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2025 · Regular session · House bill
HB4042
HB4042 removes the word “natural” from specified gas-distribution and master-meter fee provisions and from the distribution-pipeline definitions used for two safety requirements.
Official caption: Relating to the applicability of certain safety provisions and regulatory fees administered by the Railroad Commission of Texas to gas distribution pipelines.
Official report lists House author(s): Morales, Eddie. This does not identify sponsors or amendment drafters.
Bill explanation published · Version and amendment review scope is stated below · Individual amendment records may not be separately annotated.
Bill highlights
Selected points from the published explanation. Follow each point to its source-linked context; conditions and limits may matter.
- HB4042 removes the word “natural” from specified gas-distribution and master-meter fee provisions and from the distribution-pipeline definitions used for two safety requirements.
- The existing annual fee ceilings remain: up to $1 per reported distribution service line, due March 15, and up to $100 per master-metered system, due June 30.
- The expanded definitions also apply to existing duties for pipelines distributing gas directly to end-use customers: restrictions on installing underground cast-iron, wrought-iron or bare-steel pipe; risk-based removal/replacement programs; and incident reporting and permanent retention of commission incident records.
What does it do?
HB4042 removes the word “natural” from specified gas-distribution and master-meter fee provisions and from the distribution-pipeline definitions used for two safety requirements. The result is broader wording covering gas rather than only natural gas in those provisions, while retaining the surrounding jurisdictional limits. It does not rewrite all pipeline law or remove the Railroad Commission’s safety oversight. The bill became law without the governor’s signature June 22, 2025, and took effect September 1, 2025. Enacted text · Official history
The existing annual fee ceilings remain: up to $1 per reported distribution service line, due March 15, and up to $100 per master-metered system, due June 30. Operators must recover amounts paid as a surcharge to existing rates. The existing specified tax/franchise-fee exclusions for those collections are carried forward. HB4042 broadens the wording of who is covered; it does not increase those dollar ceilings or itself set a new universal charge at the maximum. Section 1 · Full fee framework, Utilities Code 121.211
The expanded definitions also apply to existing duties for pipelines distributing gas directly to end-use customers: restrictions on installing underground cast-iron, wrought-iron or bare-steel pipe; risk-based removal/replacement programs; and incident reporting and permanent retention of commission incident records. The existing replacement rule concerns at least 8% annually of the highest-risk facilities identified for replacement—not 8% of every pipeline in Texas. The incident rule requires initial notification and specified basic information within one hour of discovery of a qualifying incident. HB4042 does not newly create these duties or change their percentages or deadlines. Section 121.213 · Section 121.214
What changed along the way?
The introduced, House committee, House-passed, Senate committee and enrolled texts contain the same operative changes. Both committees reported the bill without amendments, and the amendment index lists none. Every deletion of “natural” in the introduced bill survived; there was no conference compromise or separate adopted floor policy. Introduced · House report · House-passed · Senate report · Amendment index
For the full amendment record, open the official amendment index.
Official bill versions
Compare the published text versions in the official text index. A change is not attributed to a specific amendment here without a verified record.
Who could benefit—and who could bear the costs?
Customers and communities served by additionally covered systems may benefit from the specified replacement and incident-reporting protections. Operators within the broadened coverage face the applicable safety work and fees; customers can bear the fees through the required surcharge. The act does not establish how many systems become newly subject to each provision or quantify their compliance costs.
The latest posted fiscal note anticipated no significant state fiscal impact, assumed revenue effects would be insignificant, and anticipated no local-government fiscal impact. That estimate does not mean every operator or customer has zero cost. May 20 fiscal note
Review boundary: This describes the state statutory changes, not a determination that every gas, gathering line, transmission line or interstate facility falls within them. Existing state/federal jurisdiction and regulatory classifications still matter. It does not provide a complete current engineering-compliance or incident-reporting checklist. Existing commission authority and limits
Official sources
- Bill history and latest recorded action
- Bill versions, analyses and fiscal notes
- Action history and votes
- Amendment index
Catalog report retrieved 2026-10-25. Check the official record for corrections or later changes.