Amend CSSB 7 as follows: (1) In Section 35.103(a), Utilities Code, in SECTION 18 of the bill (Committee Printing page 8, line 66) strike "The" and substitute "Except as provided in Section 35.104, the". (2) In Section 35.104, Utilities Code, in SECTION 18 of the bill (Committee Printing page 9, line 6) insert before "In a certificated" the following new sentence: "Sections 35.102, 35.103, and 35.105 shall not apply to the rates, retail service area, facilities or public retail customers of a municipally owned electric utility that has not adopted customer choice or an electric cooperative that has not adopted customer choice." (3) In Section 35.104, Utilities Code, in SECTION 18 of the bill (Committee Printing page 9, line 7) insert "of an electric utility" between "service area" and "in which customer choice has not been introduced,". (4) In Section 35.105, Utilities Code, in SECTION 18 of the bill (Committee Printing page 9, line 11) strike ", a municipally owned utility, or an electric cooperative". (5) In Section 35.105, Utilities Code, in SECTION 18 of the bill (Committee Printing page 9, line 15) add to the end of the section, "The rates of a municipally owned utility or electric cooperative shall be set in accordance with the provisions of Chapter 40 and 41, respectively."