By Longoria H.B. No. 3734
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 Relating to affordable electricity and energy efficiency programs
1-3 for low-income customers.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subtitle B, Title 2, Utilities Code, is amended
1-6 by adding Chapter 39 to read as follows:
1-7 CHAPTER 39. AFFORDABLE ELECTRICITY PROGRAMS
1-8 Sec. 39.001. DEFINITION. In this chapter, "low-income
1-9 customer" means a customer of an electric utility eligible to
1-10 receive benefits under federal and state funded income tested
1-11 programs administered by the Texas Department of Human Services and
1-12 federal and state funded programs administered by the Texas
1-13 Department of Housing and Community Affairs.
1-14 Sec. 39.002. ESTABLISHMENT OF PROGRAM. The commission shall
1-15 develop affordable electricity and energy efficiency programs for
1-16 low-income customers that include:
1-17 (1) discounted rates as provided by Section 39.003 or
1-18 aggregation projects as provided by Section 39.004; and
1-19 (2) financing of targeted energy efficiency programs
1-20 coordinated to the maximum extent feasible with the federally
1-21 funded weatherization and other low-income energy efficiency
2-1 programs administered by the Texas Department of Housing and
2-2 Community Affairs.
2-3 Sec 39.003 AFFORDABLE ELECTRICITY. (a) Except as provided
2-4 by Section 39.004, the commission by rule shall require an electric
2-5 utility to file a tariff that includes a reduced rate for electric
2-6 service provided to low-income customers. The tariff:
2-7 (1) may concern the implementation of this chapter
2-8 only;
2-9 (2) is not a rate change under Subchapter C, Chapter
2-10 36; and
2-11 (3) does not affect the utility's other rates or
2-12 services.
2-13 (b) The reduced rate required by this section must be
2-14 approximately 20 percent lower than the rate that the customer
2-15 would otherwise be charged, and must apply to the amount of
2-16 electricity the commission determines is sufficient to provide
2-17 necessary lighting, refrigeration, heating, and cooling for the
2-18 customer.
2-19 (c) The reduced rate may not vary by time of day or season,
2-20 except that the commission may increase the amount of the
2-21 reduction:
2-22 (1) during periods when severe weather occurs or is
2-23 likely to occur; or
2-24 (2) for customers living in all-electric dwelling
2-25 units or who depend on electrically-operated medical equipment.
3-1 (d) The utility may not charge a customer a fee for
3-2 participation in the reduced rate program and shall offer each
3-3 low-income customer a levelized payment plan.
3-4 (e) The Texas Department of Human Services shall provide
3-5 automatic enrollment in the reduced rate program for each
3-6 low-income customer who receives benefits under federal and state
3-7 funded income tested programs administered by the Texas Department
3-8 of Human Services. An alternative procedure for establishing
3-9 eligibility shall be implemented for income eligible customers that
3-10 do not currently receive benefits through a program administered
3-11 through the Texas Department of Human Services.
3-12 Sec. 39.004. AGGREGATION PROJECTS. (a) If otherwise
3-13 permitted by law, the commission may establish pilot projects to
3-14 provide for the aggregation of the acquisition of electricity by
3-15 low-income customers. The projects may include acquisition of
3-16 electricity for low-income customers by the General Services
3-17 Commission as part of an aggregated acquisition of electricity for
3-18 state agencies. The General Services Commission shall cooperate
3-19 with the commission in carrying out programs under this section.
3-20 (b) If the commission determines that aggregation will
3-21 provide an equivalent or greater level of discount and service as
3-22 the affordable electricity program under Section 39.003, the
3-23 commission by the rule may continue the aggregation programs and
3-24 discontinue the affordable electricity program.
3-25 Sec. 39.005. FUNDING. (a) Each electric utility shall pay
4-1 an annual assessment in the amount determined by the commission to
4-2 be necessary to fund the activities specified by Subsection(b), but
4-3 not more than one mill for each kilowatt hour sold by the utility
4-4 to retail customers in this state.
4-5 (b) The assessment under this section must be collected by
4-6 the comptroller and deposited to the credit of the affordable
4-7 electricity account. The affordable electricity account is an
4-8 account in the general revenue fund that may be appropriated only
4-9 to:
4-10 (1) reimburse electric utilities, in amounts and by
4-11 the method determined by the commission, for providing reduced
4-12 rates under Section 39.003; and
4-13 (2) fund targeted energy efficiency programs provided
4-14 under Section 39.002 in an amount which represents a minimum of
4-15 fifteen percent of the assessment collected by the comptroller.
4-16 (c) The comptroller may require an electric utility to
4-17 provide any report or information necessary to fulfill the
4-18 comptroller's duties under this section.
4-19 SECTION 2. This Act takes effect September 1, 1999.
4-20 SECTION 3. The importance of this legislation and the
4-21 crowded condition of the calendars in both houses create an
4-22 emergency and an imperative public necessity that the
4-23 constitutional rule requiring bills to be read on three several
4-24 days in each house be suspended, and this rule is hereby suspended.