81R7249 TJS-D By: Mallory Caraway H.B. No. 1227 A BILL TO BE ENTITLED AN ACT relating to a grace period from the statement issue date for payment of services to gas utilities and municipally owned utilities. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter F, Chapter 104, Utilities Code, is amended by adding Section 104.259 to read as follows: Sec. 104.259. PERIOD FOR PAYMENT OF GAS SERVICES. (a) A gas utility or municipally owned utility providing service to a retail customer may not disconnect service or pursue any other collections options for nonpayment of a balance due before the 30th day after the date on which the statement is issued. (b) To the extent of any conflict between this section and other law, including Subchapter A, Chapter 182, this section controls. SECTION 2. The change in law made by this Act does not affect the rights of a gas utility or municipally owned utility to disconnect service or pursue another collections option in a manner provided by a contract with a retail customer that was entered into or renewed before the effective date of this Act. The rights of a gas utility or municipally owned utility under a contract for gas services entered into or renewed before the effective date of this Act are governed by the law as it existed on the date the contract was entered into or renewed, and that law is continued in effect for that purpose. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2009.