Texas 2023 - 88th Regular

Texas House Bill HB5029 Compare Versions

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1	1	88R14131 CJC-F
2	2	By: Bryant H.B. No. 5029
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to imposing a surcharge on certain electric generators and
8	8	gas producers.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subtitle E, Title 2, Tax Code, is amended by
11	11	adding Chapter 165 to read as follows:
12	12	CHAPTER 165. SURCHARGE ON ELECTRIC GENERATORS AND GAS PRODUCERS
13	13	SUBCHAPTER A. GENERAL PROVISIONS
14	14	Sec. 165.001. DEFINITIONS. In this chapter:
15	15	(1) "Affiliated power generation company," "electric
16	16	utility," and "exempt wholesale generator" have the meanings
17	17	assigned by Section 31.002, Utilities Code.
18	18	(2) "Electric cooperative" has the meaning assigned by
19	19	Section 11.003, Utilities Code.
20	20	(3) "Electric generator" includes:
21	21	(A) an affiliated power generation company;
22	22	(B) an electric utility or electric cooperative
23	23	that owns or operates for compensation in this state equipment or
24	24	facilities to generate electricity in this state;
25	25	(C) an exempt wholesale generator; and
26	26	(D) a power generation company.
27	27	(4) "Gas" has the meaning assigned by Section 201.001.
28	28	(5) "Gas producer" means a producer as defined by
29	29	Section 201.001.
30	30	(6) "Power generation company" has the meaning
31	31	assigned by Section 31.002, Utilities Code, except that the term
32	32	does not include a distributed natural gas generation facility, as
33	33	that term is defined by Section 31.002, Utilities Code.
34	34	Sec. 165.002. COMPTROLLER POWERS AND DUTIES. The
35	35	comptroller shall adopt rules and forms necessary to implement this
36	36	chapter.
37	37	SUBCHAPTER B. IMPOSITION AND COLLECTION OF SURCHARGE
38	38	Sec. 165.021. SURCHARGE IMPOSED ON ELECTRIC GENERATOR;
39	39	AMOUNT OF SURCHARGE. (a) A surcharge is imposed on each electric
40	40	generator in this state.
41	41	(b) The amount of the surcharge imposed by this chapter on
42	42	an electric generator each year is equal to the amount of the net
43	43	profit received by the electric generator during that year that is
44	44	directly attributable to electricity sold by the electric generator
45	45	at wholesale for the price of $9,000 per megawatt hour beyond the
46	46	first four hours of sale at that price.
47	47	(c) Notwithstanding Subsection (b), the amount of the
48	48	surcharge imposed by this chapter on an electric generator in 2024
49	49	is equal to the amount of the net profit received by the electric
50	50	generator during the preceding four-year period that is directly
51	51	attributable to electricity sold by the electric generator at
52	52	wholesale for the price of $9,000 per megawatt hour beyond the first
53	53	four hours of sale at that price. This subsection expires January
54	54	1, 2025.
55	55	Sec. 165.022. SURCHARGE IMPOSED ON GAS PRODUCER; AMOUNT OF
56	56	SURCHARGE. (a) A surcharge is imposed on each gas producer in this
57	57	state.
58	58	(b) The amount of the surcharge imposed by this chapter on a
59	59	gas producer each year is equal to the amount of the net profit
60	60	received by the gas producer during that year that is directly
61	61	attributable to gas sold by the gas producer at the wellhead at a
62	62	price in excess of $200 per thousand cubic feet.
63	63	(c) Notwithstanding Subsection (b), the amount of the
64	64	surcharge imposed by this chapter on a gas producer in 2024 is equal
65	65	to the amount of the net profit received by the gas producer during
66	66	the preceding four-year period that is directly attributable to gas
67	67	sold by the gas producer at the wellhead at a price in excess of $200
68	68	per thousand cubic feet. This subsection expires January 1, 2025.
69	69	Sec. 165.023. PAYMENT OF SURCHARGE. Not later than
70	70	February 25 of each year, each electric generator and gas producer
71	71	on whom a surcharge is imposed by this chapter shall send to the
72	72	comptroller the amount of surcharge due under this chapter for the
73	73	preceding year.
74	74	Sec. 165.024. REPORTS. (a) Not later than February 25 of
75	75	each year:
76	76	(1) each electric generator on whom a surcharge is
77	77	imposed by this chapter shall send to the comptroller a report
78	78	stating:
79	79	(A) the amount of the net profit received by the
80	80	electric generator during the preceding year that was directly
81	81	attributable to electricity sold by the electric generator at
82	82	wholesale at a price in excess of $9,000 per megawatt hour beyond
83	83	the first four hours of sale at that price during that year; and
84	84	(B) any other information required by the
85	85	comptroller; and
86	86	(2) each gas producer on whom a surcharge is imposed by
87	87	this chapter shall send to the comptroller a report stating:
88	88	(A) the amount of the net profit received by the
89	89	gas producer during the preceding year that is directly
90	90	attributable to gas sold by the gas producer at the wellhead at a
91	91	price in excess of $200 per thousand cubic feet during the preceding
92	92	year; and
93	93	(B) any other information required by the
94	94	comptroller.
95	95	(b) Notwithstanding Subsection (a), for the report due in
96	96	2024:
97	97	(1) an electric generator shall state in the report
98	98	the amount of the net profit received by the electric generator
99	99	during the preceding four-year period that is directly attributable
100	100	to electricity sold by the electric generator at wholesale for the
101	101	price of $9,000 per megawatt hour beyond the first four hours of
102	102	sale at that price; and
103	103	(2) a gas producer shall state in the report the amount
104	104	of the net profit received by the gas producer during the preceding
105	105	four-year period that is directly attributable to gas sold by the
106	106	gas producer at the wellhead at a price in excess of $200 per
107	107	thousand cubic feet.
108	108	(c) This subsection and Subsection (b) expire January 1,
109	109	2025.
110	110	Sec. 165.025. RECORDS. An electric generator or gas
111	111	producer on whom a surcharge is imposed under this chapter shall
112	112	keep a complete record of all information required to be reported to
113	113	the comptroller under Section 165.024.
114	114	SUBCHAPTER C. DEPOSIT AND USE OF SURCHARGE REVENUE
115	115	Sec. 165.041. DEPOSIT AND USE OF REVENUE. (a) The
116	116	comptroller shall deposit the revenue from the surcharge imposed
117	117	under this chapter to the credit of the general revenue fund.
118	118	(b) Money deposited to the credit of the general revenue
119	119	fund under Subsection (a) may be appropriated to the comptroller
120	120	only for the purpose of paying charges owed toward the payment of
121	121	bonds issued under:
122	122	(1) Subchapter J, Chapter 36, Utilities Code;
123	123	(2) Subchapters M and N, Chapter 39, Utilities Code;
124	124	(3) Subchapter D, Chapter 41, Utilities Code; and
125	125	(4) Subchapter I, Chapter 104, Utilities Code.
126	126	SUBCHAPTER D. EXPIRATION OF CHAPTER
127	127	Sec. 165.061. EXPIRATION. This chapter expires on the date
128	128	the comptroller certifies that the bonds described by Section
129	129	165.041(b) have been fully paid and publishes that certification in
130	130	the Texas Register.
131	131	SECTION 2. Chapter 165, Tax Code, as added by this Act,
132	132	applies beginning with the 2024 calendar year.
133	133	SECTION 3. This Act takes effect September 1, 2023.