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AN ACT
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relating to energy demand, energy load, energy efficiency |
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incentives, energy programs, and energy performance measures. |
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�������BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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�������SECTION�1.��Subchapter Z, Chapter 44, Education Code, is |
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amended by adding Section 44.902 to read as follows: |
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�������Sec.�44.902.��GOAL TO REDUCE CONSUMPTION OF ELECTRIC ENERGY. � |
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The board of trustees of a school district shall establish a goal to |
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reduce the school district's annual electric consumption by five |
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percent each state fiscal year for six years beginning September 1, |
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2007. |
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�������SECTION�2.��Subchapter Z, Chapter 44, Education Code, is |
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amended by adding Section 44.903 to read as follows: |
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�������Sec.�44.903.��ENERGY-EFFICIENT LIGHT BULBS IN INSTRUCTIONAL |
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FACILITIES. �(a) �In this section, "instructional facility" has the |
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meaning assigned by Section 46.001. |
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�������(b)��A school district shall purchase for use in each type of |
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light fixture in an instructional facility the commercially |
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available model of light bulb that: |
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�������������(1)��uses the fewest watts for the necessary luminous |
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flux or light output; |
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�������������(2)��is compatible with the light fixture; and |
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�������������(3)��is the most cost-effective, considering the |
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factors described by Subdivisions (1) and (2). |
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�������SECTION�3.��Subchapter Z, Chapter 51, Education Code, is |
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amended by adding Section 51.9271 to read as follows: |
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�������Sec.�51.9271.��ENERGY-EFFICIENT LIGHT BULBS IN EDUCATIONAL |
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AND HOUSING FACILITIES. �(a) �In this section, "housing facility" |
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has the meaning assigned by Section 53.02. |
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�������(b)��An institution of higher education shall purchase for |
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use in each type of light fixture in an educational or housing |
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facility the commercially available model of light bulb that: |
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�������������(1)��is compatible with the light fixture; |
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�������������(2)��uses the fewest watts for the necessary luminous |
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flux or light output; and |
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�������������(3)��is the most cost-effective, considering the |
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factors described by Subdivisions (1) and (2). |
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�������SECTION�4.��Section 2155.068(d), Government Code, is amended |
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to read as follows: |
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�������(d)��As part of the standards and specifications program, the |
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commission shall: |
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�������������(1)��review contracts for opportunities to recycle |
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waste produced at state buildings; |
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�������������(2)��develop and update a list of equipment and |
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appliances that meet the energy efficiency standards provided by |
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Section 2158.301; and |
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�������������(3)��assist state agencies in selecting products under |
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Section 2158.301, as appropriate. |
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�������SECTION�5.��Chapter 2158, Government Code, is amended by |
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adding Subchapter F to read as follows: |
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SUBCHAPTER F. �ENERGY AND EFFICIENCY STANDARDS FOR EQUIPMENT AND |
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APPLIANCES |
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�������Sec.�2158.301.��ENERGY CONSERVATION. �If available and |
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cost-effective, a state agency shall purchase equipment and |
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appliances for state use that meet or exceed: |
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�������������(1)��the federal energy conservation standards under |
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Section 325, Energy Policy and Conservation Act (42 U.S.C. Section |
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6295), or a federal regulation adopted under that Act; or |
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�������������(2)��the federal Energy Star standards designated by |
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the United States Environmental Protection Agency and the United |
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States Department of Energy. |
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�������SECTION�6.��Subchapter A, Chapter 2165, Government Code, is |
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amended by adding Section 2165.008 to read as follows: |
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�������Sec.�2165.008.��ENERGY-EFFICIENT LIGHT BULBS IN STATE |
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BUILDINGS. �A state agency or institution of higher education in |
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charge and control of a state building shall purchase for use in |
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each type of light fixture in the building the commercially |
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available model of light bulb that: |
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�������������(1)��uses the fewest watts for the necessary luminous |
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flux or light output; and |
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�������������(2)��is compatible with the light fixture. |
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�������SECTION�7.��Subchapter B, Chapter 2165, Government Code, is |
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amended by adding Section 2165.058 to read as follows: |
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�������Sec.�2165.058.��VENDING MACHINES; ENERGY-SAVING DEVICE |
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REQUIRED. �(a) �This section does not apply to a vending machine |
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that contains a perishable food product, as defined by Section |
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96.001, Civil Practice and Remedies Code. |
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�������(b)��The commission shall require an entity that owns or |
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operates a vending machine located in a building owned or leased by |
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the state to activate and maintain any internal energy-saving or |
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energy-management device or option that is already part of the |
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machine or contained in the machine. |
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�������(c)��The commission shall require the use of an external |
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energy-saving or energy-management device for each vending machine |
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that: |
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�������������(1)��is located in a building owned or leased by the |
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state; |
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�������������(2)��operates with a compressor; and |
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�������������(3)��does not have an activated and operational |
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internal energy-saving or energy-management device or option. |
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�������(d)��An entity that owns or operates a vending machine |
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subject to this section is responsible for any expenses associated |
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with the acquisition, installation, or maintenance of an |
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energy-saving device required by this section. |
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�������(e)��The commission may impose an administrative fine on an |
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entity that operates a vending machine subject to this section in an |
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amount not to exceed $250 a year for each machine found to be in |
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violation of this section or rules adopted by the commission under |
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this section. |
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�������(f)��The commission shall adopt rules relating to the |
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specifications for and regulation of energy-saving devices |
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required by this section. |
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�������SECTION�8.��Subtitle F, Title 10, Government Code, is |
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amended by adding Chapter 2264 to read as follows: |
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CHAPTER 2264. REQUIRED PUBLICATION AND REPORTING BY GOVERNMENTAL |
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ENTITIES |
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�������Sec.�2264.001.��RECORDING AND REPORTING OF ELECTRICITY, |
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WATER, AND NATURAL GAS CONSUMPTION. �(a) �In this section, |
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"governmental entity" means: |
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�������������(1)��a board, commission, or department of the state or |
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a political subdivision of the state, including a municipality, a |
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county, or any kind of district; or |
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�������������(2)��an institution of higher education as defined by |
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Section 61.003, Education Code. |
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�������(b)��Notwithstanding any other law, a governmental entity |
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responsible for payments for electric, water, or natural gas |
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utility services shall record in an electronic repository the |
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governmental entity's metered amount of electricity, water, or |
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natural gas consumed for which it is responsible to pay and the |
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aggregate costs for those utility services. �The governmental |
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entity shall report the recorded information on a publicly |
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accessible Internet website with an interface designed for ease of |
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navigation if available, or at another publicly accessible |
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location. |
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�������SECTION�9.��Subchapter H, Chapter 2306, Government Code, is |
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amended by adding Section 2306.187 to read as follows: |
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�������Sec.�2306.187.��ENERGY EFFICIENCY STANDARDS FOR CERTAIN |
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SINGLE AND MULTIFAMILY DWELLINGS. �(a) �A newly constructed single |
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or multifamily dwelling that is constructed with assistance awarded |
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by the department, including state or federal money, housing tax |
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credits, or multifamily bond financing, must include energy |
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conservation and efficiency measures specified by the department. � |
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The department by rule shall establish a minimum level of energy |
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efficiency measures that must be included in a newly constructed |
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single or multifamily dwelling as a condition of eligibility to |
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receive assistance awarded by the department for housing |
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construction. �The measures adopted by the department may include: |
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�������������(1)��the installation of Energy Star-labeled ceiling |
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fans in living areas and bedrooms; |
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�������������(2)��the installation of Energy Star-labeled |
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appliances; |
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�������������(3)��the installation of Energy Star-labeled lighting |
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in all interior units; |
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�������������(4)��the installation of Energy Star-labeled |
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ventilation equipment, including power-vented fans, range hoods, |
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and bathroom fans; |
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�������������(5)��the use of energy efficient alternative |
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construction material, including structural insulated panel |
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construction; |
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�������������(6)��the installation of central air conditioning or |
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heat pump equipment with a better Seasonal Energy Efficiency Rating |
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(SEER) than that required by the energy code adopted under Section |
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388.003, Health and Safety Code; and |
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�������������(7)��the installation of the air ducting system inside |
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the conditioned space. |
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�������(b)��A single or multifamily dwelling must include energy |
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conservation and efficiency measures specified by the department |
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if: |
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�������������(1)��the dwelling is rehabilitated with assistance |
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awarded by the department, including state or federal money, |
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housing tax credits, or multifamily bond financing; and |
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�������������(2)��any portion of the rehabilitation includes |
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alterations that will replace items that are identified as required |
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efficiency measures by the department. |
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�������(c)��The energy conservation and efficiency measures the |
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department requires under Subsection (b) may not be more stringent |
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than the measures the department requires under Subsection (a). |
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�������(d)��The department shall review the measures required to |
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meet the energy efficiency standards at least annually to determine |
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if additional measures are desirable and to ensure that the most |
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recent energy efficiency technology is considered. |
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�������(e)��Subsections (a) and (b) do not apply to a single or |
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multifamily dwelling that receives weatherization assistance money |
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from the department or money provided under the first-time |
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homebuyer program. |
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�������SECTION�10.��Section 301.038, Health and Safety Code, is |
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amended to read as follows: |
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�������Sec.�301.038.��PROVISION [COST] OF SERVICES; COSTS. �(a)�A |
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cooperative association may provide services from a system to |
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eligible institutions and may determine the amount to be charged |
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for providing the services. |
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�������(b)��Notwithstanding Sections 301.032 and 301.037, a |
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cooperative association may provide from a system central heating |
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and cooling services, including steam and heated and chilled water |
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supply, to persons other than eligible institutions and may |
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determine the amount to be charged for providing services. |
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�������SECTION�11.��Section 388.003, Health and Safety Code, is |
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amended by adding Subsections (b-1), (b-2), and (b-3) to read as |
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follows: |
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�������(b-1)��If the State Energy Conservation Office determines, |
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based on written recommendations from the laboratory, that the |
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energy efficiency provisions of the latest published editions of |
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the International Residential Code or the International Energy |
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Conservation Code for residential or commercial energy efficiency |
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and air quality are equivalent to or more stringent than the |
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provisions of editions adopted under Subsection (a) or (b), the |
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office by rule may adopt and substitute in the energy code the |
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equivalent or more stringent editions for of the initial editions |
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described by Subsection (a) or (b). �If the State Energy |
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Conservation Office adopts the latest published editions of the |
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International Residential Code or the International Energy |
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Conservation Code into the energy code, the office shall establish |
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an effective date for the new editions that is not earlier than nine |
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months after the date of adoption. �The laboratory shall submit |
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recommendations concerning the latest published editions of the |
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International Residential Code or the International Energy |
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Conservation Code not later than six months after publication of |
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new editions. |
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�������(b-2)��The State Energy Conservation Office by rule shall |
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establish a procedure for allowing an opportunity for persons who |
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have an interest in the adoption of energy efficiency codes under |
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Subsection (b-1) to comment on a code considered for adoption, |
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including: |
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�������������(1)��commercial and residential builders; |
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�������������(2)��architects; |
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�������������(3)��engineers; |
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�������������(4)��county and other local government authorities; and |
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�������������(5)��environmental groups. |
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�������(b-3)��In developing written recommendations under |
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Subsection (b-1), the laboratory shall consider the comments |
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submitted under Subsection (b-2). |
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�������SECTION�12.��Section 388.005, Health and Safety Code, is |
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amended to read as follows: |
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�������Sec.�388.005.��ENERGY EFFICIENCY PROGRAMS IN CERTAIN |
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GOVERNMENTAL ENTITIES [POLITICAL SUBDIVISIONS]. �(a) �In this |
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section: |
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�������������(1)��"Institution of higher education" includes an |
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institution of higher education as defined by Section 61.003, |
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Education Code, and a private institution of higher education that |
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receives funding from the state. |
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�������������(2)��"Political[, "political] subdivision" means: |
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�������������������(A)�[(1)]��an affected county; or |
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�������������������(B)�[(2)]��any political subdivision in a |
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nonattainment area or in an affected county other than: |
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�������������������������(i)�[(A)]��a school district; or |
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�������������������������(ii)�[(B)]��a district as defined by Section |
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36.001 or 49.001, Water Code, that had a total annual electricity |
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expense of less than $200,000 in the previous fiscal year of the |
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district. |
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�������������(3)��"State agency" means a department, commission, |
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board, office, council, or other agency in the executive branch of |
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state government that is created by the constitution or a statute of |
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this state and has authority not limited to a geographical portion |
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of the state. |
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�������(b)��Each political subdivision, institution of higher |
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education, or state agency shall implement all energy efficiency |
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measures that meet the standards established for a contract for |
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energy conservation measures under Section 302.004(b), Local |
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Government Code, in order to reduce electricity consumption by the |
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existing facilities of the entity [the political subdivision]. |
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�������(c)��Each political subdivision, institution of higher |
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education, or state agency shall establish a goal to reduce the |
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electric consumption by the entity [political subdivision] by five |
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percent each state fiscal year for six [five] years, beginning |
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September 1, 2007 [January 1, 2002]. |
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�������(d)��A political subdivision, institution of higher |
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education, or state agency that does not attain the goals under |
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Subsection (c) must include in the report required by Subsection |
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(e) justification that the entity [political subdivision] has |
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already implemented all available measures. |
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�������(e)��A political subdivision, institution of higher |
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education, or state agency annually shall report to the State |
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Energy Conservation Office, on forms provided by that office, |
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regarding the entity's [political subdivision's] efforts and |
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progress under this section. �The State Energy Conservation Office |
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shall provide assistance and information to the entity [political
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subdivisions] to help the entity [the political subdivisions] meet |
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the goals set under this section. |
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�������(f)��This section does not apply to a state agency or an |
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institution of higher education that the State Energy Conservation |
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Office determines that, before September 1, 2007, adopted a plan |
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for conserving energy under which the agency or institution |
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established a percentage goal for reducing the consumption of |
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electricity. �The exemption provided by this section applies only |
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while the agency or institution has an energy conservation plan in |
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effect and only if the agency or institution submits reports on the |
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conservation plan each calendar quarter to the governor, the |
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Legislative Budget Board, and the State Energy Conservation Office. |
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�������SECTION�13.��Section 388.008, Health and Safety Code, is |
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amended by amending Subsections (a) and (c) and adding Subsection |
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(d) to read as follows: |
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�������(a)��The laboratory shall develop a standardized report |
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format to be used by providers of home energy ratings. �The |
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laboratory may develop different report formats for rating newly |
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constructed residences from those for existing residences.� The |
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form must be designed to give potential buyers information on a |
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structure's energy performance, including: |
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�������������(1)��insulation; |
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�������������(2)��types of windows; |
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�������������(3)��heating and cooling equipment; |
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�������������(4)��water heating equipment; |
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�������������(5)��additional energy conserving features, if any; |
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�������������(6)��results of performance measurements of building |
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tightness and forced air distribution; and |
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�������������(7)��an overall rating of probable energy efficiency |
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relative to the minimum requirements of the International Energy |
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Conservation Code or the energy efficiency chapter of the |
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International Residential Code, as appropriate. |
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�������(c)��The laboratory may cooperate with an industry |
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organization or trade association to: |
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�������������(1)��develop guidelines for home energy ratings; |
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�������������(2)��provide training for individuals performing home |
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energy ratings and providers of home energy ratings; and |
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�������������(3)��provide a registry of completed ratings for newly |
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constructed residences and residential improvement projects for |
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the purpose of computing the energy savings and emissions |
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reductions benefits of the [The] home energy ratings program [shall
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be implemented by September 1, 2002]. |
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�������(d)��The laboratory shall include information on the |
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benefits attained from this program in an annual report to the |
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commission. |
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�������SECTION�14.��The heading to Section 74.3013, Property Code, |
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is amended to read as follows: |
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�������Sec.�74.3013.��DELIVERY OF MONEY FOR RURAL SCHOLARSHIP, |
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[AND] ECONOMIC DEVELOPMENT, AND ENERGY EFFICIENCY ASSISTANCE. |
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�������SECTION�15.��Sections 74.3013(a), (b), (e), (f), and (g), |
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Property Code, are amended to read as follows: |
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�������(a)��Notwithstanding and in addition to any other provision |
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of this chapter or other law, a nonprofit cooperative corporation |
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may deliver reported money to a scholarship fund for rural |
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students,�[or] to stimulate rural economic development, or to |
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provide energy efficiency assistance to members of electric |
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cooperatives, instead of delivering the money to the comptroller as |
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prescribed in Section 74.301. |
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�������(b)��A nonprofit cooperative corporation may deliver the |
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money under this section only: |
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�������������(1)��to a scholarship fund established by one or more |
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nonprofit cooperative corporations in this state to enable students |
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from rural areas to attend college, technical school, or other |
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postsecondary educational institution; [and] |
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�������������(2)��to an economic development fund for the |
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stimulation and improvement of business and commercial activity for |
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economic development in rural communities; and |
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�������������(3)��to an energy efficiency assistance fund to assist |
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members of an electric cooperative in reducing their energy |
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consumption and electricity bills. |
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�������(e)��The comptroller shall prescribe forms and procedures |
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governing this section, including forms and procedures relating to: |
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�������������(1)��notice of presumed abandoned property; |
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�������������(2)��delivery of reported money to a scholarship, [or] |
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economic development fund, or energy efficiency assistance fund; |
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�������������(3)��filing of a claim; and |
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�������������(4)��procedures to allow equitable opportunity for |
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participation by each nonprofit cooperative corporation in the |
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state. |
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�������(f)��During a state fiscal year the total amount of money |
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that may be transferred by all nonprofit cooperative corporations |
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under this section may not exceed $2 [$1] million. �No more than 20 |
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percent of each nonprofit cooperative's funds eligible for delivery |
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under this section shall be used for economic development. �The |
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comptroller shall adopt procedures to record the total amount of |
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money transferred annually [to allow equitable opportunity for
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participation with preference given to corporations already
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providing similar scholarship opportunities in other states]. |
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�������(g)��Nonprofit cooperative corporations may combine |
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[economic development] funds from other sources with any [economic
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development] funds delivered under this section. �In addition, such |
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cooperatives may engage in other business and commercial |
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activities, in their own behalf or through such subsidiaries and |
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affiliates as deemed necessary, in order to provide and promote |
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educational opportunities and to stimulate rural economic |
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development. |
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�������SECTION�16.��Subchapter H, Chapter 151, Tax Code, is amended |
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by adding Section 151.333 to read as follows: |
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�������Sec.�151.333.��ENERGY-EFFICIENT PRODUCTS. �(a) �In this |
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|
section, "energy-efficient product" means a product that has been |
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|
designated as an Energy Star qualified product under the Energy |
�
|
Star program jointly operated by the United States Environmental |
�
|
Protection Agency and the United States Department of Energy. |
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|
�������(b)��This section applies only to the following |
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|
energy-efficient products: |
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|
�������������(1)��an air conditioner the sales price of which does |
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|
not exceed $6,000; |
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|
�������������(2)��a clothes washer; |
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|
�������������(3)��a ceiling fan; |
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|
�������������(4)��a dehumidifier; |
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|
�������������(5)��a dishwasher; |
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|
�������������(6)��an incandescent or fluorescent lightbulb; |
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|
�������������(7)��a programmable thermostat; and |
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|
�������������(8)��a refrigerator the sales price of which does not |
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|
exceed $2,000. |
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|
�������(c)��The sale of an energy-efficient product to which this |
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|
section applies is exempted from the taxes imposed by this chapter |
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|
if the sale takes place during a period beginning at 12:01 a.m. on |
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|
the Saturday preceding the last Monday in May (Memorial Day) and |
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|
ending at 11:59 p.m. on the last Monday in May. |
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|
�������SECTION�17.��Subchapter A, Chapter 313, Tax Code, is amended |
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|
by adding Section 313.008 to read as follows: |
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|
�������Sec.�313.008.��REPORT ON COMPLIANCE WITH ENERGY-RELATED |
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|
AGREEMENTS. �(a) �Before the beginning of each regular session of |
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|
the legislature, the comptroller shall submit to the lieutenant |
�
|
governor, the speaker of the house of representatives, and each |
�
|
member of the legislature a report assessing the progress of each |
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|
agreement entered into under this chapter utilizing data certified |
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|
by agreement recipients, on each agreement entered into under this |
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|
chapter involving energy-related projects, including wind |
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|
generation, ethanol production, liquefied natural gas terminals, |
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|
low sulfur diesel production, refinery cogeneration, and nuclear |
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|
energy production. �The report must state for each agreement: |
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|
�������������(1)��the number of qualifying jobs each recipient of a |
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|
limitation on appraised value committed to create; |
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|
�������������(2)��the number of qualifying jobs each recipient |
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|
created; |
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|
�������������(3)��the median wage of the new jobs each recipient |
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|
created; |
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|
�������������(4)��the amount of the qualified investment each |
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|
recipient committed to expend or allocate per project; |
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|
�������������(5)��the amount of the qualified investment each |
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|
recipient expended or allocated per project; |
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|
�������������(6)��the market value of the qualified property of each |
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|
recipient as established by the local appraiser; |
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|
�������������(7)��the limitation on appraised value for the |
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|
qualified property of each recipient; |
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|
�������������(8)��the dollar amount of the ad valorem taxes that |
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|
would have been imposed on the market value of the qualified |
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|
property; |
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|
�������������(9)��the dollar amount of the ad valorem taxes imposed |
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|
on the qualified property; |
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|
�������������(10)��the number of new jobs created by each recipient |
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|
in each sector of the North American Industry Classification System |
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|
(NAICS); and |
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|
�������������(11)��of the number of new jobs each recipient created, |
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|
the number of positions created that provide health benefits for |
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|
employees. |
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|
�������(b)��The report may not include information that is made |
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|
confidential by law. |
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|
�������(c)��The comptroller may require a recipient to submit, on a |
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|
form provided by the comptroller, information required to complete |
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|
the report. |
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|
�������SECTION�18.��Section 31.004, Utilities Code, is amended by |
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|
adding Subsection (c) to read as follows: |
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|
�������(c)��The commission shall provide information to school |
�
|
districts regarding how a school district may finance the |
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|
installation of solar electric generation panels for school |
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|
district buildings. |
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|
�������SECTION�19.��Section 39.002, Utilities Code, is amended to |
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|
read as follows: |
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|
�������Sec.�39.002.��APPLICABILITY. �This chapter, other than |
�
|
Sections 39.155, 39.157(e), 39.203, 39.903, [and] 39.904, 39.9051, |
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|
39.9052, and 39.914(e), does not apply to a municipally owned |
�
|
utility or an electric cooperative. Sections 39.157(e), 39.203, and |
�
|
39.904, however, 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�20.��Section 39.107, Utilities Code, is amended by |
�
|
adding Subsection (i) to read as follows: |
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|
�������(i)��Subject to the restrictions in Subsection (h), it is the |
�
|
intent of the legislature that net metering and advanced meter |
�
|
information networks be deployed as rapidly as possible to allow |
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|
customers to better manage energy use and control costs, and to |
�
|
facilitate demand response initiatives. |
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|
�������SECTION�21.��Subchapter Z, Chapter 39, Utilities Code, is |
�
|
amended by adding Section 39.9025 to read as follows: |
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|
�������Sec.�39.9025.��HOME ELECTRIC ENERGY REPORTS. �The commission |
�
|
may encourage retail electric providers to deliver individualized |
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|
home electric energy reports to educate consumers about electric |
�
|
energy use and energy efficiency to assist consumers to use energy |
�
|
more efficiently. |
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|
�������SECTION�22.��Section 39.905, Utilities Code, is amended by |
�
|
amending Subsections (a), (b), (d), (e), and (f) and adding |
�
|
Subsections (b-1), (b-2), (b-3), (b-4), and (g) to read as follows: |
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|
�������(a)��It is the goal of the legislature that: |
�
|
�������������(1)��electric utilities will administer energy |
�
|
efficiency [savings] incentive programs in a market-neutral, |
�
|
nondiscriminatory manner but will not offer underlying competitive |
�
|
services; |
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|
�������������(2)��all customers, in all customer classes, will have |
�
|
a choice of and access to energy efficiency alternatives and other |
�
|
choices from the market that allow each customer to reduce energy |
�
|
consumption, peak demand, or energy costs; [and] |
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|
�������������(3)��each electric utility will provide, through |
�
|
market-based standard offer programs or limited, targeted, |
�
|
market-transformation programs, incentives sufficient for retail |
�
|
electric providers and competitive energy service providers to |
�
|
acquire additional cost-effective energy efficiency for |
�
|
residential and commercial customers�equivalent to at least: |
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|
�������������������(A)��10 percent of the electric utility's annual |
�
|
growth in demand of residential and commercial customers by |
�
|
December 31, 2007; |
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|
�������������������(B)��15 percent of the electric utility's annual |
�
|
growth in demand of residential and commercial customers by |
�
|
December 31, 2008, provided that the electric utility's program |
�
|
expenditures for 2008 funding may not be greater than 75 percent |
�
|
above the utility's program budget for 2007 for residential and |
�
|
commercial customers, as included in the April 1, 2006, filing; and |
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|
�������������������(C)��20 percent of the electric utility's annual |
�
|
growth in demand of residential and commercial customers by |
�
|
December 31, 2009, provided that the electric utility's program |
�
|
expenditures for 2009 funding may not be greater than 150 percent |
�
|
above the utility's program budget for 2007 for residential and |
�
|
commercial customers, as included in the April 1, 2006, filing; |
�
|
�������������(4)��each electric utility in the ERCOT region shall |
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|
use its best efforts to encourage and facilitate the involvement of |
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|
the region's retail electric providers in the delivery of |
�
|
efficiency programs and demand response programs under this |
�
|
section; |
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|
�������������(5)��retail electric providers in the ERCOT region, and |
�
|
electric utilities outside of the ERCOT region, shall provide |
�
|
customers with energy efficiency educational materials; and |
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|
�������������(6)��notwithstanding Subsection (a)(3), electric |
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|
utilities shall continue to make available, at 2007 funding and |
�
|
participation levels, any load management standard offer programs |
�
|
developed for industrial customers and implemented prior to May 1, |
�
|
2007. |
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|
�������(b)��The commission shall provide oversight and adopt rules |
�
|
and procedures[, as necessary,] to ensure that the utilities can |
�
|
achieve the goal of this section, including: |
�
|
�������������(1)��establishing an energy efficiency cost recovery |
�
|
factor for ensuring timely and reasonable cost recovery for utility |
�
|
expenditures made to satisfy the goal of this section; |
�
|
�������������(2)��establishing an incentive under Section 36.204 to |
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|
reward utilities administering programs under this section that |
�
|
exceed the minimum goals established by this section; |
�
|
�������������(3)��providing a utility that is unable to establish an |
�
|
energy efficiency cost recovery factor in a timely manner due to a |
�
|
rate freeze with a mechanism to enable the utility to: |
�
|
�������������������(A)��defer the costs of complying with this |
�
|
section; and |
�
|
�������������������(B)��recover the deferred costs through an energy |
�
|
efficiency cost recovery factor on the expiration of the rate |
�
|
freeze period; |
�
|
�������������(4)��ensuring that the costs associated with programs |
�
|
provided under this section are borne by the customer classes that |
�
|
receive the services under the programs; and |
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|
�������������(5)��ensuring the program rules encourage the value of |
�
|
the incentives to be passed on to the end-use customer. |
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|
�������(b-1)��The energy efficiency cost recovery factor under |
�
|
Subsection (b)(1) may not result in an over-recovery of costs but |
�
|
may be adjusted each year to change rates to enable utilities to |
�
|
match revenues against energy efficiency costs and any incentives |
�
|
to which they are granted. The factor shall be adjusted to reflect |
�
|
any over-collection or under-collection of energy efficiency cost |
�
|
recovery revenues in previous years. |
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|
�������(b-2)��The commission shall conduct a study, to be funded by |
�
|
electric utilities, regarding cost-effective energy efficiency in |
�
|
this state. Not later than January 15, 2009, the commission shall |
�
|
submit to the legislature a report regarding the commission's |
�
|
findings that: |
�
|
�������������(1)��considers the technical, economic, and achievable |
�
|
potential, and natural occurrence of energy efficiency in this |
�
|
state in terms of kilowatts and kilowatt hours for each element; |
�
|
�������������(2)��determines the amount of savings that is |
�
|
achievable through utility programs in compliance with commission |
�
|
rules; |
�
|
�������������(3)��recommends whether: |
�
|
�������������������(A)��utility funding of energy efficiency in areas |
�
|
of the state with competitive retail electric service should |
�
|
continue; |
�
|
�������������������(B)��energy efficiency in areas with competitive |
�
|
retail electric service is best provided by the competitive market; |
�
|
and |
�
|
�������������������(C)��utilities should fund education programs to |
�
|
be conducted by the commission regarding the provision of energy |
�
|
efficiency service from the competitive market; |
�
|
�������������(4)��provides estimates of achievable savings specific |
�
|
to each utility service area and each customer class; |
�
|
�������������(5)��quantifies the costs and rate impacts associated |
�
|
with meeting energy efficiency goals; |
�
|
�������������(6)��determines whether an increase in the goal to 30 |
�
|
percent of the growth in demand for each utility is achievable by |
�
|
December 31, 2010, and whether an increase in the goal to 50 percent |
�
|
of the growth in demand for electricity is achievable by December |
�
|
31, 2015, by each utility in the service area served through the |
�
|
energy efficiency programs described by this section; |
�
|
�������������(7)��recommends policies designed to promote energy |
�
|
efficiency in the areas of the state that are not served by the |
�
|
utilities which administer programs under this section; and |
�
|
�������������(8)��identifies potential barriers to the increased |
�
|
participation by retail electric providers in the delivery of |
�
|
energy efficiency services to ERCOT customers, and to the increased |
�
|
potential for energy efficiency in ERCOT or in this state |
�
|
generally, including any recommended regulatory or statutory |
�
|
changes to eliminate such barriers or facilitate greater |
�
|
efficiency. |
�
|
�������(b-3)��Beginning not later than January 1, 2008, the |
�
|
commission, in consultation with the State Energy Conservation |
�
|
Office, annually for a period of five years shall compute and report |
�
|
to ERCOT the projected energy savings and demand impacts for each |
�
|
entity in the ERCOT region that administers standard offer |
�
|
programs, market transformation programs, combined heating and |
�
|
power technology, demand response programs, solar incentive |
�
|
programs, appliance efficiency standards, energy efficiency |
�
|
programs in public buildings, and any other relevant programs that |
�
|
are reasonably anticipated to reduce electricity energy or peak |
�
|
demand or that serve as substitutes for electric supply. |
�
|
�������(b-4)��The commission and ERCOT shall develop a method to |
�
|
account for the projected efficiency impacts under Subsection (b-3) |
�
|
in ERCOT's annual forecasts of future capacity, demand, and |
�
|
reserves. |
�
|
�������(d)��The commission shall establish a procedure for |
�
|
reviewing and evaluating market-transformation program options |
�
|
described by this subsection and other options. In evaluating |
�
|
program options, the commission may consider the ability of a |
�
|
program option to reduce costs to customers through reduced demand, |
�
|
energy savings, and relief of congestion. �Utilities [adopt the
|
�
|
following market-transformation program options that the
|
�
|
utilities] may choose to implement any program option approved by |
�
|
the commission after its evaluation in order to satisfy the goal in |
�
|
Subsection (a), including [(a)(3)]: |
�
|
�������������(1)��energy-smart schools; |
�
|
�������������(2)��appliance retirement and recycling; |
�
|
�������������(3)��air conditioning system tune-ups; [and] |
�
|
�������������(4)��the use of trees or other landscaping for energy |
�
|
efficiency; |
�
|
�������������(5)��customer energy management and demand response |
�
|
programs; |
�
|
�������������(6)��high performance residential and commercial |
�
|
buildings that will achieve the levels of energy efficiency |
�
|
sufficient to qualify those buildings for federal tax incentives; |
�
|
�������������(7)��programs for customers who rent or lease their |
�
|
residence or commercial space; |
�
|
�������������(8)��programs providing energy monitoring equipment to |
�
|
customers that enable a customer to better understand the amount, |
�
|
price, and time of the customer's energy use; |
�
|
�������������(9)��energy audit programs for owners and other |
�
|
residents of single-family or multifamily residences and for small |
�
|
commercial customers; |
�
|
�������������(10)��net-zero energy new home programs; |
�
|
�������������(11)��solar thermal or solar electric programs; and |
�
|
�������������(12)��programs for using windows and other glazing |
�
|
systems, glass doors, and skylights in residential and commercial |
�
|
buildings that reduce solar gain by at least 30 percent from the |
�
|
level established for the federal Energy Star windows program. |
�
|
�������(e)��An electric utility may use money approved by the |
�
|
commission for energy efficiency programs to perform necessary |
�
|
energy efficiency research and development to foster continuous |
�
|
improvement and innovation in the application of energy efficiency |
�
|
technology and energy efficiency program design and |
�
|
implementation. �Money the utility uses under this subsection may |
�
|
not exceed 10 percent of the greater of: |
�
|
�������������(1)��the amount the commission approved for energy |
�
|
efficiency programs in the utility's most recent full rate |
�
|
proceeding; or |
�
|
�������������(2)��the commission-approved expenditures by the |
�
|
utility for energy efficiency in the previous year. |
�
|
�������(f)��Unless funding is provided under Section 39.903, |
�
|
[beginning January 1, 2006,] each unbundled transmission and |
�
|
distribution utility shall include in its energy efficiency plan a |
�
|
targeted low-income energy efficiency program as described by |
�
|
Section 39.903(f)(2), and the savings achieved by the program shall |
�
|
count toward the transmission and distribution utility's energy |
�
|
efficiency goal. �The commission shall determine the appropriate |
�
|
level of funding to be allocated to both targeted and standard offer |
�
|
low-income energy efficiency programs in each unbundled |
�
|
transmission and distribution utility service area. �The total |
�
|
expenditures for both targeted and standard offer low-income energy |
�
|
efficiency programs will be based on the amount spent by the |
�
|
transmission and distribution utility on the commission's |
�
|
hard-to-reach program in calendar year 2003. �This level of funding |
�
|
for low-income energy efficiency programs shall be provided from |
�
|
money approved by the commission for the transmission and |
�
|
distribution utility's energy efficiency programs. �The state |
�
|
agency that administers the federal weatherization assistance |
�
|
program shall provide reports as required by the commission to |
�
|
provide the most current information available on energy and peak |
�
|
demand savings achieved in each transmission and distribution |
�
|
utility service area. |
�
|
�������(g)��The commission may provide for a good cause exemption to |
�
|
a utility's liability for an administrative penalty or other |
�
|
sanction if the utility fails to meet a goal for energy efficiency |
�
|
under this section and the utility's failure to meet the goal is |
�
|
caused by one or more factors outside of the utility's control, |
�
|
including: |
�
|
�������������(1)��insufficient demand by retail electric providers |
�
|
and competitive energy service providers for program incentive |
�
|
funds made available by the utility through its programs; |
�
|
�������������(2)��changes in building energy codes; and |
�
|
�������������(3)��changes in government-imposed appliance or |
�
|
equipment efficiency standards. |
�
|
�������SECTION�23.��Subchapter Z, Chapter 39, Utilities Code, is |
�
|
amended by adding Sections 39.9051, 39.9052, 39.911, 39.912, and |
�
|
39.913 to read as follows: |
�
|
�������Sec.�39.9051.��ENERGY EFFICIENCY FOR MUNICIPALLY OWNED |
�
|
UTILITIES. �(a) �In this section, "municipally owned utility" has |
�
|
the meaning assigned by Section 11.003. |
�
|
�������(b)��This section applies only to a municipally owned utility |
�
|
that had retail sales of more than 500,000 megawatt hours in 2005. |
�
|
�������(c)��It is the goal of the legislature that: |
�
|
�������������(1)��municipally owned utilities will administer |
�
|
energy savings incentive programs; |
�
|
�������������(2)��customers of a municipally owned utility will have |
�
|
a choice of and access to energy efficiency alternatives that allow |
�
|
customers to reduce energy consumption, peak demand, or energy |
�
|
costs; and |
�
|
�������������(3)��each municipally owned utility will provide |
�
|
incentives sufficient for municipally owned utilities to acquire |
�
|
additional cost-effective energy efficiency. |
�
|
�������(d)��The governing body of a municipally owned utility shall |
�
|
provide oversight and adopt rules and procedures, as necessary, to |
�
|
ensure that the utility can achieve the goal of this section. |
�
|
�������(e)��If a municipally owned utility adopts customer choice by |
�
|
decision of the governing body under Chapter 40, the commission |
�
|
shall provide oversight and adopt rules and procedures, as |
�
|
necessary, to ensure that the municipally owned utility can achieve |
�
|
the goal in this section in a market-neutral, nondiscriminatory |
�
|
manner. �The commission shall, to the extent possible, include |
�
|
existing energy efficiency programs already adopted by the |
�
|
municipally owned utility. |
�
|
�������(f)��Not later than September 1, 2009, a municipally owned |
�
|
utility must report to the State Energy Conservation Office, in a |
�
|
form and manner determined by the utility in consultation with the |
�
|
office, information regarding the combined effects of the energy |
�
|
efficiency activities of the utility. |
�
|
�������Sec.�39.9052.��ENERGY EFFICIENCY FOR ELECTRIC COOPERATIVES. � |
�
|
(a) �An electric cooperative shall consider adopting and |
�
|
implementing energy efficiency programs that reduce the |
�
|
cooperative's annual growth in demand in a manner consistent with |
�
|
standards established in the state for other utilities. |
�
|
�������(b)��Not later than September 1, 2009, an electric |
�
|
cooperative that had retail sales of more than 500,000 megawatt |
�
|
hours in 2005 must report to the State Energy Conservation Office, |
�
|
in a form and manner determined by the electric cooperative in |
�
|
consultation with the office, information regarding the combined |
�
|
effects of the energy efficiency activities of the electric |
�
|
cooperative. |
�
|
�������Sec.�39.911.��ALTERNATIVE FUNDING FOR ENERGY EFFICIENCY AND |
�
|
RENEWABLE ENERGY SYSTEMS. �The State Energy Conservation Office, in |
�
|
coordination with the governor, the Department of Agriculture, the |
�
|
Texas Commission on Environmental Quality, the Texas Education |
�
|
Agency, the commission, and other appropriate state agencies, shall |
�
|
solicit gifts, grants, and other financial resources available to |
�
|
fund energy efficiency improvements and renewable energy systems |
�
|
for public and private facilities in this state. |
�
|
�������Sec.�39.912.��REPORT ON COMBINED HEATING AND POWER |
�
|
TECHNOLOGY. �The commission shall study the installation and use of |
�
|
combined heating and power technology in this state, and shall |
�
|
submit a report regarding the commission's findings to the 81st |
�
|
Legislature. �The report shall include: |
�
|
�������������(1)��an explanation describing combined heating and |
�
|
power technology and its use; and |
�
|
�������������(2)��an explanation of how combined heating and power |
�
|
technology can be implemented in this state to meet energy |
�
|
efficiency goals. |
�
|
�������Sec.�39.913.��COMBINING CERTAIN REPORTS. �The commission may |
�
|
combine the reports required under Sections 39.905(b-2) and 39.912. |
�
|
�������SECTION�24.��Subchapter Z, Chapter 39, Utilities Code, is |
�
|
amended by adding Section 39.914 to read as follows: |
�
|
�������Sec.�39.914.��CREDIT FOR SURPLUS SOLAR GENERATION BY PUBLIC |
�
|
SCHOOLS. �(a) �An electric utility or retail electric provider shall |
�
|
provide for net metering and contract with an independent school |
�
|
district so that: |
�
|
�������������(1)��surplus electricity produced by a school |
�
|
building's solar electric generation panels is made available for |
�
|
sale to the electric transmission grid and distribution system; and |
�
|
�������������(2)��the net value of that surplus electricity is |
�
|
credited to the district. |
�
|
�������(b)��For areas of this state in which customer choice has not |
�
|
been introduced, the commission by rule shall require that credits |
�
|
for electricity produced by a school building's solar electric |
�
|
generation panels reflect the value of the electricity that is made |
�
|
available for sale to the electric utility in accordance with |
�
|
federal regulations. |
�
|
�������(c)��For independent school districts in areas in which |
�
|
customer choice has been introduced, the district must sell the |
�
|
school buildings' surplus electricity produced to the retail |
�
|
electric provider that serves the school district's load at a value |
�
|
agreed to between the district and the provider that serves the |
�
|
district's load. �The agreed value may be based on the clearing |
�
|
price of energy at the time of day that the electricity is made |
�
|
available to the grid. �The independent organization identified in |
�
|
Section 39.151 shall develop procedures so that the amount of |
�
|
electricity purchased from a district under this section is |
�
|
accounted for in settling the total load served by the provider that |
�
|
serves the district's load. �A district requesting net metering |
�
|
services for purposes of this section must have metering devices |
�
|
capable of providing measurements consistent with the independent |
�
|
organization's settlement requirements. |
�
|
�������(d)��A transmission and distribution utility shall make |
�
|
available to an independent school district for purposes of this |
�
|
section metering required for services provided under this section, |
�
|
including separate meters that measure the load and generator |
�
|
output or a single meter capable of measuring separately in-flow |
�
|
and out-flow at the point of common coupling meter point. �The |
�
|
district must pay the differential cost of the metering unless the |
�
|
meters are provided at no additional cost. �Except as provided by |
�
|
this section, Section 39.107 applies to metering under this |
�
|
section. |
�
|
�������(e)��A municipally owned utility or electric cooperative |
�
|
shall consider and complete the determinations regarding net |
�
|
metering service as provided by the federal Public Utility |
�
|
Regulatory Policies Act of 1978 (16 U.S.C. Section 2601 et seq., as |
�
|
amended by the federal Energy Policy Act of 2005 (Pub. L. No. |
�
|
109-58)) after proceedings conducted in accordance with that law. � |
�
|
A municipally owned utility or electric cooperative shall report |
�
|
the determinations made under this subsection to the State Energy |
�
|
Conservation Office and include in that report information |
�
|
regarding metering electricity generated by solar panels on public |
�
|
school building rooftops. |
�
|
�������SECTION�25.��Subchapter Z, Chapter 39, Utilities Code, is |
�
|
amended by adding Section 39.915 to read as follows: |
�
|
�������Sec.�39.915.��CONSIDERATION AND APPROVAL OF CERTAIN |
�
|
TRANSACTIONS. �(a) �To protect retail customers in this state, and |
�
|
to ensure the continuation of cost-effective energy efficiency |
�
|
measures and delivery systems, notwithstanding any other provision |
�
|
of this title, an electric utility or transmission and distribution |
�
|
utility must report to and obtain approval of the commission before |
�
|
closing any transaction in which: |
�
|
�������������(1)��the electric utility or transmission and |
�
|
distribution utility will be merged or consolidated with another |
�
|
electric utility or transmission and distribution utility; |
�
|
�������������(2)��at least 50 percent of the stock of the electric |
�
|
utility or transmission and distribution utility will be |
�
|
transferred or sold; or |
�
|
�������������(3)��a controlling interest or operational control of |
�
|
the electric utility or transmission and distribution utility will |
�
|
be transferred. |
�
|
�������(b)��The commission shall approve a transaction under |
�
|
Subsection (a) if the commission finds that the transaction is in |
�
|
the public interest. �In making its determination, the commission |
�
|
shall consider whether the transaction will adversely affect the |
�
|
reliability of service, availability of service, or cost of service |
�
|
of the electric utility or transmission and distribution utility. � |
�
|
The commission shall make the determination concerning a |
�
|
transaction under this subsection not later than the 180th day |
�
|
after the date the commission receives the relevant report. �If the |
�
|
commission has not made a determination before the 181st day after |
�
|
that date, the transaction is considered approved. |
�
|
�������(c)��Subsections (a) and (b) do not apply to a transaction |
�
|
described by Subsection (a) for which a definitive agreement was |
�
|
executed before April 1, 2007, if an electric utility or |
�
|
transmission and distribution utility or a person seeking to |
�
|
acquire or merge with an electric utility or transmission and |
�
|
distribution utility made a filing for review of the transaction |
�
|
under Section 14.101 before May 1, 2007, and the resulting |
�
|
proceeding was not withdrawn. |
�
|
�������(d)��If an electric utility or transmission and distribution |
�
|
utility or a person seeking to acquire or merge with an electric |
�
|
utility or transmission and distribution utility files with the |
�
|
commission a stipulation, representation, or commitment in advance |
�
|
of or as part of a filing under this section or under Section |
�
|
14.101, the commission may enforce the stipulation, |
�
|
representation, or commitment to the extent that the stipulation, |
�
|
representation, or commitment is consistent with the standards |
�
|
provided by this section and Section 14.101. �The commission may |
�
|
reasonably interpret and enforce conditions adopted under this |
�
|
section. |
�
|
�������SECTION�26.��Subchapter Z, Chapter 39, Utilities Code, is |
�
|
amended by adding Section 39.916 to read as follows: |
�
|
�������Sec.�39.916.��INTERCONNECTION OF DISTRIBUTED RENEWABLE |
�
|
GENERATION. �(a) �In this section: |
�
|
�������������(1)��"Distributed renewable generation" means electric |
�
|
generation with a capacity of not more than 2,000 kilowatts |
�
|
provided by a renewable energy technology, as defined by Section |
�
|
39.904, that is installed on a retail electric customer's side of |
�
|
the meter. |
�
|
�������������(2)��"Distributed renewable generation owner" means |
�
|
the owner of distributed renewable generation. |
�
|
�������������(3)��"Interconnection" means the right of a distributed |
�
|
renewable generation owner to physically connect distributed |
�
|
renewable generation to an electricity distribution system, and the |
�
|
technical requirements, rules, or processes for the connection. |
�
|
�������(b)��A transmission and distribution utility or electric |
�
|
utility shall allow interconnection if: |
�
|
�������������(1)��the distributed renewable generation to be |
�
|
interconnected has a five-year warranty against breakdown or undue |
�
|
degradation; and |
�
|
�������������(2)��the rated capacity of the distributed renewable |
�
|
generation does not exceed the transmission and distribution |
�
|
utility or electric utility service capacity. |
�
|
�������(c)��A customer may request interconnection by filing an |
�
|
application for interconnection with the transmission and |
�
|
distribution utility or electric utility. �Procedures of a |
�
|
transmission and distribution utility or electric utility for the |
�
|
submission and processing of a customer's application for |
�
|
interconnection shall be consistent with rules adopted by the |
�
|
commission regarding interconnection. |
�
|
�������(d)��The commission by rule shall establish safety, |
�
|
technical, and performance standards for distributed renewable |
�
|
generation that may be interconnected. �In adopting the rules, the |
�
|
commission shall consider standards published by the Underwriters |
�
|
Laboratories, the National Electric Code, the National Electric |
�
|
Safety Code, and the Institute of Electrical and Electronics |
�
|
Engineers. |
�
|
�������(e)��A transmission and distribution utility, electric |
�
|
utility, or retail electric provider may not require a distributed |
�
|
renewable generation owner whose distributed renewable generation |
�
|
meets the standards established by rule under Subsection (d) to |
�
|
purchase an amount, type, or classification of liability insurance |
�
|
the distributed renewable generation owner would not have in the |
�
|
absence of the distributed renewable generation. |
�
|
�������(f)��A transmission and distribution utility or electric |
�
|
utility shall make available to a distributed renewable generation |
�
|
owner for purposes of this section metering required for services |
�
|
provided under this section, including separate meters that measure |
�
|
the load and generator output or a single meter capable of measuring |
�
|
in-flow and out-flow at the point of common coupling meter point. |
�
|
The distributed renewable generation owner must pay the |
�
|
differential cost of the metering unless the meters are provided at |
�
|
no additional cost. �Except as provided by this section, Section |
�
|
39.107 applies to metering under this section. |
�
|
�������(g)��A renewable energy credit that is earned by a |
�
|
distributed renewable generation owner through the interconnection |
�
|
of a renewable electric system is the sole property of the |
�
|
distributed renewable generation owner unless the distributed |
�
|
renewable generation owner engages in a transaction to sell or |
�
|
trade the credit under Section 39.904. �For electric utilities, the |
�
|
commission shall address the ownership of renewable energy credits |
�
|
associated with power sold to the utility. |
�
|
�������(h)��An electric utility or retail electric provider may |
�
|
contract with a distributed renewable generation owner so that: |
�
|
�������������(1)��surplus electricity produced by distributed |
�
|
renewable generation is made available for sale to the transmission |
�
|
grid and distribution system; and |
�
|
�������������(2)��the net value of that surplus electricity is |
�
|
credited to the distributed renewable generation owner. |
�
|
�������[(i) reserved] |
�
|
�������(j)��For distributed renewable generation owners in areas in |
�
|
which customer choice has been introduced, the distributed |
�
|
renewable generation owner must sell the owner's surplus |
�
|
electricity produced to the retail electric provider that serves |
�
|
the distributed renewable generation owner's load at a value agreed |
�
|
to between the distributed renewable generation owner and the |
�
|
provider that serves the owner's load which may include, but is not |
�
|
limited to, an agreed value based on the clearing price of energy at |
�
|
the time of day that the electricity is made available to the grid |
�
|
or it may be a credit applied to an account during a billing period |
�
|
that may be carried over to subsequent billing periods until the |
�
|
credit has been redeemed. The independent organization identified |
�
|
in Section 39.151 shall develop procedures so that the amount of |
�
|
electricity purchased from a distributed renewable generation |
�
|
owner under this section is accounted for in settling the total load |
�
|
served by the provider that serves that owner's load by January 1, |
�
|
2009. �A distributed renewable generation owner requesting net |
�
|
metering services for purposes of this section must have metering |
�
|
devices capable of providing measurements consistent with the |
�
|
independent organization's settlement requirements. |
�
|
�������SECTION�27.��Section 40.055(a), Utilities Code, is amended |
�
|
to read as follows: |
�
|
�������(a)��The municipal governing body or a body vested with the |
�
|
power to manage and operate a municipally owned utility has |
�
|
exclusive jurisdiction to: |
�
|
�������������(1)��set all terms of access, conditions, and rates |
�
|
applicable to services provided by the municipally owned utility, |
�
|
subject to Sections 40.054 and 40.056, including nondiscriminatory |
�
|
and comparable rates for distribution but excluding wholesale |
�
|
transmission rates, terms of access, and conditions for wholesale |
�
|
transmission service set by the commission under this subtitle, |
�
|
provided that the rates for distribution access established by the |
�
|
municipal governing body shall be comparable to the distribution |
�
|
access rates that apply to the municipally owned utility and the |
�
|
municipally owned utility's affiliates; |
�
|
�������������(2)��determine whether to unbundle any energy-related |
�
|
activities and, if the municipally owned utility chooses to |
�
|
unbundle, whether to do so structurally or functionally; |
�
|
�������������(3)��reasonably determine the amount of the municipally |
�
|
owned utility's stranded investment; |
�
|
�������������(4)��establish nondiscriminatory transition charges |
�
|
reasonably designed to recover the stranded investment over an |
�
|
appropriate period of time, provided that recovery of retail |
�
|
stranded costs shall be from all existing or future retail |
�
|
customers, including the facilities, premises, and loads of those |
�
|
retail customers, within the utility's geographical certificated |
�
|
service area as it existed on May 1, 1999; |
�
|
�������������(5)��determine the extent to which the municipally |
�
|
owned utility will provide various customer services at the |
�
|
distribution level, including other services that the municipally |
�
|
owned utility is legally authorized to provide, or will accept the |
�
|
services from other providers; |
�
|
�������������(6)��manage and operate the municipality's electric |
�
|
utility systems, including exercise of control over resource |
�
|
acquisition and any related expansion programs; |
�
|
�������������(7)��establish and enforce service quality and |
�
|
reliability standards and consumer safeguards designed to protect |
�
|
retail electric customers, including safeguards that will |
�
|
accomplish the objectives of Sections 39.101(a) and (b), consistent |
�
|
with this chapter; |
�
|
�������������(8)��determine whether a base rate reduction is |
�
|
appropriate for the municipally owned utility; |
�
|
�������������(9)��determine any other utility matters that the |
�
|
municipal governing body or body vested with power to manage and |
�
|
operate the municipally owned utility believes should be included; |
�
|
[and] |
�
|
�������������(10)��make any other decisions affecting the |
�
|
municipally owned utility's participation in customer choice that |
�
|
are not inconsistent with this chapter; and |
�
|
�������������(11)��determine the extent to which the municipally |
�
|
owned utility offers energy efficiency programs and how the |
�
|
programs are administered by the utility, except as provided by |
�
|
Section 39.9051(e). |
�
|
�������SECTION�28.��Section 41.055, Utilities Code, is amended to |
�
|
read as follows: |
�
|
�������Sec.�41.055.��JURISDICTION OF BOARD OF DIRECTORS. �A board of |
�
|
directors has exclusive jurisdiction to: |
�
|
�������������(1)��set all terms of access, conditions, and rates |
�
|
applicable to services provided by the electric cooperative, except |
�
|
as provided by Sections 41.054 and 41.056, including |
�
|
nondiscriminatory and comparable rates for distribution but |
�
|
excluding wholesale transmission rates, terms of access, and |
�
|
conditions for wholesale transmission service set by the commission |
�
|
under Subchapter A, Chapter 35, provided that the rates for |
�
|
distribution established by the electric cooperative shall be |
�
|
comparable to the distribution rates that apply to the electric |
�
|
cooperative and its subsidiaries; |
�
|
�������������(2)��determine whether to unbundle any energy-related |
�
|
activities and, if the board of directors chooses to unbundle, |
�
|
whether to do so structurally or functionally; |
�
|
�������������(3)��reasonably determine the amount of the electric |
�
|
cooperative's stranded investment; |
�
|
�������������(4)��establish nondiscriminatory transition charges |
�
|
reasonably designed to recover the stranded investment over an |
�
|
appropriate period of time; |
�
|
�������������(5)��determine the extent to which the electric |
�
|
cooperative will provide various customer services, including |
�
|
nonelectric services, or accept the services from other providers; |
�
|
�������������(6)��manage and operate the electric cooperative's |
�
|
utility systems, including exercise of control over resource |
�
|
acquisition and any related expansion programs; |
�
|
�������������(7)��establish and enforce service quality standards, |
�
|
reliability standards, and consumer safeguards designed to protect |
�
|
retail electric customers; |
�
|
�������������(8)��determine whether a base rate reduction is |
�
|
appropriate for the electric cooperative; |
�
|
�������������(9)��determine any other utility matters that the board |
�
|
of directors believes should be included; |
�
|
�������������(10)��sell electric energy and capacity at wholesale, |
�
|
regardless of whether the electric cooperative participates in |
�
|
customer choice; |
�
|
�������������(11)��determine the extent to which the electric |
�
|
cooperative offers energy efficiency programs and how the programs |
�
|
are administered by the electric cooperative; and |
�
|
�������������(12)�[(11)]��make any other decisions affecting the |
�
|
electric cooperative's method of conducting business that are not |
�
|
inconsistent with the provisions of this chapter. |
�
|
�������SECTION�29.��The State Energy Conservation Office shall |
�
|
adopt rules implementing a procedure for stakeholder participation |
�
|
as required under Section 388.003(b-2), Health and Safety Code, as |
�
|
added by this Act, as soon as practicable after the effective date |
�
|
of this Act. |
�
|
�������SECTION�30.��(a) �The energy conservation standards for |
�
|
equipment and appliances under Section 2158.301, Government Code, |
�
|
as added by this Act, apply to a purchase by a state agency on or |
�
|
after the effective date of this Act. |
�
|
�������(b)��The Texas Building and Procurement Commission shall |
�
|
develop a list of equipment and appliances under Section 2155.068, |
�
|
Government Code, as amended by this Act, as soon as practicable |
�
|
after the effective date of this Act. |
�
|
�������SECTION�31.��Section 2165.058(c), Government Code, as added |
�
|
by this Act, applies only to an entity that contracts with the Texas |
�
|
Building and Procurement Commission or another state agency to |
�
|
install or operate a vending machine on or after the effective date |
�
|
of this Act. |
�
|
�������SECTION�32.��The change in law made by this Act does not |
�
|
affect taxes imposed before the effective date of this Act, and the |
�
|
law in effect before the effective date of this Act is continued in |
�
|
effect for purposes of the liability for and collection of those |
�
|
taxes. |
�
|
�������SECTION�33.��This Act takes effect September 1, 2007. |
� |
� |
� |
______________________________ |
______________________________ |
� |
���President of the Senate |
Speaker of the House����� |
� |
� |
�
|
�������I certify that H.B. No. 3693 was passed by the House on May |
�
|
10, 2007, by the following vote:��Yeas 141, Nays 0, 2 present, not |
�
|
voting; that the House refused to concur in Senate amendments to |
�
|
H.B. No. 3693 on May 25, 2007, and requested the appointment of a |
�
|
conference committee to consider the differences between the two |
�
|
houses; and that the House adopted the conference committee report |
�
|
on H.B. No. 3693 on May 28, 2007, by the following vote:��Yeas 140, |
�
|
Nays 2, 3 present, not voting. |
�
|
|
�
|
______________________________ |
�
|
Chief Clerk of the House��� |
� |
�
|
�������I certify that H.B. No. 3693 was passed by the Senate, with |
�
|
amendments, on May 23, 2007, by the following vote:��Yeas 31, Nays |
�
|
0; at the request of the House, the Senate appointed a conference |
�
|
committee to consider the differences between the two houses; and |
�
|
that the Senate adopted the conference committee report on H.B. No. |
�
|
3693 on May 26, 2007, by the following vote:��Yeas 30, Nays 0. |
�
|
|
�
|
______________________________ |
�
|
Secretary of the Senate��� |
�
|
APPROVED: __________________ |
�
|
����������������Date������� |
�
|
� |
�
|
�������� __________________ |
�
|
��������������Governor������� |