State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-384-area-emission-reduction-credit-organizations

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE C. AIR QUALITY

CHAPTER 384. AREA EMISSION REDUCTION CREDIT ORGANIZATIONS

Sec. 384.001. DEFINITIONS. In this chapter:

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

Commission.

(2) "Emission reduction credit" means a credit recognized by the

commission and the United States Environmental Protection Agency

for reductions in emissions of air pollutants.

(3) "Nonattainment area" means an area so designated within the

meaning of Section 107(d) of the federal Clean Air Act (42 U.S.C.

Section 7407).

(4) "Organization" means an area emission reduction credit

organization in this state.

(5) "Regional council of governments" means a council of

governments designated as the metropolitan planning organization

or a metropolitan planning organization in the event the council

of governments is not so designated.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.201, eff.

Sept. 1, 1995.

Sec. 384.002. PURPOSE. The purpose of an area emission

reduction credit organization shall be to promote the coexistence

of the improvement of air quality and economic development within

the region through the acquisition and distribution of emission

reduction credits. Its activities may include the use of emission

reduction credits to help meet federal reasonable further

progress requirements as well as using emission reduction credits

to facilitate the issuance of permits.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.003. ESTABLISHMENT OF ORGANIZATION. A regional council

of governments whose area of jurisdiction contains a

nonattainment area may establish an organization on approval by

the commission of its creation petition as provided by Section

384.015.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.202, eff.

Sept. 1, 1995.

Sec. 384.004. FUNCTIONS; ORGANIZATION. An organization created

under this chapter shall:

(1) represent all counties within a nonattainment area;

(2) have a board of directors appointed in accordance with the

provisions of this chapter;

(3) have the power, authority, and limitations provided by this

chapter; and

(4) have bylaws setting forth its organization and procedures,

including provisions for conflicts of interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.005. OFFSET REQUIREMENTS. All transactions of an

organization involving emission reduction credits shall be

subject to the offset requirements of the federal Clean Air Act

(42 U.S.C. Section 7401 et seq.).

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.006. LOCATION RESTRICTION. There shall not be more

than one organization within a metropolitan statistical area or

consolidated metropolitan statistical area.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.007. STAFF. The regional council of governments may

provide staff to an organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.008. BOARD OF DIRECTORS. (a) The board of directors

of an organization shall consist of not less than six and not

more than 21 appointed members, provided, however, that the

number of appointed members is divisible by three. The appointed

members are appointed by and may be removed for cause by the

governing body of the regional council of governments. The

appointed members serve three-year terms, with one-third of the

members' terms expiring each year. In order to stagger the terms,

the initial appointees of a board of directors shall draw lots to

determine which one-third serves for one year, which one-third

serves for two years, and which one-third serves for three years.

In addition, the board of directors shall have one ex officio

nonvoting member from the commission, designated by the executive

director of the commission to act as a liaison between the

commission and the area emission reduction credit organization.

(b) The appointed members of the board of directors shall

represent the general public, large industrial sources of

emissions, small regulated businesses, and environmental and

economic development interests. Each county in the nonattainment

area shall be represented on the board of directors, and other

areas in the region shall be represented in a manner that

reflects the relative contributions of each area to total

emissions or potential emission reductions.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.203, eff.

Sept. 1, 1995.

Sec. 384.009. REMOVAL FOR CAUSE. The regional council of

governments appointing a member of the board of directors of an

organization may remove such member for cause if the member:

(1) cannot discharge the member's duties for a substantial

portion of the term for which the member is appointed because of

illness or disability; or

(2) is absent from more than half of the regularly scheduled

meetings that the member is eligible to attend during a calendar

year unless the absence is excused by a majority vote of the

board of directors.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.010. CONFLICT OF INTEREST. A member of a board of

directors may not vote on a matter in which the member or the

member's employer has a direct financial interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.011. AUTHORITY. The board of directors of an

organization shall have independent decision-making authority and

shall not be required to have its decisions reviewed by the

governing body of the regional council of governments. A regional

council of governments shall not have any liability under any

contracts entered into by an organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.012. POWERS AND DUTIES. An organization shall have the

authority to:

(1) receive and use funds;

(2) have an account at the Texas Natural Resource Conservation

Commission Air Emission Reduction Credit Bank;

(3) acquire emission reduction credits through purchase,

donation, or other means;

(4) transfer emission reduction credits by sale or other means;

(5) identify, evaluate, promote, initiate, and facilitate

potential projects and strategies to generate emission reduction

credits;

(6) provide financial assistance for projects to generate

emission reduction credits;

(7) employ staff;

(8) enter into contracts; and

(9) consider sustainability of projects.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.204, eff.

Sept. 1, 1995.

Sec. 384.013. PROHIBITIONS. An organization created under this

chapter shall have no regulatory or taxing authority.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.014. ANNUAL REPORT. By March 1 of each year each area

organization shall file with the commission and the regional

council of governments an annual report for the preceding

calendar year. The annual report shall contain a financial

accounting, an accounting of emission reduction credits, and a

listing of all emission reduction credit transactions entered

into by the organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.205, eff.

Sept. 1, 1995.

Sec. 384.015. PROCEDURE FOR FILING AND APPROVAL OF PETITION.

(a) A regional council of governments may authorize by

resolution the submission of a petition to the commission

requesting the creation of an organization under this chapter.

(b) The petition shall contain sufficient information to permit

a determination of compliance with the provisions of this chapter

and shall include a copy of the proposed bylaws and a plan for

ensuring compliance with the requirements of this chapter.

(c) The commission shall review the petition for compliance with

this chapter and hold a hearing in the region to obtain public

comment on the petition.

(d) The commission shall approve the petition and creation of

the organization if, after hearing, it finds that the

requirements of this chapter are met and that such creation would

be in the public interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.206, eff.

Sept. 1, 1995.

Sec. 384.016. AUDIT. The commission shall have the authority to

audit any organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.017. WITHDRAWAL OF APPROVAL. The commission shall have

the authority to withdraw its approval of an organization created

under this chapter and to dissolve such organization if it finds,

after notice and hearing, that the organization has failed to

comply with the provisions of this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.018. DISSOLUTION. An organization created under this

chapter shall be dissolved by the commission 12 years after its

creation unless the commission approves a petition, submitted and

approved in accordance with Section 384.015, for an additional

12-year term. The commission may continue to approve successive

12-year terms for the organization as long as the need for the

organization exists.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-384-area-emission-reduction-credit-organizations

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE C. AIR QUALITY

CHAPTER 384. AREA EMISSION REDUCTION CREDIT ORGANIZATIONS

Sec. 384.001. DEFINITIONS. In this chapter:

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

Commission.

(2) "Emission reduction credit" means a credit recognized by the

commission and the United States Environmental Protection Agency

for reductions in emissions of air pollutants.

(3) "Nonattainment area" means an area so designated within the

meaning of Section 107(d) of the federal Clean Air Act (42 U.S.C.

Section 7407).

(4) "Organization" means an area emission reduction credit

organization in this state.

(5) "Regional council of governments" means a council of

governments designated as the metropolitan planning organization

or a metropolitan planning organization in the event the council

of governments is not so designated.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.201, eff.

Sept. 1, 1995.

Sec. 384.002. PURPOSE. The purpose of an area emission

reduction credit organization shall be to promote the coexistence

of the improvement of air quality and economic development within

the region through the acquisition and distribution of emission

reduction credits. Its activities may include the use of emission

reduction credits to help meet federal reasonable further

progress requirements as well as using emission reduction credits

to facilitate the issuance of permits.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.003. ESTABLISHMENT OF ORGANIZATION. A regional council

of governments whose area of jurisdiction contains a

nonattainment area may establish an organization on approval by

the commission of its creation petition as provided by Section

384.015.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.202, eff.

Sept. 1, 1995.

Sec. 384.004. FUNCTIONS; ORGANIZATION. An organization created

under this chapter shall:

(1) represent all counties within a nonattainment area;

(2) have a board of directors appointed in accordance with the

provisions of this chapter;

(3) have the power, authority, and limitations provided by this

chapter; and

(4) have bylaws setting forth its organization and procedures,

including provisions for conflicts of interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.005. OFFSET REQUIREMENTS. All transactions of an

organization involving emission reduction credits shall be

subject to the offset requirements of the federal Clean Air Act

(42 U.S.C. Section 7401 et seq.).

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.006. LOCATION RESTRICTION. There shall not be more

than one organization within a metropolitan statistical area or

consolidated metropolitan statistical area.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.007. STAFF. The regional council of governments may

provide staff to an organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.008. BOARD OF DIRECTORS. (a) The board of directors

of an organization shall consist of not less than six and not

more than 21 appointed members, provided, however, that the

number of appointed members is divisible by three. The appointed

members are appointed by and may be removed for cause by the

governing body of the regional council of governments. The

appointed members serve three-year terms, with one-third of the

members' terms expiring each year. In order to stagger the terms,

the initial appointees of a board of directors shall draw lots to

determine which one-third serves for one year, which one-third

serves for two years, and which one-third serves for three years.

In addition, the board of directors shall have one ex officio

nonvoting member from the commission, designated by the executive

director of the commission to act as a liaison between the

commission and the area emission reduction credit organization.

(b) The appointed members of the board of directors shall

represent the general public, large industrial sources of

emissions, small regulated businesses, and environmental and

economic development interests. Each county in the nonattainment

area shall be represented on the board of directors, and other

areas in the region shall be represented in a manner that

reflects the relative contributions of each area to total

emissions or potential emission reductions.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.203, eff.

Sept. 1, 1995.

Sec. 384.009. REMOVAL FOR CAUSE. The regional council of

governments appointing a member of the board of directors of an

organization may remove such member for cause if the member:

(1) cannot discharge the member's duties for a substantial

portion of the term for which the member is appointed because of

illness or disability; or

(2) is absent from more than half of the regularly scheduled

meetings that the member is eligible to attend during a calendar

year unless the absence is excused by a majority vote of the

board of directors.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.010. CONFLICT OF INTEREST. A member of a board of

directors may not vote on a matter in which the member or the

member's employer has a direct financial interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.011. AUTHORITY. The board of directors of an

organization shall have independent decision-making authority and

shall not be required to have its decisions reviewed by the

governing body of the regional council of governments. A regional

council of governments shall not have any liability under any

contracts entered into by an organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.012. POWERS AND DUTIES. An organization shall have the

authority to:

(1) receive and use funds;

(2) have an account at the Texas Natural Resource Conservation

Commission Air Emission Reduction Credit Bank;

(3) acquire emission reduction credits through purchase,

donation, or other means;

(4) transfer emission reduction credits by sale or other means;

(5) identify, evaluate, promote, initiate, and facilitate

potential projects and strategies to generate emission reduction

credits;

(6) provide financial assistance for projects to generate

emission reduction credits;

(7) employ staff;

(8) enter into contracts; and

(9) consider sustainability of projects.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.204, eff.

Sept. 1, 1995.

Sec. 384.013. PROHIBITIONS. An organization created under this

chapter shall have no regulatory or taxing authority.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.014. ANNUAL REPORT. By March 1 of each year each area

organization shall file with the commission and the regional

council of governments an annual report for the preceding

calendar year. The annual report shall contain a financial

accounting, an accounting of emission reduction credits, and a

listing of all emission reduction credit transactions entered

into by the organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.205, eff.

Sept. 1, 1995.

Sec. 384.015. PROCEDURE FOR FILING AND APPROVAL OF PETITION.

(a) A regional council of governments may authorize by

resolution the submission of a petition to the commission

requesting the creation of an organization under this chapter.

(b) The petition shall contain sufficient information to permit

a determination of compliance with the provisions of this chapter

and shall include a copy of the proposed bylaws and a plan for

ensuring compliance with the requirements of this chapter.

(c) The commission shall review the petition for compliance with

this chapter and hold a hearing in the region to obtain public

comment on the petition.

(d) The commission shall approve the petition and creation of

the organization if, after hearing, it finds that the

requirements of this chapter are met and that such creation would

be in the public interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.206, eff.

Sept. 1, 1995.

Sec. 384.016. AUDIT. The commission shall have the authority to

audit any organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.017. WITHDRAWAL OF APPROVAL. The commission shall have

the authority to withdraw its approval of an organization created

under this chapter and to dissolve such organization if it finds,

after notice and hearing, that the organization has failed to

comply with the provisions of this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.018. DISSOLUTION. An organization created under this

chapter shall be dissolved by the commission 12 years after its

creation unless the commission approves a petition, submitted and

approved in accordance with Section 384.015, for an additional

12-year term. The commission may continue to approve successive

12-year terms for the organization as long as the need for the

organization exists.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Health-and-safety-code > Title-5-sanitation-and-environmental-quality > Chapter-384-area-emission-reduction-credit-organizations

HEALTH AND SAFETY CODE

TITLE 5. SANITATION AND ENVIRONMENTAL QUALITY

SUBTITLE C. AIR QUALITY

CHAPTER 384. AREA EMISSION REDUCTION CREDIT ORGANIZATIONS

Sec. 384.001. DEFINITIONS. In this chapter:

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

Commission.

(2) "Emission reduction credit" means a credit recognized by the

commission and the United States Environmental Protection Agency

for reductions in emissions of air pollutants.

(3) "Nonattainment area" means an area so designated within the

meaning of Section 107(d) of the federal Clean Air Act (42 U.S.C.

Section 7407).

(4) "Organization" means an area emission reduction credit

organization in this state.

(5) "Regional council of governments" means a council of

governments designated as the metropolitan planning organization

or a metropolitan planning organization in the event the council

of governments is not so designated.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.201, eff.

Sept. 1, 1995.

Sec. 384.002. PURPOSE. The purpose of an area emission

reduction credit organization shall be to promote the coexistence

of the improvement of air quality and economic development within

the region through the acquisition and distribution of emission

reduction credits. Its activities may include the use of emission

reduction credits to help meet federal reasonable further

progress requirements as well as using emission reduction credits

to facilitate the issuance of permits.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.003. ESTABLISHMENT OF ORGANIZATION. A regional council

of governments whose area of jurisdiction contains a

nonattainment area may establish an organization on approval by

the commission of its creation petition as provided by Section

384.015.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.202, eff.

Sept. 1, 1995.

Sec. 384.004. FUNCTIONS; ORGANIZATION. An organization created

under this chapter shall:

(1) represent all counties within a nonattainment area;

(2) have a board of directors appointed in accordance with the

provisions of this chapter;

(3) have the power, authority, and limitations provided by this

chapter; and

(4) have bylaws setting forth its organization and procedures,

including provisions for conflicts of interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.005. OFFSET REQUIREMENTS. All transactions of an

organization involving emission reduction credits shall be

subject to the offset requirements of the federal Clean Air Act

(42 U.S.C. Section 7401 et seq.).

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.006. LOCATION RESTRICTION. There shall not be more

than one organization within a metropolitan statistical area or

consolidated metropolitan statistical area.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.007. STAFF. The regional council of governments may

provide staff to an organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.008. BOARD OF DIRECTORS. (a) The board of directors

of an organization shall consist of not less than six and not

more than 21 appointed members, provided, however, that the

number of appointed members is divisible by three. The appointed

members are appointed by and may be removed for cause by the

governing body of the regional council of governments. The

appointed members serve three-year terms, with one-third of the

members' terms expiring each year. In order to stagger the terms,

the initial appointees of a board of directors shall draw lots to

determine which one-third serves for one year, which one-third

serves for two years, and which one-third serves for three years.

In addition, the board of directors shall have one ex officio

nonvoting member from the commission, designated by the executive

director of the commission to act as a liaison between the

commission and the area emission reduction credit organization.

(b) The appointed members of the board of directors shall

represent the general public, large industrial sources of

emissions, small regulated businesses, and environmental and

economic development interests. Each county in the nonattainment

area shall be represented on the board of directors, and other

areas in the region shall be represented in a manner that

reflects the relative contributions of each area to total

emissions or potential emission reductions.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.203, eff.

Sept. 1, 1995.

Sec. 384.009. REMOVAL FOR CAUSE. The regional council of

governments appointing a member of the board of directors of an

organization may remove such member for cause if the member:

(1) cannot discharge the member's duties for a substantial

portion of the term for which the member is appointed because of

illness or disability; or

(2) is absent from more than half of the regularly scheduled

meetings that the member is eligible to attend during a calendar

year unless the absence is excused by a majority vote of the

board of directors.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.010. CONFLICT OF INTEREST. A member of a board of

directors may not vote on a matter in which the member or the

member's employer has a direct financial interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.011. AUTHORITY. The board of directors of an

organization shall have independent decision-making authority and

shall not be required to have its decisions reviewed by the

governing body of the regional council of governments. A regional

council of governments shall not have any liability under any

contracts entered into by an organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.012. POWERS AND DUTIES. An organization shall have the

authority to:

(1) receive and use funds;

(2) have an account at the Texas Natural Resource Conservation

Commission Air Emission Reduction Credit Bank;

(3) acquire emission reduction credits through purchase,

donation, or other means;

(4) transfer emission reduction credits by sale or other means;

(5) identify, evaluate, promote, initiate, and facilitate

potential projects and strategies to generate emission reduction

credits;

(6) provide financial assistance for projects to generate

emission reduction credits;

(7) employ staff;

(8) enter into contracts; and

(9) consider sustainability of projects.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.204, eff.

Sept. 1, 1995.

Sec. 384.013. PROHIBITIONS. An organization created under this

chapter shall have no regulatory or taxing authority.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993.

Sec. 384.014. ANNUAL REPORT. By March 1 of each year each area

organization shall file with the commission and the regional

council of governments an annual report for the preceding

calendar year. The annual report shall contain a financial

accounting, an accounting of emission reduction credits, and a

listing of all emission reduction credit transactions entered

into by the organization.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.205, eff.

Sept. 1, 1995.

Sec. 384.015. PROCEDURE FOR FILING AND APPROVAL OF PETITION.

(a) A regional council of governments may authorize by

resolution the submission of a petition to the commission

requesting the creation of an organization under this chapter.

(b) The petition shall contain sufficient information to permit

a determination of compliance with the provisions of this chapter

and shall include a copy of the proposed bylaws and a plan for

ensuring compliance with the requirements of this chapter.

(c) The commission shall review the petition for compliance with

this chapter and hold a hearing in the region to obtain public

comment on the petition.

(d) The commission shall approve the petition and creation of

the organization if, after hearing, it finds that the

requirements of this chapter are met and that such creation would

be in the public interest.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.206, eff.

Sept. 1, 1995.

Sec. 384.016. AUDIT. The commission shall have the authority to

audit any organization created under this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.017. WITHDRAWAL OF APPROVAL. The commission shall have

the authority to withdraw its approval of an organization created

under this chapter and to dissolve such organization if it finds,

after notice and hearing, that the organization has failed to

comply with the provisions of this chapter.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.

Sec. 384.018. DISSOLUTION. An organization created under this

chapter shall be dissolved by the commission 12 years after its

creation unless the commission approves a petition, submitted and

approved in accordance with Section 384.015, for an additional

12-year term. The commission may continue to approve successive

12-year terms for the organization as long as the need for the

organization exists.

Added by Acts 1993, 73rd Leg., ch. 128, Sec. 1, eff. May 11,

1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 11.207, eff.

Sept. 1, 1995.