Texas 2021 - 87th Regular

Texas House Bill HB2000 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	By: Huberty, Paddie, Harless, King of Parker, H.B. No. 2000
2		-	et al.
	1	+	87R16038 BRG-F
	2	+	By: Huberty H.B. No. 2000
	3	+	Substitute the following for H.B. No. 2000:
	4	+	By: Paddie C.S.H.B. No. 2000
3	5
4	6
5	7		A BILL TO BE ENTITLED
6	8		AN ACT
7		-	relating to the funding of projects by the Texas Water Development
8		-	Board to promote utility reliability, resiliency, efficiency,
9		-	conservation, and demand reduction; authorizing the issuance of
10		-	revenue bonds.
	9	+	relating to the funding of utility reliability and resiliency
	10	+	projects by the Texas Water Development Board; authorizing the
	11	+	issuance of revenue bonds.
11	12		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	13		SECTION 1. (a) The legislature recognizes the importance
13	14		of providing for the reliability and resiliency of this state's
14		-	utilities, broadband providers, and power generation ~~companies~~.
	15	+	utilities, broadband providers, and power generation resources.
15	16		The purpose of this Act is to ensure that proper funding in the form
16	17		of meaningful and adequate financial assistance is available to
17	18		enhance the reliability and resiliency of water, electric, and
18	19		natural gas utilities, broadband providers, and power generation
19		-	~~companies~~ in this state, including by supporting projects to
20		-	weatherize facilities, provide resilience~~, and reduce demand~~
21		-	~~during periods of high~~ demand.
	20	+	resources in this state, including by supporting projects to
	21	+	weatherize facilities and provide resilience during periods of high
	22	+	demand.
22	23		(b) To accomplish that purpose, this Act creates the state
23	24		utilities reliability fund. The fund is intended to serve as an
24	25		infrastructure funding source in order to enhance the financing
25	26		capabilities of the Texas Water Development Board under a
26	27		constitutionally created program and a revenue bond program. Money
27	28		in the fund will be available to provide any financial assistance,
28		-	including market rate, low-interest, and no-interest loans, longer
29		-	repayment terms for loans, deferral of loan payments, interest rate
30		-	rebates and subsidies, loan guarantees, grants, or other financial
31		-	assistance that meets the needs of this state, the recipients, and
32		-	the purposes of this Act, as provided by Sections 49-d-15 and
33		-	49-d-16, Article III, Texas Constitution. In addition, this Act
34		-	creates the state utilities reliability revenue fund for use in
35		-	managing revenue bonds issued by the Texas Water Development Board
36		-	that are supported by the state utilities reliability fund. The
37		-	state utilities reliability fund and the state utilities
38		-	reliability revenue fund are not intended to be used to pay for new,
39		-	dispatchable sources of electricity to be built by private
40		-	entities.
41		-	SECTION 2. Chapter 447, Government Code, is amended by
42		-	adding Section 447.014 to read as follows:
43		-	Sec. 447.014. ENERGY EFFICIENCY, NATURAL GAS CONSERVATION,
44		-	AND WATER CONSERVATION LOAN PROGRAM. (a) Using money available
45		-	from the state utilities reliability fund established under Chapter
46		-	202, Utilities Code, the comptroller and the State Energy
47		-	Conservation Office jointly by rule shall establish and administer
48		-	a program that issues or guarantees loans to be used for
49		-	improvements that increase the energy efficiency of and promote
50		-	conservation of natural gas and water by residences and businesses
51		-	that are not newly constructed.
52		-	(b) The rules adopted under this section must establish
53		-	eligibility requirements for receipt of a loan issued or guaranteed
54		-	under the program, including emissions reduction
55		-	cost-effectiveness criteria.
56		-	(c) The State Energy Conservation Office annually shall
57		-	submit to the Public Utility Commission of Texas and the Energy
58		-	Systems Laboratory of the Texas A&M Engineering Experiment Station
59		-	a report that:
60		-	(1) evaluates the effectiveness of the program; and
61		-	(2) quantifies energy savings and emissions
62		-	reductions that result from the program for consideration in the
63		-	state implementation plan, as described by Section 382.0173, Health
64		-	and Safety Code, for emissions reduction credits.
65		-	SECTION 3. Title 4, Utilities Code, is amended by adding
	29	+	including market rate loans, low-interest loans, longer repayment
	30	+	terms for loans, deferral of loan payments, interest rate
	31	+	subsidies, loan guarantees, grants, or other financial assistance
	32	+	that meets the needs of this state, the recipients, and the purposes
	33	+	of this Act. In addition, this Act creates the state utilities
	34	+	reliability revenue fund for use in managing revenue bonds issued
	35	+	by the Texas Water Development Board that are supported by the state
	36	+	utilities reliability fund.
	37	+	SECTION 2. Title 4, Utilities Code, is amended by adding
66	38		Subtitle C to read as follows:
67	39		SUBTITLE C. RELIABILITY AND RESILIENCY OF UTILITIES, BROADBAND
68	40		PROVIDERS, AND POWER GENERATORS
69	41		CHAPTER 201. GENERAL PROVISIONS
70	42		Sec. 201.001. DEFINITIONS. In this subtitle:
71	43		(1) "Advisory committee" means the State Utilities
72	44		Reliability Fund Advisory Committee.
73	45		(2) "Board" means the Texas Water Development Board.
74	46		(3) "Broadband provider" means any person,
75	47		corporation, municipality or other political subdivision, or
76	48		agency that owns or operates for compensation in this state
77		-	facilities to provide broadband telecommunications ~~capability and~~
78		-	Internet access in this state.
	49	+	equipment or facilities to provide broadband telecommunications
	50	+	capability and Internet access in this state.
79	51		(4) "Commission" means the Public Utility Commission
80	52		of Texas.
81	53		(5) "Electric utility" has the meaning assigned by
82		-	Section 31.002, except that the term includes an electric
83		-	cooperative organized under Chapter 161 and a municipally owned
84		-	utility.
	54	+	Section 31.002.
85	55		(6) "Executive administrator" means the executive
86	56		administrator of the Texas Water Development Board.
87	57		(7) "Facilities" means all of the property, plants,
88	58		and equipment of an electric, natural gas, or water utility, a
89	59		broadband provider, or a power generation company. The term
90		-	includes tangible property owned, operated, leased, used,
91		-	controlled, or supplied for, by, or in connection with the business
92		-	of the electric, natural gas, or water utility, the broadband
93		-	provider, or the power generation company in this state.
	60	+	includes tangible and intangible property owned, operated, leased,
	61	+	licensed, used, controlled, or supplied for, by, or in connection
	62	+	with the business of the electric, natural gas, or water utility,
	63	+	the broadband provider, or the power generation company in this
	64	+	state.
94	65		(8) "Fund" means the state utilities reliability fund.
95	66		(9) "Historically underutilized business" has the
96	67		meaning assigned by Section 2161.001, Government Code.
97	68		(10) "Natural gas utility" means a person who owns or
98		-	operates for compensation in this state facilities to ~~transmit or~~
99		-	distribute combustible hydrocarbon natural gas or ~~synthetic~~
100		-	natural gas for sale or resale in a manner not subject to ~~the~~
101		-	jurisdiction of the Federal Energy Regulatory Commission under ~~the~~
102		-	Natural Gas Act (15 U.S.C. Section 717 et seq.).
	69	+	operates for compensation in this state equipment or facilities to
	70	+	transmit or distribute combustible hydrocarbon natural gas or
	71	+	synthetic natural gas for sale or resale in a manner not subject to
	72	+	the jurisdiction of the Federal Energy Regulatory Commission under
	73	+	the Natural Gas Act (15 U.S.C. Section 717 et seq.).
103	74		(11) "Power generation company" has the meaning
104	75		assigned by Section 31.002.
105	76		(12) "Railroad commission" means the Railroad
106	77		Commission of Texas.
107	78		(13) "Revenue fund" means the state utilities
108	79		reliability revenue fund.
109		-	(14) "State Energy Conservation Office" means a unit
110		-	of the comptroller of public accounts.
111		-	(15) "Trust company" means the Texas Treasury
	80	+	(14) "Trust company" means the Texas Treasury
112	81		Safekeeping Trust Company.
113		-	(16) "Water utility" means a person operating,
	82	+	(15) "Water utility" means a person operating,
114	83		maintaining, or controlling in this state facilities for providing
115	84		potable water service or wastewater service, or both, for
116	85		compensation.
117	86		CHAPTER 202. STATE UTILITIES RELIABILITY FUND
118	87		Sec. 202.001. FUND. (a) The state utilities reliability
119	88		fund is a special fund in the state treasury outside the general
120	89		revenue fund to be used by the board as authorized by this chapter
121	90		without further legislative appropriation. The board may establish
122	91		separate accounts in the fund and may transfer funds between
123	92		accounts. The board may invest, reinvest, and direct the
124	93		investment of money in the fund. The fund and the fund's accounts
125		-	may be kept and held by the trust company ~~for and in the name of the~~
126		-	board. The board has legal ~~title to money and investments in the~~
127		-	fund until money is disbursed ~~from the fund as provided by this~~
128		-	chapter and board rules.
	94	+	may be kept and held by the trust company or other trustee selected
	95	+	by the board for and in the name of the board. The board has legal
	96	+	title to money and investments in the fund until money is disbursed
	97	+	from the fund as provided by this chapter and board rules.
129	98		(b) Money deposited to the credit of the fund may be used
130	99		only as provided by Section 202.003.
131	100		(c) The fund consists of:
132	101		(1) money appropriated to the fund;
133	102		(2) money transferred or deposited to the credit of
134	103		the fund by law, including money from any source transferred or
135	104		deposited to the credit of the fund at the board's discretion as
136	105		authorized by law;
137	106		(3) the proceeds of any fee or tax imposed by this
138	107		state that by statute is dedicated for deposit to the credit of the
139	108		fund;
140	109		(4) any other revenue that the legislature by statute
141	110		dedicates for deposit to the credit of the fund;
142	111		(5) investment earnings and interest earned on amounts
143		-	credited to the fund;
144		-	(6) repayments of loans made from the fund; and
145		-	(7) money transferred to the fund from another fund or
	112	+	credited to the fund; and
	113	+	(6) money transferred to the fund from another fund or
146	114		account to which money from the fund was transferred.
147	115		Sec. 202.002. MANAGEMENT AND INVESTMENT OF FUND. (a) The
148		-	board or the trust company may hold and invest the fund, and any
149		-	accounts established in the fund, for and in the name of the board,
150		-	taking into account the purposes for which money in the fund may be
151		-	used. The fund may be invested with the state treasury pool.
	116	+	board, trust company, or other trustee selected by the board may
	117	+	hold and invest the fund, and any accounts established in the fund,
	118	+	for and in the name of the board, taking into account the purposes
	119	+	for which money in the fund may be used. The fund may be invested
	120	+	with the state treasury pool.
152	121		(b) The overall objectives for the investment of the fund
153	122		are, in order of precedence:
154	123		(1) preservation and safety of the fund principal;
155	124		(2) liquidity; and
156	125		(3) investment yield.
157		-	(c) The board or the trust company, as directed by the
158		-	board, has any power necessary to accomplish the purposes of
159		-	managing and investing the assets of the fund. In managing the
160		-	assets of the fund, through procedures and subject to restrictions
161		-	the board or the trust company considers appropriate, the board or
162		-	the trust company may acquire, exchange, sell, supervise, manage,
163		-	or retain any kind of investment that a prudent investor,
164		-	exercising reasonable care, skill, and caution, would acquire or
165		-	retain in light of the purposes, terms, distribution requirements,
166		-	and other circumstances of the fund then prevailing, taking into
167		-	consideration the investment of all the assets of the fund rather
168		-	than a single investment.
169		-	(d) If the fund is managed by the trust company, the trust
170		-	company may charge fees to cover its costs incurred in managing and
171		-	investing the fund. The fees must be consistent with the fees the
172		-	trust company charges other state and local governmental entities
173		-	for which the trust company provides investment management
174		-	services. The trust company may recover fees the trust company
175		-	charges under this subsection only from the earnings of the fund.
176		-	(e) If the fund is managed by the trust company, the trust
177		-	company annually shall provide a report to the board and to the
178		-	advisory committee with respect to the investment of the fund. The
179		-	trust company shall contract with a certified public accountant to
180		-	conduct an independent audit of the fund annually and shall present
181		-	the results of each annual audit to the board and to the advisory
	126	+	(c) The board or a trustee, as directed by the board, has any
	127	+	power necessary to accomplish the purposes of managing and
	128	+	investing the assets of the fund. In managing the assets of the
	129	+	fund, through procedures and subject to restrictions the board or
	130	+	trustee considers appropriate, the board or trustee may acquire,
	131	+	exchange, sell, supervise, manage, or retain any kind of investment
	132	+	that a prudent investor, exercising reasonable care, skill, and
	133	+	caution, would acquire or retain in light of the purposes, terms,
	134	+	distribution requirements, and other circumstances of the fund then
	135	+	prevailing, taking into consideration the investment of all the
	136	+	assets of the fund rather than a single investment.
	137	+	(d) The board or a trustee may charge fees to cover its costs
	138	+	incurred in managing and investing the fund. The fees must be
	139	+	consistent with the fees the board or trustee charges other state
	140	+	and local governmental entities for which the board or trustee
	141	+	provides investment management services. The board or trustee may
	142	+	recover fees the board or trustee charges under this subsection
	143	+	only from the earnings of the fund.
	144	+	(e) If the fund is managed by a trustee, the trustee
	145	+	annually shall provide a report to the board and to the advisory
	146	+	committee with respect to the investment of the fund. The trustee
	147	+	shall contract with a certified public accountant to conduct an
	148	+	independent audit of the fund annually and shall present the
	149	+	results of each annual audit to the board and to the advisory
182	150		committee. This subsection does not affect the state auditor's
183	151		authority to conduct an audit of the fund under Chapter 321,
184	152		Government Code.
185		-	(f) The board or trust company shall adopt a written
186		-	investment policy that is appropriate for the fund. If the fund is
187		-	managed by the trust company:
188		-	(1) the trust company shall present the investment
189		-	policy to the board and the investment advisory board established
190		-	under Section 404.028, Government Code; and
191		-	(2) the board and investment advisory board shall
192		-	submit to the trust company recommendations regarding the policy.
193		-	(g) If the fund is managed by the trust company, the board
194		-	annually shall provide to the trust company a forecast of the cash
195		-	flows into and out of the fund. The board shall provide updates to
196		-	the forecasts as appropriate to assist the trust company in
197		-	achieving the objectives specified by Subsection (b).
198		-	(h) If the fund is managed by the trust company, the company
199		-	shall disburse money from the fund as directed by the board. The
200		-	board shall direct disbursements from the fund on a schedule
201		-	specified by the board. If any applicable revenue bonds are
202		-	outstanding, the board shall direct disbursements from the fund not
203		-	more frequently than twice in any state fiscal year.
	153	+	(f) The board or trustee shall adopt a written investment
	154	+	policy that is appropriate for the fund. The board or trustee shall
	155	+	present the investment policy to the investment advisory board
	156	+	established under Section 404.028, Government Code. The investment
	157	+	advisory board shall submit to the board or trustee recommendations
	158	+	regarding the policy.
	159	+	(g) If the fund is managed by a trustee, the board annually
	160	+	shall provide to the trustee a forecast of the cash flows into and
	161	+	out of the fund. The board shall provide updates to the forecasts
	162	+	as appropriate to assist the trustee in achieving the objectives
	163	+	specified by Subsection (b).
	164	+	(h) If the fund is managed by a trustee, the trustee shall
	165	+	disburse money from the fund as directed by the board.
204	166		(i) An investment-related contract entered into under this
205	167		section is not subject to Chapter 2260, Government Code.
206	168		Sec. 202.003. USE OF FUND; PAYMENTS TO AND FROM OTHER FUNDS
207		-	OR ACCOUNTS. (a) The board or ~~the trust company~~ at the direction of
208		-	~~the~~ board shall make disbursements from the fund to the revenue fund
209		-	in the amounts the board determines are needed for disbursement
	169	+	OR ACCOUNTS. (a) The board or a trustee at the direction of the
	170	+	board shall make disbursements from the fund to the revenue fund in
	171	+	the amounts the board determines are needed for disbursement
210	172		through the financing structures developed to meet the goals of the
211	173		fund, including transfer of those amounts to other board programs
212	174		or funds as necessary, or for debt service payments on or security
213	175		provisions of the board's revenue bonds, after considering all
214	176		other sources available for those purposes.
215	177		(b) The fund may be used only to:
216	178		(1) enhance the reliability and resiliency of water,
217	179		electric, and natural gas utilities, broadband providers, and power
218	180		generation companies for this state by supporting projects,
219		-	including projects to weatherize facilities and reduce demand, in
220		-	order to provide resilience and continuous service during periods
221		-	of high demand;
	181	+	including projects to weatherize facilities, in order to provide
	182	+	resilience and continuous service during periods of high demand;
222	183		(2) pay the necessary and reasonable expenses of the
223	184		board in administering the fund; and
224	185		(3) transfer funds to other board programs or funds.
225	186		(c) Notwithstanding any other provision of this chapter,
226	187		the use of the fund may be prioritized based on a statewide utility
227	188		reliability and resiliency plan adopted under Section 202.010.
228	189		(d) The board may provide financial assistance from the fund
229	190		for:
230	191		(1) a water utility project;
231	192		(2) an electric utility project;
232		-	(3) a natural gas utility project;
233		-	(4) a power generation company project;
234		-	(5) a water utility, electric utility, or natural gas
235		-	utility project to reduce demand; or
236		-	(6) a broadband provider to provide matching funds to
	193	+	(3) a natural gas utility project; or
	194	+	(4) a broadband provider to provide matching funds to
237	195		enable the broadband provider to participate in a federal program
238	196		for broadband facilities.
239	197		(e) Financial assistance under Subsection (d) may be
240		-	provided in any form as determined by the board, including a market
241		-	rate, low-interest, or no-interest loan, a loan guarantee, an
242		-	equity ownership in a public or private entity, a joint venture with
243		-	a public or private entity, a grant, an interest rebate, or an
244		-	interest subsidy.
	198	+	provided in any form as determined by the board, including a loan, a
	199	+	loan guarantee, an equity ownership in a public or private entity, a
	200	+	joint venture with a public or private entity, a grant, an interest
	201	+	rebate, or an interest subsidy.
245	202		(f) In providing financial assistance under Subsection (d),
246	203		the board may make, enter into, and enforce contracts, agreements,
247	204		including management agreements, for the management of any of the
248	205		board's property, leases, indentures, mortgages, deeds of trust,
249	206		security agreements, pledge agreements, credit agreements,
250	207		overrides or other revenue sharing mechanisms, repurchase
251	208		agreements, and other instruments with any person, including any
252	209		lender and any federal, state, or local governmental agency, and to
253	210		take other actions as may accomplish any of its purposes.
254		-	(g) The board may contract with and provide for the
255		-	compensation of consultants and agents, including engineers,
256		-	attorneys, management consultants, financial advisors, indexing
257		-	agents, and other experts, as the business of the board under this
258		-	chapter may require.
259		-	(h) The fund may not be used to subsidize or finance the
260		-	construction of facilities that the board determines, in the
261		-	board's sole discretion, will result in new electric generation
262		-	capacity.
263		-	(i) Money in the fund may not be used for the purposes of
	211	+	(g) The fund may not be used to subsidize or finance the
	212	+	construction of electric generation facilities.
	213	+	(h) Money in the fund may not be used for the purposes of
264	214		certification under Section 403.121, Government Code.
265	215		Sec. 202.004. PRIORITIZATION OF PROJECTS BY BOARD. (a) The
266	216		board, for the purpose of providing financial assistance under this
267	217		chapter, shall prioritize projects that enhance the reliability and
268	218		resiliency of water, electric, and natural gas utilities, broadband
269	219		providers, and power generation companies in this state.
270	220		(b) The board shall establish a point system for
271	221		prioritizing projects for which financial assistance is sought from
272	222		the board. The system must include a standard for the board to
273	223		apply in determining whether a project qualifies for financial
274	224		assistance at the time the application for financial assistance is
275	225		filed with the board.
276	226		(c) The board shall give the highest consideration in
277	227		awarding points to projects that will have a substantial effect,
278	228		including projects that will:
279	229		(1) harden facilities to protect against extreme
280	230		weather and fuel supply disruptions;
281	231		(2) enhance resiliency of existing facilities during
282		-	periods of high demand;
	232	+	periods of high demand; and
283	233		(3) enhance the availability of fuel or water to
284		-	existing power generation companies and electric utilities to
285		-	improve the reliability of those companies and utilities to provide
286		-	continuous and adequate electric service during periods of high
287		-	demand;
288		-	(4) improve local resiliency by reducing demand
289		-	through energy efficiency measures, advanced metering
290		-	infrastructure deployment, and demand response technology
291		-	deployment; and
292		-	(5) provide broadband service in low-income and rural
293		-	communities.
	234	+	existing power generation resources to improve the reliability of
	235	+	those resources to provide continuous and adequate electric service
	236	+	during periods of high demand.
294	237		(d) In addition to the criteria provided by Subsection (c),
295	238		the board may also consider the following criteria in prioritizing
296	239		projects:
297	240		(1) other funding sources secured by the applicant for
298	241		the project, including any capital to be provided by the applicant;
299	242		(2) the financial capacity of the applicant to repay
300	243		the financial assistance provided; and
301	244		(3) the ability of the applicant to timely leverage
302	245		state financing with local, federal, or private funding.
303		-	(e) The board ~~shall~~ consider federal tax subsidies in
	246	+	(e) The board may not consider federal tax subsidies in
304	247		prioritizing projects.
305	248		Sec. 202.005. ADVISORY COMMITTEE. (a) The State Utilities
306	249		Reliability Fund Advisory Committee is composed of the following
307		-	members:
	250	+	seven members:
308	251		(1) the comptroller, or a person designated by the
309	252		comptroller;
310	253		(2) three members of the senate appointed by the
311	254		lieutenant governor, including:
312	255		(A) a member of the committee of the senate
313	256		having primary jurisdiction over matters relating to finance; and
314	257		(B) a member of the committee of the senate
315		-	having primary jurisdiction over natural resources;
	258	+	having primary jurisdiction over natural resources; and
316	259		(3) three members of the house of representatives
317	260		appointed by the speaker of the house of representatives,
318	261		including:
319	262		(A) a member of the committee of the house of
320	263		representatives having primary jurisdiction over appropriations;
321	264		and
322	265		(B) a member of the committee of the house of
323	266		representatives having primary jurisdiction over natural
324		-	resources;
325		-	(4) the chief executive of the Office of Public
326		-	Utility Counsel, or a person designated by the chief executive of
327		-	the Office of Public Utility Counsel;
328		-	(5) the presiding officer of the commission, or a
329		-	person designated by the presiding officer of the commission;
330		-	(6) the chair of the Texas Reliability Entity board of
331		-	directors, or a person designated by a public vote of the Texas
332		-	Reliability Entity; and
333		-	(7) an unaffiliated board member of the Electric
334		-	Reliability Council of Texas, appointed in a public meeting of the
335		-	Electric Reliability Council of Texas.
	267	+	resources.
336	268		(b) The board shall provide staff as necessary to assist the
337	269		advisory committee.
338	270		(c) An appointed member of the advisory committee serves at
339	271		the will of the officer who appointed the member.
340	272		(d) The lieutenant governor shall appoint a co-presiding
341	273		officer of the advisory committee from among the members appointed
342	274		by the lieutenant governor, and the speaker of the house of
343	275		representatives shall appoint a co-presiding officer of the
344	276		committee from among the members appointed by the speaker.
345		-	(e) The advisory committee shall hold public hearings,
346		-	formal meetings, or work sessions in a location with audio and video
347		-	capacity. The board shall broadcast over the Internet live video
348		-	and audio of each public hearing, formal meeting, or work session of
349		-	the advisory committee and provide access to each broadcast on the
350		-	board's Internet website. Either co-presiding officer of the
	277	+	(e) The advisory committee may hold public hearings, formal
	278	+	meetings, or work sessions. Either co-presiding officer of the
351	279		advisory committee may call a public hearing, formal meeting, or
352		-	work session of the advisory committee after issuing a public
353		-	notice not later than the seventh day before the date of the public
354		-	hearing, formal meeting, or work session. The public notice must
355		-	include an agenda with formal actions included. The advisory
	280	+	work session of the advisory committee at any time. The advisory
356	281		committee may not take formal action at a public hearing, formal
357	282		meeting, or work session unless a quorum of the committee is
358		-	present. The board shall provide access on the board's Internet
359		-	website to the public notices, recordings of the live broadcasts,
360		-	and minutes of public hearings, formal meetings, and work sessions.
	283	+	present.
361	284		(f) Except as otherwise provided by this subsection, a
362	285		member of the advisory committee is not entitled to receive
363	286		compensation for service on the committee or reimbursement for
364	287		expenses incurred in the performance of official duties as a member
365	288		of the committee. Service on the advisory committee by a member of
366	289		the senate or house of representatives is considered legislative
367	290		service for which the member is entitled to reimbursement and other
368	291		benefits in the same manner and to the same extent as for other
369	292		legislative service.
370	293		(g) The advisory committee shall submit comments and
371	294		recommendations to the board regarding the use of money in the fund
372	295		and in the revenue fund for use by the board in adopting rules under
373	296		Section 202.006 and in adopting policies and procedures under
374	297		Section 202.008. The submission must include:
375	298		(1) comments and recommendations on rulemaking
376	299		related to the prioritization of projects in accordance with
377	300		Section 202.004;
378	301		(2) comments and recommendations on rulemaking
379	302		related to establishing standards for determining whether projects
380	303		meet the criteria provided by Section 202.003;
381	304		(3) an evaluation of the available programs for
382	305		providing financing for projects authorized by this chapter and
383	306		guidelines for implementing those programs;
384	307		(4) an evaluation of the lending practices of the
385	308		board and guidelines for lending standards;
386	309		(5) an evaluation of the use of funds by the board to
387	310		provide support for financial assistance for projects that enhance
388	311		the reliability and resiliency of water, electric, and natural gas
389	312		utilities, broadband providers, and power generation companies for
390	313		this state, including support for the purposes described by Section
391	314		202.003(b);
392		-	(6) an evaluation of methods for encouraging
	315	+	(6) an evaluation of whether premium financing
	316	+	programs should be established within the fund to serve the
	317	+	purposes of this chapter, especially in connection with projects
	318	+	described by Section 202.003(b);
	319	+	(7) an evaluation of methods for encouraging
393	320		participation in the programs established under this chapter by
394	321		companies domiciled in this state or that employ a significant
395	322		number of residents of this state; and
396		-	(7) an evaluation of the overall operation, function,
	323	+	(8) an evaluation of the overall operation, function,
397	324		and structure of the fund.
398	325		(h) The advisory committee shall review the overall
399	326		operation, function, and structure of the fund at least
400	327		semiannually and may provide comments and recommendations to the
401	328		board on any matter.
402	329		(i) The advisory committee may adopt rules, procedures, and
403	330		policies as needed to administer this section and implement its
404	331		responsibilities.
405	332		(j) Chapter 2110, Government Code, does not apply to the
406	333		size, composition, or duration of the advisory committee.
407	334		(k) The advisory committee is subject to Chapter 325,
408	335		Government Code (Texas Sunset Act). Unless continued in existence
409	336		as provided by that chapter, the advisory committee is abolished
410	337		and this section expires September 1, 2035.
411	338		(l) The advisory committee shall make recommendations to
412	339		the board regarding information to be posted on the board's
413	340		Internet website under Section 202.007(b).
414	341		(m) The advisory committee shall evaluate and may provide
415	342		comments or recommendations on the feasibility of the state owning,
416		-	constructing, and operating water, electric, natural gas, ~~power~~
417		-	~~generation, or~~ broadband facilities related to the purposes
418		-	~~described by Section~~ 202.003(b).
	343	+	constructing, and operating water, electric, natural gas, or
	344	+	broadband facilities related to the purposes described by Section
	345	+	202.003(b).
419	346		(n) The executive administrator shall provide an annual
420	347		report to the advisory committee on:
421	348		(1) the board's compliance with statewide annual goals
422	349		relating to historically underutilized businesses; and
423	350		(2) the participation level of historically
424	351		underutilized businesses in projects that receive funding under
425	352		this chapter.
426	353		(o) If the aggregate level of participation by historically
427	354		underutilized businesses in projects that receive funding under
428	355		this chapter does not meet statewide annual goals adopted under
429	356		Chapter 2161, Government Code, the advisory committee shall make
430	357		recommendations to the board to improve the participation level.
431	358		Sec. 202.006. RULES. (a) The board shall adopt rules
432	359		providing for the use of money in the fund that are consistent with
433	360		this subchapter, including rules:
434	361		(1) establishing standards for determining whether
435		-	projects meet the criteria provided by Section 202.003;
436		-	(2) providing for public access to information on
437		-	financing assistance applications and providing for consideration
438		-	of public comment before financing decisions are made; and
439		-	(3) specifying the manner for prioritizing projects
	362	+	projects meet the criteria provided by Section 202.003; and
	363	+	(2) specifying the manner for prioritizing projects
440	364		for purposes of Section 202.004.
441	365		(b) The board shall give full consideration to the
442	366		recommendations of the advisory committee before adopting rules
443	367		under this chapter.
444	368		Sec. 202.007. REPORTING AND TRANSPARENCY REQUIREMENTS. (a)
445	369		Not later than December 1 of each even-numbered year, the board
446	370		shall provide a report to the governor, lieutenant governor,
447	371		speaker of the house of representatives, and members of the
448	372		legislature regarding the use of the fund.
449	373		(b) The board shall post the following information on the
450	374		board's Internet website regarding the use of the fund and
451	375		regularly update the information posted:
452	376		(1) the progress made in enhancing critical water,
453	377		electric, natural gas, and broadband infrastructure to withstand
454	378		periods of high demand; and
455	379		(2) a description of each project funded through the
456	380		fund, including the expected date of completion of the project.
457	381		Sec. 202.008. POLICIES AND PROCEDURES TO MITIGATE OR
458	382		MINIMIZE ADVERSE EFFECTS OF CERTAIN FEDERAL LAWS. The board shall
459	383		adopt, and may amend from time to time at the board's discretion,
460	384		policies and procedures for the purpose of mitigating or minimizing
461	385		the adverse effects, if any, of federal laws and regulations
462	386		relating to income taxes, arbitrage, rebates, and related matters
463	387		that may restrict the board's ability to freely invest all or part
464	388		of the fund or to receive and retain all the earnings from the fund.
465	389		Sec. 202.009. COOPERATION WITH OTHER STATE AGENCIES. (a)
466		-	The commission, railroad commission, ~~the~~ State ~~Energy Conservation~~
467		-	~~Office, and other state agencies shall~~ provide resources to the
468		-	~~board that~~ the board ~~determines are necessary to carry out the~~
469		-	~~board's duties and responsibilities under this chapter~~.
	390	+	The commission, railroad commission, and other state agencies shall
	391	+	provide resources to the board as necessary in carrying out this
	392	+	chapter, including entering into contracts between the board and
	393	+	other state agencies to provide staff or services.
470	394		(b) The board may require the commission to review and
471		-	recommend for approval electric utility~~, power generation company,~~
472		-	~~and broadband provider~~ projects for board assistance under this
473		-	~~chapter and inspect~~ electric utility~~, power generation company,~~ and
474		-	~~broadband provider projects after board financial~~ assistance.
	395	+	recommend for approval electric utility and broadband provider
	396	+	projects for board assistance under this chapter and inspect
	397	+	electric utility and broadband provider projects after board
	398	+	assistance.
475	399		(c) The board may require the railroad commission to review
476		-	and recommend for approval natural gas utility and power generation
477		-	projects for board assistance under this chapter and inspect
478		-	natural gas utility and power generation company projects after
479		-	board financial assistance.
	400	+	and recommend for approval natural gas utility projects for board
	401	+	assistance under this chapter and inspect natural gas utility
	402	+	projects after board assistance.
480	403		(d) The board may require any other state agency to provide
481	404		services to the board to ensure the goals of the fund and this
482	405		chapter are met.
483	406		Sec. 202.010. RELIABILITY AND RESILIENCY STUDY AND PLAN.
484	407		(a) The board may, at any time, develop and conduct a study of the
485	408		needs, causes, and methods to address reliability and resiliency of
486	409		the industries affected by this chapter and may develop a statewide
487	410		reliability and resiliency plan.
488	411		(b) The board may, at any time, use money from the fund to
489	412		contract and engage outside entities to develop a study or plan
490	413		considered necessary by the board.
491	414		Sec. 202.011. CHANGES TO INDUSTRY STRUCTURE NOT IN CONFLICT
492	415		WITH CHAPTER. Any reconstruction or changes to the regulatory
493	416		market structures of the industries identified in this chapter are
494	417		not in conflict with the purpose of this chapter.
495	418		Sec. 202.012. PUBLIC PRIVATE PARTNERSHIPS. Money from the
496	419		fund may be used to make payments under a public and private entity
497	420		agreement to design, develop, finance, or construct a project
498	421		described by this chapter.
499		-	Sec. 202.013. METHODOLOGY AND STANDARDS FOR POWER
500		-	GENERATION FACILITY WEATHERIZATION. (a) The commission shall
501		-	develop a statistical methodology to determine the ambient
502		-	conditions to which each power generation facility must be
503		-	weatherized to comply with winter operations reliability
504		-	standards.
505		-	(b) A methodology or standard developed under Subsection
506		-	(a) may be used only to determine whether to provide financial
507		-	assistance or support to a project to weatherize a power generation
508		-	facility under this subtitle.
509	422		CHAPTER 203. STATE UTILITIES RELIABILITY REVENUE FUND
510	423		Sec. 203.001. REVENUE FUND. (a) The state utilities
511	424		reliability revenue fund is a special fund in the state treasury
512	425		outside the general revenue fund to be used by the board as
513	426		authorized by this chapter without further legislative
514	427		appropriation. The board may establish separate accounts in the
515	428		revenue fund and may transfer money between accounts. The board has
516	429		legal title to money and investments in the revenue fund until the
517	430		money is disbursed as provided by this chapter and board rules.
518	431		(b) Money deposited to the credit of the revenue fund may be
519	432		used only as provided by Section 203.003.
520	433		(c) The revenue fund consists of:
521	434		(1) money appropriated to the revenue fund;
522	435		(2) money transferred or deposited to the credit of
523	436		the revenue fund by law, including money from any source
524	437		transferred or deposited to the credit of the revenue fund at the
525	438		board's discretion as authorized by law;
526	439		(3) the proceeds of any fee or tax imposed by this
527	440		state that by statute is dedicated for deposit to the credit of the
528	441		revenue fund;
529	442		(4) any other revenue that the legislature by statute
530	443		dedicates for deposit to the credit of the revenue fund;
531	444		(5) investment earnings and interest earned on amounts
532	445		credited to the revenue fund;
533	446		(6) the proceeds from the sale of revenue bonds issued
534	447		by the board under this chapter that are designated by the board for
535	448		the purpose of providing money for the revenue fund;
536	449		(7) repayments of loans made from the revenue fund;
537	450		and
538	451		(8) money disbursed to the revenue fund from the state
539	452		utilities reliability fund as authorized by Section 202.003.
540	453		Sec. 203.002. MANAGEMENT AND INVESTMENT OF REVENUE FUND.
541	454		(a) Money deposited to the credit of the revenue fund shall be
542	455		invested as determined by the board. The revenue fund may be
543	456		invested with the state treasury pool.
544	457		(b) The revenue fund and any accounts established in the
545	458		revenue fund shall be kept and maintained by or at the direction of
546	459		the board.
547	460		(c) At the direction of the board, the revenue fund and any
548	461		accounts established in the revenue fund may be managed by the
549		-	~~board, the~~ comptroller, or a corporate trustee that is a trust
550		-	~~company or a bank~~ that has the powers of a trust company for and on
551		-	~~behalf of the board~~ and, pending use of the revenue fund and
552		-	~~accounts for the purposes~~ provided by this chapter, may be invested
553		-	~~as provided by an order,~~ resolution, or rule of the board.
554		-	(d) The ~~board,~~ comptroller, or corporate trustee shall
555		-	~~manage the~~ revenue fund in strict accordance with this chapter and
556		-	~~the orders,~~ resolutions, and rules of the board.
	462	+	comptroller or a corporate trustee that is a trust company or a bank
	463	+	that has the powers of a trust company for and on behalf of the board
	464	+	and, pending use of the revenue fund and accounts for the purposes
	465	+	provided by this chapter, may be invested as provided by an order,
	466	+	resolution, or rule of the board.
	467	+	(d) The comptroller or corporate trustee shall manage the
	468	+	revenue fund in strict accordance with this chapter and the orders,
	469	+	resolutions, and rules of the board.
557	470		Sec. 203.003. USE OF REVENUE FUND. (a) Money in the
558	471		revenue fund may be used by the board only to provide financial
559	472		assistance under terms specified by the board for projects that
560	473		enhance the reliability and resiliency of water, electric, natural
561		-	gas, broadband, and power generation ~~facilities~~ in this state,
	474	+	gas, broadband, and power generation infrastructure in this state,
562	475		including:
563		-	(1) projects that enhance the ability of facilities to
564		-	withstand periods of high demand;
565		-	(2) projects that reduce demand during periods of high
566		-	demand; and
567		-	(3) projects to weatherize facilities.
	476	+	(1) projects that enhance the ability of
	477	+	infrastructure to withstand periods of high demand; and
	478	+	(2) projects to weatherize infrastructure.
568	479		(b) Financial assistance for projects under Subsection (a)
569	480		may be provided in any form determined by the board that meets the
570		-	needs and goals of this state and the applicants, including a market
571		-	rate, low-interest, or no-interest loan, loan guarantee, equity
572		-	ownership in a public or private entity, a joint venture with a
573		-	public or private entity, a grant, an interest rebate, or an
574		-	interest subsidy.
	481	+	needs and goals of this state and the applicants, including a loan,
	482	+	loan guarantee, equity ownership in a public or private entity, a
	483	+	joint venture with a public or private entity, a grant, an interest
	484	+	rebate, or a subsidy.
575	485		(c) In providing financial assistance under Subsection (a),
576	486		the board may:
577	487		(1) make, enter into, and enforce contracts and
578	488		agreements, including management agreements, for the management of
579	489		any of the board's property, leases, indentures, mortgages, deeds
580	490		of trust, security agreements, pledge agreements, credit
581	491		agreements, overrides or other revenue sharing mechanisms,
582	492		repurchase agreements, and other instruments with any person,
583	493		including any lender and any federal, state, or local governmental
584		-	agency;
585		-	(2) contract with and provide for the compensation of
586		-	consultants and agents, including engineers, attorneys, management
587		-	consultants, financial advisors, indexing agents, and other
588		-	experts, as the business of the board may require; and
589		-	(3) take other actions to accomplish any of the board's
	494	+	agency; and
	495	+	(2) take other actions to accomplish any of the board's
590	496		purposes.
591	497		(d) The board may use money in the revenue fund:
592	498		(1) as a source of revenue or security for the payment
593	499		of the principal of and interest on revenue bonds issued by the
594		-	board under this chapter;
	500	+	board under this chapter; or
595	501		(2) to pay the necessary and reasonable expenses of
596	502		paying agents, bond counsel, and financial advisory services and
597	503		similar costs incurred by the board in administering the revenue
598		-	fund; or
599		-	(3) to transfer money to the fund as necessary.
	504	+	fund.
600	505		(e) The board, comptroller, or corporate trustee managing
601	506		the revenue fund at the direction of the board shall withdraw from
602	507		the revenue fund and pay to a person any amounts, as determined by
603	508		the board, for the timely payment of:
604	509		(1) the principal of and interest on bonds described
605	510		by Subsection (d)(1) that mature or become due; and
606	511		(2) any cost related to bonds described by Subsection
607	512		(d)(1) that become due, including payments under related credit
608	513		agreements.
609	514		(f) Money in the revenue fund may not be used for the purpose
610	515		of certification under Section 403.121, Government Code.
611	516		Sec. 203.004. ISSUANCE OF REVENUE BONDS. (a) The board may
612	517		issue revenue bonds for the purpose of providing money for the
613	518		revenue fund.
614	519		(b) The board may issue revenue bonds to refund revenue
615	520		bonds or bonds and obligations issued or incurred in accordance
616	521		with other provisions of law.
617	522		(c) Revenue bonds issued under this chapter are special
618	523		obligations of the board payable only from and secured by
619	524		designated income and receipts of the revenue fund, or of one or
620	525		more accounts in the revenue fund, including principal of and
621	526		interest paid and to be paid on revenue fund assets or income from
622	527		accounts created within the revenue fund by the board, as
623	528		determined by the board.
624	529		(d) Revenue bonds issued under this chapter do not
625	530		constitute indebtedness of the state as prohibited by the
626	531		constitution.
627	532		(e) The board may require revenue fund participants to make
628	533		charges, levy taxes, or otherwise provide for sufficient money to
629	534		pay acquired obligations.
630	535		(f) Revenue bonds issued under this chapter must be
631	536		authorized by resolution of the board and must have the form and
632	537		characteristics and bear the designations as the resolution
633	538		provides.
634	539		(g) Revenue bonds issued under this chapter may:
635	540		(1) bear interest at the rate or rates payable
636	541		annually or otherwise;
637	542		(2) be dated;
638	543		(3) mature at the time or times, serially, as term
639	544		revenue bonds, or otherwise in not more than 50 years from their
640	545		dates;
641	546		(4) be callable before stated maturity on the terms
642	547		and at the prices, be in the denominations, be in the form, either
643	548		coupon or registered, carry registration privileges as to principal
644	549		only or as to both principal and interest and as to successive
645	550		exchange of coupon for registered bonds or one denomination for
646	551		bonds of other denominations, and successive exchange of registered
647	552		revenue bonds for coupon revenue bonds, be executed in the manner,
648	553		and be payable at the place or places inside or outside the state,
649	554		as provided by the resolution;
650	555		(5) be issued in temporary or permanent form;
651	556		(6) be issued in one or more installments and from time
652	557		to time as required and sold at a price or prices and under terms
653	558		determined by the board to be the most advantageous reasonably
654	559		obtainable; and
655	560		(7) be issued on a parity with and be secured in the
656	561		manner as other revenue bonds authorized to be issued by this
657	562		chapter or may be issued without parity and secured differently
658	563		than other revenue bonds.
659	564		(h) Section 17.955, Water Code, applies to revenue bonds
660	565		issued under this chapter in the same manner as that section applies
661	566		to water financial assistance bonds.
662	567		(i) All proceedings relating to the issuance of revenue
663	568		bonds issued under this chapter shall be submitted to the attorney
664	569		general for examination. If the attorney general finds that the
665	570		revenue bonds have been authorized in accordance with law, the
666	571		attorney general shall approve the revenue bonds, and the revenue
667	572		bonds shall be registered by the comptroller. After the approval
668	573		and registration, the revenue bonds are incontestable in any court
669	574		or other forum for any reason and are valid and binding obligations
670	575		in accordance with their terms for all purposes.
671	576		(j) The proceeds received from the sale of revenue bonds
672	577		issued under this chapter may be deposited or invested in any manner
673	578		and in such investments as may be specified in the resolution or
674	579		other proceedings authorizing those obligations. Money in the
675	580		revenue fund or accounts created by this chapter or created in the
676	581		resolution or other proceedings authorizing the revenue bonds may
677	582		be invested in any manner and in any obligations as may be specified
678	583		in the resolution or other proceedings.
679	584		Sec. 203.005. CHAPTER CUMULATIVE OF OTHER LAWS. (a) This
680	585		chapter is cumulative of other laws on the subject, and the board
681	586		may use provisions of other applicable laws in the issuance of bonds
682	587		and other obligations, but this chapter is wholly sufficient
683	588		authority for the issuance of bonds and other obligations and the
684	589		performance of all other acts and procedures authorized by this
685	590		chapter.
686	591		(b) In addition to other authority granted by this chapter,
687	592		the board may exercise the authority granted to the governing body
688	593		of an issuer with regard to the issuance of obligations under
689	594		Chapter 1371, Government Code.
690		-	SECTION 4. Section 15.102(b), Water Code, is amended to
	595	+	SECTION 3. Section 15.102(b), Water Code, is amended to
691	596		read as follows:
692	597		(b) The loan fund may also be used by the board to provide:
693	598		(1) grants or loans for projects that include
694	599		supplying water and wastewater services in economically distressed
695	600		areas or nonborder colonias as provided by legislative
696	601		appropriations, this chapter, and board rules, including projects
697	602		involving retail distribution of those services; [and]
698	603		(2) grants for:
699	604		(A) projects for which federal grant funds are
700	605		placed in the loan fund;
701	606		(B) projects, on specific legislative
702	607		appropriation for those projects; or
703	608		(C) water conservation, desalination, brush
704	609		control, weather modification, regionalization, and projects
705	610		providing regional water quality enhancement services as defined by
706	611		board rule, including regional conveyance systems; and
707	612		(3) loans or grants to water utilities, as that term is
708	613		defined by Section 201.001, Utilities Code, for projects that
709	614		enhance the reliability and resiliency of those water utilities by
710		-	weatherizing facilities or reducing water demand through water
711		-	conservation and water demand reduction efforts.
	615	+	weatherizing facilities.
	616	+	SECTION 4. Section 15.978, Water Code, is amended by adding
	617	+	Subsection (c-1) to read as follows:
	618	+	(c-1) Notwithstanding other provisions of this chapter, the
	619	+	board may sell to the state utilities reliability fund any bonds or
	620	+	obligations purchased with money in the state utilities reliability
	621	+	revenue fund and may apply the proceeds of the sale in the manner
	622	+	provided by Chapter 203, Utilities Code.
712	623		SECTION 5. (a) The terms used in this section have the
713	624		meanings assigned by Section 201.001, Utilities Code, as added by
714	625		this Act.
715	626		(b) The executive administrator of the Texas Water
716	627		Development Board, in coordination with the Public Utility
717	628		Commission of Texas, the Texas Commission on Environmental Quality,
718		-	the Railroad Commission of Texas, the State Energy Conservation
719		-	Office, and the independent organization certified under Section
720		-	39.151, Utilities Code, for the ERCOT power region, shall conduct a
721		-	study regarding:
	629	+	the Railroad Commission of Texas, and the independent organization
	630	+	certified under Section 39.151, Utilities Code, for the ERCOT power
	631	+	region, shall conduct a study regarding:
722	632		(1) the need for financial assistance from the state
723	633		to weatherize:
724	634		(A) water utility facilities;
725	635		(B) electric utility facilities;
726		-	(C) natural gas utility facilities;
727		-	(D) power generation companies; and
728		-	(E) broadband provider facilities;
	636	+	(C) natural gas utility facilities; and
	637	+	(D) broadband provider facilities;
729	638		(2) the need for financial assistance from the state
730		-	to provide adequate capacity during periods of high demand for
731		-	electric utilities and ~~natural gas utilities, including by reducing~~
732		-	~~electric and~~ natural gas ~~demand~~; and
	639	+	to provide adequate capacity during periods of high demand for:
	640	+	(A) electric utilities; and
	641	+	(B) natural gas utilities; and
733	642		(3) the financing structures desirable to potential
734	643		applicants for the categories listed in Subdivisions (1) and (2) of
735	644		this subsection.
736	645		(c) The costs of the report, including any external
737	646		management or consulting services considered necessary, may be paid
738	647		from the state utilities reliability fund.
739	648		(d) The executive administrator shall submit the report to
740	649		the State Utilities Reliability Fund Advisory Committee not later
741		-	than ~~March 1~~, ~~2023~~.
	650	+	than December 31, 2022.
742	651		(e) This section expires September 1, 2023.
743	652		SECTION 6. As soon as practicable after the effective date
744	653		of this Act, the lieutenant governor and the speaker of the house of
745	654		representatives shall appoint the initial appointive members of the
746	655		State Utilities Reliability Fund Advisory Committee as provided by
747	656		Section 202.005, Utilities Code, as added by this Act.
748		-	SECTION 7. (a) Not later than ~~June~~ 1, ~~2023~~, the State
	657	+	SECTION 7. (a) Not later than September 1, 2022, the State
749	658		Utilities Reliability Fund Advisory Committee shall submit
750	659		recommendations to the Texas Water Development Board on the rules
751	660		to be adopted by the board under Section 202.006(a), Utilities
752	661		Code, as added by this Act.
753		-	(b) Not later than ~~December~~ 1, 2023, the board shall propose
	662	+	(b) Not later than March 1, 2023, the board shall propose
754	663		rules under Section 202.006, Utilities Code, as added by this Act.
755	664		SECTION 8. The Texas Water Development Board shall post the
756	665		information described by Section 202.007(b), Utilities Code, as
757	666		added by this Act, on the board's Internet website not later than
758	667		March 1, 2022.
759		-	SECTION 9. (a) Except as provided by Subsection (b) of this
760		-	section:
761		-	(1) this Act takes effect on the date on which the
	668	+	SECTION 9. This Act takes effect on the date on which the
762	669		constitutional amendment proposed by the 87th Legislature, Regular
763	670		Session, 2021, creating the state utilities reliability fund and
764	671		the state utilities reliability revenue fund to provide financial
765	672		support for projects that enhance the reliability and resiliency of
766	673		water, electric, and natural gas utilities, broadband providers,
767		-	and power generation companies in this state takes effect; or
768		-	(2) if the amendment described by Subdivision (1) of
769		-	this subsection is not approved by the voters, this Act has no
770		-	effect.
771		-	(b) Regardless of whether the constitutional amendment
772		-	described by Subsection (a) of this section is approved by the
773		-	voters, Section 5 of this Act takes effect:
774		-	(1) immediately, if this Act receives a vote of
775		-	two-thirds of all the members elected to each house, as provided by
776		-	Section 39, Article III, Texas Constitution; or
777		-	(2) September 1, 2021, if this Act does not receive the
778		-	vote necessary for immediate effect.
	674	+	and power generation resources in this state takes effect. If that
	675	+	amendment is not approved by the voters, this Act has no effect.