1-1                                   AN ACT
 1-2     relating to the recovery of certain relocation costs by a gas
 1-3     utility.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 104.112, Utilities Code, is amended by
 1-6     amending Subsection (d) and adding Subsection (e) to read as
 1-7     follows:
 1-8           (d)  Not later than the 35th [30th] day after the date an
 1-9     application under Subsection (b) is received [on which all of the
1-10     documentation required by Subsection (c) has been received], the
1-11     regulatory authority shall administratively grant or deny the
1-12     application. Denial of the application must be based on a finding
1-13     that:
1-14                 (1)  the relocation was not necessary or required;
1-15                 (2)  the costs of the relocation were excessive or not
1-16     supported;
1-17                 (3)  the utility did not pursue reimbursement from the
1-18     entity requiring the relocation, if applicable;
1-19                 (4)  the surcharge is unduly discriminatory among
1-20     customers or classes of customers located in the service area; or
1-21                 (5)  the period over which the relocation costs are
1-22     designed to be recovered is less than one or more than three years.
1-23           (e)  If the regulating authority does not make a decision
1-24     before the deadline prescribed by Subsection (d), the application
 2-1     is approved.
 2-2           SECTION 2. This Act takes effect September 1, 2001, and
 2-3     applies only to  an application received on or after that date.  An
 2-4     application received before September 1, 2001, is governed by the
 2-5     law in effect on the date the application was received, and the
 2-6     former law is continued in effect for that purpose.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 2718 was passed by the House on May
         5, 2001, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 2718 was passed by the Senate on May
         22, 2001, by the following vote:  Yeas 30, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor