Texas 2021 - 87th Regular

Texas Senate Bill SB566 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	87R24029 CXP-D
2	1		By: Buckingham S.B. No. 566
3		-	(Cain)
4		-	Substitute the following for S.B. No. 566: No.
5	2
6	3
7	4		A BILL TO BE ENTITLED
8	5		AN ACT
9	6		relating to electricity service provided by certain municipally
10	7		owned utilities.
11	8		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	9		SECTION 1. Chapter 32, Utilities Code, is amended by adding
13	10		Subchapter D to read as follows:
14	11		SUBCHAPTER D. REVIEW OF RATES OF CERTAIN MUNICIPAL UTILITIES
15	12		Sec. 32.151. APPLICABILITY. This subchapter applies only
16	13		to a municipally owned utility that provides service in the Capitol
17	14		complex, as defined by Section 443.0071, Government Code.
18	15		Sec. 32.152. REVIEW OF RATES; CUSTOMER CHOICE. (a)
19	16		Notwithstanding any other law, a retail customer or group of
20	17		customers may file a petition for commission review of current or
21	18		proposed rates of a municipally owned utility that apply to the
22	19		petitioning customer or group if the customer or group:
23	20		(1) has a non-demand metered total usage of more than
24	21		100,000 kilowatt hours per year; or
25	22		(2) is served through a demand meter at secondary or
26	23		primary voltage.
27	24		(b) The commission shall initiate a proceeding not later
28	25		than the 90th day after the petition is submitted to determine
29	26		whether the rates of the municipally owned utility are consistent
30	27		with the rates available to similarly situated customers in areas
31	28		of the state that have access to customer choice. If the commission
32	29		determines that the rates of the municipally owned utility are
33	30		consistent with the rates available to similarly situated customers
34	31		in areas of the state that have access to customer choice, the
35	32		commission shall deny the petition.
36	33		(c) If the commission does not deny the petition under
37	34		Subsection (b), not later than the 90th day after the date of the
38	35		determination described by Subsection (b), the municipally owned
39	36		utility shall file a rate application with the commission that
40	37		complies in all material respects with the rules and forms
41	38		prescribed by the commission. The commission for good cause may
42	39		extend the deadline for filing the rate application.
43	40		(d) The commission shall conduct a full review of the rates
44	41		applicable to the petitioning customer or group to determine
45	42		whether those rates are just and reasonable using the standards
46	43		prescribed by Chapter 36, notwithstanding the lack of consistency
47	44		between those rates and rates available to similarly situated
48	45		customers in areas of the state that have access to customer choice.
49	46		If the commission determines that the rates are just and
50	47		reasonable, the commission shall deny the petition. If the
51	48		commission determines that the rates are not just and reasonable,
52	49		the commission shall set rates for the petitioning customer or
53	50		group that are just, reasonable, and consistent with the rates
54	51		available to similarly situated customers in areas of the state
55	52		that have access to customer choice.
	53	+	Sec. 32.153. LIMITED DURATION. (a) Except as provided by
	54	+	Subsection (b), the commission may review the rates of a
	55	+	municipally owned utility under this subchapter only until
	56	+	September 1, 2026.
	57	+	(b) The commission may review the rates of a municipally
	58	+	owned utility under this subchapter after September 1, 2026, if:
	59	+	(1) the municipally owned utility did not initiate a
	60	+	base rate proceeding during the period beginning September 1, 2021,
	61	+	and ending September 1, 2026; and
	62	+	(2) the rates being reviewed are proposed for or were
	63	+	adopted in the first base rate proceeding initiated by the
	64	+	municipally owned utility after September 1, 2026.
56	65		SECTION 2. Section 40.004, Utilities Code, is amended to
57	66		read as follows:
58	67		Sec. 40.004. JURISDICTION OF COMMISSION. Except as
59	68		specifically otherwise provided in this chapter, the commission has
60	69		jurisdiction over municipally owned utilities only for the
61	70		following purposes:
62	71		(1) to regulate wholesale transmission rates and
63	72		service, including terms of access, to the extent provided by
64	73		Subchapter A, Chapter 35;
65	74		(2) to regulate certification of retail service areas
66	75		to the extent provided by Chapter 37;
67	76		(3) to regulate rates:
68	77		(A) under Subchapter D, Chapter 32, subject to
69	78		Section 40.051(c); and
70	79		(B) on appeal under Subchapters D and E, Chapter
71	80		33, subject to Section 40.051(c);
72	81		(4) to establish a code of conduct as provided by
73	82		Section 39.157(e) applicable to anticompetitive activities and to
74	83		affiliate activities limited to structurally unbundled affiliates
75	84		of municipally owned utilities, subject to Section 40.054;
76	85		(5) to establish terms and conditions for open access
77	86		to transmission and distribution facilities for municipally owned
78	87		utilities providing customer choice, as provided by Section 39.203;
79	88		(6) to administer the renewable energy credits program
80	89		under Section 39.904(b) and the natural gas energy credits program
81	90		under Section 39.9044(b);
82	91		(7) to require reports of municipally owned utility
83	92		operations only to the extent necessary to:
84	93		(A) enable the commission to determine the
85	94		aggregate load and energy requirements of the state and the
86	95		resources available to serve that load; or
87	96		(B) enable the commission to determine
88	97		information relating to market power as provided by Section 39.155;
89	98		and
90	99		(8) to evaluate and monitor the cybersecurity
91	100		preparedness of a municipally owned utility described by Section
92	101		39.1516(a)(3) or (4).
93	102		SECTION 3. Section 40.051(c), Utilities Code, is amended to
94	103		read as follows:
95	104		(c) After a decision to offer customer choice has been made,
96	105		Subchapter D, Chapter 32, and Subchapters D and E, Chapter 33, do
97	106		not apply to any action taken under this chapter.
98	107		SECTION 4. This Act takes effect September 1, 2021.