Bill Text: TX HB2775 | 2021-2022 | 87th Legislature | Introduced


Bill Title: Relating to electricity service provided by certain municipally owned utilities.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2021-05-13 - Placed on General State Calendar [HB2775 Detail]

Download: Texas-2021-HB2775-Introduced.html
  87R5422 CXP-D
 
  By: Cain H.B. No. 2775
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to electricity service provided by certain municipally
  owned utilities.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 32, Utilities Code, is amended by adding
  Subchapter D to read as follows:
  SUBCHAPTER D. REVIEW OF RATES OF CERTAIN MUNICIPAL UTILITIES
         Sec. 32.151.  APPLICABILITY.  This subchapter applies only
  to a municipally owned utility that provides service in the Capitol
  complex, as defined by Section 443.0071, Government Code.
         Sec. 32.152.  REVIEW OF RATES; CUSTOMER CHOICE.  (a)  
  Notwithstanding any other law, a retail customer or group of
  customers may file a petition for commission review of current or
  proposed rates of a municipally owned utility that apply to the
  petitioning customer or group if the customer or group:
               (1)  has a non-demand metered total usage of more than
  100,000 kilowatt hours per year; or
               (2)  is served through a demand meter at secondary or
  primary voltage.
         (b)  The commission shall initiate a proceeding not later
  than the 90th day after the petition is submitted to determine
  whether the rates of the municipally owned utility are consistent
  with the rates available to similarly situated customers in areas
  of the state that have access to customer choice. If the commission
  determines that the rates of the municipally owned utility are
  consistent with the rates available to similarly situated customers
  in areas of the state that have access to customer choice, the
  commission shall deny the petition. 
         (c)  If the commission does not deny the petition under
  Subsection (b), not later than the 90th day after the date of the
  determination described by Subsection (b), the municipally owned
  utility shall file a rate application with the commission that
  complies in all material respects with the rules and forms
  prescribed by the commission.  The commission for good cause may
  extend the deadline for filing the rate application.
         (d)  The commission shall conduct a full review of the rates
  applicable to the petitioning customer or group to determine
  whether those rates are just and reasonable using the standards
  prescribed by Chapter 36, notwithstanding the lack of consistency
  between those rates and rates available to similarly situated
  customers in areas of the state that have access to customer choice.
  If the commission determines that the rates are just and
  reasonable, the commission shall deny the petition. If the
  commission determines that the rates are not just and reasonable,
  the commission shall set rates for the petitioning customer or
  group that are just, reasonable, and consistent with the rates
  available to similarly situated customers in areas of the state
  that have access to customer choice.
         SECTION 2.  Section 40.004, Utilities Code, is amended to
  read as follows:
         Sec. 40.004.  JURISDICTION OF COMMISSION. Except as
  specifically otherwise provided in this chapter, the commission has
  jurisdiction over municipally owned utilities only for the
  following purposes:
               (1)  to regulate wholesale transmission rates and
  service, including terms of access, to the extent provided by
  Subchapter A, Chapter 35;
               (2)  to regulate certification of retail service areas
  to the extent provided by Chapter 37;
               (3)  to regulate rates:
                     (A)  under Subchapter D, Chapter 32, subject to
  Section 40.051(c); and
                     (B)  on appeal under Subchapters D and E, Chapter
  33, subject to Section 40.051(c);
               (4)  to establish a code of conduct as provided by
  Section 39.157(e) applicable to anticompetitive activities and to
  affiliate activities limited to structurally unbundled affiliates
  of municipally owned utilities, subject to Section 40.054;
               (5)  to establish terms and conditions for open access
  to transmission and distribution facilities for municipally owned
  utilities providing customer choice, as provided by Section 39.203;
               (6)  to administer the renewable energy credits program
  under Section 39.904(b) and the natural gas energy credits program
  under Section 39.9044(b);
               (7)  to require reports of municipally owned utility
  operations only to the extent necessary to:
                     (A)  enable the commission to determine the
  aggregate load and energy requirements of the state and the
  resources available to serve that load; or
                     (B)  enable the commission to determine
  information relating to market power as provided by Section 39.155;
  and
               (8)  to evaluate and monitor the cybersecurity
  preparedness of a municipally owned utility described by Section
  39.1516(a)(3) or (4).
         SECTION 3.  Section 40.051(c), Utilities Code, is amended to
  read as follows:
         (c)  After a decision to offer customer choice has been made,
  Subchapter D, Chapter 32, and Subchapters D and E, Chapter 33, do
  not apply to any action taken under this chapter.
         SECTION 4.  This Act takes effect September 1, 2021.
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