MINUTES 
          
           SENATE INTERIM COMMITTEE ON ELECTRIC UTILITY RESTRUCTURING 
                            Wednesday, March 25, 1998 
                                     9:30 am 
                                Grapevine, Texas 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Committee on  
         Electric Utility Restructuring was held on Wednesday, March  
         25, 1998 in the Grapevine Convention Center, Grapevine, Texas. 
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator David Sibley                    None 
         Senator Kenneth Armbrister 
         Senator Gonzalo Barrientos 
         Senator Teel Bivins 
         Senator David Cain 
         Senator Troy Fraser 
         Senator Jane Nelson 
          
                                      ***** 
          
         The Chair called the meeting to order at 9:35 am.  There being  
         a quorum present, the following business was transacted. 
          
         Chairman Sibley expressed his appreciation to Senator Nelson  
         for hosting the Committee in Grapevine; Senator Nelson  
         welcomed the Committee to her district and thanked the City of  
         Grapevine for their assistance. 
          
         The Chairman announced that 90 minutes had been set aside for  
         each of the two  panels to make their presentations and  
         respond to members' questions.  Chairman Sibley then called  
         the first panel to address electric cooperative issues.  The  
         panelists were: 
          
              Mike Williams, Texas Electric Cooperatives 
              Edd Hargett, Houston County Electric Cooperative 
              Libby Linebarger, Pedernales Electric Cooperative 
              Debbie Robinson, Wood County Electric Cooperative 
              Michael Moore, C. H. Guernsey & Co. 
          
         Upon completion of the first panelists'  testimony and  
         response to members' questions, the Chairman convened the  
         second panel to address municipal utility issues.  The  
         panelists were: 
          
              Mark Zion, Texas Public Power Association 
  
              Mark Rose, Lower Colorado River Authority 
              Dan Wilkerson, Electric Utility Services, City of Bryan 
              Bill Taylor, Kerrville Public Utility Board 
              Ty Cooke, Mayor Pro-Tem, Lubbock 
          
         At 1:00 p.m., following the second panelists' presentations  
         and response to members' questions, Chairman Sibley recessed  
         the hearing until 1:35 p.m. 
          
         At 1:45 p.m., the Committee reconvened.  The Chairman advised  
         that public testimony would commence, and moved that each  
         witness limit testimony to five minutes; without objection, it  
         was so ordered.  Chairman Sibley then called the first  
         witness.  All witnesses, including panelists, are listed in  
         the order of their testimony. 
          
              James Ratliff, Mayor, Garland, Texas 
              Maurice Osborn, Mayor, Midlothian, Texas 
              Kim Foutz, City Manager, Midlothian, Texas 
              Sue Ann Harting, Mayor, Greenville, Texas 
              John Wood, Mayor Pro-Tem, Brownsville, Texas 
              Don Ouchley, General Manager, Public Utility Board,  
         Brownsville, Texas 
              Charles H. Whiteside, representing himself, Kilgore,  
         Texas 
              Calvin Ebner, representing himself, Deweyville, Texas 
              Marcus W. Pridgeon, representing Gaudalupe Valley  
         Electric Cooperative, Gonzales, Texas 
              Dessie Goodson, representing herself, Denton, Texas 
              Roy O. Baker, representing AARP State Legislative  
         Committee, Greenville, Texas 
              Emmett Payne, representing Central Texas Opportunities,  
         Coleman, Texas 
              Tom "Smitty" Smith, representing himself and Public  
         Citizens members, Austin, Texas 
              Paula C. Beck, representing West Texas Opportunities,  
         Lamesa, Texas 
              Frances Little representing Hill Country Community  
         Action, San Saba, Texas 
              Karen Swenson, representing Community Action agencies,  
         Nacogdoches, Texas 
              Kerrie Terk, representing herself, Colleyville, Texas 
              Debra Bray, representing herself, Burleson, Texas 
              David Flurry, representing himself, Blanket, Texas 
              Kristi Hart, representing herself, Murchison, Texas 
          
         Michael J. Marz, representing himself, Dallas, Texas,  
         submitted written testimony and registered to testify but was  
         unable to remain at the hearing until he was called. 
          
         The following witnesses registered but did not wish to  
         testify: 
          
              Francis E. "Frank" Parks, City Manager, City of Weimar,  
  
         Weimar, Texas 
              Grady C. Singletary, Cherokee County REC, representing  
         himself, Rusk, Texas 
              Donald R. Postell, representing the City of Grand  
         Prairie, Grand Prairie, Texas 
          
         There being no further business, at 3:50 pm Chairman Sibley  
         moved that the Committee stand recessed subject to the call of  
         the Chairman.  Without objection, it was so ordered.   
          
         __________________________ 
         Senator David Sibley, Chairman 
          
         __________________________ 
         Barbara Henderson, Clerk