87R10667 CXP-D
By: Dominguez H.B. No. 2544
A BILL TO BE ENTITLED
AN ACT
relating to the governing body of the independent organization
certified to manage the ERCOT power region.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 39.151, Utilities Code, is amended by
amending Subsection (g) and adding Subsections (g-2) and (g-3) to
read as follows:
(g) To maintain certification as an independent
organization under this section, an organization's governing body,
other than the ex officio members listed in this subsection, must be
composed of persons specified by this section who represent the
various geographic regions of this state, who have expertise in the
field of power generation or transmission and distribution, and who
are selected in accordance with formal bylaws or protocols of the
organization. The bylaws or protocols must be approved by the
commission and must reflect the input of the commission. The bylaws
must specify the process by which appropriate stakeholders elect
members and, for unaffiliated members, prescribe professional
qualifications for selection as a member. The bylaws must require
the use of a professional search firm to identify candidates for
membership of unaffiliated members. The process must allow for
commission input in identifying candidates. The governing body
must be composed of:
(1) the chairman of the commission as an ex officio
nonvoting member;
(2) the counsellor as an ex officio voting member
representing residential and small commercial consumer interests;
(3) the chief executive officer of the independent
organization as an ex officio voting member;
(4) six market participants elected by their
respective market segments to serve one-year terms, with:
(A) one representing independent generators;
(B) one representing investor-owned utilities;
(C) one representing power marketers;
(D) one representing retail electric providers;
(E) one representing municipally owned
utilities; and
(F) one representing electric cooperatives;
(5) one member representing industrial consumer
interests and elected by the industrial consumer market segment to
serve a one-year term;
(6) one member representing large commercial consumer
interests selected in accordance with the bylaws to serve a
one-year term; and
(7) five members unaffiliated with any market segment
and selected by the other members of the governing body to serve
three-year terms.
(g-2) To qualify to serve as a member of the governing body
under Subsection (g)(4), (5), (6), or (7), a person must be a
resident of this state.
(g-3) To maintain certification as an independent
organization under this section, an organization's chief executive
officer must be a resident of this state.
SECTION 2. (a) An independent organization certified under
Section 39.151, Utilities Code, by the Public Utility Commission of
Texas before September 1, 2021, shall hold elections and select new
members as needed to modify the organization's governing body to
comply with Section 39.151, Utilities Code, as amended by this Act,
as soon as practicable, but not later than September 1, 2022.
(b) An independent organization certified under Section
39.151, Utilities Code, by the Public Utility Commission of Texas
before September 1, 2021, shall ensure that the chief executive
officer of the organization is a resident of this state as soon as
practicable, but not later than September 1, 2022.
(c) After September 1, 2022, the Public Utility Commission
of Texas may decertify an independent organization whose governing
body or chief executive officer does not comply with Section
39.151, Utilities Code, as amended by this Act.
SECTION 3. This Act takes effect September 1, 2021.