Texas Senate Bill SB1700

Texas 2009 - 81st Regular

Caption

Relating to the governing body of an independent organization for a power region.

Impact

This legislation aims to enhance the governance structure of independent organizations that manage power regions, likely resulting in improved representation of various stakeholder interests. By mandating that the governing body includes consumer representatives and specifies the inclusion of ex officio members from the commission, the bill seeks to ensure that the operational decisions reflect both consumer needs and regulatory standards. Additionally, the inclusion of professional qualifications for members is intended to foster a more competent and objective leadership within these organizations.

Summary

Senate Bill 1700 concerns the governing body of an independent organization within a specific power region in Texas. The bill seeks to amend Section 39.151 of the Utilities Code, specifically addressing the composition and operational protocols of the governing body for these organizations. It outlines the criteria for member selection, emphasizing the necessity for professional qualifications and the role of a professional search firm to identify candidates, particularly for unaffiliated members. The bill requires that governing body bylaws be approved by the state commission, ensuring oversight and input in the governance process.

Contention

Notable points of contention could arise from the balance of power between independent organizations and the regulatory body. Stakeholders may debate the level of input that the commission should have in the operations of these governing bodies, particularly regarding the professional qualifications and selection processes for unaffiliated members. Critics may argue that while increased oversight can lead to accountability, it may also restrict the flexibility and responsiveness of the organization to real-time market conditions, which could be detrimental to operational efficiency.