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:	HB3019 by Chisum (Relating to recovery of certain investments by electric utilities.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would amend the Utilities Code relating to recovery of certain investments by electric utilities by removing the requirement that a utility demonstrate that the inclusion of construction work in progress in its rate base would be necessary to maintain the utility’s financial integrity, which will result in a minor rulemaking by the Public Utility Commission (PUC).

Based on the analysis of the PUC, it is assumed that the 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