81R12421 JJT-D By: Davis of Dallas H.B. No. 3533 A BILL TO BE ENTITLED AN ACT relating to surcharges for advanced metering of electric utility services. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 39.107(h), Utilities Code, is amended to read as follows: (h) The commission shall establish a nonbypassable surcharge for an electric utility or transmission and distribution utility to use to recover reasonable and necessary costs incurred in deploying advanced metering and meter information networks to residential customers and nonresidential customers other than those required by the independent system operator to have an interval data recorder meter. The commission shall ensure that the nonbypassable surcharge reflects a deployment of advanced meters that is no more than one-third of the utility's total meters over each calendar year and shall ensure that the nonbypassable surcharge does not result in the utility recovering more than its actual, fully allocated meter and meter information network costs. The expenses must be allocated to the customer classes receiving the services, based on the electric utility's most recently approved tariffs, and the amount of the surcharge must be stated separately on each customer's bill. The commission by rule shall provide that a surcharge under this subsection may not be imposed on a customer before the customer has an advanced meter installed unless the electric utility or transmission and distribution utility provides for the customer to recover the full amount of surcharges paid by means of a discount for billed services after installation of the meter. SECTION 2. The Public Utility Commission of Texas shall adopt rules to implement the changes in law made by Section 39.107(h), Utilities Code, as amended by this Act. The rules must take effect not later than January 1, 2010. SECTION 3. This Act takes effect September 1, 2009.