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A BILL TO BE ENTITLED
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AN ACT
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relating to the system benefit fund fee. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Effective January 1, 2014, Sections 39.903(d), |
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(h), and (i), Utilities Code, are amended to read as follows: |
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(d) The commission shall annually review and approve system |
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benefit fund accounts[, projected revenue requirements, and
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proposed nonbypassable fees]. The commission shall report to the |
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electric utility restructuring legislative oversight committee if |
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the available balance of the system benefit fund [fee] is |
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insufficient to fund the purposes set forth in Subsection (e) to the |
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extent required by this section. |
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(h) The commission shall adopt rules for a retail electric |
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provider to determine a reduced rate for eligible customers to be |
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discounted off the standard retail service package as approved by |
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the commission under Section 39.106 and shall require a retail |
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electric provider to apply the same reduction to any rate plan under |
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which an eligible low-income electric customer is receiving |
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service[, or the price to beat established by Section 39.202,
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whichever is lower]. Municipally owned utilities and electric |
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cooperatives shall establish a reduced rate for eligible customers |
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to be discounted off the standard retail service package |
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established under Section 40.053 or 41.053, as appropriate. The |
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reduced rate for a retail electric provider shall result in a total |
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charge that is at least 10 percent and, if sufficient money in the |
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system benefit fund is available, up to 20 percent, lower than the |
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amount the customer would otherwise be charged. [To the extent the
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system benefit fund is insufficient to fund the initial 10 percent
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rate reduction, the commission may increase the fee to an amount not
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more than 65 cents per megawatt hour, as provided by Subsection
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(b).] If [the fee is set at 65 cents per megawatt hour or if] the |
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commission determines that appropriations are insufficient to fund |
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the 10 percent rate reduction, the commission may reduce the rate |
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reduction to less than 10 percent. For a municipally owned utility |
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or electric cooperative, the reduced rate shall be established by |
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the commission to the extent the discount [equal to an amount that] |
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can be fully funded by appropriations [that portion of the
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nonbypassable fee proceeds paid by the municipally owned utility or
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electric cooperative that is] allocated to the utility or |
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cooperative by the commission under Subsection (e) for programs for |
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low-income customers of the utility or cooperative. The reduced |
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rate for municipally owned utilities and electric cooperatives |
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under this section is in addition to any rate reduction that may |
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result from local programs for low-income customers of the |
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municipally owned utilities or electric cooperatives. |
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(i) A retail electric provider, municipally owned utility, |
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or electric cooperative seeking reimbursement from the system |
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benefit fund may not charge an eligible low-income customer a rate |
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higher than the appropriate rate determined under Subsection (h). |
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Commission rules must provide for [A retail electric provider not
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subject to the price to beat, or] a municipally owned utility or |
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electric cooperative that implements customer choice to [subject to
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the nonbypassable fee under Subsection (c), shall] be reimbursed |
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from the system benefit fund for the difference between the reduced |
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rate and the rate established under Section 39.106 or, as |
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appropriate, the rate established under Section 40.053 or 41.053. |
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A retail electric provider [who is subject to the price to beat] |
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shall be reimbursed from the system benefit fund for the difference |
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between the reduced rate and the rate plan under which the customer |
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receives service [price to beat]. The commission shall adopt rules |
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providing for the reimbursement. |
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SECTION 2. Effective January 1, 2014, Sections 39.903(b) |
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and (c), Utilities Code, are repealed. |
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SECTION 3. (a) The Public Utility Commission of Texas shall |
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adopt rules as necessary to ensure that: |
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(1) the system benefit fund fee is not collected for a |
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billing cycle any part of which falls on or after January 1, 2014; |
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and |
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(2) system benefit fund fees due for billing cycles |
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completed before January 1, 2014, are collected and remitted for |
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deposit to the credit of the system benefit fund under Section |
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39.903, Utilities Code, as that section provides immediately before |
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the effective date of this Act. |
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(b) The change in law made by this Act does not affect the |
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liability for a payment of a system benefit fund fee that accrues |
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before January 1, 2014. That liability continues in effect as if |
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this Act had not been enacted. The former law is continued in |
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effect for the collection of system benefit fund fees due, for |
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remission of the collected fees for deposit to the system benefit |
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fund, for enforcement of the liability for and remission of those |
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fees, and for the purposes of Subsection (a)(2) of this section. |
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SECTION 4. This Act takes effect September 1, 2013. |