CHAPTER 304. ENERGY AGGREGATION MEASURES FOR LOCAL GOVERNMENTS
LOCAL GOVERNMENT CODE
TITLE 9. PUBLIC BUILDINGS AND GROUNDS
SUBTITLE C. PUBLIC BUILDING PROVISIONS APPLYING TO MORE THAN ONE
TYPE OF LOCAL GOVERNMENT
CHAPTER 304. ENERGY AGGREGATION MEASURES FOR LOCAL GOVERNMENTS
Sec. 304.001. AGGREGATION BY POLITICAL SUBDIVISIONS. (a) In
this chapter, "political subdivision" means a county,
municipality, school district, hospital district, or any other
political subdivision receiving electric service from an entity
that has implemented customer choice, as defined in Section
31.002, Utilities Code.
(b) A political subdivision may join with another political
subdivision or subdivisions to form a political subdivision
corporation or corporations to act as an agent to negotiate the
purchase of electricity, or to likewise aid or act on behalf of
the political subdivisions for which the corporation is created,
with respect to their own electricity use for their respective
public facilities.
(c) The articles of incorporation and the bylaws of a political
subdivision corporation must be approved by ordinance,
resolution, or order adopted by the governing body of each
political subdivision for which the corporation is created.
(d) A political subdivision corporation may negotiate on behalf
of its incorporating political subdivisions for the purchase of
electricity, make contracts for the purchase of electricity,
purchase electricity, and take any other action necessary to
purchase electricity for use in the public facilities of the
political subdivision or subdivisions represented by the
political subdivision corporation. In this subsection,
"electricity" means electric energy, capacity, energy services,
ancillary services, or other electric services for retail or
wholesale consumption by the political subdivisions.
(e) A political subdivision corporation may recover the expenses
of the political subdivision corporation through the assessment
of dues to the incorporating political subdivisions or through an
aggregation fee charged per kilowatt hour, or a combination of
both.
(f) A political subdivision corporation may appear on behalf of
its incorporating political subdivisions before the Public
Utility Commission of Texas, the Railroad Commission of Texas,
the Texas Natural Resource Conservation Commission, any other
governmental agency or regulatory authority, the Texas
Legislature, and the courts.
(g) A political subdivision corporation has the powers of a
corporation created and incorporated pursuant to the provisions
of the Texas Non-Profit Corporation Act (Article 1396-1.01 et
seq., Vernon's Texas Civil Statutes) and such other powers as
specified in Section 39.3545, Utilities Code.
(h) The provisions of the Texas Non-Profit Corporation Act
(Article 1396-1.01 et seq., Vernon's Texas Civil Statutes)
relating to powers, standards of conduct, and interests in
contracts apply to the directors and officers of a political
subdivision corporation.
(i) A member of the board of directors of a political
subdivision corporation:
(1) is not a public official by virtue of that position; and
(2) unless otherwise ineligible, may be elected to serve as an
official of a political subdivision or be employed by a political
subdivision.
Added by Acts 1999, 76th Leg., ch. 405, Sec. 42, eff. Sept. 1,
1999. Renumbered from Sec. 303.001 by Acts 2001, 77th Leg., ch.
1420, Sec. 21.001(87), eff. Sept. 1, 2001. Amended by Acts 2003,
78th Leg., ch. 201, Sec. 58, eff. Sept. 1, 2003; Acts 2003, 78th
Leg., ch. 680, Sec. 2, eff. June 20, 2003.
Sec. 304.002. AGGREGATION BY POLITICAL SUBDIVISION FOR CITIZENS.
(a) A political subdivision aggregator may negotiate for the
purchase of electricity and energy services on behalf of the
citizens of the political subdivision. The citizens must
affirmatively request to be included in the aggregation services
by the political subdivision aggregator.
(b) A political subdivision may contract with a third party or
another aggregator to administer the aggregation of electricity
and energy services purchased under Subsection (a).
(c) The political subdivision aggregator may use any mailing
from the subdivision to invite participation by its citizens.
Added by Acts 1999, 76th Leg., ch. 405, Sec. 42, eff. Sept. 1,
1999. Renumbered from Sec. 303.002 by Acts 2001, 77th Leg., ch.
1420, Sec. 21.001(87), eff. Sept. 1, 2001.