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A BILL TO BE ENTITLED
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AN ACT
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relating to certificates of convenience and necessity for the |
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construction of transmission facilities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 37.051(a), Utilities Code, is amended to |
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read as follows: |
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(a) An electric utility [or other person] may not directly |
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or indirectly provide service to the public under a franchise or |
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permit unless the utility [or other person] first obtains from the |
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commission a certificate that states that the public convenience |
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and necessity requires or will require the installation, operation, |
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or extension of the service. |
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SECTION 2. Section 37.053(a), Utilities Code, is amended to |
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read as follows: |
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(a) An electric utility [or other person] that wants to |
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obtain or amend a certificate must submit an application to the |
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commission. |
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SECTION 3. Section 37.055, Utilities Code, is amended to |
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read as follows: |
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Sec. 37.055. REQUEST FOR PRELIMINARY ORDER. (a) An |
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electric utility [or other person] that wants to exercise a right or |
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privilege under a franchise or permit that the utility [or other
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person] anticipates obtaining but has not been granted may apply to |
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the commission for a preliminary order under this section. |
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(b) The commission may issue a preliminary order declaring |
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that the commission, on application and under commission rules, |
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will grant the requested certificate on terms the commission |
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designates, after the electric utility [or other person] obtains |
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the franchise or permit. |
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(c) The commission shall grant the certificate on |
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presentation of evidence satisfactory to the commission that the |
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electric utility [or other person] has obtained the franchise or |
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permit. |
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SECTION 4. Section 37.056, Utilities Code, is amended by |
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adding Subsection (e) to read as follows: |
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(e) A certificate for a new transmission facility that |
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directly interconnects with an existing electric utility facility |
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may only be granted to the owner of that existing facility. If a new |
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transmission facility will directly interconnect with facilities |
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owned by different electric utilities, one or both of those |
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utilities shall be certificated to construct the new facility. |
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SECTION 5. Section 37.057, Utilities Code, is amended to |
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read as follows: |
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Sec. 37.057. DEADLINE FOR APPLICATION FOR NEW TRANSMISSION |
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FACILITY. [The commission may grant a certificate for a new
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transmission facility to a qualified applicant that meets the
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requirements of this subchapter.] The commission must approve or |
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deny an application for a certificate for a new transmission |
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facility not later than the first anniversary of the date the |
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application is filed. If the commission does not approve or deny |
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the application on or before that date, a party may seek a writ of |
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mandamus in a district court of Travis County to compel the |
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commission to decide on the application. |
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SECTION 6. Section 37.151, Utilities Code, is amended to |
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read as follows: |
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Sec. 37.151. PROVISION OF SERVICE. Except as provided by |
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this section, Section 37.152, and Section 37.153, a certificate |
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holder[, other than one granted a certificate under Section
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37.051(d),] shall: |
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(1) serve every consumer in the utility's certificated |
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area; and |
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(2) provide continuous and adequate service in that |
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area. |
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SECTION 7. Section 37.154(a), Utilities Code, is amended to |
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read as follows: |
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(a) An electric utility may sell, assign, or lease a |
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certificate or a right obtained under a certificate if [the
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commission determines that] the purchaser, assignee, or lessee was |
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previously certificated by the commission to provide electric |
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service within the same electric power region, coordinating |
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council, independent system operator, or power pool. As part of a |
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transaction subject to Sections 39.262(l)-(o) and 39.915, the |
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commission may approve a sale, assignment, or lease to an entity |
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that has not been previously certificated if the approval will not |
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diminish the retail rate jurisdiction of this state [can provide
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adequate service]. |
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SECTION 8. Sections 37.051(d), (e), and (f), Utilities |
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Code, are repealed. |
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SECTION 9. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2019. |