor fuel to a location without delivering at the same time a
  shipping document relating to that shipment;
               (20)  engages in a motor fuel transaction that requires
  that the person have a license under this chapter without then and
  there holding the required license;
               (21)  makes and delivers to the comptroller a report
  required under this chapter to be made and delivered to the
  comptroller, if the report contains false information;
               (22)  forges, falsifies, or alters an invoice or
  shipping document prescribed by law;
               (23)  makes any statement, knowing said statement to be
  false, in a claim for a tax refund filed with the comptroller;
               (24)  furnishes to a licensed supplier or distributor a
  signed statement for purchasing diesel fuel tax-free and then uses
  the tax-free diesel fuel to operate a diesel-powered motor vehicle
  on a public highway;
               (25)  holds an aviation fuel dealer's license and makes
  a taxable sale or use of any gasoline or diesel fuel;
               (26)  fails to remit any tax funds collected or
  required to be collected by a license holder, another user, or any
  other person required to hold a license under this chapter;
               (27)  makes a sale of dyed diesel fuel tax-free into a
  storage facility of a person who:
                     (A)  is not licensed as a distributor, as an
  aviation fuel dealer, or as a dyed diesel fuel bonded user; or
                     (B)  does not furnish to the licensed supplier or
  distributor a signed statement prescribed in Section 162.206;
               (28)  makes a sale of gasoline tax-free to any person
  who is not licensed as an aviation fuel dealer;
               (29)  purchases any motor fuel tax-free when not
  authorized to make a tax-free purchase under this chapter;
               (30)  purchases motor fuel with the intent to evade any
  tax imposed by this chapter or accepts a delivery of motor fuel by
  any means and does not at the same time accept or receive a shipping
  document relating to the delivery;
               (31)  transports motor fuel for which a cargo manifest
  or shipping document is required to be carried without possessing
  or exhibiting on demand by an officer authorized to make the demand
  a cargo manifest or shipping document containing the information
  required to be shown on the manifest or shipping document;
               (32)  imports, sells, uses, blends, distributes, or
  stores motor fuel within this state on which the taxes imposed by
  this chapter are owed but have not been first paid to or reported by
  a license holder, another user, or any other person required to hold
  a license under this chapter;
               (33)  blends products together to produce a blended
  fuel that is offered for sale, sold, or used and that expands the
  volume of the original product to evade paying applicable motor
  fuel taxes;
               (34)  evades or attempts to evade in any manner a tax
  imposed on motor fuel by this chapter;
               (35)  delivers compressed natural gas or liquefied
  natural gas into the fuel supply tank of a motor vehicle and the
  person does not hold a valid compressed natural gas and liquefied
  natural gas dealer's license; or
               (36)  makes a tax-free delivery of compressed natural
  gas or liquefied natural gas into the fuel supply tank of a motor
  vehicle, unless the delivery is exempt from tax under Section
  162.356.
         SECTION 10.  The following provisions of the Agriculture
  Code are repealed:
               (1)  Section 13.001(a)(1-a);
               (2)  Section 13.024(d);
               (3)  Section 13.029(b);
               (4)  Section 13.101(e);
               (5)  Section 13.1011(e);
               (6)  Section 13.1017;
               (7)  Section 13.1151(b);
               (8)  the heading to Chapter 17;
               (9)  the heading to Subchapter A, Chapter 17;
               (10)  the heading to Subchapter B, Chapter 17;
               (11)  Section 17.051;
               (12)  Subchapter B-1, Chapter 17;
               (13)  Subchapter C, Chapter 17;
               (14)  the heading to Subchapter D, Chapter 17;
               (15)  Section 17.151;
               (16)  Section 17.155; and
               (17)  Section 17.156.
         SECTION 11.  (a)  All rules, fees, policies, procedures,
  decisions, and forms of the commissioner of agriculture or the
  Department of Agriculture that relate to a program or activity
  transferred under this Act and that are in effect on the effective
  date of the transfer remain in effect until changed by the Texas
  Commission of Licensing and Regulation or Texas Department of
  Licensing and Regulation, as appropriate.  The Department of
  Agriculture may not, on or after the effective date of this Act,
  change a rule, fee, policy, procedure, decision, or form that
  relates to a program or activity transferred under this Act.
         (b)  A license, permit, certificate of registration, notice,
  or other authorization issued by the Department of Agriculture for
  a program or activity transferred under this Act is continued in
  effect as a license, permit, certificate, notice, or other
  authorization of the Texas Department of Licensing and Regulation
  on and after the effective date of the transfer.
         (c)  A complaint, investigation, contested case, or other
  proceeding before the commissioner of agriculture, the Department
  of Agriculture, or the State Office of Administrative Hearings
  relating to a program or activity transferred under this Act that is
  pending on the effective date of the transfer is transferred
  without change in status to the Texas Commission of Licensing and
  Regulation or Texas Department of Licensing and Regulation, as
  appropriate.  The Department of Agriculture may not, on or after the
  effective date of this Act, take any action on a complaint,
  investigation, contested case, or other proceeding relating to a
  program or activity transferred under this Act without the approval
  of the executive director of the Texas Department of Licensing and
  Regulation or a person designated by the executive director of that
  department.
         (d)  All money, contracts, leases, property, software source
  code and documentation, records, and obligations of the Department
  of Agriculture relating to a program or activity transferred under
  this Act are transferred to the Texas Department of Licensing and
  Regulation on the effective date of the transfer of the program or
  activity.
         (e)  The unexpended and unobligated balance of any money
  appropriated by the legislature relating to a program or activity
  transferred under this Act is transferred to the Texas Department
  of Licensing and Regulation on the effective date of the transfer of
  the program or activity.
         (f)  Unless the context indicates otherwise, on or after the
  effective date of the transfer a reference in law or administrative
  rule to the commissioner of agriculture or the Department of
  Agriculture with respect to a program or activity transferred under
  this Act means the Texas Commission of Licensing and Regulation or
  Texas Department of Licensing and Regulation, as appropriate.
         SECTION 12.  (a)  As soon as practicable after the effective
  date of this Act, the Department of Agriculture and the Texas
  Department of Licensing and Regulation shall adopt a transition
  plan to provide for the orderly transfer of powers, duties,
  functions, programs, and activities under this Act. The transition
  plan must provide for the transfer to be completed not later than
  September 1, 2020.
         (b)  The Department of Agriculture shall provide the Texas
  Department of Licensing and Regulation with access to any systems,
  facilities, or information necessary for the Texas Department of
  Licensing and Regulation to accept a program or activity
  transferred under this Act.
         (c)  The Texas Department of Licensing and Regulation may
  establish and lead a stakeholder workgroup to provide input,
  advice, and recommendations to the Department of Agriculture and
  Texas Department of Licensing and Regulation on the orderly
  transfer of powers, duties, functions, programs, and activities
  under this Act. The Texas Department of Licensing and Regulation
  shall establish the size, composition, and scope of the stakeholder
  workgroup.
         (d)  On the date specified in the transition plan required
  under Subsection (a) of this section for the transfer of a program
  or activity transferred by this Act to the Texas Department of
  Licensing and Regulation, all full-time equivalent employee
  positions at the Department of Agriculture that directly and
  indirectly concern the administration or enforcement of the program
  or activity being transferred become positions at the Texas
  Department of Licensing and Regulation. The Texas Department of
  Licensing and Regulation shall post the positions for hiring and,
  when filling the positions, shall give consideration to, but is not
  required to hire, an applicant who, immediately before the date of
  the transfer, was an employee at the Department of Agriculture
  involved in administering or enforcing the transferred program or
  activity.
         (e)  Subsection (c) of this section and this subsection
  expire October 1, 2020.
         SECTION 13.  (a)  Except as provided by Subsection (b) of
  this section, this Act takes effect September 1, 2020.
         (b)  Sections 10 and 11 of this Act take effect immediately
  if this Act receives a vote of two-thirds of all the members elected
  to each house, as provided by Section 39, Article III, Texas
  Constitution.  If this Act does not receive the vote necessary for
  those sections of this Act to have immediate effect, those sections
  take effect September 1, 2019.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 2119 passed the Senate on
  April 11, 2019, by the following vote: Yeas 27, Nays 4; and that
  the Senate concurred in House amendments on May 23, 2019, by the
  following vote: Yeas 27, Nays 4.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 2119 passed the House, with
  amendments, on May 16, 2019, by the following vote: Yeas 129,
  Nays 10, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor