WEBVTT 00:00:00.819 --> 00:00:00.850 (inaudible) 00:00:03.028 --> 00:00:03.079 (inaudible) 00:00:07.038 --> 00:00:11.978 (item:1: David Smeltzer, PUC Director of Rules and Projects Division, welcomes participants and lays out 1st session objective) Hello everyone. Welcome to the first of 3 sessions 00:00:11.989 --> 00:00:16.120 or the, the first in a trilogy of Legislative 00:00:16.129 --> 00:00:18.579 Implementation Workshops that we'll be hosting today. 00:00:18.969 --> 00:00:21.109 Uh my name is David Smeltzer. I'm the Director of the 00:00:21.120 --> 00:00:24.350 Rules and Projects Division here at the PUC. Uh joining 00:00:24.359 --> 00:00:26.629 me up at the dias, Mackenzie Arthur and Rama Rastogi, 00:00:26.978 --> 00:00:30.908 also from the Rules and Projects Division. Um the reason 00:00:30.920 --> 00:00:34.359 we're having these workshops today is because uh you 00:00:34.368 --> 00:00:37.539 know, the Legislature passed a great. You know, they 00:00:37.548 --> 00:00:41.048 passed several dozen uh statutes that are going to 00:00:41.060 --> 00:00:45.060 require rulemakings. And last Session, we had a similar 00:00:45.069 --> 00:00:47.209 situation. Where we had a lot of rulemakings and a lot 00:00:47.219 --> 00:00:49.759 of them had deadlines. To where they were basically 00:00:49.770 --> 00:00:52.450 sequenced out for us. The Legislature determined what 00:00:52.459 --> 00:00:55.020 the priorities were and we did them in the order in 00:00:55.029 --> 00:00:57.779 which they directed. This Session, they have given us 00:00:57.789 --> 00:01:01.969 more flexibility in determining what order we need 00:01:01.978 --> 00:01:04.870 to pass the, you know, do rule makings. To implement the 00:01:04.879 --> 00:01:08.963 various statutes that they passed. And as Staff is 00:01:08.974 --> 00:01:11.165 working on its recommendations to the Commissioners 00:01:11.174 --> 00:01:14.213 on how we should prioritize these rulemakings. We 00:01:14.224 --> 00:01:17.043 have identified an initial set of rulemakings that 00:01:17.055 --> 00:01:22.635 have either statutory deadlines or real world, you 00:01:22.644 --> 00:01:24.814 know, effective deadlines based on need to get them 00:01:24.823 --> 00:01:27.204 done quickly. But we wanted to give an opportunity 00:01:27.213 --> 00:01:30.793 for stakeholder feedback and public feedback on, you 00:01:30.805 --> 00:01:33.963 know, how we should prioritize the rest of these, the 00:01:33.974 --> 00:01:39.000 rest of these you know implementations. And I think that ultimately 00:01:39.010 --> 00:01:41.099 it will be up to the Commissioners to determine what 00:01:41.109 --> 00:01:43.739 order we do these rules in. But in crafting Staff's 00:01:43.750 --> 00:01:46.209 recommendation. We're very cognizant of the fact that 00:01:46.219 --> 00:01:49.739 we don't run utilities and we don't necessarily experience 00:01:49.750 --> 00:01:52.168 all of the situations that customers do out there. 00:01:52.180 --> 00:01:55.299 And so we wanted to give everyone a chance to let us 00:01:55.308 --> 00:01:58.049 know of any uh anything out there that we should know 00:01:58.058 --> 00:02:02.010 and coming up with our rulemaking schedule. (item:1:David Smeltzer lays out housekeeping information) So a couple 00:02:02.019 --> 00:02:06.489 of housekeeping first, I think that uh some questions 00:02:06.500 --> 00:02:09.118 that we've gotten in advance already is what if I'm 00:02:09.129 --> 00:02:12.349 unable to attend today in-person. And so this is being 00:02:12.360 --> 00:02:16.319 broadcast on Texas Admin. And we did invite anyone to 00:02:16.330 --> 00:02:19.099 file, file comments ahead of time if they needed to. 00:02:19.110 --> 00:02:22.099 But if in watching this, anyone who's not able to attend. 00:02:22.240 --> 00:02:24.939 Um notices something or has an idea for an efficiency 00:02:24.949 --> 00:02:28.479 or whatever. We will be accepting written comments 00:02:29.278 --> 00:02:33.028 in the project until close of business Friday. If anyone 00:02:33.038 --> 00:02:36.008 has additional concise recommendations that they would 00:02:36.020 --> 00:02:39.240 like to make. But I will say that it is much more 00:02:39.250 --> 00:02:41.419 helpful if they're made in-person today. So that they 00:02:41.429 --> 00:02:44.889 can be discussed by the group. Um the other, the other 00:02:44.899 --> 00:02:47.300 question that we're getting is that we often get for 00:02:47.308 --> 00:02:50.838 these. Is, you know, where the Commissioners um some 00:02:50.849 --> 00:02:53.610 at these workshops. And the Commissioners have all expressed 00:02:53.618 --> 00:02:55.969 to me excitement over this. They're very excited about 00:02:55.979 --> 00:02:58.219 public feedback and I know that they're both watching 00:02:58.229 --> 00:03:01.179 and will be briefed on what is discussed today. But 00:03:01.189 --> 00:03:04.210 just as a, as a realistic concern. We found that people 00:03:04.219 --> 00:03:06.258 are more comfortable telling me that I'm wrong. Than 00:03:06.270 --> 00:03:07.960 coming in to tell the Chairman that she's wrong. And 00:03:07.969 --> 00:03:11.300 so today, I invite everyone to tell me when we're wrong 00:03:11.308 --> 00:03:13.210 about things because that's, that's really helpful. 00:03:13.729 --> 00:03:17.929 Um in terms of how we will proceed today um with these 00:03:17.939 --> 00:03:20.520 workshops. A lot of times we like to use a discussion 00:03:20.528 --> 00:03:23.909 format. Which means if at any point on a topic you 00:03:23.919 --> 00:03:28.088 would like to chime in, you know. It, it you know I, you don't need 00:03:28.099 --> 00:03:30.800 to be invited. Just come on up to the, the front dias. 00:03:30.808 --> 00:03:32.929 And we'll sort of call you in the, uh you know, the 00:03:32.939 --> 00:03:35.288 order that you're here. And should there be multiple 00:03:35.300 --> 00:03:38.419 topics under discussion. Sort of an informal protocol 00:03:38.429 --> 00:03:40.729 that we use is. If you're, if you're wanting to discuss 00:03:40.740 --> 00:03:43.469 something that is currently being discussed, you can 00:03:43.479 --> 00:03:45.618 kind of hold up a one. But if you're just waiting to 00:03:45.629 --> 00:03:48.028 talk about something different, you can sort of give 00:03:48.038 --> 00:03:50.419 me the two. And then it's like ok we'll, we'll get 00:03:50.429 --> 00:03:54.308 to you afterwards. Um, I think that the Legislative 00:03:54.319 --> 00:03:57.368 focus this time by the Legislature was a lot heavier 00:03:57.379 --> 00:04:00.129 in the electric and water spaces in terms of the number 00:04:00.139 --> 00:04:03.229 of um, statutes that we've been given to implement. 00:04:03.240 --> 00:04:05.330 But we wanted to make sure that we heard from all of 00:04:05.338 --> 00:04:08.949 our industries. And so we're starting off with telecom. 00:04:09.210 --> 00:04:11.979 And um we're eager to hear from you guys, if you have 00:04:11.990 --> 00:04:16.730 any input on our implementations. (item:1:David Smeltzer lays out Staff's assestment on telecom rules) Um as far as we, 00:04:16.738 --> 00:04:19.519 as far as in Staff's assessments. There were only three 00:04:19.858 --> 00:04:23.769 items that required uh Legislative action. Um and they 00:04:23.778 --> 00:04:25.699 were, they were listed in the memo, but I will. 00:04:27.269 --> 00:04:30.108 Adrian, can you scroll down a little bit? So we think 00:04:30.119 --> 00:04:34.048 these are the three bills, HB1597, SB1425 and 00:04:34.059 --> 00:04:38.338 SB1710. And as you know, um we already were in 00:04:38.350 --> 00:04:41.670 the process of doing a rule review of our telecom rules. 00:04:41.678 --> 00:04:45.480 In which we accepted um written comments on potential 00:04:45.488 --> 00:04:48.750 proposals to do rule changes. And as was indicated 00:04:48.759 --> 00:04:50.250 in the memo, there are a couple, you know, there are 00:04:50.259 --> 00:04:52.939 upwards of 20 plus rules that we're gonna be amending 00:04:52.988 --> 00:04:57.699 as part of this uh telecom rule review. And so our 00:04:57.709 --> 00:05:00.399 goal was as long as we're doing this, let's try and 00:05:00.410 --> 00:05:03.259 knock out all of these rules as part of the Chapter 00:05:03.269 --> 00:05:06.528 26 rule review. And so far that's we've been, we've 00:05:06.540 --> 00:05:11.629 been drafting to that end. And so um of utmost interest 00:05:11.639 --> 00:05:15.798 to us today. Is uh, you know, if any of these statutes 00:05:15.809 --> 00:05:18.959 we think are complicated for reasons that may not be 00:05:18.970 --> 00:05:21.709 obvious to us from our perspective and might merit 00:05:21.720 --> 00:05:23.730 treatment in a separate rulemaking process. That's 00:05:23.738 --> 00:05:27.819 valuable feedback. But also just any um implementation 00:05:28.528 --> 00:05:33.040 uh, ideas that you have. And so, um I guess by order 00:05:33.048 --> 00:05:36.639 of events. Um we'll sort of go, we'll just kind of 00:05:36.649 --> 00:05:38.778 go down to the discussion topics in the, in the 00:05:38.790 --> 00:05:42.980 in the memo. And so first I would say, is this 00:05:42.988 --> 00:05:45.689 list complete? Have we, uh is there anyone who has 00:05:45.699 --> 00:05:49.889 identified any additional um telecom related legislation 00:05:49.899 --> 00:05:52.379 that needs to be implemented other than what we have 00:05:52.389 --> 00:05:52.939 listed? 00:05:57.639 --> 00:06:00.399 And again, if upon a review, you later learned that 00:06:00.720 --> 00:06:02.790 we have failed to identify anything. You can always 00:06:02.798 --> 00:06:05.048 reach out to us or, or file comments in the docket. 00:06:05.230 --> 00:06:06.230 Okay. Well, that's good news. 00:06:08.048 --> 00:06:10.459 Real quick. The only, the only one I can think of. 00:06:12.399 --> 00:06:14.600 Oh, will you hop up. Just so that, just for the mic, 00:06:14.608 --> 00:06:14.858 yeah. 00:06:16.809 --> 00:06:20.019 And if you'll just identify yourself for knowledge. 00:06:20.338 --> 00:06:23.970 (item:1:Daniel Gibson with TSTCI, question on mapping in conjunction with the Comptroller's Office) Yeah, I'm Daniel Gibson and I work with uh TSTCI. 00:06:24.738 --> 00:06:27.819 The only thing I could think of. Is that there is the 00:06:27.829 --> 00:06:31.238 project for doing the mapping in conjunction with the 00:06:31.250 --> 00:06:34.730 Comptroller's Office. I don't think that requires any 00:06:34.738 --> 00:06:37.588 rulemaking as far as this goes. But I didn't know if 00:06:37.600 --> 00:06:40.540 that was something that could be talked about or not. 00:06:40.548 --> 00:06:44.100 Or if we wanna do that later as we get closer to 00:06:44.108 --> 00:06:47.709 looking at that, so. Yeah, I think that we agree that 00:06:47.720 --> 00:06:49.660 we didn't have that peg to something that needed a 00:06:49.670 --> 00:06:52.559 rulemaking. And, and uh that's not really the sort 00:06:52.569 --> 00:06:54.970 of thing we're gonna talk about today. But I, I suspect 00:06:54.980 --> 00:06:58.149 that we'll be finished before um, our allotted hour. 00:06:58.160 --> 00:07:00.290 Based on the number of telecom topics. So we can, we 00:07:00.298 --> 00:07:01.088 can discuss that a little bit. 00:07:03.559 --> 00:07:06.790 Perfect. Yeah, if, if anyone's on the fence about 00:07:06.798 --> 00:07:08.278 whether or not they want to bring something up. I would 00:07:08.290 --> 00:07:10.670 encourage you to bring it up. So that we can make sure 00:07:10.678 --> 00:07:12.980 that there's, you know, no gaps in our understanding. 00:07:12.988 --> 00:07:15.480 Of what, what industry uh the public needs from the 00:07:15.488 --> 00:07:20.220 Commission. Um, okay. So the list, the list is complete. 00:07:20.230 --> 00:07:24.358 That's good. Uh is there any um, we also along with 00:07:24.369 --> 00:07:28.980 this memo. Published a memo on the uh, the different 00:07:28.988 --> 00:07:30.819 items that we're going to be including in our Chapter 00:07:30.829 --> 00:07:34.660 24 rule review. And so if anyone has any additional 00:07:34.670 --> 00:07:37.488 comments or questions on which items were going to 00:07:37.500 --> 00:07:41.178 be included or not included. We would welcome any feedback 00:07:41.189 --> 00:07:42.238 on that at this point. 00:07:50.278 --> 00:07:53.399 Okay. Well I think that predictably, I think that telecom 00:07:53.410 --> 00:07:55.369 was, was not a focus. I'm glad everyone's here. So 00:07:55.379 --> 00:07:57.278 I'm just, I think at this point I'll just open it up. 00:07:57.290 --> 00:08:00.720 And say, are there any Legislative items or questions 00:08:00.980 --> 00:08:04.949 um, in the telecom space. That are of interest for discussion 00:08:04.959 --> 00:08:05.269 today? 00:08:13.649 --> 00:08:16.160 Okay. So, oh, yeah. Yeah. Come on up, come on up. 00:08:21.319 --> 00:08:23.548 (item:1.4:Katherine K. Mudge with Mudge Law Firm, concerning VoIP) Good morning. I'm Katherine Mudge with law firm, the 00:08:23.559 --> 00:08:26.329 Mudge Law Firm. Okay. And I do have one question and I, I 00:08:26.338 --> 00:08:28.889 apologize for not having the Bill number. But the Governor 00:08:28.899 --> 00:08:35.158 vetoed a Bill dealing with uh, VoIP. And uh part 00:08:35.168 --> 00:08:39.710 of that provision was that basically that. Uh a SPCOA 00:08:39.719 --> 00:08:44.940 holder or ACOA holder. Uh could utilize VoIP 00:08:45.038 --> 00:08:51.259 for purposes of uh meeting the requirements of uh of 00:08:51.269 --> 00:08:55.168 all the statute and the rules. And um he vetoed it. 00:08:55.500 --> 00:08:58.509 Uh and his message was is basically, based on the, 00:08:59.149 --> 00:09:02.158 the dialogue that was going on between about property 00:09:02.168 --> 00:09:06.399 tax relief. And my question is, is that if in the next 00:09:06.408 --> 00:09:10.250 in this special session. That Bill comes back up and 00:09:10.259 --> 00:09:15.298 it passes, because it passed both uh houses or chambers. 00:09:15.308 --> 00:09:18.808 Will the Staff, how will the Staff or have you thought 00:09:18.820 --> 00:09:23.080 about how the Staff would handle that particular uh 00:09:23.090 --> 00:09:28.178 statute? In the context of either this project or would 00:09:28.190 --> 00:09:31.408 it require a separate project? So that's a good question. 00:09:31.418 --> 00:09:33.000 (item:1.4:David Smeltzer's response and comments on rule implementation) And I will say that we had a lot of Bills to 00:09:33.009 --> 00:09:35.190 review. So I, I you know we focused our attention 00:09:35.200 --> 00:09:37.960 on the ones that we did have to implement. So uh I 00:09:38.190 --> 00:09:40.940 think that's probably a logistical question. In terms 00:09:40.950 --> 00:09:43.259 of, if we've already published. If we, if we've gotten 00:09:43.269 --> 00:09:45.440 to the point to where we've published a proposal, then 00:09:45.450 --> 00:09:47.529 we're sort of locked into the rules that we can amend. 00:09:47.798 --> 00:09:52.000 And uh but I our, our goal would be to get as 00:09:52.009 --> 00:09:55.269 many of these done in this project as possible. So 00:09:55.279 --> 00:09:58.729 if time allows, we will make that. And so assuming 00:09:58.739 --> 00:10:00.570 you're more familiar in the details of the Bill that 00:10:00.580 --> 00:10:04.729 I might be. Do you, if it passes as it was before. 00:10:04.739 --> 00:10:08.109 Is it a bill that you anticipate would be subject to 00:10:08.119 --> 00:10:11.330 a lot of um interpretation? Or would it be a relatively 00:10:11.340 --> 00:10:13.359 straightforward rule making in your opinion? (item:1.4:Katherine Mudge on rulemaking) From my 00:10:13.369 --> 00:10:15.928 personal perspective, it's very straightforward. And 00:10:15.940 --> 00:10:19.320 in fact it would, if anything. It would clarify the, 00:10:19.330 --> 00:10:24.119 the interpretation of current statute. Perfect. So that, that 00:10:24.129 --> 00:10:27.038 so that's really my. I, I just wanted to kind of get 00:10:27.048 --> 00:10:29.500 in my head about how. If something happens during a 00:10:29.509 --> 00:10:32.399 Special Session that applies. Whether it's telecom 00:10:32.408 --> 00:10:35.899 or, or some other Bill. Uh that got vetoed during that 00:10:36.168 --> 00:10:39.149 uh going back and forth. I, I just was trying to get 00:10:39.158 --> 00:10:43.798 an idea of, of how we might want to ensure that um 00:10:44.080 --> 00:10:48.048 those issues are handled in the context of this broader 00:10:48.058 --> 00:10:50.000 rulemaking. Sure. That, that's a great thought. 00:10:50.009 --> 00:10:53.190 (item:1.4:David Smeltzer's comments on comprehensive and extensive rule reviews.) And yeah especially for, for you know. I mean already 00:10:53.200 --> 00:10:55.070 with the number of rules we're including in this project. 00:10:55.080 --> 00:10:57.820 It is expanded beyond what we would have envisioned. 00:10:57.830 --> 00:11:01.519 But um that is based on sunset recommendations, that's 00:11:01.529 --> 00:11:03.428 the way they want us to be conducting our rule reviews. 00:11:03.440 --> 00:11:05.918 They want them to be comprehensive and extensive. And 00:11:05.928 --> 00:11:08.908 so that's the approach that we've taken. And especially 00:11:09.369 --> 00:11:12.139 uh as you know, assuming that you are right that this 00:11:12.149 --> 00:11:14.269 that it is not subject to a lot of interpretation when 00:11:14.279 --> 00:11:16.119 we read it. That's exactly the sort of box that we 00:11:16.129 --> 00:11:19.038 wanna get checked in this, this project. So if it's 00:11:19.048 --> 00:11:22.658 logistically possible based on timing, um we would 00:11:22.668 --> 00:11:25.109 include it. Would that be something though? And, and 00:11:25.119 --> 00:11:27.408 I apologize for, for prolonging this discussion. But 00:11:27.418 --> 00:11:31.529 would that be something that if it does happen? Would 00:11:31.538 --> 00:11:34.529 and, and there are parties that are interested in ensuring 00:11:34.538 --> 00:11:37.509 that the Commission Staff is not only aware of it. 00:11:37.519 --> 00:11:40.519 But to figure out what we would do with it. Would we 00:11:40.529 --> 00:11:43.519 file something in this project? Even though logistically 00:11:43.529 --> 00:11:47.129 say, for example, the proposed telecom rules are already 00:11:47.139 --> 00:11:50.590 out for publication? What would be your suggestion 00:11:50.599 --> 00:11:52.109 let me ask you that? What would be your suggestion? 00:11:52.340 --> 00:11:56.629 The um I have a great faith in uh Justin Brook. To 00:11:56.639 --> 00:11:58.798 of our GR team, to let me to make sure that we 00:11:58.808 --> 00:12:00.609 are have the situational awareness that it, that it 00:12:00.619 --> 00:12:06.869 happened. (item:1.4:David Smeltzer on implementing that new Legislation) But if you do um uh. So I guess there's two, two, one 00:12:06.879 --> 00:12:10.428 in the Chapter 26 rule review docket. I'm not I, I 00:12:10.440 --> 00:12:12.330 would never be opposed to you filing something. Says 00:12:12.340 --> 00:12:15.629 hey this, this new Legislation passed. Just 00:12:15.639 --> 00:12:17.908 make sure, you know, and what would be particularly 00:12:17.918 --> 00:12:20.908 helpful. Is if in implementing that Legislation, we 00:12:20.918 --> 00:12:23.849 will have already proposed a certain number of rules. 00:12:23.859 --> 00:12:26.840 And so if we have opened up the rule that is relevant 00:12:26.928 --> 00:12:29.690 for other reasons. Then that might be something we 00:12:29.700 --> 00:12:32.428 could consider including. And so uh if, if in the 00:12:32.440 --> 00:12:34.440 filed comments. You would clarify which rules you think 00:12:34.450 --> 00:12:37.070 are most affected by it, which maybe that's a simple 00:12:37.080 --> 00:12:39.678 thing, maybe not. I just don't know the issue off hand. 00:12:39.690 --> 00:12:42.029 Um that that would help us make the decision quicker. 00:12:42.109 --> 00:12:43.469 That's great. Thank you so much. 00:12:46.840 --> 00:12:51.428 Sure. (item:1.4:Jason Danowski for Foster, Danowski & Texas Cable Association on conforming changes to Rule 26.111) Good morning. Morning. Um Jason Danowski for Foster, Danowski 00:12:51.440 --> 00:12:55.428 and the Texas Cable Association. And we followed comments 00:12:55.440 --> 00:12:58.859 yesterday on a, on a somewhat related note. Uh which 00:12:58.869 --> 00:13:02.769 is uh on the subject of uh conforming changes to Rule 00:13:02.779 --> 00:13:10.210 26.111. Um and we would propose that, that rule be amended 00:13:10.219 --> 00:13:13.710 to conform with the uh Commission's decisions in the 00:13:13.719 --> 00:13:18.479 demon systems and earth grade cases. Um in which case 00:13:18.869 --> 00:13:23.590 the uh the Commission confirmed that neither PURA nor 00:13:23.599 --> 00:13:26.840 the Texas Admin Code. Prohibited the Commission from 00:13:26.849 --> 00:13:29.509 granting an SBCOA. To an applicant that does not 00:13:29.519 --> 00:13:33.149 provide or intend to provide local exchange, telephone 00:13:33.158 --> 00:13:36.750 service, basic local telecommunications service or 00:13:36.759 --> 00:13:39.038 switched to access service. And could in fact provide 00:13:39.048 --> 00:13:44.558 services such as VoIP, DSL, etcetera. So we think 00:13:44.570 --> 00:13:48.440 uh it would be a good idea to amend the provision to 00:13:48.450 --> 00:13:51.460 conform to that. And uh we filed written comments yesterday 00:13:51.469 --> 00:13:53.418 So I'm not gonna go into a lot of detail. That's I 00:13:53.428 --> 00:13:55.629 can kind of stop there, but I can also speak to the 00:13:55.639 --> 00:13:57.619 other comments we filed, but I don't know if we wanna 00:13:57.759 --> 00:14:00.379 stop there or go on to other subjects. I think that 00:14:00.389 --> 00:14:04.979 we're, we have the time to entertain uh other pressing 00:14:04.989 --> 00:14:07.200 rulemaking priorities that you think apply to this, 00:14:07.210 --> 00:14:08.849 this industry. What I will ask on that first question. 00:14:08.859 --> 00:14:11.509 Is uh which, where did you file those comments? So that 00:14:11.519 --> 00:14:16.570 we can look at them, do you know? Um 55156. 00:14:18.729 --> 00:14:22.379 Yeah, should we file it in uh 54589 as well? Actually 00:14:22.389 --> 00:14:25.119 I think we may have filed similar comments in that 00:14:25.129 --> 00:14:29.979 one. Yeah, we filed not identical but similar comments 00:14:29.989 --> 00:14:31.830 in uh both proceedings. 00:14:33.849 --> 00:14:38.950 Okay. Um we will um uh I don't wanna make any representations 00:14:38.960 --> 00:14:40.629 about whether or not we would include it in this rulemaking. 00:14:40.639 --> 00:14:43.548 But we will take a look at your filing and 00:14:43.558 --> 00:14:47.668 um, um include it, if we think that we can. (item:1.4:David Smeltzer's additional thoughts on implementing rulemaking) And I think 00:14:47.678 --> 00:14:50.038 for, for our general um 00:14:51.658 --> 00:14:56.500 uh our general decision. Sort of filter for the 00:14:56.649 --> 00:15:00.308 the rulemaking beyond what was required by Legislation 00:15:00.320 --> 00:15:03.129 was whether or not we think that it was sort of minor 00:15:03.139 --> 00:15:05.519 or didn't require sufficient investigation or we thought 00:15:05.529 --> 00:15:09.298 it was sort of clear cut on direction. And so if, uh 00:15:09.308 --> 00:15:12.979 if it sort of meets those criteria, we might include 00:15:12.989 --> 00:15:15.899 it. But if not, we would not include it. And then eventually 00:15:15.908 --> 00:15:17.629 we'll be filing something to the Commissioners and 00:15:17.639 --> 00:15:20.219 say these are all the recommended ideas for the Chapter 00:15:20.229 --> 00:15:23.029 26 rule review that we did not accept. So that they 00:15:23.038 --> 00:15:26.009 can um, determine whether or not they want to direct 00:15:26.019 --> 00:15:28.710 us. To treat those items in a different rulemaking 00:15:28.719 --> 00:15:31.269 at the appropriate time. Thank you. Thanks. 00:15:44.969 --> 00:15:48.279 And I would at this point say the floor has opened 00:15:48.288 --> 00:15:53.158 for any telecom related rule making, priority discussion 00:15:53.168 --> 00:15:54.538 topics that are of interest. 00:15:59.070 --> 00:16:02.759 (item:1.4:David Smeltzer closes 1st session) All right, hearing none. Uh thank you for attending 00:16:02.769 --> 00:16:06.729 today. And uh these uh I hadn't really thought about 00:16:06.739 --> 00:16:09.580 these ongoing Legislation items. That might be coming 00:16:09.590 --> 00:16:11.759 up in Special, so I appreciate that note. And thank 00:16:11.769 --> 00:16:13.918 you for directing us to that filing. We'll take a look 00:16:13.928 --> 00:16:17.308 as I indicated. And um the first, the first part of 00:16:17.320 --> 00:16:19.678 this trilogy was a short one, but it was good to wet 00:16:19.690 --> 00:16:22.759 everyone's appetite uh for the, the session that works 00:16:22.769 --> 00:16:23.940 have to come. So, thanks for coming. 00:16:38.109 --> 00:16:43.239 (item:2:David Smeltzer welcomes water participants & lays out 2nd Session objective) Hello, water people. Welcome to the 2nd of the 00:16:43.250 --> 00:16:47.859 three Commission Staff um Legislative implementation 00:16:47.869 --> 00:16:50.168 workshops for today. Um 00:16:51.808 --> 00:16:54.379 for those that were not here for the first one. Commission 00:16:54.389 --> 00:16:58.538 Staff thanks you all for coming. Um our goal is uh 00:16:58.940 --> 00:17:02.009 you know this Legislature gave us. Yeah, this session 00:17:02.019 --> 00:17:05.449 the Legislature gave us, you know, estimates our estimates 00:17:05.459 --> 00:17:08.348 are maybe 39 or 40 potential rulemaking. Something that we could 00:17:08.358 --> 00:17:13.199 have coming out of this session. And we have identified 00:17:13.209 --> 00:17:15.789 the Commission Staff will be providing the Commission 00:17:15.799 --> 00:17:18.799 with recommendations on the order. In which we should 00:17:19.049 --> 00:17:20.578 you know the sequence and order in which we should 00:17:20.588 --> 00:17:24.049 prioritize these. And before we did that, we wanted 00:17:24.059 --> 00:17:26.269 to give the public an opportunity and stakeholders 00:17:26.279 --> 00:17:29.299 an opportunity to let us know what we may have missed 00:17:29.309 --> 00:17:32.670 on our list. Give us some perspective on which of these 00:17:32.680 --> 00:17:35.549 issues are most pressing for your industries. And 00:17:35.559 --> 00:17:38.640 provide any other priorities that we should be considering 00:17:38.894 --> 00:17:43.834 in addition to those that are listed here. And so we 00:17:43.844 --> 00:17:47.025 finished telecom early compared to that was a quick 00:17:47.035 --> 00:17:48.634 discussion. Because there weren't very many telecom 00:17:48.644 --> 00:17:52.255 bills that were passed. Water is sort of an interesting 00:17:52.535 --> 00:17:55.713 landscape here. Because you know, there were a number 00:17:55.723 --> 00:17:57.505 of water bills that were passed but none of them had 00:17:57.515 --> 00:18:00.993 statutory deadlines. And so the two bills that we listed 00:18:01.005 --> 00:18:03.943 in our memo just reflect our current rule making efforts 00:18:03.953 --> 00:18:06.424 which are implementing a number of bills from last 00:18:06.434 --> 00:18:10.348 session. And that doesn't mean that we won't be chugging 00:18:10.358 --> 00:18:12.390 along through implementing the water bills this session. 00:18:12.400 --> 00:18:14.989 We just wanted to get feedback before we determined 00:18:15.000 --> 00:18:18.910 what the, you know, the first priority should be. (item:2:David Smeltzer provides housekeeping notes) Um 00:18:19.250 --> 00:18:22.750 some additional sort of housekeeping notes. Um, if 00:18:22.759 --> 00:18:26.299 you hear anything today that upon reflection later. 00:18:26.309 --> 00:18:27.828 You think oh, maybe that's a little bit right. Here's 00:18:27.838 --> 00:18:31.189 another idea for how they can do this more efficiently. 00:18:31.219 --> 00:18:35.130 We'll be accepting sort of concise filed comments through 00:18:35.140 --> 00:18:37.588 the end of the week. Um, and we'll, we'll publish some 00:18:37.598 --> 00:18:41.368 instructions on that a little bit later. And the other 00:18:41.380 --> 00:18:43.900 comment I would note. Is if it turns out that there's 00:18:43.910 --> 00:18:47.750 a number of things to uh as we're talking. You don't 00:18:47.759 --> 00:18:49.838 have to ask permission to come up, just go ahead and 00:18:49.848 --> 00:18:52.140 come up and sit at one of the chairs. If you have, 00:18:52.150 --> 00:18:54.670 if you want to comment on the topic under discussion. 00:18:54.858 --> 00:18:56.949 And we'll sort of call on you at the appropriate time. 00:18:57.170 --> 00:18:59.750 And if there are multiple people waiting, uh the sort 00:18:59.759 --> 00:19:02.348 of convention that I use. Is if you want, if you're 00:19:02.358 --> 00:19:04.250 waiting to talk on whatever is currently being talked 00:19:04.259 --> 00:19:06.739 about. Give me a little one and if you're just waiting 00:19:06.750 --> 00:19:08.809 to talk about something else, a little two. So that 00:19:08.818 --> 00:19:12.049 way we don't do the sort of awkward dance of who, who 00:19:12.059 --> 00:19:15.979 should be talking next. Um so yeah, there we go. Uh 00:19:15.989 --> 00:19:18.250 My name is, I guess I should have said at the beginning. 00:19:18.380 --> 00:19:20.479 My name is David Smeltzer. I'm the Director of Rules 00:19:20.489 --> 00:19:24.140 and Projects here. And joining me at the dias are um 00:19:24.299 --> 00:19:27.828 Rama Rastogi, Mackenzie Arthur and Iliana De La Fuente from RAP. 00:19:27.838 --> 00:19:30.799 And of course, Tammy Benter the Head of our Duo division 00:19:30.969 --> 00:19:35.479 and um, uh, most knowledgeable person I know on water 00:19:35.489 --> 00:19:37.868 and sewer topics. So, thank you for coming. 00:19:40.009 --> 00:19:43.199 So, I guess for starters um, we'll just work through 00:19:43.469 --> 00:19:48.160 uh, one item at a time. Uh does anyone have any comments 00:19:48.170 --> 00:19:51.650 on um. So we've got the 2 that are ongoing now and 00:19:51.660 --> 00:19:53.368 I think that these are known. Because there are comments 00:19:53.380 --> 00:19:56.578 on these, but in terms of the Bills that were passed. 00:19:56.588 --> 00:20:00.539 For this session, has anyone identified any pieces 00:20:00.549 --> 00:20:02.939 of Legislation that they think require rulemakings 00:20:02.949 --> 00:20:06.699 that they did not see on our list? Have we missed anything? 00:20:18.699 --> 00:20:18.750 Thanks. 00:20:20.549 --> 00:20:24.250 (item:2.1:Jeff Kirshbaum, General Counsel, Texas Association of Water Companies) Hi, Jeff Kirshbaum with the Law Firm Terrill & Waldrop, I represent 00:20:24.259 --> 00:20:26.858 Texas Association of Water Companies. I serve as their 00:20:26.868 --> 00:20:30.279 General Counsel. Uh we appreciate the ongoing effort 00:20:30.289 --> 00:20:34.209 in Project 53924. Obviously that was from last Session. 00:20:34.338 --> 00:20:38.000 We did not see on the list what was uh planned for 00:20:38.009 --> 00:20:41.930 implementation of 88th Session items. And on my list 00:20:41.939 --> 00:20:48.618 I have the uh HB2373 which repealed the requirement. 00:20:48.630 --> 00:20:52.410 To have substantial similarity among systems for consolidation 00:20:52.420 --> 00:20:58.170 on a tariff. That is, that was in 13.145 of the 00:20:58.180 --> 00:21:04.608 Water Code and in the Rules 24.25KNM. Implement 00:21:04.618 --> 00:21:07.880 that language from 13.145 and there was a repeal. 00:21:07.890 --> 00:21:10.108 So those that should just be removed from the rules 00:21:10.328 --> 00:21:14.180 Okay. And I think when you so the memo listed the, um 00:21:14.189 --> 00:21:15.930 you're right. Those are the 87 things we're currently 00:21:15.939 --> 00:21:17.559 working on. I think there was a chart at the bottom 00:21:17.568 --> 00:21:19.309 that listed was the, was the item that you're mentioning 00:21:19.318 --> 00:21:22.809 on that chart? Yes, it's number 24. Okay, cool. So, okay 00:21:22.920 --> 00:21:26.380 so it's on there. Um and so we agree this uh in 00:21:26.390 --> 00:21:28.789 terms of our own internal prioritization. The repeal 00:21:28.799 --> 00:21:33.009 of the substantial test, we identify that as a critical 00:21:33.019 --> 00:21:35.088 for getting some of these systems consolidated quickly 00:21:35.098 --> 00:21:39.868 so. We appreciate the focus on that. Okay. Um so, so 00:21:39.880 --> 00:21:42.368 that was one that our organization was involved with. 00:21:42.380 --> 00:21:51.049 And also uh SB1, SB1778. Um there's some language 00:21:51.059 --> 00:21:57.390 in 24.161A. That's number 22 on the chart. (item:2.1:Jeff Kirshbaum on written service applications) I think 00:21:57.400 --> 00:22:01.539 what probably what needs to happen there is. Uh, some 00:22:01.549 --> 00:22:03.578 thought given to the requirement for a written service 00:22:03.588 --> 00:22:06.529 application. Because what that statute says is it can 00:22:06.539 --> 00:22:09.848 be in some other form. And I think there's probably 00:22:09.858 --> 00:22:12.430 some TCEQ coordination that needs to go on with that 00:22:12.439 --> 00:22:15.410 one as well as far as a service agreement or service 00:22:15.420 --> 00:22:16.568 application in writing. 00:22:19.189 --> 00:22:20.598 The other one 00:22:22.400 --> 00:22:23.269 I three. 00:22:25.838 --> 00:22:28.150 And, and while he's talking, I will say that that Jeff 00:22:28.160 --> 00:22:29.930 is doing exactly what we hope for, which is, you know 00:22:29.939 --> 00:22:32.689 implementation ideas, priorities, anything we may have 00:22:32.699 --> 00:22:35.818 missed. And I'm not an expert on every Bill that passed. 00:22:35.828 --> 00:22:38.279 I'm not a West Wing character, but we will be reviewing 00:22:38.289 --> 00:22:41.000 these uh later in the video and incorporating them 00:22:41.009 --> 00:22:43.049 into our thinking. So uh so yeah, we appreciate these 00:22:43.059 --> 00:22:50.029 sorts of notes. (item.2.1:Jeff Kirshbaum on Senate Bill 1965) Uh Senate Bill 1965 was one that the 00:22:50.039 --> 00:22:54.630 intent of it was to create an easier way for investor 00:22:54.640 --> 00:22:57.750 own utilities serving as temporary managers. To acquire 00:22:58.229 --> 00:23:00.890 systems that are in trouble, you know, more permanently. 00:23:01.189 --> 00:23:04.348 And there's, there's some language in there about creating 00:23:04.358 --> 00:23:07.068 an expedited way to acquire those systems either through 00:23:07.078 --> 00:23:10.088 the asset or stock transfer procedures. And then what 00:23:10.098 --> 00:23:12.719 you would get in terms of any investment that you made 00:23:12.729 --> 00:23:15.068 during your temporary manager later in a rate case. 00:23:15.250 --> 00:23:17.250 So there's some very different rules. I think that 00:23:17.259 --> 00:23:26.900 that would go into probably 24.239, 24.243. Uh cause 00:23:26.910 --> 00:23:32.390 of service changes could be 24.41. Um there may also 00:23:32.400 --> 00:23:35.949 need to be in addition to Subchapter K. About having 00:23:35.959 --> 00:23:38.578 a reasonable time to bring the systems into compliance. 00:23:38.809 --> 00:23:41.459 And that's another one that I think there's a PUC 00:23:41.469 --> 00:23:46.108 component to it. And a TCEQ need for a rule allowing 00:23:46.118 --> 00:23:49.799 a reasonable time. For bringing a system acquired under 00:23:49.809 --> 00:23:52.500 temporary manager in compliance after it's acquired. 00:23:53.739 --> 00:23:55.858 Tammy, so far does this sound like what we were thinking? 00:23:56.459 --> 00:23:59.189 Yes. That's good news. (item:2.1:David Smeltzer questions on purpose of rules listed) Um and, and of course 00:23:59.670 --> 00:24:02.269 the rule, you listed a number of rules. I mean, just 00:24:02.279 --> 00:24:04.719 for Tammy may know this already. But are these rules 00:24:04.729 --> 00:24:06.759 that you of the rules that you listed, that we need 00:24:06.769 --> 00:24:08.469 to identify for those purposes? Do you know? Do we 00:24:08.479 --> 00:24:11.410 need to open them for other purposes on this list 00:24:11.420 --> 00:24:13.459 for efficiency's sake? Are there, are these rules of 00:24:13.469 --> 00:24:17.150 interest for other reasons? So the sale transfer merger 00:24:17.160 --> 00:24:19.910 rules are definitely something I think that needs to 00:24:19.920 --> 00:24:22.259 be reviewed comprehensively, not just for the purpose 00:24:22.269 --> 00:24:26.130 of this Senate Bill 1965 implementation. There's a lot 00:24:26.140 --> 00:24:29.068 of concerns about the process right now. Okay. So I think 00:24:29.078 --> 00:24:31.209 that's, I think that's probably one of the top issues 00:24:31.219 --> 00:24:34.189 on our list as an organization. And I know that there 00:24:34.199 --> 00:24:37.890 were, there were comments in the um the initial rates 00:24:37.900 --> 00:24:42.140 uh draft. That we should consider moving those provisions 00:24:42.150 --> 00:24:44.640 from their own section into the Sale Transfer Merger 00:24:44.739 --> 00:24:47.328 section that would also treat that rule. And I think 00:24:47.338 --> 00:24:49.670 that those comments are well received. And I, you know 00:24:49.680 --> 00:24:51.598 I don't wanna say for sure what we're gonna do. But 00:24:51.608 --> 00:24:54.358 we, I definitely understood what. That's one issue. 00:24:54.368 --> 00:24:55.848 The thought behind that. (item:2.1:Jeff Kirshbaum on STM process) I think there's been a lot 00:24:55.858 --> 00:24:58.250 of issues with respect to financial review. As well 00:24:58.259 --> 00:25:01.769 in, in both the amendment and the STM process. We'd 00:25:01.779 --> 00:25:05.068 like to see that looked at uh that just generally the 00:25:05.078 --> 00:25:08.529 the STM process right now. You get an order, you get 00:25:08.539 --> 00:25:10.868 to go close your transaction and then on the back end 00:25:10.880 --> 00:25:13.479 there's this final order. We kind of have an issue 00:25:13.489 --> 00:25:16.588 with during the interim. Like what, what needs to, 00:25:16.598 --> 00:25:19.489 we would prefer just to be one order. Where you get 00:25:19.500 --> 00:25:22.500 to the approval to close and all the regulatory approvals 00:25:22.509 --> 00:25:25.328 that you need are contingent maybe on that closing 00:25:25.338 --> 00:25:28.650 but it's all at one in one step. Yeah. So I think 00:25:28.660 --> 00:25:30.519 this is why I like the discussion format. I think that 00:25:30.529 --> 00:25:32.689 we probably we're gonna pull for other ideas a little 00:25:32.699 --> 00:25:35.199 bit later. But as long as we're, as long as we're on 00:25:35.209 --> 00:25:37.699 the topic of the sale transfer merger rules. So anyone 00:25:37.709 --> 00:25:40.500 that has any other comments they want to make about 00:25:40.509 --> 00:25:43.199 that rule or priorities? And you know, we obviously 00:25:43.209 --> 00:25:44.930 when we open the rule there specifically. But in terms 00:25:44.939 --> 00:25:49.709 of pressing issues. That if we open that rule for implementation 00:25:49.719 --> 00:25:51.500 is, does anyone else have any other comments that they 00:25:51.509 --> 00:25:55.108 want to add to the discussion? (item:2.1:Brian Barr with Texas Water Utilities, Midway Water Utilities, SWWC Utilities DPA on STM) Uh I'm Brian Barr with 00:25:55.118 --> 00:25:57.949 Texas Water Utilities, Midway Water Utilities and 00:25:57.959 --> 00:26:01.828 SWWC Utilities DPA, number of few different things. 00:26:02.108 --> 00:26:04.328 Um and you're also the official guy that tells me which 00:26:04.338 --> 00:26:07.380 item on the chart the, the Bill is the chart. We 00:26:07.390 --> 00:26:11.630 appreciate that already. I um yeah, so um I guess just 00:26:11.640 --> 00:26:16.250 to reiterate what Jeff said. Uh number of STM and CCN 00:26:16.259 --> 00:26:19.598 applications too, but mostly focused on the STM. Where 00:26:19.809 --> 00:26:23.078 that window between the closing of the transaction 00:26:23.088 --> 00:26:25.489 and the file notice of approval. Creates some problems 00:26:25.500 --> 00:26:29.019 that probably weren't originally contemplated. When 00:26:29.029 --> 00:26:32.309 the rule was drafted, namely when say the filed rate 00:26:32.318 --> 00:26:36.078 doctrine bill was passed. That uh for rates, post acquisition. 00:26:36.259 --> 00:26:38.939 And I know we have the rulemaking open now to address 00:26:38.949 --> 00:26:42.660 that. But uh just to reiterate what Jeff said. We could 00:26:42.670 --> 00:26:47.420 resolve a lot of issues by mitigating or eliminating 00:26:47.430 --> 00:26:50.420 or decreasing that window between closing and final 00:26:50.430 --> 00:26:53.299 most of approval. So that's something that we advocate 00:26:53.309 --> 00:26:54.140 for, for sure. 00:26:55.670 --> 00:26:57.818 Um do you have any follow up questions on that point? 00:26:57.828 --> 00:27:01.318 (item:2.1:Tammy Benter, Director of Water Utility Regulation, on STM) I don't know how if this works, but that requires some 00:27:01.328 --> 00:27:06.318 TCEQ, sorry. TCEQ coordination also. Because they recognize 00:27:06.328 --> 00:27:10.750 a sale once we issue the order saying it's done. Um 00:27:10.759 --> 00:27:14.729 and so that in between. Um there's a lot of coordination 00:27:14.750 --> 00:27:17.088 that goes on with them. Because they're continuing to 00:27:17.098 --> 00:27:19.219 do their inspections and everything. And so it's like 00:27:19.229 --> 00:27:21.559 who officially owns it. And so it's gonna require a 00:27:21.568 --> 00:27:24.858 lot of coordination there. Yeah, I agree completely. 00:27:24.868 --> 00:27:28.309 That's, yeah. (item:2.1:Brian Barr on HB2373) Uh and then one other general comment 00:27:28.318 --> 00:27:31.809 uh related to what Jeff said. He named three bills 00:27:31.818 --> 00:27:35.049 here. That I think the water industry in general are 00:27:35.059 --> 00:27:39.118 most interested in. Numbers 22 and 23 and 24 on the 00:27:39.130 --> 00:27:42.358 chart. Let me just suggest and I really not trying 00:27:42.368 --> 00:27:45.269 to step on anyone's toes or. That's why we're here. 00:27:45.390 --> 00:27:52.368 Um specifically for HB2373, that's number 24. I would 00:27:52.380 --> 00:27:55.568 respectfully recommend that, that one be taken up. Because 00:27:55.578 --> 00:27:59.469 that is a assuming there are no surprises that is a 00:27:59.479 --> 00:28:02.318 really quick and easy rulemaking. In which all we have 00:28:02.328 --> 00:28:07.959 to do is strike Section K of TAC 24.25, and potentially 00:28:07.969 --> 00:28:11.559 Section M as well. Right, Jeff? Yes. It's not really 00:28:11.568 --> 00:28:14.000 an amendment where we need to open it up and have a 00:28:14.009 --> 00:28:17.630 lot of comments and discussions. Really just strike 00:28:17.640 --> 00:28:20.199 that language to be consistent with the Legislative 00:28:20.209 --> 00:28:23.660 Bill. So, just polling the room by room, by show of 00:28:23.670 --> 00:28:26.108 hands. Does anyone disagree with the sentiment that 00:28:26.118 --> 00:28:27.630 that would be a quick, easy one? 00:28:29.709 --> 00:28:30.699 All right. That's always good. 00:28:32.549 --> 00:28:34.059 And that one's in effect now. 00:28:36.858 --> 00:28:40.618 Correct. Yeah. Okay. So I think uh there are other folks at the 00:28:40.630 --> 00:28:44.509 table we uh waiting to. Are we still on the question 00:28:44.519 --> 00:28:48.078 of items for recommendation that we may not? We've 00:28:48.088 --> 00:28:50.219 gone a little off the path, but that was the originating 00:28:50.229 --> 00:28:53.689 question. So if, if you have anyone who has, yes. Uh 00:28:53.719 --> 00:28:57.368 well. (item:2.1:Ashley Myers, Executive Director of Texas Association of Water Companies on HB1484 & HB1963) Ashley Myers, Executive Director of Texas Association 00:28:57.380 --> 00:29:00.858 of Water Companies. Um you know, of course, a lot 00:29:00.868 --> 00:29:03.189 of you in this room know about the Association. And 00:29:03.199 --> 00:29:06.910 know that um we've worked pretty hard on a lot of this 00:29:06.920 --> 00:29:08.930 Legislation that's in front of you guys and in front 00:29:08.939 --> 00:29:14.868 of the Commission. Um we're glad that HB1484 has 00:29:14.880 --> 00:29:16.559 been opened up that we have gotten to the fed rate 00:29:16.568 --> 00:29:21.269 doctor. And I think that's TWC 13 3001 or 3011. 00:29:24.250 --> 00:29:28.900 I just want to impress upon Staff. That I think we can 00:29:28.910 --> 00:29:31.959 resolve a lot of confusion and just get some clarity 00:29:31.969 --> 00:29:35.199 once this rulemaking is, is complete. Um we do have 00:29:35.209 --> 00:29:37.559 some reservations about some of the ideas that have 00:29:37.568 --> 00:29:39.818 been tossed around. We did of course submit some comments 00:29:39.828 --> 00:29:46.250 and reply to the um uh comments in there, in that uh 00:29:46.568 --> 00:29:48.500 project. I'm sorry. I can't remember the number right 00:29:48.509 --> 00:29:53.449 now. But I think just continuing these conversations 00:29:53.459 --> 00:29:57.318 and working with stakeholders as you always do. To try 00:29:57.328 --> 00:30:01.430 to align the statute as it's written with rulemaking. 00:30:01.439 --> 00:30:04.709 Is really the goal for us right now. Of course, 88th 00:30:04.719 --> 00:30:07.588 Legislative Session that those items are important 00:30:07.598 --> 00:30:10.459 to us. I think the Temporary Management Bill, uh HB1963 00:30:10.969 --> 00:30:18.930 which is or 1965 is Item 23. Um that is also 00:30:18.939 --> 00:30:22.789 a safety concern. We've seen first hand what it looks 00:30:22.799 --> 00:30:26.858 like when systems fail or abandoned. And it's a terrible 00:30:26.868 --> 00:30:28.809 situation for those people and we want to make sure 00:30:28.818 --> 00:30:31.818 that we that, that never happens again. Um and I think 00:30:31.828 --> 00:30:33.949 that this is a great step forward and I would love 00:30:33.959 --> 00:30:37.199 to see that taken up pretty soon here as well. And 00:30:37.209 --> 00:30:40.229 our members are eager to take advantage of it. And be 00:30:40.239 --> 00:30:43.568 of use and help to the state and those failing systems. 00:30:43.578 --> 00:30:46.479 Um so just from the Association, Association standpoint 00:30:46.489 --> 00:30:48.259 we appreciate this conversation. I don't know if we've 00:30:48.269 --> 00:30:50.900 ever actually had anything like this before. I, I mean 00:30:50.910 --> 00:30:53.818 I'm new to the industry. But it sounds like this kind 00:30:53.828 --> 00:30:56.479 of conversation is new and we really appreciate it. 00:30:56.489 --> 00:30:59.578 Because it brings everyone to the table to have that 00:30:59.588 --> 00:31:02.939 open discussion about rulemaking. Um, and what the 00:31:02.949 --> 00:31:05.939 concerns of the industry folks are. And, you know, they're 00:31:05.949 --> 00:31:07.939 in this every single day just like you guys are. So 00:31:07.949 --> 00:31:10.199 they know, and you guys know how hard it can be and 00:31:10.209 --> 00:31:12.660 how difficult it can be. And everyone's out here trying 00:31:12.670 --> 00:31:15.068 to do the best that they can. With our members strive 00:31:15.078 --> 00:31:17.828 to come to you guys with administratively complete 00:31:17.838 --> 00:31:22.449 applications. But unless they have the clarity of what 00:31:22.459 --> 00:31:24.608 you guys need from them. It makes it really difficult 00:31:24.618 --> 00:31:28.029 to do that and to get that achieve that goal. So I'm 00:31:28.449 --> 00:31:31.489 just generally speaking, uh very excited to see the 00:31:31.500 --> 00:31:35.559 rule making open on um valery doctrine. And then of course 00:31:35.568 --> 00:31:39.189 we would impress upon the Commission to take up the 00:31:39.199 --> 00:31:41.140 substantial similarity and the temporary management 00:31:41.150 --> 00:31:44.779 as well as soon as possible. Perfect. I think that's 00:31:44.789 --> 00:31:47.578 uh that's good. And on the, and I will admit, I think 00:31:47.588 --> 00:31:50.289 that there's a, there's a robust and really good exchange 00:31:50.299 --> 00:31:52.858 in the comments going on in there. And as someone who 00:31:52.868 --> 00:31:54.549 spends most of his time thinking about electric. I've 00:31:54.559 --> 00:31:57.000 really appreciated the comments filed on both sides 00:31:57.009 --> 00:31:59.789 of some of those questions. And I think those are high 00:31:59.799 --> 00:32:03.180 level policy questions that will ultimately, you know 00:32:03.189 --> 00:32:05.269 every decision is made by the Commissioners, but some 00:32:05.279 --> 00:32:07.529 of them are most important, you know, some of them 00:32:07.539 --> 00:32:11.979 are most more worthy of them giving an in depth look 00:32:11.989 --> 00:32:14.328 than not. And I think that the the speed at which some 00:32:14.338 --> 00:32:17.219 of these transfers are processed and how, how we do 00:32:17.229 --> 00:32:19.439 those are definitely ones that I know that they're 00:32:19.449 --> 00:32:23.259 interested in. And so uh your comments are understood 00:32:23.269 --> 00:32:26.630 and well received on the importance of those. (item:2.4:Brian Barr's response to questions prior from David Smeltzer) Uh David 00:32:26.640 --> 00:32:29.239 you had asked two specific questions I want, we've 00:32:29.250 --> 00:32:31.500 kind of been talking at least I have about thoughts 00:32:31.509 --> 00:32:33.559 I had in the car on the way over here. I want 00:32:33.568 --> 00:32:35.578 to make sure I addressed your questions specifically 00:32:35.588 --> 00:32:40.150 One was um are there any uh legislation that wasn't 00:32:40.160 --> 00:32:43.348 identified by Staff in the chart and per my review 00:32:43.358 --> 00:32:45.828 No, you guys did a good job. You nailed it all. I 00:32:45.838 --> 00:32:47.670 didn't see anything that was in there. There was one 00:32:47.680 --> 00:32:49.890 I thought I caught I was really happy about and then 00:32:49.900 --> 00:32:53.739 Jeff corrected me, it's a TCEQ item. So thank you, Jeff. 00:32:53.789 --> 00:32:56.759 Never mind. I, I was really prepared to have my moment 00:32:56.769 --> 00:33:00.420 in the sun there. Uh but uh then the other question 00:33:00.430 --> 00:33:03.459 you asked was uh are there any efficiencies that can 00:33:03.469 --> 00:33:06.670 be gained by combining certain ones? And you know, 00:33:06.680 --> 00:33:09.380 and Jeff mentioned the comprehensive rulemaking around 00:33:09.390 --> 00:33:14.979 STMs. Um I didn't identify any specific ones that 00:33:14.989 --> 00:33:19.818 could be uh, combined into a single rulemaking. Okay. 00:33:20.930 --> 00:33:23.068 Well, that, that's helpful. I know, I know. I look 00:33:23.078 --> 00:33:27.598 to Jeff, you know, he always corrects me. You're correct. 00:33:27.608 --> 00:33:31.180 And, and for our filed comments we, we agree with 00:33:31.189 --> 00:33:33.338 that. And, and, um, question three and four. 00:33:36.868 --> 00:33:39.479 Yeah, David. (item:2.4:Joe Freeland with Matthews & Freeland on additional bills not listed) Joe Freeland, uh, Matthew and Freeland. 00:33:39.489 --> 00:33:43.539 Um, as to bills you didn't identify on, on the list 00:33:43.549 --> 00:33:51.279 I think HB4559, which is the, that decade correction 00:33:51.289 --> 00:33:55.818 of population figures. Uh, it, it, I know it at least 00:33:55.828 --> 00:34:03.219 address 13.2541. Those, all the brackets in particularly 00:34:03.229 --> 00:34:07.019 254 25.41. All the brackets in Chapter 13 were probably 00:34:07.029 --> 00:34:11.989 adjusted somewhat in that bill. Uh and I, I suspect 00:34:12.000 --> 00:34:13.938 that ought to be. I mean, that's an easy correction 00:34:13.949 --> 00:34:18.168 for a rule. You just change 2000 to 2200 to whatever 00:34:18.179 --> 00:34:23.320 the change is in the bill. Um, it, it could cause some 00:34:23.329 --> 00:34:27.159 confusion on filings, filings in the near future. 00:34:27.168 --> 00:34:29.878 Because they're gonna be areas that look in the rule 00:34:29.889 --> 00:34:32.409 look, appear to be outside of the Commission's jurisdiction. 00:34:32.418 --> 00:34:35.478 Which are suddenly actually because the bill or in 00:34:35.909 --> 00:34:40.829 the jurisdiction. Okay. That's a good note. And I, uh 00:34:41.320 --> 00:34:44.668 we'll, we'll take a look at, I, I don't know. How is 00:34:44.679 --> 00:34:45.780 that one that we're tracking, do you know? 00:34:48.148 --> 00:34:50.697 Yeah, it, it, it's a stealth bill. It comes every year. 00:34:50.708 --> 00:34:55.407 They, once the, the census is done. The, the Land Council 00:34:55.418 --> 00:34:59.188 go back and they review the bills and fix those um 00:34:59.197 --> 00:35:03.137 population criteria in the, in the brackets. Okay, perfect. 00:35:03.148 --> 00:35:05.958 We will uh take a look at that and I don't, I 00:35:05.969 --> 00:35:08.389 guess we'll take a look to see if that's done by rule. 00:35:08.398 --> 00:35:10.679 And if we, it sounds like you've given it more thought 00:35:10.688 --> 00:35:13.559 than us. And so uh maybe we'll reach out if we have 00:35:13.570 --> 00:35:16.059 questions on the way you're thinking about it for implementation. 00:35:16.070 --> 00:35:17.860 But thanks for, thanks for making a note of that. 00:35:17.869 --> 00:35:22.079 Sure. (item:2.3:Joe Freeland with Matthews & Freeland on HB3689) And, and I'll, I'll put my um other hat on my 00:35:22.090 --> 00:35:24.809 San Antonio Water System hat. Uh thank the Commission 00:35:24.820 --> 00:35:29.489 for starting rulemaking on um in 54932 . To implement 00:35:29.590 --> 00:35:35.050 HB3689. That was a Bill is was worked on Session before. 00:35:35.059 --> 00:35:39.378 Um and that was tied into a rulemaking which we had 00:35:39.389 --> 00:35:42.750 drafted for the Commission back in about 2018. Which 00:35:42.760 --> 00:35:45.300 addressed both that issue, which we sort of refer to 00:35:45.309 --> 00:35:48.938 as the wood lock issue. And then also addressed uh just 00:35:48.949 --> 00:35:55.688 the petition requirements under um 13.043B. Right 00:35:55.699 --> 00:35:59.000 to appeal from outside city ratemakers or outside 00:35:59.010 --> 00:36:03.208 city customers or um district customers. That, that 00:36:03.219 --> 00:36:05.639 appeal process, right? They file a petition if they 00:36:05.648 --> 00:36:10.228 get 10% or more. The rules don't address that very 00:36:10.239 --> 00:36:13.128 well. There's no real clear pro process in the Commission's 00:36:13.139 --> 00:36:17.340 rules now. And so we had drafted some language in 2018 00:36:17.349 --> 00:36:21.519 2019. Um, which we brought and chopped to the Commissioners. 00:36:21.530 --> 00:36:25.168 Um, and then Chairman Walker had told us she was going 00:36:25.179 --> 00:36:28.208 to do a comprehensive fix of the water bills and then 00:36:28.219 --> 00:36:32.820 February 2021 came. And so, um, all of that has sort 00:36:32.829 --> 00:36:36.010 of dropped off. We have that already drafted. I mean 00:36:36.019 --> 00:36:38.378 Tammy, you probably, you probably still have a copy of 00:36:38.389 --> 00:36:42.099 that. We um if we could try to find a way to 00:36:42.110 --> 00:36:45.340 put it back into the, the priority list somewhere. 00:36:45.739 --> 00:36:50.619 Sure. Uh I, I uh and will not be making any, making 00:36:50.628 --> 00:36:52.760 any off the cuff commitments today. But if you feel 00:36:52.769 --> 00:36:55.800 do, do we have a copy? I think I do. Can you 00:36:55.809 --> 00:36:58.918 just make sure I can, I can resend it to you. Um 00:36:59.119 --> 00:37:01.590 And we, we, you know, we can take out the, the, the 00:37:01.599 --> 00:37:05.369 stuff that was fixed in 54932 and maybe do a little 00:37:05.378 --> 00:37:08.918 clean up on it otherwise. But it, it was a, a process 00:37:08.929 --> 00:37:12.139 that would actually streamline um Commission Staff 00:37:12.148 --> 00:37:15.300 review. So, and it would sort of shift the burden from 00:37:15.429 --> 00:37:20.599 Staff back to the utility. Sure. Um I don't work on 00:37:20.610 --> 00:37:22.648 these contested cases but I'm sure that the members 00:37:22.659 --> 00:37:24.739 of our Staff that do would appreciate streamlining. 00:37:24.869 --> 00:37:26.800 Uh So yeah, send it, send it over, we'll take a look. 00:37:31.780 --> 00:37:34.289 Uh the Association doesn't have any other comments. 00:37:34.300 --> 00:37:38.659 So uh just one general comment and that's, uh, Jeff 00:37:38.668 --> 00:37:41.889 kind of touched on earlier. (item:2.4:Brian Barr on STM form) But, um, as we do the rule 00:37:41.898 --> 00:37:45.958 makings. If there are any reviews necessary for applications 00:37:45.969 --> 00:37:49.070 or notices or that sort of thing, that could be really 00:37:49.079 --> 00:37:51.530 helpful to do those. Maybe if not part of the rule 00:37:51.539 --> 00:37:54.039 making, concurrent with the rulemaking. I'm thinking 00:37:54.050 --> 00:37:57.878 specifically of the STM form, um, that, and notices 00:37:57.889 --> 00:38:01.500 that we send out that sort of thing, Uh just um throw 00:38:01.510 --> 00:38:05.309 that out there. Yeah, agreed that our are 00:38:07.030 --> 00:38:11.019 process for uh rethinking about forms and sort of stuff 00:38:11.030 --> 00:38:13.320 that's Ancillary to rules is, is under review right 00:38:13.329 --> 00:38:17.208 now. And, you know, sometimes Tammy will, will practically 00:38:17.219 --> 00:38:20.030 implement things that can form with the rules and sometimes 00:38:20.039 --> 00:38:24.010 we do it through process and we are the, the last two 00:38:24.019 --> 00:38:25.559 sessions since we've booted up the rules and projects 00:38:25.570 --> 00:38:27.679 division has been sort of a learning couple of years 00:38:27.688 --> 00:38:30.309 but I appreciate what you're saying. I don't know if 00:38:30.320 --> 00:38:32.489 it's under the daily wick of this discussion, but just 00:38:32.500 --> 00:38:36.708 want to throw it out there. And we've got enough time 00:38:36.719 --> 00:38:41.059 to where all topics. And David one one last thing, if I maybe. 00:38:41.070 --> 00:38:44.938 (item:2.4:Joe Freeland on SB893) Uh SB893. I, I don't know the priority that y'all 00:38:44.949 --> 00:38:48.300 want to work on that. That's the one to correct boundary 00:38:48.309 --> 00:38:52.340 issues on CCNs. And, and I, you know, I suspect that 00:38:52.349 --> 00:38:55.969 you'll start seeing applications being filed uh prior 00:38:55.978 --> 00:38:59.289 to rule making on that. So I don't know how y'all want 00:38:59.300 --> 00:39:01.869 to address it. That would, from, from SAWS perspective 00:39:01.878 --> 00:39:03.849 that would be a fairly high priority. Because we have 00:39:03.860 --> 00:39:08.728 a lot of boundary issues that need to be resolved within 00:39:08.809 --> 00:39:12.889 a SAWS CCN. Yeah. So, I mean, I, I don't know 00:39:12.898 --> 00:39:14.918 what order we'll be able to be able to take it up 00:39:14.929 --> 00:39:18.739 in, but, you know, generally speaking, statutes take 00:39:18.750 --> 00:39:22.159 precedent over rules and so that's why, you know, I'm 00:39:22.168 --> 00:39:24.168 without commenting on the specific things. I think 00:39:24.179 --> 00:39:27.628 that, you know, your regulatory attorneys can help 00:39:27.639 --> 00:39:30.699 you with that. But, uh, sometimes we practically have 00:39:30.708 --> 00:39:32.579 to defer to statutes for a while while we're waiting 00:39:32.590 --> 00:39:34.869 for rules to come out and that one's effective immediately 00:39:36.280 --> 00:39:38.579 So we're already too late now. I just gotta get, uh 00:39:38.750 --> 00:39:42.750 very good. No, we'll, uh, that's good note. 00:39:45.849 --> 00:39:49.750 Um, ok. So just checking base, I think that we've gotten 00:39:49.760 --> 00:39:53.019 a few are going to line. Is there, are there any other 00:39:53.030 --> 00:39:55.889 bills that we think need maybe legislative treatment 00:39:55.898 --> 00:39:57.929 that have not been touched on that anyone is aware 00:39:57.938 --> 00:39:58.280 of? 00:39:59.969 --> 00:40:04.579 And then are there any other, uh, as anyone like to 00:40:04.590 --> 00:40:08.719 advocate for any, uh, please do the, these ones first 00:40:08.728 --> 00:40:11.478 that we haven't heard yet about? 00:40:13.119 --> 00:40:17.320 And are there any other pressing, um, any other pressing 00:40:17.329 --> 00:40:20.530 priorities faced by your industry that are not reflected 00:40:20.539 --> 00:40:23.329 in Legislation. That you would like the Commissioners 00:40:23.340 --> 00:40:26.570 to consider to be taken up prior to Legislation? And 00:40:26.579 --> 00:40:28.349 I know that we heard a little bit about the Financial 00:40:28.360 --> 00:40:32.780 Assurance um uh topic. Which is not a surprise to me 00:40:32.789 --> 00:40:37.559 to hear. Um, but yes, uh not related to that question 00:40:37.570 --> 00:40:40.360 directly. (item:2.4:Bill Barr question on mechanisms other than rulemakin) But, um, one of the questions on here was 00:40:40.539 --> 00:40:43.579 uh are there any items listed for rule making that 00:40:43.590 --> 00:40:46.260 should be implemented using a different method such 00:40:46.269 --> 00:40:50.389 as an order or directive? Um I don't know if we identified 00:40:50.398 --> 00:40:55.590 anything but I could you explain very briefly, um what 00:40:55.599 --> 00:40:57.978 sort of mechanisms other than rulemaking? There might 00:40:57.989 --> 00:41:03.418 be? Sure. (item:2.4:David Smeltzer on rule and statute differences) I think that in some cases, a rule is not 00:41:03.429 --> 00:41:06.860 necessary and a statute provides sufficient guidance 00:41:06.869 --> 00:41:08.750 to a rulemaking is not necessary. And I think that 00:41:08.929 --> 00:41:12.708 also that question is probably more relevant in the 00:41:12.719 --> 00:41:15.590 electric world because there's a lot of things that 00:41:15.659 --> 00:41:19.989 ERCOT can do um that, you know, like if we need to 00:41:20.000 --> 00:41:21.769 develop a new Ancillary service or something that might 00:41:21.780 --> 00:41:23.599 that might be the sort of thing that they can do without 00:41:23.610 --> 00:41:27.929 a rule. Um And so, or uh yeah, so working from statute 00:41:27.938 --> 00:41:30.878 stuff that we don't without a rule or in limited cases 00:41:30.889 --> 00:41:32.989 the Commission might be able to issue an order, directing 00:41:33.000 --> 00:41:37.378 entities to do things um like if we have to file reports 00:41:37.389 --> 00:41:40.409 or things like that. And so um we're looking for any 00:41:40.418 --> 00:41:42.780 efficiency, we can squeeze out of this. And so probably 00:41:42.789 --> 00:41:45.139 that, that question is most relevant to electric where 00:41:45.148 --> 00:41:47.668 there might be uh specific things where it's like, 00:41:47.679 --> 00:41:49.519 oh no, we think we have enough guidance to file this 00:41:49.530 --> 00:41:51.918 report without you having to do a rule on it or, or 00:41:51.929 --> 00:41:53.664 I can do instead. So that's the sort of stuff you were 00:41:53.675 --> 00:41:55.965 thinking about. Got you. Thank you very much. Is that 00:41:55.974 --> 00:41:58.434 uh or in your industry? If, if we've identified something 00:41:58.445 --> 00:42:00.103 you're like, no, no, this is a TCEQ thing, not a you 00:42:00.114 --> 00:42:02.204 thing. That would be the sort of comment maybe. So 00:42:02.215 --> 00:42:05.764 Is that like um I'm thinking of an instance where I 00:42:05.773 --> 00:42:10.043 think a rule making was opened related to filing electronically 00:42:10.054 --> 00:42:14.030 at the PUC and then nothing ever. I'm seeing some blank 00:42:14.039 --> 00:42:16.260 there. That no, no, that that is there is that is a 00:42:16.269 --> 00:42:19.860 storied is that. And that alternative mechanism was 00:42:20.039 --> 00:42:25.469 used to change something. That, that like many things is one. (item:2.4:David Smeltzer on comprehensive overhaul on how filings are processed) Where uh 00:42:25.760 --> 00:42:27.938 our Executive Director Thomas Gleeson has said that 00:42:27.949 --> 00:42:30.139 we will be accepting electronic filings and we still 00:42:30.148 --> 00:42:33.780 are. And that rule has been under review for a while 00:42:33.789 --> 00:42:35.510 and we're actively working on the draft. I know it 00:42:35.519 --> 00:42:38.188 may not seem like it, but that has, that has turned 00:42:38.199 --> 00:42:41.260 from, we're actually looking at a more comprehensive 00:42:41.269 --> 00:42:44.668 overhaul of 2271 that where we're rethinking our confidential 00:42:44.679 --> 00:42:47.119 filing requirements and we're rethinking open meeting 00:42:47.128 --> 00:42:49.519 posting documents. And for reasons you can understand 00:42:49.530 --> 00:42:51.728 that's something that are the operation side of our 00:42:51.739 --> 00:42:54.340 agency is very interested in. And I know that the public 00:42:54.349 --> 00:42:56.559 needs would like guidance on some of those things. 00:42:56.570 --> 00:42:59.139 So we're doing it. But there have been a lot of um 00:42:59.829 --> 00:43:02.079 you know, in our core subject industries, we regulate 00:43:02.090 --> 00:43:04.228 It's been difficult to carve out the review time. But 00:43:04.239 --> 00:43:06.579 actually Mac has been desperately hoping that I would 00:43:06.590 --> 00:43:08.829 review his uh spend more time with his draft on that. 00:43:08.840 --> 00:43:12.000 But uh but that is an example where as a patchwork 00:43:12.010 --> 00:43:15.000 approach, we've been following uh Gleason's guidance 00:43:15.010 --> 00:43:18.019 rather than making you guys file paper copies until 00:43:18.030 --> 00:43:20.269 we get the rule done. But that's a good example. Thanks. 00:43:20.280 --> 00:43:23.110 I really, I was just that, that is an active project 00:43:23.119 --> 00:43:25.208 for anyone who's, who's interested in that. Okay. I, 00:43:25.228 --> 00:43:27.519 I was really just trying to understand for purposes 00:43:27.530 --> 00:43:30.010 of review. If there was one that I could recommend 00:43:30.659 --> 00:43:34.860 uh be used uh through an alternative method rather 00:43:34.869 --> 00:43:37.300 than a rule making but nothing off the top of my head 00:43:37.309 --> 00:43:39.320 I'll review afterwards. Yeah. And I think that the 00:43:39.329 --> 00:43:41.688 example that for me that I, I think that after the 00:43:41.699 --> 00:43:43.878 last session nays are a number of bills like uh on 00:43:43.889 --> 00:43:46.610 designating critical water facilities and things like 00:43:46.619 --> 00:43:51.489 that where uh uh we sort of were taking practical approaches 00:43:51.500 --> 00:43:53.188 rather than waiting for rulemaking that I, I'm not 00:43:53.199 --> 00:43:56.208 aware of this many this this time around. Yeah, that 00:43:56.219 --> 00:43:59.610 SB3 was pretty comprehensive indeed. 00:44:02.378 --> 00:44:04.869 OK. Well, that being the case I will will now say that 00:44:04.878 --> 00:44:07.659 you know, while we're all here. We have another you 00:44:07.668 --> 00:44:10.679 know, some time allocated before, before we break. 00:44:10.688 --> 00:44:15.989 Uh So the floor is open for items of discussion for 00:44:16.000 --> 00:44:17.188 the folks in the room. 00:44:24.159 --> 00:44:27.260 All right. Well, fantastic. This was good. (Item:2.4:David Smeltzer closes 2nd session) This accomplished 00:44:27.269 --> 00:44:29.250 everything that we were hoping for. We got a few notes 00:44:29.260 --> 00:44:33.320 on items that they were not on our radar. Some good 00:44:33.329 --> 00:44:36.550 focus on priorities that are outside of the implementation 00:44:36.780 --> 00:44:39.739 schedule here. And uh we appreciate your feedback and 00:44:39.750 --> 00:44:43.809 participation and navigational guidance of the agenda 00:44:43.820 --> 00:44:45.079 by participants. 00:44:47.128 --> 00:44:50.398 And uh thus ended the workshop. Thank you. 00:44:56.438 --> 00:45:00.809 (item:3:David Smeltzer welcome participants and opens 3rd session) Welcome all to the stunning conclusion of the Staff 00:45:00.820 --> 00:45:04.179 Legislative implementation trilogy today. Uh We had 00:45:04.188 --> 00:45:06.769 good sessions this morning on telecom and water and 00:45:06.780 --> 00:45:10.559 predictably the room is the fullest for this uh electric 00:45:10.570 --> 00:45:12.840 panel. Because that's what we received the most bills 00:45:12.849 --> 00:45:15.889 on. Uh my name is David Smeltzer. I'm the Director 00:45:15.898 --> 00:45:18.329 of the Rules and Project Division with me. Here is 00:45:18.340 --> 00:45:21.510 Rama Rastogi. She's a Project Manager for the Rules and 00:45:21.519 --> 00:45:24.510 Project Division. And there are a number of other Staff 00:45:24.519 --> 00:45:27.260 in the room who we will introduce you to if it is 00:45:27.269 --> 00:45:29.199 fitting for them to come up as part of any of the 00:45:29.208 --> 00:45:29.809 discussion. 00:45:31.679 --> 00:45:34.769 (item:3:David Smeltzer lays out 3rd session objective) The main reason that we're having this workshop today 00:45:34.780 --> 00:45:38.090 is for those of you who have been part of the fund 00:45:38.099 --> 00:45:40.250 for the last couple of years, I think coming out of 00:45:40.260 --> 00:45:44.000 the 87th Legislative Session. We got the largest sort 00:45:44.010 --> 00:45:46.409 of rule making assignment load from the Legislature 00:45:46.418 --> 00:45:50.019 that we've seen. And last Session, I think we got a 00:45:50.030 --> 00:45:52.378 lot of statutory deadlines that provided the sort of 00:45:52.389 --> 00:45:56.199 guidance on the issues that we should prioritize and 00:45:56.208 --> 00:45:58.949 the way that we should sequence our rule making efforts 00:45:58.958 --> 00:46:01.688 This session. Thankfully, from my perspective, the 00:46:01.699 --> 00:46:04.079 Legislature gave us fewer hard deadlines which will 00:46:04.090 --> 00:46:07.300 make it easier to accommodate. But also that gives 00:46:07.309 --> 00:46:10.849 us more flexibility in determining the order in which 00:46:10.860 --> 00:46:13.668 we should do these. So as everyone knows, a lot of 00:46:13.679 --> 00:46:17.260 times, you know, we are confined by the Administrative 00:46:17.269 --> 00:46:20.309 Procedure Act and staffing realities and a number of 00:46:20.320 --> 00:46:23.619 other factors in terms of how we can actually execute 00:46:23.628 --> 00:46:27.139 these rules in order. However, as Commission Staff 00:46:27.148 --> 00:46:29.449 assembles its recommendations to the Commissioners 00:46:29.458 --> 00:46:32.409 on how we should proceed with these rule makings, we 00:46:32.418 --> 00:46:34.849 wanted to give a chance for stakeholders and other 00:46:34.860 --> 00:46:38.300 members of the public. To have a voice in that and let 00:46:38.309 --> 00:46:41.059 us know where we might be off what mistakes we might 00:46:41.070 --> 00:46:44.059 have made. And what additional input and priorities 00:46:44.070 --> 00:46:47.250 exist for the industry to answer some, some common 00:46:47.260 --> 00:46:49.769 questions we get. Some folks reached out that were 00:46:49.780 --> 00:46:52.929 not able to not able to attend today. And as you would 00:46:52.938 --> 00:46:56.000 have seen in the workshop notice, we did offer the 00:46:56.010 --> 00:46:59.929 option to file comments and we are going to extend 00:46:59.938 --> 00:47:02.760 the deadline for filing comments on that to close of 00:47:02.769 --> 00:47:06.519 business on Friday. And we will file a memo or something 00:47:06.530 --> 00:47:11.050 of that regard to that effect shortly. But I will say 00:47:11.320 --> 00:47:13.789 that one of the reasons we wanted to do the workshop 00:47:13.800 --> 00:47:16.969 format is because we've had a lot of success with the 00:47:16.978 --> 00:47:20.809 ADER workshops. And I think that there is the ability 00:47:20.820 --> 00:47:23.208 to sort of vet and discuss priorities in real time 00:47:23.219 --> 00:47:26.619 with different folks at the table uh leads to better 00:47:26.628 --> 00:47:29.340 outcomes. And so if you are at any point sitting on 00:47:29.349 --> 00:47:32.059 your hands, saying should I come talk or should I just 00:47:32.070 --> 00:47:35.829 file it? Get up to the dias right now is the time 00:47:36.349 --> 00:47:39.179 the other question that we often get with these sorts 00:47:39.188 --> 00:47:42.128 of things is if this is a Commission project where 00:47:42.139 --> 00:47:44.969 the Commissioners. And I would say that the Commissioners 00:47:44.978 --> 00:47:47.219 have all expressed to me, they are excited about this 00:47:47.228 --> 00:47:49.969 input. And they, they're tuning in. And in fact, I think 00:47:49.978 --> 00:47:53.168 several Legislators are tuning in as well. And so the 00:47:53.648 --> 00:47:56.168 you know, they will be listening and we will be briefing 00:47:56.179 --> 00:48:00.168 them on any comments that are filed. But I think sometimes 00:48:00.929 --> 00:48:05.780 folks are more willing to come speak candidly with 00:48:05.789 --> 00:48:09.168 Staff than with Commissioners. And also it's easier 00:48:09.179 --> 00:48:11.429 not to have to call an open meeting. So, you know, 00:48:11.438 --> 00:48:14.898 the Commissioners are, will be receiving all your comments 00:48:14.909 --> 00:48:16.340 and they're very valuable to them. 00:48:18.188 --> 00:48:22.090 (item:3:David Smeltzer lays out housekeeping details) So a few housekeeping matters, those were some, some 00:48:22.099 --> 00:48:25.559 more are the way that we will be proceeding today is 00:48:25.570 --> 00:48:29.119 by discussion format. So unlike at an open meeting 00:48:29.139 --> 00:48:30.789 we've got a number of, 00:48:33.559 --> 00:48:36.820 if I'm, if I'm not the only one who hasn't turned off 00:48:36.829 --> 00:48:38.349 your phone. That would be a good thing to do now. 00:48:38.860 --> 00:48:41.369 Um, you know, if at any point we get to a discussion 00:48:41.378 --> 00:48:43.250 topic where you think you have something to contribute 00:48:43.260 --> 00:48:46.958 find an open chair. Um, and we will sort of call on 00:48:46.969 --> 00:48:48.889 you as you come up and manage a discussion as best 00:48:48.898 --> 00:48:52.168 we can. And also sort of informal protocol that we 00:48:52.179 --> 00:48:55.510 developed in the, the ADER workshops. Is if you are 00:48:55.728 --> 00:48:58.369 up at the dais because you are interested in speaking on 00:48:58.378 --> 00:49:01.119 the current topic. You know, you can wave a little 00:49:01.128 --> 00:49:02.849 one when we see you speaking and if you are waiting 00:49:02.860 --> 00:49:05.510 to talk on another topic, um you can just give us a 00:49:05.519 --> 00:49:08.398 two. So that way we know who to call on first. 00:49:13.188 --> 00:49:17.148 So let's, let's get started, I guess, unlike the other 00:49:17.159 --> 00:49:20.369 two that we had. There were, there was 00:49:20.378 --> 00:49:23.168 a lot of legislation in the electric, in the electric 00:49:23.179 --> 00:49:26.438 space this time. (item:3.1:David Smeltzer on SB365) And so I guess I'll briefly review 00:49:26.449 --> 00:49:29.898 why staff's initial recommendations for the first wave. 00:49:29.978 --> 00:49:33.708 And I will say that for, you know, pending Commissioner 00:49:33.719 --> 00:49:36.530 agreement and any discussion that we have today. I 00:49:36.539 --> 00:49:40.260 think that we, we did have a few statutory deadlines 00:49:40.269 --> 00:49:43.079 and a few real world realities that made it. So I think 00:49:43.090 --> 00:49:45.969 that we've fairly well identified what we think are 00:49:45.978 --> 00:49:49.340 our first wave of rule making that were either booted 00:49:49.349 --> 00:49:53.668 up or starting to boot up. And so the list is, was 00:49:55.449 --> 00:49:58.128 uh so the, you know, the list that's included in the 00:49:58.139 --> 00:50:00.639 memo here and I'll just tell you why they're there. 00:50:00.648 --> 00:50:03.059 (item:3.2:David Smeltzer on SB1076) The first of which was we're working on implementing 00:50:03.070 --> 00:50:07.789 SB365 and um sort of facilitating implementation 00:50:07.800 --> 00:50:11.059 of SB1076. And the reason is, is one of the 00:50:11.070 --> 00:50:14.644 challenges that are Commission and the industry face 00:50:14.655 --> 00:50:18.304 right now is that we have to, we're working on expediting 00:50:18.313 --> 00:50:20.954 the transmission process so that we can get transmission 00:50:20.965 --> 00:50:23.494 lines built faster and accordingly, the legislature 00:50:23.503 --> 00:50:26.125 provided direction that we needed to increase. Rather 00:50:26.135 --> 00:50:31.215 we need to decrease the timeline from 360 to 180 days. 00:50:31.324 --> 00:50:34.543 And so, in order to help meet that, we, we've already 00:50:34.554 --> 00:50:38.494 initiated a rule making to modify the notice provisions 00:50:38.503 --> 00:50:40.594 you know, procedural notice provisions for intervention 00:50:40.800 --> 00:50:43.239 And so that's why that was the top of the list. And 00:50:43.250 --> 00:50:46.550 that same rule making will allow us to implement 365, 00:50:46.559 --> 00:50:50.469 SB365. Which requires additional notice to be provided 00:50:50.478 --> 00:50:54.349 to landowners adjacent to proposed substations. And 00:50:54.360 --> 00:50:56.530 so that was, that was an easy start because you know 00:50:56.539 --> 00:50:58.809 the CCN application is already coming in and we want 00:50:58.820 --> 00:51:01.869 to be able to process these transmission lines quickly. 00:51:02.639 --> 00:51:05.570 (item:3.4:David Smeltzer on HB2555) The next cluster of rules that we've identified that 00:51:05.579 --> 00:51:08.438 we want to start looking at now have to do with resiliency 00:51:08.449 --> 00:51:12.760 and reliability planning. The resiliency planning HB2555 00:51:12.769 --> 00:51:18.418 allows transmission and distribution utilities 00:51:18.429 --> 00:51:21.489 to propose resiliency plans for which they can get 00:51:21.500 --> 00:51:25.159 recovery. This is included on the first wave implementation 00:51:25.168 --> 00:51:28.989 list because it came with 180 day implementation timeline 00:51:29.000 --> 00:51:34.378 and that clock is already ticking. (item:3.5:David Smeltzer on HB5066) Similarly, HB5066 00:51:34.389 --> 00:51:37.929 reliability plans. We are still and this can be 00:51:37.938 --> 00:51:41.559 a discussion point today. But we are still, we don't 00:51:41.570 --> 00:51:44.168 have a deadline for implementing the rule. The rule 00:51:44.179 --> 00:51:47.958 that allows us to require ERCOT to develop reliability 00:51:47.969 --> 00:51:51.539 plans for regions with insufficient capacity that is 00:51:51.550 --> 00:51:54.320 open ended. But we do specifically have to direct them 00:51:54.329 --> 00:51:57.228 to develop a reliability plan for the Permian Basin 00:51:57.239 --> 00:52:00.510 region by January. And so we're currently evaluating 00:52:00.519 --> 00:52:04.349 whether or not we need the rule making to proceed that 00:52:04.360 --> 00:52:06.978 order if we or if we can order them more directly without. 00:52:07.458 --> 00:52:11.059 (item:3.6:David Smeltzer on HB1500) Um similarly, um another one that came with the deadline 00:52:11.070 --> 00:52:15.030 for us was in HB1500, Section 9. Which is listed 00:52:15.039 --> 00:52:18.019 here as transmission interconnection allowance. But 00:52:18.369 --> 00:52:22.119 essentially this is here because of 180 deadline. 00:52:22.128 --> 00:52:26.418 And it similar to how um loads of a certain size have 00:52:26.429 --> 00:52:28.340 to pay a standard allowance for interconnection will 00:52:28.349 --> 00:52:31.809 be thinking through a similar uh similar provision 00:52:31.820 --> 00:52:35.579 for generation. (item:3.6:David Smeltzer on HB1500, 2nd Section 13, TDUs circuit segmentation study) Um another item that we have listed 00:52:35.590 --> 00:52:37.938 here that we're looking at that may actually not be 00:52:37.949 --> 00:52:42.780 through rulemaking, I don't think is HB1500, 2nd Section 00:52:42.789 --> 00:52:47.750 13 orders the TDUs to do a circuit segmentation study. 00:52:48.050 --> 00:52:50.780 Um basically, you know, we want the Legislature would 00:52:50.789 --> 00:52:52.769 like them to look at their systems and figure out if 00:52:52.780 --> 00:52:58.179 they can take the units which they are able to, um 00:52:58.719 --> 00:53:01.079 you know, when they shed Load and divide those into 00:53:01.090 --> 00:53:03.449 smaller units. I think that there are a lot of technical 00:53:03.708 --> 00:53:06.989 known technical issues with that and we need to explore 00:53:07.000 --> 00:53:09.179 that further. The reason this is on the list is, I 00:53:09.188 --> 00:53:11.438 think we've been getting a lot of questions on if we're 00:53:11.449 --> 00:53:13.820 going to be doing a rule making on this. And presently 00:53:13.829 --> 00:53:17.728 our plan is to release something like a discussion 00:53:17.739 --> 00:53:20.639 draft, but it said it will be a proposed order will 00:53:20.648 --> 00:53:23.139 allow you guys to have a comment on whether or not 00:53:23.289 --> 00:53:25.489 we're ordering the right kind of information that would 00:53:25.500 --> 00:53:28.300 be most useful in determining whether or not circuit 00:53:28.309 --> 00:53:32.500 segmentation is appropriate or not. And then we will 00:53:32.510 --> 00:53:36.228 be formally issuing the order with enough time for 00:53:36.500 --> 00:53:42.039 the TDUs to, to do that. (item:3.7:David Smeltzer on HB1500, Section 17) Another key item that made 00:53:42.050 --> 00:53:45.679 it on the list is HP 1500, Section 17. Which has to 00:53:45.688 --> 00:53:48.360 do with ERCOT directives. But that rule making will 00:53:48.369 --> 00:53:51.269 also include um you know, some SB3 provisions 00:53:51.280 --> 00:53:54.010 that had to do with other ERCOT governance things and 00:53:54.019 --> 00:53:58.750 under SB or under HB1500. The ways in which the Commission 00:53:58.760 --> 00:54:04.599 is able to direct ERCOT to do things has been um has 00:54:04.610 --> 00:54:06.510 been modified. And so instead of being able to give 00:54:06.519 --> 00:54:08.849 verbal directives at open meetings, in most cases, 00:54:08.949 --> 00:54:11.519 we're going to have to either do a written order or 00:54:11.530 --> 00:54:14.369 a rule making or contested case. And I think that a 00:54:14.378 --> 00:54:17.728 lot of stakeholders and members of the public and Commission 00:54:17.918 --> 00:54:21.398 will benefit from additional clarity on the ways that 00:54:21.409 --> 00:54:23.708 ERCOT can be directed by the Commission. And so 00:54:23.719 --> 00:54:26.289 we are, we're including that on our first wave as sort 00:54:26.300 --> 00:54:30.418 of an operational necessity to improve, you know, predictability 00:54:30.429 --> 00:54:34.260 and transparency in the in PUC process. I also will 00:54:34.269 --> 00:54:38.039 note that one of the prompts for discussion today is 00:54:38.050 --> 00:54:40.938 um one of the prompts for discussion today. Is are 00:54:40.949 --> 00:54:45.398 there any things that can be implemented, you know 00:54:45.409 --> 00:54:49.119 without a rule making? And so, you know, directives 00:54:49.128 --> 00:54:51.829 ERCOT may be one of the answers in some situations 00:54:51.840 --> 00:54:55.159 and you'll see a few items down for the. 00:54:56.760 --> 00:54:59.619 (item:3.8:David Smeltzer on HB1500, Section 22) Oh, in fact, the next item that uh HB1500, Section 00:54:59.628 --> 00:55:03.050 22 has to do with the development of a dispatch reliability 00:55:03.059 --> 00:55:04.978 reserve service. And I think presently, we think that 00:55:04.989 --> 00:55:09.398 can be accomplished by directive rather than by rulemaking 00:55:09.510 --> 00:55:12.969 and whether or not any directives get done prior to 00:55:12.978 --> 00:55:17.179 September 1st or after September 1st uh impact the 00:55:17.188 --> 00:55:20.239 ways in which we're able to uh provide those directives. 00:55:21.320 --> 00:55:24.039 (item:3.9:David Smeltzer on HB1500, Section 40) The next rule making that we've identified as being 00:55:24.050 --> 00:55:28.148 a first wave rulemaking is HP 1500 section 40 which 00:55:28.159 --> 00:55:30.688 has to do with a significant power outage has to do 00:55:30.699 --> 00:55:33.849 with allowing transmission and distribution utilities 00:55:33.958 --> 00:55:37.019 to lease out mobile generation units and other similar 00:55:37.030 --> 00:55:40.570 things to respond significant power outages. This 00:55:40.579 --> 00:55:43.168 did not have a deadline, but we actually had an ongoing 00:55:43.179 --> 00:55:46.500 rule making for the version of this legislation from 00:55:46.510 --> 00:55:49.639 last session. So the rule making team is was already 00:55:49.648 --> 00:55:52.389 assembled. So like okay press on, we've had the first 00:55:52.398 --> 00:55:55.349 wave of contested cases. We have new legislation and 00:55:55.360 --> 00:55:58.469 we know that this is critical in terms of our abilities 00:55:58.478 --> 00:56:01.708 to respond to ongoing power outages. So we wanted to 00:56:01.719 --> 00:56:04.789 prioritize that as well. And I think for those interested 00:56:04.800 --> 00:56:09.139 the project team is also exploring including SB415 00:56:09.320 --> 00:56:13.239 as part of that rule making projects work, which is 00:56:13.250 --> 00:56:16.019 a similar provision from last session that has to do 00:56:16.030 --> 00:56:19.648 with TDUs ability to use energy storage solutions. 00:56:21.559 --> 00:56:24.349 (item:4.1:David Smeltzer on SB3, Section 18) Also included on the list just for public awareness 00:56:24.360 --> 00:56:26.449 because it's been posted for a long, it's been posted 00:56:26.458 --> 00:56:29.478 on the rule making calendar for a long time. Is Section 00:56:29.489 --> 00:56:32.599 18 from SP3 last time which directs the Commission 00:56:32.610 --> 00:56:36.579 to develop an emergency pricing program. Um We have 00:56:36.590 --> 00:56:38.929 uh we have been interested in doing that for a long 00:56:38.938 --> 00:56:41.840 time but because of heavy rule making Load, we haven't 00:56:41.849 --> 00:56:45.300 gotten to it yet, but the team is assembled and beginning 00:56:45.309 --> 00:56:49.958 to have discussions with a on developing that on that 00:56:49.969 --> 00:56:52.469 now. (item:4.2:David Smeltzer on SB2627) And then finally, the last one is part of our 00:56:52.860 --> 00:56:55.090 you know, we're trying to get started right away is 00:56:55.099 --> 00:56:59.918 SB2627 which creates the Texas Energy Fund. And, um 00:57:01.329 --> 00:57:04.059 you know, the back uh backup program and this is one 00:57:04.070 --> 00:57:08.699 that is, uh, it's a, it's a complicated piece of legislation 00:57:08.708 --> 00:57:10.239 and it's a little bit different than anything that 00:57:10.250 --> 00:57:13.829 the Commission does. And so we are already starting 00:57:13.840 --> 00:57:17.429 to have discussions with other agencies that have similar 00:57:17.438 --> 00:57:20.449 types of funds such as the Swift Fund at TWDB. So that 00:57:20.458 --> 00:57:22.820 we can um build up our expertise that's going to be 00:57:22.829 --> 00:57:26.269 necessary to implement such a thing. And our current 00:57:26.539 --> 00:57:30.579 one, one weird aspect about the Texas Energy Fund is 00:57:30.590 --> 00:57:34.898 that it is not actually it has to be, there's a corresponding 00:57:34.909 --> 00:57:37.070 constitutional amendment that has to be adopted by 00:57:37.079 --> 00:57:39.679 a public referendum in the November election. And so 00:57:39.688 --> 00:57:42.780 the way we're trying to sort of split the work on this 00:57:42.789 --> 00:57:46.898 is staff currently hopes to file, you know, at the 00:57:46.909 --> 00:57:49.519 beginning of the rule making process, we file a draft 00:57:49.530 --> 00:57:52.780 of a rule for public comment and that has most of the 00:57:52.789 --> 00:57:55.458 logistics of the rule worked out. And then at the end 00:57:55.469 --> 00:57:58.280 of the rule making process, we have to issue a final 00:57:58.289 --> 00:58:01.378 order which is the final rule and it has responses 00:58:01.389 --> 00:58:05.728 to all public comments. And the assembly of that final 00:58:05.739 --> 00:58:08.378 order can sometimes take weeks and depending on the 00:58:08.389 --> 00:58:12.708 complication, how complicated a rule is could be several 00:58:12.719 --> 00:58:15.369 100 pages long. And so the, the way we're, we're currently 00:58:15.530 --> 00:58:17.769 the way that Staff is recommending the Commission proceed 00:58:17.780 --> 00:58:20.458 on that at this time is to try and get the, the 00:58:20.469 --> 00:58:23.500 draft rule out prior to the November election and do 00:58:23.510 --> 00:58:26.110 the, the final order and a couple of weeks of work 00:58:26.119 --> 00:58:29.579 associated with that after the November election. And 00:58:29.590 --> 00:58:34.228 so this is, that is Staff's current plan. And so the 00:58:34.239 --> 00:58:37.050 first are the, your Staff's current recommendations 00:58:37.059 --> 00:58:40.449 for what are the obvious first tier implementation 00:58:40.719 --> 00:58:44.699 items from this uh this most recent session? And so 00:58:44.708 --> 00:58:47.750 I will now say that the first prompt and reason for 00:58:47.760 --> 00:58:52.500 this rule making is or for this workshop rather is 00:58:52.510 --> 00:58:56.059 Uh is there anything else that should be on this list 00:58:56.070 --> 00:58:59.648 either based on a statutory implementation deadline 00:58:59.659 --> 00:59:04.260 that I may have missed or a real world practicality 00:59:04.349 --> 00:59:07.260 that merits something being taken up first. (item:4:David Smeltzer on HB1500 Renewable Energy) And actually 00:59:07.269 --> 00:59:10.739 as I looked down, I realized I skipped one in HB1500. 00:59:10.750 --> 00:59:13.300 There's also sort of a repeal of the goals associated 00:59:13.309 --> 00:59:16.849 with the Renewable Energy credit trading program. And 00:59:16.860 --> 00:59:19.969 we've had stakeholders reach out to us already looking 00:59:19.978 --> 00:59:22.769 for guidance in how they are supposed to comply with 00:59:22.780 --> 00:59:25.679 this year since it's based on a calendar year. And 00:59:25.688 --> 00:59:29.989 so our Staff is already exploring possible guidance 00:59:30.000 --> 00:59:33.760 on how best to comply with the, the rule and statute 00:59:33.769 --> 00:59:37.260 in that regard. And so um returning back to the prompt 00:59:37.269 --> 00:59:40.050 that I was getting at okay. (item:3:David Smeltzer asks if any additional items to be added to list) First wave of rulemaking 00:59:40.059 --> 00:59:43.059 Is there anything that's not on this list that should 00:59:43.070 --> 00:59:47.090 be? And I would invite anyone who has anything um to 00:59:47.099 --> 00:59:50.000 discuss on that matter to join, join us at the front 00:59:53.438 --> 00:59:55.929 And when you, when you uh if you, if you come up 00:59:55.938 --> 00:59:58.728 when you speak, if you will identify your name and 00:59:58.739 --> 01:00:01.329 anyone that you represent that will help us later. 01:00:01.628 --> 01:00:04.898 Um I'll also say that today we, you know, we will get 01:00:04.909 --> 01:00:08.000 into details, we will get into details to the extent 01:00:08.010 --> 01:00:11.789 that it is helpful for discussion, but flagging and 01:00:11.800 --> 01:00:14.590 identifying the issues is what is the best way for 01:00:14.599 --> 01:00:16.849 us to use our sort of two hours today. And then if 01:00:16.860 --> 01:00:19.458 we need to have follow up meetings or conversations 01:00:19.469 --> 01:00:22.719 we will know how to find you either because we already 01:00:22.728 --> 01:00:24.728 know you or we'll check, we'll check the sign up sheet 01:00:24.739 --> 01:00:25.688 that was outside the door. 01:00:27.510 --> 01:00:31.269 (item:3:Jason Danowski with Young Energy on moratoriums against disconnections during weather emergencies) Good afternoon. Uh My name is Jason Danowski. I'm here 01:00:31.280 --> 01:00:34.610 representing Young Energy. Been certified as 01:00:34.619 --> 01:00:39.289 a rep since 2005 and uh here today to talk about something 01:00:39.300 --> 01:00:42.059 that's not a legislative matter. But it is concerning 01:00:42.070 --> 01:00:46.128 a real world issue, which is uh moratoriums against 01:00:46.139 --> 01:00:49.159 disconnections during extreme weather emergencies. 01:00:49.760 --> 01:00:52.820 So, in the past couple of years, there's been a number 01:00:52.829 --> 01:00:56.978 of investigations and sanctions with regards to disconnection 01:00:56.989 --> 01:01:02.260 moratoriums. And our concern is that these investigations 01:01:02.269 --> 01:01:06.128 and sanctions don't address the systemic issues that 01:01:06.139 --> 01:01:09.909 are leading to not in compliance. For that reason, we 01:01:09.918 --> 01:01:13.489 would propose a future PUC workshop that could address 01:01:13.500 --> 01:01:16.250 these systemic issues. To give an example of what I'm 01:01:16.260 --> 01:01:21.128 talking about. So, uh TD us are not obligated to provide 01:01:21.139 --> 01:01:27.780 reps the uh the subscribers county of record. However 01:01:27.789 --> 01:01:30.449 national weather service advisories, which are the 01:01:30.458 --> 01:01:34.550 basis of these extreme weather emergencies are issued 01:01:34.559 --> 01:01:38.679 county by county. So an REP could inadvertently uh 01:01:38.699 --> 01:01:43.099 issue a disconnection for nonpayment during a moratorium 01:01:43.110 --> 01:01:45.309 to someone in a county because they don't have the 01:01:45.320 --> 01:01:49.570 right county and getting these counties. And this information 01:01:49.579 --> 01:01:53.668 from third party aggregators is often inaccurate. So 01:01:54.378 --> 01:01:55.978 you know, there's no one better for us to get it from 01:01:55.989 --> 01:02:01.030 than the TDUs. Um workshop could also address uh the 01:02:01.039 --> 01:02:04.639 development and sharing of methods by which these advisories 01:02:04.648 --> 01:02:09.978 are incorporated into TDU and REP systems. The advisories 01:02:09.989 --> 01:02:13.469 that I mentioned they're sent by email. So that means 01:02:13.478 --> 01:02:17.019 TDU and REP Staff have to manually look at emails and 01:02:17.030 --> 01:02:18.969 then manually incorporate the information of those 01:02:18.978 --> 01:02:22.679 emails into their systems which could lead to delay 01:02:23.010 --> 01:02:26.938 into user error. Likewise, the uh communications between 01:02:26.949 --> 01:02:29.969 TDUs and REPs on these matters is also by email again 01:02:29.978 --> 01:02:35.789 you have delay and user error. Um So, you know, developing 01:02:35.800 --> 01:02:38.000 systems that could do a better handshake or otherwise 01:02:38.010 --> 01:02:41.168 incorporate this information would benefit Texas consumers 01:02:41.708 --> 01:02:45.889 uh and marketplace participants. Uh The workshop could 01:02:45.898 --> 01:02:49.159 also be followed by a rule making proceeding to address 01:02:49.168 --> 01:02:51.719 issues such as consistency between the rule and the 01:02:51.728 --> 01:02:56.139 statute and to consider a safe harbor provision. Uh 01:02:56.628 --> 01:03:00.728 The alliance for retail markets filed comments in the 01:03:00.739 --> 01:03:03.750 uh in the proceeding ending in 89. I apologize. I don't 01:03:03.760 --> 01:03:05.659 have that number right in front of me. But the other 01:03:05.668 --> 01:03:09.019 proceeding which they proposed a two hour safe harbor. 01:03:09.458 --> 01:03:12.898 Young Energy endorses that safe harbor concept. So 01:03:12.909 --> 01:03:16.148 two hours after the weather moratorium begins would 01:03:16.159 --> 01:03:19.769 be, uh you know, an opportunity for if we inadvertently 01:03:19.780 --> 01:03:22.289 set out a disconnection to correct that disconnection 01:03:22.300 --> 01:03:26.849 before then. Um, but we'd also note that if the systemic 01:03:26.860 --> 01:03:28.539 issues are addressed, you could have a shorter safe 01:03:28.550 --> 01:03:31.260 harbor. Because you wouldn't be sending out as many 01:03:31.269 --> 01:03:34.800 inadvertent disconnections. Uh thank you. Thank you. 01:03:35.489 --> 01:03:41.648 Uh, okay so as some housekeeping off of that. (item:3:David Smeltzer's response the Young Energy) I think 01:03:41.719 --> 01:03:44.250 and I think we discussed before and I knew that this 01:03:44.260 --> 01:03:46.228 was going to be an issue. It's a known issue that comes 01:03:46.239 --> 01:03:49.898 up. Um And so I think, you know, that is a short 01:03:49.909 --> 01:03:53.809 level of detail as far as like why the issue is important 01:03:53.820 --> 01:03:56.628 to you or your client that allows us to flag it. And 01:03:56.639 --> 01:03:59.599 I think just so that we know Staff is not going to 01:03:59.610 --> 01:04:03.579 be making any reactions or, you know, unless there's 01:04:03.590 --> 01:04:06.090 known interest by the Commissioners to do something. 01:04:06.099 --> 01:04:07.639 For the most part, I think this is going to be an 01:04:07.648 --> 01:04:10.829 exercise about receiving other priorities for consideration 01:04:11.250 --> 01:04:15.418 So, thank you. Thank you for coming. Um, and I guess 01:04:15.429 --> 01:04:18.958 I guess quickly in terms of assembling interest in 01:04:18.969 --> 01:04:21.978 stakeholders, are there other um by show hands. Are 01:04:21.989 --> 01:04:23.938 there other people in the room for which this is a 01:04:23.949 --> 01:04:25.159 uh an item of interest? 01:04:27.300 --> 01:04:33.300 Okay. So, so that's excellent. Uh one other um and, and 01:04:33.309 --> 01:04:35.079 if we want to talk a little bit more about whether 01:04:35.090 --> 01:04:37.289 or not there should be a party we can do. So one 01:04:37.300 --> 01:04:41.329 other bad on my part. I think that uh uh presently 01:04:41.340 --> 01:04:43.110 the way that I should have surfaced, uh the way that 01:04:43.119 --> 01:04:45.369 I should have prefaced this, this first phase of the 01:04:45.378 --> 01:04:49.188 the workshop and I did not was um are there any legislative 01:04:49.199 --> 01:04:51.989 implementation items from the 88th Session that we 01:04:52.000 --> 01:04:54.269 should have higher up on the to do list? And then a 01:04:54.280 --> 01:04:56.708 little bit later in the workshop, we'll have other 01:04:56.719 --> 01:04:58.860 non legislative priorities. And so this was, I did 01:04:58.869 --> 01:05:00.889 not clarify. So that's exactly the sort of feedback 01:05:00.898 --> 01:05:03.590 that we're going to want um at that at the appropriate 01:05:03.599 --> 01:05:06.708 time in this workshop. So no harm, no harm, no foul. 01:05:06.719 --> 01:05:11.199 Did anyone have any um uh comments on whether or not 01:05:11.208 --> 01:05:13.639 the suggestion that we just received is something that 01:05:13.648 --> 01:05:16.599 should be brought up in the near future. And, and, 01:05:16.610 --> 01:05:18.679 and the intention is not to get into the nitty gritty 01:05:18.688 --> 01:05:21.668 about what the right solution is here necessarily. 01:05:21.760 --> 01:05:24.878 But um whether or not it should be considered a priority 01:05:25.809 --> 01:05:28.340 I mean? (item:3:Carrie Collier Brown with Alliance for Retail Markets on Project 54844, disconnection rules) Carrie Collier Brown with Alliance for Retail 01:05:28.349 --> 01:05:36.148 Markets. And um we filed comments in Project 54844 with 01:05:36.159 --> 01:05:41.918 some suggestions um on how to improve the disconnection 01:05:41.929 --> 01:05:45.070 rules within that. Um And you know, we understand you 01:05:45.079 --> 01:05:48.849 guys have a lot on your plate um and implementation 01:05:48.860 --> 01:05:53.978 of um new legislation. But um you know, we think that 01:05:53.989 --> 01:05:57.648 uh you know, there's, there's a way to, to make that 01:05:57.659 --> 01:06:03.168 process better um for customers, REPs, TDUs. And that 01:06:03.179 --> 01:06:06.449 it could be done fairly easily even if it's just, um 01:06:06.458 --> 01:06:09.159 you know, jumping off the comments that we had proposed 01:06:09.168 --> 01:06:11.679 in that other rule making. Okay. Excellent. 01:06:13.269 --> 01:06:15.519 Do I have any, do I have any ones on this topic 01:06:16.849 --> 01:06:22.289 on the price or the, uh, moratorium or? Oh, the electric 01:06:22.300 --> 01:06:24.019 disconnection? Ok. Got you. 01:06:26.079 --> 01:06:30.750 (item:3:Ned Boskoski with Vistra in agreement with mortarium) Uh, Ned Boskoski with Vistra. Um, we're a member of 01:06:30.760 --> 01:06:35.099 ARM. So just as an, a housekeeping, uh, item. If I 01:06:35.110 --> 01:06:38.329 could say ditto or support Carrie. I don't wanna belabor the 01:06:38.340 --> 01:06:44.889 topic. Yeah. Ditto. We will do uh I will uh we 01:06:44.898 --> 01:06:47.840 can do uh, I'll, I'll do the polling of the room like 01:06:47.849 --> 01:06:50.869 I did before for you. Yeah, three can be ditto. A new protocol 01:06:50.878 --> 01:06:53.780 was born. The but the, but the Boskoski option is 01:06:53.789 --> 01:06:58.188 three for ditto. Okay. So uh on to the topic uh back 01:06:58.199 --> 01:07:01.269 to the other legislative items from the 88th that should 01:07:01.280 --> 01:07:05.869 be considered for, um, immediate treatment. Ok. Uh 01:07:05.878 --> 01:07:09.628 (item:3:Michelle Richmond with TX Competitive Power Advocates on reliability standard not reflected in list) Michelle Richmond, uh, Texas Competitive Power Advocates 01:07:09.639 --> 01:07:14.590 and representing the 14 member companies of TCPA. 01:07:14.780 --> 01:07:19.010 Um I don't know that it, I think it was probably unintentional 01:07:19.019 --> 01:07:22.829 but the reliability standard is not anywhere on here. 01:07:22.840 --> 01:07:26.239 And I know that that's in process, but that is a top 01:07:26.250 --> 01:07:30.688 priority. And we really view that as you know, everything 01:07:30.699 --> 01:07:33.250 else that you're implementing to a large extent is 01:07:33.260 --> 01:07:36.739 going to flow from that. So we need to know what we're 01:07:36.750 --> 01:07:40.030 actually solving for when we look at all of the other 01:07:40.039 --> 01:07:44.438 market design um standards that, that y'all are gonna 01:07:44.449 --> 01:07:49.228 be implementing. Um whether that's DRRS or you know 01:07:49.239 --> 01:07:53.688 the performance credit mechanism or, you know, really 01:07:53.699 --> 01:07:56.579 any other aspect of market design. And so we wanna 01:07:56.590 --> 01:07:59.909 make sure that, that that remains a top priority that 01:07:59.918 --> 01:08:04.449 that um is really kind of full speed ahead. Um But 01:08:04.458 --> 01:08:07.050 because we have some significant concerns that without 01:08:07.059 --> 01:08:10.989 a reliability standard that everybody knows and understands 01:08:11.000 --> 01:08:14.478 um it's gonna be very hard to determine some of these 01:08:14.489 --> 01:08:19.229 other aspects. Um And, and the implementation of those 01:08:19.239 --> 01:08:21.279 So yeah, I think that's, that's good feedback. (item:3:David Smeltzer's comments on reliability standard) And 01:08:21.289 --> 01:08:23.548 I would say that there, there are certain issues that 01:08:23.699 --> 01:08:29.750 um uh I said projects that were ongoing prior to the 01:08:29.759 --> 01:08:32.659 88th session unless you hear otherwise it's safe 01:08:32.668 --> 01:08:35.159 to assume that they, they're still ongoing and in particular 01:08:35.338 --> 01:08:39.310 the reliability standard and things related to the 01:08:39.319 --> 01:08:43.259 PUC generally. Um I sort of view those as even above 01:08:43.270 --> 01:08:45.810 my head. Because a lot of heavy Commissioner engagement 01:08:45.819 --> 01:08:49.810 on that. So I'm agree with you and I'm, I, I suspect 01:08:49.819 --> 01:08:52.600 that they view that as a top priority as well. Great 01:08:52.609 --> 01:08:56.079 (item:3:Michelle Richmond on PUC directives) And then, um we just wanna make sure that the, the 01:08:56.088 --> 01:09:01.498 component related to the PUC directives um is addressed 01:09:01.507 --> 01:09:04.738 really early on in, in this bout of rule making because 01:09:04.748 --> 01:09:07.979 again, that implement that implementation is gonna 01:09:07.988 --> 01:09:11.179 be critical to, you know, market participants being 01:09:11.188 --> 01:09:15.269 able to effectively engage um in the process and understand 01:09:15.278 --> 01:09:19.938 what the the rules are. And you know, with the opinion 01:09:19.948 --> 01:09:23.364 that says that protocols or rules subject to APA. 01:09:23.375 --> 01:09:25.884 We want to understand what the processes are there 01:09:25.895 --> 01:09:30.074 as well. Um And so, you know, those are, those are 01:09:30.083 --> 01:09:32.845 some of the, the things and then you've mentioned the 01:09:32.854 --> 01:09:35.914 the emergency pricing. And so we just very much support 01:09:35.923 --> 01:09:40.833 making sure that the things from the 2021 Session are 01:09:41.204 --> 01:09:45.923 at the very top to implement soon. Um Yeah, and, and 01:09:45.935 --> 01:09:49.149 on that note, I will, I will say that the uh any 01:09:49.159 --> 01:09:52.100 remaining items from the 87th session were not necessarily 01:09:52.109 --> 01:09:55.899 included on this list, but they have, they uh are still 01:09:55.909 --> 01:09:59.100 on our master lists and uh our items that we know that 01:09:59.109 --> 01:10:02.020 we need to. Yeah, I if, if I can just draw your 01:10:02.029 --> 01:10:04.439 attention. (item:3:Michelle Richmond on emergency pricing program) There's a component of the emergency pricing 01:10:04.449 --> 01:10:07.159 program that I think gets kind of forgotten. And that's 01:10:07.168 --> 01:10:12.208 the making sure that resource owners can, um, recoup 01:10:12.220 --> 01:10:17.628 their, uh, verifiable, um, operating costs. That, that's 01:10:17.640 --> 01:10:20.180 pretty important. And so you can make sure that, that 01:10:20.189 --> 01:10:22.680 that is included in what you do with the emergency 01:10:22.689 --> 01:10:26.449 pricing program. Agree. (item:3:Rama Rastogi with Commission Staff on 87th Session items) I think just to add to what 01:10:26.458 --> 01:10:30.869 Smeltzer just said that the items from the 87th legislature 01:10:30.878 --> 01:10:34.029 you would routinely now see on the rule making calendar 01:10:34.039 --> 01:10:37.319 and that would be the place where you should follow. 01:10:37.588 --> 01:10:39.529 It is still on our list and we're working through those 01:10:39.539 --> 01:10:42.600 lists. But, but I would say that when we get to the 01:10:42.609 --> 01:10:44.829 the, you know section, like if, if there's anything 01:10:44.838 --> 01:10:47.189 lingering that you're like, no, this is, we need it 01:10:47.199 --> 01:10:49.509 now. I want that to be a part of this discussion. That's 01:10:49.520 --> 01:10:53.909 all one other um message from message from the box. 01:10:53.918 --> 01:10:55.859 That I just got is as we're going through any items 01:10:55.869 --> 01:10:59.600 from the 88th session. Um We, we do not uh have all 01:10:59.609 --> 01:11:01.668 the bill numbers and content memorized. So to the extent 01:11:01.680 --> 01:11:04.949 that you can referring to them by uh by their bill 01:11:04.958 --> 01:11:08.359 number is helpful to us. It to facilitate this discussion 01:11:08.979 --> 01:11:12.619 If I could encourage everyone who's speaking to speak 01:11:12.628 --> 01:11:15.899 closer to the microphone. It's actually quite hard 01:11:15.909 --> 01:11:18.708 to hear people who are facing away from us. And I can 01:11:18.720 --> 01:11:23.220 only imagine what it's probably like the adminmonitor. 01:11:24.189 --> 01:11:25.399 Thank you, agreed. 01:11:27.619 --> 01:11:31.819 That, that's what I have. Continuing on with um some 01:11:31.829 --> 01:11:34.539 comments that Michelle had and going in line with what 01:11:34.548 --> 01:11:37.958 you have on your document for implementation along 01:11:37.970 --> 01:11:42.319 with HB1500, Section 17 for ERCOT directives. Um it may 01:11:42.329 --> 01:11:45.239 be good to consider also in that project implementation 01:11:45.250 --> 01:11:49.088 of HB 1500, Section 15, which was the change to the 01:11:49.100 --> 01:11:51.720 statute that talked about how protocols are not effective 01:11:51.729 --> 01:11:54.345 until they're approved the Commission. And so then 01:11:54.354 --> 01:11:56.884 that brings into the question, well, what is an approval 01:11:56.895 --> 01:11:59.673 Is it a case? Is it a rule making? And that becomes 01:11:59.685 --> 01:12:02.125 particularly important because of the third court's 01:12:02.134 --> 01:12:05.265 opinion and the RWE case, which found that many of 01:12:05.274 --> 01:12:07.395 the protocols can actually be ruled subject to the 01:12:07.583 --> 01:12:11.289 APA. And the answers from that rule making. If you do 01:12:11.298 --> 01:12:14.109 that sooner rather than later will help inform all 01:12:14.119 --> 01:12:16.180 of the direction the Commission may feel like they 01:12:16.189 --> 01:12:18.779 need to provide ERCOT in the implementation of the 01:12:18.789 --> 01:12:21.439 reliability standard as well as in the PCM. Which 01:12:21.449 --> 01:12:23.659 thanks for clarifying that those are priorities. Um 01:12:23.668 --> 01:12:26.029 Even though we don't see them specifically listed. 01:12:26.588 --> 01:12:33.489 Um And then the last thing that we would add is from 01:12:33.500 --> 01:12:36.350 legislation, but at the same time may not necessarily 01:12:36.359 --> 01:12:39.659 require rule making at least part of it. So in Senate 01:12:39.668 --> 01:12:44.079 Bill 1699 the latter half of the bill talks about 01:12:44.088 --> 01:12:47.609 the residential demand response schools in and also 01:12:47.619 --> 01:12:52.229 talks about rep demand response programs being eligible 01:12:52.239 --> 01:12:54.890 for receiving funding through TDU energy efficiency 01:12:54.899 --> 01:12:58.390 programs. If it's possible that the latter part of 01:12:58.399 --> 01:13:01.338 that, the funding through the EE programs is something 01:13:01.390 --> 01:13:04.970 that can be done either in the energy efficiency, implementation 01:13:04.979 --> 01:13:08.680 planning process or in another forum that wouldn't 01:13:08.689 --> 01:13:11.479 necessarily require rule making, then that would be 01:13:11.489 --> 01:13:14.180 helpful and might also alleviate some of the burden 01:13:14.189 --> 01:13:16.909 that you all as the Commission have in terms of rule 01:13:16.918 --> 01:13:21.600 making. So I will, I will flag that as a concrete proposal 01:13:21.609 --> 01:13:23.689 for something that doesn't need a rule making. Is there 01:13:23.699 --> 01:13:25.579 anyone else who would like to address the topic of 01:13:25.588 --> 01:13:29.838 whether or not uh the TDU program can be implemented? 01:13:29.850 --> 01:13:32.069 not through rulemaking or through the E IP process 01:13:32.319 --> 01:13:35.208 Well, I was just gonna raise 1699 as something for 01:13:35.220 --> 01:13:38.689 you guys to add in your maybe in the first priority 01:13:38.699 --> 01:13:42.168 both because it implements some of the virtual power 01:13:42.180 --> 01:13:45.399 plans and um the pilot program that you have ongoing. 01:13:45.409 --> 01:13:51.548 There are some specific statutory changes there, most 01:13:51.560 --> 01:13:53.640 of which I don't think will require rule making. They're 01:13:53.649 --> 01:13:57.140 really just clarifying, for example, that REPs don't 01:13:57.149 --> 01:13:59.640 have to register as power generation companies if they're 01:13:59.649 --> 01:14:05.149 involved in DER or pilot projects. But there may be 01:14:05.159 --> 01:14:08.859 some other aspects that might need rule making. But 01:14:08.869 --> 01:14:11.949 then there is another aspect of that bill involving 01:14:12.100 --> 01:14:17.229 both setting some goals for residential, DR uh And 01:14:17.239 --> 01:14:22.378 as, as um Christina said, um I get people's names all 01:14:22.390 --> 01:14:24.890 wrong all the time. Um I think I got your name right 01:14:24.899 --> 01:14:31.668 which is good for me. Um as you said, um also allows 01:14:31.689 --> 01:14:34.680 money from the energy efficiency programs of utilities 01:14:34.689 --> 01:14:38.439 to be used for REP programs, um you know, kind of a 01:14:38.449 --> 01:14:44.649 directive or, and given that those, that the companies 01:14:44.659 --> 01:14:47.479 that run those programs that's being discussed right 01:14:47.489 --> 01:14:51.850 now through the ECRFs for 2024. And this has a deadline 01:14:51.859 --> 01:14:55.819 of kind of 2024. So it's, I don't know if it requires 01:14:55.829 --> 01:14:57.939 rule making or not. I'm not really a patenting on this 01:14:57.949 --> 01:15:00.189 but we at least need a project opened on it to have 01:15:00.199 --> 01:15:03.588 those discussions. And then generally, as you know 01:15:03.600 --> 01:15:07.079 and I raised this before the Commission has said they 01:15:07.088 --> 01:15:10.329 want to look at the energy efficiency programs in general 01:15:10.439 --> 01:15:12.680 There was a series of stakeholder meetings through 01:15:12.689 --> 01:15:16.208 the EIP. There's some sense that that will lead to 01:15:16.220 --> 01:15:19.009 rule making. I don't know the timing of that, but all 01:15:19.020 --> 01:15:23.088 these things are related to each other. So to the extent 01:15:23.100 --> 01:15:26.628 we want to open up a project or end our rule making 01:15:26.829 --> 01:15:29.520 on the energy efficiency programs and specifically 01:15:29.529 --> 01:15:32.779 on residential DR. I think that would be a good thing. 01:15:32.789 --> 01:15:35.699 And I would argue it's, it's a, it should be, it's 01:15:35.708 --> 01:15:37.798 a priority for me. I think it should be a priority 01:15:37.810 --> 01:15:41.479 for you. So now is the time to make those arguments 01:15:41.489 --> 01:15:44.989 So I'm making the argument prioritize that I again 01:15:45.000 --> 01:15:48.520 I can't, I don't know whether all aspects of that need 01:15:48.529 --> 01:15:53.220 rule making or more discussions but um we can cross 01:15:53.229 --> 01:15:56.520 that bridge when we get there. Yes. So the thought 01:15:56.529 --> 01:16:01.140 about the um DR program TDU Energy efficiency funding 01:16:01.149 --> 01:16:03.685 connection, possibly being done without rule making 01:16:03.694 --> 01:16:06.494 project is that it could expedite at least that part 01:16:06.654 --> 01:16:10.805 of the statute and where you would set up programs 01:16:10.814 --> 01:16:12.935 that would be able to help facilitate meeting the goals 01:16:12.944 --> 01:16:15.173 And so the goals themselves will probably be a rule 01:16:15.185 --> 01:16:18.125 making project. But given the laundry list of things 01:16:18.134 --> 01:16:19.875 that you all have to do, we understand as time and 01:16:19.884 --> 01:16:22.694 resources permit, we do think it is an important thing 01:16:22.704 --> 01:16:25.444 to add, but we just don't know where in the, in the 01:16:25.454 --> 01:16:27.234 list of things that you have that you'll be able to 01:16:27.244 --> 01:16:31.180 add it. Ok. So I'm gonna say that there are, there 01:16:31.189 --> 01:16:34.199 are currently at least two, two discussion points on the 01:16:34.208 --> 01:16:37.390 topic and one is whether or not um the residential 01:16:37.399 --> 01:16:40.539 programs can be done without uh without a rulemaking 01:16:40.548 --> 01:16:42.949 The second is uh the contention. This, this should 01:16:42.958 --> 01:16:46.479 be a priority. So uh one's on either of those topics 01:16:47.220 --> 01:16:49.750 (item:3.3:Ned Boskoski with Vistra on SB1699) Ned Boskoski with Vistra. I'm trying to speak close to 01:16:49.759 --> 01:16:53.569 the mic. Um Let's keep me honest if this is too, too 01:16:53.579 --> 01:16:58.750 quiet. Um So first off, I, I agree largely with uh 01:16:58.759 --> 01:17:02.369 with how Christina framed it, there are provisions 01:17:02.378 --> 01:17:05.989 in SB1699 that can possibly be implemented more quickly 01:17:06.000 --> 01:17:08.310 And Cyrus, I think you, you correctly noted that the 01:17:08.319 --> 01:17:12.310 ADER pilot does not, does not necessarily need a 01:17:12.319 --> 01:17:14.918 rule change in order to continue to move forward. But 01:17:14.930 --> 01:17:17.100 those changes were really clarifications that were 01:17:17.109 --> 01:17:20.930 aligned with it. So again, agree with Christina 01:17:20.939 --> 01:17:24.539 that the Commission can prioritize that as, as resources 01:17:24.548 --> 01:17:27.560 allow. Although there's certainly interest in, in getting 01:17:27.869 --> 01:17:33.000 uh some clarity along those lines. Um And then just 01:17:33.009 --> 01:17:36.560 so I can, you know, kind of finish my piece and probably 01:17:36.569 --> 01:17:39.939 back up and, and yield the floor. (item:3:Ned Bosonski with Vistra on Project 55156) Um I did wanna highlight 01:17:40.310 --> 01:17:44.449 um you know, Vistra did file comments in project 55146 01:17:44.458 --> 01:17:50.479 or sorry 156, 55156. Thank you. Uh We filed those 01:17:50.489 --> 01:17:52.979 yesterday. Um So those are there for your review and 01:17:52.989 --> 01:17:55.069 I think the comments are generally consistent with 01:17:55.079 --> 01:17:58.798 y'all have laid out. Um You know, we, we highlight 01:17:58.810 --> 01:18:01.899 the need to, as Michelle mentioned, uh clear out some 01:18:01.909 --> 01:18:04.739 of those issues from the 87th legislation, legislative 01:18:04.750 --> 01:18:08.729 session, including the emergency pricing program, the 01:18:08.739 --> 01:18:12.859 um you know, to the extent that the um the reliability 01:18:12.869 --> 01:18:15.708 standard is ongoing, we support that uh that effort 01:18:15.720 --> 01:18:18.409 uh the PCM effort and getting clarity on the implementation 01:18:18.418 --> 01:18:21.770 plan for that we support um as well as the bridge solution 01:18:21.779 --> 01:18:24.020 which I know the Commission has already asked ERCOT 01:18:24.079 --> 01:18:26.680 to uh provide a recommendation for and is sitting before 01:18:26.689 --> 01:18:29.720 them. So, um we support all of those activities and 01:18:29.729 --> 01:18:31.600 then I, I really appreciate it that you highlighted 01:18:31.609 --> 01:18:36.310 at the outset David, um the RPS wind down and there 01:18:36.319 --> 01:18:39.439 were a few decision points on that, that, that we tried 01:18:39.449 --> 01:18:42.909 to at least highlight in our comments, um including 01:18:43.000 --> 01:18:45.640 you know, how do you deal with a solar only RPS that 01:18:45.649 --> 01:18:48.259 applies to the entire RPS goal? And is that, you know 01:18:48.270 --> 01:18:51.239 all 2023 is it only part of 2023? How do you step 01:18:51.250 --> 01:18:53.869 that down? And what do you do with compliance premiums 01:18:53.878 --> 01:18:56.949 which are really a deferral of an RPS obligation and 01:18:56.958 --> 01:19:00.680 make sure that that winds down um appropriately within 01:19:00.689 --> 01:19:03.890 the time frame. Um And then the, you already noted 01:19:03.899 --> 01:19:06.359 the 180 day timeline on the uh transmission 01:19:06.369 --> 01:19:09.720 interconnection cost allocation. So I will pause there 01:19:09.729 --> 01:19:13.500 and say thank you are now going to all look side eyes 01:19:13.509 --> 01:19:17.418 at Ned a little bit for expanding beyond the 1699 01:19:17.430 --> 01:19:19.039 discussion point that was currently on the table. I 01:19:19.109 --> 01:19:22.579 was trying to it up. No, no, those were all previously 01:19:22.588 --> 01:19:25.168 mentioned items. So we'll consider them fair as there 01:19:25.180 --> 01:19:28.369 are other folks on the 1699 discussion. And David just 01:19:28.378 --> 01:19:32.060 shortly um Rashma on behalf of the team. Um We just kind 01:19:32.069 --> 01:19:37.279 of want to say that we also agree with and I 01:19:37.289 --> 01:19:41.180 missed the other person names comments. Um uh regarding 01:19:41.189 --> 01:19:43.759 involvement in these programs, making them priority 01:19:43.770 --> 01:19:47.449 and also um that they can be done outside the rule 01:19:47.458 --> 01:19:49.009 making process. 01:19:51.159 --> 01:19:54.989 ARMs in agreement with all of that. Three from ARM. 01:19:58.199 --> 01:20:03.009 Ditto. Anyone else on this on the 1699 or related discussions? 01:20:04.489 --> 01:20:07.720 But you're clear that part of it is gonna need rulemaking 01:20:07.729 --> 01:20:09.180 Right. The 1699. 01:20:11.180 --> 01:20:14.770 Right. Oh, right. Yeah. Yeah, I, I, yeah, as I said 01:20:14.779 --> 01:20:18.119 before, I'm, uh, trying to be on the record is on a 01:20:18.128 --> 01:20:20.140 few things that I don't feel confident about in my 01:20:20.149 --> 01:20:22.899 head right now. But, uh that is, yeah, that's probably 01:20:22.909 --> 01:20:28.520 right. Um I believe Taylor is next. Um I actually wanted 01:20:28.529 --> 01:20:31.208 to get back to one of Christina's first points on uh 01:20:31.378 --> 01:20:33.369 ERCOT directives and thank you for bringing that up 01:20:33.378 --> 01:20:36.720 and that uh that will probably need to be more than 01:20:36.729 --> 01:20:40.319 just ERCOT directives. It'll be helpful to have more 01:20:40.329 --> 01:20:43.569 of a feel for what the protocol uh approval process 01:20:43.579 --> 01:20:49.649 works like. Um (item:3:ERCOT Board changes) Adding to that again, uh I did note 01:20:49.659 --> 01:20:52.759 that uh the ERCOT Board has changed dramatically in 01:20:52.770 --> 01:20:55.708 the past few years uh with Senate Bill 2 in particular. 01:20:55.878 --> 01:20:59.029 uh the PUCs rules have not kept up with that 01:20:59.039 --> 01:21:02.909 Uh particularly 25362 still refers to unaffiliated 01:21:02.918 --> 01:21:07.449 affiliated directors. And so fixing that as a matter 01:21:07.458 --> 01:21:10.989 of carryover from the 87th would be helpful, uh particularly 01:21:11.000 --> 01:21:14.418 that's important given now that ERCOT has, is entitled 01:21:14.430 --> 01:21:18.609 to sovereign immunity. Um The Texas Supreme Court based 01:21:18.619 --> 01:21:22.489 that on uh the P ECs complete authority over ERCOT 01:21:23.159 --> 01:21:27.649 and if the PUCs rules don't apply to the way ERCOT 01:21:27.659 --> 01:21:30.079 is structured. Now, we'd be curious as to whether or 01:21:30.088 --> 01:21:32.109 not there's a disconnect there. And so we'd advocate 01:21:32.119 --> 01:21:35.569 that that also be expanded to include a revision of 01:21:35.579 --> 01:21:40.439 kind of the way the way uh PUC oversees a generally 01:21:40.449 --> 01:21:43.449 the ERCOT Board particularly. Excellent and we're gonna give 01:21:43.878 --> 01:21:46.579 extra points for both the specific bill number and 01:21:46.588 --> 01:21:49.989 a specific rule number. So uh well done TPPA and yeah 01:21:50.000 --> 01:21:54.609 I think that, that, that cluster of questions are questions 01:21:54.619 --> 01:21:57.810 that we need to start addressing now that we have more 01:21:57.819 --> 01:21:59.949 specific guidance from the legislature. And I think 01:21:59.958 --> 01:22:02.168 that I don't have it off hand, but the current project 01:22:02.180 --> 01:22:05.689 that is labeled a governance and related issues or 01:22:05.699 --> 01:22:08.529 whatever that's been on the, the pending list on the 01:22:08.539 --> 01:22:11.140 rule making calendar is where, where all that is presently 01:22:11.149 --> 01:22:14.729 intended to be housed. Um But uh that's a, that's a 01:22:14.739 --> 01:22:15.289 good catch. 01:22:17.189 --> 01:22:19.039 Is there anyone else who wants to speak on the topic 01:22:19.048 --> 01:22:22.458 of ERCOT directives or other related ERCOT governance 01:22:22.470 --> 01:22:23.069 items? 01:22:24.619 --> 01:22:27.869 Well, the, the only thing I'd add is on um section 01:22:27.878 --> 01:22:31.270 22 the dispatch, reliability reserve services, obviously 01:22:31.279 --> 01:22:34.949 you know, you have been given a very specific directive 01:22:34.958 --> 01:22:39.989 on timing on that and I know has already come forward 01:22:40.000 --> 01:22:43.329 with a couple different options. Um And, you know, 01:22:43.338 --> 01:22:47.600 we're obviously supportive of that moving forward but 01:22:47.609 --> 01:22:51.369 still opening up a project and making sure it's clear 01:22:51.378 --> 01:22:54.259 what the procedure is. And how that's implemented. 01:22:54.270 --> 01:22:56.609 It is going to be important vis a vis the protocols 01:22:56.619 --> 01:23:00.029 et cetera. So just having clarity on that, I think 01:23:00.039 --> 01:23:01.399 will be important going forward. 01:23:06.779 --> 01:23:10.390 (item:3.7:Shana Joyce with TXOGA on ERCOT directive) This is Shana Joyce with TXOGA. And um once again, I 01:23:10.399 --> 01:23:14.439 agree with Cyrus on that. Um I think that opening up 01:23:14.449 --> 01:23:18.060 the um ERCOT directive is important before we began a lot of these 01:23:18.069 --> 01:23:20.298 other rule makings and it's especially important for 01:23:20.310 --> 01:23:22.359 DRS, which is important to our members. 01:23:24.579 --> 01:23:25.588 And so I, I 01:23:28.039 --> 01:23:31.100 granted, I, I'm trying to decide what is pro commentary 01:23:31.109 --> 01:23:34.729 not because I think it is, it, it. (item:3.7:David Smeltzer on ERCOT directive) It may be unlikely 01:23:34.739 --> 01:23:37.779 that we get through an entire ERCOT directive rule making 01:23:37.789 --> 01:23:41.439 prior to the need to start taking action on DRS. But 01:23:41.449 --> 01:23:45.119 I, I take the comments to be that there is a significant 01:23:45.128 --> 01:23:48.088 interest in how people can participate and contribute 01:23:48.100 --> 01:23:51.529 to the outcomes in the DRS rule making. And so I that 01:23:51.539 --> 01:23:55.529 can be flagged as a issue for consideration by the 01:23:55.539 --> 01:23:59.609 Commissioners. Uh So thank you for your, in our comments 01:23:59.619 --> 01:24:03.029 We noted that um if there is a need to do something 01:24:03.039 --> 01:24:06.079 in the interim with DRS, because they can't under that 01:24:06.088 --> 01:24:09.689 time frame, do a full scale that doesn't prevent them 01:24:09.699 --> 01:24:12.149 from moving forward in the future or making changes 01:24:12.159 --> 01:24:15.770 so you could implement something sooner, but then also 01:24:15.779 --> 01:24:18.470 look at any other changes that were needed in the future 01:24:18.479 --> 01:24:23.770 So we have indeed uh proven a willingness to, to phase 01:24:25.079 --> 01:24:27.168 no commitment on this one, but I understood it. 01:24:29.359 --> 01:24:33.369 ERCOT governance, ERCOT directive related comments? 01:24:34.470 --> 01:24:37.970 Uh Taylor TPPA, again, I just wanted to flag we had 01:24:37.979 --> 01:24:41.229 that conversation earlier with Michelle about carryover 01:24:41.239 --> 01:24:45.060 things from previous years. Uh real time marketization is not mentioned 01:24:45.069 --> 01:24:49.939 in here. That is obviously a prerequisite for PCM implementation 01:24:50.229 --> 01:24:52.159 And so we would hope that that would also be considered 01:24:52.168 --> 01:24:55.739 a priority even though it's already been uh approved 01:24:55.750 --> 01:24:59.489 by the Commission several years ago. Is that something 01:24:59.949 --> 01:25:03.720 (item:3.7:David Smeltzer on TPPA's comments on rulemaking) I'm pulling up the thinking out loud. I know it's dangerous 01:25:04.168 --> 01:25:07.659 It is, as I said in prior prior workshops, uh we're 01:25:07.668 --> 01:25:09.659 not all like West Wing members, so we don't have the 01:25:09.668 --> 01:25:12.279 full roll of everything right away. Is that something 01:25:12.289 --> 01:25:15.149 where TPPA is recommending that we need rule making action 01:25:15.159 --> 01:25:17.079 in order to proceed on or no? Yes, it is for sure 01:25:17.088 --> 01:25:21.869 Right. It is. Uh I have not reviewed 503, 25503 recently. 01:25:21.878 --> 01:25:24.930 To see what that would require uh the general kind 01:25:24.939 --> 01:25:28.640 of follow what ERCOT needs you to do. Uh Chances are 01:25:28.649 --> 01:25:31.989 probably be accomplished just at ERCOT. But while we're 01:25:32.000 --> 01:25:35.560 talking about DRRS and maybe we need to do rules at 01:25:35.569 --> 01:25:36.189 both. 01:25:37.819 --> 01:25:40.970 I hesitate to say the word agency. Uh both PUC and 01:25:41.279 --> 01:25:44.180 ERCOT, uh RTC might require some of the similar actions. 01:25:44.659 --> 01:25:46.699 And I saw some various nodding in different directions 01:25:46.708 --> 01:25:49.069 So we'll just, if there are real time co optimization 01:25:49.079 --> 01:25:54.009 related uh implementation comments. Uh there is an open 01:25:54.020 --> 01:25:56.949 PUC rule making project for real time co optimization. 01:25:57.270 --> 01:25:59.909 Um I think that was pending, you know, getting closer 01:25:59.918 --> 01:26:02.979 to the go live of the gray box language that the ERCOT 01:26:02.989 --> 01:26:06.270 board has already approved. And I know is reinitiating 01:26:06.279 --> 01:26:09.659 their uh real time optimization implementation plan 01:26:09.668 --> 01:26:12.708 So that would probably be something I suspect would 01:26:12.720 --> 01:26:14.949 be closer to, to go live where you would want to have 01:26:14.958 --> 01:26:17.390 those line up. Absolutely. 01:26:19.859 --> 01:26:23.779 Um One other thought and this is again, at the risk 01:26:23.789 --> 01:26:26.000 of, of thinking on the fly and, and in, in front of 01:26:26.009 --> 01:26:28.909 a camera and a live studio audience. Um if you just 01:26:28.918 --> 01:26:33.168 say off the record, then, well, you know, from a directive 01:26:33.180 --> 01:26:35.720 standpoint, the Commission may want to consider directives 01:26:35.729 --> 01:26:38.569 that the legislature has directed the commission to 01:26:38.579 --> 01:26:42.699 give to ERCOT versus directives that uh that, you know 01:26:42.708 --> 01:26:44.789 the Commission gives independently to ERCOT, there 01:26:44.798 --> 01:26:47.208 may be some distinction there to, to think through 01:26:47.220 --> 01:26:48.949 I don't have a formal recommendation but, 01:26:50.668 --> 01:26:53.640 and I uh the, the powers that be, have said that in 01:26:53.649 --> 01:26:55.829 in, in most cases, folks have been good about identifying 01:26:55.838 --> 01:26:57.989 the organization, but in a few cases that hasn't been 01:26:58.000 --> 01:27:01.009 the case. So if you, for the first time when you come 01:27:01.020 --> 01:27:04.500 to the mic, uh make sure that you remind us of uh 01:27:04.509 --> 01:27:06.569 who you're with. If you're, if you're representing 01:27:06.579 --> 01:27:11.128 anyone, I believe the open topics now are ERCOT directives 01:27:11.189 --> 01:27:15.029 ERCOT governance, DRS and real time co-optimization. Uh 01:27:15.039 --> 01:27:18.100 keep this tightly organized. Are there any uh comments 01:27:18.109 --> 01:27:23.048 on any of these. (item:3.9:ARM's comments on changes in ancillary services) Um on the DRRS um which is House 01:27:23.060 --> 01:27:27.588 Bill 1500, Section 40 for ARM's from ours perspective 01:27:27.600 --> 01:27:30.088 I think the main thing that we want to highlight there 01:27:30.100 --> 01:27:35.520 is that any changes in Ancillary service um uh services 01:27:35.529 --> 01:27:39.489 drive increased costs for REPs. And that our hope is 01:27:39.500 --> 01:27:43.199 that the, the PUC would recognize that under the customer 01:27:43.208 --> 01:27:46.600 protection role, which is 25.475B 5. That was 01:27:46.609 --> 01:27:49.189 amended a couple of years ago. So I just wanted to 01:27:49.199 --> 01:27:52.359 mention that part in the conversation of DRRS changes 01:27:52.970 --> 01:27:54.128 Yeah. And I, I think that are 01:27:57.069 --> 01:28:00.048 again, thing I fly from, from what I recall that 01:28:00.060 --> 01:28:02.918 (item:3.9:David Smeltzer response to ARM) I think it was always the, it appeared to be if I 01:28:02.930 --> 01:28:05.479 remember the Commission's intention was that when a 01:28:05.489 --> 01:28:08.060 REP thinks or when the REP community thinks that, that 01:28:08.069 --> 01:28:11.539 standard is met, such that it justifies the adjustment 01:28:11.548 --> 01:28:16.850 of fixed rate tax contracts that the onus would be 01:28:16.859 --> 01:28:19.020 on you guys in that project to come tell us. And so 01:28:19.029 --> 01:28:23.708 we will um we will consider that but uh uh in the 01:28:23.720 --> 01:28:25.859 course of that rule making is that I don't know if 01:28:25.869 --> 01:28:28.009 it would be in the course of the rule making or afterwards. 01:28:28.020 --> 01:28:32.378 But um uh I encourage you to be diligent in your contacts 01:28:32.390 --> 01:28:35.779 with us on that to the extent it is a priority. But 01:28:35.789 --> 01:28:37.168 I understand what you're saying? Thank you. 01:28:44.350 --> 01:28:47.369 I was waiting for like a specific tee up above something 01:28:47.378 --> 01:28:50.759 that got mentioned, but it wasn't in your official 01:28:50.770 --> 01:28:53.560 teeing up. So let me know when I can 01:28:55.180 --> 01:28:58.560 address their contracts. That's right. Uh I dodged 01:28:58.588 --> 01:29:01.029 you there. Um, well, you're the only one that do you 01:29:01.039 --> 01:29:03.689 have anything on the current topics? Um yeah, so something 01:29:03.699 --> 01:29:08.399 that was mentioned. (item:3:ARM's thoughts on RPS) Was the, um, clarification on, uh 01:29:08.409 --> 01:29:12.779 the RPS, which is um House Bill 1500, Section 53. I 01:29:12.789 --> 01:29:16.720 think. Um I just want to say that we, we think that 01:29:16.729 --> 01:29:22.520 the clarification of the um compliance for this year 01:29:22.529 --> 01:29:24.970 can be done without a rule making. And then of course 01:29:24.979 --> 01:29:28.279 you know, a rule making for the, the rest of it um 01:29:28.289 --> 01:29:31.329 can be done. But we, we're, we're working on that um 01:29:31.338 --> 01:29:34.750 with y'all and, and um hope to have some consensus 01:29:36.119 --> 01:29:39.250 Excellent. Thanks. And I, I hope that that's true because 01:29:39.259 --> 01:29:42.279 we certainly can't get it all done that quickly. Um 01:29:42.949 --> 01:29:44.798 Is anyone on any of the current topics? 01:29:46.458 --> 01:29:49.720 All right. So just as a reminder that aside from the 01:29:49.958 --> 01:29:52.270 four topics, I just listed the global discussion right 01:29:52.279 --> 01:29:55.680 now. (item:3:David Smeltzer confirming if any other bills from 88th Session be added to list) Is on whether or not there are any bills from the 01:29:55.689 --> 01:30:00.199 88th Session that merit immediate or urgent attention 01:30:00.208 --> 01:30:03.509 and the Staff's recommendation to the Commissioners 01:30:03.520 --> 01:30:06.259 on how they should prioritize projects. Um 01:30:08.259 --> 01:30:12.520 I see the floor is cleared. So I'm going to presume 01:30:12.529 --> 01:30:15.909 that anyone who has anyone in the room today who has 01:30:15.918 --> 01:30:18.418 priorities from the 88th that they would like to advocate 01:30:18.430 --> 01:30:19.859 for has done so 01:30:21.458 --> 01:30:22.189 excellent. 01:30:32.539 --> 01:30:38.470 Uh And so the next prompt on the memo is, uh, does 01:30:38.479 --> 01:30:41.479 anyone else have any recommendations on things that 01:30:41.489 --> 01:30:43.949 have been, you know, you know, we aired on the side 01:30:43.958 --> 01:30:47.020 of including things on the list, um rather, rather 01:30:47.029 --> 01:30:51.239 than not, but if anyone has any um advocacies or anything 01:30:51.250 --> 01:30:53.979 they'd like to recommend right now that they think 01:30:53.989 --> 01:30:58.539 is on the lists that do not require rule making or 01:30:58.548 --> 01:31:02.569 can maybe be done. Um Either the statute provides sufficient 01:31:02.579 --> 01:31:05.668 direction to go off of for the time being or can be 01:31:05.680 --> 01:31:08.449 done through our co directive or some other means. 01:31:08.560 --> 01:31:11.390 If there are any recommendations of that time of that 01:31:11.399 --> 01:31:16.449 type, uh now would be a good time to come for it 01:31:18.708 --> 01:31:21.810 This is the David can do less work category. So gold 01:31:21.819 --> 01:31:25.859 stars for any um recommendations in this area, Taylor 01:31:25.869 --> 01:31:29.390 I think you may be one. (item:3:TPPA on Senate Bill 1093) Yes, sir. So uh Senate Bill 1093 01:31:29.399 --> 01:31:34.390 is the one that requires uh MOUs, Co-ops and uh 01:31:34.539 --> 01:31:36.680 the investor-owned to provide maps to the Commission 01:31:36.689 --> 01:31:40.619 by September, by September. Um I think y'all are progressing 01:31:40.628 --> 01:31:43.838 on the right way to not require rule making for that 01:31:43.850 --> 01:31:46.109 deadline. Um I understand y'all are working on some 01:31:46.119 --> 01:31:49.079 guidance material to let us know who to submit to. 01:31:49.208 --> 01:31:52.739 Thank you. That's great. Uh The second thing that that 01:31:52.750 --> 01:31:58.279 bill does is allow again MOUs, Co-ops and investor 01:31:58.289 --> 01:32:01.439 and utilities access to their portion of the map on 01:32:01.449 --> 01:32:05.720 request. Um Any sort of guidance that you could provide 01:32:05.729 --> 01:32:08.378 on how we make that request is that request to you 01:32:08.390 --> 01:32:11.350 Is that request to uh would be really helpful. And 01:32:11.359 --> 01:32:14.819 that's obviously not a rule making. That is a uh memo 01:32:14.829 --> 01:32:16.958 probably I don't think I should be texting them kid 01:32:16.970 --> 01:32:21.338 about it. And so uh help, there would be great. The 01:32:21.350 --> 01:32:25.039 uh I'm gonna wait to see if there wants to peer pressure 01:32:25.048 --> 01:32:26.259 and if she doesn't, I will. 01:32:31.500 --> 01:32:34.579 As Liz's primary role at this workshop is volume control, 01:32:34.588 --> 01:32:36.208 we will give Therese priority on. 01:32:37.798 --> 01:32:41.838 (item:3:Therese Harris with PUC on SB1093)All right there, Therese Harris PUC. So thank you Taylor for 01:32:41.850 --> 01:32:44.949 that question. We actually have already gotten a request 01:32:44.958 --> 01:32:47.909 from one of the utilities and it as simple as that. 01:32:47.918 --> 01:32:53.109 So SB1093 lines out what needs to happen before the 01:32:53.119 --> 01:32:56.509 request is made. And that would be, you know, submission 01:32:56.520 --> 01:33:00.909 of your service area boundary map. After that, you 01:33:00.918 --> 01:33:04.890 can contact the infrastructure division and we can 01:33:04.899 --> 01:33:08.689 work with you to develop that map. So it would be a 01:33:08.699 --> 01:33:12.039 map. It would be just your service area boundary and 01:33:12.048 --> 01:33:15.548 it would have only the facilities that are in your 01:33:15.560 --> 01:33:18.659 service area boundary that are critical natural gas 01:33:18.668 --> 01:33:22.520 facilities and we have that done and ready. What we're 01:33:22.529 --> 01:33:27.689 waiting on is to get the MOU and the, the MOU signed 01:33:27.699 --> 01:33:32.020 between the Railroad Commission and ERCOT. And that is forthcoming 01:33:32.029 --> 01:33:35.609 I think that's going to happen relatively soon and 01:33:35.619 --> 01:33:39.409 as soon as that happens, you're good to go. And so 01:33:39.418 --> 01:33:42.418 that request and I swear, I said preplanned. Uh does 01:33:42.430 --> 01:33:45.088 that go to just infrastructure@puc.texas. 01:33:45.100 --> 01:33:49.378 gov or? Well, so we are, we are opening a project and 01:33:49.390 --> 01:33:52.600 that will probably be filed on Friday. You know, it 01:33:52.609 --> 01:33:56.088 will have a letter explaining how to submit your electric 01:33:56.100 --> 01:34:00.189 service area boundary map. We will follow that opening 01:34:00.199 --> 01:34:04.220 of a control number with a letter out to the entities 01:34:04.270 --> 01:34:07.229 so that they get double notice. Um I think another 01:34:07.239 --> 01:34:10.579 thing that we plan to do is also to reach out to 01:34:10.588 --> 01:34:14.989 you and reach out to um the individual in charge of 01:34:15.000 --> 01:34:18.939 the Texas Electric Cooperatives. And they can also 01:34:18.949 --> 01:34:22.060 and you can also, you know, disseminate as you would 01:34:22.069 --> 01:34:24.159 like. Thank you. I know I've been a pain about this 01:34:24.168 --> 01:34:25.930 but I really do. No, you know, you're not, you're not 01:34:26.060 --> 01:34:28.149 a pain. I've been a pain. 01:34:31.079 --> 01:34:36.199 So we are dealing with other state agencies. So, no 01:34:36.378 --> 01:34:40.189 hang on. Everyone knows what needs to happen and we're 01:34:40.199 --> 01:34:44.250 gonna make it happen and we already have one map completed 01:34:44.259 --> 01:34:48.500 ready to go as soon as the um MOU assigned. Thank you. 01:34:48.729 --> 01:34:50.628 (item:3:Liz Jones with Oncor on NDAs) And that was the only thing I was gonna add and, and 01:34:50.640 --> 01:34:52.810 I think it's actually a nondisclosure agreement but 01:34:52.819 --> 01:34:54.890 whatever we're calling it, um 01:34:56.689 --> 01:34:59.298 the Railroad Commission and ERCOT have not agreed on 01:34:59.310 --> 01:35:02.520 the language and I'm not sure what the Railroad Commission 01:35:02.529 --> 01:35:06.100 concerns are, but given that we all have an existing 01:35:06.109 --> 01:35:09.418 NDA with ERCOT. I'm at an utter loss as to the 01:35:09.430 --> 01:35:13.208 delay. But Therese, are you the right person to come 01:35:13.220 --> 01:35:17.579 back to you and ask for an escalation? Because, you 01:35:17.588 --> 01:35:22.470 know, we need this information and I think we're entitled 01:35:22.479 --> 01:35:25.069 to this information and it's a source of frustration 01:35:25.289 --> 01:35:28.128 that you don't feel like you can give it to us at 01:35:28.140 --> 01:35:32.140 this time based on other agency activities. Right. 01:35:32.149 --> 01:35:35.359 No activities of other agents. Right. Right. Right 01:35:35.369 --> 01:35:38.430 (item:3:Therese Harris, PUC on NDAs) Yes, please, you know, go ahead and reach out to me 01:35:38.439 --> 01:35:41.189 Um, I would involve, you know, Tom Hunter and Casey 01:35:41.199 --> 01:35:44.878 Feldman who are, you know, our General Counsel. So 01:35:44.890 --> 01:35:47.989 um, that would occur too and I've been working with 01:35:48.000 --> 01:35:49.020 Casey. Thank you. Okay. 01:35:50.979 --> 01:35:53.140 The two important takeaways from this conversation 01:35:53.149 --> 01:35:55.319 are what, you know, I've said it many times, the less 01:35:55.329 --> 01:35:58.069 I'm involved, the quicker things get taken care of 01:35:58.079 --> 01:36:00.399 So that's fantastic. And also everyone may or may not 01:36:00.409 --> 01:36:02.489 know. I used to, I used to work for Taylor in the 01:36:02.500 --> 01:36:04.500 first division and that might be the first time. He's 01:36:04.509 --> 01:36:06.829 called me, sir at the beginning of this. So I just 01:36:06.838 --> 01:36:09.310 take a moment to appreciate that we are on camera. 01:36:11.140 --> 01:36:13.789 Um, okay. Is there anything else, uh Taylor, are you 01:36:13.798 --> 01:36:16.069 done with your item? I have one more thing but not 01:36:16.079 --> 01:36:18.479 it's different. Does anyone have any other discussion 01:36:18.489 --> 01:36:21.668 related to the ability to request maps that Therese 01:36:21.680 --> 01:36:22.970 and Liz and Taylor were just discussing? 01:36:25.109 --> 01:36:28.509 Okay. Uh So, yeah, so thank you for pulling this list 01:36:28.520 --> 01:36:31.060 up. Actually, when we were reviewing this list, we 01:36:31.069 --> 01:36:34.628 did flag that everything on here are, are bills. Uh 01:36:34.649 --> 01:36:37.979 (item:3:TPPA on non statutory directives) We did note that the Sunset Commission also issued 01:36:37.989 --> 01:36:41.298 several management non statutory directives to PUC. 01:36:41.588 --> 01:36:44.708 Some of those are just procedural post open meeting 01:36:44.720 --> 01:36:48.569 minutes. Um Allow testimony on all agenda items. Some 01:36:48.579 --> 01:36:51.779 are a little more substantive. One of them, for instance 01:36:51.789 --> 01:36:54.878 to Michelle's point earlier is for the PUC to establish 01:36:54.890 --> 01:37:00.250 a liability standard by May of 2023, 2 months ago. Um 01:37:00.259 --> 01:37:03.289 And, and so our kind of question is, are you all expecting 01:37:03.298 --> 01:37:10.869 to uh get a lot of those management nonsmoking process 01:37:11.100 --> 01:37:14.439 or um should we be saying, you know, this might need 01:37:14.449 --> 01:37:16.180 a rule making, this might need a role and this might 01:37:16.189 --> 01:37:20.270 need a rule making. (item:3:David Smeltzer on non statutory directives) I think that in our review, we 01:37:20.279 --> 01:37:24.378 uh uh we're, we're pulling to get, get this together 01:37:24.390 --> 01:37:26.588 pretty quickly. And I don't know that, that I specifically 01:37:26.600 --> 01:37:29.750 thought through exhaustively the management recommendations 01:37:29.759 --> 01:37:31.958 And as you guys know, we're working to implement a 01:37:31.970 --> 01:37:33.859 lot of those not through the rule making process. Or 01:37:33.869 --> 01:37:37.009 for instance, our Chapter 26 rule review is much more 01:37:37.020 --> 01:37:39.680 significant than it would have been otherwise. But 01:37:39.689 --> 01:37:43.720 um yeah, to the extent that uh we'll go back and look 01:37:43.729 --> 01:37:45.289 over that, but to the extent that you think that there 01:37:45.298 --> 01:37:49.649 are items that um uh definitely need rule makings from 01:37:49.659 --> 01:37:53.310 those management directives. Um, feel free to file 01:37:53.319 --> 01:37:56.350 a note on that or uh, let me know. Awesome. Thank you 01:37:56.359 --> 01:37:57.810 That is a, that is an excellent reminder. 01:38:00.128 --> 01:38:02.529 Awesome. (item:3:John Russ Hubbard with Texas Industrial Energy Consumers on DRS) John Russ Hubbard on behalf of Texas Industrial 01:38:02.539 --> 01:38:05.250 Energy Consumers. Um I just wanted to reiterate the 01:38:05.259 --> 01:38:07.859 point you made earlier about DRS. We don't believe 01:38:07.869 --> 01:38:09.668 that needs a rule making and it can be done through 01:38:09.680 --> 01:38:10.699 a Commission directive. 01:38:13.759 --> 01:38:18.189 Thank you. I'm sure. Sure. Yeah. Um (item:3.5:Shana Joyce with TXOGA on HB5066) Shana with TXOGA. 01:38:18.439 --> 01:38:23.520 I wanted to bring up um HB5066 regarding transmission 01:38:23.529 --> 01:38:26.958 in the Permian Basin and this requires the development 01:38:26.970 --> 01:38:30.000 of a reliability plan for the Permian Basin. And while 01:38:30.009 --> 01:38:33.270 we don't necessarily think that you need a rule making 01:38:33.279 --> 01:38:36.958 for this, we are concerned about stakeholders voices 01:38:36.970 --> 01:38:42.149 in this process. Um And we'd also request that the 01:38:42.159 --> 01:38:45.739 reliability plan be based on the demand forecast that 01:38:45.750 --> 01:38:49.600 was developed in the SNPIHS market study that was 01:38:49.609 --> 01:38:53.500 published in March of this year. And so with the increased 01:38:53.509 --> 01:38:56.939 electrification of our industry and the adequacy of 01:38:56.949 --> 01:39:00.020 high voltage for the serving the needs of oil and natural 01:39:00.029 --> 01:39:03.168 gas for our state. Um the Permian Basin and other areas 01:39:03.180 --> 01:39:05.859 of high growth are paramount to our state. So we wanted 01:39:05.869 --> 01:39:08.838 to make sure that this process is robust and implementing 01:39:08.850 --> 01:39:11.579 this bill. But don't necessarily think that you need 01:39:11.588 --> 01:39:14.378 a rule making, but stakeholder, stakeholder input is 01:39:14.390 --> 01:39:15.088 imperative. 01:39:18.029 --> 01:39:20.939 I failed to introduce myself. Sorry. (item:3.5:Liz Jones with Oncor on supporting initiative) Liz Jones with 01:39:20.949 --> 01:39:26.100 Oncor. We recognize and support that initiative and 01:39:27.069 --> 01:39:30.878 it doesn't take a rule making. But I think a workshop 01:39:30.949 --> 01:39:36.588 that is widely noticed to both, um, retail customers 01:39:36.600 --> 01:39:39.539 in the Permian Basin and also the utilities that serve 01:39:39.548 --> 01:39:43.649 them would be very beneficial to talk through what 01:39:43.659 --> 01:39:46.319 that might look like. I think that's right. Would you 01:39:46.329 --> 01:39:50.649 um, in my head just out of, you know, bucketing things 01:39:50.659 --> 01:39:53.970 that we've talked about how doing a workshop on that 01:39:53.979 --> 01:39:56.449 and a workshop on res the resiliency stuff. But those 01:39:56.458 --> 01:39:56.739 are, 01:39:58.458 --> 01:40:02.009 uh are those, those are not addressing something? Would 01:40:02.020 --> 01:40:05.390 you recommend that that can be a, a one day affair 01:40:05.399 --> 01:40:07.329 This is sufficiently distinct that we shouldn't be 01:40:07.338 --> 01:40:09.918 thinking about them in the same bucket. I think they're 01:40:09.930 --> 01:40:12.208 sufficiently different. But if you wanted, you could 01:40:12.220 --> 01:40:14.729 do morning and afternoon, I was thinking that I think 01:40:14.739 --> 01:40:16.899 they're different. But if you wanted to split the days 01:40:16.909 --> 01:40:19.750 I think, but making sure that you give ample time to 01:40:19.759 --> 01:40:24.560 both of the important topics. Um And is this, uh 01:40:26.208 --> 01:40:30.180 with regards to the reliability plan, is there enough 01:40:30.189 --> 01:40:31.970 (item:3.5:David Smeltzer's follow-up to Oncor) It sounds like there's enough specific content out 01:40:31.979 --> 01:40:35.338 there where maybe even prior to getting feedback from 01:40:35.350 --> 01:40:37.149 the Commissioners on orders and things like that, we 01:40:37.359 --> 01:40:40.569 we opened up a project. Are there immediate recommendations 01:40:40.579 --> 01:40:42.958 or studies that would make sense? To be filed right 01:40:42.970 --> 01:40:46.689 away that we can start looking at. So, although it's 01:40:46.699 --> 01:40:52.088 somewhat dated. Oncor actually sponsored an IHS study 01:40:52.500 --> 01:40:57.279 that was issued in 2020. And I believe both that and 01:40:57.289 --> 01:41:02.850 the producer study would provide a foundation on which 01:41:02.859 --> 01:41:04.850 to have this discussion. I agree with that. 01:41:06.798 --> 01:41:09.970 So I, I that is a reasonable enough suggestion that 01:41:09.979 --> 01:41:12.659 I feel comfortable saying that uh that uh I think we 01:41:12.668 --> 01:41:16.319 can look into opening a project number so that interested 01:41:16.329 --> 01:41:19.489 parties can start populating it with uh foundational 01:41:19.500 --> 01:41:23.569 background documents and knowledge so that we can even 01:41:23.579 --> 01:41:25.529 without a rule making so that we can act swiftly. And 01:41:25.539 --> 01:41:27.609 I think to the extent that stakeholders want to be 01:41:27.619 --> 01:41:29.548 involved, that seems that seems appropriate. Yes, sir 01:41:29.930 --> 01:41:30.529 Yes. Thank you. 01:41:32.289 --> 01:41:35.199 Yes, thank you. Thank you. (item:3.5:Larry Linenschmidt with Hill Country Institute on HB5066) My name is Larry Linenschmidt. I'm with 01:41:35.208 --> 01:41:38.199 the Hill Country Institute, a Christian nonprofit. 01:41:38.208 --> 01:41:41.329 Uh We're very interested in creation care including 01:41:41.489 --> 01:41:46.378 uh how power is generated, transmitted and used. And 01:41:46.489 --> 01:41:51.659 uh House Bill 5066 specifically addresses the Permian 01:41:51.668 --> 01:41:54.189 Basin, but it also is open to needs in the rest of 01:41:54.199 --> 01:41:58.279 the state. And uh we have, you know, during Winter 01:41:58.289 --> 01:42:01.949 Storm Uri. We had 5000 megawatts of energy that we 01:42:01.958 --> 01:42:05.208 couldn't get from South Texas to where it was needed. 01:42:05.489 --> 01:42:09.989 I hope that, that that 5066 will open the door to 01:42:10.000 --> 01:42:14.520 expand transmission lines in the state. Uh We've had 01:42:14.529 --> 01:42:17.869 very limited amount of transmission lines built in 01:42:17.878 --> 01:42:22.369 the last few years. And as you direct ERCOT and their 01:42:22.378 --> 01:42:25.838 underwriting and their methodology, I hope the door 01:42:25.850 --> 01:42:28.399 will open because it takes several years and we're 01:42:28.409 --> 01:42:31.720 already behind where we should be. So I work with a 01:42:31.729 --> 01:42:34.310 number of groups including the citizens climate lobby 01:42:34.539 --> 01:42:38.819 the republican, and, uh, and others. And we're all 01:42:38.829 --> 01:42:44.430 very hopeful that this bill and your general knowledge 01:42:44.439 --> 01:42:47.628 of the need for more transmission lines will open up 01:42:47.640 --> 01:42:51.890 the door for more to be built in Texas. Yes, sir. Thank 01:42:51.899 --> 01:42:53.189 you. Thank you. 01:43:01.119 --> 01:43:03.789 (item:3.5:David Smeltzer comments on Permian Basin) Um I guess as long as we're on the topic, are there 01:43:03.798 --> 01:43:06.140 additional, um uh 01:43:07.739 --> 01:43:11.560 is there any additional uh commentary on either reliability 01:43:11.569 --> 01:43:15.100 plans? The uh which I think eventually will need a 01:43:15.109 --> 01:43:19.149 rule making? But uh on the Permian Basin, uh well, 01:43:19.239 --> 01:43:22.310 we'll see on the Permian Basin, immediate directive 01:43:22.319 --> 01:43:25.838 ERCOT to develop reliability plan or the resiliency 01:43:25.850 --> 01:43:30.949 plan, um pieces of legislation. (item:3.4:Rama Rastogi on HB2555) So I just wanna add 01:43:30.958 --> 01:43:33.588 the resiliency plan that David is mentioning is HB2555. 01:43:33.600 --> 01:43:37.588 If anyone has a comment on that, 01:43:40.689 --> 01:43:42.539 very good. And I think, yeah, and, and on both of those 01:43:42.548 --> 01:43:46.298 those are sufficiently complex technical topics and 01:43:46.310 --> 01:43:50.168 it seems uh likely that we'll have want to have a technical 01:43:50.180 --> 01:43:52.659 workshop of some kind on those, but uh we'll, we'll 01:43:52.668 --> 01:43:58.079 see uh how things are structured. Um Okay. I think we 01:43:58.088 --> 01:44:01.619 are on the still on the, the global topic of items 01:44:01.628 --> 01:44:04.720 that folks want to advocate for that might be on the 01:44:04.729 --> 01:44:07.449 list but might not need a rule making. Um, is there 01:44:07.458 --> 01:44:10.720 any other, um, is there anyone else who wants to speak 01:44:10.729 --> 01:44:11.489 to any of these? 01:44:13.729 --> 01:44:15.869 And in particular on this topic when, when we say that 01:44:15.878 --> 01:44:19.100 we've expanded the, the, the comment deadline for a 01:44:19.109 --> 01:44:21.729 couple of days, uh, these, these, these are the sorts 01:44:21.739 --> 01:44:23.489 of efficiencies that are, that are very helpful to 01:44:23.500 --> 01:44:25.810 us. I mean, in, in the next topic on the menu is 01:44:25.819 --> 01:44:30.140 another on the, you know, on the agenda is also comfortable. 01:44:30.149 --> 01:44:32.418 (item:3:David Smeltzer on natural pairings) That to the extent that there are natural pairings 01:44:32.430 --> 01:44:34.649 I think, you know, last legislative session, a lot 01:44:34.659 --> 01:44:37.539 of our to do items came from SB3and it was 01:44:37.548 --> 01:44:41.680 uh uh sort of a chunk of legislation that sort of directed 01:44:41.689 --> 01:44:44.619 things. And I think this time there's HB1500 but there's 01:44:44.628 --> 01:44:47.878 a lot of like numerically, there are more bills in 01:44:47.890 --> 01:44:50.250 play than before. And so one of the other questions 01:44:50.259 --> 01:44:53.048 is if you think that there are natural pairings between 01:44:53.060 --> 01:44:56.829 topics that can be addressed together, that is another 01:44:56.838 --> 01:44:59.958 piece of advice that we would find helpful both either 01:44:59.970 --> 01:45:03.619 today or if anyone behind the scenes is like, here's 01:45:03.628 --> 01:45:05.539 the master plan. This is how you get it all done at 01:45:05.548 --> 01:45:08.859 once. Um That is, that is always helpful and it is 01:45:08.869 --> 01:45:11.149 possible because if you read the whole memo, we are 01:45:11.159 --> 01:45:13.119 trying to do all of the telecom stuff in one rule. 01:45:13.128 --> 01:45:15.569 So if the electric industry can get together and match 01:45:15.579 --> 01:45:18.039 that, that will be, that will be very helpful to us 01:45:19.520 --> 01:45:21.048 But is there, is there anyone that has anything on 01:45:21.060 --> 01:45:21.708 these topics? 01:45:26.189 --> 01:45:30.369 Ok. So I think that brings us to the, um, 01:45:34.878 --> 01:45:37.009 so I think that brings us to the sort of grab bag 01:45:37.020 --> 01:45:40.310 topic. (item:3:David Smeltzer on rulemaking calendar) Which is, um, you know, our, our rule making 01:45:40.319 --> 01:45:42.560 calendar even, even the last two years when we are 01:45:42.569 --> 01:45:44.279 really busy and even the next two years when we're 01:45:44.289 --> 01:45:46.619 really busy from time to time Commission Staff opens 01:45:46.628 --> 01:45:50.220 up rules in relation to real world ex agencies or Commissioner 01:45:50.229 --> 01:45:55.369 directive or just other known issues out in the world 01:45:55.378 --> 01:45:58.529 And so I'd like now like to open up the floor to 01:45:59.649 --> 01:46:03.989 any items that, you know, as we face down the 40th 01:46:04.000 --> 01:46:05.869 or so rule making that we may have to do coming out 01:46:05.878 --> 01:46:09.289 of the session. Are there other items of interest that 01:46:09.298 --> 01:46:12.668 folks want to that folks believe the Commissioner should 01:46:12.680 --> 01:46:17.759 consider as important or more important than some of 01:46:17.770 --> 01:46:20.500 the legislative implementation? So we've had some discussion 01:46:20.619 --> 01:46:24.739 of, we had some discussion already of the emergency 01:46:24.750 --> 01:46:28.319 weather, the weather disconnection, moratoriums. And 01:46:28.329 --> 01:46:32.588 I think that, um, I think, I think that some of Cyrus 01:46:32.600 --> 01:46:34.909 energy efficiency recommendations go beyond the scope 01:46:34.918 --> 01:46:38.770 of what's strictly required by, um, by legislation 01:46:38.779 --> 01:46:40.378 And so I think those two items are there, but are there 01:46:40.390 --> 01:46:44.020 other, are there other rule making priorities or policy 01:46:44.029 --> 01:46:48.588 priorities that folks would like to soapbox about briefly 01:46:57.659 --> 01:47:01.350 (item:3.1:John Ross Hubbard, TIEC on interconnection timelines)John Ross Hubbard on behalf of TIEC during the Oncor rate 01:47:01.359 --> 01:47:03.729 case, there are a number of issues about interconnections 01:47:03.739 --> 01:47:06.979 and interconnection timelines. Um And, and that probably 01:47:06.989 --> 01:47:10.979 requires opening up the proform tariff. And so doing 01:47:10.989 --> 01:47:15.000 that while doing some of the CCN changes could be a 01:47:15.009 --> 01:47:20.838 good fit. Um So specifically with Project 55153 or 01:47:20.850 --> 01:47:24.489 potentially when implementing 5066. 01:47:29.069 --> 01:47:33.239 Does anyone have any, does anyone want to address the 01:47:33.250 --> 01:47:36.270 possibility of opening up the performer tariff or the 01:47:36.279 --> 01:47:38.640 issue of interconnection timeline just generally? 01:47:44.899 --> 01:47:48.088 Okay. And we will um if we have specific questions or 01:47:48.100 --> 01:47:50.168 if the Commissioners, do we know where to find you 01:47:50.899 --> 01:47:52.708 to continue the discussion? Thank you. Bye. 01:47:55.909 --> 01:47:58.250 (item:3:Mark Walker with Matthews & Freeland on advanced metering rule) Hi, I'm Mark Walker. I'm with Matthews and Freeland 01:47:58.259 --> 01:48:01.539 and I have a new client Mission Data. I wasn't planning 01:48:01.548 --> 01:48:03.918 on saying anything today, but given that we've kind 01:48:03.930 --> 01:48:06.048 of opened the scope up a little bit. I thought it'd 01:48:06.060 --> 01:48:08.279 be remiss not to. And you'd ask, well, why didn't you 01:48:08.289 --> 01:48:11.479 say something about this issue? And that is about advanced 01:48:11.489 --> 01:48:15.869 advanced metering rule. Uh We believe there are the 01:48:15.878 --> 01:48:18.600 technology has kind of outstripped the current rule 01:48:18.609 --> 01:48:22.789 and a lot of the implementation of the, the usability 01:48:22.798 --> 01:48:25.909 and functionality of advanced meters. And we think 01:48:25.918 --> 01:48:28.539 it's timely given all the other changes and the benefits 01:48:28.548 --> 01:48:32.649 that a fully functional and you know, superiorly, you 01:48:32.659 --> 01:48:35.850 know, a better functioning uh advanced meter process 01:48:35.859 --> 01:48:40.000 would be beneficial. Uh It's also timely given that 01:48:40.009 --> 01:48:42.930 there are some of the utilities are starting, I believe 01:48:42.939 --> 01:48:47.009 starting to look at the second generation of deployments 01:48:47.020 --> 01:48:49.180 And so it's timely to, to understand if there are any 01:48:49.189 --> 01:48:52.729 changes we need to make, to ensure the next generation 01:48:52.979 --> 01:48:56.449 is going to fully capture that capability and support 01:48:56.458 --> 01:48:59.458 all the other objectives of the Commission. And I also 01:48:59.470 --> 01:49:01.958 want to be clear that nothing that we would be proposing 01:49:01.970 --> 01:49:05.149 would have any, any impact on already approved plans 01:49:05.310 --> 01:49:11.699 So, um no, no darts from Excel. Um They uh so anyway 01:49:11.708 --> 01:49:13.869 and also apologies to stakeholders. I have plans to 01:49:13.878 --> 01:49:16.289 come meet with, we, you know, we plan to come visit 01:49:16.298 --> 01:49:18.680 with folks before and obviously with the, with the 01:49:18.689 --> 01:49:22.359 Commission Staff as well, right? Um Given that you 01:49:22.369 --> 01:49:24.239 you've opened the floor here, I, I felt like I needed 01:49:24.250 --> 01:49:28.520 to chime in. No. Yeah, and uh that's great. Yeah, getting 01:49:28.529 --> 01:49:30.649 an idea of the issue, landscape and things that might 01:49:30.659 --> 01:49:34.838 be coming to us that are not yet fully formed is helpful 01:49:34.850 --> 01:49:37.189 for our planning purposes. So do I, should I take that 01:49:37.199 --> 01:49:40.128 last comment to mean this is a heads up but that you 01:49:40.140 --> 01:49:42.289 might be approaching with something more concrete in 01:49:42.298 --> 01:49:44.878 the future. That's right. We're working on the specifics 01:49:44.890 --> 01:49:48.250 now and we'll, you know, you, you're top of my list 01:49:48.659 --> 01:49:51.069 and we will uh as soon as we and, and I, you 01:49:51.079 --> 01:49:54.939 know, I, we certainly plan to, to, to work collaboratively 01:49:54.949 --> 01:49:56.869 with uh with other stakeholders and be clear about 01:49:56.878 --> 01:49:59.199 what we're looking for and to hear other perspectives 01:49:59.208 --> 01:50:02.479 But we do think it's a vitally important and, and should 01:50:02.489 --> 01:50:04.909 be a priority for the commission as well. Ok. Thank 01:50:04.918 --> 01:50:08.409 you. I'd just like to add that, you know, any synergies 01:50:08.418 --> 01:50:11.970 that you can identify for the, the A MS with the current 01:50:11.979 --> 01:50:15.729 legislative, uh you know, list of things that we have 01:50:15.739 --> 01:50:19.609 that would be helpful to us. Like if you can pre identify 01:50:19.729 --> 01:50:23.140 something that can be synergistic or paired with something 01:50:23.149 --> 01:50:24.668 else that we are already planning to do. 01:50:26.600 --> 01:50:28.029 Thank you. Great suggestion. Thank you. 01:50:34.338 --> 01:50:38.159 The floor is open and we have 51 remaining scheduled 01:50:38.168 --> 01:50:40.729 minutes where people can ask for whatever they want 01:50:42.708 --> 01:50:43.918 anybody have anything. 01:50:49.048 --> 01:50:50.720 All right. Um 01:50:54.128 --> 01:50:55.109 Yeah, yeah, sure, sure. 01:51:10.628 --> 01:51:14.189 Um Can you hear me? Yes, ma'am. (item:4.2:Tina Lee, VP of Watt Bridge Energy on SB2627) Uh So Tina Lee, I'm 01:51:14.199 --> 01:51:17.088 Vice President of Watt Bridge Energy. Um And as you 01:51:17.100 --> 01:51:20.668 may have heard my uh CEO speak during the legislative 01:51:20.680 --> 01:51:24.359 session, Watt Bridge has built out a portfolio of 2400 01:51:24.369 --> 01:51:28.009 megawatts of uh fast start dispatch gas generation 01:51:28.020 --> 01:51:30.798 during the last three years and raised $2 billion for 01:51:30.810 --> 01:51:33.770 this initiative. So just trying to provide, given that 01:51:33.779 --> 01:51:37.039 experience, I like to provide some feedback on SB2627 01:51:37.048 --> 01:51:41.588 on the Texas Energy Fund. On the first item is just 01:51:41.600 --> 01:51:45.399 the loan program timing. We agree with staff's plans 01:51:45.409 --> 01:51:48.270 to complete the draft rule making before the November 01:51:48.279 --> 01:51:51.619 election. On the constitutional amendment, we also 01:51:51.628 --> 01:51:54.479 agree and encourage the PUC to adopt the final rule 01:51:54.489 --> 01:51:59.168 making no later than January 2024 upon a favorable 01:51:59.180 --> 01:52:03.369 November vote outcome. Faster implementation helps 01:52:03.378 --> 01:52:07.109 to avoid risks related to long lead equipment and better 01:52:07.119 --> 01:52:10.319 preserves the value um intended in the Texas Energy 01:52:10.329 --> 01:52:13.979 Fund. On the second point of the loan mechanics, um 01:52:13.989 --> 01:52:17.140 Watt Bridge plans to apply for both the loan and the 01:52:17.149 --> 01:52:21.369 completion bonus. Um Having only one or the other will 01:52:21.378 --> 01:52:24.180 be detrimental to Watt Bridge's proposed build out 01:52:24.270 --> 01:52:28.470 under the Texas Energy Fund. Based on our evaluation 01:52:28.479 --> 01:52:31.100 the split between the loan and completion bonus. If 01:52:31.109 --> 01:52:34.128 you're looking for allocation of how to use the fund 01:52:34.289 --> 01:52:40.199 is approximately 86% and 14% respectively for a more 01:52:40.208 --> 01:52:42.838 efficient use of the equity. We also recommend that 01:52:42.850 --> 01:52:46.739 the 3% escrow amount be satisfied with a letter of 01:52:46.750 --> 01:52:49.829 credit in lieu of cash, only, letters of credit are 01:52:49.838 --> 01:52:53.708 standard and commercially available approach. We also 01:52:53.720 --> 01:52:57.750 support the mortgage style repayment of the loan. Um 01:52:57.759 --> 01:53:03.109 All project costs including natural gas, water infrastructure 01:53:03.119 --> 01:53:06.668 land procurement design engineering should be eligible 01:53:06.680 --> 01:53:11.180 within the construction costs. Uh The the loan program 01:53:11.189 --> 01:53:16.000 fees can be deducted from the 3% escrow amount and 01:53:16.009 --> 01:53:18.789 we seek review and selection of the loan applications 01:53:18.798 --> 01:53:22.909 on a rolling basis will allow projects to meet the 01:53:22.918 --> 01:53:26.759 intended in service date of summer 2026 and on the 01:53:26.770 --> 01:53:29.720 final point of the Texas Energy Fund Administration 01:53:29.890 --> 01:53:32.649 if the fund is not going to be able to provide the 01:53:32.659 --> 01:53:36.229 letters of credit capacity, which is standard and typical 01:53:36.239 --> 01:53:41.060 in debt financing. Um then we then we recommend allowing 01:53:41.069 --> 01:53:44.350 commercial bank involvement to provide that LC capacity 01:53:44.369 --> 01:53:48.029 in parallel with the loan program. And then for more 01:53:48.039 --> 01:53:51.109 efficient optimization of the new asset, we recommend 01:53:51.119 --> 01:53:54.939 that the state share the first lean position with potential 01:53:54.949 --> 01:53:58.039 hedge counter parties. This is actually a very standard 01:53:58.048 --> 01:54:02.149 uh project or approach and all six of watt bridges 01:54:02.159 --> 01:54:06.329 hedged projects have this structure in place. And then 01:54:06.338 --> 01:54:09.609 finally, we recommend outsourcing the administration 01:54:09.619 --> 01:54:12.569 of the Texas Energy Fund to commercial banks to leverage 01:54:12.579 --> 01:54:15.770 their infrastructure and to accelerate the implementation 01:54:15.779 --> 01:54:19.579 Thank you. So, so I think the one, thank you. Those 01:54:19.588 --> 01:54:22.253 are helped comments. (item:4.2:David Smeltzer's response to Watt Bridge) The one that I I would like to 01:54:22.265 --> 01:54:24.814 solicit feedback on specifically with regard to our 01:54:24.824 --> 01:54:28.435 implementation schedule is there was a request that 01:54:28.444 --> 01:54:32.475 the final rule making be adopted by, by January of 01:54:32.484 --> 01:54:37.744 2024. And I think that given when the given, when the 01:54:37.753 --> 01:54:41.239 election takes place, that is a real holiday killer 01:54:41.250 --> 01:54:46.119 for, for my team. But in terms of the real world practicalities 01:54:46.128 --> 01:54:49.680 of when you know, so we have to begin accepting applications 01:54:49.689 --> 01:54:52.350 in June at the latest under the legislation. And I 01:54:52.359 --> 01:54:55.088 know that we want to get the draft out there prior 01:54:55.100 --> 01:54:57.759 to the November election. But does anyone want to comment 01:54:57.770 --> 01:55:03.838 on real world implications of when this rule is adopted 01:55:03.850 --> 01:55:06.520 Like so her contention is that it will help reduce 01:55:06.529 --> 01:55:09.338 risk if it's the final rule is adopted by January. 01:55:09.350 --> 01:55:12.850 Does anyone have a formed position on that topic that 01:55:12.859 --> 01:55:15.279 might help us in scheduling our activities? And if 01:55:15.289 --> 01:55:17.319 you weren't expecting that question today, that's fine 01:55:17.329 --> 01:55:21.509 But if anyone has a views on that, that is certainly 01:55:21.939 --> 01:55:25.310 relevant to our implementation calendar discussion 01:55:30.270 --> 01:55:33.409 Well, if you, if you come to have views on that topic 01:55:33.418 --> 01:55:35.869 do let me know because I, I do not, I do not 01:55:35.878 --> 01:55:38.789 build power plants. So I do not know all of the real 01:55:38.798 --> 01:55:42.180 world uh practicalities that, that you guys face. Um 01:55:42.189 --> 01:55:42.859 So thank you. 01:55:45.798 --> 01:55:50.689 Are there any other um policy priorities or timing 01:55:50.699 --> 01:55:54.020 implementation issues or anything within the purview 01:55:54.029 --> 01:55:57.579 of this workshop that folks would like to discuss at 01:55:57.588 --> 01:55:58.128 this time? 01:56:10.239 --> 01:56:13.918 (item:3.8:Johnny Carlock with Pioneer Natural Resources on HB1500, Section 22) Good afternoon. Uh Johnny Carlock with Pioneer Natural 01:56:13.930 --> 01:56:18.369 Resources. I would like to request. Is there a possibility 01:56:18.378 --> 01:56:22.159 of getting a workshop? We've got several Bills, both 01:56:22.168 --> 01:56:27.869 House and Senate uh related to generation and part 01:56:27.878 --> 01:56:31.699 of the issue even with Senate Bill 2627. Is there 01:56:31.708 --> 01:56:36.128 a potential interaction between uh House Bill 1500, 01:56:36.180 --> 01:56:41.199 Section 22 and also the multiple sections relative 01:56:41.208 --> 01:56:44.878 to renewable energy credits? So I guess the question 01:56:44.890 --> 01:56:48.560 is as far as the timing and the implementation, are 01:56:48.569 --> 01:56:51.759 there, is there potential for unintended consequences 01:56:51.770 --> 01:56:54.628 for implementing something that may impact one of those 01:56:54.640 --> 01:56:57.409 other um areas? 01:56:59.689 --> 01:57:01.979 (item:3.8:David Smeltzer's comments to Pioneer Natural) That is probably a good question that we can take under 01:57:01.989 --> 01:57:05.100 consideration. I, I don't have an off the cuff response 01:57:05.458 --> 01:57:08.109 and, and, and I guess just as an end user in the 01:57:08.119 --> 01:57:11.600 Permian Basin, all of these potentially impact us, 01:57:11.819 --> 01:57:14.859 I mean, right now we are working through some of this 01:57:14.869 --> 01:57:20.798 legislation addressed um the actual uh wires of the 01:57:20.810 --> 01:57:24.109 transmission and the substation infrastructure at some 01:57:24.119 --> 01:57:27.100 point in time as the forecast that loads start coming 01:57:27.109 --> 01:57:31.159 online, we we have seeing the potential for a generation 01:57:31.168 --> 01:57:35.208 shortfall. And so the question here is long term planning 01:57:35.750 --> 01:57:40.220 what is the overall holistic plan from a generation 01:57:40.229 --> 01:57:43.338 standpoint to ensure that the generation is there once 01:57:43.350 --> 01:57:46.899 the wires issues are resolved. So just backing up to 01:57:46.909 --> 01:57:51.539 answer your question, how as an end user do we get 01:57:51.548 --> 01:57:56.060 some type of vision on what is the overall plan looking 01:57:56.069 --> 01:57:59.619 at the interaction of all of these different implementations. 01:58:02.659 --> 01:58:05.009 That is a, that is a good and complicated question. 01:58:05.390 --> 01:58:08.289 And if anyone has a position on the overall plan, but 01:58:08.298 --> 01:58:10.600 behind the interaction of all these pieces, it would 01:58:10.609 --> 01:58:12.369 now would be now would be the time to lay out the 01:58:12.378 --> 01:58:14.359 the master. No, that, that is a good question and I'm 01:58:14.369 --> 01:58:15.989 only making light of it because it's such a difficult 01:58:16.000 --> 01:58:20.310 question. Um And uh uh thank you. Thank you for posing 01:58:20.319 --> 01:58:23.239 and I don't have a off the cuff response. Okay. Thank 01:58:23.250 --> 01:58:23.329 you. 01:58:38.119 --> 01:58:42.939 Pending no other last minute comments. (item:3:David Smeltzer closes workshop) I want to thank 01:58:42.949 --> 01:58:46.970 everyone for coming today. We've had a lot of, you 01:58:46.979 --> 01:58:49.128 know, we have dozens and dozens of bills to analyze 01:58:49.140 --> 01:58:52.600 and we have dozens of rule makings ahead of us. So 01:58:52.958 --> 01:58:57.000 I think that given the given that there are fewer statutory 01:58:57.009 --> 01:58:59.119 deadlines this time, we're going to try and have more 01:58:59.140 --> 01:59:02.939 of these types of events on specific policy topics 01:59:02.949 --> 01:59:06.350 that we can as long as folks believe that they are 01:59:06.659 --> 01:59:10.128 helpful and productive. And I'm always open to process 01:59:10.140 --> 01:59:11.949 feedback behind the scenes. If you think there are 01:59:11.958 --> 01:59:14.918 ways the Staff can be processing or handling these 01:59:14.930 --> 01:59:19.814 things better, so free to reach out to me. Um Thank 01:59:19.824 --> 01:59:23.324 you for your participation and I'm sure that the Commissioners 01:59:23.333 --> 01:59:26.555 and some Legislators were watching and will find this 01:59:26.564 --> 01:59:29.503 input very valuable in determining the way that the 01:59:29.515 --> 01:59:32.564 Commission should proceed in its rule making agenda 01:59:34.100 --> 01:59:36.739 I, I guess we can reclaim the rest of the time. Thanks 01:59:36.750 --> 01:59:39.009 for coming.