89R9040 CS-D     By: Johnson S.B. No. 1513       A BILL TO BE ENTITLED   AN ACT   relating to a program to provide assistance for certain retail   electric customers.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 17.007, Utilities Code, is amended by   amending Subsection (a) and adding Subsection (e) to read as   follows:          (a)  The Health and Human Services Commission, on request of   the commission, shall assist in:                (1)  developing an automatic process for identifying   low-income customers to retail electric providers and certificated   telecommunications utilities to enable those providers and   utilities to offer customer service, discounts, bill payment   assistance, or other methods of assistance; and                (2)  implementing Section 39.9035.          (e)  Subsection (d) does not apply in a state fiscal biennium   in which money is available under Section 39.9035 for the process   established by this section.          SECTION 2.  Section 39.002, Utilities Code, is amended to   read as follows:          Sec. 39.002.  APPLICABILITY. This chapter, other than   Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,   39.163, 39.203, 39.9035, 39.9051, 39.9052, and 39.914(e), and   Subchapters M and N, does not apply to a municipally owned utility   or an electric cooperative. Sections 39.157(e), [and] 39.203, and   39.9035 apply only to a municipally owned utility or an electric   cooperative that is offering customer choice.  If there is a   conflict between the specific provisions of this chapter and any   other provisions of this title, except for Chapters 40 and 41, the   provisions of this chapter control.          SECTION 3.  Subchapter Z, Chapter 39, Utilities Code, is   amended by adding Section 39.9035 to read as follows:          Sec. 39.9035.  INCOME-BASED ASSISTANCE FUND. (a) In this   section, "fund" means the income-based assistance fund.           (b)  The income-based assistance fund is an account in the   general revenue fund.  Money in the account may be appropriated only   for the purposes provided by this section or other law.          (c)  The fund consists of:                (1)  money appropriated, credited, transferred, or   deposited to the credit of the fund by the legislature;                (2)  gifts, grants, or donations made to the fund; and                (3)  interest or other earnings attributable to the   investment of money in the fund.          (d)  Money in the fund may be appropriated to the commission   and used to provide funding only for the following purposes, in the   following order of priority:                (1)  programs to:                      (A)  assist low-income electric customers by   making available the discounts described by Subsection (f); and                      (B)  provide one-time bill payment assistance as   described by Subsection (k) to critical care residential customers,   as defined by Section 17.002, who have received notice of an   impending service disconnection for nonpayment;                (2)  customer education that provides information on   other assistance programs;                (3)  administrative expenses incurred by the   commission in implementing and administering this chapter and   expenses incurred by the office under this chapter; and                (4)  reimbursement to the commission and the Health and   Human Services Commission for expenses incurred in the   implementation and administration of the automatic identification   process established under Section 17.007 for customer service   discounts relating to retail electric service, including outreach   expenses the commission determines are reasonable and necessary.          (e)  The commission shall adopt rules regarding programs to   assist low-income electric customers in areas where customer choice   is available. The programs may not be targeted to areas served by   municipally owned utilities or electric cooperatives that have not   adopted customer choice.          (f)  Programs adopted under Subsection (e) must include a   retail electric service discount program for low-income electric   customers that the commission implements periodically as money is   made available in the fund for the purpose of making the   reimbursements authorized under Subsection (i). The commission by   rule shall require electric cooperatives that have adopted customer   choice, municipally owned utilities that have adopted customer   choice, and retail electric providers to provide the discount. The   commission shall set the amount of the discount as a fixed amount   and may periodically revise the fixed amount. The discount for   electric cooperatives that have adopted customer choice and   municipally owned utilities that have adopted customer choice must   be in addition to any rate reduction that may result from local   programs for low-income electric customers of the municipally owned   utility or electric cooperative.          (g)  The commission by rule shall establish eligibility   criteria for the discount program required under Subsection (f).   The criteria must provide that a customer is eligible for a discount   if identified by the Health and Human Services Commission as   eligible as a low-income customer under Section 17.007.          (h)  The commission by rule shall prescribe methods of   enrolling customers eligible to receive a discount under Subsection   (f) that are compatible with the automatic identification process   established under Section 17.007. The rules must provide for   automatic enrollment as one enrollment option for customers that   have been identified as low-income customers under Section 17.007.          (i)  The commission shall provide reimbursement from the   fund for each electric cooperative, municipally owned utility, or   retail electric provider that provides a discount under Subsection   (f) for the amount of the discount provided to eligible customers.   The commission shall adopt rules providing for the reimbursement.          (j)  A retail electric provider may not charge the customer a   fee for receiving a discount.          (k)  Programs adopted under Subsection (e) must include a   bill payment assistance program as described by Subsection   (d)(1)(B) that the commission implements periodically as money is   made available in the fund for the purpose of making the   reimbursements authorized under this subsection. The commission   may prescribe the documentation necessary to demonstrate   eligibility for the assistance and may establish additional   eligibility criteria. The Health and Human Services Commission, on   request of the commission, shall assist in the adoption and   implementation of these rules.  The commission shall provide   reimbursement from the fund for each electric cooperative,   municipally owned utility, or retail electric provider that   provides bill payment assistance under this subsection for the   amount of the bill payment assistance provided to eligible   customers. The commission shall adopt rules providing for the   reimbursement.          SECTION 4.  Section 40.001(a), Utilities Code, is amended to   read as follows:          (a)  Notwithstanding any other provision of law, except   Sections 39.155, 39.157(e), [and] 39.203, and 39.9035, this chapter   governs the transition to and the establishment of a fully   competitive electric power industry for municipally owned   utilities. With respect to the regulation of municipally owned   utilities, this chapter controls over any other provision of this   title, except for sections in which the term "municipally owned   utility" is specifically used.          SECTION 5.  Section 41.001, Utilities Code, is amended to   read as follows:          Sec. 41.001.  APPLICABLE LAW. Notwithstanding any other   provision of law, except Sections 39.155, 39.157(e), [and] 39.203,   and 39.9035, this chapter governs the transition to and the   establishment of a fully competitive electric power industry for   electric cooperatives. Regarding the regulation of electric   cooperatives, this chapter shall control over any other provision   of this title, except for sections in which the term "electric   cooperative" is specifically used.          SECTION 6.  This Act takes effect September 1, 2025.