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Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-371-used-oil-collection-management-and-recycling

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE B. SOLID WASTE, TOXIC CHEMICALS, SEWAGE, LITTER, AND

WATER

CHAPTER 371. USED OIL COLLECTION, MANAGEMENT, AND RECYCLING

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 371.001. SHORT TITLE. This chapter may be cited as the

Texas Used Oil Collection, Management, and Recycling Act.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.002. FINDINGS. The legislature finds that:

(1) when properly managed and recycled, used oil is a valuable

energy resource;

(2) used oil can be recycled into a number of different

products;

(3) improper disposal of used oil is a significant environmental

problem and a waste of a potentially valuable energy resource;

(4) there is a need for an expanded statewide network of used

oil collection sites for private citizens who change their own

motor oil;

(5) the private sector, with incentives, is best equipped to

establish and operate used oil collection centers that are

convenient for the public;

(6) the need for publicly operated used oil collection centers

is greatest in more sparsely populated areas of the state and

should diminish over time;

(7) the United States Environmental Protection Agency has issued

final regulations that properly classify and regulate used oil

and used oil filters in accordance with the Resource Conservation

and Recovery Act of 1976 (42 U.S.C. Section 6901 et seq.);

(8) the current used oil and used oil filter program in this

state imposes more stringent management requirements than the

regulations of the United States Environmental Protection Agency;

(9) limited public money is needed to finance public and private

infrastructure investments to collect, manage, and recycle used

motor oil;

(10) the used oil management standards under the Resource

Conservation and Recovery Act of 1976 (42 U.S.C. Section 6901 et

seq.) establish a balanced approach to the objectives of

preserving a valuable resource and protecting the natural

environment; and

(11) recycling, reuse, treatment, or proper disposal of used oil

produces a more advantageous cost-benefit ratio in accomplishing

the goals of state law, and these considerations should be

included in the source reduction and waste minimization plans

adopted under Section 361.505 to the extent applicable.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.0025. PURPOSE AND SCOPE. (a) The purposes of this

chapter are to:

(1) ensure that this state's used oil program is consistent with

and not more stringent than the federal program for the

management of used oil under 40 C.F.R. Part 279 unless otherwise

required by state or federal law; and

(2) establish a program to promote public and private

do-it-yourselfer used oil collection centers and used oil

collection centers.

(b) This chapter does not apply to used oil:

(1) generated in connection with activities regulated by the

Railroad Commission of Texas under Chapter 91 or 141, Natural

Resources Code, or Chapter 27, Water Code;

(2) exempted under 40 C.F.R. Section 279.10(g) because the oil

has been introduced into a crude oil pipeline or is being

processed at a petroleum refining facility; or

(3) generated through other activities exempted under 40 C.F.R.

Part 271 or 279.

(c) This chapter does not apply to a used oil filter generated

in connection with activities regulated by the Railroad

Commission of Texas under Chapter 91 or 141, Natural Resources

Code, or Chapter 27, Water Code.

Added by Acts 1995, 74th Leg., ch. 887, Sec. 2, eff. Sept. 1,

1995.

Sec. 371.003. DEFINITIONS. In this chapter:

(1) "Aboveground tank" means a tank used to store or process oil

that is not an underground storage tank as defined by 40 C.F.R.

Section 280.12.

(2) "Automotive oil" means any lubricating oils intended for use

in an internal combustion engine, crankcase, transmission, gear

box, or differential for an automobile, bus, or truck. The term

includes oil that is not labeled specifically for that use but is

suitable for that use according to generally accepted industry

specifications.

(3) "Commission" means the Texas Natural Resource Conservation

Commission.

(4) "Container" means a portable device in which a material is

stored, transported, treated, disposed of, or otherwise handled.

(5) "Do-it-yourselfer used oil collection center" means a site

or facility that accepts or aggregates and stores used oil

collected only from household do-it-yourselfers. A registered

do-it-yourselfer used oil collection center that is also a used

oil generator may commingle household do-it-yourselfer used oil

with the used oil it generates.

(6) "Existing tank" means a tank that is used for the storage or

processing of used oil and that as of September 1, 1995, is in

operation or is being installed. A tank is being installed if the

owner or operator has obtained all necessary federal, state, and

local approvals or permits and:

(A) a continuous on-site installation program has begun; or

(B) the owner or operator has entered into contractual

obligations for installation of the tank that cannot be cancelled

or modified without substantial loss.

(7) "Household do-it-yourselfer used oil" means oil that is

derived from a household, including used oil generated by an

individual through the maintenance of the individual's personal

vehicle or equipment.

(8) "Household do-it-yourselfer used oil generator" means an

individual who generates household do-it-yourselfer used oil.

(9) "New tank" means a tank for the storage or processing of

used oil the installation of which begins on or after September

1, 1995.

(10) "Petroleum refining facility" means an establishment

primarily engaged in producing gasoline, kerosene, distillate

fuel oils, residual fuel oils, and lubricants through

fractionation, straight distillation of crude oil, redistillation

of unfinished petroleum derivatives, cracking, or other

processes.

(11) "Processing" means chemical or physical operations designed

to produce from used oil, or to make used oil more amenable for

production of, fuel oils, lubricants, or other used-oil-derived

products, including blending used oil with virgin petroleum

products, blending used oils to meet fuel specifications,

filtration, simple distillation, chemical or physical separation,

and rerefining.

(12) "Reclaiming" means processing material to recover a usable

product or regenerating material, including recovering lead from

a spent battery and regenerating spent solvents.

(13) "Recycling" means:

(A) preparing used oil for reuse as a petroleum product by

rerefining, reclaiming, or other means;

(B) using used oil as a lubricant or petroleum product instead

of using a petroleum product made from new oil; or

(C) burning used oil for energy recovery.

(14) "Rerefining" means applying processes to material composed

primarily of used oil to produce high-quality base stocks for

lubricants or other petroleum products, including settling,

filtering, catalytic conversion, fractional/vacuum distillation,

hydrotreating, or polishing.

(15) "Rerefining distillation bottoms" means the heavy fraction

of filtered and dehydrated used oil produced by vacuum

distillation. The composition of still bottoms varies with column

operation and feedstock.

(16) "Tank" means a stationary device designed to contain an

accumulation of used oil that is constructed primarily of

nonearthen materials that provide structural support, including

wood, concrete, steel, and plastic.

(17) "Used oil" means oil that has been refined from crude oil,

or synthetic oil, that as a result of use has been contaminated

by physical or chemical impurities.

(18) "Used oil aggregation point" means a site or facility that

accepts, aggregates, or stores used oil collected from:

(A) used oil generation sites owned or operated by the owner or

operator of the used oil aggregation point and transported to the

used oil aggregation point in shipments of not more than 55

gallons; or

(B) household do-it-yourselfers.

(19) "Used oil burner" means a facility in which used oil not

meeting the specifications in 40 C.F.R. Section 279.11 is burned

for energy recovery in a device listed in 40 C.F.R. Section

279.61(a).

(20) "Used oil collection center" means a site or facility that

is registered by the commission to manage used oil and accepts,

aggregates, or stores used oil collected from:

(A) used oil generators regulated under 40 C.F.R. Part 279,

Subpart C, who transport used oil to the used oil collection

center in shipments of not more than 55 gallons under 40 C.F.R.

Section 279.24; or

(B) household do-it-yourselfers.

(21) "Used oil fuel marketer" means a person who:

(A) directs a shipment of used oil not meeting the

specifications in 40 C.F.R. Section 279.11 from the person's

facility to a used oil burner; or

(B) first claims that used oil to be burned for energy recovery

meets the used oil specifications in 40 C.F.R. Section 279.11.

(22) "Used oil generator" means a person, by site, whose act or

process:

(A) produces used oil; or

(B) first causes used oil to become subject to regulation.

(23) "Used oil processor or rerefiner" means a facility that

processes used oil.

(24) "Used oil transfer facility" means a transportation-related

facility, including a loading dock, parking area, storage area,

or other area, where shipments of used oil are held for more than

24 hours and not more than 35 days during the normal course of

transportation. A transfer facility that stores used oil for more

than 35 days is subject to 40 C.F.R. Part 279, Subpart F.

(25) "Used oil transporter" means a person who:

(A) transports used oil; or

(B) owns or operates a used oil transfer facility.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 3, Sec.

1.045, eff. Aug. 12, 1991; Acts 1993, 73rd Leg., ch. 899, Sec.

4.05, eff. Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec.

11.122, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec.

3, eff. Sept. 1, 1995.

SUBCHAPTER B. USED OIL RECYCLING PROGRAM

Sec. 371.021. PUBLIC EDUCATION. The commission shall conduct an

education program to inform the public of the need for and

benefits of the collection and recycling of used oil and used oil

filters. The program shall:

(1) establish, maintain, and publicize a used oil information

center that prepares and disperses materials and information

explaining laws and rules regulating used oil and informing the

public of places and methods for proper recycling of used oil;

(2) encourage the voluntary establishment of used oil collection

and recycling programs by private businesses and organizations

and by local governments and provide technical assistance to

persons who organize those programs; and

(3) encourage local governments to procure recycled automotive

and industrial oils and oils blended with recycled oils, if those

oils meet equipment manufacturer's specifications.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.022. NOTICE BY RETAIL DEALER. A retail dealer who

annually sells directly to the public more than 500 gallons of

oil in containers for use off-premises shall post in a prominent

place a sign provided by the commission:

(1) informing the public that improper disposal of used oil is

prohibited by law;

(2) containing instructions for disposal of used oil filters;

and

(3) prominently displaying the toll-free telephone number of the

state used oil information center established under Section

371.021.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.023. GRANTS TO LOCAL GOVERNMENTS AND PRIVATE ENTITIES.

(a) The commission shall develop a grant program for local

governments and private entities that encourages the collection,

reuse, and recycling of household do-it-yourselfer used oil.

(b) The commission may approve a grant for any project that uses

one or more of the following programs:

(1) curbside pickup of containers of household do-it-yourselfer

used oil by a local government or its representative;

(2) retrofitting of municipal solid waste equipment to

facilitate curbside pickup of household do-it-yourselfer used

oil;

(3) establishment of do-it-yourselfer used oil collection

centers and used oil collection centers at locations accessible

to the public, including landfills, fire stations, retail stores,

quick lubrication centers, and automobile repair shops;

(4) provision of containers and other materials and supplies

that can be used to store household do-it-yourselfer used oil for

pickup or delivery to a do-it-yourselfer used oil collection

center in an environmentally sound manner; and

(5) any other activity the advisory committee established under

Subsection (c) determines will encourage the proper recycling of

household do-it-yourselfer used oil.

(c) The commission shall appoint an advisory committee for the

used oil grant program. The advisory committee consists of seven

members who serve at the pleasure of the commission and represent

oil manufacturers as defined by Section 371.062, operators of

used oil collection centers, and local governments. The advisory

committee members serve without compensation and are not entitled

to reimbursement for expenses incurred in the performance of

their duties. The advisory committee shall:

(1) recommend criteria for grants;

(2) establish guidelines for allowable administrative expenses;

and

(3) recommend grant recipients to the commission based on the

used oil collection needs of this state.

(d) The commission by rule shall:

(1) establish procedures for the application for and criteria

for the award of grants under this section; and

(2) adopt guidelines for allowable administrative expenses in

accordance with guidelines established by the advisory committee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.024. COLLECTION FACILITIES. (a) All appropriate

businesses and government agencies are encouraged to serve as

do-it-yourselfer used oil collection centers or used oil

collection centers.

(b) A do-it-yourselfer used oil collection center and a used oil

collection center shall:

(1) register biennially with the commission; and

(2) report annually to the commission the amounts of used oil

collected by the center from the public.

(c) The commission shall adopt rules governing the registration

of and reporting by do-it-yourselfer used oil collection centers

and used oil collection centers.

(d) The commission by rule shall adopt standards for managing

and operating a do-it-yourselfer used oil collection center or a

used oil collection center.

(e) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering

do-it-yourselfer used oil collection centers and used oil

collection centers. A private entity that serves voluntarily as a

do-it-yourselfer used oil collection center or a used oil

collection center is exempt from the registration fee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.124, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.0245. REIMBURSEMENT OF USED OIL COLLECTION CENTER'S

HAZARDOUS WASTE EXPENSE. (a) The commission, on proper

application, shall reimburse the owner or operator of an eligible

registered do-it-yourselfer used oil collection center or a used

oil collection center for costs associated with the collection

center's disposal of:

(1) household do-it-yourselfer used oil collected by the

collection center that, unknown to the center at the time of

collection, contains hazardous wastes or is unfit for recycling;

(2) household do-it-yourselfer used oil collected by the

collection center that has been commingled with oils described in

Subdivision (1) and is unsuitable for recycling; or

(3) contaminated used oil left at the collection center as used

oil after posted business hours and without the knowledge of the

collection center.

(b) A registered do-it-yourselfer used oil collection center or

used oil collection center is eligible for reimbursement if it

demonstrates to the satisfaction of the commission that:

(1) the center has established procedures to minimize the risk

that the center will mix the used oil the center generates or

collects from the public with hazardous wastes, especially

halogenated wastes;

(2) the center accepts not more than:

(A) five gallons of used oil from any person at any one time if

the center is a registered do-it-yourselfer used oil collection

center; or

(B) 55 gallons of used oil from any person at one time if the

center is a registered used oil collection center; and

(3) the center can document to the satisfaction of the

commission the volume of used oil the center collects from the

public during any period under review by:

(A) providing a process by which all individuals leaving

household do-it-yourselfer used oil at the center are required to

provide their names, addresses, and the approximate amounts of

used oil brought to the collection center; or

(B) another method approved by the commission.

(c) For the purpose of Subsection (b)(2), the owner or operator

of a registered do-it-yourselfer used oil collection center or

used oil collection center may presume that a quantity of used

oil collected from a member of the public that does not exceed

the applicable collection limit established by that subsection is

not mixed with a hazardous substance if the owner or operator

acts in good faith in the belief the oil is generated from the

individual's personal activity.

(d) In any state fiscal year, a registered do-it-yourselfer used

oil collection center or used oil collection center may not be

reimbursed for more than $7,500 in total eligible disposal costs,

subject to Section 371.0246(d).

(e) Reimbursements made under this section shall be paid out of

the used oil recycling account and may not exceed an aggregate

amount of $500,000 each fiscal year.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 65, eff. Sept.

1, 1997.

Sec. 371.0246. PROCEDURES FOR REIMBURSEMENT. (a) An owner or

operator of a registered do-it-yourselfer used oil collection

center or used oil collection center may apply for reimbursement

from the commission.

(b) An application for reimbursement shall be submitted on a

form approved or provided by the commission.

(c) An application must contain:

(1) the name, address, and telephone number of the applicant;

(2) the name, mailing address, location address, and commission

registration number of the registered do-it-yourselfer used oil

collection center or used oil collection center from which the

contaminated oil was removed;

(3) the name, address, telephone number, and commission

registration number of the hazardous waste transporter used to

dispose of the contaminated used oil;

(4) a copy of any shipping documents that accompanied the

transportation of the shipment of used oil;

(5) a copy of each invoice for which reimbursement is requested

and evidence that the amount shown on the invoice has been paid

in full in the form of:

(A) canceled checks;

(B) business receipts from the person who performed the work; or

(C) other documentation approved by the commission;

(6) a waste-characterization or similar documentation required

before acceptance of a hazardous waste by the disposal facility

that accepted the contaminated used oil for treatment or

disposal; and

(7) any other information that the executive director may

reasonably require.

(d) All claims for reimbursement filed under this section and

Section 371.0245 are subject to funds available for disbursement

in the used oil recycling account and to Section 371.0245(e).

This subchapter does not create an entitlement to money in the

used oil recycling account or any other fund.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 66, eff. Sept.

1, 1997.

Sec. 371.025. LIMITATION OF LIABILITY. (a) A person may not

recover from the owner, operator, or lessor of a registered

do-it-yourselfer used oil collection center or used oil

collection center any damages or costs of response actions at

another location resulting from a release or threatened release

of used oil collected at the center if:

(1) the owner, operator, or lessor of the collection center does

not mix the used oil collected with any hazardous waste or

polychlorinated biphenyls (PCBs);

(2) the owner, operator, or lessor of the collection center does

not accept used oil that the owner, operator, or lessor knows

contains hazardous waste or PCBs; and

(3) the collection center is in compliance with management

standards adopted by the commission.

(b) For purposes of this section, the owner, operator, or lessor

of a do-it-yourselfer used oil collection center or a used oil

collection center may presume that a quantity of less than five

gallons of used oil accepted at any one time from any member of

the public is not mixed with a hazardous waste or PCBs, provided

that the owner, operator, or lessor acts in good faith.

(c) This section applies only to activities directly related to

the collection of used oil by a do-it-yourselfer used oil

collection center or a used oil collection center. This section

does not apply to grossly negligent activities related to the

operation of a do-it-yourselfer used oil collection center or a

used oil collection center.

(d) This section does not affect or modify the obligations or

liability of any person other than the owner, operator, or lessor

of the collection center under any other provisions of state or

federal law, including common law, for injury or damage resulting

from a release of used oil or hazardous substances.

(e) This section does not affect or modify the obligations or

liability of any owner, operator, or lessor of a collection

center with regard to services other than accepting used oil from

the public.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.125, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.026. REGISTRATION AND REPORTING REQUIREMENTS OF USED

OIL HANDLERS OTHER THAN GENERATORS. (a) The commission shall

adopt rules governing registration and reporting of used oil

handlers other than generators. The rules shall require that:

(1) a used oil handler other than a generator:

(A) register with the commission;

(B) provide evidence of familiarity with applicable state laws

and rules and management procedures applicable to used oil

handling; and

(C) provide proof of liability insurance or other evidence of

financial responsibility for any liability that may be incurred

in handling used oil, except that this provision does not apply

to a used oil handler which is owned or otherwise effectively

controlled by the owners or operators where the used oil is

generated; and

(2) a used oil processor or rerefiner must report to the

commission, in the form of a letter on a biennial basis by

December 1 of each odd-numbered year, the calendar year covered

by the report and the quantities of used oil accepted for

processing or rerefining and the manner in which the used oil is

processed or rerefined, including the specific processes

employed.

(b) The commission by rule shall adopt reasonable management and

safety standards for the handling of used oil.

(c) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering used oil

handlers other than generators.

(d) A used oil transporter may consolidate or aggregate loads of

used oil for purposes of transportation but may not process used

oil, except that a used oil transporter may conduct incidental

processing operations, including settling and water separation,

that occur in the normal course of the transportation of used oil

but that are not designed to produce, or make more amenable for

the production of, used-oil-derived products or used oil fuel.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.126, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 389, Sec. 1, eff. Sept. 1,

1997.

Sec. 371.027. GIFTS AND GRANTS. The commission may apply for,

request, solicit, contract for, receive, and accept gifts,

grants, donations, and other assistance from any source to carry

out its powers and duties under this chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.028. RULES. Not later than January 1, 1996, the

commission shall adopt rules, standards, and procedures necessary

to implement the used oil recycling program established by this

chapter. Unless otherwise required by federal or state law, the

rules, standards, and procedures must be consistent with and not

more stringent than the used oil management standards under the

Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section

6901 et seq.).

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

SUBCHAPTER C. CERTAIN ACTIONS PROHIBITED; PENALTIES

Sec. 371.041. ACTIONS PROHIBITED. A person may not collect,

transport, store, recycle, use, discharge, or dispose of used oil

in any manner that endangers the public health or welfare or

endangers or damages the environment.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. April 1,

1992. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.128, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 5, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 1072, Sec. 40, eff. Sept. 1,

1997.

SUBCHAPTER D. USED OIL RECYCLING ACCOUNT; FEES

Sec. 371.061. USED OIL RECYCLING ACCOUNT. (a) The used oil

recycling account is in the state treasury.

(b) The account consists of:

(1) fees collected under Sections 371.024, 371.026, and 371.062;

(2) interest and penalties imposed under this chapter for late

payment of fees, failure to file a report, or other violations of

this chapter; and

(3) gifts, grants, donations, or other financial assistance the

commission is authorized to receive under Section 371.027.

(c) The commission may use money in the account only for

purposes authorized by this chapter, including:

(1) public education;

(2) grants to public and private do-it-yourselfer used oil

collection centers and used oil collection centers;

(3) registration of do-it-yourselfer used oil collection

centers, used oil collection centers, and used oil handlers other

than generators; and

(4) administrative costs of implementing this chapter.

(d) The account is exempt from the application of Section

403.095, Government Code.

(e) For the purpose of consolidating appropriations, the

commission may transfer any amount authorized under Subsection

(c)(4) or by legislative appropriation to the waste management

account subject to the limitations and requirements of this

chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.06, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.131, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 8, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 68, eff. Sept. 1,

1997.

Sec. 371.062. FEE ON SALE OF AUTOMOTIVE OIL. (a) In this

section:

(1) "Distributor" means a person who maintains a distribution

center or warehouse in this state and annually sells more than

25,000 gallons of automotive oil.

(2) "First sale" means the first actual sale of automotive oil

delivered to a location in this state and sold to a purchaser who

is not an automotive oil manufacturer or distributor. The term

does not include the sale of automotive oil:

(A) exported from this state to a location outside this state

for the purpose of sale or use outside this state;

(B) for resale to or use by vessels exclusively engaged in

foreign or interstate commerce;

(C) to a subsequent purchaser who maintains a do-it-yourselfer

used oil collection center or used oil collection center

registered by the commission at the location where the automotive

oil is changed, used, consumed, or resold to do-it-yourselfers;

or

(D) to the United States.

(3) "Importer" means any person who imports or causes to be

imported automotive oil into this state for sale, use, or

consumption.

(4) "Oil manufacturer" means any person or entity that

formulates automotive oil and packages, distributes, or sells

that automotive oil. The term includes any person packaging or

repackaging automotive oil.

(b) An oil manufacturer or distributor who makes a first sale of

automotive oil is liable for a fee.

(c) An oil importer who imports or causes to be imported

automotive oil is liable for the fee at the time the oil is

received.

(d) An oil distributor or retailer who exports from this state

to a location outside this state oil on which the automotive oil

fee has been paid may request from his supplier a refund or

credit of the fee paid on the exported oil. The supplier or oil

manufacturer and the importer may in turn request a refund of the

fee paid to the comptroller. The amount of refund that may be

claimed under this section may equal but not exceed the amount of

the fee paid on the automotive oil.

(e) An oil manufacturer, importer, distributor, or retailer who

makes a sale to a vessel or a sale for resale to a vessel of

automotive oil on which the automotive oil fee has been paid may

file with the comptroller a request for refund of the fee paid on

the oil or, where applicable, may request a refund or credit from

the supplier to whom the fee was paid. The supplier may in turn

request a refund from the comptroller. The amount of refund that

may be claimed under this section may equal but not exceed the

amount of the fee paid on the automotive oil.

(f) Each oil manufacturer, distributor, or importer required to

pay a fee under this section shall:

(1) prepare and maintain, on a form provided or approved by the

comptroller, a report of each first sale or, in the case of an

importer, the first receipt in Texas of automotive oil by the

person and the price received;

(2) retain the invoice or a copy of the invoice or other

appropriate record of the sale or receipt for four years from the

date of sale or receipt; and

(3) on or before the 25th day of the month following the end of

each calendar quarter, file a report with the comptroller and

remit to the comptroller the amount of fees required to be paid

for the preceding quarter.

(g) Records required to be maintained under Subsection (f) shall

be available for inspection by the comptroller at all reasonable

times.

(h) The comptroller shall adopt rules necessary for the

administration, collection, reporting, and payment of the fees

payable or collected under this section.

(i) Except as provided by this section, Chapters 101 and 111

through 113, Tax Code, apply to the administration, payment,

collection, and enforcement of fees under this section in the

same manner that those chapters apply to the administration,

payment, collection, and enforcement of taxes under Title 2, Tax

Code.

(j) The fee imposed under this section is one cent per quart or

four cents per gallon of automotive oil.

(k) A person required to pay a fee under this section may retain

one percent of the amount of the fees due from each quarterly

payment as reimbursement for administrative costs.

(l) The comptroller may deduct a percentage of the fees

collected under this section in an amount sufficient to pay the

reasonable and necessary costs of administering and enforcing

this section. The comptroller shall credit the amount deducted to

the general revenue fund. The balance of fees and all penalties

and interest collected under this section shall be deposited to

the credit of the used oil recycling account.

(m) A distributor must obtain a permit from the comptroller. The

comptroller shall adopt an application form for the permit, which

must include:

(1) the name under which the applicant transacts or intends to

transact business;

(2) the location of the applicant's distribution center or

warehouse in this state;

(3) if the applicant is a corporation or partnership, the names

of the principal officers of the corporation or of the members of

the partnership and the address of each officer or member; and

(4) any other information required by the comptroller.

(n) The comptroller may deny or revoke a permit under Subsection

(m) if false information is submitted on the application or on a

required fuels tax report or supplement.

(o) A permit under Subsection (m) may not be assigned.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.09, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.132, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 9; Acts 1997,

75th Leg., ch. 333, Sec. 69, eff. Sept. 1, 1997.

SUBCHAPTER E. FILTER STORAGE, TRANSPORTATION, OR PROCESSING

Sec. 371.101. DEFINITIONS. In this subchapter:

(1) "Bill of lading" means a shipping document that confirms the

receipt of a shipment.

(2) "Bulk filter container" means a portable device that:

(A) is part of an integrated delivery and retrieval system; and

(B) has a capacity greater than 330 gallons.

(3) "Component parts" means the severable parts of an oil filter

and includes oil present in an oil filter.

(4) "Do-it-yourselfer" means an individual who removes a used

oil filter in the process of an oil change or automotive repair

from the engine of a light duty motor vehicle, small utility

engine, noncommercial motor vehicle, or farm equipment owned or

operated by the individual.

(5) "Generator" means a person whose activities produce used oil

filters. The term does not include a do-it-yourselfer.

(6) "Process" means to prepare a used oil filter for recycling,

steel recovery, energy recovery, or proper disposal.

(7) "Processor" means a person that processes used oil filters

generated by another person. The term does not include a

generator that consolidates, drains, or crushes used oil filters

for off-site recycling or disposal.

(8) "Store" means to hold in a location for any period.

(9) "Storage facility" means a location that stores used oil

filters before transportation, processing, recycling, or disposal

of the filters. The term does not include the location of a

generator.

(10) "Transporter" means a person that transports used oil

filters to a location for storage, processing, recycling, or

disposal.

(11) "Used oil filter" means any device that is an integral part

of an oil flow system, the primary purpose of which is to remove

contaminants from flowing oil contained in the system, and that,

as a result of use, has become contaminated and unsuitable for

its original purpose, is removed from service, and contains

entrapped used oil. The term does not include a filter attached

to the equipment containing the oil flow system. This term

continues to apply regardless of prior processing until but not

after the filter has been burned for steel recovery or energy

recovery or it is separated into its component parts.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.102. APPLICABILITY. (a) This subchapter applies to a

used oil filter only if the filter has not been:

(1) separated into its component parts; or

(2) burned for:

(A) steel recovery; or

(B) energy recovery.

(b) This subchapter does not apply to:

(1) an industrial generator that is:

(A) registered with the commission as an industrial or hazardous

waste facility; or

(B) under the waste management authority of a state agency other

than the commission; or

(2) a do-it-yourselfer.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.103. GENERAL REQUIREMENTS. (a) A person may not

store, process, or dispose of a used oil filter in a manner that

results in the discharge of oil into soil or water.

(b) A person may not knowingly place on land a used oil filter

that contains oil unless the used oil filter is in a container.

(c) A bulk filter container used to store used oil filters:

(1) must not leak; and

(2) must be securely closed, waterproof, and in good condition.

(d) A used oil filter may not be intentionally or knowingly

placed in or accepted for disposal in a landfill permitted by the

commission.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.104. REGISTRATION AND REPORTING. (a) A transporter,

storage facility, or processor may not store, process, recycle,

or dispose of used oil filters unless the person is registered

with the commission.

(b) Unless the person is registered with the commission as a

storage facility, a person may not store used oil filters:

(1) that in the aggregate have a volume greater than six

55-gallon drums; or

(2) in more than one bulk filter container.

(c) A registered transporter, storage facility, or processor

shall:

(1) renew the registration biennially; and

(2) report to the commission biennially the number of used oil

filters the person transported, stored, or processed in the two

years preceding the date of the report.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.105. SHIPMENT RECORDS. (a) Each shipment of used oil

filters must be accompanied by a bill of lading that conforms to

commission rules.

(b) In accordance with commission rules, a copy of the bill of

lading for each shipment of used oil filters must be maintained

by the generator of the filters, transporter of the filters,

storage facility at which the filters were stored, and processor

of the filters for at least three years after the date the

filters were transported, stored, or processed.

(c) The copies of the bills of lading must be made available for

the commission to inspect at any reasonable time.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.106. LIMITATIONS ON STORAGE. (a) A storage facility

may not store a used oil filter for more than 120 days.

(b) A transporter may not store a used oil filter for more than

10 days.

(c) A processor may not store a used oil filter for more than 30

days before it is processed.

(d) A processor that stores used oil filters in a container

shall label each container clearly with the phrase "Used Oil

Filters."

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.107. VARIANCES. (a) The commission may grant an

individual variance to allow:

(1) a generator to store used oil filters in a greater aggregate

volume than the volume prescribed by Section 371.104(b); or

(2) a person to store used oil filters for a period longer than

the period prescribed for that person by Section 371.106.

(b) The commission may not grant a variance under this section

for a period of longer than two years.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.108. SPILL PREVENTION AND CONTROL. Each registered

storage facility and each facility of a registered processor

shall develop a plan to prevent spills and respond to spills in

accordance with the federal spill prevention, control, and

countermeasure requirements provided by Title 40, Code of Federal

Regulations, Part 112, as amended.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.109. FINANCIAL RESPONSIBILITY. The commission shall

adopt rules requiring a person required to register under Section

371.104 to demonstrate adequate financial responsibility.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.110. CIVIL AND ADMINISTRATIVE PENALTIES. (a)

Notwithstanding Sections 7.052 and 7.102, Water Code, a person

that violates this subchapter or a rule adopted under this

subchapter is liable for a civil penalty of not less than $100 or

more than $500 for each violation and for each day of a

continuing violation.

(b) The commission or the attorney general at the request of the

commission may bring a suit under Subchapter D, Chapter 7, Water

Code, to recover the penalty.

(c) A local government with jurisdiction over the area in which

the violation occurred may bring suit to recover the penalty.

(d) The violation described by Subsection (a) also is subject to

an administrative penalty. The commission may recover the

administrative penalty in a proceeding conducted as provided by

Subchapter C, Chapter 7, Water Code.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-371-used-oil-collection-management-and-recycling

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE B. SOLID WASTE, TOXIC CHEMICALS, SEWAGE, LITTER, AND

WATER

CHAPTER 371. USED OIL COLLECTION, MANAGEMENT, AND RECYCLING

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 371.001. SHORT TITLE. This chapter may be cited as the

Texas Used Oil Collection, Management, and Recycling Act.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.002. FINDINGS. The legislature finds that:

(1) when properly managed and recycled, used oil is a valuable

energy resource;

(2) used oil can be recycled into a number of different

products;

(3) improper disposal of used oil is a significant environmental

problem and a waste of a potentially valuable energy resource;

(4) there is a need for an expanded statewide network of used

oil collection sites for private citizens who change their own

motor oil;

(5) the private sector, with incentives, is best equipped to

establish and operate used oil collection centers that are

convenient for the public;

(6) the need for publicly operated used oil collection centers

is greatest in more sparsely populated areas of the state and

should diminish over time;

(7) the United States Environmental Protection Agency has issued

final regulations that properly classify and regulate used oil

and used oil filters in accordance with the Resource Conservation

and Recovery Act of 1976 (42 U.S.C. Section 6901 et seq.);

(8) the current used oil and used oil filter program in this

state imposes more stringent management requirements than the

regulations of the United States Environmental Protection Agency;

(9) limited public money is needed to finance public and private

infrastructure investments to collect, manage, and recycle used

motor oil;

(10) the used oil management standards under the Resource

Conservation and Recovery Act of 1976 (42 U.S.C. Section 6901 et

seq.) establish a balanced approach to the objectives of

preserving a valuable resource and protecting the natural

environment; and

(11) recycling, reuse, treatment, or proper disposal of used oil

produces a more advantageous cost-benefit ratio in accomplishing

the goals of state law, and these considerations should be

included in the source reduction and waste minimization plans

adopted under Section 361.505 to the extent applicable.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.0025. PURPOSE AND SCOPE. (a) The purposes of this

chapter are to:

(1) ensure that this state's used oil program is consistent with

and not more stringent than the federal program for the

management of used oil under 40 C.F.R. Part 279 unless otherwise

required by state or federal law; and

(2) establish a program to promote public and private

do-it-yourselfer used oil collection centers and used oil

collection centers.

(b) This chapter does not apply to used oil:

(1) generated in connection with activities regulated by the

Railroad Commission of Texas under Chapter 91 or 141, Natural

Resources Code, or Chapter 27, Water Code;

(2) exempted under 40 C.F.R. Section 279.10(g) because the oil

has been introduced into a crude oil pipeline or is being

processed at a petroleum refining facility; or

(3) generated through other activities exempted under 40 C.F.R.

Part 271 or 279.

(c) This chapter does not apply to a used oil filter generated

in connection with activities regulated by the Railroad

Commission of Texas under Chapter 91 or 141, Natural Resources

Code, or Chapter 27, Water Code.

Added by Acts 1995, 74th Leg., ch. 887, Sec. 2, eff. Sept. 1,

1995.

Sec. 371.003. DEFINITIONS. In this chapter:

(1) "Aboveground tank" means a tank used to store or process oil

that is not an underground storage tank as defined by 40 C.F.R.

Section 280.12.

(2) "Automotive oil" means any lubricating oils intended for use

in an internal combustion engine, crankcase, transmission, gear

box, or differential for an automobile, bus, or truck. The term

includes oil that is not labeled specifically for that use but is

suitable for that use according to generally accepted industry

specifications.

(3) "Commission" means the Texas Natural Resource Conservation

Commission.

(4) "Container" means a portable device in which a material is

stored, transported, treated, disposed of, or otherwise handled.

(5) "Do-it-yourselfer used oil collection center" means a site

or facility that accepts or aggregates and stores used oil

collected only from household do-it-yourselfers. A registered

do-it-yourselfer used oil collection center that is also a used

oil generator may commingle household do-it-yourselfer used oil

with the used oil it generates.

(6) "Existing tank" means a tank that is used for the storage or

processing of used oil and that as of September 1, 1995, is in

operation or is being installed. A tank is being installed if the

owner or operator has obtained all necessary federal, state, and

local approvals or permits and:

(A) a continuous on-site installation program has begun; or

(B) the owner or operator has entered into contractual

obligations for installation of the tank that cannot be cancelled

or modified without substantial loss.

(7) "Household do-it-yourselfer used oil" means oil that is

derived from a household, including used oil generated by an

individual through the maintenance of the individual's personal

vehicle or equipment.

(8) "Household do-it-yourselfer used oil generator" means an

individual who generates household do-it-yourselfer used oil.

(9) "New tank" means a tank for the storage or processing of

used oil the installation of which begins on or after September

1, 1995.

(10) "Petroleum refining facility" means an establishment

primarily engaged in producing gasoline, kerosene, distillate

fuel oils, residual fuel oils, and lubricants through

fractionation, straight distillation of crude oil, redistillation

of unfinished petroleum derivatives, cracking, or other

processes.

(11) "Processing" means chemical or physical operations designed

to produce from used oil, or to make used oil more amenable for

production of, fuel oils, lubricants, or other used-oil-derived

products, including blending used oil with virgin petroleum

products, blending used oils to meet fuel specifications,

filtration, simple distillation, chemical or physical separation,

and rerefining.

(12) "Reclaiming" means processing material to recover a usable

product or regenerating material, including recovering lead from

a spent battery and regenerating spent solvents.

(13) "Recycling" means:

(A) preparing used oil for reuse as a petroleum product by

rerefining, reclaiming, or other means;

(B) using used oil as a lubricant or petroleum product instead

of using a petroleum product made from new oil; or

(C) burning used oil for energy recovery.

(14) "Rerefining" means applying processes to material composed

primarily of used oil to produce high-quality base stocks for

lubricants or other petroleum products, including settling,

filtering, catalytic conversion, fractional/vacuum distillation,

hydrotreating, or polishing.

(15) "Rerefining distillation bottoms" means the heavy fraction

of filtered and dehydrated used oil produced by vacuum

distillation. The composition of still bottoms varies with column

operation and feedstock.

(16) "Tank" means a stationary device designed to contain an

accumulation of used oil that is constructed primarily of

nonearthen materials that provide structural support, including

wood, concrete, steel, and plastic.

(17) "Used oil" means oil that has been refined from crude oil,

or synthetic oil, that as a result of use has been contaminated

by physical or chemical impurities.

(18) "Used oil aggregation point" means a site or facility that

accepts, aggregates, or stores used oil collected from:

(A) used oil generation sites owned or operated by the owner or

operator of the used oil aggregation point and transported to the

used oil aggregation point in shipments of not more than 55

gallons; or

(B) household do-it-yourselfers.

(19) "Used oil burner" means a facility in which used oil not

meeting the specifications in 40 C.F.R. Section 279.11 is burned

for energy recovery in a device listed in 40 C.F.R. Section

279.61(a).

(20) "Used oil collection center" means a site or facility that

is registered by the commission to manage used oil and accepts,

aggregates, or stores used oil collected from:

(A) used oil generators regulated under 40 C.F.R. Part 279,

Subpart C, who transport used oil to the used oil collection

center in shipments of not more than 55 gallons under 40 C.F.R.

Section 279.24; or

(B) household do-it-yourselfers.

(21) "Used oil fuel marketer" means a person who:

(A) directs a shipment of used oil not meeting the

specifications in 40 C.F.R. Section 279.11 from the person's

facility to a used oil burner; or

(B) first claims that used oil to be burned for energy recovery

meets the used oil specifications in 40 C.F.R. Section 279.11.

(22) "Used oil generator" means a person, by site, whose act or

process:

(A) produces used oil; or

(B) first causes used oil to become subject to regulation.

(23) "Used oil processor or rerefiner" means a facility that

processes used oil.

(24) "Used oil transfer facility" means a transportation-related

facility, including a loading dock, parking area, storage area,

or other area, where shipments of used oil are held for more than

24 hours and not more than 35 days during the normal course of

transportation. A transfer facility that stores used oil for more

than 35 days is subject to 40 C.F.R. Part 279, Subpart F.

(25) "Used oil transporter" means a person who:

(A) transports used oil; or

(B) owns or operates a used oil transfer facility.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 3, Sec.

1.045, eff. Aug. 12, 1991; Acts 1993, 73rd Leg., ch. 899, Sec.

4.05, eff. Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec.

11.122, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec.

3, eff. Sept. 1, 1995.

SUBCHAPTER B. USED OIL RECYCLING PROGRAM

Sec. 371.021. PUBLIC EDUCATION. The commission shall conduct an

education program to inform the public of the need for and

benefits of the collection and recycling of used oil and used oil

filters. The program shall:

(1) establish, maintain, and publicize a used oil information

center that prepares and disperses materials and information

explaining laws and rules regulating used oil and informing the

public of places and methods for proper recycling of used oil;

(2) encourage the voluntary establishment of used oil collection

and recycling programs by private businesses and organizations

and by local governments and provide technical assistance to

persons who organize those programs; and

(3) encourage local governments to procure recycled automotive

and industrial oils and oils blended with recycled oils, if those

oils meet equipment manufacturer's specifications.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.022. NOTICE BY RETAIL DEALER. A retail dealer who

annually sells directly to the public more than 500 gallons of

oil in containers for use off-premises shall post in a prominent

place a sign provided by the commission:

(1) informing the public that improper disposal of used oil is

prohibited by law;

(2) containing instructions for disposal of used oil filters;

and

(3) prominently displaying the toll-free telephone number of the

state used oil information center established under Section

371.021.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.023. GRANTS TO LOCAL GOVERNMENTS AND PRIVATE ENTITIES.

(a) The commission shall develop a grant program for local

governments and private entities that encourages the collection,

reuse, and recycling of household do-it-yourselfer used oil.

(b) The commission may approve a grant for any project that uses

one or more of the following programs:

(1) curbside pickup of containers of household do-it-yourselfer

used oil by a local government or its representative;

(2) retrofitting of municipal solid waste equipment to

facilitate curbside pickup of household do-it-yourselfer used

oil;

(3) establishment of do-it-yourselfer used oil collection

centers and used oil collection centers at locations accessible

to the public, including landfills, fire stations, retail stores,

quick lubrication centers, and automobile repair shops;

(4) provision of containers and other materials and supplies

that can be used to store household do-it-yourselfer used oil for

pickup or delivery to a do-it-yourselfer used oil collection

center in an environmentally sound manner; and

(5) any other activity the advisory committee established under

Subsection (c) determines will encourage the proper recycling of

household do-it-yourselfer used oil.

(c) The commission shall appoint an advisory committee for the

used oil grant program. The advisory committee consists of seven

members who serve at the pleasure of the commission and represent

oil manufacturers as defined by Section 371.062, operators of

used oil collection centers, and local governments. The advisory

committee members serve without compensation and are not entitled

to reimbursement for expenses incurred in the performance of

their duties. The advisory committee shall:

(1) recommend criteria for grants;

(2) establish guidelines for allowable administrative expenses;

and

(3) recommend grant recipients to the commission based on the

used oil collection needs of this state.

(d) The commission by rule shall:

(1) establish procedures for the application for and criteria

for the award of grants under this section; and

(2) adopt guidelines for allowable administrative expenses in

accordance with guidelines established by the advisory committee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.024. COLLECTION FACILITIES. (a) All appropriate

businesses and government agencies are encouraged to serve as

do-it-yourselfer used oil collection centers or used oil

collection centers.

(b) A do-it-yourselfer used oil collection center and a used oil

collection center shall:

(1) register biennially with the commission; and

(2) report annually to the commission the amounts of used oil

collected by the center from the public.

(c) The commission shall adopt rules governing the registration

of and reporting by do-it-yourselfer used oil collection centers

and used oil collection centers.

(d) The commission by rule shall adopt standards for managing

and operating a do-it-yourselfer used oil collection center or a

used oil collection center.

(e) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering

do-it-yourselfer used oil collection centers and used oil

collection centers. A private entity that serves voluntarily as a

do-it-yourselfer used oil collection center or a used oil

collection center is exempt from the registration fee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.124, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.0245. REIMBURSEMENT OF USED OIL COLLECTION CENTER'S

HAZARDOUS WASTE EXPENSE. (a) The commission, on proper

application, shall reimburse the owner or operator of an eligible

registered do-it-yourselfer used oil collection center or a used

oil collection center for costs associated with the collection

center's disposal of:

(1) household do-it-yourselfer used oil collected by the

collection center that, unknown to the center at the time of

collection, contains hazardous wastes or is unfit for recycling;

(2) household do-it-yourselfer used oil collected by the

collection center that has been commingled with oils described in

Subdivision (1) and is unsuitable for recycling; or

(3) contaminated used oil left at the collection center as used

oil after posted business hours and without the knowledge of the

collection center.

(b) A registered do-it-yourselfer used oil collection center or

used oil collection center is eligible for reimbursement if it

demonstrates to the satisfaction of the commission that:

(1) the center has established procedures to minimize the risk

that the center will mix the used oil the center generates or

collects from the public with hazardous wastes, especially

halogenated wastes;

(2) the center accepts not more than:

(A) five gallons of used oil from any person at any one time if

the center is a registered do-it-yourselfer used oil collection

center; or

(B) 55 gallons of used oil from any person at one time if the

center is a registered used oil collection center; and

(3) the center can document to the satisfaction of the

commission the volume of used oil the center collects from the

public during any period under review by:

(A) providing a process by which all individuals leaving

household do-it-yourselfer used oil at the center are required to

provide their names, addresses, and the approximate amounts of

used oil brought to the collection center; or

(B) another method approved by the commission.

(c) For the purpose of Subsection (b)(2), the owner or operator

of a registered do-it-yourselfer used oil collection center or

used oil collection center may presume that a quantity of used

oil collected from a member of the public that does not exceed

the applicable collection limit established by that subsection is

not mixed with a hazardous substance if the owner or operator

acts in good faith in the belief the oil is generated from the

individual's personal activity.

(d) In any state fiscal year, a registered do-it-yourselfer used

oil collection center or used oil collection center may not be

reimbursed for more than $7,500 in total eligible disposal costs,

subject to Section 371.0246(d).

(e) Reimbursements made under this section shall be paid out of

the used oil recycling account and may not exceed an aggregate

amount of $500,000 each fiscal year.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 65, eff. Sept.

1, 1997.

Sec. 371.0246. PROCEDURES FOR REIMBURSEMENT. (a) An owner or

operator of a registered do-it-yourselfer used oil collection

center or used oil collection center may apply for reimbursement

from the commission.

(b) An application for reimbursement shall be submitted on a

form approved or provided by the commission.

(c) An application must contain:

(1) the name, address, and telephone number of the applicant;

(2) the name, mailing address, location address, and commission

registration number of the registered do-it-yourselfer used oil

collection center or used oil collection center from which the

contaminated oil was removed;

(3) the name, address, telephone number, and commission

registration number of the hazardous waste transporter used to

dispose of the contaminated used oil;

(4) a copy of any shipping documents that accompanied the

transportation of the shipment of used oil;

(5) a copy of each invoice for which reimbursement is requested

and evidence that the amount shown on the invoice has been paid

in full in the form of:

(A) canceled checks;

(B) business receipts from the person who performed the work; or

(C) other documentation approved by the commission;

(6) a waste-characterization or similar documentation required

before acceptance of a hazardous waste by the disposal facility

that accepted the contaminated used oil for treatment or

disposal; and

(7) any other information that the executive director may

reasonably require.

(d) All claims for reimbursement filed under this section and

Section 371.0245 are subject to funds available for disbursement

in the used oil recycling account and to Section 371.0245(e).

This subchapter does not create an entitlement to money in the

used oil recycling account or any other fund.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 66, eff. Sept.

1, 1997.

Sec. 371.025. LIMITATION OF LIABILITY. (a) A person may not

recover from the owner, operator, or lessor of a registered

do-it-yourselfer used oil collection center or used oil

collection center any damages or costs of response actions at

another location resulting from a release or threatened release

of used oil collected at the center if:

(1) the owner, operator, or lessor of the collection center does

not mix the used oil collected with any hazardous waste or

polychlorinated biphenyls (PCBs);

(2) the owner, operator, or lessor of the collection center does

not accept used oil that the owner, operator, or lessor knows

contains hazardous waste or PCBs; and

(3) the collection center is in compliance with management

standards adopted by the commission.

(b) For purposes of this section, the owner, operator, or lessor

of a do-it-yourselfer used oil collection center or a used oil

collection center may presume that a quantity of less than five

gallons of used oil accepted at any one time from any member of

the public is not mixed with a hazardous waste or PCBs, provided

that the owner, operator, or lessor acts in good faith.

(c) This section applies only to activities directly related to

the collection of used oil by a do-it-yourselfer used oil

collection center or a used oil collection center. This section

does not apply to grossly negligent activities related to the

operation of a do-it-yourselfer used oil collection center or a

used oil collection center.

(d) This section does not affect or modify the obligations or

liability of any person other than the owner, operator, or lessor

of the collection center under any other provisions of state or

federal law, including common law, for injury or damage resulting

from a release of used oil or hazardous substances.

(e) This section does not affect or modify the obligations or

liability of any owner, operator, or lessor of a collection

center with regard to services other than accepting used oil from

the public.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.125, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.026. REGISTRATION AND REPORTING REQUIREMENTS OF USED

OIL HANDLERS OTHER THAN GENERATORS. (a) The commission shall

adopt rules governing registration and reporting of used oil

handlers other than generators. The rules shall require that:

(1) a used oil handler other than a generator:

(A) register with the commission;

(B) provide evidence of familiarity with applicable state laws

and rules and management procedures applicable to used oil

handling; and

(C) provide proof of liability insurance or other evidence of

financial responsibility for any liability that may be incurred

in handling used oil, except that this provision does not apply

to a used oil handler which is owned or otherwise effectively

controlled by the owners or operators where the used oil is

generated; and

(2) a used oil processor or rerefiner must report to the

commission, in the form of a letter on a biennial basis by

December 1 of each odd-numbered year, the calendar year covered

by the report and the quantities of used oil accepted for

processing or rerefining and the manner in which the used oil is

processed or rerefined, including the specific processes

employed.

(b) The commission by rule shall adopt reasonable management and

safety standards for the handling of used oil.

(c) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering used oil

handlers other than generators.

(d) A used oil transporter may consolidate or aggregate loads of

used oil for purposes of transportation but may not process used

oil, except that a used oil transporter may conduct incidental

processing operations, including settling and water separation,

that occur in the normal course of the transportation of used oil

but that are not designed to produce, or make more amenable for

the production of, used-oil-derived products or used oil fuel.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.126, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 389, Sec. 1, eff. Sept. 1,

1997.

Sec. 371.027. GIFTS AND GRANTS. The commission may apply for,

request, solicit, contract for, receive, and accept gifts,

grants, donations, and other assistance from any source to carry

out its powers and duties under this chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.028. RULES. Not later than January 1, 1996, the

commission shall adopt rules, standards, and procedures necessary

to implement the used oil recycling program established by this

chapter. Unless otherwise required by federal or state law, the

rules, standards, and procedures must be consistent with and not

more stringent than the used oil management standards under the

Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section

6901 et seq.).

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

SUBCHAPTER C. CERTAIN ACTIONS PROHIBITED; PENALTIES

Sec. 371.041. ACTIONS PROHIBITED. A person may not collect,

transport, store, recycle, use, discharge, or dispose of used oil

in any manner that endangers the public health or welfare or

endangers or damages the environment.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. April 1,

1992. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.128, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 5, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 1072, Sec. 40, eff. Sept. 1,

1997.

SUBCHAPTER D. USED OIL RECYCLING ACCOUNT; FEES

Sec. 371.061. USED OIL RECYCLING ACCOUNT. (a) The used oil

recycling account is in the state treasury.

(b) The account consists of:

(1) fees collected under Sections 371.024, 371.026, and 371.062;

(2) interest and penalties imposed under this chapter for late

payment of fees, failure to file a report, or other violations of

this chapter; and

(3) gifts, grants, donations, or other financial assistance the

commission is authorized to receive under Section 371.027.

(c) The commission may use money in the account only for

purposes authorized by this chapter, including:

(1) public education;

(2) grants to public and private do-it-yourselfer used oil

collection centers and used oil collection centers;

(3) registration of do-it-yourselfer used oil collection

centers, used oil collection centers, and used oil handlers other

than generators; and

(4) administrative costs of implementing this chapter.

(d) The account is exempt from the application of Section

403.095, Government Code.

(e) For the purpose of consolidating appropriations, the

commission may transfer any amount authorized under Subsection

(c)(4) or by legislative appropriation to the waste management

account subject to the limitations and requirements of this

chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.06, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.131, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 8, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 68, eff. Sept. 1,

1997.

Sec. 371.062. FEE ON SALE OF AUTOMOTIVE OIL. (a) In this

section:

(1) "Distributor" means a person who maintains a distribution

center or warehouse in this state and annually sells more than

25,000 gallons of automotive oil.

(2) "First sale" means the first actual sale of automotive oil

delivered to a location in this state and sold to a purchaser who

is not an automotive oil manufacturer or distributor. The term

does not include the sale of automotive oil:

(A) exported from this state to a location outside this state

for the purpose of sale or use outside this state;

(B) for resale to or use by vessels exclusively engaged in

foreign or interstate commerce;

(C) to a subsequent purchaser who maintains a do-it-yourselfer

used oil collection center or used oil collection center

registered by the commission at the location where the automotive

oil is changed, used, consumed, or resold to do-it-yourselfers;

or

(D) to the United States.

(3) "Importer" means any person who imports or causes to be

imported automotive oil into this state for sale, use, or

consumption.

(4) "Oil manufacturer" means any person or entity that

formulates automotive oil and packages, distributes, or sells

that automotive oil. The term includes any person packaging or

repackaging automotive oil.

(b) An oil manufacturer or distributor who makes a first sale of

automotive oil is liable for a fee.

(c) An oil importer who imports or causes to be imported

automotive oil is liable for the fee at the time the oil is

received.

(d) An oil distributor or retailer who exports from this state

to a location outside this state oil on which the automotive oil

fee has been paid may request from his supplier a refund or

credit of the fee paid on the exported oil. The supplier or oil

manufacturer and the importer may in turn request a refund of the

fee paid to the comptroller. The amount of refund that may be

claimed under this section may equal but not exceed the amount of

the fee paid on the automotive oil.

(e) An oil manufacturer, importer, distributor, or retailer who

makes a sale to a vessel or a sale for resale to a vessel of

automotive oil on which the automotive oil fee has been paid may

file with the comptroller a request for refund of the fee paid on

the oil or, where applicable, may request a refund or credit from

the supplier to whom the fee was paid. The supplier may in turn

request a refund from the comptroller. The amount of refund that

may be claimed under this section may equal but not exceed the

amount of the fee paid on the automotive oil.

(f) Each oil manufacturer, distributor, or importer required to

pay a fee under this section shall:

(1) prepare and maintain, on a form provided or approved by the

comptroller, a report of each first sale or, in the case of an

importer, the first receipt in Texas of automotive oil by the

person and the price received;

(2) retain the invoice or a copy of the invoice or other

appropriate record of the sale or receipt for four years from the

date of sale or receipt; and

(3) on or before the 25th day of the month following the end of

each calendar quarter, file a report with the comptroller and

remit to the comptroller the amount of fees required to be paid

for the preceding quarter.

(g) Records required to be maintained under Subsection (f) shall

be available for inspection by the comptroller at all reasonable

times.

(h) The comptroller shall adopt rules necessary for the

administration, collection, reporting, and payment of the fees

payable or collected under this section.

(i) Except as provided by this section, Chapters 101 and 111

through 113, Tax Code, apply to the administration, payment,

collection, and enforcement of fees under this section in the

same manner that those chapters apply to the administration,

payment, collection, and enforcement of taxes under Title 2, Tax

Code.

(j) The fee imposed under this section is one cent per quart or

four cents per gallon of automotive oil.

(k) A person required to pay a fee under this section may retain

one percent of the amount of the fees due from each quarterly

payment as reimbursement for administrative costs.

(l) The comptroller may deduct a percentage of the fees

collected under this section in an amount sufficient to pay the

reasonable and necessary costs of administering and enforcing

this section. The comptroller shall credit the amount deducted to

the general revenue fund. The balance of fees and all penalties

and interest collected under this section shall be deposited to

the credit of the used oil recycling account.

(m) A distributor must obtain a permit from the comptroller. The

comptroller shall adopt an application form for the permit, which

must include:

(1) the name under which the applicant transacts or intends to

transact business;

(2) the location of the applicant's distribution center or

warehouse in this state;

(3) if the applicant is a corporation or partnership, the names

of the principal officers of the corporation or of the members of

the partnership and the address of each officer or member; and

(4) any other information required by the comptroller.

(n) The comptroller may deny or revoke a permit under Subsection

(m) if false information is submitted on the application or on a

required fuels tax report or supplement.

(o) A permit under Subsection (m) may not be assigned.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.09, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.132, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 9; Acts 1997,

75th Leg., ch. 333, Sec. 69, eff. Sept. 1, 1997.

SUBCHAPTER E. FILTER STORAGE, TRANSPORTATION, OR PROCESSING

Sec. 371.101. DEFINITIONS. In this subchapter:

(1) "Bill of lading" means a shipping document that confirms the

receipt of a shipment.

(2) "Bulk filter container" means a portable device that:

(A) is part of an integrated delivery and retrieval system; and

(B) has a capacity greater than 330 gallons.

(3) "Component parts" means the severable parts of an oil filter

and includes oil present in an oil filter.

(4) "Do-it-yourselfer" means an individual who removes a used

oil filter in the process of an oil change or automotive repair

from the engine of a light duty motor vehicle, small utility

engine, noncommercial motor vehicle, or farm equipment owned or

operated by the individual.

(5) "Generator" means a person whose activities produce used oil

filters. The term does not include a do-it-yourselfer.

(6) "Process" means to prepare a used oil filter for recycling,

steel recovery, energy recovery, or proper disposal.

(7) "Processor" means a person that processes used oil filters

generated by another person. The term does not include a

generator that consolidates, drains, or crushes used oil filters

for off-site recycling or disposal.

(8) "Store" means to hold in a location for any period.

(9) "Storage facility" means a location that stores used oil

filters before transportation, processing, recycling, or disposal

of the filters. The term does not include the location of a

generator.

(10) "Transporter" means a person that transports used oil

filters to a location for storage, processing, recycling, or

disposal.

(11) "Used oil filter" means any device that is an integral part

of an oil flow system, the primary purpose of which is to remove

contaminants from flowing oil contained in the system, and that,

as a result of use, has become contaminated and unsuitable for

its original purpose, is removed from service, and contains

entrapped used oil. The term does not include a filter attached

to the equipment containing the oil flow system. This term

continues to apply regardless of prior processing until but not

after the filter has been burned for steel recovery or energy

recovery or it is separated into its component parts.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.102. APPLICABILITY. (a) This subchapter applies to a

used oil filter only if the filter has not been:

(1) separated into its component parts; or

(2) burned for:

(A) steel recovery; or

(B) energy recovery.

(b) This subchapter does not apply to:

(1) an industrial generator that is:

(A) registered with the commission as an industrial or hazardous

waste facility; or

(B) under the waste management authority of a state agency other

than the commission; or

(2) a do-it-yourselfer.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.103. GENERAL REQUIREMENTS. (a) A person may not

store, process, or dispose of a used oil filter in a manner that

results in the discharge of oil into soil or water.

(b) A person may not knowingly place on land a used oil filter

that contains oil unless the used oil filter is in a container.

(c) A bulk filter container used to store used oil filters:

(1) must not leak; and

(2) must be securely closed, waterproof, and in good condition.

(d) A used oil filter may not be intentionally or knowingly

placed in or accepted for disposal in a landfill permitted by the

commission.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.104. REGISTRATION AND REPORTING. (a) A transporter,

storage facility, or processor may not store, process, recycle,

or dispose of used oil filters unless the person is registered

with the commission.

(b) Unless the person is registered with the commission as a

storage facility, a person may not store used oil filters:

(1) that in the aggregate have a volume greater than six

55-gallon drums; or

(2) in more than one bulk filter container.

(c) A registered transporter, storage facility, or processor

shall:

(1) renew the registration biennially; and

(2) report to the commission biennially the number of used oil

filters the person transported, stored, or processed in the two

years preceding the date of the report.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.105. SHIPMENT RECORDS. (a) Each shipment of used oil

filters must be accompanied by a bill of lading that conforms to

commission rules.

(b) In accordance with commission rules, a copy of the bill of

lading for each shipment of used oil filters must be maintained

by the generator of the filters, transporter of the filters,

storage facility at which the filters were stored, and processor

of the filters for at least three years after the date the

filters were transported, stored, or processed.

(c) The copies of the bills of lading must be made available for

the commission to inspect at any reasonable time.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.106. LIMITATIONS ON STORAGE. (a) A storage facility

may not store a used oil filter for more than 120 days.

(b) A transporter may not store a used oil filter for more than

10 days.

(c) A processor may not store a used oil filter for more than 30

days before it is processed.

(d) A processor that stores used oil filters in a container

shall label each container clearly with the phrase "Used Oil

Filters."

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.107. VARIANCES. (a) The commission may grant an

individual variance to allow:

(1) a generator to store used oil filters in a greater aggregate

volume than the volume prescribed by Section 371.104(b); or

(2) a person to store used oil filters for a period longer than

the period prescribed for that person by Section 371.106.

(b) The commission may not grant a variance under this section

for a period of longer than two years.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.108. SPILL PREVENTION AND CONTROL. Each registered

storage facility and each facility of a registered processor

shall develop a plan to prevent spills and respond to spills in

accordance with the federal spill prevention, control, and

countermeasure requirements provided by Title 40, Code of Federal

Regulations, Part 112, as amended.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.109. FINANCIAL RESPONSIBILITY. The commission shall

adopt rules requiring a person required to register under Section

371.104 to demonstrate adequate financial responsibility.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.110. CIVIL AND ADMINISTRATIVE PENALTIES. (a)

Notwithstanding Sections 7.052 and 7.102, Water Code, a person

that violates this subchapter or a rule adopted under this

subchapter is liable for a civil penalty of not less than $100 or

more than $500 for each violation and for each day of a

continuing violation.

(b) The commission or the attorney general at the request of the

commission may bring a suit under Subchapter D, Chapter 7, Water

Code, to recover the penalty.

(c) A local government with jurisdiction over the area in which

the violation occurred may bring suit to recover the penalty.

(d) The violation described by Subsection (a) also is subject to

an administrative penalty. The commission may recover the

administrative penalty in a proceeding conducted as provided by

Subchapter C, Chapter 7, Water Code.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-371-used-oil-collection-management-and-recycling

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE B. SOLID WASTE, TOXIC CHEMICALS, SEWAGE, LITTER, AND

WATER

CHAPTER 371. USED OIL COLLECTION, MANAGEMENT, AND RECYCLING

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 371.001. SHORT TITLE. This chapter may be cited as the

Texas Used Oil Collection, Management, and Recycling Act.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.002. FINDINGS. The legislature finds that:

(1) when properly managed and recycled, used oil is a valuable

energy resource;

(2) used oil can be recycled into a number of different

products;

(3) improper disposal of used oil is a significant environmental

problem and a waste of a potentially valuable energy resource;

(4) there is a need for an expanded statewide network of used

oil collection sites for private citizens who change their own

motor oil;

(5) the private sector, with incentives, is best equipped to

establish and operate used oil collection centers that are

convenient for the public;

(6) the need for publicly operated used oil collection centers

is greatest in more sparsely populated areas of the state and

should diminish over time;

(7) the United States Environmental Protection Agency has issued

final regulations that properly classify and regulate used oil

and used oil filters in accordance with the Resource Conservation

and Recovery Act of 1976 (42 U.S.C. Section 6901 et seq.);

(8) the current used oil and used oil filter program in this

state imposes more stringent management requirements than the

regulations of the United States Environmental Protection Agency;

(9) limited public money is needed to finance public and private

infrastructure investments to collect, manage, and recycle used

motor oil;

(10) the used oil management standards under the Resource

Conservation and Recovery Act of 1976 (42 U.S.C. Section 6901 et

seq.) establish a balanced approach to the objectives of

preserving a valuable resource and protecting the natural

environment; and

(11) recycling, reuse, treatment, or proper disposal of used oil

produces a more advantageous cost-benefit ratio in accomplishing

the goals of state law, and these considerations should be

included in the source reduction and waste minimization plans

adopted under Section 361.505 to the extent applicable.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 1, eff.

Sept. 1, 1995.

Sec. 371.0025. PURPOSE AND SCOPE. (a) The purposes of this

chapter are to:

(1) ensure that this state's used oil program is consistent with

and not more stringent than the federal program for the

management of used oil under 40 C.F.R. Part 279 unless otherwise

required by state or federal law; and

(2) establish a program to promote public and private

do-it-yourselfer used oil collection centers and used oil

collection centers.

(b) This chapter does not apply to used oil:

(1) generated in connection with activities regulated by the

Railroad Commission of Texas under Chapter 91 or 141, Natural

Resources Code, or Chapter 27, Water Code;

(2) exempted under 40 C.F.R. Section 279.10(g) because the oil

has been introduced into a crude oil pipeline or is being

processed at a petroleum refining facility; or

(3) generated through other activities exempted under 40 C.F.R.

Part 271 or 279.

(c) This chapter does not apply to a used oil filter generated

in connection with activities regulated by the Railroad

Commission of Texas under Chapter 91 or 141, Natural Resources

Code, or Chapter 27, Water Code.

Added by Acts 1995, 74th Leg., ch. 887, Sec. 2, eff. Sept. 1,

1995.

Sec. 371.003. DEFINITIONS. In this chapter:

(1) "Aboveground tank" means a tank used to store or process oil

that is not an underground storage tank as defined by 40 C.F.R.

Section 280.12.

(2) "Automotive oil" means any lubricating oils intended for use

in an internal combustion engine, crankcase, transmission, gear

box, or differential for an automobile, bus, or truck. The term

includes oil that is not labeled specifically for that use but is

suitable for that use according to generally accepted industry

specifications.

(3) "Commission" means the Texas Natural Resource Conservation

Commission.

(4) "Container" means a portable device in which a material is

stored, transported, treated, disposed of, or otherwise handled.

(5) "Do-it-yourselfer used oil collection center" means a site

or facility that accepts or aggregates and stores used oil

collected only from household do-it-yourselfers. A registered

do-it-yourselfer used oil collection center that is also a used

oil generator may commingle household do-it-yourselfer used oil

with the used oil it generates.

(6) "Existing tank" means a tank that is used for the storage or

processing of used oil and that as of September 1, 1995, is in

operation or is being installed. A tank is being installed if the

owner or operator has obtained all necessary federal, state, and

local approvals or permits and:

(A) a continuous on-site installation program has begun; or

(B) the owner or operator has entered into contractual

obligations for installation of the tank that cannot be cancelled

or modified without substantial loss.

(7) "Household do-it-yourselfer used oil" means oil that is

derived from a household, including used oil generated by an

individual through the maintenance of the individual's personal

vehicle or equipment.

(8) "Household do-it-yourselfer used oil generator" means an

individual who generates household do-it-yourselfer used oil.

(9) "New tank" means a tank for the storage or processing of

used oil the installation of which begins on or after September

1, 1995.

(10) "Petroleum refining facility" means an establishment

primarily engaged in producing gasoline, kerosene, distillate

fuel oils, residual fuel oils, and lubricants through

fractionation, straight distillation of crude oil, redistillation

of unfinished petroleum derivatives, cracking, or other

processes.

(11) "Processing" means chemical or physical operations designed

to produce from used oil, or to make used oil more amenable for

production of, fuel oils, lubricants, or other used-oil-derived

products, including blending used oil with virgin petroleum

products, blending used oils to meet fuel specifications,

filtration, simple distillation, chemical or physical separation,

and rerefining.

(12) "Reclaiming" means processing material to recover a usable

product or regenerating material, including recovering lead from

a spent battery and regenerating spent solvents.

(13) "Recycling" means:

(A) preparing used oil for reuse as a petroleum product by

rerefining, reclaiming, or other means;

(B) using used oil as a lubricant or petroleum product instead

of using a petroleum product made from new oil; or

(C) burning used oil for energy recovery.

(14) "Rerefining" means applying processes to material composed

primarily of used oil to produce high-quality base stocks for

lubricants or other petroleum products, including settling,

filtering, catalytic conversion, fractional/vacuum distillation,

hydrotreating, or polishing.

(15) "Rerefining distillation bottoms" means the heavy fraction

of filtered and dehydrated used oil produced by vacuum

distillation. The composition of still bottoms varies with column

operation and feedstock.

(16) "Tank" means a stationary device designed to contain an

accumulation of used oil that is constructed primarily of

nonearthen materials that provide structural support, including

wood, concrete, steel, and plastic.

(17) "Used oil" means oil that has been refined from crude oil,

or synthetic oil, that as a result of use has been contaminated

by physical or chemical impurities.

(18) "Used oil aggregation point" means a site or facility that

accepts, aggregates, or stores used oil collected from:

(A) used oil generation sites owned or operated by the owner or

operator of the used oil aggregation point and transported to the

used oil aggregation point in shipments of not more than 55

gallons; or

(B) household do-it-yourselfers.

(19) "Used oil burner" means a facility in which used oil not

meeting the specifications in 40 C.F.R. Section 279.11 is burned

for energy recovery in a device listed in 40 C.F.R. Section

279.61(a).

(20) "Used oil collection center" means a site or facility that

is registered by the commission to manage used oil and accepts,

aggregates, or stores used oil collected from:

(A) used oil generators regulated under 40 C.F.R. Part 279,

Subpart C, who transport used oil to the used oil collection

center in shipments of not more than 55 gallons under 40 C.F.R.

Section 279.24; or

(B) household do-it-yourselfers.

(21) "Used oil fuel marketer" means a person who:

(A) directs a shipment of used oil not meeting the

specifications in 40 C.F.R. Section 279.11 from the person's

facility to a used oil burner; or

(B) first claims that used oil to be burned for energy recovery

meets the used oil specifications in 40 C.F.R. Section 279.11.

(22) "Used oil generator" means a person, by site, whose act or

process:

(A) produces used oil; or

(B) first causes used oil to become subject to regulation.

(23) "Used oil processor or rerefiner" means a facility that

processes used oil.

(24) "Used oil transfer facility" means a transportation-related

facility, including a loading dock, parking area, storage area,

or other area, where shipments of used oil are held for more than

24 hours and not more than 35 days during the normal course of

transportation. A transfer facility that stores used oil for more

than 35 days is subject to 40 C.F.R. Part 279, Subpart F.

(25) "Used oil transporter" means a person who:

(A) transports used oil; or

(B) owns or operates a used oil transfer facility.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 3, Sec.

1.045, eff. Aug. 12, 1991; Acts 1993, 73rd Leg., ch. 899, Sec.

4.05, eff. Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec.

11.122, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec.

3, eff. Sept. 1, 1995.

SUBCHAPTER B. USED OIL RECYCLING PROGRAM

Sec. 371.021. PUBLIC EDUCATION. The commission shall conduct an

education program to inform the public of the need for and

benefits of the collection and recycling of used oil and used oil

filters. The program shall:

(1) establish, maintain, and publicize a used oil information

center that prepares and disperses materials and information

explaining laws and rules regulating used oil and informing the

public of places and methods for proper recycling of used oil;

(2) encourage the voluntary establishment of used oil collection

and recycling programs by private businesses and organizations

and by local governments and provide technical assistance to

persons who organize those programs; and

(3) encourage local governments to procure recycled automotive

and industrial oils and oils blended with recycled oils, if those

oils meet equipment manufacturer's specifications.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.022. NOTICE BY RETAIL DEALER. A retail dealer who

annually sells directly to the public more than 500 gallons of

oil in containers for use off-premises shall post in a prominent

place a sign provided by the commission:

(1) informing the public that improper disposal of used oil is

prohibited by law;

(2) containing instructions for disposal of used oil filters;

and

(3) prominently displaying the toll-free telephone number of the

state used oil information center established under Section

371.021.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.023. GRANTS TO LOCAL GOVERNMENTS AND PRIVATE ENTITIES.

(a) The commission shall develop a grant program for local

governments and private entities that encourages the collection,

reuse, and recycling of household do-it-yourselfer used oil.

(b) The commission may approve a grant for any project that uses

one or more of the following programs:

(1) curbside pickup of containers of household do-it-yourselfer

used oil by a local government or its representative;

(2) retrofitting of municipal solid waste equipment to

facilitate curbside pickup of household do-it-yourselfer used

oil;

(3) establishment of do-it-yourselfer used oil collection

centers and used oil collection centers at locations accessible

to the public, including landfills, fire stations, retail stores,

quick lubrication centers, and automobile repair shops;

(4) provision of containers and other materials and supplies

that can be used to store household do-it-yourselfer used oil for

pickup or delivery to a do-it-yourselfer used oil collection

center in an environmentally sound manner; and

(5) any other activity the advisory committee established under

Subsection (c) determines will encourage the proper recycling of

household do-it-yourselfer used oil.

(c) The commission shall appoint an advisory committee for the

used oil grant program. The advisory committee consists of seven

members who serve at the pleasure of the commission and represent

oil manufacturers as defined by Section 371.062, operators of

used oil collection centers, and local governments. The advisory

committee members serve without compensation and are not entitled

to reimbursement for expenses incurred in the performance of

their duties. The advisory committee shall:

(1) recommend criteria for grants;

(2) establish guidelines for allowable administrative expenses;

and

(3) recommend grant recipients to the commission based on the

used oil collection needs of this state.

(d) The commission by rule shall:

(1) establish procedures for the application for and criteria

for the award of grants under this section; and

(2) adopt guidelines for allowable administrative expenses in

accordance with guidelines established by the advisory committee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.123, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.024. COLLECTION FACILITIES. (a) All appropriate

businesses and government agencies are encouraged to serve as

do-it-yourselfer used oil collection centers or used oil

collection centers.

(b) A do-it-yourselfer used oil collection center and a used oil

collection center shall:

(1) register biennially with the commission; and

(2) report annually to the commission the amounts of used oil

collected by the center from the public.

(c) The commission shall adopt rules governing the registration

of and reporting by do-it-yourselfer used oil collection centers

and used oil collection centers.

(d) The commission by rule shall adopt standards for managing

and operating a do-it-yourselfer used oil collection center or a

used oil collection center.

(e) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering

do-it-yourselfer used oil collection centers and used oil

collection centers. A private entity that serves voluntarily as a

do-it-yourselfer used oil collection center or a used oil

collection center is exempt from the registration fee.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.124, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.0245. REIMBURSEMENT OF USED OIL COLLECTION CENTER'S

HAZARDOUS WASTE EXPENSE. (a) The commission, on proper

application, shall reimburse the owner or operator of an eligible

registered do-it-yourselfer used oil collection center or a used

oil collection center for costs associated with the collection

center's disposal of:

(1) household do-it-yourselfer used oil collected by the

collection center that, unknown to the center at the time of

collection, contains hazardous wastes or is unfit for recycling;

(2) household do-it-yourselfer used oil collected by the

collection center that has been commingled with oils described in

Subdivision (1) and is unsuitable for recycling; or

(3) contaminated used oil left at the collection center as used

oil after posted business hours and without the knowledge of the

collection center.

(b) A registered do-it-yourselfer used oil collection center or

used oil collection center is eligible for reimbursement if it

demonstrates to the satisfaction of the commission that:

(1) the center has established procedures to minimize the risk

that the center will mix the used oil the center generates or

collects from the public with hazardous wastes, especially

halogenated wastes;

(2) the center accepts not more than:

(A) five gallons of used oil from any person at any one time if

the center is a registered do-it-yourselfer used oil collection

center; or

(B) 55 gallons of used oil from any person at one time if the

center is a registered used oil collection center; and

(3) the center can document to the satisfaction of the

commission the volume of used oil the center collects from the

public during any period under review by:

(A) providing a process by which all individuals leaving

household do-it-yourselfer used oil at the center are required to

provide their names, addresses, and the approximate amounts of

used oil brought to the collection center; or

(B) another method approved by the commission.

(c) For the purpose of Subsection (b)(2), the owner or operator

of a registered do-it-yourselfer used oil collection center or

used oil collection center may presume that a quantity of used

oil collected from a member of the public that does not exceed

the applicable collection limit established by that subsection is

not mixed with a hazardous substance if the owner or operator

acts in good faith in the belief the oil is generated from the

individual's personal activity.

(d) In any state fiscal year, a registered do-it-yourselfer used

oil collection center or used oil collection center may not be

reimbursed for more than $7,500 in total eligible disposal costs,

subject to Section 371.0246(d).

(e) Reimbursements made under this section shall be paid out of

the used oil recycling account and may not exceed an aggregate

amount of $500,000 each fiscal year.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 65, eff. Sept.

1, 1997.

Sec. 371.0246. PROCEDURES FOR REIMBURSEMENT. (a) An owner or

operator of a registered do-it-yourselfer used oil collection

center or used oil collection center may apply for reimbursement

from the commission.

(b) An application for reimbursement shall be submitted on a

form approved or provided by the commission.

(c) An application must contain:

(1) the name, address, and telephone number of the applicant;

(2) the name, mailing address, location address, and commission

registration number of the registered do-it-yourselfer used oil

collection center or used oil collection center from which the

contaminated oil was removed;

(3) the name, address, telephone number, and commission

registration number of the hazardous waste transporter used to

dispose of the contaminated used oil;

(4) a copy of any shipping documents that accompanied the

transportation of the shipment of used oil;

(5) a copy of each invoice for which reimbursement is requested

and evidence that the amount shown on the invoice has been paid

in full in the form of:

(A) canceled checks;

(B) business receipts from the person who performed the work; or

(C) other documentation approved by the commission;

(6) a waste-characterization or similar documentation required

before acceptance of a hazardous waste by the disposal facility

that accepted the contaminated used oil for treatment or

disposal; and

(7) any other information that the executive director may

reasonably require.

(d) All claims for reimbursement filed under this section and

Section 371.0245 are subject to funds available for disbursement

in the used oil recycling account and to Section 371.0245(e).

This subchapter does not create an entitlement to money in the

used oil recycling account or any other fund.

Added by Acts 1993, 73rd Leg., ch. 899, Sec. 4.07, eff. Sept. 1,

1993. Amended by Acts 1995, 74th Leg., ch. 887, Sec. 4, eff.

Sept. 1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 66, eff. Sept.

1, 1997.

Sec. 371.025. LIMITATION OF LIABILITY. (a) A person may not

recover from the owner, operator, or lessor of a registered

do-it-yourselfer used oil collection center or used oil

collection center any damages or costs of response actions at

another location resulting from a release or threatened release

of used oil collected at the center if:

(1) the owner, operator, or lessor of the collection center does

not mix the used oil collected with any hazardous waste or

polychlorinated biphenyls (PCBs);

(2) the owner, operator, or lessor of the collection center does

not accept used oil that the owner, operator, or lessor knows

contains hazardous waste or PCBs; and

(3) the collection center is in compliance with management

standards adopted by the commission.

(b) For purposes of this section, the owner, operator, or lessor

of a do-it-yourselfer used oil collection center or a used oil

collection center may presume that a quantity of less than five

gallons of used oil accepted at any one time from any member of

the public is not mixed with a hazardous waste or PCBs, provided

that the owner, operator, or lessor acts in good faith.

(c) This section applies only to activities directly related to

the collection of used oil by a do-it-yourselfer used oil

collection center or a used oil collection center. This section

does not apply to grossly negligent activities related to the

operation of a do-it-yourselfer used oil collection center or a

used oil collection center.

(d) This section does not affect or modify the obligations or

liability of any person other than the owner, operator, or lessor

of the collection center under any other provisions of state or

federal law, including common law, for injury or damage resulting

from a release of used oil or hazardous substances.

(e) This section does not affect or modify the obligations or

liability of any owner, operator, or lessor of a collection

center with regard to services other than accepting used oil from

the public.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.125, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.026. REGISTRATION AND REPORTING REQUIREMENTS OF USED

OIL HANDLERS OTHER THAN GENERATORS. (a) The commission shall

adopt rules governing registration and reporting of used oil

handlers other than generators. The rules shall require that:

(1) a used oil handler other than a generator:

(A) register with the commission;

(B) provide evidence of familiarity with applicable state laws

and rules and management procedures applicable to used oil

handling; and

(C) provide proof of liability insurance or other evidence of

financial responsibility for any liability that may be incurred

in handling used oil, except that this provision does not apply

to a used oil handler which is owned or otherwise effectively

controlled by the owners or operators where the used oil is

generated; and

(2) a used oil processor or rerefiner must report to the

commission, in the form of a letter on a biennial basis by

December 1 of each odd-numbered year, the calendar year covered

by the report and the quantities of used oil accepted for

processing or rerefining and the manner in which the used oil is

processed or rerefined, including the specific processes

employed.

(b) The commission by rule shall adopt reasonable management and

safety standards for the handling of used oil.

(c) The commission may impose a registration fee in an amount

sufficient to cover the actual cost of registering used oil

handlers other than generators.

(d) A used oil transporter may consolidate or aggregate loads of

used oil for purposes of transportation but may not process used

oil, except that a used oil transporter may conduct incidental

processing operations, including settling and water separation,

that occur in the normal course of the transportation of used oil

but that are not designed to produce, or make more amenable for

the production of, used-oil-derived products or used oil fuel.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.126, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 389, Sec. 1, eff. Sept. 1,

1997.

Sec. 371.027. GIFTS AND GRANTS. The commission may apply for,

request, solicit, contract for, receive, and accept gifts,

grants, donations, and other assistance from any source to carry

out its powers and duties under this chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

Sec. 371.028. RULES. Not later than January 1, 1996, the

commission shall adopt rules, standards, and procedures necessary

to implement the used oil recycling program established by this

chapter. Unless otherwise required by federal or state law, the

rules, standards, and procedures must be consistent with and not

more stringent than the used oil management standards under the

Resource Conservation and Recovery Act of 1976 (42 U.S.C. Section

6901 et seq.).

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.127, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 4, eff. Sept.

1, 1995.

SUBCHAPTER C. CERTAIN ACTIONS PROHIBITED; PENALTIES

Sec. 371.041. ACTIONS PROHIBITED. A person may not collect,

transport, store, recycle, use, discharge, or dispose of used oil

in any manner that endangers the public health or welfare or

endangers or damages the environment.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. April 1,

1992. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.128, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 5, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 1072, Sec. 40, eff. Sept. 1,

1997.

SUBCHAPTER D. USED OIL RECYCLING ACCOUNT; FEES

Sec. 371.061. USED OIL RECYCLING ACCOUNT. (a) The used oil

recycling account is in the state treasury.

(b) The account consists of:

(1) fees collected under Sections 371.024, 371.026, and 371.062;

(2) interest and penalties imposed under this chapter for late

payment of fees, failure to file a report, or other violations of

this chapter; and

(3) gifts, grants, donations, or other financial assistance the

commission is authorized to receive under Section 371.027.

(c) The commission may use money in the account only for

purposes authorized by this chapter, including:

(1) public education;

(2) grants to public and private do-it-yourselfer used oil

collection centers and used oil collection centers;

(3) registration of do-it-yourselfer used oil collection

centers, used oil collection centers, and used oil handlers other

than generators; and

(4) administrative costs of implementing this chapter.

(d) The account is exempt from the application of Section

403.095, Government Code.

(e) For the purpose of consolidating appropriations, the

commission may transfer any amount authorized under Subsection

(c)(4) or by legislative appropriation to the waste management

account subject to the limitations and requirements of this

chapter.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.06, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.131, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 8, eff. Sept.

1, 1995; Acts 1997, 75th Leg., ch. 333, Sec. 68, eff. Sept. 1,

1997.

Sec. 371.062. FEE ON SALE OF AUTOMOTIVE OIL. (a) In this

section:

(1) "Distributor" means a person who maintains a distribution

center or warehouse in this state and annually sells more than

25,000 gallons of automotive oil.

(2) "First sale" means the first actual sale of automotive oil

delivered to a location in this state and sold to a purchaser who

is not an automotive oil manufacturer or distributor. The term

does not include the sale of automotive oil:

(A) exported from this state to a location outside this state

for the purpose of sale or use outside this state;

(B) for resale to or use by vessels exclusively engaged in

foreign or interstate commerce;

(C) to a subsequent purchaser who maintains a do-it-yourselfer

used oil collection center or used oil collection center

registered by the commission at the location where the automotive

oil is changed, used, consumed, or resold to do-it-yourselfers;

or

(D) to the United States.

(3) "Importer" means any person who imports or causes to be

imported automotive oil into this state for sale, use, or

consumption.

(4) "Oil manufacturer" means any person or entity that

formulates automotive oil and packages, distributes, or sells

that automotive oil. The term includes any person packaging or

repackaging automotive oil.

(b) An oil manufacturer or distributor who makes a first sale of

automotive oil is liable for a fee.

(c) An oil importer who imports or causes to be imported

automotive oil is liable for the fee at the time the oil is

received.

(d) An oil distributor or retailer who exports from this state

to a location outside this state oil on which the automotive oil

fee has been paid may request from his supplier a refund or

credit of the fee paid on the exported oil. The supplier or oil

manufacturer and the importer may in turn request a refund of the

fee paid to the comptroller. The amount of refund that may be

claimed under this section may equal but not exceed the amount of

the fee paid on the automotive oil.

(e) An oil manufacturer, importer, distributor, or retailer who

makes a sale to a vessel or a sale for resale to a vessel of

automotive oil on which the automotive oil fee has been paid may

file with the comptroller a request for refund of the fee paid on

the oil or, where applicable, may request a refund or credit from

the supplier to whom the fee was paid. The supplier may in turn

request a refund from the comptroller. The amount of refund that

may be claimed under this section may equal but not exceed the

amount of the fee paid on the automotive oil.

(f) Each oil manufacturer, distributor, or importer required to

pay a fee under this section shall:

(1) prepare and maintain, on a form provided or approved by the

comptroller, a report of each first sale or, in the case of an

importer, the first receipt in Texas of automotive oil by the

person and the price received;

(2) retain the invoice or a copy of the invoice or other

appropriate record of the sale or receipt for four years from the

date of sale or receipt; and

(3) on or before the 25th day of the month following the end of

each calendar quarter, file a report with the comptroller and

remit to the comptroller the amount of fees required to be paid

for the preceding quarter.

(g) Records required to be maintained under Subsection (f) shall

be available for inspection by the comptroller at all reasonable

times.

(h) The comptroller shall adopt rules necessary for the

administration, collection, reporting, and payment of the fees

payable or collected under this section.

(i) Except as provided by this section, Chapters 101 and 111

through 113, Tax Code, apply to the administration, payment,

collection, and enforcement of fees under this section in the

same manner that those chapters apply to the administration,

payment, collection, and enforcement of taxes under Title 2, Tax

Code.

(j) The fee imposed under this section is one cent per quart or

four cents per gallon of automotive oil.

(k) A person required to pay a fee under this section may retain

one percent of the amount of the fees due from each quarterly

payment as reimbursement for administrative costs.

(l) The comptroller may deduct a percentage of the fees

collected under this section in an amount sufficient to pay the

reasonable and necessary costs of administering and enforcing

this section. The comptroller shall credit the amount deducted to

the general revenue fund. The balance of fees and all penalties

and interest collected under this section shall be deposited to

the credit of the used oil recycling account.

(m) A distributor must obtain a permit from the comptroller. The

comptroller shall adopt an application form for the permit, which

must include:

(1) the name under which the applicant transacts or intends to

transact business;

(2) the location of the applicant's distribution center or

warehouse in this state;

(3) if the applicant is a corporation or partnership, the names

of the principal officers of the corporation or of the members of

the partnership and the address of each officer or member; and

(4) any other information required by the comptroller.

(n) The comptroller may deny or revoke a permit under Subsection

(m) if false information is submitted on the application or on a

required fuels tax report or supplement.

(o) A permit under Subsection (m) may not be assigned.

Added by Acts 1991, 72nd Leg., ch. 303, Sec. 8, eff. Sept. 1,

1991. Amended by Acts 1993, 73rd Leg., ch. 899, Sec. 4.09, eff.

Oct. 1, 1993; Acts 1995, 74th Leg., ch. 76, Sec. 11.132, eff.

Sept. 1, 1995; Acts 1995, 74th Leg., ch. 887, Sec. 9; Acts 1997,

75th Leg., ch. 333, Sec. 69, eff. Sept. 1, 1997.

SUBCHAPTER E. FILTER STORAGE, TRANSPORTATION, OR PROCESSING

Sec. 371.101. DEFINITIONS. In this subchapter:

(1) "Bill of lading" means a shipping document that confirms the

receipt of a shipment.

(2) "Bulk filter container" means a portable device that:

(A) is part of an integrated delivery and retrieval system; and

(B) has a capacity greater than 330 gallons.

(3) "Component parts" means the severable parts of an oil filter

and includes oil present in an oil filter.

(4) "Do-it-yourselfer" means an individual who removes a used

oil filter in the process of an oil change or automotive repair

from the engine of a light duty motor vehicle, small utility

engine, noncommercial motor vehicle, or farm equipment owned or

operated by the individual.

(5) "Generator" means a person whose activities produce used oil

filters. The term does not include a do-it-yourselfer.

(6) "Process" means to prepare a used oil filter for recycling,

steel recovery, energy recovery, or proper disposal.

(7) "Processor" means a person that processes used oil filters

generated by another person. The term does not include a

generator that consolidates, drains, or crushes used oil filters

for off-site recycling or disposal.

(8) "Store" means to hold in a location for any period.

(9) "Storage facility" means a location that stores used oil

filters before transportation, processing, recycling, or disposal

of the filters. The term does not include the location of a

generator.

(10) "Transporter" means a person that transports used oil

filters to a location for storage, processing, recycling, or

disposal.

(11) "Used oil filter" means any device that is an integral part

of an oil flow system, the primary purpose of which is to remove

contaminants from flowing oil contained in the system, and that,

as a result of use, has become contaminated and unsuitable for

its original purpose, is removed from service, and contains

entrapped used oil. The term does not include a filter attached

to the equipment containing the oil flow system. This term

continues to apply regardless of prior processing until but not

after the filter has been burned for steel recovery or energy

recovery or it is separated into its component parts.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.102. APPLICABILITY. (a) This subchapter applies to a

used oil filter only if the filter has not been:

(1) separated into its component parts; or

(2) burned for:

(A) steel recovery; or

(B) energy recovery.

(b) This subchapter does not apply to:

(1) an industrial generator that is:

(A) registered with the commission as an industrial or hazardous

waste facility; or

(B) under the waste management authority of a state agency other

than the commission; or

(2) a do-it-yourselfer.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.103. GENERAL REQUIREMENTS. (a) A person may not

store, process, or dispose of a used oil filter in a manner that

results in the discharge of oil into soil or water.

(b) A person may not knowingly place on land a used oil filter

that contains oil unless the used oil filter is in a container.

(c) A bulk filter container used to store used oil filters:

(1) must not leak; and

(2) must be securely closed, waterproof, and in good condition.

(d) A used oil filter may not be intentionally or knowingly

placed in or accepted for disposal in a landfill permitted by the

commission.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.104. REGISTRATION AND REPORTING. (a) A transporter,

storage facility, or processor may not store, process, recycle,

or dispose of used oil filters unless the person is registered

with the commission.

(b) Unless the person is registered with the commission as a

storage facility, a person may not store used oil filters:

(1) that in the aggregate have a volume greater than six

55-gallon drums; or

(2) in more than one bulk filter container.

(c) A registered transporter, storage facility, or processor

shall:

(1) renew the registration biennially; and

(2) report to the commission biennially the number of used oil

filters the person transported, stored, or processed in the two

years preceding the date of the report.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.105. SHIPMENT RECORDS. (a) Each shipment of used oil

filters must be accompanied by a bill of lading that conforms to

commission rules.

(b) In accordance with commission rules, a copy of the bill of

lading for each shipment of used oil filters must be maintained

by the generator of the filters, transporter of the filters,

storage facility at which the filters were stored, and processor

of the filters for at least three years after the date the

filters were transported, stored, or processed.

(c) The copies of the bills of lading must be made available for

the commission to inspect at any reasonable time.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.106. LIMITATIONS ON STORAGE. (a) A storage facility

may not store a used oil filter for more than 120 days.

(b) A transporter may not store a used oil filter for more than

10 days.

(c) A processor may not store a used oil filter for more than 30

days before it is processed.

(d) A processor that stores used oil filters in a container

shall label each container clearly with the phrase "Used Oil

Filters."

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.

Sec. 371.107. VARIANCES. (a) The commission may grant an

individual variance to allow:

(1) a generator to store used oil filters in a greater aggregate

volume than the volume prescribed by Section 371.104(b); or

(2) a person to store used oil filters for a period longer than

the period prescribed for that person by Section 371.106.

(b) The commission may not grant a variance under this section

for a period of longer than two years.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.108. SPILL PREVENTION AND CONTROL. Each registered

storage facility and each facility of a registered processor

shall develop a plan to prevent spills and respond to spills in

accordance with the federal spill prevention, control, and

countermeasure requirements provided by Title 40, Code of Federal

Regulations, Part 112, as amended.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.109. FINANCIAL RESPONSIBILITY. The commission shall

adopt rules requiring a person required to register under Section

371.104 to demonstrate adequate financial responsibility.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Sept. 1,

1999.

Sec. 371.110. CIVIL AND ADMINISTRATIVE PENALTIES. (a)

Notwithstanding Sections 7.052 and 7.102, Water Code, a person

that violates this subchapter or a rule adopted under this

subchapter is liable for a civil penalty of not less than $100 or

more than $500 for each violation and for each day of a

continuing violation.

(b) The commission or the attorney general at the request of the

commission may bring a suit under Subchapter D, Chapter 7, Water

Code, to recover the penalty.

(c) A local government with jurisdiction over the area in which

the violation occurred may bring suit to recover the penalty.

(d) The violation described by Subsection (a) also is subject to

an administrative penalty. The commission may recover the

administrative penalty in a proceeding conducted as provided by

Subchapter C, Chapter 7, Water Code.

Added by Acts 1999, 76th Leg., ch. 366, Sec. 1, eff. Jan. 1,

2000.