81R9627 JJT-D
By: Thibaut H.B. No. 1718
A BILL TO BE ENTITLED
AN ACT
relating to safeguards for certain customers of retail public
utilities in the electric power market.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter C, Chapter 39, Utilities Code, is
amended by adding Section 39.1015 to read as follows:
Sec. 39.1015. SUSPENSION OF DISCONNECTION FOR CERTAIN
CUSTOMERS. (a) In this section:
(1) "Critical care residential customer" means a
residential electric customer for whom an interruption or
suspension of electric service will create a dangerous or
life-threatening condition.
(2) "Elderly low-income customer" means a low-income
customer who is 65 years of age or older.
(3) "Low-income customer" means an electric customer:
(A) whose household income is not more than 125
percent of the federal poverty guidelines;
(B) who receives food stamps from the Health and
Human Services Commission; or
(C) who receives medical assistance from a state
agency that administers a part of the medical assistance program.
(4) "Service provider" means a retail electric
provider, power generation company, aggregator, or other entity
that provides retail electric service.
(b) During the period beginning July 1 and ending September
30 of each year a service provider:
(1) may not disconnect service or authorize the
disconnection of service to a critical care residential customer or
elderly low-income customer who contacts the service provider
regarding bill payment or in response to a disconnection notice;
(2) may not disconnect service or authorize the
disconnection of service to a low-income customer other than an
elderly low-income customer if the customer:
(A) contacts the service provider regarding bill
payment or in response to a disconnection notice; and
(B) enters into a deferred payment plan with the
service provider for the current month's electric charges and meets
the terms of any then current deferred payment plan;
(3) shall request reconnection of service or reconnect
service to a critical care residential customer or an elderly
low-income customer whose service is disconnected before or during
the period if:
(A) the customer contacts the service provider
regarding bill payment or in response to a disconnection notice; or
(B) the service provider has previously been
notified that the customer is a critical care customer;
(4) shall request reconnection of service or reconnect
service to a low-income customer whose service is disconnected
before or during the period if the customer enters into a deferred
payment plan with the service provider; and
(5) shall rescind a request for disconnection of
service to a critical care residential customer, elderly low-income
customer, or low-income customer made before the period begins if
the service provider is prohibited under this subsection from
disconnecting or authorizing the disconnection of the customer's
service during the period.
(c) A service provider may not disconnect service or
authorize the disconnection of a critical care residential
customer's service during the period provided by Subsection (b)
regardless of whether the customer contacts the service provider as
provided by Subsection (b) if the service provider has previously
been notified that the customer is a critical care residential
customer.
(d) A service provider shall allow a critical care
residential customer, elderly low-income customer, or low-income
customer to establish with the provider a deferred payment plan in
person or by telephone. The service provider shall confirm the
payment plan with the customer in writing. The deferred payment
plan may not include a penalty for late payments accrued during the
period provided by Subsection (b). The service provider shall
allow a critical care residential customer, elderly low-income
customer, or low-income customer to renegotiate the terms of the
deferred payment plan at least one time, regardless of whether the
customer's economic or financial circumstances have changed. For a
low-income customer other than an elderly low-income customer,
during the period provided by Subsection (b), the payment plan may
require the payment of not more than 25 percent of the then current
month's charges plus any due installments of a previous deferred
payment plan. For a low-income customer other than an elderly
low-income customer, the service provider is not required to extend
a deferred payment plan entered into under this subsection beyond
the March billing cycle following the period provided by Subsection
(b).
(e) A deferred payment plan established under Subsection
(d) for one or more electric bills that come due during the period
provided by Subsection (b) must provide:
(1) for a critical care customer or elderly low-income
customer, that the customer is not required to pay more than 25
percent of the deferred electric bills as part of the first electric
bill issued after the end of the period and that the remaining
balance is to be paid in equal installments over the next five
billing cycles, unless the customer requests a lesser number of
installments; and
(2) for a low-income customer other than an elderly
low-income customer, that the customer is required to pay not more
than 25 percent of the deferred bills to initiate the agreement and
that the remaining balance is to be paid in equal installments over
the next five billing cycles, unless the customer requests a lesser
number of installments.
(f) A service provider may pursue disconnection of
electrical service for a critical care residential customer or an
elderly low-income customer only after the period provided by
Subsection (b) and only if the customer does not meet the terms of
the deferred payment plan, unless the disconnection is otherwise
prohibited. A service provider may pursue disconnection of service
for a low-income customer other than an elderly low-income customer
if the customer does not meet the terms of the deferred payment
plan, unless the disconnection is otherwise prohibited. The
service provider shall give the customer appropriate notice that
the customer has not met the terms of the plan before the service
provider disconnects or authorizes the disconnection of service.
(g) A service provider may encourage a critical care
customer or elderly low-income customer to make partial payment of
a deferred electric bill during the period provided by Subsection
(b), but the service provider shall clearly inform the customer
that the customer may not be disconnected for nonpayment before
October 1 following the period provided by Subsection (b).
SECTION 2. This Act takes effect June 1, 2009, if this Act
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 effect on that
date, this Act takes effect September 30, 2009.