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A BILL TO BE ENTITLED
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AN ACT
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relating to the amendment of a certificate of convenience and |
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necessity to provide electricity service to certain water control |
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and improvement districts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. It is the intent of the legislature that this Act |
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ensure cost-effective and reliable operation in times of emergency |
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of critical water infrastructure operated by a water control and |
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improvement district. |
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SECTION 2. Subchapter B, Chapter 37, Utilities Code, is |
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amended by adding Section 37.062 to read as follows: |
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Sec. 37.062. AMENDMENT OF CERTIFICATE REQUESTED BY CERTAIN |
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WATER CONTROL AND IMPROVEMENT DISTRICTS. (a) In this section: |
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(1) "Consenting entity" means an electric utility that |
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consents to provide a water control and improvement district with |
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retail electric service. |
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(2) "District facility" means an existing or future |
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transmission-level power-consuming facility that is owned or will |
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be owned by a water control and improvement district. |
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(b) This section applies only to a water control and |
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improvement district that: |
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(1) owns or will own a district facility in an area |
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certificated by an electric cooperative to provide retail electric |
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service; and |
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(2) has a service area in 10 counties or more. |
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(c) Notwithstanding any other provision of this chapter, on |
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the request of a water control and improvement district in an area |
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certificated by an electric cooperative whose wholesale power |
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purchase agreement has previously been interrupted by the |
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bankruptcy of its wholesale power supplier, a consenting entity may |
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apply to the commission to amend its certificate to allow the |
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consenting entity to provide retail electric service at |
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transmission voltage to a district facility if the consenting |
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entity is already certificated on the date the application is filed |
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to provide transmission service to a location that is not more than |
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10 miles from the district facility. |
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(d) The commission shall approve an application received |
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under Subsection (c) not later than the 45th day after the date a |
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complete application is filed and amend the consenting entity's |
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certificate to include the locations of the district facilities |
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identified in the application, making those facilities multiply |
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certificated by the consenting entity and the electric cooperative |
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referenced in Subsection (b)(1). |
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(e) The consent of an electric cooperative referenced in |
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Subsection (b)(1) is not required for the commission to approve an |
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application filed under Subsection (c). |
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(f) Section 37.056(c) does not apply to an application filed |
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under Subsection (c). |
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(g) A water control and improvement district that requests |
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retail electric service from a consenting entity who files an |
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application under this section that is approved by the commission |
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is: |
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(1) responsible for paying the construction costs of |
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any new transmission facilities required to interconnect the |
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district facilities identified in the application to the ERCOT |
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transmission system if those costs are not otherwise recoverable in |
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the consenting entity's wholesale transmission rates; |
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(2) responsible for any nonbypassable charges and |
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other amounts that the district is contractually obligated to pay |
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to the electric cooperative that provided retail electric service |
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to the district on the date the application was filed, if |
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applicable; and |
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(3) subject to the relevant provisions of 16 T.A.C. |
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Section 25.27. |
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(h) If the commission approves an application under this |
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section, the commission may not approve another application |
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regarding any district facility included in the approved |
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application. |
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SECTION 3. This Act takes effect September 1, 2023. |