MINUTES 
          
           SENATE INTERIM COMMITTEE ON ELECTRIC UTILITY RESTRUCTURING 
                           Friday, September 26, 1997 
                                     9:30 am 
                                 Senate Chamber 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, the organizational meeting of the Senate Interim  
         Committee on Electric Utility Restructuring was held on  
         Friday, September 26, 1997 in the Senate Chamber at Austin,  
         Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBER ABSENT: 
         Senator David Sibley                    Senator Troy Fraser 
         Senator Kenneth Armbrister 
         Senator Gonzalo Barrientos 
         Senator Teel Bivins 
         Senator David Cain 
         Senator Jane Nelson 
          
                                      ***** 
          
         The Chairman called the meeting to order at 9:40 am.  There  
         being a quorum present, the following business was transacted. 
          
         Chairman Sibley discussed the interim charge for the  
         Committee, and laid out the proposed schedule of hearings.   
         Senator Bivins will host the next meeting in Amarillo; a date  
         for the meeting will be set as soon as possible. 
          
         The Chair advised that the hearing would begin with a  
         background of the electric industry and a  regulatory update  
         to be presented by Pat Wood, Chairman, and Judy Walsh,  
         Commissioner, Public Utility Commission.   
          
         Following Chairman Wood and Commissioner Walsh's testimony and  
         response to members' questions, Chairman Sibley advised that  
         invited testimony on electric utility restructuring issues  
         would commence.  The following invited witnesses testified and  
         responded to members' questions: 
           
              Julie Moore, and Ron Lanclos, representing Texas  
         Coalition for Competitive Electricity, and 
                Milton Ramsey, representing Chevron 
              Bob Reilley, representing Enron Corporation 
              Curtis Seidlits, representing Association of Electric  
         Companies of Texas, Robert M.        Fillmore, Texas Utilities  
         Electric Company, and Steve Schaeffer, Houston Industries,  
  
         Inc. 
              Suzi Ray McClellan, representing Office of Public Utility  
         Counsel 
              Mike Williams, representing Texas Electric Cooperatives 
              Mark Zion, representing Texas Public Power Association 
              Monte Akers, representing Texas Municipal League 
              Michael R. Moore, representing Texas Retailers  
         Association 
              Dr. Ramon Alvarez, representing the Environmental Defense  
         Fund 
              Janee Briesemeister, representing the Consumers Union 
          
         Upon completion of the invited witnesses' testimony and  
         response to members' questions, Chairman Sibley advised that  
         public testimony would be heard.  The following witnesses  
         testified and responded to members' questions: 
          
              James Fitzpatrick, representing American Association of  
         Retired Persons 
              Lora Williams, representing Consumers Alliance of the  
         Southeast 
              Peggy Venable, representing Texas Citizens for a Sound  
         Economy 
              Carol Biedrzycki, representing Texas Rose, Texas Legal  
         Services Center 
              Tom Smith, representing Public Citizen 
              Randy Eminger, representing the Center for Energy and  
         Economic Development 
              Susan Pitman, representing the American Lung Association 
              Jim Jeffrey, representing himself and the Goose Creek  
         School District 
              John A. Monus, Jr., representing himself 
          
         Those shown below registered for electric utility  
         restructuring but did not wish to testify: 
               
              Robert Wright, consultant for Union Carbide 
              Carol Jones, representing herself 
          
         There being no further business, at 3:10 pm Chairman Sibley  
         moved that the Committee stand recessed subject to the call of  
         the Chair.  Without objection, it was so ordered.   
          
         __________________________ 
         Senator David Sibley, Chairman 
          
         __________________________ 
         Barbara Henderson, Clerk