Texas SB2780 amends the Utilities Code to allow gas utilities to defer certain costs as regulatory assets until they are recovered in rates.

Texas SB2780 amends the Utilities Code to allow gas utilities to defer certain costs as regulatory assets until they are recovered in rates. Specifically, gas utilities can defer post in-service carrying costs, depreciation, ad valorem taxes, and incremental operations and maintenance expenses associated with unrecovered gross plant. These deferred costs must be included in the Railroad Commission's authorized cost recovery mechanism. The Railroad Commission must adopt rules to implement these changes within 180 days of the Act's effective date.

Texas SB2780 amends the Utilities Code to allow gas utilities to defer certain costs as regulatory assets until they are recovered in rates.

Texas SB2780 amends the Utilities Code to allow gas utilities to defer certain costs as regulatory assets until they are recovered in rates. Specifically, gas utilities can defer post in-service carrying costs, depreciation, ad valorem taxes, and incremental operations and maintenance expenses associated with unrecovered gross plant. These deferred costs must be included in the Railroad Commission's authorized cost recovery mechanism. The Railroad Commission must adopt rules to implement these changes within 180 days of the Act's effective date.