By: Solomons H.B. No. 2421
A BILL TO BE ENTITLED
AN ACT
relating to the independent organization certified to perform
certain functions for a power region.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 12.005, Utilities Code, is amended to
read as follows:
Sec. 12.005. APPLICATION OF SUNSET ACT. (a) The Public
Utility Commission of Texas is subject to Chapter 325, Government
Code (Texas Sunset Act). Unless continued in existence as provided
by that chapter or by Chapter 39, the commission is abolished and
this title expires September 1, 2011.
(b) The Sunset Advisory Commission shall conduct a
special-purpose review of the Electric Reliability Council of Texas
as part of the commission's review of the Public Utility Commission
of Texas for the 82nd Legislature. The sunset commission's report
to the 82nd Legislature regarding the review must include an
assessment of the governance, management, and operating structure
of the council and the council's compliance with the duties and
requirements placed on it by the legislature and the Public Utility
Commission of Texas. The sunset commission's report under this
subsection may include any recommendations it considers
appropriate. This subsection expires September 1, 2011.
SECTION 2. Sections 39.151(g) and (g-1), Utilities Code,
are amended to read as follows:
(g) To maintain certification as an independent
organization under this section, an organization must operate a
regional electrical network that is located entirely in this state.
The [an] organization's governing body must be composed of persons
specified by this section and selected in accordance with formal
bylaws or protocols of the organization. The bylaws or protocols
must be approved by the commission and must reflect the input of the
commission. The bylaws must [specify the process by which
appropriate stakeholders elect members and, for unaffiliated
members,] prescribe the professional qualifications necessary for
selection as a member of the organization and[. The bylaws must]
require the use of a professional search firm to identify
candidates for membership of unaffiliated members. The process
must allow for commission input in identifying candidates. The
governing body must be composed of:
(1) each commissioner [the chairman of the commission]
as an ex officio nonvoting member;
(2) the counsellor as an ex officio voting member
representing residential and small commercial consumer interests;
(3) the chief executive officer of the independent
organization as an ex officio voting member;
(4) [six market participants elected by their
respective market segments to serve one-year terms, with:
[(A) one representing independent generators;
[(B) one representing investor-owned utilities;
[(C) one representing power marketers;
[(D) one representing retail electric providers;
[(E) one representing municipally owned
utilities; and
[(F) one representing electric cooperatives;
[(5)] one member representing industrial consumer
interests and elected by the industrial consumer market segment to
serve a one-year term;
(5) [(6)] one member representing large commercial
consumer interests selected in accordance with the bylaws to serve
a one-year term; and
(6) nine [(7) five] members unaffiliated with any
market segment and selected by the other members of the governing
body to serve three-year terms.
(g-1) The presiding officer of the governing body must be
one of the members described by Subsection (g)(6) [(g)(7)].
SECTION 3. Not later than September 1, 2010, an independent
organization that is certified by the commission before September
1, 2009, shall modify the organization's governing body to comply
with Section 39.151(g), Utilities Code, as amended by this Act. The
commission may decertify an independent organization that does not
comply with that section by September 1, 2010.
SECTION 4. This Act takes effect September 1, 2009.