BILL ANALYSIS

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

All Texas residents, businesses, and communities rely on uninterrupted electrical power. The Texas Power Promise (TPP) fortifies Texas communities against sustained loss of electrical power and the resulting loss of critical and essential services, including, to name only a few: food and fuel, water and wastewater facilities, emergency and non-emergency medical care, senior living centers, police and fire, and other emergency operations. Under S.B. 2112, the state shall establish the Texas Power Resiliency Fund, a constitutionally dedicated fund to which shall be appropriated $2 billion from general revenue for purposes of effectuating the purposes of the TPP. S.J.R. 82 provides the constitutional authorization for this fund to be created and authorizes its management by the Texas Division of Emergency Management if it is approved by voters as a constitutional amendment.

Key Provisions:

�         S.J.R. 82 establishes the Texas Power Resiliency Fund as a special fund to provide the funding specified in S.B. 2112.

�         Establishes that the Texas Division of Emergency Management (TDEM) shall have primary and delegable authority to develop and administer the TPP.

�         Specifies that funding for the Texas Power Resiliency Fund will come from money transferred or deposited to the credit of the fund by or as authorized by law and revenue, including the proceeds of any fee, assessment, or tax imposed by this state dedicated to this fund, and investment earnings and interest earned on money in the fund.

�         This proposed constitutional amendment shall be submitted to the voters at an election to be held November 7, 2023.

S.J.R. 82 proposes a constitutional amendment providing for the creation of the Texas power resiliency fund to finance the operation of backup power sources.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Article III, Texas Constitution, by adding Section 49-q, as follows:

Sec. 49-q. (a) Provides that the Texas power resiliency fund (fund) is created as a special fund in the state treasury outside the general revenue fund.

(b) Authorizes money in the fund, as provided by general law, to be administered and used, without further appropriation, only:

(1) by the State Energy Conservation Office (SECO) or SECO's successor in function to provide grants and loans to finance the operation of backup power sources; and

(2) by the Texas Division of Emergency Management (TDEM) or TDEM's successor in function to procure and deploy mobile sources of backup power.

(c) Authorizes the entities administering the Texas power resiliency fund to establish separate accounts in the fund as necessary or convenient for the fund's administration.

(d) Provides that the fund consists of:

(1) money transferred or deposited to the credit of the fund by or as authorized by law, including money from any source transferred or deposited to the credit of the fund at the discretion of the entities administering the fund;

(2) revenue, including the proceeds of any fee, assessment, or tax imposed by the state, that general law dedicates for deposit to the credit of the fund; and

(3) investment earnings and interest earned on money in the fund.

SECTION 2. Requires that the proposed constitutional amendment be submitted to the voters at an election to be held on November 7, 2023. Sets forth the required language of the ballot.