By Lewis of Orange                                    H.B. No. 2718
         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 recovery of certain relocation costs by a gas utility.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 104.112, (d), Utilities Code, is amended
 1-5     to read as follows:
 1-6           Sec. 104.112.  SURCHARGE TO RECOVER RELOCATION COSTS. (a)
 1-7     This section applies to a gas utility's costs of relocating a
 1-8     facility to accommodate construction or improvement of a highway,
 1-9     road, street, public way, or other public work by or on behalf of
1-10     the United States, this state, a political subdivision of this
1-11     state, or another entity having the power of eminent domain that
1-12     are not reimbursed by a source other than as provided by this
1-13     section.
1-14           (b)  A gas utility may recover its relocation costs to which
1-15     this section applies through a surcharge on gas volumes sold and
1-16     transported to customers in the service area where the relocation
1-17     occurred by applying to each appropriate regulatory authority for a
1-18     new rate schedule or tariff.  The gas utility is not required to
1-19     file a statement of intent to increase rates to institute the
1-20     surcharge, and the other provisions of this subchapter, other than
1-21     appeal rights, do not apply to institution of the surcharge.
1-22           (c)  An application under Subsection (b) must include
 2-1     sufficient documentation to demonstrate:
 2-2                 (1)  the requirement for each relocation;
 2-3                 (2)  the entity requiring the relocation;
 2-4                 (3)  costs incurred for relocation of comparable
 2-5     facilities;
 2-6                 (4)  surcharge computations; and
 2-7                 (5)  that reasonable efforts have been made to receive
 2-8     reimbursement from the entity requiring the relocation, if
 2-9     applicable.
2-10           (d)  Not later than the [30]5th day after the date on which
2-11     [all of the documentation required by] the filing is made under
2-12     Subsection [(c)](b), [has been received, the regulatory authority
2-13     shall administratively grant or deny] the application is deemed
2-14     approved unless denied by the regulatory authority[.  Denial of the
2-15     application must be based] on a finding that:
2-16                 (1)  the relocation was not necessary or required;
2-17                 (2)  the costs of the relocation were excessive or not
2-18     supported;
2-19                 (3)  the utility did not pursue reimbursement from the
2-20     entity requiring the relocation, if applicable;
2-21                 (4)  the surcharge is unduly discriminatory among
2-22     customers or classes of customers located in the service area; or
2-23                 (5)  the period over which the relocation costs are
2-24     designed to be recovered is less than one or more than three years.
2-25           SECTION 2.  This Act takes effect September 1, 2001, and
2-26     applies only to a relocation project commenced on or after that
 3-1     date.
 3-2           SECTION 3.  The importance of this legislation and the
 3-3     crowded condition of the calendars in both houses create an
 3-4     emergency and an imperative public necessity that the
 3-5     constitutional rule requiring bills to be read on three several
 3-6     days in each house be suspended, and this rule is hereby suspended.