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TITLE 16ECONOMIC REGULATION
PART 1RAILROAD COMMISSION OF TEXAS
CHAPTER 13REGULATIONS FOR COMPRESSED NATURAL GAS (CNG)
SUBCHAPTER CCLASSIFICATION, REGISTRATION, AND EXAMINATION
RULE §13.61Licenses, Related Fees, and Licensing Requirements

(a) A prospective licensee may apply to LP-Gas Operations for one or more licenses specified in subsection (b)(1) - (6) of this section. Fees required to be paid shall be those established by the Commission and in effect at the time of licensing or renewal. A person shall not engage in CNG activities unless that person has obtained a license as specified in this section. If a license expires or lapses, the person shall immediately cease CNG operations.

(b) The license categories and fees are as follows.

  (1) A Category 1 license for manufacturers of CNG cylinders authorizes the manufacture, assembly, repair, testing, sale, installation, or subframing of CNG cylinders. The original license fee is $1,000; the renewal fee is $600.

  (2) A Category 2 license for general installers and repairmen authorizes the sale, installation, service, or repair of CNG systems, including cylinders. The original license fee is $300; the renewal fee is $150.

  (3) A Category 3 license for retail and wholesale dealers authorizes the sale, storage, transportation for delivery, or dispensing of CNG for use other than by an ultimate consumer, and the sale, installation, service, or repair of CNG systems as set out in Categories 2, 5, and 6. The original license fee is $750; the renewal fee is $300.

  (4) A Category 4 license for testing laboratories authorizes the testing of CNG cylinders. The original license fee is $400; the renewal fee is $200.

  (5) A Category 5 license for service stations or cylinder exchangers authorizes the operation of a CNG service station, including filling CNG cylinders, or the operation of a cylinder exchange dealership, including filling CNG cylinders, the sale of CNG in cylinders, the sale of CNG cylinders, and the replacement of cylinder valves. The original license fee is $150; the renewal fee is $70.

  (6) A Category 6 license for equipment dealers authorizes the sale of CNG cylinders or systems. The original license fee is $100; the renewal fee is $50.

(c) An ultimate consumer is not subject to the licensing requirements of this title in order to perform those CNG activities dealing only with the ultimate consumer.

(d) An original manufacturer of a new motor vehicle powered by CNG or a subcontractor of a manufacturer who produces a new CNG powered motor vehicle for the manufacturer is not subject to the licensing requirements of this chapter, but shall comply with all other regulations for compressed natural gas in this chapter.

(e) A license obtained by an individual, partnership, corporation, or other legal entity shall extend to the entity's employees who are performing CNG work, provided that each employee is properly certified as required by this chapter.

(f) Licensees shall maintain a copy of the current Regulations for Compressed Natural Gas and shall provide at least one copy to each company representative and operations supervisor. The copies shall be available to employees during business hours.

(g) Licensees shall have copies of all current licenses and examination identification cards for employees at each location available for inspection during regular business hours.

(h) Licenses issued under this chapter expire one year after issuance at midnight on the last day of the month previous to the month in which they are issued.

(i) For license renewals, LP-Gas Operations shall notify the licensee in writing at the address on file with LP-Gas Operations of the impending license expiration at least 30 calendar days before the date the license is scheduled to expire. Renewals shall be submitted to LP-Gas Operations along with the license renewal fee specified in subsection (b) of this section on or before the last day of the month in which the license expires in order for the licensee to continue CNG activities. Failure to meet the renewal deadline set forth in this section shall result in expiration of the license. If a person's license expires, that person shall immediately cease performance of any CNG activities.

  (1) If a person's license has been expired for 90 calendar days or fewer, the person shall submit a renewal fee that is equal to 1 1/2 times the renewal fee required in subsection (b) of this section. Upon receipt of the renewal fee, LP-Gas Operations shall verify that the person's license has not been suspended, revoked, or expired for more than one year. After verification, if the licensee has met all other requirements for licensing, LP-Gas Operations shall renew the license, and the person may resume CNG activities.

  (2) If a person's license has been expired for more than 90 calendar days but less than one year, the person shall submit a renewal fee that is equal to two times the renewal fee required in subsection (b) of this section. Upon receipt of the renewal fee, LP-Gas Operations shall verify that the person's license has not been suspended, revoked, or expired for more than one year. After verification, if the licensee has met all other requirements for licensing, LP-Gas Operations shall renew the license, and the person may resume CNG activities.

  (3) If a person's license has been expired for one year or longer, that person may not renew, but shall comply with the requirements for issuance of an original license.

  (4) A person who was licensed in this state, moved to another state, and is currently licensed and has been in practice in the other state for the two years preceding the date of application, may obtain a new license without reexamination. The person shall pay to LP-Gas Operations a fee that is equal to two times the renewal fee required by subsection (b) of this section.

    (A) As a prerequisite to licensing pursuant to this provision, the person shall submit, in addition to an application for licensing, proof of having been in practice and licensed in good standing in another state continuously for the two years immediately preceding the filing of the application;

    (B) A person licensed under this provision shall be required to comply with all requirements of licensing other than the examination requirement, including but not limited to the insurance requirements as specified in §13.62 of this title (relating to Insurance Requirements).

(j) Applicants for license or license renewal shall file with LP-Gas Operations CNG Form 1001 designating a company representative who shall be an owner or employee of the licensee, and shall be directly responsible for actively supervising CNG operations of the licensee. A licensee may have more than one company representative.

  (1) An applicant for license shall not engage in CNG activities governed by the Texas Natural Resources Code, Chapter 116, and the Regulations for Compressed Natural Gas, until its company representative has successfully completed the management examination administered by AFRED.

  (2) The licensee shall notify LP-Gas Operations in writing upon termination of its company representative of record and shall at the same time designate a replacement by submitting a new CNG Form 1001.

  (3) The licensee shall cease operations if, at the termination of its company representative, there is no other qualified company representative of the licensee who has complied with the Commission's requirements. The licensee shall not resume CNG activities until such time as it has a properly qualified company representative.

(k) In addition to complying with other licensing requirements set out in the Texas Natural Resources Code and the Regulations for Compressed Natural Gas, applicants for license or license renewal in the following categories shall comply with the specified additional requirements.

  (1) An applicant for a Category 1 license or renewal shall file with LP-Gas Operations for each of its outlets legible copies of:

    (A) its current DOT authorization. A licensee shall not continue to operate after the expiration date of the DOT authorization; and/or

    (B) its current ASME Code, Section VIII certificate of authorization or "R" certificate. If ASME is unable to issue a renewed certificate of authorization prior to the expiration date, the licensee may request in writing an extension of time not to exceed 60 calendar days past the expiration date. The licensee's request for extension shall be received by LP-Gas Operations prior to the expiration date of the ASME certificate of authorization referred to in this section, and shall include a letter or statement from ASME that the agency is unable to issue the renewal certificate of authorization prior to expiration and that a temporary extension will be granted for its purposes. A licensee shall not continue to operate after the expiration date of an ASME certificate of authorization until the licensee files a current ASME certificate of authorization with LP-Gas Operations, or LP-Gas Operations grants a temporary exception.

  (2) An applicant for a Category 4 license or renewal shall file a properly completed CNG Form 1505 with LP-Gas Operations, certifying that the applicant will follow the testing procedures indicated. CNG Form 1505 shall be signed by the appropriate CNG company representative designated on CNG Form 1001.


Source Note: The provisions of this §13.61 adopted to be effective June 13, 1995, 20 TexReg 3984; amended to be effective August 30, 1999, 24 TexReg 6733; amended to be effective October 22, 2001, 26 TexReg 8342; amended to be effective June 5, 2006, 31 TexReg 4604; amended to be effective December 24, 2012, 37 TexReg 9917

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