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HB3071

Regular Session

Relating to cancellation of certain solid waste disposal permits issued by the Texas Commission on Environmental Quality.

Critical
High Cost
Effective:2025-06-20
HB3071
Relating to cancellation of certain solid waste disposal permits issued by the Texas Commission on Environmental Quality.
Critical Urgency
Passed with Opposition
House Vote138 - 9
YEA
94% in favor147 voting
Senate Vote30 - 1
YEA
97% in favor31 voting
10
Total Opposition Votes
Cost Impact
High
Effective
2025-06-20
Enforcing Agencies
TCEQ
Primary Author: Rep. Charlie Geren
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: June 20, 2025 (Immediate effect due to supermajority vote).
  • Compliance Deadline: Immediate. The 25-year look-back period applies to history prior to June 20, 2025. If a facility has not accepted waste since June 2000, it is currently in violation.
  • Agency Rulemaking: While TCEQ may issue guidance on the cancellation process, the statute is self-executing. Do not wait for rulemaking to verify your permit status; the agency has a non-discretionary duty to cancel qualifying permits now.

Immediate Action Plan

  • 1. Verify Location: Confirm if your facility is in the ETJ of a municipality with a population >900,000 within a county of >2.1 million (Houston/Dallas/Fort Worth areas).
  • 2. Audit History: Establish the exact date of the last waste acceptance. If it is prior to June 2000, the permit is voidable.
  • 3. Secure Evidence: Consolidate all proof of operations (logs, receipts) to rebut a presumption of dormancy.
  • 4. Engage Counsel: If you are in the target zone and have been dormant, retain outside counsel immediately to preserve rights before receiving a cancellation notice.
  • 5. Operationalize: If you are approaching the threshold (e.g., Year 24), immediately open the gate and accept waste to reset the clock.

Operational Changes Required

Contracts

  • M&A Due Diligence: Immediately suspend closing on any landfill acquisitions in Harris, Dallas, or Tarrant counties until waste acceptance history is verified.
  • Credit Facilities: Review loan covenants. The cancellation of a permit likely constitutes a Material Adverse Change (MAC) or default event. Notify lenders proactively if your collateral is at risk.
  • Leases: Landlords holding permitted land must verify if their tenants have maintained active status. If the permit is cancelled, the lease may be voidable for frustration of purpose.

Hiring/Training

  • Engineering Audit: Direct engineering teams to immediately overlay current municipal ETJ maps with facility boundaries. ETJ lines are dynamic; confirm your site's current jurisdictional status.
  • Legal Review: In-house counsel must prepare to defend the definition of "waste acceptance" if the facility has only accepted minimal or specific types of waste (e.g., construction debris vs. household waste).

Reporting & Record-Keeping

  • Historical Audit: You must locate gate logs, tipping fee receipts, and waste manifests dating back to June 2000.
  • Affidavits: If records are incomplete, secure sworn affidavits from former site managers or haulers attesting to waste delivery during the contested years.
  • TCEQ Filings: Review past Annual Reports. If "zero waste received" was reported for 25 consecutive years, these filings serve as an admission of dormancy.

Fees & Costs

  • Asset Write-Down: There are no new state fees, but the financial impact is High. Loss of a permit converts a high-value industrial asset into raw land or brownfield property, necessitating immediate balance sheet write-downs.

Strategic Ambiguities & Considerations

The statute requires cancellation if the facility has not "accepted waste." It does not define the volume or type of waste required to break the 25-year chain.

  • Ambiguity: Does the acceptance of inert fill, construction debris, or a single truckload constitute "accepting waste"?
  • Ambiguity: Does the law apply if the facility was in the ETJ when permitted but the ETJ lines have since shifted?
  • Watch Item: Monitor TCEQ for "Notices of Intent to Cancel." We anticipate the agency will take a broad interpretation, placing the burden of proof on the operator to demonstrate activity.

Need Help Understanding Implementation?

Our government affairs experts can walk you through this bill's specific impact on your operations.

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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.

02

Legislative Timeline

This bill's path through the Texas Legislature

Filed
Feb 20, 2025
Passed House
May 8, 2025
Passed Senate
May 25, 2025
Signed
Jun 20, 2025
TopicsEnvironmentEnvironment--solid WasteLandfillsEnvironmental Quality, Texas Commission OnPermits
03

House Authors

Rep. Charlie GerenRepublican · Primary Author

Senate Sponsor

Sen. Kelly HancockRepublican · Primary Sponsor

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

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More from Rep. Charlie Geren

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Quick Reference

Frequently Asked Questions

Common questions about HB3071

Q

What does Texas HB3071 do?

Effective immediately, HB3071 mandates the Texas Commission on Environmental Quality (TCEQ) to revoke municipal solid waste (MSW) landfill permits for facilities in the Extraterritorial Jurisdictions (ETJs) of Houston, Dallas, and Fort Worth that have been dormant for 25 consecutive years. This legislation acts as a retrospective "kill switch" for speculative shelf permits, resulting in the immediate total loss of the permitted asset for non-operational sites. Implementation Timeline Effective Date: June 20, 2025 (Immediate effect due to supermajority vote).

Q

Who authored HB3071?

HB3071 was authored by Texas Representative Charlie Geren during the Regular Session.

Q

When was HB3071 signed into law?

HB3071 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce HB3071?

HB3071 is enforced by Texas Commission on Environmental Quality (TCEQ).

Q

How urgent is compliance with HB3071?

The compliance urgency for HB3071 is rated as "critical". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

Q

What is the cost impact of HB3071?

The cost impact of HB3071 is estimated as "high". This may vary based on industry and implementation requirements.

Q

What topics does HB3071 address?

HB3071 addresses topics including environment, environment--solid waste, landfills, environmental quality, texas commission on and permits.

Legislative data provided by LegiScanLast updated: November 25, 2025

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