By Earley                                              H.B. No. 923
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to statewide energy policy and research.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4                    ARTICLE 1.  GENERAL PROVISIONS
    1-5        SECTION 1.01.  DEFINITIONS.  In this Act:
    1-6              (1)  "Committee" means the Texas Committee on Energy
    1-7  Policy.
    1-8              (2)  "Coordinating board" means the Texas Higher
    1-9  Education Coordinating Board.
   1-10              (3)  "Council" means the Texas Energy Coordination
   1-11  Council.
   1-12              (4)  "Postsecondary educational institution" means an
   1-13  institution of higher education as defined by Section 61.003,
   1-14  Education Code, or a private or independent college or university
   1-15  that is accredited by a recognized accrediting agency, as defined
   1-16  by that section.
   1-17        SECTION 1.02.  PURPOSE.  The purposes of this Act are to
   1-18  develop a statewide energy policy and to coordinate the development
   1-19  and marketing of all aspects of energy research at postsecondary
   1-20  educational institutions and at nonprofit research organizations or
   1-21  associations, from the development of basic theoretical and
   1-22  experimental frameworks to the transfer of new energy technology to
   1-23  the marketplace.
   1-24        SECTION 1.03.  ENERGY ACCOUNT.  (a)  The energy account is
    2-1  created as a special account in the general revenue fund in the
    2-2  state treasury.
    2-3        (b)  The account consists of gifts, grants, and funds
    2-4  appropriated by the legislature.
    2-5        (c)  Money in the account may be appropriated only to the
    2-6  council for the purposes of this Act.
    2-7        SECTION 1.04.  FUNDING.  In addition to money appropriated
    2-8  from the energy account, the council is entitled to an
    2-9  appropriation each biennium in an amount equal to:
   2-10              (1)  three times the estimated amount of money raised
   2-11  from private sources during the previous biennium, if the estimated
   2-12  amount is $500,000 or more but less than $1,000,000;
   2-13              (2)  five times the estimated amount of money raised
   2-14  from private sources during the previous biennium, if the estimated
   2-15  amount is $1,000,000 or more but less than  $1,500,000; and
   2-16              (3)  seven times the estimated amount of money raised
   2-17  from private sources during the previous biennium, if the estimated
   2-18  amount is $1,500,000 or more,  with a maximum entitlement under
   2-19  this section of $21 million.
   2-20             ARTICLE 2.  TEXAS COMMITTEE ON ENERGY POLICY
   2-21        SECTION 2.01.  TEXAS COMMITTEE ON ENERGY POLICY.  The Texas
   2-22  Committee on Energy Policy is composed of the following ex officio
   2-23  members:
   2-24              (1)  the governor;
   2-25              (2)  the lieutenant governor;
   2-26              (3)  the speaker of the house of representatives;
   2-27              (4)  the chairman of the house of representatives
    3-1  committee on  energy;
    3-2              (5)  the chairman of the senate committee on natural
    3-3  resources;
    3-4              (6)  a member of the  Railroad Commission of Texas,
    3-5  appointed by the Railroad Commission of Texas;
    3-6              (7)  a member of the Public Utility Commission of
    3-7  Texas, appointed by the Public Utility Commission of Texas; and
    3-8              (8)  the commissioner of the General Land Office.
    3-9        SECTION 2.02.  TERMS; VACANCY.  (a)  Appointed members serve
   3-10  for two-year terms expiring February 1 of each odd-numbered year.
   3-11        (b)  The original appointing authority shall appoint a person
   3-12  with similar qualifications to fill the unexpired portion of the
   3-13  term of a vacancy of an appointed member of the committee.
   3-14        SECTION 2.03.  OFFICERS; MEETINGS.  (a)  The members of the
   3-15  committee shall elect annually a presiding officer of the
   3-16  committee.
   3-17        (b)  The committee may elect other officers it considers
   3-18  necessary.
   3-19        (c)  The committee shall meet at least once each calendar
   3-20  quarter and at other times at the call of the presiding officer.
   3-21        SECTION 2.04.  COMPENSATION; EXPENSES.  A member of the
   3-22  committee may not receive compensation for service performed for
   3-23  the committee.  A member is entitled to receive reimbursement from
   3-24  the energy account, subject to any applicable limitation provided
   3-25  by the General Appropriations Act, for actual or necessary expenses
   3-26  incurred in performing services as a member of the committee.
   3-27        SECTION 2.05.  STAFF.  (a)  The committee may employ staff or
    4-1  may use the staff of the governor.
    4-2        (b)  The committee may not employ an individual, and an
    4-3  employee of the committee may not continue in employment with the
    4-4  committee, if the individual at the time of employment or while
    4-5  employed by the committee is:
    4-6              (1)  a person required to register under Chapter 305,
    4-7  Government Code; or
    4-8              (2)  a member of the legislature.
    4-9        SECTION 2.06.  POWERS AND DUTIES.  (a)  The committee may:
   4-10              (1)  set priority areas for energy coordination or for
   4-11  energy research;
   4-12              (2)  provide national leadership on emerging energy
   4-13  policy;
   4-14              (3)  adopt rules for the administration of this
   4-15  article;
   4-16              (4)  accept gifts and grants for the administration of
   4-17  its duties; and
   4-18              (5)  use a service or facility contributed to the
   4-19  committee by any source.
   4-20        (b)  The committee shall:
   4-21              (1)  develop coherent long-term energy policy for this
   4-22  state;
   4-23              (2)  make recommendations to the state and to industry
   4-24  regarding energy use; and
   4-25              (3)  encourage cooperation and coordination between
   4-26  public and private entities regarding energy use and energy
   4-27  research, development, and commercialization.
    5-1             ARTICLE 3.  TEXAS ENERGY COORDINATION COUNCIL
    5-2        SECTION 3.01.  COMPOSITION.  (a)  The Texas Energy
    5-3  Coordination Council is  composed of the following ex officio
    5-4  members:
    5-5              (1)  the associate dean for research in the College of
    5-6  Engineering at Texas Tech University;
    5-7              (2)  the director of the Energy System Laboratory of
    5-8  Texas A&M University;
    5-9              (3)  the director of the Center for Energy Studies at
   5-10  The University of Texas at Austin;
   5-11              (4)  the director of the Energy Laboratory of the
   5-12  University of Houston; and
   5-13              (5)  the director of the Alternative Energy Institute
   5-14  of West Texas State University.
   5-15        (b)  The governor shall appoint the following members to
   5-16  serve on the council:
   5-17              (1)  a representative of the natural gas industry;
   5-18              (2)  a representative of the oil industry;
   5-19              (3)  a representative of the alternative fuels
   5-20  industry;
   5-21              (4)  a representative of the Texas Sustainable Energy
   5-22  Development Council or renewable energy industry;
   5-23              (5)  a representative of the electric utility industry;
   5-24  and
   5-25              (6)  a representative of an energy consumer
   5-26  organization or environmental organization.
   5-27        (c)  If a postsecondary educational institution eliminates
    6-1  the entity whose director serves on the council, the institution
    6-2  shall name a representative to serve on the council.  The
    6-3  representative must be an individual at the institution with
    6-4  responsibilities related to the mission of the council and must
    6-5  hold a position of a level similar to the level of the position of
    6-6  director of the eliminated entity.
    6-7        SECTION 3.02.  TERMS; VACANCY.  (a)  Appointed members serve
    6-8  for staggered terms of two years, with the terms of three members
    6-9  expiring December 31 of each year.
   6-10        (b)  The governor shall appoint an individual with similar
   6-11  qualifications to fill the unexpired portion of the term of a
   6-12  vacancy of an appointed member of the council.
   6-13        SECTION 3.03.  OFFICERS; MEETINGS.  (a)  The members of the
   6-14  council shall elect annually a presiding officer of the council.
   6-15        (b)  The council may elect other officers it considers
   6-16  necessary.
   6-17        (c)  The council shall meet at least once each calendar
   6-18  quarter and at other times at the call of the presiding officer.
   6-19        SECTION 3.04.  COMPENSATION; EXPENSES.  A member of the
   6-20  council may not receive compensation for service performed for the
   6-21  council.  A member is entitled to receive reimbursement, subject to
   6-22  any applicable limitation provided by the General Appropriations
   6-23  Act, for actual or necessary expenses incurred in performing
   6-24  services as a member of the council.
   6-25        SECTION 3.05.  STAFF.  (a)  The council may employ staff or
   6-26  may use, with the entity's consent, the staff of the coordinating
   6-27  board, a participating postsecondary educational institution, or a
    7-1  nonprofit research organization or association.
    7-2        (b)  The council may not employ an individual, and an
    7-3  employee of the council may not continue in employment with the
    7-4  council, if the individual at the time of employment or while
    7-5  employed by the council is:
    7-6              (1)  a person required to register under Chapter 305,
    7-7  Government Code; or
    7-8              (2)  a member of the legislature.
    7-9        SECTION 3.06.  DUTIES.  The council shall:
   7-10              (1)  establish an institute for building energy
   7-11  efficiency throughout this state;
   7-12              (2)  adopt strategies to assess energy resources;
   7-13              (3)  promote energy efficiency in transportation;
   7-14              (4)  make recommendations to reduce energy consumption
   7-15  by the state;
   7-16              (5)  promote energy efficiency in industry;
   7-17              (6)  assess the interrelation between energy and the
   7-18  environment;
   7-19              (7)  promote the efficient use of renewable resources;
   7-20              (8)  evaluate the effects of existing energy taxes on
   7-21  the state economy;
   7-22              (9)  recommend new energy taxes to promote energy
   7-23  efficiency;
   7-24              (10)  promote the formation of consortia to study
   7-25  energy uses;
   7-26              (11)  actively seek monetary support for the purposes
   7-27  of this Act;
    8-1              (12)  coordinate the transfer of energy technology to
    8-2  the marketplace;
    8-3              (13)  promote the use of energy research findings;
    8-4              (14)  encourage and coordinate energy research among
    8-5  postsecondary educational institutions, other public and private
    8-6  entities, industrial entities, and nonprofit research entities;
    8-7              (15)  coordinate energy research among state research
    8-8  programs;
    8-9              (16)  provide criteria and recommendations for the
   8-10  awarding of grants for energy research projects approved by state
   8-11  research programs;
   8-12              (17)  promote energy technologies in nonresource areas;
   8-13  and
   8-14              (18)  provide support for the committee.
   8-15        SECTION 3.07.  POWERS.  The council may:
   8-16              (1)  encourage research collaborations among
   8-17  postsecondary educational institutions and nonprofit research
   8-18  organizations or associations;
   8-19              (2)  coordinate information sharing among postsecondary
   8-20  educational institutions and nonprofit research organizations or
   8-21  associations;
   8-22              (3)  encourage projects that propose innovative,
   8-23  collaborative efforts among two or more postsecondary educational
   8-24  institutions or nonprofit research organizations or associations or
   8-25  between a postsecondary educational institution or nonprofit
   8-26  research organization or association and private industry;
   8-27              (4)  conduct public relations activities concerning the
    9-1  activities of the council;
    9-2              (5)  develop computer software to facilitate the
    9-3  discharge of the council's duties;
    9-4              (6)  establish a computer data base of energy research
    9-5  information that is accessible to all postsecondary educational
    9-6  institutions and all nonprofit research organizations or
    9-7  associations;
    9-8              (7)  contract or cooperate with private research
    9-9  entities;
   9-10              (8)  conduct technical seminars on energy research;
   9-11              (9)  provide information to the public on energy
   9-12  research; and
   9-13              (10)  meet and coordinate with each institution of
   9-14  higher education's federal funds coordinator designated under
   9-15  Section 751.022(d), Government Code.
   9-16        SECTION 3.08.  GIFT, GRANT, AND CONTRIBUTED SERVICE OR
   9-17  FACILITY.  (a)  The council may accept a gift or grant from any
   9-18  source to be used by the council for the purposes of this Act.
   9-19        (b)  The council may use a service or facility contributed to
   9-20  the council by any source.
   9-21        SECTION 3.09.  DISTRIBUTION OF GRANTS.  (a)  The council may
   9-22  make grants from funds available to the council to postsecondary
   9-23  educational institutions or nonprofit research organizations or
   9-24  associations to fund research consistent with the mission of the
   9-25  council.  To receive a grant from the council, a postsecondary
   9-26  educational institution or a nonprofit research organization or
   9-27  association must submit to the council an application for the
   10-1  grant, on a form prescribed by the council, and a proposal for the
   10-2  project for which the grant is sought.
   10-3        (b)  The council shall approve applications on an equitable
   10-4  basis.
   10-5        (c)  Not later than September 1 of each fiscal year, the
   10-6  comptroller shall certify to the council the amount of appropriated
   10-7  funds available from which to make grants under this section for
   10-8  that fiscal year.
   10-9        (d)  The council may not approve an application if the amount
  10-10  of money required to fund the proposal is greater than an amount
  10-11  equal to the total amount of money available to the council to make
  10-12  grants under this section for the fiscal year during which the
  10-13  award is made.
  10-14        (e)  For each application approved by the council, the
  10-15  council shall certify to the comptroller the amount of funds
  10-16  approved for the project.  To the extent that funds are available
  10-17  for this purpose, the comptroller shall issue a warrant to the
  10-18  postsecondary educational institution or nonprofit research
  10-19  organization or association in the amount certified in the order
  10-20  that the comptroller receives the certification.  The warrant shall
  10-21  be drawn against the amounts appropriated to the council.
  10-22                 ARTICLE 4.  MISCELLANEOUS PROVISIONS
  10-23        SECTION 4.01.  TRANSITION.  (a)  Not later than February 1,
  10-24  1994, the Railroad Commission of Texas and the Public Utility
  10-25  Commission of Texas shall make initial appointments of members to
  10-26  serve on the Texas  Committee on Energy Policy for terms expiring
  10-27  February 1, 1995.
   11-1        (b)  Not later than January 1, 1994, the governor shall make
   11-2  initial appointments of three representatives to serve on the Texas
   11-3  Energy Coordination Council for terms expiring December 31, 1994,
   11-4  and three representatives to serve on the council for terms
   11-5  expiring December 31, 1995.
   11-6        SECTION 4.02.  EMERGENCY.  The importance of this legislation
   11-7  and the crowded condition of the calendars in both houses create an
   11-8  emergency and an imperative public necessity that the
   11-9  constitutional rule requiring bills to be read on three several
  11-10  days in each house be suspended, and this rule is hereby suspended,
  11-11  and that this Act take effect and be in force from and after its
  11-12  passage, and it is so enacted.