TITLE: Relating to the recovery of certain natural gas distribution utility ratemaking proceeding expenses; adding provisions subject to a criminal penalty.

SUMMARY: Relating to the recovery of certain natural gas distribution utility ratemaking proceeding expenses; adding provisions subject to a criminal penalty.

FULL TEXT:
AN ACT relating to the recovery of certain natural gas distribution utility ratemaking proceeding expenses; adding provisions subject to a criminal penalty. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 103.021, Utilities Code, is amended by adding Subsection (d) to read as follows: (d) In establishing a gas utility's rates under this subchapter, a municipality shall allow a gas utility to recover through its rates on a systemwide basis only, as an operating expense, the gas utility's reasonable and necessary expenses of participating in a proceeding under this subtitle. SECTION 2. Section 103.022(b), Utilities Code, is amended to read as follows: (b) The gas utility in the ratemaking proceeding shall reimburse the governing body of the municipality for the reasonable cost of the services of a person engaged under Subsection (a) to the extent the applicable regulatory authority determines reasonable. For purposes of Section 103.021 or 104.057, the amount paid as reimbursement under this subsection is a reasonable and necessary expense of participating in a proceeding under this subtitle. SECTION 3. Section 104.057, Utilities Code, is amended by adding Subsection (c) to read as follows: (c) In establishing a gas utility's rates, the regulatory authority shall allow the gas utility to recover through its rates on a systemwide basis only, as an operating expense, the gas utility's reasonable and necessary expenses of participating in a proceeding under this subtitle. SECTION 4. The change in law made by this Act applies only to a rate proceeding in which the initial hearing is held on or after the effective date of this Act. A proceeding in which the initial hearing is held before that date is governed by the law in effect immediately before the effective date of this Act, and that law is continued in effect for that purpose. SECTION 5. This Act takes effect September 1, 2015.