TX SB1806

Authorizes Texas Department of Public Safety officers to inspect cargo tanks transporting crude oil or condensate on public roads and collect samples for forensic analysis, with a required training program to be developed by the Public Safety Commission by January 1, 2026

Increases penalties for petroleum product theft: third-degree felony for theft under $10,000 (previously state jail felony), second-degree felony for $10,000-$100,000 (previously third-degree), and first-degree felony for $100,000+ (previously applied only at $300,000+)

Creates new criminal offenses for purchasing petroleum products from sellers not authorized by the Railroad Commission of Texas, storing/purchasing/trading petroleum products through unauthorized methods, and transporting petroleum products to disposal locations without being able to identify the initial owner

Establishes criminal penalties for using or drilling disposal wells for oil and gas waste without a Railroad Commission permit: third-degree felony if no waste disposed or value under $10,000, second-degree felony for $10,000-$100,000, and first-degree felony for $100,000+

Allows law enforcement to sell seized stolen petroleum products at market prices based on NYMEX closing prices for West Texas Intermediate crude oil or natural gas liquids composite, with proceeds deposited as seized money