Meeting Summary - 05/12/2025 House State Affairs

▶️1 - SB231 King | et al.

• SB231 is introduced as an update to address issues with HB2483 related to emergency generator leases.
• The bill aims to ensure leased generators are mobile, deployable, and timely during emergencies.
• Sets standards requiring generators to be mobile within 12 hours and operational within 3 hours of connection.
• Capped generator capacity at 5 megawatts for flexibility.
• Mandates competitive bidding for leasing generators.
• PUC must approve leases either through a rate case or a contested hearing.
• Allows utilities to lease generators immediately during major outages if no existing leases are available, with justification required in their next rate case.
• Aligns with previously adopted PUC rules to ensure preparedness for emergencies.

▶️Sandra Haverlah, TCA

• Sandra Haverlah testified on behalf of the Texas Consumer Association (TCA).
• TCA supports the bill and has been active on this issue for several years.
• TCA currently has a complaint pending at the Public Utility Commission (PUC).
• The bill is supported as it provides improvements to the existing program.
• TCA advocates for phasing out the current program, as it primarily benefits utilities.
• A suggestion was made to lease generators only during emergencies to avoid ongoing costs.
• It was proposed that the Texas Division of Emergency Management (TDEM) could manage emergency generation, ensuring it is not profit-based and consumers do not bear costs.
• A sunset provision for the program is desired, with the possibility of TDEM taking over responsibilities.
• No other individuals testified for or against SB231 following Sandra's testimony.
• Chairman Guillen mentioned that the committee substitute was withdrawn, and SB231 was left pending without objections.

▶️9 - SB2368 Campbell | et al.

• Chairman Patterson explains the bill SB2368.
• The bill is a continuation of previous sessions' bills initially filed by Tan Parker.
• SB2368 introduces a fine up to $1,000,000 per day for market participants sending false or incomplete information to ERCOT.
• Adds requirements for companies to perform background checks and verify travel to certain countries for critical infrastructure security positions.
• Enhances reporting requirements for market participants and enables the Office of the Attorney General (OAG) to investigate.
• Related to the Lone Star Infrastructure Protection Act, adding three new components.
• No questions or testimonies for or against SB2368 were presented.
• SB2368 was left pending with no objections.