LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

March 26, 2007

TO:	Honorable Phil King, Chair, House Committee on Regulated Industries
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB2937 by McReynolds (Relating to the delay of retail electric competition in certain areas of the state.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would amend the Utilities Code relating to the delay of retail electric competition in certain areas of the state by prohibiting the Public Utility Commission (PUC) from considering or implementing retail electric competition in certain electric control areas unless instructed by legislative action and requiring certain electric utilities to file with the PUC for the recovery of certain costs relating to a transition to competition plan.

Based on the analysis of the PUC, it is assumed that duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.

This bill would take effect immediately upon receiving a vote of two-thirds of all members elected to each house or would otherwise take effect on September 1, 2007.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

473 Public Utility Commission of Texas

LBB Staff:

JOB, JRO, TGl