Page 11 - Builder Brief March 2021 Issue

R S L E A D E R S A N D M E M B E R S
s Industry Update
ERCOT and the Big Deep Freeze
What It Is: The Electric Reliability Council of Texas (ERCOT), is a membership-based 501 (c)(4)nonprofifit organization governed by a board of directors. It is subject to oversight by the Public Utilities Commission and the Texas Legislature, and its purpose is to combine sources such as cooperatives, generators, investor- owned electric utilities, among others, to provide a s s t t a a b b l l e e e e l l e e c c t t r r i i c c m m a a r r k k e e t t t t o o t t h h e e S S t t a a t t e e o o f f T Te e x x a a s s . .
Why it Matters: Texas is the only state that has its own power grid and provides for over 90% of the State’s electrical power. It is not connected to the national power grid, and ERCOT is responsible for making sure T Te e x x a a n n s s h h a a v v e e t t h h e e p p o o w w e e r r n n e e e e d d e e d d f f o o r r e e v v e e r r y y d d a a y y l l i i v v i i n n g g . .
What is Happening: The recent polar vortex made it very clear that ERCOT had done a miserable job of providing enough safety measures into the system to avoid the massive power outages suffered by over 3 million Texans. At one point, the entire power grid for t t h h e e S S t t a a t t e e w w a a s s i i n n d d a a n n g g e e r r o o f f s s h h u u t t t t i i n n g g d d o o w w n n. .
What It Is: In 2019 the State Legislature adopted House Bill 3167, better known as “the Shot Clock” rule, that was intended to provide more certainty and uniformity in the development process. It was fifiled to address delays that developers were facing in some jurisdictions with extended review times. It requires the municipal authority to approve, approve with conditions, or disapprove within 30 days after the date a plat or plan is fifiled, and if disapproved, required specifific reasons b be provided. It also expanded the Shot Clock to master r plans, and preliminary plats, in addition to the fifinal plat. .
W W h hy y i i t t M M a a t t t t e e r r s s: : S S o o m m e e c c i i t t i i e e s s a a n n d d c c o o u u n n t t i i e e s s a a c c r r o o s s s s t t h h e e state that did not like the 30-day requirement of HB 3167 have begun to require additional layers prior to s starting the “Clock”. In some areas with preliminary y plats, jurisdictions now require other permits, such
Some of the failures included not requiring weatherization equipment in wind turbines, natural gas transmission lines, and plants being partially shutdown for normal winter month maintenance procedures. The average power safety level across the nation is 15% above normal demand, and ERCOT’s estimate was for approximately 8%. In addition, some natural g gas suppliers were selling product to out-of-state e customers.
As a result, some rate payers are looking at variable rate increases of over 6,000%, which would be devastating to everyone. The Governor, Lieutenant Governor, a and Speaker of the House have made investigation n into these rate increases an emergency issue, which would allow legislation on the matter to be passed and becomelawin60days. Therewillalsobeamoratorium on loss-of-service for non-payment of bills, and there is some consideration that money from the State Rainy Day fund could be used to subsidize these utility bills.
Michael Moore
Ironstone Development C C h h a a i i r r, , S S t t a a t t e e Government Affffairs Committee
2008 GSABA President
87th Legislative Session Hot Topic
as a FEMA CLOMR or a TxDOT driveway permit, be approved prior to submittal and starting the 30 days. This has increased upfront costs and created new delays for developers..
We Need Your Support: TAB is working with associations across the state and trying to fifind a compromise with the Texas Municipal League to potentially amend HB 3167 this legislative session. T TML and cities are wanting to extend the 30 days as s m much as possible. Developers are hoping to limit the e “pre Shot Clock” requirements as much as possible. L Let us know your experiences with HB 3167 with the e entities in our area and to help us provide feedback as we work through this Session. And PS, we look forward t t o o s s e e e e i i n n g g y y o o u u a a t t R R a a l l l l y y D D a ay y ! !
Cara Tackett
Pape-Dawson Engineers S S r r. . V V i i c c e e P P r r e e s s i i d d e e n n t t
C C h h a a i i r r, , W W a a t t e e r r T Ta a s s k k F F o o r r c c e e IGR
MARCH 2021 | GREATER SAN ANTONIO BUILDERS ASSOCIATION 11
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