Texas 2025 - 89th Regular

Texas House Bill HB1359 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	89R19230 CS-D
2		-	By: Hernandez, Hunter, Thompson, Darby, H.B. No. 1359
3		-	Moody
4		-	Substitute the following for H.B. No. 1359:
5		-	By: Y. Davis of Dallas C.S.H.B. No. 1359
	1	+	89R1100 CS-D
	2	+	By: Hernandez H.B. No. 1359
	3	+
	4	+
6	5
7	6
8	7		A BILL TO BE ENTITLED
9	8		AN ACT
10	9		relating to a program to provide assistance for certain retail
11		-	electric customers.
	10	+	electric customers; authorizing a fee.
12	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	12		SECTION 1. Section 17.007, Utilities Code, is amended by
14	13		amending Subsection (a) and adding Subsection (e) to read as
15	14		follows:
16	15		(a) The Health and Human Services Commission, on request of
17	16		the commission, shall assist in:
18	17		(1) developing an automatic process for identifying
19		-	low-income customers to retail electric providers, electric
20		-	utilities that issue bills directly to customers, and certificated
	18	+	low-income customers to retail electric providers and certificated
21	19		telecommunications utilities to enable those providers and
22	20		utilities to offer customer service, discounts, bill payment
23	21		assistance, or other methods of assistance; and
24	22		(2) implementing Section 39.9035.
25	23		(e) Subsection (d) does not apply in a state fiscal biennium
26	24		in which money is available under Section 39.9035 for the process
27	25		established by this section.
28	26		SECTION 2. Section 39.002, Utilities Code, is amended to
29	27		read as follows:
30	28		Sec. 39.002. APPLICABILITY. This chapter, other than
31	29		Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,
32	30		39.163, 39.203, 39.9035, 39.9051, 39.9052, and 39.914(e), and
33	31		Subchapters M and N, does not apply to a municipally owned utility
34	32		or an electric cooperative. Sections 39.157(e), [and] 39.203, and
35	33		39.9035 apply only to a municipally owned utility or an electric
36	34		cooperative that is offering customer choice. If there is a
37	35		conflict between the specific provisions of this chapter and any
38	36		other provisions of this title, except for Chapters 40 and 41, the
39	37		provisions of this chapter control.
40		-	SECTION 3. Section 39.402(a), Utilities Code, is amended to
41		-	read as follows:
42		-	(a) Until the date on which an electric utility subject to
43		-	this subchapter is authorized by the commission to implement
44		-	customer choice, the rates of the utility shall be regulated under
45		-	traditional cost of service regulation and the utility is subject
46		-	to all applicable regulatory authority prescribed by this subtitle
47		-	and Subtitle A, including Chapters 14, 32, 33, 36, and 37. Until
48		-	the date on which an electric utility subject to this subchapter
49		-	implements customer choice, the provisions of this chapter, other
50		-	than this subchapter, Sections 39.1516, 39.9035, and 39.905, and
51		-	the provisions relating to the duty to obtain a permit from the
52		-	Texas Commission on Environmental Quality for an electric
53		-	generating facility and to reduce emissions from an electric
54		-	generating facility, shall not apply to that utility. That portion
55		-	of any commission order entered before September 1, 2001, to comply
56		-	with this subchapter shall be null and void.
57		-	SECTION 4. Section 39.452(d), Utilities Code, is amended to
58		-	read as follows:
59		-	(d) Until the date on which an electric utility subject to
60		-	this subchapter implements customer choice:
61		-	(1) the provisions of this chapter do not apply to that
62		-	electric utility, other than this subchapter, Sections 39.1516,
63		-	39.9035, and 39.905, the provisions relating to the duty to obtain a
64		-	permit from the Texas Commission on Environmental Quality for an
65		-	electric generating facility and to reduce emissions from an
66		-	electric generating facility, and the provisions of Subchapter G
67		-	that pertain to the recovery and securitization of hurricane
68		-	reconstruction costs authorized by Sections 39.458-39.463; and
69		-	(2) the electric utility is not subject to a rate
70		-	freeze and, subject to the limitation provided by Subsection (b),
71		-	may file for rate changes under Chapter 36 and for approval of one
72		-	or more of the rate rider mechanisms authorized by Sections 39.454
73		-	and 39.455.
74		-	SECTION 5. Section 39.502(b), Utilities Code, is amended to
75		-	read as follows:
76		-	(b) Until the date on which an electric utility subject to
77		-	this subchapter implements customer choice, the provisions of this
78		-	chapter, other than this subchapter and Sections 39.1516, 39.9035,
79		-	and 39.905, do not apply to that utility.
80		-	SECTION 6. Section 39.552(b), Utilities Code, is amended to
81		-	read as follows:
82		-	(b) Until the date on which an electric utility subject to
83		-	this subchapter implements customer choice, the provisions of this
84		-	chapter, other than this subchapter and Sections 39.1516, 39.9035,
85		-	and 39.905, do not apply to that utility.
86		-	SECTION 7. Subchapter Z, Chapter 39, Utilities Code, is
	38	+	SECTION 3. Subchapter Z, Chapter 39, Utilities Code, is
87	39		amended by adding Section 39.9035 to read as follows:
88	40		Sec. 39.9035. INCOME-BASED ASSISTANCE FUND. (a) In this
89		-	section:
90		-	(1) "Electric utility" means an electric utility that
91		-	issues a bill directly to a retail customer.
92		-	(2) "Extreme weather emergency" has the meaning
93		-	assigned by Section 39.101.
94		-	(3) "Fund" means the income-based assistance fund.
95		-	(b) The income-based assistance fund is an account in the
96		-	general revenue fund. Money in the account may be appropriated only
97		-	for the purposes provided by this section or other law.
98		-	(c) The fund consists of:
99		-	(1) money appropriated, credited, transferred, or
	41	+	section, "fund" means the income-based assistance fund.
	42	+	(b) The income-based assistance fund is established as a
	43	+	trust fund outside the state treasury to be held by the comptroller
	44	+	and administered without further appropriation by the commission as
	45	+	trustee on behalf of persons eligible to receive monetary
	46	+	assistance from the fund or support from programs paid for using
	47	+	money in the fund.
	48	+	(c) The fund is financed by a nonbypassable fee collected by
	49	+	each retail electric provider and each municipally owned utility
	50	+	and electric cooperative that has adopted customer choice. The
	51	+	commission shall set the amount of the fee, which may not exceed 65
	52	+	cents per megawatt hour. The fee must be charged to retail electric
	53	+	customers based on the number of kilowatt hours used by the
	54	+	customer. The commission shall set the fee biennially in a
	55	+	reasonable amount necessary to produce sufficient revenue to cover
	56	+	the estimated cost of administering this section during the period
	57	+	for which the fee is in effect. When setting the fee for an
	58	+	applicable period, the commission must consider the balance of the
	59	+	fund, if any, that is available for the purposes for which the fund
	60	+	may be used during that period. The commission shall publish the
	61	+	fee set under this subsection and the period for which the fee will
	62	+	be in effect in the Texas Register. The proceeds of the fee shall be
	63	+	remitted to the comptroller for deposit to the credit of the fund.
	64	+	(d) The fund consists of:
	65	+	(1) revenue from the fee established under Subsection
	66	+	(c);
	67	+	(2) money appropriated, credited, transferred, or
100	68		deposited to the credit of the fund by the legislature;
101		-	(2) gifts, grants, or donations made to the fund; and
102		-	(3) interest or other earnings attributable to the
	69	+	(3) gifts, grants, or donations made to the fund; and
	70	+	(4) interest or other earnings attributable to the
103	71		investment of money in the fund.
104		-	(d) Money in the fund may be appropriated to the commission
105		-	and used to provide funding only for the following purposes, in the
106		-	following order of priority:
	72	+	(e) Money in the fund may be used to provide funding only for
	73	+	the following purposes, in the following order of priority:
107	74		(1) programs to:
108	75		(A) assist low-income electric customers by
109		-	making available the bill payment assistance described by
110		-	Subsection (f); and
	76	+	making available the discounts described by Subsection (g); and
111	77		(B) provide one-time bill payment assistance as
112		-	described by Subsection (k) to critical care residential customers,
	78	+	described by Subsection (m) to critical care residential customers,
113	79		as defined by Section 17.002, who have received notice of an
114	80		impending service disconnection for nonpayment;
115	81		(2) customer education that provides information on
116	82		other assistance programs;
117	83		(3) administrative expenses incurred by the
118	84		commission in implementing and administering this chapter and
119	85		expenses incurred by the office under this chapter; and
120	86		(4) reimbursement to the commission and the Health and
121	87		Human Services Commission for expenses incurred in the
122	88		implementation and administration of the automatic identification
123	89		process established under Section 17.007 for customer service
124	90		discounts relating to retail electric service, including outreach
125	91		expenses the commission determines are reasonable and necessary.
126		-	(e) The commission shall adopt rules regarding programs to
127		-	assist low-income electric customers.
128		-	(f) Programs adopted under Subsection (e) must include a
129		-	retail electric service bill payment assistance program for
130		-	low-income electric customers for bills due during an extreme
131		-	weather emergency that the commission implements periodically as
132		-	money is made available in the fund for the purpose of making the
133		-	reimbursements authorized under Subsection (g).
134		-	(g) Using money from the fund, the commission shall provide
135		-	reimbursement for an electric cooperative, a municipally owned
136		-	utility, an electric utility, or a retail electric provider that
137		-	provides bill payment assistance under Subsection (f) for the
138		-	amount of bill payment assistance provided to eligible customers.
	92	+	(f) The commission shall adopt rules regarding programs to
	93	+	assist low-income electric customers in areas where customer choice
	94	+	is available. The programs may not be targeted to areas served by
	95	+	municipally owned utilities or electric cooperatives that have not
	96	+	adopted customer choice.
	97	+	(g) Programs adopted under Subsection (f) must include a
	98	+	retail electric service discount program for low-income electric
	99	+	customers that the commission implements for the purpose of making
	100	+	the reimbursements authorized under Subsection (j). The commission
	101	+	by rule shall require electric cooperatives that have adopted
	102	+	customer choice, municipally owned utilities that have adopted
	103	+	customer choice, and retail electric providers to provide the
	104	+	discount. The commission shall set the amount of the discount as a
	105	+	fixed amount and may periodically revise the fixed amount. The
	106	+	discount for electric cooperatives that have adopted customer
	107	+	choice and municipally owned utilities that have adopted customer
	108	+	choice must be in addition to any rate reduction that may result
	109	+	from local programs for low-income electric customers of the
	110	+	municipally owned utility or electric cooperative.
	111	+	(h) The commission by rule shall establish eligibility
	112	+	criteria for the discount program required under Subsection (g).
	113	+	The criteria must provide that a customer is eligible for a discount
	114	+	if identified by the Health and Human Services Commission as
	115	+	eligible as a low-income customer under Section 17.007.
	116	+	(i) The commission by rule shall prescribe methods of
	117	+	enrolling customers eligible to receive a discount under Subsection
	118	+	(g) that are compatible with the automatic identification process
	119	+	established under Section 17.007. The rules must provide for
	120	+	automatic enrollment as one enrollment option for customers that
	121	+	have been identified as low-income customers under Section 17.007.
	122	+	(j) The commission shall provide reimbursement from the
	123	+	fund for each electric cooperative, municipally owned utility, or
	124	+	retail electric provider that provides a discount under Subsection
	125	+	(g) for the amount of the discount provided to eligible customers.
139	126		The commission shall adopt rules providing for the reimbursement.
140		-	(h) The commission by rule shall adopt eligibility criteria
141		-	for the bill payment assistance program required under Subsection
142		-	(f). The criteria must provide that a customer is eligible for bill
143		-	payment assistance if the customer:
144		-	(1) is identified by the Health and Human Services
145		-	Commission as a low-income customer under Section 17.007; and
146		-	(2) resides in a county affected by an extreme weather
147		-	emergency during the billing period for which the assistance is
148		-	sought.
149		-	(i) The commission by rule shall prescribe methods of
150		-	enrolling customers eligible to receive bill payment assistance for
151		-	bills due during an extreme weather emergency under Subsection (f)
152		-	that:
153		-	(1) are compatible with the automatic identification
154		-	process established under Section 17.007; and
155		-	(2) provide for automatic enrollment as one enrollment
156		-	option for customers that have been identified as low-income
157		-	customers under Section 17.007.
158		-	(j) A retail electric provider or electric utility may not
159		-	charge the customer a fee for receiving bill payment assistance
160		-	under this section.
161		-	(k) Programs adopted under Subsection (e) must include a
	127	+	(k) Money distributed from the fund to a municipally owned
	128	+	utility or an electric cooperative shall be proportional to the
	129	+	nonbypassable fee paid by the municipally owned utility or electric
	130	+	cooperative, subject to the reimbursement provided by Subsection
	131	+	(j). On request by a municipally owned utility or an electric
	132	+	cooperative, the commission shall reduce the nonbypassable fee
	133	+	imposed on retail electric customers served by the municipally
	134	+	owned utility or electric cooperative by an amount equal to the
	135	+	amount provided by the municipally owned utility or electric
	136	+	cooperative or its ratepayers for local low-income programs.
	137	+	(l) A retail electric provider may not charge the customer a
	138	+	fee for receiving a discount.
	139	+	(m) Programs adopted under Subsection (f) must include a
162	140		bill payment assistance program as described by Subsection
163		-	(d)(1)(B) that the commission implements periodically as money is
164		-	made available in the fund for the purpose of making the
165		-	reimbursements authorized under this subsection. The commission
166		-	may prescribe the documentation necessary to demonstrate
167		-	eligibility for the assistance and may establish additional
168		-	eligibility criteria. The Health and Human Services Commission, on
169		-	request of the commission, shall assist in the adoption and
170		-	implementation of these rules. The commission shall provide
171		-	reimbursement from the fund for each electric cooperative,
172		-	municipally owned utility, electric utility, or retail electric
	141	+	(e)(1)(B). The commission may prescribe the documentation
	142	+	necessary to demonstrate eligibility for the assistance and may
	143	+	establish additional eligibility criteria. The Health and Human
	144	+	Services Commission, on request of the commission, shall assist in
	145	+	the adoption and implementation of these rules. The commission
	146	+	shall provide reimbursement from the fund for each electric
	147	+	cooperative, municipally owned utility, or retail electric
173	148		provider that provides bill payment assistance under this
174	149		subsection for the amount of the bill payment assistance provided
175	150		to eligible customers. The commission shall adopt rules providing
176	151		for the reimbursement.
177		-	SECTION 8. Section 40.001(a), Utilities Code, is amended to
	152	+	(n) The commission shall annually review and approve fund
	153	+	accounts, projected revenue requirements, and proposed
	154	+	nonbypassable fees.
	155	+	SECTION 4. Section 40.001(a), Utilities Code, is amended to
178	156		read as follows:
179	157		(a) Notwithstanding any other provision of law, except
180	158		Sections 39.155, 39.157(e), [and] 39.203, and 39.9035, this chapter
181	159		governs the transition to and the establishment of a fully
182	160		competitive electric power industry for municipally owned
183	161		utilities. With respect to the regulation of municipally owned
184	162		utilities, this chapter controls over any other provision of this
185	163		title, except for sections in which the term "municipally owned
186	164		utility" is specifically used.
187		-	SECTION 9. Section 41.001, Utilities Code, is amended to
	165	+	SECTION 5. Section 41.001, Utilities Code, is amended to
188	166		read as follows:
189	167		Sec. 41.001. APPLICABLE LAW. Notwithstanding any other
190	168		provision of law, except Sections 39.155, 39.157(e), [and] 39.203,
191	169		and 39.9035, this chapter governs the transition to and the
192	170		establishment of a fully competitive electric power industry for
193	171		electric cooperatives. Regarding the regulation of electric
194	172		cooperatives, this chapter shall control over any other provision
195	173		of this title, except for sections in which the term "electric
196	174		cooperative" is specifically used.
197		-	SECTION 10. This Act takes effect September 1, 2025.
	175	+	SECTION 6. This Act takes effect September 1, 2025.