The bill amends various sections of the Natural Resources Code and Water Code to increase the administrative, civil, and criminal penalties for violations related to the Railroad Commission of Texas. Notably, the maximum penalty for violations not related to pipeline safety is raised from $10,000 to $25,000 per day, while violations related to pipeline safety can incur penalties of up to $200,000 per day. The bill also mandates the Railroad Commission to adopt guidelines for determining penalties, which must include a penalty calculation worksheet and consider factors such as the seriousness of the violation, the permittee's history of previous violations, and any economic benefits gained through the violation.

Additionally, the bill specifies that each day a violation continues is treated as a separate violation for penalty purposes. It also introduces new factors for consideration in penalty assessments, including the number of times a permittee's certificate of compliance has been canceled and the necessity of the penalty to deter future violations. The changes in law will apply only to violations committed on or after the effective date of the Act, which is set for September 1, 2025.

Statutes affected:
Introduced: Natural Resources Code 81.0531, Natural Resources Code 81.058, Natural Resources Code 91.002, Water Code 27.101, Water Code 27.1011, Water Code 27.105 (Natural Resources Code 81, Natural Resources Code 91, Water Code 27)