Texas 2025 - 89th Regular

Texas Senate Bill SB2368 Compare Versions

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Version 2 (New)

Old	New		Differences
	1	+	89R9978 SCR-F
1	2		By: Campbell, et al. S.B. No. 2368
2		-	(In the Senate - Filed March 12, 2025; March 25, 2025, read
3		-	first time and referred to Committee on Business & Commerce;
4		-	April 9, 2025, reported adversely, with favorable Committee
5		-	Substitute by the following vote: Yeas 10, Nays 0; April 9, 2025,
6		-	sent to printer.)
7		-	Click here to see the committee vote
8		-	COMMITTEE SUBSTITUTE FOR S.B. No. 2368 By: Campbell
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11	7		A BILL TO BE ENTITLED
12	8		AN ACT
13	9		relating to affiliation with certain foreign entities of certain
14	10		persons working or participating in the electricity market;
15	11		increasing an administrative penalty.
16	12		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
17	13		SECTION 1. Section 15.023, Utilities Code, is amended by
18	14		adding Subsection (b-2) to read as follows:
19	15		(b-2) Notwithstanding Subsection (b), the penalty for a
20	16		violation of Section 39.360 in which a business entity submitted
21	17		false or incomplete information to the independent organization
22	18		certified under Section 39.151 for the ERCOT power region may be in
23		-	an amount not to exceed $1 million for each violation.
24		-	SECTION 2. Section 39.360, Utilities Code, as added by
	19	+	an amount not to exceed $1,000,000 for each violation.
	20	+	SECTION 2. Section 39.151(g-7), Utilities Code, as added by
	21	+	Chapter 464 (S.B. 2013), Acts of the 88th Legislature, Regular
	22	+	Session, 2023, is redesignated as Section 39.151(g-8), Utilities
	23	+	Code, and amended to read as follows:
	24	+	(g-8) [(g-7)] To maintain certification as an independent
	25	+	organization under this section, the organization must:
	26	+	(1) identify all employee positions in the
	27	+	organization that are critical to the security of the electric
	28	+	grid; and
	29	+	(2) before hiring a person for a position described by
	30	+	Subdivision (1), obtain:
	31	+	(A) from the Department of Public Safety or a
	32	+	private vendor, criminal history record information relating to the
	33	+	prospective employee and any other background information
	34	+	considered necessary by the independent organization or required by
	35	+	the commission; and
	36	+	(B) from the prospective employee an attestation
	37	+	regarding:
	38	+	(i) any former travel by the prospective
	39	+	employee to a country described by Section 117.003, Business &
	40	+	Commerce Code; and
	41	+	(ii) any relationship between the
	42	+	prospective employee and a foreign governmental entity or foreign
	43	+	political organization.
	44	+	SECTION 3. Section 39.360, Utilities Code, as added by
25	45		Chapter 464 (S.B. 2013), Acts of the 88th Legislature, Regular
26	46		Session, 2023, is amended by amending Subsections (a), (b), (c),
27	47		(d), and (e) and adding Subsections (d-1) and (j) to read as
28	48		follows:
29	49		(a) In this section, "company" and "critical
30	50		infrastructure" have the meanings assigned by Section 117.001
31	51		[113.001], Business & Commerce Code[, as added by Chapter 975 (S.B.
32	52		2116), Acts of the 87th Legislature, Regular Session, 2021].
33	53		(b) An independent organization certified under Section
34	54		39.151 may not register a business entity as a market participant or
35	55		maintain the registration of a business entity to operate as a
36	56		market participant in the power region for which the independent
37	57		organization is certified unless the business entity attests that
38	58		the entity complies with Chapter 117 [113], Business & Commerce
39	59		Code[, as added by Chapter 975 (S.B. 2116), Acts of the 87th
40	60		Legislature, Regular Session, 2021].
41	61		(c) An independent organization certified under Section
42	62		39.151 shall require as a condition of operating as a market
43	63		participant in the power region for which the independent
44	64		organization is certified that a business entity report to the
45	65		independent organization the purchase of any critical electric grid
46	66		equipment or service from a company described by Section
47	67		117.002(a)(2) [113.002(a)(2)], Business & Commerce Code[, as added
48	68		by Chapter 975 (S.B. 2116), Acts of the 87th Legislature, Regular
49	69		Session, 2021].
50	70		(d) For each purchase reported by a business entity under
51	71		Subsection (c), the business entity shall submit an attestation to
52	72		the independent organization that the purchase will not result in
53	73		access to or control of its critical electric grid equipment by a
54	74		company described by Section 117.002(a)(2) [113.002(a)(2)],
55	75		Business & Commerce Code, [as added by Chapter 975 (S.B. 2116), Acts
56	76		of the 87th Legislature, Regular Session, 2021,] excluding access
57	77		specifically allowed by the business entity for product warranty
58	78		and support purposes.
59	79		(d-1) An independent organization certified under Section
60	80		39.151 may:
61	81		(1) require as a condition of market participant
62	82		registration that a business entity provide the independent
63	83		organization with additional information to confirm the accuracy of
64	84		an attestation or report required under Subsection (b), (c), or
65	85		(d); and
66	86		(2) disclose information received under Subdivision
67		-	(1) or any other relevant information to the attorney general or the
68		-	commission.
69		-	(e) Notwithstanding any other law but subject to Section
70		-	39.151(d-4)(6), an independent organization certified under
71		-	Section 39.151 may immediately suspend or terminate a business
72		-	entity's [company's] registration as a market participant or access
73		-	to any of the independent organization's systems if the independent
74		-	organization has a reasonable suspicion that the business entity is
75		-	a company [meets any of the criteria] described by Section
76		-	2275.0102(a)(2) [2274.0102(a)(2)], Government Code[, as added by
77		-	Chapter 975 (S.B. 2116), Acts of the 87th Legislature, Regular
78		-	Session, 2021].
79		-	(j) On request of an independent organization certified
80		-	under Section 39.151, the attorney general may investigate the
81		-	accuracy or sufficiency of information provided under this section
82		-	to the independent organization and disclose any new information
83		-	obtained in relation to the investigation to the independent
84		-	organization or the commission.
85		-	SECTION 3. To the extent of any conflict, this Act prevails
	87	+	(1) to the attorney general or the commission.
	88	+	(e) Notwithstanding any other law, an independent
	89	+	organization certified under Section 39.151 may immediately
	90	+	suspend or terminate a business entity's [company's] registration
	91	+	as a market participant or access to any of the independent
	92	+	organization's systems if the independent organization has a
	93	+	reasonable suspicion that the business entity is a company [meets
	94	+	any of the criteria] described by Section 2275.0102(a)(2)
	95	+	[2274.0102(a)(2)], Government Code[, as added by Chapter 975 (S.B.
	96	+	2116), Acts of the 87th Legislature, Regular Session, 2021].
	97	+	(j) The attorney general may investigate the accuracy or
	98	+	sufficiency of information provided under this section to an
	99	+	independent organization certified under Section 39.151 and
	100	+	disclose any new information obtained in relation to the
	101	+	investigation to the independent organization or the commission.
	102	+	SECTION 4. To the extent of any conflict, this Act prevails
86	103		over another Act of the 89th Legislature, Regular Session, 2025,
87	104		relating to nonsubstantive additions to and corrections in enacted
88	105		codes.
89		-	SECTION 4. This Act takes effect September 1, 2025.
90		-	* * * * *
	106	+	SECTION 5. This Act takes effect September 1, 2025.