H.B. No. 837
AN ACT
relating to the procedure for amending or revoking certificates of
public convenience and necessity issued to certain retail public
utilities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 13.254(a-3), Water Code, is amended to
read as follows:
(a-3) Within 60 calendar days from the date the utility
commission determines the petition filed pursuant to Subsection
(a-1) to be administratively complete, the utility commission shall
grant the petition unless the utility commission makes an express
finding that the petitioner failed to satisfy the elements required
in Subsection (a-1) and supports its finding with separate findings
and conclusions for each element based solely on the information
provided by the petitioner and the certificate holder. The utility
commission may grant or deny a petition subject to terms and
conditions specifically related to the service request of the
petitioner and all relevant information submitted by the petitioner
and the certificate holder. In addition, the utility commission may
require an award of compensation as otherwise provided by this
section. If the utility commission requires an award of
compensation, the utility commission shall require the petitioner
to submit a report to the utility commission verifying for the
purposes of Subsection (d) that the compensation has been paid to
the decertified retail public utility.
SECTION 2. Section 13.2541(f), Water Code, is amended to
read as follows:
(f) The utility commission may require an award of
compensation by the petitioner to the certificate holder in the
manner provided by this section. If the utility commission requires
an award of compensation, the utility commission shall require the
petitioner to submit a report to the utility commission verifying
for the purposes of Subsection (j) that the compensation has been
paid to the certificate holder.
SECTION 3. Section 13.255, Water Code, is amended by
amending Subsection (c) and adding Subsections (c-1) and (c-2) to
read as follows:
(c) The utility commission shall grant single certification
to the municipality. The utility commission shall also determine
whether single certification as requested by the municipality would
result in property of a retail public utility being rendered
useless or valueless to the retail public utility, and shall
determine in its order the monetary amount that is adequate and just
to compensate the retail public utility for such property. If the
municipality in its application has requested the transfer of
specified property of the retail public utility to the municipality
or to a franchised utility, the utility commission shall also
determine in its order the adequate and just compensation to be paid
for such property pursuant to the provisions of this section,
including an award for damages to property remaining in the
ownership of the retail public utility after single certification.
The order of the utility commission shall not be effective to
transfer property. A transfer of property may only be obtained
under this section by a court judgment rendered pursuant to
Subsection (d) or (e). The grant of single certification by the
utility commission shall go into effect on the date the
municipality or franchised utility, as the case may be, pays
adequate and just compensation pursuant to court order, or pays an
amount into the registry of the court or to the retail public
utility under Subsection (f). If the court judgment provides that
the retail public utility is not entitled to any compensation, the
grant of single certification shall go into effect when the court
judgment becomes final.
(c-1) The utility commission by rule shall require the
municipality or franchised utility to submit a report to the
utility commission verifying that the municipality or franchised
utility has paid all required adequate and just compensation to the
retail public utility as provided by Subsection (c).
(c-2) The municipality or franchised utility must provide
to each customer of the retail public utility being acquired an
individual written notice within 60 days after the effective date
for the transfer specified in the court judgment. The notice must
clearly advise the customer of the identity of the new service
provider, the reason for the transfer, the rates to be charged by
the new service provider, and the effective date of those rates.
SECTION 4. This Act takes effect September 1, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 837 was passed by the House on April
16, 2021, by the following vote: Yeas 142, Nays 3, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 837 was passed by the Senate on May
19, 2021, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor