1. (a) Imposition. Except as provided by subsection (c)(2) of this section, the oil field cleanup regulatory fee on gas is due for the production month of September 1991 and all subsequent months.
2. (b) Reports. The fee is to be reported and paid on the natural gas report in the same manner as the occupation tax is imposed by Tax Code, Chapter 201.

3. (c) Amount of fee.

   1. (1) Except as provided in paragraph (2) of this subsection; the rate of the fee for gas produced prior to September 1, 2001, shall be one-thirtieth of $.01 ($.000333) per 1,000 cubic feet (MCF) of gas and the rate of the fee for gas produced September 1, 2001, and later shall be one-fifteenth of $.01 ($.000667) per 1,000 cubic feet (MCF) of gas.
   2. (2) The fee shall not be collected, or required to be paid for the production month that begins on the first day of the second month following the Texas Railroad Commission's certification to the comptroller that the fund balance equals or exceeds $20 million. The comptroller shall publish notification in the Texas Register that the fee shall no longer be collected 15 days prior to the beginning of the production month for which the fee shall no longer be collected.
   3. (3) If the Texas Railroad Commission certifies to the comptroller that the balance of the fund has fallen below $10 million, the fee shall again be due beginning the first day of the second month following the commission's certification to the comptroller. The comptroller shall publish notification in the Texas Register that the fee shall be required to be collected 15 days prior to the beginning of the production month for which the fee shall be collected.
4. (d) Volume subject to fee. The fee will be collected on all gas produced and saved, except an interest owned by a governmental entity as defined in §3.27 of this title (relating to Exemption of Certain Interest Owners from Gas Occupation Taxes).

Source Note:The provisions of this §3.732 adopted to be effective February 5, 1992, 17 TexReg 474; amended to be effective November 18, 2001, 26 TexReg 9158; amended to be effective October 12, 2004, 29 TexReg 9556; amended to be effective March 1, 2012, 37 TexReg 1362; amended to be effective March 6, 2014, 39 TexReg 1482.