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A BILL TO BE ENTITLED
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AN ACT
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relating to using the system benefit fund for the support of certain |
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programs for low-income electric customers. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 39.903, Utilities Code, is amended by |
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amending Subsections (e) and (f) and adding Subsection (e-1) to |
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read as follows: |
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(e) Money in the system benefit fund may be appropriated to |
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provide funding [solely] for the following regulatory purposes[, in
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the following order of priority]: |
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(1) programs to: |
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(A) assist low-income electric customers by |
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providing the 10 percent reduced rate prescribed by Subsection (h); |
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and |
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(B) provide one-time bill payment assistance to |
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electric customers who are or who have in their households one or |
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more seriously ill or disabled low-income persons and who have been |
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threatened with disconnection for nonpayment; |
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(2) customer education programs, administrative |
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expenses incurred by the commission in implementing and |
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administering this chapter, and expenses incurred by the office |
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under this chapter; |
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(3) programs to assist low-income electric customers |
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by providing the targeted energy efficiency programs described by |
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Subsection (f)(2); |
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(4) programs to assist low-income electric customers |
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by providing the 20 percent reduced rate prescribed by Subsection |
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(h); and |
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(5) reimbursement to the commission and the Health and |
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Human Services Commission for expenses incurred in the |
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implementation and administration of an integrated eligibility |
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process created under Section 17.007 for customer service discounts |
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relating to retail electric service, including outreach expenses |
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the commission determines are reasonable and necessary. |
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(e-1) After deducting amounts allocated to pay for |
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activities under Subsection (e)(2), the remaining appropriations |
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to the commission from the system benefit fund must be allocated so |
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that: |
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(1) 75 percent is used for the purposes of Subsections |
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(e)(1)(A) and (e)(4); |
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(2) at least 20 percent is used for the purposes of |
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Subsection (e)(3); and |
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(3) not more than 5 percent is used for the purposes of |
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Subsection (e)(1)(B). |
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(f) Notwithstanding Section 39.106(b), the commission shall |
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adopt rules regarding programs to assist low-income electric |
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customers on the introduction of customer choice. The programs may |
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not be targeted to areas served by municipally owned utilities or |
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electric cooperatives that have not adopted customer choice. The |
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programs shall include: |
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(1) reduced electric rates as provided by Subsections |
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(h)-(l); and |
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(2) targeted [energy efficiency] programs to be |
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administered by the Texas Department of Housing and Community |
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Affairs in coordination with existing weatherization programs, |
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including energy efficiency programs, insulation programs, home |
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energy audit programs, modifications to home appliances or heating |
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or cooling systems, and programs described by Section 2306.0975, |
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Government Code. |
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SECTION 2. Subchapter E, Chapter 2306, Government Code, is |
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amended by adding Section 2306.0975 to read as follows: |
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Sec. 2306.0975. CREDIT-ENHANCED LOANS TO BENEFIT |
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LOW-INCOME ELECTRIC CUSTOMERS. (a) The department shall establish |
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one or more credit-enhanced loan programs to assist low-income |
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electric customers in paying for energy efficiency projects or |
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renewable energy projects designed to benefit those electric |
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customers. The department shall fund the programs using money |
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received by the department under Section 39.903(f)(2), Utilities |
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Code, and other money appropriated for that purpose, including |
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money appropriated under Subsection (d). |
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(b) A credit-enhanced loan under a program may be directed |
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for individual product installations or whole-building upgrades |
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and may be given to a low-income electric customer, an owner of |
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housing for low-income persons, a local government, a private |
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developer, or a nonprofit or other entity that constructs or |
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conducts major renovations of housing for low-income populations. |
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(c) A program established under this section may take the |
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form of: |
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(1) a loan loss reserve set aside to offset potential |
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losses as a result of repayment defaults; |
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(2) a loan guarantee to cover a lender's potential |
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losses on loans; |
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(3) a debt service reserve set aside to offset |
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potential delayed or defaulted loan payments; or |
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(4) a reduced interest loan program. |
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(d) The legislature may appropriate money to the department |
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from the system benefit fund for the purposes of a program |
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established under this section. |
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SECTION 3. This Act takes effect September 1, 2013. |