SRC-JLB S.B. 1201 78(R) BILL ANALYSIS Senate Research Center S.B. 1201 78R5963 JJT-FBy: Lucio Natural Resources 5/14/2003 As Filed DIGEST AND PURPOSE Currently, certain utilities are claiming that giving the cost-based transportation rates for natural gas to state agencies means that it must be given to all members of the commercial class of customers, which raises the specter of intra-class discrimination with private commercial customers. As proposed, S.B. 1201 redefines a public retail customer to expand the class to include all public retail customers. 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 35.101(2), Utilities Code, to redefine "public retail customer." SECTION 2. Amends Section 35.102, Utilities Code, as follows: Sec. 35.102. STATE AUTHORITY TO SELL OR CONVEY POWER. Authorizes the remainder of the power, if any, to be sold to other public retail customers. Deletes text including "political subdivisions of the state" as a modifier to the phrase "public retail customers." SECTION 3. Effective date: upon passage or September 1, 2003.