The fiscal implications of SB 494 are minimal, as the Legislative Budget Board (LBB) anticipates no significant fiscal impact on the state. Any associated costs for the establishment and operation of the Theft of Petroleum Products Task Force are expected to be absorbed within the existing resources of the Railroad Commission of Texas.

Similarly, there is no significant fiscal impact anticipated for local government units, meaning the bill does not impose additional financial burdens on cities, counties, or other local entities.

SB 494 proposes the establishment of a Theft of Petroleum Products Task Force under the Railroad Commission of Texas (RRC) to combat the rising issue of organized petroleum theft in the state. The bill is a response to ongoing criminal activity despite prior legislation, such as SB 1871 (85th Legislature), which created felony offenses for petroleum theft. The task force would study theft patterns, improve law enforcement coordination, enhance security, and develop legislative recommendations to curb economic losses and protect industry stakeholders. It is designed to meet quarterly, collaborate with law enforcement and industry representatives, and provide biennial reports to state leadership.

From a liberty-oriented perspective, SB 494 upholds private property rights by addressing the unlawful appropriation of petroleum, a key economic resource. It also supports free enterprise by safeguarding Texas’s vital oil and gas sector from theft-related disruptions. Additionally, the bill aligns with limited government principles, as it does not impose new regulations but instead relies on a temporary task force to provide data-driven solutions. Notably, the bill includes a sunset provision, expiring on December 31, 2030, ensuring the task force does not become a permanent entity.

SB 494 has strong industry and law enforcement support, including endorsements from the Texas Oil and Gas Association, Permian Basin Petroleum Association, and major energy firms like ConocoPhillips and DiamondBack Energy. This backing suggests that the bill addresses real and ongoing security concerns in the sector.

SB 494 presents a targeted, temporary, and fiscally responsible approach to addressing organized petroleum theft. It promotes property rights, law enforcement cooperation, and economic stability without unnecessary government expansion. With its sunset clause ensuring oversight, the bill aligns with core liberty principles, and as such, Texas Policy Research encourages lawmakers to vote YES on SB 494.

• HB 1647 (Same As)