bill giving utility regulators 90 days instead of 60

The text as introduced · 564 words

89R7747 SCR-F

By: Bettencourt
S.B. No. 1438

A BILL TO BE ENTITLED

AN ACT

relating to the procedure for a periodic rate adjustment by an

electric utility.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Sections 36.210(a) and (i), Utilities Code, are

amended to read as follows:

(a) The commission, on the petition of an electric utility,

may approve a tariff or rate schedule in which a nonfuel rate may be

periodically adjusted upward or downward, based on changes in the

parts of the utility's invested capital, as described by Section

36.053, that are categorized or functionalized as distribution

plant, distribution-related intangible plant, and

distribution-related communication equipment and networks in

accordance with commission rules adopted after consideration of the

uniform system of accounts prescribed by the Federal Energy

Regulatory Commission. A periodic rate adjustment must:

(1) be approved or denied in accordance with a

procedure that :

(A) allows for participation by the office and

affected parties; and

(B) extends for 90 days, except as provided by

Subsection (i);

(2) take into account changes in the number of an

electric utility's customers and the effects, on a

weather-normalized basis, that energy consumption and energy

demand have on the amount of revenue recovered through the electric

utility's base rates;

(3) be consistent with the manner in which costs for

invested capital described by this subsection were allocated to

each rate class, as approved by the commission, in an electric

utility's most recent base rate statement of intent proceeding with

changes to residential and commercial class rates reflected in

volumetric charges to the extent that residential and commercial

class rates are collected in that manner based on the electric

utility's most recent base rate statement of intent proceeding;

(4) not diminish the ability of the commission or a

regulatory authority, on its own motion or on complaint by an

affected person as provided by Subchapter D, after reasonable

notice and hearing, to change the existing rates of an electric

utility for a service after finding that the rates are unreasonable

or in violation of law;

(5) be applied by an electric utility on a system-wide

basis; and

(6) be supported by the sworn statement of an

appropriate employee of the electric utility that affirms that:

(A) the filing is in compliance with the

provisions of the tariff or rate schedule; and

(B) the filing is true and correct to the best of

the employee's knowledge, information, and belief.

(i) The commission shall enter a final order on a request

for a periodic rate adjustment under this section not later than the

90th [ 60th ] day after the date the request is filed. The commission

may extend the deadline for not more than 15 days for good cause.

SECTION 2. The changes in law made by this Act apply only to

a proceeding before the Public Utility Commission of Texas or other

regulatory authority described by Section 11.003, Utilities Code,

that commences on or after the effective date of this Act. A

proceeding before the Public Utility Commission of Texas or other

regulatory authority described by Section 11.003, Utilities Code,

that commenced before the effective date of this Act is governed by

the law in effect on the date the proceeding commenced, and that law

is continued in effect for that purpose.

SECTION 3. This Act takes effect September 1, 2025.