Amend HB 1600 (house committee report) by inserting the following appropriately numbered SECTIONS to ARTICLE 1 of the bill and renumbering the subsequent SECTIONS of the article accordingly:

SECTION 1.____. Section 12.053, Utilities Code, is amended to read as follows:

Sec. 12.053.  MEMBERSHIP QUALIFICATIONS. (a) To be eligible for appointment, a commissioner must [be]:

(1)  be a qualified voter;

(2)  be a citizen of the United States; [and]

(3)  be a competent and experienced administrator;

(5)  have at least five years of experience in the administration of business or government or as a practicing attorney or certified public accountant [a representative of the general public].

(b)  Before a person may be appointed as commissioner, the person must submit to the attorney general and the governor's office written disclosure of whether the person, [A person is not eligible for appointment as a commissioner if the person:

[(1)]  at any time during the two years preceding appointment:

(1) [(A)]  personally served as an officer, director, owner, employee, partner, or legal representative of a public utility, affiliate, or direct competitor of a public utility; or

(2) [(B)]  owned or controlled, directly or indirectly, stocks or bonds of any class with a value of $10,000 or more in a public utility, affiliate, or direct competitor of a public utility.

(d)  A person is not eligible for appointment as a commissioner if the person[; or

[(2)]  is not qualified to serve under Section 12.151, 12.152, or 12.153.

SECTION 1.____. Section 12.152(a), Utilities Code, is amended to read as follows:

(a)  A person is not eligible for appointment as a commissioner or executive director of the commission if:

(1)  the person serves on the board of directors of a company that supplies fuel, utility-related services, or utility-related products to regulated or unregulated electric or telecommunications utilities; or

(2)  the person or the person's spouse:

(A)  is employed by or participates in the management of a business entity or other organization that is regulated by or receives funds from the commission;

(B)  directly or indirectly owns or controls more than a 10 percent interest [or a pecuniary interest with a value exceeding $10,000] in:

(i)  a business entity or other organization that is regulated by or receives funds from the commission; or

(ii)  a utility competitor, utility supplier, or other entity affected by a commission decision in a manner other than by the setting of rates for that class of customer;

(C)  uses or receives a substantial amount of tangible goods, services, or funds from the commission, other than compensation or reimbursement authorized by law for commission membership, attendance, or expenses; or

(D)  notwithstanding Paragraph (B), has an interest in a mutual fund or retirement fund in which more than 10 percent of the fund's holdings at the time of appointment is in a single utility, utility competitor, or utility supplier in this state and the person does not disclose this information to the governor, senate, commission, or other entity, as appropriate.

SECTION 1.____. Section 12.154(a), Utilities Code, is amended to read as follows:

(a)  During the period of service with the commission, a commissioner or commission employee may not:

(1)  have a pecuniary interest, including an interest as an officer, director, partner, owner, employee, attorney, or consultant, in:

(A)  a public utility or affiliate; or

(B)  a person a significant portion of whose business consists of furnishing goods or services to public utilities or affiliates; or

(2)  [directly or indirectly own or control securities in a public utility, affiliate, or direct competitor of a public utility; or

[(3)] accept a gift, gratuity, or entertainment from:

(A)  a public utility, affiliate, or direct competitor of a public utility;

(B)  a person a significant portion of whose business consists of furnishing goods or services to public utilities, affiliates, or direct competitors of public utilities; or

(C)  an agent, representative, attorney, employee, officer, owner, director, or partner of a person described by Paragraph (A) or (B).