Texas 2023 88th Regular

Texas House Bill HB3943 Introduced / Bill

Filed 03/07/2023

                    88R13369 DIO-D
 By: Goodwin H.B. No. 3943


 A BILL TO BE ENTITLED
 AN ACT
 relating to the auditing of an electric cooperative or municipally
 owned electric utility by an independent third party auditor after
 a power outage.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subchapter C, Chapter 38, Utilities Code, is
 amended by adding Section 38.053 to read as follows:
 Sec. 38.053.  ELECTRIC COOPERATIVE; AUDIT REQUIRED. (a) In
 this section, "extended power outage" means a power outage lasting
 five days or more.
 (b)  The resiliency of the system of an electric cooperative
 must be audited by an independent third party auditor if an extended
 power outage affects 10 percent or more of its retail customers.
 (c)  The board of directors of an electric cooperative shall
 contract with an independent third party auditor that meets the
 professional certifications established by the commission under
 Subsection (d) to perform the audit described by Subsection (b).
 (d)  The commission by rule shall establish the professional
 certifications an independent third party auditor must have to
 perform the audit described by Subsection (b) and the information
 the audit must examine.
 (e)  After an audit under this section is completed, the
 electric cooperative shall make the audit report publicly
 available.
 SECTION 2.  Subchapter Z, Chapter 552, Local Government
 Code, is amended by adding Section 552.9021 to read as follows:
 Sec. 552.9021.  MUNICIPALLY OWNED ELECTRIC UTILITY; AUDIT
 REQUIRED.  (a) In this section:
 (1)  "Extended power outage" means a power outage
 lasting five days or more.
 (2)  "Retail customer" has the meaning assigned by
 Section 31.002, Utilities Code.
 (b)  The resiliency of a municipally owned electric utility
 system must be audited by an independent third party auditor if an
 extended power outage affects 10 percent or more of its retail
 customers.
 (c)  The governing body of the municipality that owns the
 utility shall contract with an independent third party auditor to
 perform the audit described by Subsection (b).
 (d)  The independent third party auditor must have the
 professional certifications required under and perform the audit in
 the manner required under Section 38.053(d), Utilities Code.
 (e)  After an audit under this section is completed, the
 municipality that owns the utility shall make the audit report
 publicly available.
 SECTION 3.  This Act takes effect September 1, 2023.