Texas Utilities Code

§ 104.366 — FINANCING ORDERS AND ISSUANCE OF CUSTOMER RATE RELIEF BONDS

UT § 104.366Title 3. GAS REGULATION · Part A. GAS UTILITY REGULATORY ACT · Ch. 104. RATES AND SERVICES · Art. I. CUSTOMER RATE RELIEF BONDS

Statute text

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(a)If the railroad commission determines that customer rate relief bond financing for extraordinary costs is the most cost-effective method of funding regulatory asset reimbursements to be made to gas utilities, the railroad commission, after the final resolution of all applications filed under Section 104.365, may request the authority to direct an issuing financing entity to issue customer rate relief bonds. Before making the request, the railroad commission must issue a financing order that complies with this section.

(b)To make the determination described by Subsection (a), the railroad commission must find that the proposed structuring, expected pricing, and proposed financing costs of the customer rate relief bonds are reasonably expected to provide benefits to customers by:

(1)considering customer affordability; and

(2)comparing:

(A)the estimated monthly costs to customers resulting from the issuance of customer rate relief bonds; and

(B)the estimated monthly costs to customers that would result from the application of conventional recovery methods.

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Legislative history

Added by Acts 2021, 87th Leg., R.S., Ch. 805 (H.B. 1520), Sec. 5, eff. June 16, 2021.