By: Hancock, Bettencourt S.B. No. 1750
  relating to extreme weather preparedness of critical electric and
  natural gas infrastructure; authorizing administrative penalties.
         SECTION 1.  The legislature finds that Winter Storm Uri
  revealed the interconnectedness of the gas and power industries in
  the face of extreme weather and resolves to protect the citizens of
  this state from similar events by requiring coordinated enforcement
  by relevant regulatory bodies.
         SECTION 2.  Subchapter C, Chapter 86, Natural Resources
  Code, is amended by adding Section 86.044 to read as follows:
  In this section, "extreme weather emergency" means a period when:
               (1)  the previous day's highest temperature did not
  exceed 10 degrees Fahrenheit and the temperature is predicted to
  remain at or below that level for the next 24 hours according to the
  nearest National Weather Service reports; or
               (2)  the National Weather Service issues a heat
  advisory for any county in the relevant service territory, or when
  such an advisory has been issued on any one of the previous two
  calendar days.
         (b)  The commission by rule shall require an operator of a
  gas well to implement measures to prepare the well to operate during
  an extreme weather emergency.
         SECTION 3.  Section 121.2015(a), Utilities Code, is amended
  to read as follows:
         (a)  The railroad commission shall adopt rules regarding:
               (1)  public education and awareness relating to gas
  pipeline facilities; [and]
               (2)  community liaison for responding to an emergency
  relating to a gas pipeline facility; and
               (3)  measures gas pipeline facility operators must
  implement to prepare gas pipeline facilities to maintain service
  quality and reliability during an extreme weather emergency, as
  defined by Section 86.044, Natural Resources Code.
         SECTION 4.  Subchapter A, Chapter 186, Utilities Code, is
  amended by adding Section 186.008 to read as follows:
  COORDINATION. (a) In this section:
               (1)  "Coordinating agency" means the Public Utility
  Commission of Texas, the Railroad Commission of Texas, or the Texas
  Division of Emergency Management.
               (2)  "Coordinated entity" means a power generation
  company as defined by Section 31.002, the independent organization,
  or an entity engaged in the transport, storage, or shipping of
  natural gas to or for a power generation company.
               (3)  "Independent organization" means the independent
  organization certified under Section 39.151 for the ERCOT power
         (b)  The Public Utility Commission of Texas and the Railroad
  Commission of Texas each by rule shall require each coordinated
  entity subject to the agency's jurisdiction to establish and submit
  to the respective agency a winter preparedness emergency operations
  plan. The rules must require a winter preparedness emergency
  operations plan to include:
               (1)  a plan for operating during extremely cold
               (2)  a plan that addresses any known critical failure
  points of the entity, including any effects of weather design
               (3)  a plan for operating during an emergency shortage
  of water or other critical supplies;
               (4)  a plan for identifying potentially extreme weather
               (5)  a plan for staffing during extreme weather events;
               (6)  natural gas curtailment priorities and
  procedures, if applicable;
               (7)  a description of priorities for recovery of
  operational capacity or restoration of service, as applicable;
               (8)  identification of critical loads necessary to
  maintain production of electricity or natural gas;
               (9)  a communications plan that describes the
  procedures and threshold conditions for initiation of
  communication about a potential extreme weather event with the
  coordinating agencies, other coordinated entities, the public, the
  media, and customers; and
               (10)  an affidavit from an owner, partner, officer,
  manager, or other official with responsibility for the entity's
  operations affirming that all relevant operating personnel of the
  entity are familiar with the contents of the emergency operations
  plan and that the personnel will follow the plan, except to the
  extent deviations are appropriate under the circumstances during an
         (c)  An emergency operations plan may be combined or
  coordinated with other preparedness reporting requirements,
  including requirements regarding other weather scenarios, natural
  disasters, cybersecurity events, physical security events, and
  pandemics. A coordinating agency may authorize a coordinated
  entity to submit for the purposes of this section a plan required to
  be submitted to the agency under another provision of law if the
  plan includes the information required by this section to be
  included in an emergency operations plan.
         (d)  The coordinating agencies shall analyze jointly
  emergency operations plans developed by coordinated entities in
  each even-numbered year and prepare a weather emergency
  preparedness report on power generation and natural gas
  weatherization preparedness in this state.  In preparing the
  report, the coordinating agencies shall:
               (1)  review the emergency operations plans on file with
  each of the coordinating agencies;
               (2)  analyze and determine the ability of the electric
  grid and natural gas system to withstand extreme weather events in
  the upcoming biennium;
               (3)  consider the anticipated weather patterns for the
  upcoming biennium; and
               (4)  make recommendations on improving emergency
  operations plans and procedures to ensure the continuity of
  electric and natural gas service, including identifying and
  defining potentially appropriate weatherization and emergency
  operations standards, that may:
                     (A)  differentiate between existing and new
  facilities; and
                     (B)  consider geography, suitable alternatives,
  cost-effectiveness, and other practical constraints.
         (e)  A coordinating agency may require a coordinated entity
  subject to the agency's jurisdiction and this section to file an
  updated emergency operations plan if the coordinating agency finds
  that an emergency operations plan on file does not contain
  sufficient information to determine whether the coordinated entity
  can provide adequate services.
         (f)  Each coordinating agency may adopt rules relating to the
  implementation of the report described by Subsection (d).
         (g)  The coordinating agencies shall submit the report
  described by Subsection (d) to the lieutenant governor, the speaker
  of the house of representatives, and the members of the legislature
  not later than September 30 of each even-numbered year. The
  coordinating agencies may combine a report required by this section
  with a report required to be produced by a coordinating agency by
  another provision of law when making the submission required by
  this subsection.
         (h)  An emergency operations plan submitted to a state agency
  under this section is confidential under Chapters 418 and 552,
  Government Code, and any other applicable law, and is not subject to
  disclosure under Chapter 552, Government Code.  If portions of a
  plan are directly referenced in the report described by Subsection
  (d), the information must be in a redacted form for public
  inspection with the confidential portions removed.  A coordinated
  entity in the ERCOT power region shall provide the entity's entire
  plan to the independent organization.  The independent organization
  shall maintain the confidentiality of the plan.
         (i)  The Public Utility Commission of Texas and the Railroad
  Commission of Texas each shall notify coordinated entities under
  their respective jurisdictions of any potential deficiencies in
  entity emergency operations plans and describe any applicable
  winter weatherization and emergency operations standards
  recommended by the coordinating agencies.  Not later than the 30th
  day after the date a coordinated entity receives notice under this
  subsection, the entity in writing shall acknowledge to the Public
  Utility Commission of Texas or the Railroad Commission of Texas, as
  applicable, that the entity received the notice.
         (j)  The Public Utility Commission of Texas or the Railroad
  Commission of Texas, after notice and opportunity for hearing, may
  impose an administrative penalty on a coordinated entity subject to
  the agency's jurisdiction for failure to submit an emergency
  operations plan or respond to a notice of potential deficiency by
  the required time.
         SECTION 5.  The Railroad Commission of Texas shall adopt
  rules as required by Section 86.044, Natural Resources Code, as
  added by this Act, and Section 121.2015(a), Utilities Code, as
  amended by this Act, not later than November 1, 2021.
         SECTION 6.  Not later than January 1, 2022, the Public
  Utility Commission of Texas and the Railroad Commission of Texas
  shall adopt the rules required by Section 186.008, Utilities Code,
  as added by this Act.
         SECTION 7.  The Railroad Commission of Texas is required to
  implement this Act only if the legislature appropriates money
  specifically for that purpose.  If the legislature does not
  appropriate money specifically for that purpose, the Railroad
  Commission of Texas may, but is not required to, implement this Act
  using other appropriations available for the purpose.
         SECTION 8.  This Act takes effect September 1, 2021.