SRC-AMY H.B. 1531 78(R)   BILL ANALYSIS


Senate Research Center   H.B. 1531
78R9752 CBH-FBy: Cook, Robby (Armbrister)
Business & Commerce
4/25/2003
Engrossed


DIGEST AND PURPOSE 

Currently, the Utilities Code contains the general powers of utilities and
refers to corporations engaged in the utility business.  Recently, some
local courts have questioned whether master limited partnerships and
limited partnerships are included in the definition of corporation under
the Utilities Code.  H.B. 1531 provides that a utility organized as a
master limited partnership or limited partnership is considered a utility
corporation, and includes in the definition any entity that is an electric
or gas utility regardless of the form of business organization. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 181.001(1), Utilities Code, to redefine
"corporation" to include a limited partnership, master limited
partnership, a combination of business entities composed exclusively of
corporations or in which a corporation is a general partner, and a gas
utility or electric utility regardless of form of organization, but
excludes a municipally owned utility from the definition. 

SECTION 2.  Effective date:  upon passage or September 1, 2003.