TITLE 43. TRANSPORTATION

PART 1. TEXAS DEPARTMENT OF TRANSPORTATION

CHAPTER 2. ENVIRONMENTAL REVIEW OF TRANSPORTATION PROJECTS

The Texas Department of Transportation (department) proposes the repeal of §2.132 concerning Gulf Intracoastal Waterway Projects and new §§2.351 - 2.364 concerning Gulf Intracoastal Waterway Projects.

EXPLANATION OF PROPOSED AMENDMENTS

The purpose of this rulemaking is to reorganize and clarify the rules of the Texas Transportation Commission (commission) concerning the requirements for state participation in dredge disposal plans and projects for the beneficial use of dredged materials related to the Gulf Intracoastal Waterway. The rulemaking also removes references in the rules to the Gulf Intracoastal Waterway Advisory Committee, which has been abolished.

Section 2.132, Gulf Intracoastal Waterway Projects, is repealed and the substance of that section is revised and moved to new Subchapter J of Chapter 2, which consists of new §§2.351 - 2.364.

New §2.351, Definitions, provides the defined terms used in Subchapter J.

New §2.352, Maintenance and Sponsorship of GIWW, is derived from §2.132(b) and clarifies that the State of Texas is the non-federal sponsor of the GIWW and the commission serves as the state's designee.

New §2.353, Disposal Plans, is a non-substantive revision of §2.132(c)(1) and (2).

New §2.354, State Participation in Beneficial Use Project, is a non-substantive revision of §2.132(c)(3).

New §2.355, Interagency Coordination, is derived from §2.132(a)(2) and (c)(4). The section clarifies that the U.S. Army Corps of Engineers is responsible for overseeing and initiating coordination of projects for the beneficial use of dredged material.

New §2.356, Investigation of Proposed Disposal Plan or Beneficial Use Project, is derived from §2.132(c)(5). The section recognizes that investigations will be led by the interagency coordination team rather than the department and that membership of interagency coordination team is determined by the U.S. Army Corps of Engineers.

New §2.357, Preparation of Environmental Review Document and Public Participation, is a non-substantive revision of §2.132(d).

New §2.358, Notification of and Assistance to Property Owners, is a non-substantive revision of §2.132(f)(1)(A)-(C). The new section clarifies that the department gives notification and assistance to the owners of real property that is being acquired for a dredged material placement area and if requested, meets with other affected real property owners.

New §2.359, Public Meeting, is a non-substantive revision of §2.132(f)(1)(D) and (2). The new section clarifies that the department may hold one or more public meetings on a proposed dredged material placement area and clarifies where notice of all meetings held under the section must be published.

New §2.360, Procedures for State Acquisition of Real Property, is a non-substantive revision of §2.132(e)(1). The new section clarifies that the procedures provided by the section apply to a proposal to use the real property as a dredged material placement area. It also clarifies where notice of a plan, proposal, or project to which the section applies must be published.

New §2.361, Commission approval, is derived from §2.132(a)(5) and (e)(2). The new section replaces the requirement that a beneficial use project demonstrate "substantial" local support with a requirement that the project demonstrate local support evidenced by an official document from the governing body with jurisdiction over the project. The definition of "jurisdiction" is deleted, and its substance is integrated into the section to clarify the way in which local support is to be shown. The new section does not include the limitation of current §2.132(e)(2)(B)(vi)(I) and (II), which prohibits the department from contributing more than 50 percent of the difference between the federal share and the cost of a beneficial use project, because such a limitation is unnecessarily restrictive. The new section expressly provides that it applies to a proposal to use the real property as a dredged material placement area.

New §2.362, Agreement to Participate in Beneficial Use Project, is a non-substantive revision of §2.132(e)(3).

New §2.363, Participation in Existing Beneficial Use Project, provides the procedure for state participation in an existing beneficial use project. There is no corresponding provision in §2.132.

New §2.364, Prohibition on Use of Funds, is a non-substantive revision of §2.132(e)(2)(B)(vi)(III).

FISCAL NOTE

Stephen Stewart, Chief Financial Officer, has determined, in accordance with Government Code, §2001.024(a)(4), that for each of the first five years in which the proposed rules are in effect, there will be no fiscal implications for state or local governments as a result of the department's or commission's enforcing or administering the proposed rules.

LOCAL EMPLOYMENT IMPACT STATEMENT

Mr. Geir Eilif Kalhagen, Director, Maritime Division, has determined that there will be no significant impact on local economies or overall employment as a result of enforcing or administering the proposed rules and therefore, a local employment impact statement is not required under Government Code, §2001.022.

PUBLIC BENEFIT

Mr. Kalhagen has determined, as required by Government Code, §2001.024(a)(5), that for each year of the first five years in which the proposed rules are in effect, the public benefit anticipated as a result of enforcing or administering the rules will be the clarification and alignment of the administrative code with current dredged material management processes.

COSTS ON REGULATED PERSONS

Mr. Kalhagen has also determined, as required by Government Code, §2001.024(a)(5), that for each year of that period there are no anticipated economic costs for persons, including a state agency, special district, or local government, required to comply with the proposed rules and therefore, Government Code, §2001.0045, does not apply to this rulemaking.

ECONOMIC IMPACT STATEMENT AND REGULATORY FLEXIBILITY ANALYSIS

There will be no adverse economic effect on small businesses, micro-businesses, or rural communities, as defined by Government Code, §2006.001, and therefore, an economic impact statement and regulatory flexibility analysis are not required under Government Code, §2006.002.

GOVERNMENT GROWTH IMPACT STATEMENT

Mr. Kalhagen has considered the requirements of Government Code, §2001.0221 and anticipates that the proposed rules will have no effect on government growth. He expects that during the first five years that the rule would be in effect:

(1) it would not create or eliminate a government program;

(2) its implementation would not require the creation of new employee positions or the elimination of existing employee positions;

(3) its implementation would not require an increase or decrease in future legislative appropriations to the agency;

(4) it would not require an increase or decrease in fees paid to the agency;

(5) it would not create a new regulation;

(6) it would not expand, limit, or repeal an existing regulation;

(7) it would not increase or decrease the number of individuals subject to its applicability; and

(8) it would not positively or adversely affect this state's economy.

TAKINGS IMPACT ASSESSMENT

Mr. Kalhagen has determined that a written takings impact assessment is not required under Government Code, §2007.043.

COASTAL MANAGEMENT PROGRAM CONSISTENCY REVIEW

The department determined that this rulemaking relates to actions subject to the Texas Coastal Management Program (CMP) under the Coastal Coordination Act of 1991, as amended (Natural Resources Code, §33.201 et seq.), because it concerns the department's rules on acquisition of sites for the placement or disposal of dredge material from, or the expansion, relocation, or alteration of, the Gulf Intracoastal Waterway. The department reviewed this action for consistency with the CMP goals and policies under the rules promulgated by the Coastal Coordination Council, which were transferred to the General Land Office effective December 1, 2022 (see 31 TAC §26.25, Policies for Dredging and Dredged Material and Placement). The department has determined that the action is consistent with applicable CMP goals and policies.

A CMP policy applicable to this rulemaking is that dredging and the disposal and placement of dredged material shall avoid and otherwise minimize adverse effects to coastal areas. The proposed rules are essentially a non-substantive revision of existing rules that does not change dredged material management policies.

Another CMP policy applicable to this rulemaking is to maximize the number of Beneficial Use of Dredged Material (BUDM) projects. This rulemaking removes unnecessary impediments to funding and implementing BUDM projects.

Another CMP policy applicable to this rulemaking is to encourage collaborative partnerships between federal and non-federal interests in order to plan, fund, and implement BUDM projects. This rulemaking clarifies the relationship between federal and non-federal interests in planning for BUDM projects.

A copy of this rulemaking will be submitted to the General Land Office for its comments on the consistency of the proposed rulemaking with the CMP. The department requests that the public also give comment on whether the proposed rulemaking is consistent with the CMP. Written comments on the consistency of this rulemaking with the CMP may be submitted at the public hearing on this rulemaking held as provided in the PUBLIC HEARING section of this preamble or may be submitted as provided in the SUBMITTAL OF COMMENTS section of this preamble.

SUBMITTAL OF COMMENTS

Written comments on the repeal of §2.132 and new §§2.351-2.364 may be submitted to Rule Comments, General Counsel Division, Texas Department of Transportation, 125 East 11th Street, Austin, Texas 78701-2483 or to RuleComments@txdot.gov with the subject line "Maritime Rules." The deadline for receipt of comments is 5:00 p.m. on December 11, 2023. In accordance with Transportation Code, §201.811(a)(5), a person who submits comments must disclose, in writing with the comments, whether the person does business with the department, may benefit monetarily from the proposed amendments, or is an employee of the department.

SUBCHAPTER F. REQUIREMENTS FOR SPECIFIC TYPES OF PROJECTS AND PROGRAMS

43 TAC §2.132

STATUTORY AUTHORITY

The repeals are proposed under Transportation Code, §201.101, which provides the commission with the authority to establish rules for the conduct of the work of the department, and more specifically, Transportation Code, §51.009, which requires the commission to establish eligibility criteria for a project to beneficially use dredge material.

CROSS REFERENCE TO STATUTES IMPLEMENTED BY THIS RULEMAKING

Transportation Code, Chapter 51.

§2.132.Gulf Intracoastal Waterway Projects.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on October 26, 2023.

TRD-202303942

Becky Blewett

Deputy General Counsel

Texas Department of Insurance

Earliest possible date of adoption: December 10, 2023

For further information, please call: (512) 486-5600


SUBCHAPTER J. GULF INTRACOASTAL WATERWAY PROJECTS

43 TAC §§2.351 - 2.364

STATUTORY AUTHORITY

The new sections are proposed under Transportation Code, §201.101, which provides the commission with the authority to establish rules for the conduct of the work of the department, and more specifically, Transportation Code, §51.009, which requires the commission to establish eligibility criteria for a project to beneficially use dredge material.

§2.351.Definitions.

The following words and terms, when used in this subchapter, have the following meanings, unless the context clearly indicates otherwise.

(1) Beneficial use--The productive and positive use of dredged material as proposed by the U.S. Army Corps of Engineers.

(2) Disposal plan--A plan that evaluates and identifies preferred alternative dredge material placement areas to accommodate the U.S. Army Corps of Engineers' dredging needs along the GIWW.

(3) Gulf Intracoastal Waterway (GIWW)--The main channel, not including tributaries or branches, of the shallow draft navigation channel running from the Sabine River southward along the Texas coast to the Brownsville Ship Channel near Port Isabel. §2.352.Maintenance and Sponsorship of GIWW.

(a) The U.S. Army Corps of Engineers is responsible for maintaining the GIWW.

(b) The State of Texas, under Transportation Code, Chapter 51, is the nonfederal sponsor of the GIWW, and the commission is the state's designee. §2.353.Disposal Plans.

(a) The department may participate in the development of a disposal plan for dredged material.

(b) Legislative approval is required for any substantive change to the disposal plan developed for the Laguna Madre reach of the GIWW dated October 11, 2002. §2.354.State Participation in a Beneficial Use Project.

(a) The department may participate in the development of a beneficial use project for dredged material.

(b) The department will accept from the U.S. Army Corps of Engineers proposals for beneficial use projects in one or more of the following categories:

(1) habitat development;

(2) beach nourishment;

(3) aquaculture;

(4) parks and recreation;

(5) agriculture, forestry, and horticulture;

(6) strip mine reclamation and solid waste management;

(7) shoreline stabilization and erosion control;

(8) construction and industrial use; or

(9) material transfer, such as transfer for fill, dikes, levees, parking lots, roads.

(c) The U.S. Army Corps of Engineers will submit a proposal in writing to the executive director or the executive director's designee. The proposal will include:

(1) a description of the proposed beneficial use project and anticipated benefits;

(2) a map delineating the location or locations of the proposed beneficial use project;

(3) a proposed project schedule including an anticipated completion date;

(4) a detailed estimate of the project cost, including an estimate of the U.S. Army Corps of Engineers' financial contributions to the project; and

(5) a plan addressing the operation and maintenance of the facility created by or benefiting from the beneficial use project. §2.355.Interagency Coordination.

(a) The interagency coordination team is a group established by the U.S. Army Corps of Engineers to review proposed federal development projects related to the GIWW. The department is a member of the team. The team's duties include advising on the determinations of consistency with the Texas Coastal Management Program.

(b) The department will coordinate with appropriate state and federal agencies to develop a proposal for disposal plans or beneficial use projects. §2.356.Investigation of Proposed Disposal Plan or Beneficial Use Project.

(a) The interagency coordination team described by §2.355(a) of this subchapter (relating to Interagency Coordination) will investigate disposal plans and beneficial use projects and evaluate the environmental and operational suitability of each.

(b) The department or U.S. Army Corps of Engineers will lead any field investigations. The agencies that are members of the interagency coordination team will be requested to participate in field investigations and to provide to the department written evaluations of the disposal plans and beneficial use projects investigated.

(c) The interagency coordination team will discuss with the department any proposed disposal plans or beneficial use projects. §2.357.Preparation of Environmental Review Document and Public Participation.

After a disposal plan or beneficial use project related to the GIWW has been proposed, the department will assist with:

(1) the preparation of the environmental review document by the U.S. Army Corps of Engineers under 42 U.S.C. §4321 et seq. and applicable federal rules; and

(2) any public participation process conducted by the U.S. Army Corps of Engineers. §2.358.Notification of and Assistance to Property Owners.

(a) Before a public hearing under §2.360 of this subchapter (relating to Procedures for State Acquisition of Real Property), the department will:

(1) provide to each public or private owner of real property to be acquired notice of the environmental and operational suitability of the property for the proposed disposal plan, use as a dredged material placement area, or beneficial use project;

(2) offer to meet with such an owner to answer questions about the proposed disposal plan, dredged material placement area, or beneficial use project related to the proposed acquisition; and

(3) notify the owner of any public meeting or public hearing on the proposed disposal plan, dredged material placement area, or beneficial use project.

(b) Before a public hearing under §2.360 of this subchapter, the department also will hold meetings on the proposed disposal plan, dredged material placement area, or beneficial use project related to the proposed acquisition with the owners of property adjacent to the property being acquired and with other affected property owners, if those owners request such a meeting. §2.359.Public Meeting.

(a) The department may hold one or more public meetings on a proposed disposal plan, dredged material placement area, or beneficial use project.

(b) The department will publish notice of a public meeting under this section in a newspaper having general circulation in each county in which the proposed disposal plan, dredged material placement area, or beneficial use project is located and post the notice on the department's website. §2.360.Procedures for State Acquisition of Real Property.

(a) If the commission proposes the acquisition of real property necessary to enable it to meet its responsibilities as the nonfederal sponsor of the GIWW, or if the commission proposes to participate in the cost of a project to beneficially use dredge material that requires the acquisition of an interest in real property, the commission, through the department, will hold a public hearing to receive evidence and testimony concerning the desirability of the disposal plan, the proposal to use the real property as a dredged material placement area under an existing disposal plan, or the beneficial use project.

(b) The department will publish notice of the plan, proposal, or project and the date, time, and place of the public hearing at least once a week for three successive weeks before the hearing in a newspaper of general circulation of each county in which any part of a proposed dredge material disposal site, channel alteration, or beneficial use project would be located.

(c) The department also will:

(1) publish notice of the hearing in at least one edition of the Texas Register; and

(2) post notice of the hearing on the department's website.

(d) The department will display the U.S. Army Corps of Engineers' environmental documents and findings at the public hearing.

(e) Comments, testimony, or evidence may be given in person or in writing during the public hearing or may be submitted in writing to the department during the prescribed public comment period. §2.361.Commission approval.

(a) After a public hearing under §2.360 of this subchapter (relating to Procedures for State Acquisition of Real Property), the commission may approve and implement the proposed disposal plan, property use as a dredged material placement area, or beneficial use project, including the acquisition of real property, if it determines that the plan, property use, or project can be accomplished without an unjustifiable waste of publicly or privately owned natural resources or a permanent and substantial adverse impact on the environment, wildlife, or fisheries.

(b) To approve and implement a beneficial use project, in addition to the determination required under subsection (a) of this section, the commission must determine that the project:

(1) is proposed by the U.S. Army Corps of Engineers;

(2) is for one or more beneficial use activities having a direct relationship to the GIWW;

(3) has local support;

(4) is limited to a logical unit of work and capable of being implemented and completed within a reasonable time as determined by the department; and

(5) is consistent with the Texas Coastal Management Program.

(c) Local support under subsection (b)(3) of this section is shown by a resolution or other official document that is adopted or approved by the governing body of the city or county with jurisdiction over the area in which the project is located or, if the project area is located in more than one jurisdiction, by the governing body of the city or county within which a majority of the area of the project is located, with the adoption or approval occurring after that governing body has consulted with the other jurisdictions. The jurisdiction of a city is the area within the incorporated city limits and the extraterritorial jurisdiction of the city. The jurisdiction of a county is the area within the boundaries of the county that is not within the jurisdiction of the cities located in the county. §2.362.Agreement to Participate in Beneficial Use Project.

If the commission approves the department's participation in a beneficial use project, the commission will enter into an agreement with the U.S. Department of the Army to participate in the cost of the project. §2.363.Participation in Existing Beneficial Use Project.

(a) The department, with the commission's approval and in accordance with this section, may participate financially in an existing beneficial use project.

(b) The U.S. Army Corps of Engineers will submit proposals in writing to the executive director or the executive director's designee. A proposal must include:

(1) a description of the beneficial use project and its benefits;

(2) a map delineating the location of the beneficial use project;

(3) a proposed project schedule that includes an anticipated completion date;

(4) a detailed estimate of the project cost and an estimate of each amount contributed to the project by the U.S. Army Corps of Engineers and each other participating entity;

(5) a plan addressing the operations and maintenance of the facility created by or benefiting from the beneficial use project; and

(6) existing documentation related to the operational and environmental suitability of the project and existing results of field investigations, if available.

(c) The commission may approve participation under this section if it determines that the project:

(1) can be accomplished without:

(A) an unjustifiable waste of publicly or privately owned natural resources; and

(B) a permanent and substantial adverse impact on the environment, wildlife, or fisheries; and

(2) will result in one or more beneficial use activities having a direct relationship of function or impact to the GIWW. §2.364.Prohibition on Use of Funds.

Funds provided by the department under this subchapter may not be used for maintenance or operation of a beneficial use project.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on October 26, 2023.

TRD-202303943

Becky Blewett

Deputy General Counsel

Texas Department of Transportation

Earliest possible date of adoption: December 10, 2023

For further information, please call: (512) 486-5600