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A BILL TO BE ENTITLED
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AN ACT
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relating to recovery of certain investments by electric utilities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 35.054(a), Utilities Code, is amended by |
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as follows: |
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Sec. 36.054. CONSTRUCTION WORK IN PROGRESS. (a) |
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Construction work in progress, at cost as recorded on the electric |
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utility's books, may be included in the utility's rate base. The
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inclusion of construction work in progress is an exceptional form
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of rate relief that the regulatory authority may grant only if the
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utility demonstrates that inclusion is necessary to the utility's
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financial integrity.
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2007. |