HBA-SEB S.B. 1883 76(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 1883 By: Harris Energy Resources 5/7/1999 Engrossed BACKGROUND AND PURPOSE Currently, some confusion exists over whether municipal franchise fees may be included in the rates charged to a state agency by a utility. In 1993, the 73rd Texas Legislature enacted legislation which established the amounts that could be included in the rates a utility may charge a state agency. S.B. 1883 provides that a gross receipts assessment, regulatory assessment, or similar expense of a utility does not include a payment to a municipality under a contract, franchise, or other agreement. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 104.202, Utilities Code, by adding Subsection (c), to provide that a gross receipts assessment, regulatory assessment, or similar expense of a utility does not include a payment to a municipality under a contract, franchise, or other agreement. SECTION 2.Emergency clause. Effective date: upon passage.