Relating to the regulation of certain facilities and operators engaged in the motor fuel transport or export business; requiring an occupational license; authorizing a fee; creating criminal offenses; authorizing a civil penalty.

89(R) SB 2949 - House Committee Report version - Bill Text

89R31127 JBD-D

By: Hinojosa of Hidalgo, et al.

S.B. No. 2949

(Morales of Maverick, Guillen, Canales, Darby, Landgraf,

et al.)

A BILL TO BE ENTITLED

AN ACT

relating to the regulation of certain facilities and operators

engaged in the motor fuel transport or export business; requiring

an occupational license; authorizing a fee; creating criminal

offenses; authorizing a civil penalty.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 162.004(b), Tax Code, is 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)

if the motor fuel is being delivered by transport

vehicle to another country, the specific location at which the

motor fuel will cross the border
.

SECTION 2. Section 162.006, Tax Code, is amended by adding

Subsection (a-1) to read as follows:

(a-1)

The comptroller may suspend a motor fuel

transporter's license without notice or a hearing if the license

holder fails to ensure that all employees or independent

contractors who transport motor fuel under the transporter's

license hold the specific license or endorsements required to

transport hazardous materials required by the state, territory, or

country in which the employee or independent contractor resides.

SECTION 3. Section 162.105, Tax Code, is amended to read as

follows:

Sec. 162.105. PERSONS REQUIRED TO BE LICENSED. 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
; or

(11) an export fuel transloading facility operator
.

SECTION 4. Section 162.108(e), Tax Code, is amended to read

as follows:

(e) An applicant for a license as a motor fuel transporter

must list on the application each state from which and to which the

applicant intends to transport motor fuel and, if required by a

listed state, must be licensed or registered for gasoline tax

purposes in that state. If a listed state requires the applicant to

be licensed or registered, the applicant must provide the

applicant's license or registration number from that state.
The

applicant must attest that any employee or independent contractor

who transports motor fuel under the applicant's license will hold

the specific license or endorsements required to transport

hazardous materials required by the state, territory, or country in

which the employee or independent contractor resides.

SECTION 5. 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 6. Section 162.205(a), Tax Code, is amended to read

as follows:

(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;

(10) an interstate trucker; [
or
]

(11) a dyed diesel fuel bonded user
; or

(12) an export fuel transloading facility operator
.

SECTION 7. Section 162.209(e), Tax Code, is amended to read

as follows:

(e) An applicant for a license as a motor fuel transporter

must list on the application each state from which and to which the

applicant intends to transport motor fuel and, if required by a

listed state, must be licensed or registered for diesel fuel tax

purposes in that state. If a listed state requires the applicant to

be licensed or registered, the applicant must provide the

applicant's license or registration number from that state.
The

applicant must attest that any employee or independent contractor

who transports motor fuel under the applicant's license will hold

the specific license or endorsements required to transport

hazardous materials required by the state, territory, or country in

which the employee or independent contractor resides.

SECTION 8. 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 9. Chapter 162, Tax Code, is amended by adding

Subchapter D-2 to read as follows:

SUBCHAPTER

D-2.

EXPORT FUEL TRANSLOADING FACILITIES

Sec. 162.3801. DEFINITIONS. In this subchapter:

(1)

"Operator" means a person who holds an export fuel

transloading facility operator license issued under Section

162.3805.

(2)

"Overweight corridor" means a designated section

of a state highway for which an optional procedure is authorized

under Chapter 623, Transportation Code, for the issuance of

permits:

(A)

by entities other than the Department of

Public Safety or the Texas Department of Motor Vehicles; and

(B)

for the movement of oversize or overweight

vehicles.

(3)

"Port of entry" has the meaning assigned by

Section 621.001, Transportation Code.

(4)

"Transloading facility" means an export fuel

transloading facility described by Section 162.3803(a) or

162.3804(a). The term does not include a facility:

(A)

at which the transfer of motor fuel purchased

for export is authorized in accordance with a license issued under

another provision of this chapter;

(B)

that is part of the bulk transfer/terminal

system; or

(C)

that is used solely for lawful activities

consistent with this chapter and is not used to facilitate or

conceal unlawful transloading, tax evasion, or other violations of

this chapter or Section 26.3574, Water Code, regardless of whether

the user holds a license.

Sec.

162.3802.

PROVISIONS APPLICABLE TO ALL TRANSLOADING

FACILITIES. (a) A person may not transfer motor fuel purchased for

export:

(1)

from a truck to a tank or from a tank to a truck

except:

(A)

on the premises of a transloading facility

described by Section 162.3803(a);

(B)

at a facility at which the transfer is

authorized under another provision of this chapter; or

(C) as provided by Section 162.3804(b); or

(2) from a truck to another truck except:

(A)

on the premises of a transloading facility

described by Section 162.3804(a); or

(B)

at a facility at which the transfer is

authorized under another provision of this chapter.

(b) A person may not operate a transloading facility:

(1)

at a location other than a location described by

Section 162.3803(a) or 162.3804(a); and

(2) unless the person:

(A)

holds an export fuel transloading facility

operator license issued under Section 162.3805;

(B)

registers the transloading facility and each

tank, pump, and other apparatus used for storing or transloading

motor fuel at the facility with the Texas Commission on

Environmental Quality in the manner required by commission rule

and:

(i)

pays a registration fee in an amount

prescribed by the commission sufficient to cover the commission's

costs of administering the registration program; and

(ii)

provides security in an amount

prescribed by the commission;

(C)

registers the transloading facility with the

Department of Public Safety in the manner required by department

rule and pays a registration fee in an amount prescribed by the

department sufficient to cover the department's costs of

administering the registration program and inspecting transloading

facilities;

(D)

complies with the requirements of this

chapter and rules adopted by the comptroller, the Texas Commission

on Environmental Quality, and the Department of Public Safety under

Section 162.3806; and

(E)

registers the transloading facility with the

Internal Revenue Service, if required by federal law.

Sec.

162.3803.

TRANSLOADING FACILITIES LOCATED ALONG

OVERWEIGHT CORRIDORS. (a)

This section applies only to a

transloading facility located:

(1) along an overweight corridor;

(2) outside the boundaries of a port of entry; and

(3) not more than two miles from a port of entry.

(b)

The comptroller shall require the operator of a

transloading facility to which this section applies to file regular

electronic reports that contain the following information:

(1)

the number of on-premises tanks at each

transloading facility operated by the operator;

(2)

the owner or lessee of each tank located at the

transloading facility and, for a leased tank, the duration of the

lease;

(3)

the number of gallons of motor fuel delivered into

each tank each day and sufficient information linking that

information to the owner of the fuel and to the bill of lading that

accompanied the fuel;

(4)

the number of gallons of motor fuel removed from

each tank each day and sufficient information linking that

information to the shipping document created by the facility that

shows that the motor fuel was removed by the same owner who

delivered the fuel in the tank;

(5)

a shipping document issued by the operator for

motor fuel removed from each tank at the transloading facility that

ensures the fuel can be tracked from the source listed on the

original bill of lading, to the tank, and to the truck that removes

the fuel from this country;

(6) a daily log detailing:

(A)

each tractor, trailer, and driver that enters

or exits the transloading facility; and

(B)

each transfer of motor fuel purchased for

export conducted at the facility; and

(7)

upon request of the comptroller, a contract

described by Subsection (c).

(c)

The operator of a transloading facility to which this

section applies shall enter into a contract with each entity that

uses a tank at the facility. The operator may only contract with an

exporter licensed under this chapter and may not contract with a

person who has been convicted of a felony in the previous five

years.

(d)

In order to ensure motor fuel at a transloading facility

to which this section applies is not commingled, all fuel that is

loaded into a particular tank at the facility must be:

(1) owned by a single entity; and

(2)

removed from the tank by the same entity described

by Subdivision (1).

(e)

The operator of a transloading facility to which this

section applies must provide at the transloading facility:

(1)

a scale capable of weighing motor vehicles to

determine whether a permit described by Section 162.3801(2) is

required; and

(2)

sufficient resources to process an application for

a permit described by Section 162.3801(2) applicable to the

overweight corridor on which the transloading facility is located.

Sec.

162.3804.

TRANSLOADING FACILITIES LOCATED WITHIN

PORTS OF ENTRY. (a) This section applies only to a transloading

facility located within the boundaries of a port of entry.

(b)

A person may transfer motor fuel purchased for export

from a truck to a tank or from a tank to a truck at a transloading

facility to which this section applies only in the case of an

emergency.

(c)

The comptroller shall require the operator of a

transloading facility to which this section applies to file regular

electronic reports that contain the following information:

(1)

the number of gallons of motor fuel delivered into

the premises of the transloading facility in each truck each day and

sufficient information linking that information to the owner of the

fuel and to the bill of lading that accompanied the fuel;

(2)

the number of gallons of motor fuel removed from

the premises of the transloading facility in each truck each day and

sufficient information linking that information to the shipping

document described by Subdivision (3) that shows that the fuel was

removed by the same owner who delivered the fuel into the facility;

(3)

a shipping document issued by the operator for

motor fuel removed from the facility that ensures that the fuel can

be tracked from the source listed on the original bill of lading to

the truck that removes the fuel from this country; and

(4) a daily log detailing:

(A)

each tractor, trailer, and driver that enters

or exits the facility, together with the information contained in

the bill of lading accompanying each truck; and

(B)

each transfer of motor fuel purchased for

export conducted at the facility.

(d)

In order to ensure motor fuel at a transloading facility

to which this section applies is not commingled, all fuel that is

transferred from a truck to another truck at the facility must be

owned by a single entity.

Sec.

162.3805.

EXPORT FUEL TRANSLOADING FACILITY

OPERATORS. (a)

The comptroller shall issue an export fuel

transloading facility operator license to each person who applies

to the comptroller and qualifies under this section.

(b) An operator license is valid until the earlier of:

(1) December 31 of each calendar year; or

(2)

the date the license is surrendered by the holder

or canceled by the comptroller.

(c)

An applicant for a license under this section must file

with the comptroller an application in a form and manner prescribed

by the comptroller. An application for a license under this section

must be substantially similar to an application for a license under

Section 2153.153, Occupations Code.

(d)

The comptroller shall require each operator to post a

bond under Section 162.111 in an amount determined in accordance

with Section 162.111(b).

Sec.

162.3806.

RULES. (a)

The comptroller shall adopt

rules to implement, administer, and enforce this subchapter,

including rules:

(1)

governing the operation of transloading

facilities; and

(2)

ensuring that all motor fuel transferred at a

transloading facility may be traced from the point of removal from

the bulk transfer/terminal system to the point of export from this

country.

(b)

The Texas Commission on Environmental Quality and the

Department of Public Safety shall each adopt rules to implement,

administer, and enforce this subchapter, including rules:

(1)

governing the operation of transloading

facilities to ensure public health, safety, and welfare; and

(2)

providing for periodic and risk-based inspections

of transloading facilities to ensure compliance with this

subchapter and rules adopted under this section.

SECTION 10. Section 162.402, Tax Code, is amended by adding

Subsection (f) to read as follows:

(f)

A motor fuel transporter who fails to ensure that an

employee or independent contractor who transports motor fuel under

the transporter's license holds the specific license or

endorsements required to transport hazardous materials required by

the state, territory, or country in which the employee or

independent contractor resides is liable to this state for a civil

penalty in the amount of $25,000 for each occurrence.

SECTION 11. (a) Effective September 1, 2025, 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
or causes to be made and

delivered
to the comptroller a report
or application
required under

this chapter to be made and delivered to the comptroller, if the

report
or application
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 for which a cargo manifest

or shipping document 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.

(b) Effective January 1, 2026, 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
or causes to be made or

delivered
to the comptroller a report
or application
required under

this chapter to be made and delivered to the comptroller, if the

report
or application
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 for which a cargo manifest

or shipping document 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
;

(37)

transfers motor fuel purchased for export in

violation of Section 162.3802(a); or

(38)

operates an export fuel transloading facility in

violation of Section 162.3802(b)
.

SECTION 12. Effective January 1, 2026, Section 162.405(d),

Tax Code, is amended to read as follows:

(d) An offense under Section 162.403(6), (17), (18), (19),

(20), (21), (22), (23), [
or
] (24)
, (37), or (38)
is a felony of the

third degree.

SECTION 13. 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
.

SECTION 14. Subchapter G, Chapter 621, Transportation Code,

is amended by adding Section 621.512 to read as follows:

Sec.

621.512.

PROHIBITION ON OPERATING CERTAIN OVERWEIGHT

VEHICLES 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 described by

Subsection (a-1) on a public highway:

(1)

that is not included in the route designated under

the permit under which the vehicle is operating; or

(2)

without a permit authorizing the movement of the

vehicle, and the vehicle exceeds the maximum gross weight

authorized for the vehicle by at least five percent.

(a-1)

Subsection (a) applies only to an overweight vehicle

with at least three axles that is transporting in a cargo tank

hazardous materials in a quantity requiring placarding by a

regulation issued under the Hazardous Materials Transportation Act

(49 U.S.C. Section 5101 et seq.).

(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 15. 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 16. Sections 162.108, 162.110, 162.209, 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 17. Not later than January 1, 2026:

(1) the comptroller of public accounts, the Texas

Commission on Environmental Quality, and the Department of Public

Safety shall each adopt the rules required by Section 162.3806, Tax

Code, as added by this Act;

(2) the comptroller of public accounts shall begin

issuing export fuel transloading facility operator licenses under

Section 162.3805, Tax Code, as added by this Act;

(3) the Texas Commission on Environmental Quality

shall begin registering export fuel transloading facilities,

tanks, pumps, and other apparatus used for storing or transloading

motor fuel under Section 162.3802(b)(2)(B), Tax Code, as added by

this Act; and

(4) the Department of Public Safety shall begin

registering export fuel transloading facilities under Section

162.3802(b)(2)(C), Tax Code, as added by this Act.

SECTION 18. A person is not required to comply with

Subchapter D-2, Chapter 162, Tax Code, as added by this Act, before

January 1, 2026.

SECTION 19. Except as otherwise provided by this Act, this

Act takes effect September 1, 2025.