88R25413 JXC-D
 
  By: Troxclair, Dean, Patterson, Goldman, H.B. No. 4208
      Hefner
 
  Substitute the following for H.B. No. 4208:
 
  By:  Smithee C.S.H.B. No. 4208
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the management and control of certain municipal
  electric utility systems.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter G, Chapter 552, Local Government
  Code, is amended by adding Section 552.1225 to read as follows:
         Sec. 552.1225.  TRANSFER OF MANAGEMENT AND CONTROL OF
  ELECTRIC UTILITY SYSTEM OF CERTAIN MUNICIPALITIES.  (a)  A
  municipality with a population of more than 750,000 that did not
  transfer management and control of the municipality's electric
  utility system to a board of trustees under this subchapter before
  September 1, 2023, shall transfer management and control of the
  municipality's electric utility system to a board of trustees
  appointed by the municipality's governing body, except as provided
  by Subsection (d).
         (b)  The board of trustees must include seven members who
  serve staggered five-year terms. A person may not serve more than
  two terms on the board of trustees.
         (c)  To serve as a member of the board of trustees, a person
  must have at least 10 years of experience:
               (1)  in the administration of business or government;
               (2)  as a practicing attorney or certified public
  accountant; or
               (3)  as a professional engineer in a field related to
  electrical, nuclear, industrial, agricultural, architectural,
  petroleum-related, chemical, power generation, or energy
  transmission and distribution work.
         (d)  If the service territory of the municipal electric
  utility includes at least four municipalities, the mayor of the
  municipality in the service territory that has the greatest number
  of retail customers is entitled to appoint four members to the board
  of trustees, and the mayors of the remaining municipalities in the
  service territory are entitled jointly to appoint the remaining
  three members. The mayor of the municipality in the service
  territory that has the greatest number of retail customers may
  serve as a board member.  Subsection (c) does not apply to that
  mayor.
         (e)  The proceedings of the municipality may specify the
  powers and duties of the board of trustees, the manner of exercising
  those powers and duties, and any matter relating to the
  organization and duties of the board. On any matter not covered by
  the proceedings, the board of trustees is governed by the laws and
  rules governing the governing body of the municipality in the
  service territory that has the greatest number of retail customers,
  to the extent applicable.
         SECTION 2.  This Act takes effect September 1, 2023.