Bill Caption

Relating to the termination of corporate privileges for certain business entities under enforcement action for a violation of environmental laws.

Fiscal Notes

No significant fiscal implication to the State is anticipated

Bill Analysis

HB 3477 would require the Texas Commission on Environmental Quality adopt rules to establish criteria for determining whether a filing entity that is subject to an enforcement action is responsible for an environmental disaster in this state. If the commission determines that a filing entity that is subject to an enforcement action is responsible for an environmental disaster in this state, the commission shall issue an order for the termination of the filing entity. If the commission determines that the filing entity has met the remediation requirements of the termination order, the commission shall issue an order for the reinstatement of the filing entity.

"Filing entity" means a domestic entity that is a corporation, limited partnership, limited liability company, professional association, cooperative, or real estate investment trust.

Vote Recommendation Notes

Texas Action opposes HB 3477 as this law is very broad and could easily lead to abuse of power in violation of our limited government principle. A state agency should not have the authority to file an order to terminate a filing entity. This can and should be adjudicated through the court system.