Bill Text: TX HB4735 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to discounted rates for electric service provided to certain political subdivisions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-22 - Referred to State Affairs [HB4735 Detail]
Download: Texas-2023-HB4735-Introduced.html
88R14146 CXP-F | ||
By: González of El Paso | H.B. No. 4735 |
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relating to discounted rates for electric service provided to | ||
certain political subdivisions. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter H, Chapter 36, Utilities Code, is | ||
amended by adding Section 36.3511 to read as follows: | ||
Sec. 36.3511. DISCOUNTED RATES FOR PUBLIC SCHOOL DISTRICTS | ||
AND OTHER POLITICAL SUBDIVISIONS IN CERTAIN COUNTIES. (a) This | ||
section applies only to a facility receiving electric service in a | ||
county that is located on the international border and contains a | ||
municipality with a population of 500,000 or more. | ||
(b) Notwithstanding any other provision of this title, each | ||
electric utility and municipally owned utility shall discount | ||
charges for electric service provided to a facility of a public | ||
school district or other political subdivision that: | ||
(1) is authorized to impose an ad valorem tax; or | ||
(2) provides public housing. | ||
(c) The discount is a 20 percent reduction of the utility's | ||
base rates that would otherwise be paid under the applicable | ||
tariffed rate. | ||
(d) An electric or municipally owned utility is exempt from | ||
this section if the 20 percent discount results in a reduction equal | ||
to more than one percent of the utility's total annual revenues. | ||
(e) An electric utility may not recover from residential | ||
customers or any other customer class the assigned and allocated | ||
costs of serving a public school district or other political | ||
subdivision that receives a discount under this section. | ||
(f) Each electric utility shall file tariffs with the | ||
commission reflecting the discount required under this section. | ||
The initial tariff filing is not a rate change for purposes of | ||
Subchapter C. | ||
SECTION 2. The changes in law made by this Act apply only to | ||
a contract entered into on or after the effective date of this Act. | ||
A contract entered into before the effective date of this Act is | ||
governed by the law as it existed immediately before the effective | ||
date of this Act, and that law is continued in effect for that | ||
purpose. | ||
SECTION 3. This Act takes effect September 1, 2023. |