By: Gallego H.B. No. 3941

A BILL TO BE ENTITLED

AN ACT

relating to the elimination, temporary suspension, and lawful uses of certain state fees and taxes.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 39.903, Utility Code, is amended by amending Subsections (a), (b), and (e) and by adding Subsection (m) to read as follows:

Sec. 39.903. SYSTEM BENEFIT FUND. (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.

(b) Except as provided by Subsection (m), the [The] system benefit fund is financed by a nonbypassable fee set by the commission in an amount not to exceed 65 cents per megawatt hour. The system benefit fund is allocated to customers based on the amount of kilowatt hours used.

(e) Money in the system benefit fund may be appropriated to provide funding solely for the following regulatory purposes, in the following order of priority:

(1) programs to:

(A) assist low-income electric customers by providing the 10-20 percent reduced rate prescribed by Subsection (h); and

(B) provide one-time bill payment assistance to electric customers who have been threatened with disconnection for nonpayment and:

(i) met the criteria for receiving a reduced rate but did not receive any assistance in the prior fiscal year or

(ii) are or who have in their households one or more seriously ill or disabled low-income persons [and who have been threatened with disconnection for non-payment];

(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);

(4) programs to assist low-income electric customers by providing the 20% reduced rate prescribed by Subsection (h); and

(5) reimbursement to the commission and the Health and Human Services Commission 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.

(m) The fee prescribed by Subsection (b) is suspended during any fiscal year for which the amount of money in the fund, including balances from a prior fiscal year, exceeds the amount appropriated for that fiscal year. The commission by rule shall adopt procedures for implementing this section.

SECTION 2. Section 771.071 Health and Safety Code, is amended by adding Subsection (g) to read as follows:

(g) The fee prescribed under this Section is suspended during any fiscal year for which the amount of money in the fund, including balances from a prior fiscal year, exceeds the amount appropriated for that fiscal year. The commission by rule shall adopt procedures for implementing this section.

SECTION 3. Section 771.0711, Health and Safety Code, is amended by amending Subsection (a) and adding Subsection (k) to read as follows:

Sec. 771.0711. EMERGENCY SERVICE FEE FOR WIRELESS TELECOMMUNICATIONS CONNECTIONS. (a) Except as provided by Subsection (k), to [To] provide for automatic number identification and automatic location identification of wireless 9-1-1 calls, the commission shall impose on each wireless telecommunications connection a 9-1-1 emergency service fee. A political subdivision may not impose another fee on a wireless service provider or subscriber for 9-1-1 emergency service.

(k) The fee prescribed under Subsection (a) is suspended during any fiscal year for which the amount of money in the fund, including balances from a prior fiscal year, exceeds the amount appropriated for that fiscal year. The commission by rule shall adopt procedures for implementing this section.

SECTION 4. Section 771.072, Health and Safety Code, is amended by amending Subsection (a) and adding Subsection (h) to read as follows:

Sec. 771.072. EQUALIZATION SURCHARGE. (a) Except as provided by Subsection (h), in [In] addition to the fee imposed under Section 771.071, the commission shall impose a 9-1-1 equalization surcharge on each customer receiving intrastate long-distance service, including customers in an area served by an emergency communication district, even it the district is not participating in the regional plan.

(h) The fee prescribed under Subsection (a) is suspended during any fiscal year for which the amount of money in the fund, including balances from a prior fiscal year, exceeds the amount appropriated for that fiscal year. The commission by rule shall adopt procedures for implementing this section.

SECTION 5. Subchapter C (Telecommunications Infrastructure Fund), Chapter 57, Utilities Code, is repealed.

SECTION 6. This Act takes effect on September 1, 2007.