Amends TCA Title 7, Chapter 34; Title 7, Chapter 52 and Title 65.
Present law authorizes a municipality operating a municipal utility system to, acting through the authorization of the board or supervisory body having responsibility for the municipal utility system, accept and distribute excess receipts for bona fide charitable purposes pursuant to programs approved by the board or supervisory body. The programs may include programs in which utility bills are rounded up to the next dollar when the amount of any excess receipt due to rounding is shown as a separate line on the utility bill. A municipal utility system that establishes any such program on or after January 1, 2021, is prohibited from enrolling any customer into the program without the customer's consent. For previously-established programs that are operated on an "opt-out" basis, present law generally requires that the municipal utility system provide some notice to its customers.<br /> <br /> This bill requires that a municipal utility system that established a "round up" or similar program before January 1, 2021, and that operates the program on an opt-out basis to operate the program on an opt-in basis by January 1, 2024, and remove any customer from participation in the program unless the customer provides consent to being enrolled in the program. The full text of this bill specifies a form of written notice that a municipal utility system may send to its customers concerning the switch to an opt-in program. <br /> <br /> This bill authorizes a customer of a municipal utility system that does not comply with the opt-in requirement to submit a complaint to the comptroller. This bill requires the comptroller to enforce the opt-in requirement, and authorizes the comptroller to prohibit a municipal utility system that does not comply with such requirement from operating the program until it is operated on an opt-in basis.<br /> <br /> This bill requires a municipal utility system that operates a a "round up" or similar program to submit an annual report to the comptroller. The report must include an itemized list of the bona fide charitable purposes for which the moneys were used, including the name of each charitable organization to which moneys were sent and the amount of moneys sent to each charitable organization. This bill requires the comptroller to publish the report on its website.<br /> <br /> This bill makes the same changes for municipal electric plants operated pursuant to the Municipal Electric Plant Law of 1935 as those described above for municipal utility systems. <br />
Present law authorizes a municipality operating a municipal utility system to, acting through the authorization of the board or supervisory body having responsibility for the municipal utility system, accept and distribute excess receipts for bona fide charitable purposes pursuant to programs approved by the board or supervisory body. The programs may include programs in which utility bills are rounded up to the next dollar when the amount of any excess receipt due to rounding is shown as a separate line on the utility bill. A municipal utility system that establishes any such program on or after January 1, 2021, is prohibited from enrolling any customer into the program without the customer's consent. For previously-established programs that are operated on an "opt-out" basis, present law generally requires that the municipal utility system provide some notice to its customers.<br /> <br /> This bill requires that a municipal utility system that established a "round up" or similar program before January 1, 2021, and that operates the program on an opt-out basis to operate the program on an opt-in basis by January 1, 2024, and remove any customer from participation in the program unless the customer provides consent to being enrolled in the program. The full text of this bill specifies a form of written notice that a municipal utility system may send to its customers concerning the switch to an opt-in program. <br /> <br /> This bill authorizes a customer of a municipal utility system that does not comply with the opt-in requirement to submit a complaint to the comptroller. This bill requires the comptroller to enforce the opt-in requirement, and authorizes the comptroller to prohibit a municipal utility system that does not comply with such requirement from operating the program until it is operated on an opt-in basis.<br /> <br /> This bill requires a municipal utility system that operates a a "round up" or similar program to submit an annual report to the comptroller. The report must include an itemized list of the bona fide charitable purposes for which the moneys were used, including the name of each charitable organization to which moneys were sent and the amount of moneys sent to each charitable organization. This bill requires the comptroller to publish the report on its website.<br /> <br /> This bill makes the same changes for municipal electric plants operated pursuant to the Municipal Electric Plant Law of 1935 as those described above for municipal utility systems. <br />
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