84R9525 DDT-F By: Thompson of Harris H.B. No. 2327 A BILL TO BE ENTITLED AN ACT relating to a study on periodic rate adjustment by electric utilities. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 36.210, Utilities Code, is amended by amending Subsections (h) and (i) to read as follows: (h) The commission shall undertake a study and conduct a report analyzing any periodic rate adjustment established under this section. The study shall be available for the legislature's review by January 31, 2019 [2017], so that the legislature may properly be informed as to the need to continue the commission's authority to allow periodic rate adjustments. The report shall contain but shall not be limited to: (1) an analysis of all periodic rate adjustments approved by the commission; (2) an analysis of the amounts in real dollars and percentages of the approved amounts by the commission and the effects on all classes of ratepayers; (3) the costs savings, if any, realized by all parties by utilizing periodic rate adjustment as opposed to ratemaking proceedings; (4) an analysis on distribution costs included in periodic rate adjustments, and their appropriateness for inclusion in periodic rate adjustments; [and] (5) an analysis submitted by the office on the effects of periodic rate adjustments; and (6) an analysis of alternative ratemaking mechanisms adopted by other states and recommendations regarding appropriate reforms to the ratemaking process in this state to provide efficient and adequate oversight of electric utilities. (i) This section expires September [January] 1, 2019 [2017]. SECTION 2. This Act takes effect September 1, 2015.