79R2858 JJT-D
By: Turner H.B. No. 554
A BILL TO BE ENTITLED
AN ACT
relating to the system benefit fund and to eligibility for and
enrollment for benefits under the fund.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 39.903(a), Utilities Code, as amended by
Chapters 211 and 1296, Acts of the 78th Legislature, Regular
Session, 2003, is reenacted and amended to read as follows:
(a) The system benefit fund is an account in the general
revenue fund. Money in the account may be appropriated only for the
purposes provided by this section [or other law]. Interest earned
on the system benefit fund shall be credited to the fund. Section
403.095, Government Code, does not apply to the system benefit
fund.
SECTION 2. Section 39.903(e), Utilities Code, as amended by
Chapters 1394, 1451, and 1466, Acts of the 77th Legislature,
Regular Session, 2001, is reenacted and amended to read as follows:
(e) Money in the system benefit fund may be appropriated to
provide funding solely for the following [regulatory] purposes,
[and] in the following order of priority:
(1) programs to assist low-income electric customers
by providing the 10 to 20 percent reduced rate prescribed by
Subsection (h);
(2) customer education programs, administrative
expenses incurred by the commission in implementing and
administering this chapter, and expenses incurred by the office
under this chapter;
(3) programs to assist low-income electric customers
by providing the targeted energy efficiency programs described by
Subsection (f)(2); and
(4) the school funding loss mechanism provided by
Section 39.901 [;
[(5) programs to assist low-income electric customers
by providing the 20 percent reduced rate prescribed by Subsection
(h); and
[(6) reimbursement to the commission and the Texas
Department of Human Services for expenses incurred in the
implementation and administration of an integrated eligibility
process created under Section 17.007 for customer service discounts
relating to retail electric service, including outreach expenses
the commission determines are reasonable and necessary].
SECTION 3. Section 39.903, Utilities Code, is amended by
adding Subsection (e-1) to read as follows:
(e-1) In addition to the purposes and priorities provided by
Subsection (e), the commission may use money from the system
benefit fund to educate residential and small business customers of
available benefits of the fund. The purpose for which money may be
used under this subsection has the same priority as the purpose
prescribed by Subsection (e)(1). This subsection expires August
31, 2006.
SECTION 4. Section 39.903(j), Utilities Code, is amended to
read as follows:
(j) The commission shall adopt rules providing for methods
of enrolling customers eligible to receive reduced rates under
Subsection (h). The rules must provide for automatic enrollment as
one enrollment option. The Health and Human Services Commission
[Texas Department of Human Services], on request of the commission,
shall assist in the adoption and implementation of these rules. The
commission and the Health and Human Services Commission [Texas
Department of Human Services] shall enter into a memorandum of
understanding establishing the respective duties of the agencies
[commission and the department] in relation to the automatic
enrollment. The commission shall establish a goal under this
subsection of enrolling at least 95 percent of customers eligible
to receive reduced rates under Subsection (h). Not later than
December 1 of each even-numbered year, the commission shall
estimate the total number of customers who are eligible for the
reduced rates and shall compare the number of enrolled customers to
that goal. If the goal has not been met, the commission shall use
money from the fund that is available to the commission for
administrative purposes to provide education and outreach
concerning programs available under this section until the goal is
met. The commission shall prepare a report each calendar quarter
with information concerning the enrollment of customers eligible
for the reduced rates and efforts to meet the goal prescribed by
this subsection. The commission shall compile the information into
an annual report to be published for public distribution not later
than January 1 of each odd-numbered year. The commission shall send
a copy of each quarterly and annual report to each member of the
legislature and the electric utility restructuring legislative
oversight committee. In estimating under this subsection the
number of customers who are eligible for the reduced rates, the
commission shall use information provided by the Health and Human
Services Commission regarding persons who meet the definition of
"low-income electric customer," according to household income or
participation in a program described by Subsection (l). The Health
and Human Services Commission shall provide the information to the
commission each calendar quarter.
SECTION 5. Section 39.903(l), Utilities Code, is amended to
read as follows:
(l) For the purposes of this section, a "low-income electric
customer" is an electric customer:
(1) whose household income is not more than 125
percent of the federal poverty guidelines; or
(2) in whose household resides a person who:
(A) receives food stamps or medical assistance
from the Health and Human Services Commission;
(B) receives federal housing assistance; or
(C) has a child enrolled in the national school
lunch program of free or reduced-price lunches [Texas Department of
Human Services or medical assistance from a state agency
administering a part of the medical assistance program].
SECTION 6. The system benefit fund described by Section
39.903, Utilities Code, as amended by this Act, is re-created as a
separate account in the general revenue fund, and money in the
account is rededicated for the purposes described by that section.
SECTION 7. The Public Utility Commission of Texas shall
adopt rules required by Section 39.903, Utilities Code, as amended
by this Act, not later than January 1, 2006.
SECTION 8. This Act takes effect September 1, 2005.