PART 1. RAILROAD COMMISSION OF TEXAS
CHAPTER 7. GAS SERVICES
SUBCHAPTER D. CUSTOMER SERVICE AND PROTECTION
The Railroad Commission of Texas (the Commission) adopts amendments to §7.460, relating to Suspension of Gas Utility Service Disconnection During an Extreme Weather Emergency, with changes to the proposed text as published in the October 6, 2023, issue of the Texas Register (48 TexReg 5796). The rule will be republished. The Commission adopts the amendments pursuant to Texas Utilities Code §105.023, which requires the Commission to adopt a classification table to guide courts in issuing civil penalties against gas utilities who disconnect service to residential customers during an extreme weather emergency. In that same issue of the Texas Register, the Commission proposed new §7.480 relating to Energy Conservation Programs, pursuant to House Bill 2263, 88th Legislative Session (2023). The Commission will address proposed §7.480 in a future action.
Regarding the proposed amendments to §7.460, the Commission received six comments, two from associations (Commission Shift and the Lone Star Chapter of the Sierra Club), three from companies (Atmos Energy Corporation (Atmos Energy), CenterPoint Energy Resources Corp. (CenterPoint), and Texas Gas Service Company (Texas Gas)), and one from the Office of Public Utility Counsel (OPUC). The Commission appreciates these comments.
The Lone Star Chapter of the Sierra Club and OPUC commented in support of the changes to §7.460. The Commission appreciates the support of these commenters.
Atmos Energy and CenterPoint commented that the governing statute directs the Commission to establish a classification system to be used for violations of Texas Utilities Code §104.258(c), which encompasses two violations. One violation was addressed in the proposed rule (disconnection during an extreme weather emergency), but the other violation was not. The Commission agrees that the second violation (demanding collection of full payment of bills due during an extreme weather emergency) should be included in the classification system. To address this comment, the Commission adopts in new subsection (f) the language and Figure proposed in subsection (b)(1). Subsection (f) provides that the Office of the Attorney General of Texas on its own initiative or at the request of the Commission may file suit to recover a civil penalty for violation of subsection (b)(1) or (c) of §7.460. The classification table is adopted with a change to include violations of §7.460(c) (demanding collection of full payment of bills due during an extreme weather emergency) and outlines certain violation factors and values for each factor to determine the dollar amount of penalties to be sought.
Commission Shift commented that the Commission should consider a strict classification guide for the issuing of penalties, including the period in between extreme weather emergencies when companies can and will rush to disconnect prior to another emergency even if expected soon. The Commission disagrees with this comment and makes no change; the statutory language in Texas Utilities Code §104.258(c) does not prohibit disconnection in between extreme weather emergencies.
Texas Gas Service commented that subsection (d) should be broadened to clearly permit electronic notice. The Commission notes that it did not propose amendments related to notice requirements, so this comment is outside the scope of this rulemaking; however, the rule does not prohibit electronic notice.
In addition to the changes being adopted in subsections (b)(1) and (f) previously discussed, amendments in subsection (b)(1) clarify the actions that constitute a violation. The Commission makes no changes to the language proposed in subsection (b)(1) other than to move the classification table and corresponding language to subsection (f).
The Commission adopts the amendments pursuant to Texas Utilities Code, §104.258 and §105.023.
Statutory authority: Texas Utilities Code, §104.258 and §105.023.
Cross-reference to statute: Texas Utilities Code, Chapters 104 and 105.
§7.460.Suspension of Gas Utility Service Disconnection During an Extreme Weather Emergency.
(a) Applicability and scope. This rule applies to gas utilities, as defined in Texas Utilities Code, §101.003(7) and §121.001, and to owners, operators, and managers of mobile home parks or apartment houses who purchase natural gas through a master meter for delivery to a dwelling unit in a mobile home park or apartment house, pursuant to Texas Utilities Code, §§124.001-124.002, within the jurisdiction of the Railroad Commission pursuant to Texas Utilities Code, §102.001. For purposes of this section, all such gas utilities and owners, operators and managers of master meter systems shall be referred to as "providers." Providers shall comply with the following service standards. A gas distribution utility shall file amended service rules incorporating these standards with the Railroad Commission in the manner prescribed by law.
(b) Disconnection prohibited. Except where there is a known dangerous condition or a use of natural gas service in a manner that is dangerous or unreasonably interferes with service to others, a provider shall not disconnect natural gas service in the following circumstances.
(1) A provider shall not disconnect a delinquent residential customer during an extreme weather emergency. An extreme weather emergency means a day when the previous day's highest temperature did not exceed 32 degrees Fahrenheit and the temperature is predicted to remain at or below that level for the next 24 hours according to the nearest National Weather Station for the county where the customer takes service.
(2) A provider shall not disconnect a delinquent residential customer for a billing period in which the provider receives a written pledge, letter of intent, purchase order, or other written notification from an energy assistance provider that it is forwarding sufficient payment to continue service.
(3) A provider shall not disconnect a delinquent residential customer on a weekend day, unless personnel or agents of the provider are available for the purpose of receiving payment or making collections and reconnecting service.
(c) Payment plans. Providers shall defer collection of the full payment of bills that are due during an extreme weather emergency until after the emergency is over, and shall work with customers to establish a payment schedule for deferred bills as set forth in §7.45 of this title (relating to Quality of Service).
(d) Notice. Beginning in the September or October billing periods utilities and owners, operators, or managers of master metered systems shall give notice as follows:
(1) Each utility shall provide a copy of this rule to the social services agencies that distribute funds from the Low Income Home Energy Assistance Program within the utility's service area.
(2) Each utility shall provide a copy of this rule to any other social service agency of which the provider is aware that provides financial assistance to low income customers in the utility's service area.
(3) Each utility shall provide a copy of this rule to all residential customers of the utility and customers who are owners, operators, or managers of master metered systems.
(4) Owners, operators, or managers of master metered systems shall provide a copy of this rule to all of their customers.
(e) In addition to the minimum standards specified in this section, providers may adopt additional or alternative requirements if the provider files a tariff with the Commission pursuant to §7.315 of this title (relating to Filing of Tariffs). The Commission shall review the tariff to ensure that at least the minimum standards of this section are met.
(f) In accordance with Texas Utilities Code §105.023, the Office of the Attorney General of Texas on its own initiative or at the request of the Commission may file suit to recover a civil penalty for a violation of subsection (b)(1) or (c) of this section. The table in this subsection contains a classification system to be used by a court when such a suit is filed.
Figure: 16 TAC §7.460(f) (.pdf)
The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.
Filed with the Office of the Secretary of State on November 15, 2023.
TRD-202304277
Haley Cochran
Assistant General Counsel
Railroad Commission of Texas
Effective date: December 5, 2023
Proposal publication date: October 6, 2023
For further information, please call: (512) 475-1295