Texas Utilities Code
§ 39.604 — COMMISSION-AUTHORIZED FINANCING
UT § 39.604Title 2. PUBLIC UTILITY REGULATORY ACT · Part B. ELECTRIC UTILITIES · Ch. 39. RESTRUCTURING OF ELECTRIC UTILITY INDUSTRY · Art. M. WINTER STORM URI DEFAULT BALANCE FINANCING
Statute text
View on source(a)The commission may contract with another state agency with expertise in public financing to establish a debt financing mechanism for the payment of the default balance as defined in this subchapter, under an order that meets the requirements of Section 39.603. This section does not apply to a default balance securitized under Subchapter D, Chapter 41.
(b)The contracted state agency and any issuer, along with the independent organization, must be a party to the commission's proceedings that address the issuance of an order.
(c)In addition to the other applicable requirements of this subtitle, an order issued under this section must:
(1)require the sale, assignment, or other transfer to the contracted state agency of default charges created by the order and, following that sale, assignment, or transfer, require that default charges paid under any order be created, assessed, and collected as the property of the contracted state agency, subject to subsequent sale, assignment, or transfer by the contracted state agency as authorized under this subchapter;
(2)authorize:
(A)the issuance of debt obligations by the contracted state agency secured by a pledge of default charge revenue, and the application of the proceeds of those debt obligations, net of issuance costs, to the independent organization; or
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Legislative history
Added by Acts 2021, 87th Leg., R.S., Ch. 908 (H.B. 4492), Sec. 5, eff. June 16, 2021.