MBN C.S.H.B. 3492 75(R)BILL ANALYSIS


ENERGY RESOURCES
C.S.H.B. 3492
By: Holzheauser
4-4-97
Committee Report (Substituted)



BACKGROUND 

During the 73rd Legislative Session the Texas Committee on Energy Policy
and the Texas Energy Coordination Council were created.  The purpose of
the Committee is to develop a longterm energy policy for the State of
Texas, make recommendations to the state and to industry regarding energy
use, and encourage cooperation between the private and public sectors
regarding energy related matters.  The purpose of the Council was to
respond to the Committee as a research tool and to help coordinate energy
related research among public and private entities. 

Statute requires that the Texas Committee on Energy Policy meet at least
once each calendar quarter.  Due to the makeup of the Committee and the
demands placed on each member within their respective offices this
requirement has never been met.  As a result the Texas Energy Coordination
Council has been functioning without any direct guidance from the
Committee. 

PURPOSE

As proposed C.S.H.B. 3492 would eliminate the Texas Committee on Energy
Policy and adjust the responsibilities, duties and powers of the Texas
Energy Coordination Council to help coordinate energy research in Texas. 

RULEMAKING AUTHORITY

This bill grants additional rulemaking authority in SECTION 7 (Section
3.07, Article 4413(47f), Vernon's Civil Statutes) to the Texas Energy
Coordination Council. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 1.01, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Texas
Civil Statutes), to include the definition of "state agency"  in regard to
energy research. 

SECTION 2.  Amends Section 1.02, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Texas
Civil Statutes), by deleting the requirement to develop a statewide energy
policy, and adding the purpose of providing policy research on energy
matters for the state legislature.  Includes state agencies in the purpose
of this Act. 

SECTION 3.  Repeals Section 1.04, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Texas
Civil Statutes). 

SECTION 4.  Repeals ARTICLE 2., Section 2.01 through Section 2.06, Chapter
793, Acts of the 73rd Legislature, Regular Session, 1993 (Article
4413(47f) Vernon's Texas Civil Statutes). 

SECTION 5.  Amends Section 3.01, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413)47f), Vernon's Texas
Civil Statutes), to define the council as a state agency. 

SECTION 6.  Amends Section 3.06, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Texas
Civil Statutes), as follows: 
 
 subsections (2) through (9), (13), (15), (17), and (18) are deleted.

 Adds new subsection (2) stating that the council shall advise and assist
the legislature in  developing plans, programs, proposed legislation and
other similar information in regard  to energy policy and the improved use
of energy resources in Texas. 
 
 Adds new subsection (3) stating that the council shall determine the
long-range needs,  assess potential problems, and recommend policy
priorities for the energy sector. 

 Adds new subsection (4) stating that the council shall to submit to the
Governor and  legislature a report on the actions necessary to promote an
effective and efficient energy  sector. 

 Amends old subsection (10), creating new subsection (5) stating that the
council shall  promote and establish the formation of consortia to study
energy uses. 

 Amends old subsection (12), creating new subsection (7) stating that the
council shall  coordinate and promote the transfer of energy technologies
and energy research findings  to the marketplace. 

 Amends old subsection (14), creating new subsection (8) to add state
agencies and state  research programs to the list of entities which the
council shall encourage and promote  research among. 

 Adds new subsection (10) stating that the council shall request, at its
discretion, any state  agency, postsecondary educational institutions and
nonprofit research organization or  associations to submit any energy
related research programs for prior approval. 

 Adds new subsection (11) to require the council to review all energy
related grant  applications. 

 Makes conforming changes. 

SECTION 7.  Amends Section 3.07, Chapter 793, Acts of the 73rd
Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Civil
Statutes), to include state agencies under the council's coordination, and
to promote technical seminars on energy research. 

 Adds subsection (10) allowing the council to enter into Memorandums of
Understanding  with any state agency, postsecondary educational
institutions, and all nonprofit research  organizations or associations. 

 Adds subsection (11) to allow the council to adopt rules for the
administration of this Act. 

 Adds subsection (12) to allow the council to engage in other activities
consistent with the  responsibilities of the Act. 

 Makes conforming changes.

SECTION 8.  Amends Chapter 793, Acts of the 73rd Legislature, Regular
Session, 1993 (Article 4413(47f), Vernon's Texas Civil Statutes), by
adding a Sunset Clause to abolish the council September 1, 1999 unless
continued as provided by Chapter 325 (Sunset Act). 

SECTION 9.  Section 4.01, Chapter 793, Acts of the 73rd Legislature,
Regular Session, 1993 (Article 4413(47f), Vernon's Civil Statutes), is
repealed. 

SECTION 10.  Emergency clause.
 
 
 
 
COMPARISON OF ORIGINAL TO SUBSTITUTE

SECTION 1 of C.S.H.B. 3492 adds Texas River Authorities to the definition
of a state agency.   

SECTION 3 of C.S.H.B. 3492 repeals Section 1.04. Chapter 793, Acts of the
73rd Legislature, Regular Session, 1993 (Article 4413(47f), Vernon's Texas
Civil Statutes) 

SECTION 6 of C.S.H.B. 3492 adds the Governor to the list of those who
shall biennially receive a report from the Texas Energy Coordination
Council. 

SECTION 9 of C.S.H.B. 3492 corrects a typographical error by stating that
Section 4.01, Chapter 793, Acts of the 73rd Legislature, Regular Session,
1993 (Article 4413(47f), Vernon's Texas Civil Statutes) is repealed.