87R12268 CXP-D
By: Miles S.B. No. 1624
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 Subsections (g) and (g-1) and adding Subsection (g-2) to
read as follows:
(g) To maintain certification as an independent
organization under this section, an organization's governing body
must be composed of persons specified by this section [and 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; and
(2) eight members appointed by the governor with the
advice and consent of the senate, with:
(A) six members representing various market
segments; and
(B) two members representing consumer interests
[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-1) The governor shall select a presiding officer of the
governing body from among its members [of the governing body must be
one of the members described by Subsection (g)(7)].
(g-2) Members of the governing body of an independent
organization certified under this section serve staggered terms of
four years, with four members' terms expiring February 1 of each
odd-numbered year. Not later than the 30th day after the date a
member of the governing body's term expires, the governor shall
appoint a replacement in the same manner as the original
appointment. If a vacancy occurs on the governing body, the
governor shall appoint a successor in the same manner as the
original appointment to serve for the remainder of the unexpired
term. The governor shall appoint the successor not later than the
30th day after the date the vacancy occurs.
SECTION 2. (a) Not later than December 1, 2021, the
governor shall comply with Section 39.151, Utilities Code, as
amended by this Act, by appointing members to the governing body of
an independent organization certified under Section 39.151,
Utilities Code, by the Public Utility Commission of Texas before
September 1, 2021. To establish staggered terms, the governor
shall designate four initial appointees to serve terms expiring
February 1, 2023, and four initial appointees to serve terms
expiring February 1, 2025.
(b) After September 1, 2022, the Public Utility Commission
of Texas may decertify an independent organization whose governing
body does not comply with Section 39.151, Utilities Code, as
amended by this Act.
SECTION 3. This Act takes effect September 1, 2021.