By Armbrister S.B. No. 965
75R7192 CBH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the powers and duties of the Public Utility Commission
1-3 of Texas.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 1.002, Public Utility Regulatory Act of
1-6 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
1-7 to read as follows:
1-8 Sec. 1.002. LEGISLATIVE POLICY AND PURPOSE. (a) This Act is
1-9 enacted to protect the public interest inherent in the rates and
1-10 services of public utilities. The legislature finds that
1-11 traditionally public utilities are by definition monopolies in the
1-12 areas they serve; that therefore the normal forces of competition
1-13 which operate to regulate prices in a free enterprise society do
1-14 not operate; and that therefore utility rates, operations, and
1-15 services are regulated by public agencies with the objective that
1-16 this regulation shall operate as a substitute for competition. The
1-17 purpose of this Act is to establish a comprehensive regulatory
1-18 system which is adequate to the task of regulating public
1-19 utilities as defined by this Act, in a manner that will facilitate
1-20 competition, operation of the free market, and customer choice
1-21 while ensuring that safe, reliable, and high quality services are
1-22 available to all residents of this state and that [to assure]
1-23 rates, operations, and services [which] are just and reasonable to
1-24 the consumers and to the utilities.
2-1 (b) As competition increases, the oversight role of the
2-2 commission must increase and move toward customer service and
2-3 protection. The commission shall promote public awareness of
2-4 changes in the electric and telecommunications markets, provide
2-5 customers with information necessary to make informed choices about
2-6 available options, and ensure that customers have an adequate
2-7 understanding of their rights.
2-8 SECTION 2. Section 1.003, Public Utility Regulatory Act of
2-9 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
2-10 by adding Subdivision (19) to read as follows:
2-11 (19) "Alternative dispute resolution" includes:
2-12 (A) a procedure described by Chapter 154, Civil
2-13 Practice and Remedies Code; and
2-14 (B) a combination of the procedures described by
2-15 Chapter 154, Civil Practice and Remedies Code.
2-16 SECTION 3. Sections 1.023(d), (e), and (f), Public Utility
2-17 Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas Civil
2-18 Statutes), are amended to read as follows:
2-19 (d) A person who is required to register as a lobbyist under
2-20 Chapter 305, Government Code, because of the person's activities
2-21 for compensation on behalf of a profession related to the operation
2-22 of the commission may not serve as a member of the commission or
2-23 serve as the public utility counsel [or act as the general counsel
2-24 to the commission].
2-25 (e) A person is not eligible for appointment as a public
2-26 member of the commission or for employment as the [general counsel
2-27 or] executive director of the commission if:
3-1 (1) the person serves on the board of directors of a
3-2 company that supplies fuel, utility-related services, or
3-3 utility-related products to regulated or unregulated electric or
3-4 telecommunications utilities; or
3-5 (2) the person or the person's spouse:
3-6 (A) is employed by or participates in the
3-7 management of a business entity or other organization regulated by
3-8 the commission or receiving funds from the commission;
3-9 (B) owns or controls, directly or indirectly,
3-10 more than a 10 percent interest or a pecuniary interest with a
3-11 value exceeding $10,000 in:
3-12 (i) a business entity or other
3-13 organization regulated by the commission or receiving funds from
3-14 the commission; or
3-15 (ii) any utility competitor, utility
3-16 supplier, or other entity affected by a commission decision in a
3-17 manner other than by the setting of rates for that class of
3-18 customer;
3-19 (C) uses or receives a substantial amount of
3-20 tangible goods, services, or funds from the commission, other than
3-21 compensation or reimbursement authorized by law for commission
3-22 membership, attendance, or expenses; or
3-23 (D) notwithstanding Paragraph (B) of this
3-24 subdivision, has an interest in a mutual fund or retirement fund in
3-25 which more than 10 percent of the fund's holdings at the time of
3-26 appointment is in a single utility, utility competitor, or utility
3-27 supplier in this state and the person does not disclose this
4-1 information to the governor, senate, commission, or other entity,
4-2 as appropriate.
4-3 (f) Notwithstanding any other provision of this Act, a
4-4 person otherwise ineligible because of the application of
4-5 Subsection (e)(2)(B) of this section may be appointed to the
4-6 commission and serve as a commissioner or may be employed as the
4-7 [general counsel or] executive director if the person:
4-8 (1) notifies the attorney general and commission that
4-9 the person is ineligible because of the application of Subsection
4-10 (e)(2)(B) of this section; and
4-11 (2) divests the person or the person's spouse of the
4-12 ownership or control before beginning service or employment, or
4-13 within a reasonable time if the person is already serving or
4-14 employed at the time Subsection (e)(2)(B) of this section first
4-15 applies to the person.
4-16 SECTION 4. Subtitle B, Title I, Public Utility Regulatory
4-17 Act of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
4-18 amended by adding Sections 1.0235, 1.0241, and 1.0245 to read as
4-19 follows:
4-20 Sec. 1.0235. PROHIBITION ON SEEKING ANOTHER OFFICE. A
4-21 person may not seek nomination or election to another civil office
4-22 of this state or of the United States while serving as a
4-23 commissioner. If a commissioner files for nomination or election
4-24 to another civil office of this state or of the United States, the
4-25 person's office as commissioner immediately becomes vacant, and the
4-26 governor shall appoint a successor.
4-27 Sec. 1.0241. PROHIBITED ACTIVITIES. (a) During the period
5-1 of service with the commission or the State Office of
5-2 Administrative Hearings, a commissioner, commission employee, or
5-3 employee of the State Office of Administrative Hearings involved in
5-4 hearing utility cases may not:
5-5 (1) have a pecuniary interest in a rate regulated
5-6 entity, direct competitor, or affected entity;
5-7 (2) directly or indirectly own or control securities
5-8 in a rate regulated entity, direct competitor, or affected entity;
5-9 (3) accept a gift, gratuity, or entertainment from a
5-10 rate regulated entity, direct competitor, or affected entity;
5-11 (4) represent a person before the commission or State
5-12 Office of Administrative Hearings or a court in a particular matter
5-13 in which the commissioner or employee was personally involved while
5-14 associated with the commission or State Office of Administrative
5-15 Hearings; or
5-16 (5) directly or indirectly solicit, request from, or
5-17 suggest or recommend to a rate regulated entity, direct competitor,
5-18 or affected entity the appointment to a position or the employment
5-19 of a person, including an appointment or employment that would
5-20 violate Chapter 572, Government Code.
5-21 (b) A rate regulated entity, direct competitor, or affected
5-22 entity may not give or offer to give a gift, gratuity, employment,
5-23 or entertainment to a commissioner or a commission employee.
5-24 (c) It is not a violation of this section if a commissioner,
5-25 commission employee, or employee of the State Office of
5-26 Administrative Hearings, on becoming the owner of stocks, bonds, or
5-27 another pecuniary interest in a rate regulated entity, direct
6-1 competitor, or affected entity otherwise than voluntarily, informs
6-2 the commission or office, as appropriate, and the attorney general
6-3 of the ownership and divests the ownership or interest within a
6-4 reasonable time.
6-5 (d) It is not a violation of this section if a pecuniary
6-6 interest is held indirectly by ownership of an interest in a
6-7 retirement system, institution, or fund that in the normal course
6-8 of business invests in diverse securities independently of the
6-9 control of the commissioner, commission employee, or employee of
6-10 the State Office of Administrative Hearings.
6-11 (e) This section does not apply to a contract for a product
6-12 or service of a rate regulated entity, direct competitor, or
6-13 affected entity, or for equipment for use of such a product or
6-14 service, when a commissioner, commission employee, or employee of
6-15 the State Office of Administrative Hearings is acting as a
6-16 consumer.
6-17 (f) In this section:
6-18 (1) "Affected entity" means a business entity,
6-19 including an affiliate, that furnishes goods or services to rate
6-20 regulated entities, affiliates, or direct competitors if the value
6-21 of the goods or services is equal to at least the greater of
6-22 $10,000 or 10 percent of the affiliate's or entity's business. The
6-23 term includes the affiliate's or entity's agent, representative,
6-24 attorney, employee, officer, owner, director, or partner.
6-25 (2) "Direct competitor" means an entity that provides
6-26 services that are the same as, equivalent to, or substitutable for
6-27 services provided by a rate regulated entity within a geographic
7-1 market or submarket in this state at rates, terms, and conditions
7-2 that are comparable to those offered by the rate regulated entity.
7-3 (3) "Participated" means to have taken an action as a
7-4 commission officer or employee or employee of the State Office of
7-5 Administrative Hearings by approving, disapproving, or recommending
7-6 a decision, by giving advice, or by taking similar action.
7-7 (4) "Particular matter" means a specific
7-8 investigation, application, request for a ruling or determination,
7-9 rulemaking proceeding, contract, claim, charge, accusation, arrest,
7-10 or judicial or other proceeding.
7-11 (5) "Pecuniary interest" includes income,
7-12 compensation, and payment of any kind, in addition to an ownership
7-13 interest, as an officer, director, partner, owner, employee,
7-14 attorney, consultant, or otherwise.
7-15 (6) "Rate regulated entity" means:
7-16 (A) a public utility as defined by Section
7-17 2.0011 of this Act; or
7-18 (B) a dominant carrier as defined by Section
7-19 3.002 of this Act.
7-20 Sec. 1.0245. QUALIFICATIONS AND STANDARDS OF CONDUCT
7-21 INFORMATION. The executive director or the executive director's
7-22 designee shall provide to commissioners and commission employees as
7-23 often as necessary information regarding their:
7-24 (1) qualifications for office or employment under this
7-25 Act; and
7-26 (2) responsibilities under applicable laws relating to
7-27 standards of conduct for state officers and employees.
8-1 SECTION 5. Section 1.026(a), Public Utility Regulatory Act
8-2 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
8-3 amended to read as follows:
8-4 (a) It is a ground for removal from the commission if a
8-5 member:
8-6 (1) does not have at the time of appointment the
8-7 qualifications required by Section 1.023 of this Act;
8-8 (2) does not maintain during service on the commission
8-9 the qualifications required by Section 1.023 of this Act;
8-10 (3) violates a prohibition established by Section
8-11 1.023, 1.0235 [1.024], or 1.0241 [1.025] of this Act;
8-12 (4) cannot discharge the member's duties for a
8-13 substantial part of the term for which the member is appointed
8-14 because of illness or disability; or
8-15 (5) is absent from more than half of the regularly
8-16 scheduled commission meetings that the member is eligible to attend
8-17 during a calendar year unless the absence is excused by majority
8-18 vote of the commission.
8-19 SECTION 6. Sections 1.028(a), (c), and (d), Public Utility
8-20 Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas Civil
8-21 Statutes), are amended to read as follows:
8-22 (a) The commission shall employ an executive director[, a
8-23 general counsel,] and such officers and other employees as it deems
8-24 necessary to carry out the provisions of this Act. All employees
8-25 receive such compensation as is fixed by the legislature. The
8-26 commission shall develop and implement policies that clearly define
8-27 the respective responsibilities of the commission and the staff of
9-1 the commission.
9-2 (c) The commission [general counsel and his] staff is [are]
9-3 responsible for the gathering of information relating to all
9-4 matters within the authority of the commission.
9-5 (d) The duties of the commission staff [general counsel]
9-6 include:
9-7 (1) accumulation of evidence and other information
9-8 from public utilities and from the accounting and technical and
9-9 other staffs of the commission and from other sources for the
9-10 purposes specified herein;
9-11 (2) preparation and presentation of such evidence
9-12 before the commission or its appointed examiner in proceedings;
9-13 (3) conduct of investigations of public utilities
9-14 under the jurisdiction of the commission;
9-15 (4) preparation of proposed changes in the rules of
9-16 the commission;
9-17 (5) preparation of recommendations that the commission
9-18 undertake investigation of any matter within its authority;
9-19 (6) preparation of recommendations and a report of
9-20 such staff for inclusion in the annual report of the commission;
9-21 (7) protection and representation of the public
9-22 interest and coordination and direction of the preparation and
9-23 presentation of evidence from the commission staff in all cases
9-24 before the commission as necessary to effect the objectives and
9-25 purposes stated in this Act and ensure protection of the public
9-26 interest; [and]
9-27 (8) preparation of proposed orders under Section 1.105
10-1 of this Act;
10-2 (9) preparation of staff reports under Section 1.106
10-3 of this Act; and
10-4 (10) such other activities as are reasonably necessary
10-5 to enable the staff [him] to perform the staff's [his] duties.
10-6 SECTION 7. Section 1.0512, Public Utility Regulatory Act of
10-7 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
10-8 to read as follows:
10-9 Sec. 1.0512. PROHIBITION OF [EMPLOYMENT OR] REPRESENTATION.
10-10 (a) [The counsellor may not within two years, and an employee of
10-11 the office may not within one year after his employment with the
10-12 office has ceased, be employed by a public utility which was in the
10-13 scope of the counsellor's or employee's official responsibility
10-14 while the counsellor or employee was associated with the office.]
10-15 [(b)] During the time the counsellor or an employee of the
10-16 office is associated with the office [or at any time after], the
10-17 counsellor or employee may not represent a person, corporation, or
10-18 other business entity before the commission or State Office of
10-19 Administrative Hearings or a court in a particular matter in which
10-20 the counsellor or employee was personally involved while associated
10-21 with the office [or a matter that was within the counsellor's or
10-22 employee's official responsibility while the counsellor or employee
10-23 was associated with the office].
10-24 (b) In this section, "particular matter" has the meaning
10-25 assigned by Section 1.0241 of this Act.
10-26 SECTION 8. Section 1.054(a), Public Utility Regulatory Act
10-27 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
11-1 amended to read as follows:
11-2 (a) The Office of Public Utility Counsel:
11-3 (1) shall assess the impact of utility rate changes
11-4 and other regulatory actions on residential consumers in the State
11-5 of Texas and shall be an advocate in its own name of positions most
11-6 advantageous to a substantial number of such consumers as
11-7 determined by the counsellor;
11-8 (2) may appear or intervene as a matter of right as a
11-9 party or otherwise on behalf of residential consumers, as a class,
11-10 in all proceedings before the commission, including a proceeding
11-11 involving an alternative dispute resolution procedure;
11-12 (3) may appear or intervene as a matter of right as a
11-13 party or otherwise on behalf of small commercial consumers, as a
11-14 class, in all proceedings where it is deemed by the counsellor that
11-15 small commercial consumers are in need of representation, including
11-16 a proceeding involving an alternative dispute resolution
11-17 procedure;
11-18 (4) may initiate or intervene as a matter of right or
11-19 otherwise appear in any judicial proceedings involving or arising
11-20 out of any action taken by an administrative agency in a proceeding
11-21 in which the counsellor was authorized to appear, including a
11-22 proceeding involving an alternative dispute resolution procedure;
11-23 (5) may have access as any party, other than staff, to
11-24 all records gathered by the commission under the authority of
11-25 Subsection (a) of Section 1.203 of this Act;
11-26 (6) may obtain discovery of any nonprivileged matter
11-27 which is relevant to the subject matter involved in any proceeding
12-1 or petition before the commission;
12-2 (7) may represent individual residential and small
12-3 commercial consumers with respect to their disputed complaints
12-4 concerning utility services unresolved before the commission; and
12-5 (8) may recommend legislation to the legislature which
12-6 in its judgment would positively affect the interests of
12-7 residential and small commercial consumers.
12-8 SECTION 9. Subtitle D, Title I, Public Utility Regulatory
12-9 Act of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
12-10 amended by adding Sections 1.105-1.109 to read as follows:
12-11 Sec. 1.105. PROPOSED ORDERS. (a) The commission by rule
12-12 shall adopt procedures by which commission staff may issue a
12-13 proposed order to resolve all or part of a contested case before a
12-14 hearing.
12-15 (b) The rules must:
12-16 (1) prescribe the types of cases for which a proposed
12-17 order may be issued;
12-18 (2) prescribe any applicable deadlines for issuing the
12-19 order; and
12-20 (3) ensure that each party:
12-21 (A) retains the right to:
12-22 (i) a full hearing on issues that remain
12-23 in dispute; and
12-24 (ii) judicial review of issues that remain
12-25 in dispute;
12-26 (B) receives a copy of the proposed order; and
12-27 (C) has at least 21 days after receiving the
13-1 proposed order to object to the adoption of all or part of the
13-2 order.
13-3 (c) A proposed order or a part of a proposed order to which
13-4 a party does not object becomes final with commission approval.
13-5 Sec. 1.106. STAFF REPORTS. (a) The commission by rule
13-6 shall adopt procedures by which commission staff may prepare staff
13-7 reports detailing the information and evidence the staff would have
13-8 presented in a contested case hearing to protect and represent the
13-9 public interest and to effect the objectives and purposes stated in
13-10 this Act.
13-11 (b) The rules must:
13-12 (1) prescribe the types of cases for which staff
13-13 reports may be submitted instead of staff testimony;
13-14 (2) prescribe any applicable deadlines for filing the
13-15 staff reports with the commission;
13-16 (3) ensure that each party:
13-17 (A) retains the right to:
13-18 (i) a full hearing on each provision in
13-19 the staff report to which the party objects; and
13-20 (ii) judicial review of those provisions;
13-21 (B) receives a copy of a staff report; and
13-22 (C) has at least 14 days after receiving a staff
13-23 report to respond to the report or to object to the adoption of all
13-24 or part of the report;
13-25 (4) ensure that the commission may not act on a staff
13-26 report before the 30th day after the date it is filed with the
13-27 commission; and
14-1 (5) authorize the commission or an administrative law
14-2 judge to prescribe deadlines for action on a staff report in a
14-3 particular case.
14-4 (c) Notwithstanding any other provision of this Act, the
14-5 commission staff is not required to respond to a request for
14-6 discovery or for information from a party to a contested case
14-7 while the staff is preparing a staff report relating to that case.
14-8 Sec. 1.107. ALTERNATIVE DISPUTE RESOLUTION. (a) The
14-9 commission by rule shall adopt procedures by which the commission
14-10 may use an alternative dispute resolution procedure to resolve a
14-11 pending issue or proceeding.
14-12 (b) The rules must:
14-13 (1) provide that the commission may consider using an
14-14 alternative dispute resolution procedure on its own motion or at
14-15 the request of a party or an administrative law judge;
14-16 (2) require notice to each party that the commission
14-17 is considering the use of an alternative dispute resolution
14-18 procedure;
14-19 (3) provide that a party that objects to the use of
14-20 the procedure must file a written objection with the commission not
14-21 later than the 10th day after the date the party receives notice
14-22 under Subdivision (2) of this subsection; and
14-23 (4) prescribe any applicable deadlines for completion
14-24 of various alternative dispute resolution procedures.
14-25 (c) The commission may use an alternative dispute resolution
14-26 procedure if the commission does not receive a timely objection or
14-27 if the commission determines that an objection does not have a
15-1 reasonable basis.
15-2 (d) A residential or small commercial consumer who brings a
15-3 complaint or other action before the commission in which the value
15-4 does not exceed $10,000 may choose whether to use a contested case
15-5 proceeding or an alternative dispute resolution proceeding to
15-6 resolve the complaint or action.
15-7 (e) A deadline for a commission decision prescribed by
15-8 another provision of this Act, including Sections 2.2011, 2.211,
15-9 2.212, 3.211, 3.212, 3.2135, 3.2531, and 3.2532, is suspended
15-10 during the pendency of an alternative dispute resolution procedure.
15-11 Sec. 1.108. JURISDICTION TO ESTABLISH SERVICE QUALITY AND
15-12 RELIABILITY. The commission has jurisdiction over a person
15-13 required to register under Title II of this Act or to obtain a
15-14 certificate under Title III of this Act to the extent necessary to
15-15 establish and ensure service quality and reliability.
15-16 Sec. 1.109. CONSUMER EDUCATION. The commission may educate
15-17 and provide information to:
15-18 (1) consumers to assist them in making an informed
15-19 decision regarding electric and telecommunications services; and
15-20 (2) providers of electric and telecommunications
15-21 services relating to the providers' responsibilities under state
15-22 laws and regulations.
15-23 SECTION 10. Section 1.3215(e), Public Utility Regulatory Act
15-24 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
15-25 amended to read as follows:
15-26 (e) Within 14 days after the date the report is issued, the
15-27 executive director shall give written notice of the report to the
16-1 person. The notice may be given by certified mail. The notice
16-2 must include a brief summary of the alleged violation and a
16-3 statement of the amount of the recommended penalty and must inform
16-4 the person that the person has a right to a hearing on the
16-5 occurrence of the violation, the amount of the penalty, or both the
16-6 occurrence of the violation and the amount of the penalty. [Before
16-7 any penalty may be assessed under this section, the person against
16-8 whom the penalty may be assessed shall be given 30 days after
16-9 receiving from the executive director the notice of the report
16-10 summarizing the alleged violation pursuant to this subsection in
16-11 which to cure the violation and the person must fail to cure the
16-12 alleged violation within the 30-day period. The person against
16-13 whom the penalty may be assessed who claims to have cured the
16-14 alleged violation shall have the burden of proving to the
16-15 commission that the alleged violation was cured and was accidental
16-16 or inadvertent.]
16-17 SECTION 11. Section 1.323, Public Utility Regulatory Act of
16-18 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
16-19 to read as follows:
16-20 Sec. 1.323. PENALTY FOR VIOLATING SECTION 1.0235 OR 1.0241
16-21 [1.024] OF THIS ACT. (a) Any member of the commission or any
16-22 officer or director of a public utility or affiliated interest
16-23 shall be subject to a civil penalty of $1,000 for each and every
16-24 knowing violation of Section 1.0235 or 1.0241 [1.024] of this Act,
16-25 such penalty to be recovered in a suit filed in a court of
16-26 competent jurisdiction by the attorney general on his own
16-27 initiative or at the request of, in the name of, and on behalf of
17-1 the commission.
17-2 (b) Any person, other than an officer or director of a
17-3 public utility or affiliated interest or a member of the
17-4 commission, shall be subject to a civil penalty of $500 for each
17-5 and every knowing violation of Section 1.0235 or 1.0241 [1.024] of
17-6 this Act, such penalty to be recovered in a suit filed in a court
17-7 of competent jurisdiction by the attorney general on his own
17-8 initiative or at the request of, in the name of, and on behalf of
17-9 the commission.
17-10 (c) Any member, officer, or employee of the commission found
17-11 in any action by a preponderance of the evidence to have violated
17-12 any provision of Section 1.0235 or 1.0241 [1.024] of this Act shall
17-13 be removed from his office or employment.
17-14 SECTION 12. Section 1.401, Public Utility Regulatory Act of
17-15 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
17-16 by adding Subsection (d) to read as follows:
17-17 (d) Not later than January 15 of each odd-numbered year, the
17-18 commission shall submit to the legislature a report on complaints
17-19 received from consumers during the previous two years. The report
17-20 must include:
17-21 (1) information on the number of complaints that were
17-22 not resolved;
17-23 (2) the reasons the complaints were not resolved; and
17-24 (3) recommendations to correct consumer problems that
17-25 the commission does not have the authority to address.
17-26 SECTION 13. Section 2.003, Public Utility Regulatory Act of
17-27 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended
18-1 to read as follows:
18-2 Sec. 2.003. SCOPE OF COMPETITION. Before January 15 of each
18-3 odd-numbered year, the commission shall report to the legislature
18-4 on the scope of competition in electric markets and the impact of
18-5 competition and industry restructuring on customers in both
18-6 competitive and noncompetitive markets. The report shall include:
18-7 (1) an assessment of the impact of competition on the
18-8 rates and availability of electric services for residential and
18-9 small commercial customers;
18-10 (2) [and] a summary of commission actions over the
18-11 preceding two years that reflect changes in the scope of
18-12 competition in regulated electric markets;
18-13 (3) [. The report shall also include] recommendations
18-14 to the legislature for further legislation that the commission
18-15 finds appropriate to promote the public interest in the context of
18-16 a partially competitive electric market; and
18-17 (4) a report on complaints received from consumers
18-18 relating to electric service or electric utilities during the
18-19 previous two years that includes:
18-20 (A) information on the number of complaints that
18-21 were not resolved;
18-22 (B) the reasons the complaints were not
18-23 resolved; and
18-24 (C) recommendations to correct consumer problems
18-25 that the commission does not have the authority to address.
18-26 SECTION 14. Section 2.053(b), Public Utility Regulatory Act
18-27 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
19-1 amended to read as follows:
19-2 (b) The commission has the following jurisdiction over
19-3 exempt wholesale generators and power marketers that sell electric
19-4 energy in this state:
19-5 (1) to require registration as provided by Subsection
19-6 (c) of this section as a condition of doing business in this state;
19-7 [and]
19-8 (2) to revoke a registration for repeated violations
19-9 of this Act or commission rules; and
19-10 (3) to require the filing of reports the commission
19-11 prescribes by rule.
19-12 SECTION 15. Section 2.057(b), Public Utility Regulatory Act
19-13 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
19-14 amended to read as follows:
19-15 (b) The commission shall adopt rules relating to the
19-16 registration and reporting requirements of qualifying facilities,
19-17 exempt wholesale generators, and power marketers. The rules must
19-18 require that each qualifying facility, exempt wholesale generator,
19-19 and power marketer register with the commission as a condition of
19-20 doing business in this state. The commission may revoke a
19-21 registration for repeated violations of this Act or commission
19-22 rules.
19-23 SECTION 16. Section 3.051(c), Public Utility Regulatory Act
19-24 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
19-25 amended to read as follows:
19-26 (c) Except as provided by Subsections (l), (m), and (s) of
19-27 this section and Section 3.052 of this Act, the commission shall
20-1 only have the following jurisdiction over all telecommunications
20-2 utilities who are not dominant carriers:
20-3 (1) to require registration as provided in Subsection
20-4 (d) of this section as a condition of doing business in this state;
20-5 (2) to conduct such investigations as are necessary to
20-6 determine the existence, impact, and scope of competition in the
20-7 telecommunications industry, including identifying dominant
20-8 carriers in the local telecommunications and intralata
20-9 interexchange telecommunications industry and defining the
20-10 telecommunications market or markets, and in connection therewith
20-11 may call and hold hearings, issue subpoenas to compel the
20-12 attendance of witnesses and the production of papers and documents,
20-13 and make findings of fact and decisions with respect to
20-14 administering the provisions of this Act or the rules, orders, and
20-15 other actions of the commission;
20-16 (3) to require the filing of such reports as the
20-17 commission may direct from time to time;
20-18 (4) to require the maintenance of statewide average
20-19 rates or prices of telecommunications service;
20-20 (5) to require that every local exchange area have
20-21 access to local and interexchange telecommunications service,
20-22 except that a telecommunications utility must be allowed to
20-23 discontinue service to a local exchange area if comparable service
20-24 is available in the area and the discontinuance is not contrary to
20-25 the public interest; this section does not authorize the commission
20-26 to require a telecommunications utility that has not provided
20-27 services to a local exchange area during the previous 12 months and
21-1 that has never provided services to that same local exchange area
21-2 for a cumulative period of one year at any time in the past to
21-3 initiate services to that local exchange area; [and]
21-4 (6) to require the quality of telecommunications
21-5 service provided in each exchange to be adequate to protect the
21-6 public interest and the interests of customers of that exchange if
21-7 the commission determines that service to a local exchange has
21-8 deteriorated to the point that service is not reliable; and
21-9 (7) to revoke a registration for repeated violations
21-10 of this Act or commission rules.
21-11 SECTION 17. Section 3.051(s)(1), Public Utility Regulatory
21-12 Act of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
21-13 amended to read as follows:
21-14 (1) Except as otherwise specifically provided by this
21-15 Act, the commission shall have only the following authority over a
21-16 holder of a certificate of operating authority or service provider
21-17 certificate of operating authority:
21-18 (A) to enforce the applicable provisions of this
21-19 Act as provided by Subtitle I, Title I, of this Act;
21-20 (B) to assert jurisdiction over a specific
21-21 service in accordance with Section 3.2572 of this Act;
21-22 (C) to require co-carriage reciprocity; [and]
21-23 (D) to regulate condemnation and building
21-24 access;
21-25 (E) to establish and ensure service quality and
21-26 reliability; and
21-27 (F) to revoke a certificate under Section 3.263
22-1 of this Act.
22-2 SECTION 18. Section 3.2625(g), Public Utility Regulatory Act
22-3 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
22-4 amended to read as follows:
22-5 (g) The commission may order disconnection of service or
22-6 revocation of registration [for up to one year] for repeat
22-7 violations of this Act or commission rules.
22-8 SECTION 19. Section 3.263(a), Public Utility Regulatory Act
22-9 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
22-10 amended to read as follows:
22-11 (a) The commission at any time after notice and hearing may
22-12 revoke or amend any certificate of convenience and necessity,
22-13 certificate of operating authority, or service provider
22-14 certificate of operating authority if it finds that the certificate
22-15 holder has never provided or is no longer providing service in the
22-16 area or part of the area covered by the certificate. The
22-17 commission may also revoke a certificate of convenience and
22-18 necessity, certificate of operating authority, or service provider
22-19 certificate of operating authority for repeated violations of this
22-20 Act or commission rules.
22-21 SECTION 20. Section 3.608(a), Public Utility Regulatory Act
22-22 of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
22-23 amended to read as follows:
22-24 (a) The [commission shall adopt and enforce rules requiring
22-25 local exchange companies to establish a] universal service fund is
22-26 in the state treasury. Money in the fund may be appropriated only
22-27 to assist local exchange companies in providing basic local
23-1 telecommunications service at reasonable rates in high cost rural
23-2 areas, to reimburse local exchange companies for revenues lost as a
23-3 result of providing tel-assistance service under this Act, to
23-4 reimburse the telecommunications carrier providing the statewide
23-5 telecommunications relay access service for the hearing-impaired
23-6 and speech-impaired as authorized in Section 3.604 of this Act, and
23-7 to reimburse the Texas Department of Human Services and the
23-8 commission for costs incurred in implementing the provisions of
23-9 this subtitle.
23-10 SECTION 21. (a) The Public Utility Commission of Texas and
23-11 the comptroller shall conduct a joint study of the structure of the
23-12 gross receipts tax imposed under Section 1.351, Public Utility
23-13 Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas Civil
23-14 Statutes). The study must include an examination of the potential
23-15 effect of deregulation on the revenue generated by the tax during
23-16 the next 10 years.
23-17 (b) The Public Utility Commission of Texas and the
23-18 comptroller shall prepare a joint report detailing their findings.
23-19 The report must include recommendations on any problems or issues
23-20 the commission and the comptroller determine should be addressed by
23-21 legislation or agency action.
23-22 (c) Not later than January 15, 1999, the Public Utility
23-23 Commission of Texas and the comptroller shall submit the report
23-24 required by Subsection (b) of this section to the 76th Legislature.
23-25 SECTION 22. Sections 1.024 and 1.025, Public Utility
23-26 Regulatory Act of 1995 (Article 1446c-0, Vernon's Texas Civil
23-27 Statutes), are repealed.
24-1 SECTION 23. This Act takes effect September 1, 1997.
24-2 SECTION 24. The importance of this legislation and the
24-3 crowded condition of the calendars in both houses create an
24-4 emergency and an imperative public necessity that the
24-5 constitutional rule requiring bills to be read on three several
24-6 days in each house be suspended, and this rule is hereby suspended.