1 | 1 | | 81R11067 TRH-F |
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2 | 2 | | By: Davis, Wendy S.B. No. 2128 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to fixed price contracts for residential retail electric |
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8 | 8 | | service. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Subchapter C, Chapter 39, Utilities Code, is |
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11 | 11 | | amended by adding Section 39.113 to read as follows: |
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12 | 12 | | Sec. 39.113. FIXED PRICE CONTRACTS. (a) In this section, |
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13 | 13 | | "fixed price contract" means a residential retail electric service |
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14 | 14 | | contract for a term of six months or more in which the price for each |
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15 | 15 | | billing period is stated in the contract and does not change |
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16 | 16 | | throughout the term of the contract. The term does not include |
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17 | 17 | | month-to-month service. |
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18 | 18 | | (b) The term of a fixed price contract must be conspicuously |
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19 | 19 | | disclosed on the contract. The start and end dates of a fixed price |
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20 | 20 | | contract must be available to a customer who is a party to the |
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21 | 21 | | contract, on the request of the customer. The start and end dates |
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22 | 22 | | may be estimated if the retail electric provider is unable to |
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23 | 23 | | determine the dates. If a start date for a fixed price contract is |
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24 | 24 | | known, the end date may be estimated based on the transmission and |
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25 | 25 | | distribution utility's normal meter reading schedule for the |
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26 | 26 | | customer. |
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27 | 27 | | (c) In addition to any information required under |
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28 | 28 | | Subsection (b), a retail electric provider shall provide a |
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29 | 29 | | residential customer who has a fixed price contract with written |
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30 | 30 | | notification of the date the contract is scheduled to expire. The |
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31 | 31 | | notice must be sent to the customer's billing address by mail |
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32 | 32 | | postmarked not less than 60 days before the date the contract is |
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33 | 33 | | scheduled to expire. This subsection does not preclude a retail |
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34 | 34 | | electric provider from offering a new contract to a customer at any |
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35 | 35 | | time during the term of the customer's contract. |
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36 | 36 | | (d) A notice under Subsection (c) must: |
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37 | 37 | | (1) be provided as a separate document; |
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38 | 38 | | (2) include on the outside of the envelope the |
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39 | 39 | | statement "Contract Expiration Notice"; |
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40 | 40 | | (3) if the customer has agreed to receive official |
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41 | 41 | | documents by electronic mail, state in the subject line of the |
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42 | 42 | | electronic mail "Contract Expiration Notice"; |
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43 | 43 | | (4) include a description of the retail electric |
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44 | 44 | | provider's default service plan; |
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45 | 45 | | (5) include the terms of service for the retail |
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46 | 46 | | electric provider's default service plan, unless the terms of |
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47 | 47 | | service applicable to the default service plan also apply to the |
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48 | 48 | | customer's existing service under the fixed price contract; |
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49 | 49 | | (6) include a statement that if the customer takes no |
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50 | 50 | | action, service to the customer will continue according to the |
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51 | 51 | | default service plan; and |
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52 | 52 | | (7) include a statement that the default service plan |
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53 | 53 | | is provided on a month-to-month basis and may be canceled by the |
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54 | 54 | | customer at any time with no fee. |
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55 | 55 | | SECTION 2. The change in law made by this Act applies only |
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56 | 56 | | to a contract for retail electric service entered into or renewed on |
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57 | 57 | | or after the effective date of this Act. A contract for retail |
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58 | 58 | | electric service entered into or renewed before the effective date |
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59 | 59 | | of this Act is governed by the law as it existed immediately before |
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60 | 60 | | the effective date of this Act, and that law is continued in effect |
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61 | 61 | | for that purpose. |
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62 | 62 | | SECTION 3. This Act takes effect September 1, 2009. |
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