89R10930 JBD-F     By: Hinojosa of Hidalgo, Hinojosa of Nueces S.B. No. 2949       A BILL TO BE ENTITLED   AN ACT   relating to the regulation of the transportation of motor fuels and   other hazardous materials; creating a criminal offense.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Article 18B.202(a), Code of Criminal Procedure,   is amended to read as follows:          (a)  A district judge may issue an order for the installation   and use of a mobile tracking device only on the application of:                (1)  an authorized peace officer; or                (2)  a peace officer commissioned by the comptroller   for purposes of Section 162.008, Tax Code.          SECTION 2.  Section 162.001(23), Tax Code, is amended to   read as follows:                (23)  "Export" means to obtain motor fuel in this state   for sale or use in another state, territory, or foreign country and   to directly transport that motor fuel to the other state,   territory, or country without altering the content of the load by   volume or composition.          SECTION 3.  Sections 162.004(b) and (e), Tax Code, are   amended to read as follows:          (b)  A shipping document shall contain the following   information and any other information required by the comptroller:                (1)  the terminal control number of the terminal or   physical address of the terminal or bulk plant from which the motor   fuel was received;                (2)  the name of the purchaser;                (3)  the date the motor fuel was loaded;                (4)  the net gallons loaded, or the gross gallons   loaded if the fuel was purchased from a bulk plant;                (5)  the destination state of the motor fuel, as   represented by the purchaser of the motor fuel or the purchaser's   agent; [and]                (6)  a description of the product being transported;                (7)  the name and taxpayer number of the transportation   company; and                (8)  the name of the operator of the barge, vessel,   railroad tank car, or transport vehicle into which the motor fuel   was loaded.          (e)  A person to whom a shipping document was issued shall:                (1)  carry the shipping document in the barge, vessel,   railroad tank car, or other transport vehicle for which the   document was issued when transporting the motor fuel described in   the document;                (2)  show the shipping document on request to any law   enforcement officer, representative of the comptroller, or other   authorized individual, when transporting the motor fuel described;                (3)  directly deliver the motor fuel to the destination   state printed on the shipping document unless the person:                      (A)  notifies the comptroller and the destination   state, if a diversion program is in place, before transporting the   motor fuel into a state other than the printed destination state,   that the person has received instructions after the shipping   document was issued to deliver the motor fuel to a different   destination state;                      (B)  receives from the comptroller and   destination state, if a diversion program is in place, a diversion   number authorizing the diversion; and                      (C)  writes on the shipping document the change in   destination state and the diversion number; and                (4)  give a copy of the shipping document to the person   to whom the motor fuel is delivered.          SECTION 4.  Section 162.104(a), Tax Code, is amended to read   as follows:          (a)  The tax imposed by this subchapter does not apply to   gasoline:                (1)  sold to the United States for its exclusive use,   provided that the exemption does not apply with respect to fuel sold   or delivered to a person operating under a contract with the United   States;                (2)  sold to a public school district in this state for   the district's exclusive use;                (3)  sold to a commercial transportation company or a   metropolitan rapid transit authority operating under Chapter 451,   Transportation Code, that provides public school transportation   services to a school district under Section 34.008, Education Code,   and that uses the gasoline only to provide those services;                (4)  directly exported by either a licensed supplier or   a licensed exporter from this state to any other state without   altering the content of the load by volume or composition, provided   that the bill of lading indicates the destination state and the   supplier collects the destination state tax;                (5)  moved by truck or railcar between licensed   suppliers or licensed permissive suppliers and in which the   gasoline removed from the first terminal comes to rest in the second   terminal, provided that the removal from the second terminal rack   is subject to the tax imposed by this subchapter;                (6)  delivered or sold into a storage facility of a   licensed aviation fuel dealer from which gasoline will be delivered   solely into the fuel supply tanks of aircraft or aircraft servicing   equipment, or sold from one licensed aviation fuel dealer to   another licensed aviation fuel dealer who will deliver the aviation   fuel exclusively into the fuel supply tanks of aircraft or aircraft   servicing equipment;                (7)  directly exported to a foreign country without   altering the content of the load by volume or composition if the   bill of lading or shipping documents indicate the foreign   destination and the fuel is actually exported to the foreign   country;                (8)  sold to a volunteer fire department in this state   for the department's exclusive use;                (9)  sold to a nonprofit entity that is organized for   the sole purpose of and engages exclusively in providing emergency   medical services and that uses the gasoline exclusively to provide   emergency medical services, including rescue and ambulance   services; or                (10)  sold to a nonprofit food bank and delivered into:                      (A)  the fuel supply tank of a motor vehicle with a   gross vehicle weight rating of at least 25,000 pounds that is owned   by the nonprofit food bank and used to deliver food; or                      (B)  a storage facility from which gasoline will   be delivered solely into the fuel supply tanks of motor vehicles   described by Paragraph (A).          SECTION 5.  Section 162.105, Tax Code, is amended to read as   follows:          Sec. 162.105.  PERSONS REQUIRED TO BE LICENSED. (a)  A   person shall obtain the appropriate license or licenses issued by   the comptroller before conducting the activities of:                (1)  a supplier, who may also act as a distributor,   importer, exporter, blender, motor fuel transporter, or aviation   fuel dealer without securing a separate license, but who is subject   to all other conditions, requirements, and liabilities imposed on   those license holders;                (2)  a permissive supplier, who may also act as a   distributor, importer, exporter, blender, motor fuel transporter,   or aviation fuel dealer without securing a separate license, but   who is subject to all other conditions, requirements, and   liabilities imposed on those license holders;                (3)  a distributor, who may also act as an importer,   exporter, blender, or motor fuel transporter without securing a   separate license, but who is subject to all other conditions,   requirements, and liabilities imposed on those license holders;                (4)  an importer, who may also act as an exporter,   blender, or motor fuel transporter without securing a separate   license, but who is subject to all other conditions, requirements,   and liabilities imposed on those license holders;                (5)  a terminal operator;                (6)  an exporter;                (7)  a blender;                (8)  a motor fuel transporter;                (9)  an aviation fuel dealer; or                (10)  an interstate trucker.          (b)  Each individual operating as a motor fuel transporter   must obtain the appropriate license as required by Subsection (a)   and may not operate under the license of another person.          SECTION 6.  Sections 162.110(a) and (c), Tax Code, are   amended to read as follows:          (a)  The license issued to a supplier, permissive supplier,   distributor, importer, exporter, terminal operator, or blender[,   or motor fuel transporter] is permanent and is valid during the   period the license holder has in force and effect the required bond   or security and furnishes timely reports and supplements as   required, or until the license is surrendered by the holder or   canceled by the comptroller. The comptroller shall cancel a   license under this subsection if a purchase, sale, or use of   gasoline has not been reported by the license holder during the   previous nine months.          (c)  The license issued to an interstate trucker or motor   fuel transporter is valid from the date of its issuance through   December 31 of each calendar year or until the license is   surrendered by the holder or canceled by the comptroller.  The   comptroller may renew the license for each ensuing calendar year if   the license holder furnishes timely reports as required.          SECTION 7.  Section 162.204(a), Tax Code, is amended to read   as follows:          (a)  The tax imposed by this subchapter does not apply to:                (1)  diesel fuel sold to the United States for its   exclusive use, provided that the exemption does not apply to diesel   fuel sold or delivered to a person operating under a contract with   the United States;                (2)  diesel fuel sold to a public school district in   this state for the district's exclusive use;                (3)  diesel fuel sold to a commercial transportation   company or a metropolitan rapid transit authority operating under   Chapter 451, Transportation Code, that provides public school   transportation services to a school district under Section 34.008,   Education Code, and that uses the diesel fuel only to provide those   services;                (4)  diesel fuel directly exported by either a licensed   supplier or a licensed exporter from this state to any other state   without altering the content of the load by volume or composition,   provided that the bill of lading indicates the destination state   and the supplier collects the destination state tax;                (5)  diesel fuel moved by truck or railcar between   licensed suppliers or licensed permissive suppliers and in which   the diesel fuel removed from the first terminal comes to rest in the   second terminal, provided that the removal from the second terminal   rack is subject to the tax imposed by this subchapter;                (6)  diesel fuel delivered or sold into a storage   facility of a licensed aviation fuel dealer from which the diesel   fuel will be delivered solely into the fuel supply tanks of aircraft   or aircraft servicing equipment, or sold from one licensed aviation   fuel dealer to another licensed aviation fuel dealer who will   deliver the diesel fuel exclusively into the fuel supply tanks of   aircraft or aircraft servicing equipment;                (7)  diesel fuel directly exported to a foreign country   without altering the content of the load by volume or composition if   the bill of lading or shipping documents indicate the foreign   destination and the fuel is actually exported to the foreign   country;                (8)  dyed diesel fuel sold or delivered by a supplier to   another supplier and dyed diesel fuel sold or delivered by a   supplier or distributor into the bulk storage facility of a dyed   diesel fuel bonded user or to a purchaser who provides a signed   statement as provided by Section 162.206;                (9)  the volume of water, fuel ethanol, renewable   diesel, biodiesel, or mixtures thereof that are blended together   with taxable diesel fuel when the finished product sold or used is   clearly identified on the retail pump, storage tank, and sales   invoice as a combination of diesel fuel and water, fuel ethanol,   renewable diesel, biodiesel, or mixtures thereof;                (10)  dyed diesel fuel sold by a supplier or permissive   supplier to a distributor, or by a distributor to another   distributor;                (11)  dyed diesel fuel delivered by a license holder   into the fuel supply tanks of railway engines, motorboats, or   refrigeration units or other stationary equipment powered by a   separate motor from a separate fuel supply tank;                (12)  dyed kerosene when delivered by a supplier,   distributor, or importer into a storage facility at a retail   business from which all deliveries are exclusively for heating,   cooking, lighting, or similar nonhighway use;                (13)  diesel fuel used by a person, other than a   political subdivision, who owns, controls, operates, or manages a   commercial motor vehicle as defined by Section 548.001,   Transportation Code, if the fuel:                      (A)  is delivered exclusively into the fuel supply   tank of the commercial motor vehicle; and                      (B)  is used exclusively to transport passengers   for compensation or hire between points in this state on a fixed   route or schedule;                (14)  diesel fuel sold to a volunteer fire department   in this state for the department's exclusive use;                (15)  diesel fuel sold to a nonprofit entity that is   organized for the sole purpose of and engages exclusively in   providing emergency medical services and that uses the diesel fuel   exclusively to provide emergency medical services, including   rescue and ambulance services; or                (16)  diesel fuel sold to a nonprofit food bank and   delivered into:                      (A)  the fuel supply tank of a motor vehicle with a   gross vehicle weight rating of at least 25,000 pounds that is owned   by the nonprofit food bank and used to deliver food; or                      (B)  a storage facility from which diesel fuel   will be delivered solely into the fuel supply tanks of motor   vehicles described by Paragraph (A).          SECTION 8.  Section 162.205, Tax Code, is amended by adding   Subsection (c) to read as follows:          (c)  Each individual operating as a motor fuel transporter   must obtain the appropriate license as required by Subsection (a)   and may not operate under the license of another person.          SECTION 9.  Sections 162.211(a) and (c), Tax Code, are   amended to read as follows:          (a)  The license issued to a supplier, permissive supplier,   distributor, importer, terminal supplier, exporter, blender,   [motor fuel transporter,] or dyed diesel fuel bonded user is   permanent and is valid during the period the license holder has in   force and effect the required bond or security and furnishes timely   reports and supplements as required, or until the license is   surrendered by the holder or canceled by the comptroller. The   comptroller shall cancel a license under this subsection if a   purchase, sale, or use of diesel fuel has not been reported by the   license holder during the previous nine months.          (c)  The license issued to an interstate trucker or motor   fuel transporter is valid from the date of its issuance through   December 31 of each calendar year or until the license is   surrendered by the holder or canceled by the comptroller.  The   comptroller may renew the license for each ensuing calendar year if   the license holder furnishes timely reports as required.          SECTION 10.  Section 162.403, Tax Code, is amended to read as   follows:          Sec. 162.403.  CRIMINAL OFFENSES.  Except as provided by   Section 162.404, a person commits an offense if the person:                (1)  refuses to stop and permit the inspection and   examination of a motor vehicle transporting or using motor fuel on   the demand of a peace officer or the comptroller;                (2)  is required to hold a valid trip permit or   interstate trucker's license, but operates a motor vehicle in this   state without a valid trip permit or interstate trucker's license;                (3)  transports gasoline or diesel fuel in any cargo   tank that has a connection by pipe, tube, valve, or otherwise with   the fuel injector or carburetor or with the fuel supply tank feeding   the fuel injector or carburetor of the motor vehicle transporting   the product;                (4)  sells or delivers gasoline or diesel fuel from a   fuel supply tank that is connected with the fuel injector or   carburetor of a motor vehicle;                (5)  owns or operates a motor vehicle for which reports   or mileage records are required by this chapter without an   operating odometer or other device in good working condition to   record accurately the miles traveled;                (6)  sells or delivers dyed diesel fuel for the   operation of a motor vehicle on a public highway;                (7)  uses dyed diesel fuel for the operation of a motor   vehicle on a public highway except as allowed under Section   162.235;                (8)  refuses to permit the comptroller or the attorney   general to inspect, examine, or audit a book or record required to   be kept by a license holder, other user, or any person required to   hold a license under this chapter;                (9)  refuses to permit the comptroller or the attorney   general to inspect or examine any plant, equipment, materials, or   premises where motor fuel is produced, processed, blended, stored,   sold, delivered, or used;                (10)  refuses to permit the comptroller, the attorney   general, an employee of either of those officials, a peace officer,   an employee of the Texas Commission on Environmental Quality, or an   employee of the Texas Department of Licensing and Regulation to   measure or gauge the contents of or take samples from a storage tank   or container on premises where motor fuel is produced, processed,   blended, stored, sold, delivered, or used;                (11)  is a license holder, a person required to be   licensed, or another user and fails or refuses to make or deliver to   the comptroller a report required by this chapter to be made and   delivered to the comptroller;                (12)  is an importer who does not obtain an import   verification number when required by this chapter;                (13)  purchases motor fuel for export, on which the tax   imposed by this chapter has not been paid, and subsequently diverts   or causes the motor fuel to be diverted to a destination in this   state or any other state or country other than the originally   designated state or country without first obtaining a diversion   number;                (14)  conceals motor fuel with the intent of engaging   in any conduct proscribed by this chapter or refuses to make sales   of motor fuel on the volume-corrected basis prescribed by this   chapter;                (15)  refuses, while transporting motor fuel, to stop   the motor vehicle the person is operating when called on to do so by   a person authorized to stop the motor vehicle;                (16)  refuses to surrender a motor vehicle and cargo   for impoundment after being ordered to do so by a person authorized   to impound the motor vehicle and cargo;                (17)  mutilates, destroys, or secretes a book or record   required by this chapter to be kept by a license holder, other user,   or person required to hold a license under this chapter;                (18)  is a license holder, other user, or other person   required to hold a license under this chapter, or the agent or   employee of one of those persons, and makes a false entry or fails   to make an entry in the books and records required under this   chapter to be made by the person or fails to retain a document as   required by this chapter;                (19)  transports in any manner motor fuel under a false   cargo manifest or shipping document, or transports in any manner   motor fuel to a location without delivering at the same time a   shipping document relating to that shipment;                (20)  engages in a motor fuel transaction that requires   that the person have a license under this chapter without then and   there holding the required license;                (21)  makes and delivers to the comptroller a report   required under this chapter to be made and delivered to the   comptroller, if the report contains false information;                (22)  forges, falsifies, or alters an invoice or   shipping document prescribed by law;                (23)  makes any statement, knowing said statement to be   false, in a claim for a tax refund filed with the comptroller;                (24)  furnishes to a licensed supplier or distributor a   signed statement for purchasing diesel fuel tax-free and then uses   the tax-free diesel fuel to operate a diesel-powered motor vehicle   on a public highway;                (25)  holds an aviation fuel dealer's license and makes   a taxable sale or use of any gasoline or diesel fuel;                (26)  fails to remit any tax funds collected or   required to be collected by a license holder, another user, or any   other person required to hold a license under this chapter;                (27)  makes a sale of dyed diesel fuel tax-free into a   storage facility of a person who:                      (A)  is not licensed as a distributor, as an   aviation fuel dealer, or as a dyed diesel fuel bonded user; or                      (B)  does not furnish to the licensed supplier or   distributor a signed statement prescribed in Section 162.206;                (28)  makes a sale of gasoline tax-free to any person   who is not licensed as an aviation fuel dealer;                (29)  purchases any motor fuel tax-free when not   authorized to make a tax-free purchase under this chapter;                (30)  purchases motor fuel with the intent to evade any   tax imposed by this chapter or accepts a delivery of motor fuel by   any means and does not at the same time accept or receive a shipping   document relating to the delivery;                (31)  transports motor fuel without [for which] a cargo   manifest or shipping document or presents to a peace officer a   shipping document the contents of which are inconsistent with the   volume and content of the motor fuel being transported [is required   to be carried without possessing or exhibiting on demand by an   officer authorized to make the demand a cargo manifest or shipping   document containing the information required to be shown on the   manifest or shipping document];                (32)  imports, sells, uses, blends, distributes, or   stores motor fuel within this state on which the taxes imposed by   this chapter are owed but have not been first paid to or reported by   a license holder, another user, or any other person required to hold   a license under this chapter;                (33)  blends products together to produce a blended   fuel that is offered for sale, sold, or used and that expands the   volume of the original product to evade paying applicable motor   fuel taxes;                (34)  evades or attempts to evade in any manner a tax   imposed on motor fuel by this chapter;                (35)  delivers compressed natural gas or liquefied   natural gas into the fuel supply tank of a motor vehicle and the   person does not hold a valid compressed natural gas and liquefied   natural gas dealer's license; or                (36)  makes a tax-free delivery of compressed natural   gas or liquefied natural gas into the fuel supply tank of a motor   vehicle, unless the delivery is exempt from tax under Section   162.356.          SECTION 11.  Subchapter G, Chapter 621, Transportation Code,   is amended by adding Section 621.512 to read as follows:          Sec. 621.512.  PROHIBITION ON OPERATING OVERWEIGHT VEHICLE   TRANSPORTING HAZARDOUS MATERIALS ON ROUTE OTHER THAN DESIGNATED   PERMIT ROUTE. (a) A person commits an offense if the person   operates or moves an overweight vehicle transporting hazardous   materials under a permit issued under this subtitle on a public   highway that is not included in the route designated under the   permit.          (b)  An offense under this section is a felony of the second   degree.          (c)  It is an affirmative defense to prosecution under this   section that, at the time of the offense, the vehicle was being   operated or moved:                (1)  under the immediate direction of a law enforcement   agency; or                (2)  in compliance with a permit authorizing the   movement of the vehicle issued by the department or a political   subdivision of this state.          SECTION 12.  The changes in law made by this Act apply only   to an offense committed on or after the effective date of this Act.   An offense committed before the effective date of this Act is   governed by the law in effect on the date the offense was committed,   and the former law is continued in effect for that purpose. For   purposes of this section, an offense was committed before the   effective date of this Act if any element of the offense occurred   before that date.          SECTION 13.  Sections 162.110 and 162.211, Tax Code, as   amended by this Act, apply to a license issued to a motor fuel   transporter, regardless of whether the license was issued before,   on, or after the effective date of this Act.          SECTION 14.  This Act takes effect September 1, 2025.