Texas Senate Bill SB1435

Texas 2025 - 89th Regular

• Filed: 2/19/25

Caption

Relating to notice provided to certain state and local officials regarding an appeal of a municipal order filed by a transmission and distribution utility in a ratemaking proceeding.

Impact

The bill has implications for how local and state officials are informed about significant decisions made by transmission and distribution utilities. By mandating that notices of appeals are sent to both local governing bodies and members of the legislature from the impacted areas, the legislation aims to foster collaboration and awareness of upcoming changes that could affect utility rates and services in their jurisdictions. This could also lead to local authorities being more engaged in discussions surrounding these appeals, potentially influencing the outcomes based on community feedback.

Summary

SB1435 proposes to amend the Utilities Code by adding a new section that outlines the notification process for specific officials when a transmission and distribution utility files an appeal regarding a municipal order in a ratemaking proceeding. The bill aims to ensure transparency and facilitate communication between utilities and local governing bodies, as well as state legislators whose districts are affected by such appeals. This is intended to enhance oversight and allow for greater political accountability in decisions impacting local services and rates.

Contention

While the bill primarily aims to create a standard process for notifications, concerns may arise regarding potential increases in bureaucratic engagement that could slow down the appeals process. Critics might argue that extending notifications to a wider array of officials could lead to politicization of utility appeals that should ideally remain technical and regulatory in nature. Furthermore, the bill's effective date set for September 1, 2025, suggests that stakeholders will have time to prepare for the changes; however, it may also prompt debates on immediate utility regulations prior to this date.

Texas Constitutional Statutes Affected

Utilities Code

• Chapter 33. Jurisdiction And Powers Of Municipality
  • Section: New Section