| (c) Definitions. The following words and terms when used in
this section shall have the following meanings unless the context clearly
indicates otherwise:
(1) Affiliate--An entity, including a business unit or division,
that controls, is controlled by, or is under common control with, an MOU/COOP.
Control means the power and authority to direct the management or policies
of an entity through directly or indirectly owning or holding at least a 5.0%
voting or ownership interest. Affiliate includes an entity determined to be
an affiliate by the commission after notice and hearing based on criteria
parallel to those prescribed in PURA §11.006.
(2) Bundled MOU/COOP--An MOU/COOP that is conducting both transmission
and distribution activities and competitive energy-related activities on a
bundled basis without structural or functional separation of transmission
and distribution functions from competitive energy-related activities and
that makes a written declaration of its status as a Bundled MOU/COOP pursuant
to subsection (o)(3)(A) of this section.
(3) Competitive affiliate--An affiliate of an MOU/COOP that
provides services or sells products at retail in a competitive energy-related
market in this state, including telecommunications services to the extent
those services are energy-related. An affiliate of an MOU/COOP that is selling
energy only in the capacity of a provider of last resort within the scope
of PURA §40.053(c) and (d) or PURA §41.053 (c) and (d) is not a
competitive affiliate under this definition. The term competitive affiliate
shall include both competitive divisions and competitive subsidiaries.
(4) Competitive division (CD)--A competitive affiliate that
is organized as a division or other part of an MOU/COOP.
(5) Competitive energy-related activities--Services or products
that are sold at retail in a competitive energy-related market in this state,
including telecommunications services to the extent those services are energy-related.
(6) Competitive subsidiary (CS)--A competitive affiliate that
is organized as a corporation or other legally distinct entity.
(7) Confidential information--Any information not intended
for public disclosure and considered to be confidential or proprietary by
persons privy to such information. Confidential information includes, but
is not limited to, information relating to the interconnection of customers
to an MOU/COOP's transmission or distribution systems, proprietary customer
information, trade secrets, competitive information relating to internal manufacturing
processes, and information about an MOU/COOP's transmission or distribution
system, operations, or plans for expansion.
(8) Corporate support services--Services shared by a TDBU,
or an affiliate created to perform corporate support services, with the MOU/COOP's
affiliates of joint corporate oversight, governance, support systems, and
personnel. For a Bundled MOU/COOP, "corporate support services" includes governance,
support systems, and personnel.
(A) Examples of services that may be shared, to the extent
the services comply with this section, include human resources, procurement,
information technology, regulatory services, administrative services, real
estate services, legal services, accounting, environmental services, research
and development unrelated to marketing activity and/or business development
for the competitive affiliate regarding its services and products, internal
audit, community relations, corporate communications, financial services,
financial planning and management support, corporate services, corporate secretary,
lobbying, corporate planning, and community economic development if the economic
development activities are within the MOU/COOP's certificated retail service
area.
(B) Examples of services that may not be shared, except as
otherwise allowed under the terms of this section, include engineering, purchasing
of electric transmission facilities and service, transmission and distribution
system operations, and marketing.
(9) Fully allocated cost--The cost of a product, service, or
asset based on book values for the component elements established through
generally accepted accounting principles (GAAP); or alternatively, an internal
transfer price based upon the actual or expected (budgeted) operating and
maintenance expenses and a capital component, as appropriate, divided by the
expected or actual units for the service or product produced. Such transfer
prices may be set as needed but shall not be used beyond a three year period
without review. The operating and maintenance expenses shall be fully loaded
with applicable overheads. The capital component shall consider the original
cost of the associated assets and a reasonable return. Such internal prices
may include an allowance for transfers to a municipal general fund at the
discretion of the municipality.
(10) Large transmission and distribution business unit (TDBU)--A
TDBU that:
(A) delivers total metered electric energy through its system
for sale at retail for the average of the three most recent calendar years
greater than 6,000,000 MWh; and
(B) is otherwise subject to the provisions of this section
as provided in subsection (b)(1) of this section.
(11) Mid-size transmission and distribution business unit (TDBU)--A
TDBU that:
(A) delivers total metered electric energy through its system
for sale at retail for the average of the three most recent calendar years
that is less than or equal to 6,000,000 MWh and is greater than 500,000 MWh;
and
(B) is otherwise subject to the provisions of this section
as provided in subsection (b)(1) and (b)(4) of this section.
(12) Municipally owned utility/electric cooperative (MOU/COOP)--A
municipally owned utility (MOU) as defined in PURA §11.003(11) or an
electric cooperative (COOP) as defined in PURA §11.003(9). As used in
this section, MOU/COOP does not include a competitive affiliate but does include
an MOU, a COOP, or a river authority that has an affiliate relationship with
a TDBU that is a division or part of the MOU/COOP.
(13) Proprietary customer information--Any information compiled
by a TDBU on a customer in the normal course of providing electric service
that makes possible the identification of any individual customer by matching
such information with the customer's name, address, account number, type or
classification of service, historical electricity usage, expected patterns
of use, types of facilities used in providing service, individual contract
terms and conditions, price, current charges, billing records, or any other
information that the customer has expressly requested not be disclosed. Information
that is redacted or organized in such a way as to make it impossible to identify
the customer to whom the information relates does not constitute proprietary
customer information.
(14) Small transmission and distribution business unit (TDBU)--A
TDBU that:
(A) delivers total metered electric energy through its system
for sale at retail of less than 500,000 MWh for the average of the three most
recent calendar years; and
(B) is otherwise subject to the provisions of this section
as provided in subsection (b)(1) and (b)(3) of this section.
(15) Transaction--Any interaction between a TDBU and its competitive
affiliates in which a service, asset, product, property, right, or other item
is transferred or received by either the TDBU or its competitive affiliates.
(16) Transmission and distribution business unit (TDBU)--The
business unit of an MOU/COOP, whether structurally unbundled as a separate
legal entity or functionally unbundled as a division, that owns or operates
for compensation in this state equipment or facilities to transmit or distribute
electricity at retail, except for facilities necessary to interconnect a generation
facility with the transmission or distribution network, a facility not dedicated
to public use, or a facility otherwise excluded from the definition of electric
utility in a qualifying power region certified under PURA §39.152. TDBU
does not include an MOU/COOP that owns, controls, or is an affiliate of the
TDBU if the TDBU is organized as a separate corporation or other legally distinct
entity. Except as specifically authorized by statute, a TDBU shall not provide
competitive energy-related activities.
(d) Annual report of code-related activities. A report of activities
related to this section shall be filed annually with the commission. Using
forms approved by the commission, a TDBU shall report activities among itself
and its competitive affiliates in accordance with the requirements of this
section. The report shall be filed by June 1, and shall encompass the period
from January 1 through December 31 of the preceding year during which the
MOU/COOP was subject to this section.
Cont'd... |
