HBA-SEP H.B. 2552 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2552 By: Uher State Affairs 3/28/2001 Introduced BACKGROUND AND PURPOSE The electric utility restructuring bill passed by the 76th Legislature posed concerns for the residents of Matagorda County which is home to one of the two operational nuclear power plants in Texas. The South Texas Project (STP) nuclear power plant provides a substantial portion of the tax base for Matagorda County. As part of the electric utility restructuring legislation, a nuclear safety fee was established to prevent the loss of revenue for the county and was required to be paid in fiscal years 2000 and 2001 by the STP to the taxing units that levied ad valorem taxes on the nuclear facility in 1999. The amount of the fee is equal to the difference between the amount of ad valorem taxes imposed in 1999 and the amount of ad valorem taxes imposed by the taxing unit in the year the fee is due. House Bill 2552 extends the collection of the nuclear safety fee to the years 2002 and 2003. 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. ANALYSIS House Bill 2552 amends the Utilities Code to extend the time period to the years 2002 and 2003 during which the nuclear safety fee is required to be paid by the electric utility that operates a nuclear safety asset located in a county on the coast of the Gulf of Mexico to each taxing unit in which a nuclear asset is located. EFFECTIVE DATE September 1, 2001.