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House Bill 2263 |
House Author: Paddie et al. |
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Effective: See below |
Senate Sponsor: Hancock |
Previously, the General Land Office (GLO) purchased wholesale electricity with royalties taken in kind from land owned by the permanent school fund (PSF) and sold the electricity to certain public customers at a profit that was deposited in the PSF. House Bill 2263 amends the Natural Resources Code, Tax Code, and Utilities Code to remove the authorization for the GLO or certain land owners to make such sales and repeals related provisions. The bill provides for the continuation of certain extant GLO agreements for the provision of electric service. The bill takes effect May 17, 2019, except as follows. Effective January 1, 2024, the bill prohibits the imposition of a tax on the gross receipts from the sale of electricity to a public school district customer and sets out procedures for adjusting an electric utility's or retail electric provider's billing of a public school district customer to reflect any decrease in the utility's or provider's tax liability to the state that is attributable to that prohibition.