UTILITIES CODE
CHAPTER 32. JURISDICTION AND POWERS OF COMMISSION AND OTHER
REGULATORY AUTHORITIES
SUBCHAPTER A. COMMISSION JURISDICTION
§ 32.001. COMMISSION JURISDICTION. (a) Except as
provided by Section 32.002, the commission has exclusive original
jurisdiction over the rates, operations, and services of an
electric utility in:
(1) areas outside a municipality; and
(2) areas inside a municipality that surrenders its
jurisdiction to the commission under Section 33.002.
(b) The commission has exclusive appellate jurisdiction to
review an order or ordinance of a municipality exercising exclusive
original jurisdiction under this subtitle.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.0015. REGULATION OF SUCCESSOR ELECTRIC UTILITY OR
ELECTRIC COOPERATIVE. If an electric utility purchases, acquires,
merges, or consolidates with or acquires 50 percent or more of the
stock of an electric utility or electric cooperative, the
commission shall regulate the successor electric utility or
electric cooperative in the same manner that the commission would
regulate the entity that was subject to the stricter regulation
before the purchase, acquisition, merger, or consolidation.
Added by Acts 1999, 76th Leg., ch. 405, § 12, eff. Sept. 1, 1999.
§ 32.002. LIMITATION ON COMMISSION
JURISDICTION. Except as otherwise provided by this title, this
subtitle does not authorize the commission to:
(1) regulate or supervise a rate or service of a
municipally owned utility; or
(2) affect the jurisdiction, power, or duty of a
municipality exercising exclusive original jurisdiction in that
municipality's regulation and supervision of an electric utility in
the municipality.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.003. EXEMPT AREA JURISDICTION. Notwithstanding an
election under Subchapter A, Chapter 33, by a municipality on the
issue of surrendering its jurisdiction, the commission may:
(1) consider an electric utility's revenues and return
on investment in an area exempt from commission regulation in
establishing rates and charges in an area that is not exempt from
commission regulation; and
(2) exercise necessary powers to give effect to an
order under this title for the benefit of an area that is not exempt
from commission regulation.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.004. ASSISTANCE TO MUNICIPALITY. On request of a
municipality, the commission may advise and assist the municipality
with respect to a question or proceeding arising under this title.
Assistance provided by the commission may include aid to a
municipality on a matter pending before the commission, a court, or
the municipality's governing body, such as making a staff member
available as a witness or otherwise providing evidence to the
municipality.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
SUBCHAPTER B. EXEMPTIONS FROM COMMISSION JURISDICTION
§ 32.051. EXEMPTION OF RIVER AUTHORITY FROM WHOLESALE
RATE REGULATION. Notwithstanding any other provision of this
title, the commission may not directly or indirectly regulate
revenue requirements, rates, fuel costs, fuel charges, or fuel
acquisitions that are related to the generation and sale of
electricity at wholesale, and not to ultimate consumers, by a river
authority operating a steam generating plant on or before January
1, 1999.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997. Amended
by Acts1999, 76th Leg., ch. 405, § 13, eff. Sept. 1, 1999.
§ 32.052. ABILITY OF CERTAIN RIVER AUTHORITIES TO
CONSTRUCT IMPROVEMENTS. A river authority operating a steam
generating plant on or before January 1, 1999, may acquire,
finance, construct, rebuild, repower, and use new or existing power
plants, equipment, transmission lines, or other assets to sell
electricity exclusively at wholesale to:
(1) a purchaser in San Saba, Llano, Burnet, Travis,
Bastrop, Blanco, Colorado, or Fayette County; or
(2) a purchaser in an area served by the river
authority on January 1, 1975.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997. Amended
by Acts1999, 76th Leg., ch. 405, § 13, eff. Sept. 1, 1999.
§ 32.053. ABILITY OF CERTAIN RIVER AUTHORITY AFFILIATES
TO CONSTRUCT IMPROVEMENTS. (a) This section applies only to a
corporation that:
(1) sells electricity exclusively at wholesale, and
not to ultimate consumers;
(2) is authorized by Chapter 152, Water Code; and
(3) acts on behalf of a river authority.
(b) Notwithstanding a river authority's enabling
legislation or Chapter 152, Water Code, a corporation may:
(1) acquire, finance, construct, rebuild, repower,
operate, or sell a facility directly related to the generation of
electricity;
(2) sell, at wholesale only, the output of the
facility to a purchaser, other than an ultimate consumer, at any
location in this state; and
(3) purchase and sell electricity, at wholesale only,
to a purchaser, other than an ultimate consumer, at any location in
this state.
(c) This subchapter does not prevent a corporation from
purchasing transmission and related services from a river
authority.
(d) Except as provided by this section, the development,
financing, ownership, and operation of a facility by a corporation
is subject to all other applicable laws.
(e) The property, gross receipts, and income of a
corporation acting on behalf of a river authority under this
section are subject to, and the corporation shall pay, taxes and
assessments of the federal government, this state, a political
subdivision of this state, or a taxing district of this state on the
same basis as an exempt wholesale generator.
(f) The proceeds from the sale of bonds or other obligations
the interest on which is exempt from taxation and that are issued by
a corporation or river authority subject to this section, other
than a bond or obligation available to an investor-owned utility or
exempt wholesale generator, may not be used by the corporation to
finance the construction or acquisition of or the rebuilding or
repowering of a facility for the generation of electricity by the
corporation.
(g) Notwithstanding any other law, the board of directors of
a river authority may sell, lease, loan, or otherwise transfer
some, all, or substantially all of the electric generation property
of the river authority to a nonprofit corporation authorized under
this section or Chapter 152, Water Code. The property transfer
shall be made under terms and conditions approved by the board of
directors of the river authority.
(h) Subsections (a)-(f) do not apply to a corporation
created under Chapter 152, Water Code, to serve an area described in
Section 32.052.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997. Amended
by Acts 1999, 76th Leg., ch. 405, § 14, eff. Sept. 1, 1999; Acts
2001, 77th Leg., ch. 1420, § 8.400, eff. Sept. 1, 2001.
§ 32.054. RESTRICTIONS ON AUTHORITY OF CORPORATIONS OR
RIVER AUTHORITY. (a) This subchapter does not authorize a river
authority to acquire, install, construct, make additions to, or
operate steam generating plants having an aggregate capacity
greater than 5,000 megawatts to serve a purchaser in the area served
by the river authority on January 1, 1975.
(b) A river authority or a corporation acting on behalf of a
river authority under this subchapter may provide retail service
only to a retail customer served by the river authority or
corporation on September 1, 1995.
(c) Except as provided by this subchapter, this subchapter
does not limit a power granted a river authority in its enabling
legislation or other applicable law.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
SUBCHAPTER C. REQUIRED REPORTS AND FILINGS
§ 32.101. TARIFF FILINGS. (a) An electric utility
shall file with each regulatory authority a tariff showing each
rate that is:
(1) subject to the regulatory authority's original or
appellate jurisdiction; and
(2) in effect for a utility service, product, or
commodity offered by the utility.
(b) The electric utility shall file as a part of the tariff
required under Subsection (a) each rule that relates to or affects:
(1) a rate of the utility; or
(2) a utility service, product, or commodity furnished
by the electric utility.
(c) The commission shall consider customer names and
addresses, prices, individual customer contracts, and expected
load and usage data as highly sensitive trade secrets. That
information is not subject to disclosure under Chapter 552,
Government Code.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.102. DEPRECIATION ACCOUNT. The commission shall
require each electric or municipally owned utility to carry a
proper and adequate depreciation account in accordance with:
(1) the rates and methods prescribed by the commission
under Section 36.056; and
(2) any other rule the commission adopts.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.103. ACCOUNTS OF PROFITS AND LOSSES. An electric
or municipally owned utility shall keep separate accounts showing
profits or losses from the sale or lease of merchandise, including
an appliance, a fixture, or equipment.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
§ 32.104. REPORT OF CERTAIN EXPENSES. A regulatory
authority may require an electric utility to annually report the
utility's expenditures for:
(1) business gifts and entertainment; and
(2) advertising or public relations, including
expenditures for institutional and consumption-inducing purposes.
Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.
