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          A BILL TO BE ENTITLED
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          AN ACT
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        relating to the authority of the Public Utility Commission of Texas  | 
      
      
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        to approve certain transmission facilities constructed by a  | 
      
      
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        municipally owned utility. | 
      
      
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               BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
      
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               SECTION 1.  Section 37.051, Utilities Code, is amended by  | 
      
      
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        adding Subsection (g) to read as follows: | 
      
      
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               (g)  A municipally owned utility may not directly or  | 
      
      
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        indirectly construct, install, operate, or extend a transmission  | 
      
      
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        facility outside of its certificated service area unless the  | 
      
      
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        municipally owned utility first obtains from the commission,  | 
      
      
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        through the application process provided by Section 37.053, a  | 
      
      
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        certificate that states that the public convenience and necessity  | 
      
      
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        requires or will require the transmission facility. Section 37.056  | 
      
      
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        applies to an application under this subsection. This subsection  | 
      
      
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        does not apply to: | 
      
      
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                     (1)  a transmission facility that is used solely to  | 
      
      
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        provide the municipally owned utility access to a generation  | 
      
      
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        resource located outside its certificated service area; or | 
      
      
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                     (2)  upgrades to an existing transmission line that do  | 
      
      
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        not require any additional land, right-of-way, easement, or other  | 
      
      
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        property not owned by the municipally owned utility. | 
      
      
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               SECTION 2.  This Act takes effect immediately if it receives  | 
      
      
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        a vote of two-thirds of all the members elected to each house, as  | 
      
      
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        provided by Section 39, Article III, Texas Constitution.  If this  | 
      
      
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        Act does not receive the vote necessary for immediate effect, this  | 
      
      
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        Act takes effect September 1, 2015. |