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A BILL TO BE ENTITLED
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AN ACT
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relating to the applicability of certain safety provisions and |
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regulatory fees administered by the Railroad Commission of Texas to |
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gas distribution pipelines. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 121.211(a), (d), (e), and (g), |
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Utilities Code, are amended to read as follows: |
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(a) The railroad commission by rule may adopt a fee to be |
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assessed annually against operators of [natural] gas distribution |
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pipelines and their pipeline facilities and [natural] gas master |
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metered pipelines and their pipeline facilities subject to this |
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title. |
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(d) The commission may assess each operator of a [natural] |
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gas distribution system subject to this title an annual fee not to |
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exceed one dollar for each service line reported by the system on |
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the Distribution Annual Report, Form RSPA F7100.1-1, due on March |
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15 of each year. The fee is due March 15 of each year. |
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(e) The railroad commission may assess each operator of a |
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[natural] gas master metered system subject to this title an annual |
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fee not to exceed $100 for each master metered system. The fee is |
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due June 30 of each year. |
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(g) Each operator of a [natural] gas distribution system and |
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each [natural] gas master meter operator shall recover as a |
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surcharge to its existing rates the amounts paid to the commission |
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under this section. Amounts collected under this subsection by an |
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investor-owned [natural] gas distribution system or a |
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cooperatively owned [natural] gas distribution system shall not be |
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included in the revenue or gross receipts of the company for the |
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purpose of calculating municipal franchise fees or any tax imposed |
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under Subchapter B, Chapter 182, Tax Code, or under Chapter 122. |
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Those amounts are not subject to a sales and use tax imposed by |
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Chapter 151, Tax Code, or Subtitle C, Title 3, Tax Code. |
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SECTION 2. Section 121.213(a), Utilities Code, is amended |
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to read as follows: |
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(a) In this section, "distribution gas pipeline facility" |
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means a pipeline facility that distributes [natural] gas directly |
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to end-use customers. |
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SECTION 3. Section 121.214(a)(1), Utilities Code, is |
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amended to read as follows: |
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(1) "Distribution gas pipeline facility" means a |
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pipeline facility that distributes [natural] gas directly to end |
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use customers. |
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SECTION 4. This Act takes effect September 1, 2025. |