MINUTES 
          
           SENATE INTERIM COMMITTEE ON ELECTRIC UTILITY RESTRUCTURING 
                            Friday, December 12, 1997 
                                    10:00 am 
                                 Amarillo, Texas 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Committee on  
         Electric Utility Restructuring was held on Friday, December  
         12, 1997 in Amarillo, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBER ABSENT: 
         Senator David Sibley                    Senator Gonzalo  
         Barrientos 
         Senator Kenneth Armbrister 
         Senator Teel Bivins 
         Senator David Cain 
         Senator Troy Fraser 
         Senator Jane Nelson 
          
                                      ***** 
          
         Chairman Sibley called the meeting to order at 10:05 am.   
         There being a quorum present, the following business was  
         transacted.   
          
         The Chairman expressed his appreciation to Mayor Seliger and  
         to Senator Bivins for hosting the hearing in Amarillo, and  
         Senator Bivins welcomed the Committee to his district.   
         Chairman Sibley explained the issues the Committee would focus  
         on at this hearing and called the first invited panel to  
         address market power and structure of retail market.  The  
         panelists were: 
          
              Steve Schaeffer, Houston Industries 
              Bob Reilley, Enron Corporation 
              Bob Bryant, Golden Spread Electric Cooperative 
              Suzi Ray McClellan, Texas Public Utility Counsel 
              Judy Walsh, Texas Public Utility Commission 
              Stephanie Kroger, Texas Coalition for Competitive  
         Electricity 
          
         The panelists presented their testimony and responded to  
         questions from the Committee members. 
          
         At 12:40 p.m. Chairman Sibley recessed the hearing for a  
         thirty minute break.  
          
         The Committee reconvened at 1:15 pm, and the Chairman called  
         the second invited panel to address the issues of transmission  
         and distribution system; and metering, billing and collection.   
         The panelists were: 
          
              Tom Baker, Texas Utilities 
              Jim Collins, LG&E Energy Marketing 
              Chris King, CellNet Data Systems 
              Brady Belk, LCRA 
              Pat Wood, Texas Public Utility Commission 
              Arthur von Rosenberg, Texas Public Power Association.   
          
         Following testimony, the panelists responded to members'  
         questions. 
          
         Upon completion of the invited testimony, Chairman Sibley  
         advised that public testimony would begin and called the first  
         witness.  The following witnesses testified and responded to  
         the Committee members' questions: 
          
              Ty Cooke, Mayor Pro-Tem, Lubbock, Texas 
              T. J. Miller, Mayor, Plains, Texas 
              John Stauffacher, representing NGC Corp., Houston, Texas 
              Lois Wales, representing herself, Dimmit, Texas 
              Clayton White, representing International Brotherhood of  
         Electrical Workers, Amarillo,        Texas 
              Robert Goodrich, representing himself, Amarillo, Texas 
              Matt Griffith, representing Texas Panhandle Builders  
         Association, Amarillo, Texas 
              Benny Nixon, representing S.P.E.C. and Texas Electric  
         Cooperative, Lubbock, Texas 
              Vick Christian, farmer and rancher, Farwell, Texas 
              Robert Caudle, representing Lea County Electric Co-op,  
         Midland, Texas 
              Brenda Patterson, representing herself, Lubbock, Texas 
              Jesse D. Martin, representing himself, Amarillo, Texas 
              Clayton Spears, representing himself, Amarillo, Texas 
          
         The following persons registered but did not testify: 
          
              Tom Smith, representing Public Citizen, Austin, Texas 
              Joann Harwell, representing herself, Vega, Texas 
              Robert Little, representing himself, Dallas, Texas 
              Johnny Richmond, representing the elderly and low income,  
         Amarillo, Texas 
              Vaughn Nelson, representing Texas Energy Coordination  
         Council, Canyon, Texas 
              Robert King, representing National Association of Energy  
         Service Companies, Austin, Texas 
          
         Upon completion of testimony and members' questions, at 3:50  
         pm Chairman Sibley moved that the Committee stand recessed  
         subject to the call of the Chairman.  Without objection, it  
         was so ordered.   
          
              SENATE INTERIM COMMITTEE ON ELECTRIC UTILITY RESTRUCTURING 
                                                                 Minutes 
                                               Friday, December 12, 1997 
                                                                   page   3 
          
         __________________________ 
         Senator David Sibley, Chairman 
          
         __________________________ 
         Barbara Henderson, Clerk