SRC-TJG, LBB H.B. 2548 78(R)   BILL ANALYSIS


Senate Research Center   H.B. 2548
By: King (Fraser)
Business & Commerce
5/18/2003
Engrossed


DIGEST AND PURPOSE 

Currently, under the Public Utilities Regulatory Act it is unclear whether
the Public Utility Commission of Texas (PUC) has the authority to order a
public utility to construct transmission and distribution infrastructure.
H.B. 2548 clarifies that PUC has the authority to order the construction
of such transmission and distribution facilities. 

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 35.004(d), Utilities Code, to authorize the
Public Utility Commission (PUC), notwithstanding Section 36.054(a), if it
determines that conditions warrant the action, to authorize the inclusion
of construction work in progress in the rate base for transmission
investment required by PUC under Section 39.203(e). 

SECTION 2.  Amends Section 37.056(c), Utilities Code, to require PUC to
grant each certificate on a nondiscriminatory basis after considering
certain information. 
  
SECTION 3.  Amends Section 39.203(e), Utilities Code, to authorize PUC to
require an electric utility or a transmission and distribution utility to
construct or enlarge facilities to ensure safe and reliable service for
the state's electric markets and to reduce transmission constraints within
ERCOT in a cost-effective manner where the constraints are such that they
are not being resolved through Chapter 37 or the ERCOT transmission
planning process.  

SECTION 4.  Effective date:  upon passage or September 1, 2003.