By: Hinojosa, Eltife	S.B. No. 1309
	(In the Senate - Filed March 8, 2011; March 16, 2011, read
	first time and referred to Committee on Business and Commerce;
	May 9, 2011, reported adversely, with favorable Committee
	Substitute by the following vote:  Yeas 7, Nays 0; May 9, 2011,
	sent to printer.)
	COMMITTEE SUBSTITUTE FOR S.B. No. 1309	By:  Lucio

	A BILL TO BE ENTITLED
	AN ACT
	relating to rate adjustments by gas utilities.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subchapter G, Chapter 104, Utilities Code, is
	amended by adding Section 104.302 to read as follows:
	Sec. 104.302.  RATE ADJUSTMENTS.  (a)  In establishing a gas
	utility's rates, the railroad commission or municipal regulatory
	authority may, but is not required to, approve a tariff or rate
	schedule in which the rate for gas utility service is adjusted based
	on changes in the gas utility's revenues, expenses, or investments.
	(b)  Rates and charges resulting from tariffs or rate
	schedules established within a municipality by mutual agreement of
	the utility and the municipal regulatory authority shall be
	presumed reasonable by the railroad commission.
	(c)  This section does not:
	(1)  affect the original or appellate jurisdiction of
	the railroad commission or a municipal regulatory authority;
	(2)  change a tariff or rate schedule of a gas utility
	that is in effect on or before September 1, 2011; or
	(3)  limit the authority of the railroad commission or
	a municipal regulatory authority to review the gas utility's rate
	adjustment filings.
	SECTION 2.  This Act takes effect September 1, 2011.
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