A08883 Summary:

BILL NOA08883
 
SAME ASSAME AS S07087
 
SPONSORCahill
 
COSPNSRBarrett, Skartados, Crespo, Moya, Lupardo
 
MLTSPNSRSweeney
 
 
Authorizes certain municipalities to participate in a community-wide energy aggregation program where they can request bids, select an energy service provider, install energy efficiency measures and develop local renewable energy facilities to provide electric and/or gas supply services, including gas efficiency and renewable heating technologies to participating customers.
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A08883 Actions:

BILL NOA08883
 
02/27/2014referred to energy
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A08883 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A8883
 
SPONSOR: Cahill
  TITLE OF BILL: An act authorizing certain municipalities to partic- ipate in a community choice energy aggregation program by a single muni- cipality or through an inter-municipal agreement with two or more muni- cipalities in order to coordinate efforts to procure electric and/or gas supply services on behalf of participating residents, businesses and municipal customers within municipal jurisdictional boundaries   PURPOSE: To authorize municipalities to participate in a community choice aggregation program through an inter-municipal agreement with one or more municipalities to coordinate efforts to procure electric and/or gas supply services and to Install energy efficiency measures and devel- op local renewable energy facilities on behalf of participating resi- dents, businesses and municipal customers within municipal jurisdic- tional boundaries.   SUMMARY OF PROVISIONS: Section 1 provides definitions. Section 2 provides that a municipality may, by resolution, participate in a community choice energy aggregation program through an inter-muni- cipal agreement with one or more municipalities to coordinate efforts to procure electric and/or gas supply services and to install energy effi- ciency measures and develop local renewable energy facilities on behalf of customers. It also sets forth the required contents of the inter-mun- icipal agreement. Section 3 requires the program administrator to provide a copy of the agreement to the distribution utilities and submit a formal request for customer usage and billing information, and customer data pertaining to energy efficiency program participation and renewable energy use. It also requires the utilities to supply required information to the admin- istrator within 120 days. Section 4 authorizes the community choice aggregator to advertise for the request for bids from Energy Service Companies ("ESCOs") for the provision of services for the program. The solicitation must include price benchmarks, provide that ESCOs will not levy any cancellation charges, and provide for a website for participating customers to view the monthly rates charged, and to view any related services and products being offered by the community choice aggregation program administrator. Community choice aggregators are authorized to select the ESCO that will offer the best service, or can elect to reject all bids and re-adver- tise. This section also authorizes the community choice aggregator to enter into a contract with the chosen ESCO or ESCOs and outlines the requirements of such contract. Section 5 requires the community choice aggregator to obtain from the distribution utility a list of customers affected by the contract with the ESCO, and the community choice aggregator must provide notice to those customers. The notice must include instructions for how to opt-out within the sixty-day opt-out period. Provision is also made for custom- ers already served by an ESCO to opt-in to a community choice aggre- gation program. After the sixty-day period, the utility must provide a list to the community choice aggregator of the number of customers that elected to opt-out and opt-in, and those customers' information.The administrator must then submit that information to the ESCO(s) with which it contract(s). Section 6 provides for a Public Service Commission (PSC) audit, within 365 days of commencement of the contract, to ensure that cost benchmarks have been reached. If the PSC determines they have not been reached, the contract shall be subject to termination by resolution of the community choice aggregator's governing board. Section 7 requires the PSC to submit, within 30 months of establishment of a contract, a report to the Executive, Senate and Assembly detailing the performance of the aggregation contract. Section 8 states that the Energy Services Company Bill of Rights is applicable to participating customers. Section 9 provides the effective date.   JUSTIFICATION: Citizens for Local Power is an Ulster County-based organization that works with municipalities, elected officials, labor, and citizens to foster engagement in energy issues and regulatory proceedings that affect them, as well as to promote energy demand reduction and expanded renewable energy use at the community level. CLP is facilitating the formation of a Municipal Energy Consortium (based initially in Ulster County) to reduce energy costs for residents, busi- nesses, and municipalities, to enhance community resiliency, and to foster the transition to a clean energy economy in the mid-Hudson region. The creation of the community choice aggregation (CCA) program arose out of CLP's efforts to further these important goals, including the desire to save residents and businesses money. CCA programs allow a large number of residents to pool together and shop around at different ESCOs and obtain the best price. Pooling together will increase purchasing power, potentially resulting in a better price, similar to the idea of buying in bulk. CCA is an effective tool for empowering communities to choose their energy supplier, and also enables communities to choose clean energy suppliers, realize greenhouse gas reduction benefits, and finance local generation assets to boost economic development in the region. CCA programs are already authorized in six states: California, Ohio, Massachusetts, Rhode Island, Illinois, and New Jersey. This bill revises and expands upon A.7896A-2013 so that all munici- palities in New York may benefit from this invaluable tool to provide lower cost energy, and to promote energy efficiency and renewable energy use consistent with State and Regional objectives. Local Power Inc., which founded Community Choice Aggregation two decades ago and initiated CCA enabling legislation for the States of Massachusetts and California, drafted this bill at the request of Citizens for Local Power.   FISCAL IMPLICATIONS: None   HISTORY: This is a new bill.   EFFECTIVE DATE: Immediate.
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A08883 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          8883
 
                   IN ASSEMBLY
 
                                    February 27, 2014
                                       ___________
 
        Introduced by M. of A. CAHILL -- read once and referred to the Committee
          on Energy
 
        AN  ACT authorizing certain municipalities to participate in a community
          choice energy aggregation program by a single municipality or  through
          an  inter-municipal agreement with two or more municipalities in order
          to coordinate efforts to procure electric and/or gas  supply  services

          on behalf of participating residents, businesses and municipal custom-
          ers within municipal jurisdictional boundaries
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Definitions. The following terms, when used  in  this  act,
     2  shall have the following meanings:
     3    1. "Customer" shall mean a customer of record who received residential
     4  or  non-residential  electric and/or gas supply services from a distrib-
     5  ution utility at the time of a local resolution by his  or  her  munici-
     6  pality to participate in a municipally administered community-wide ener-
     7  gy  aggregation  program,  provided  that  such customer did not receive
     8  electric and gas supply services from an energy services company  and/or
     9  a publicly-owned utility.

    10    2.  "Distribution  utility" or "distribution utilities" shall mean any
    11  investor-owned utility in the state of New York.
    12    3. "Participating customer" shall mean a customer who  receives  elec-
    13  tric  and/or  gas  supply  services  through  a municipally administered
    14  community-wide energy aggregation  program,  including  residential  and
    15  commercial, and municipal customers.
    16    4.    "Community  choice aggregation," "program," or "community energy
    17  aggregation program" shall mean an inter-municipal agreement or a munic-
    18  ipal resolution for the purpose of coordinating or initiating efforts by
    19  a municipality or by community choice aggregators to  request  bids  for
    20  and  potentially  select an ESCO or ESCOs to provide electric and/or gas
    21  supply services to participating residential, commercial and  government
    22  customers.

    23    5.  "Municipal  governing  board"  is single municipal board for local
    24  programs limited  within  municipal  jurisdictional  boundaries,  or  an
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14127-01-4

        A. 8883                             2
 
     1  inter-municipal  agreement  entered  into  by  resolution of two or more
     2  municipal boards aggregating load on a regional basis.
     3    6.  "Energy services company" or "ESCO" shall have the same meaning as
     4  such term is used in subdivision 5 of section 44 of the  public  service
     5  law.
     6    7.  "Municipality"  or  "municipalities"  shall  mean  a city, town or
     7  village located in the state of New York.

     8    8. "Community choice aggregator" or "energy aggregator" shall  mean  a
     9  municipality authorized pursuant to a local resolution to participate in
    10  an inter-municipal agreement establishing a municipal energy aggregation
    11  program  to offer energy services to residential, commercial and munici-
    12  pal customers located  within  the  energy  aggregator's  jurisdictional
    13  boundaries.
    14    9.  "Program  administrator"  shall mean a community choice aggregator
    15  that is designated pursuant to a local municipal governing board  resol-
    16  ution  or  an  inter-municipal agreement, or an employee or a contractor
    17  designated by a community choice aggregator to fulfill the  responsibil-
    18  ities of: (i) requesting and compiling historical usage data of distrib-
    19  ution  utility  customers  as required under this act, (ii) submitting a
    20  request for bids for energy supply services  from  ESCOs  authorized  to

    21  supply electric and/or gas in New York state, and (iii) carrying out the
    22  administration   of   the  contract  and  implementation  of  aggregated
    23  services.
    24    10. "Department: shall mean the New York state  department  of  public
    25  service.
    26    §  2.  Community  choice  aggregation programs. 1. A municipality may,
    27  after adopting a resolution approved by  a  majority  of  its  governing
    28  board,  participate in a community choice aggregation program through an
    29  inter-municipal agreement with one or more municipalities  in  order  to
    30  coordinate  efforts,  or  through  its  own community choice aggregation
    31  program to procure electric and/or gas supply  services,  and  municipal
    32  programs  to  develop  energy  efficiency and renewable energy installa-
    33  tions, gas efficiency and renewable heating technologies  on  behalf  of
    34  its participating customers.

    35    Such  community choice aggregation program must provide for the desig-
    36  nation of a program administrator to  facilitate  the  operations  of  a
    37  community  choice  aggregation program, including but not limited to the
    38  receipt of customer historical usage data information from  distribution
    39  utilities  pursuant  to section three of this act and any communications
    40  necessary with potential ESCOs that would provide  electric  and/or  gas
    41  supply  services for such program, and otherwise entering into contracts
    42  with other energy efficiency and renewable energy developers,  including
    43  gas efficiency and renewable heating technologies, provider power and/or
    44  capacity to the community choice aggregation program.
    45    2.  A  community choice aggregator shall be responsible for responding
    46  to inquiries  regarding  the  particular  community  choice  aggregation

    47  program  in  which it is a participant. Such community choice aggregator
    48  shall provide contact information, including but not limited to a  mail-
    49  ing address, telephone number, e-mail address and fax number at which it
    50  may be contacted in all notices to participating customers.
    51    3. In establishing a contract for electric and/or gas services with an
    52  ESCO,  a program administrator shall comply with article 7 of the public
    53  officers law.
    54    § 3. Establishment of community choice  aggregation  program.  1.  The
    55  program  administrator  designated pursuant to an inter-municipal agree-
    56  ment or municipal resolution establishing a  community-wide  aggregation

        A. 8883                             3
 
     1  program shall provide a copy of such agreement to the distribution util-
     2  ities  and  submit  a  formal request for usage information provided for

     3  under subdivision two of this section.
     4    2.  In  order  to  augment  energy  efficiency  and  renewable  energy
     5  programs, and within 60 days of the establishment of a community  choice
     6  aggregation  program  or of an inter-municipal agreement establishing an
     7  aggregation program  and  the  formal  request,  distribution  utilities
     8  shall,  at  a reasonable cost as determined by the commission within 120
     9  days of the effective date of this act, provide to the program  adminis-
    10  trator  the  following utility information regarding customers receiving
    11  gas and/or electric supply services from such distribution utilities who
    12  are eligible to receive service from the community choice aggregator:
    13    (a) aggregate monthly usage (kWh) by rate schedule: energy consumption
    14  (kWh) for the most recent 60 months of completed  information  for  each

    15  customer class for a given period of time for each municipality included
    16  in the data request;
    17    (b)  customer-specific information from the current billing periods as
    18  well as prior 60 months consisting of the following billing information:
    19  meter number, service  agreement  number,  name  on  agreement,  service
    20  address  with zip code, mailing address with zip code, telephone number,
    21  monthly kWh usage, monthly  maximum  demand  where  available,  Baseline
    22  Zone,  low  income  residential  participation  (Home  Energy Assistance
    23  Program or HEAP), End Use Code (Heat Source), Service  Voltage,  Medical
    24  Baseline,  Meter  Cycle, Bill Cycle, Level Payment Plan and other plans,
    25  HP Load and Number of Units, monthly  rate  schedule  for  all  accounts
    26  within the community choice aggregator's territory;
    27    (c)  system  wide  residential  and non-residential load shapes by New

    28  York Load Zones and New York Control  Area  designations  for  the  most
    29  recent  five  years  for  which  the  distribution utility has completed
    30  information;
    31    (d) standard system average load profiles by rate class also  referred
    32  to  as  Dynamic  Load  Profiles  &  Static  Load  Profiles posted to the
    33  distribution utility's website;
    34    (e) quarterly or monthly  aggregated  participation  data  for  energy
    35  efficiency  programs  already  tracked in New York State Energy Research
    36  and Development Authority reports, as available;
    37    (f) aggregate monthly usage (kWh) by zip code within a city code;
    38    (g) customer-specific information  consisting  of:  service  agreement
    39  number,  monthly  interval meter data where available, and rate schedule
    40  for all accounts within the community choice aggregator's territory;
    41    (h) number of service agreements in each rate schedule within a munic-

    42  ipal energy aggregation's territory or proposed territory;
    43    (i) mapping of customer rate schedule to rate class;
    44    (j)  estimated  annual  generation  revenues   by   community   choice
    45  aggregator's territory;
    46    (k) estimation of peak coincident and non-coincident demands;
    47    (l)  data  fitting  community  choice aggregator's annual usage to New
    48  York Control Area load shapes; estimation of peak  coincident  and  non-
    49  coincident demands;
    50    (m)  total annual kWh loads of bundled customers and customers already
    51  receiving ESCO service, firstly on a monthly basis  and  secondly  on  a
    52  rate schedule basis within the community choice aggregator's territory;
    53    (n)  aggregated  residential,  small  commercial, large commercial and
    54  government annual kWh usage for the past three years in a format by tier
    55  for each rate schedule, and for Time of Use (TOU) rates or other  meter-

        A. 8883                             4
 
     1  specific  rates,  providing  further  separation  by summer/winter peak,
     2  partial peak, and off peak periods and summer/winter period;
     3    (o)  annual  proportional  share of system benefit charge energy effi-
     4  ciency funds for a community choice aggregator's proposed territory;
     5    (p) system benefit charge customer payment by city code;
     6    (q) all electricity usage data at the most granular interval  recorded
     7  by the distribution utility;
     8    (r) all monthly unbundled rate components and charges for each custom-
     9  er;
    10    (s) natural gas consumption and billing data for all customers located
    11  within  the  territorial  boundaries of the community choice aggregator,
    12  similar in extent and specification to what is being  requested  on  the
    13  electricity side (i.e. customer data, consumption data at the most gran-

    14  ular interval available, monthly bills within unbundled charges, and all
    15  data necessary to calculate those charges);
    16    (t) clarification and datasets used to associate gas meters with elec-
    17  tric meters at the building level and customer level;
    18    (u)  all  energy efficiency program data for all customers (by account
    19  number,  service  ID  number,  street  address,  etc),  listing  account
    20  contacts  and  all  recorded activity and information, including but not
    21  limited to on-site or online audits, benchmarking,  retro-commissioning,
    22  and  energy  use  analyses and efficiency recommendations, and paperwork
    23  filed by customers or contractors, and financing information such as  on
    24  bill  financing  amounts  and repayment status, as available, as well as
    25  any associated data sets such as building  information  on  tenant/owner

    26  occupancy,  square  footage  and  year built, as well as rebate code and
    27  measure tables, as available;
    28    (v) demand response program participation  and  all  relevant  metrics
    29  recorded for these programs;
    30    (w)  the type of interconnect agreement and all relevant metrics asso-
    31  ciated with  customers  that  have  already  interconnected  distributed
    32  generation to the distribution utility's distribution grid;
    33    (x) distribution grid data that could impact the siting of distributed
    34  generation  or demand-side assets, in a GIS format including shape-files
    35  and any associated datasets;
    36    (y) the number of customers, by class including  indication  of  those
    37  that  are  currently provided electric and/or gas supply service from an
    38  ESCO, that are not served by a publicly-owned utility;
    39    (z) the aggregate gas and electric usage  of  eligible  customers,  by

    40  class  served, for the 12-month period preceding the request; the system
    41  peak hour or hours that determines capacity buying requirements, and  to
    42  the  degree  that  it  is  available the aggregated load factor by class
    43  served for the 12-month period preceding the request; and
    44    (aa) to the degree that it is available, reasonable efforts to provide
    45  more detailed historic information relating to energy  usage  character-
    46  istics  of  customers,  including but not limited to information by rate
    47  class on meter type, the number of smart meters deployed, kWh usage  and
    48  peak demand information classification, meter reading cycle information,
    49  load  profile  designating information, the number of customers enrolled
    50  in budget billing plans, loss factor information, net-metering  informa-
    51  tion  and  any  other  information deemed useful by the community choice

    52  aggregation program administrator to successfully solicit bids  for  and
    53  implement the aggregation program.
    54    §  4.  Selection  of  ESCO  providers. 1. Upon receipt of utility bulk
    55  information required under section three of this act, the program admin-
    56  istrator is authorized to advertise for the request of bids  from  ESCOs

        A. 8883                             5
 
     1  for  the  provision  of  services  for  a  community  choice aggregation
     2  program. Any request for bids shall specify that a contract  for  aggre-
     3  gation program services must:
     4    (a) include price benchmarks, which shall provide for:
     5    (i) monthly per kWh rates for electric supply services for each appli-
     6  cable  class  of  customers that are before the 12-month average monthly
     7  price supply services provided by distribution utilities or  lower  than

     8  the  distribution  utility's  rate  at the time of a request for bids as
     9  provided for in this section, except insofar  as  customers  voluntarily
    10  pay  higher  rates to pay for and receive ownership benefits from energy
    11  efficiency retrofits and/or renewable distributed generation;
    12    (ii) monthly per Btu rates for gas supply services for each applicable
    13  class of customers that are below the 12-month average monthly price  of
    14  supply  services  provided  by  distribution utilities or lower than the
    15  distribution utility's rate at  the  time  of  a  request  for  bids  as
    16  provided  for  in  this section, except insofar as customers voluntarily
    17  pay higher rates to pay for and receive ownership benefits  from  energy
    18  efficiency retrofits and/or renewable distributed generation;
    19    (b)  provide  that  the  ESCO  will  not levy any form of cancellation

    20  charge to participating customers who, after receiving  electric  and/or
    21  gas  supply  services  from  the  ESCO,  choose  to  receive such supply
    22  services from their respective distribution utility;
    23    (c) provide that the community choice aggregator municipal  board  may
    24  levy  a  cancellation  charge to participating customers only insofar as
    25  such charges cover obligations to repay investment in  renewable  energy
    26  and energy efficiency installations serving participating customers;
    27    (d)  provide  for  a  website  for participating customers to view the
    28  monthly rates charged for electric and/or gas  supply  and  any  related
    29  renewable  energy  and/or  energy efficiency services and products being
    30  offered by the community choice aggregation program administrator; and
    31    (e) provide that any costs associated with preparation for  or  imple-

    32  mentation  of  this program or contract shall be reflected in the bench-
    33  mark per kWh and per Btu bid price.
    34    2. (a) After a review of bids submitted for  energy  supply  services,
    35  community  choice  aggregator are authorized to select the ESCO or ESCOs
    36  that will offer the best service, price, environmental,  greenhouse  gas
    37  reductions,  and  local employment and local business benefits and other
    38  factors considered, provided that the per kWh supply rate for  electric-
    39  ity  and  per  Btu  rate  for  gas  supply services at the initiation of
    40  service is lower than the distribution utility's  average  monthly  rate
    41  for  supply  services  for  the prior 12-month period, or lower than the
    42  distribution utility's rate at  the  time  of  a  request  for  bids  as
    43  provided  for  in  this section and meet the requirements of subdivision

    44  one of this section, provided that community choice aggregator,  may  at
    45  their  discretion,  reject  all  bids or offers and re-advertise for new
    46  bids or offers in a manner provided by this act.
    47    (b) In making a  selection,  community  choice  aggregator  shall  (i)
    48  select  one ESCO for the provision of electric supply services; and (ii)
    49  select one ESCO for the  provision  of  gas  supply  services,  provided
    50  however  that  the  community  choice  aggregators may select an ESCO to
    51  provide both electric and gas  supply  service,  provided  further  that
    52  community  choice  aggregators  may  not  select  any ESCO that has been
    53  deemed ineligible to provide energy services by the department.
    54    (c) in making a selection, community choice aggregators  may  contract
    55  with  any  number of contractors to design, build, operate, and/or main-


        A. 8883                             6
 
     1  tain renewable energy facilities and  energy  efficiency  measures  that
     2  provide power or capacity to the community choice aggregation program.
     3    3.  After selection of an ESCO or ESCOs, the community choice aggrega-
     4  tors are authorized to set rates and to enter into a contract for supply
     5  services by a local law of the  local  governing  board.  Such  contract
     6  shall include:
     7    (a)  provisions  prohibiting the ESCO or ESCOs from denying service to
     8  any customer receiving service from his or her distribution  utility  at
     9  the commencement of such contract;
    10    (b) monthly per kWh rates for electric supply services for each appli-
    11  cable  class  of  customers  that  is  below the average monthly rate of
    12  supply services provided  by  distribution  utilities  in  the  previous

    13  12-month  period  or  lower  than the distribution utility's rate at the
    14  time of a request for  bids  as  provided  for  in  this  section,  with
    15  approval  of  any changes requiring a resolution of the community choice
    16  aggregator's municipal board;
    17    (c) monthly per Btu rates for gas supply services for each  applicable
    18  class  of  customers  that  is  below the average monthly rate of supply
    19  services provided by distribution utilities  in  the  previous  12-month
    20  period  or  lower  than the distribution utility's rate at the time of a
    21  request for bids as provided for in this section with  approval  of  any
    22  changes  requiring  a  resolution  of  the community choice aggregator's
    23  municipal board;
    24    (d) provisions requiring the ESCO or ESCOs to provide electric  and/or
    25  gas  supply  rates lower than the distribution utility's electric and/or

    26  gas supply rates pursuant to paragraphs (b) and (c) of this  subdivision
    27  for  the  duration  of  the  contract, provided that a violation of this
    28  provision shall subject such ESCO to refund participating  customers  at
    29  the  time  of  termination of a contract pursuant to section six of this
    30  act, subject to a determination by resolution of  the  community  choice
    31  aggregator's municipal board;
    32    (e)  provisions  prohibiting a community choice aggregator from opting
    33  out of the contract during the term of such contract;
    34    (f) provisions for the community choice aggregation municipal board to
    35  decide whether to terminate a contract for services if an ESCO fails  to
    36  meet  the  price  benchmarks  pursuant  to this act with the ESCO having
    37  exclusive responsibility for all re-entry fees charged to a  participat-
    38  ing  customer  by  distribution  utilities  for the resumption of supply

    39  services;
    40    (g) provisions indemnifying  community  choice  aggregators  from  all
    41  liabilities, damages and costs associated with the non-performance of an
    42  ESCO operating under a contract for services;
    43    (h) a requirement that the ESCO provide a performance bond if required
    44  by the community choice aggregator; and
    45    (i)  any  other requirement that the community choice aggregators deem
    46  necessary for the adequate and reliable supply of  electric  and/or  gas
    47  supply services to participating customers.
    48    § 5. Notice of community choice aggregation contract required. 1. Upon
    49  the  completion of the contract for services provided for under subdivi-
    50  sion three of section four of this act, the program administrator  shall
    51  obtain from distribution utilities at a reasonable cost as determined by
    52  the  commission  within  60 days of the effective date of this act their

    53  lists of customers that may be affected by such contract and provide the
    54  community choice aggregators with such information, including the trans-
    55  fer of all data on each meter  for  all  eligible  accounts  within  the
    56  community  choice  aggregator  jurisdictional  boundaries for the past 5

        A. 8883                             7
 
     1  years. The community choice aggregator shall then notify such  customers
     2  as  to  the  provisions  of  such contract, including but not limited to
     3  price benchmarks.
     4    2.  Distribution  utilities  must  make all reasonable preparations to
     5  release customers who do not choose to opt-out pursuant  to  subdivision
     6  three  of  this  section  from  receiving  electric  and/or  gas  supply
     7  services, provided that all customers shall continue to receive delivery
     8  services from such utilities.

     9    3. Upon completion of a contract provided for under subdivision  three
    10  of  section  four  of this act, community choice aggregators must mail a
    11  notice to each eligible customer not currently receiving supply services
    12  from a publicly-owned utility, which shall include:
    13    (a) that the customer's municipal board has chosen to participate in a
    14  community choice aggregation contract;
    15    (b) for customers not currently served by an ESCO, that unless  he/she
    16  elects  to opt-out within 60 days of the postmarked notice, such opt-out
    17  customers will become a participating customer and will receive electric
    18  and/or gas  supply  services  through  a  community  choice  aggregation
    19  contract;
    20    (c)  for  customers  not  currently  served  by  an ESCO, instructions
    21  detailing how a customer may submit an opt-out response,  provided  that

    22  such  procedures  shall permit the customer to opt-out at no cost within
    23  sixty days by returning a reply mail form to the program  administrator,
    24  as determined by the community choice aggregation municipal board;
    25    (d)  for customers not currently served by an ESCO, that each customer
    26  who does not elect to opt-out within the prescribed period may elect  to
    27  opt-out of such contract at any time, but may be subject to exit fees by
    28  the community choice aggregator municipal board;
    29    (e)  for customers already served by an ESCO, that each customer wish-
    30  ing to switch to service with the community choice aggregator may do  so
    31  by  opting-in  to the program within sixty days of the postmarked notice
    32  to become a participating  customer  and  receive  electric  and/or  gas
    33  supply services through the community choice aggregation contract;

    34    (f)  for customers already receiving ESCO service that elect to opt-in
    35  to the program, instructions detailing how  a  customer  may  submit  an
    36  opt-in  response, by returning a reply mail form to the program adminis-
    37  trator, as determined by  the  community  choice  aggregation  municipal
    38  board; and
    39    (g)  that  in  the  case  of a participating customer the distribution
    40  utility is no longer  responsible  for  supply  rates  charged  to  such
    41  customer  and  that all complaints about supply service under the aggre-
    42  gation contract shall be the responsibility of the program administrator
    43  and ESCO  or  ESCOs,  according  to  the  community  choice  aggregation
    44  contract.
    45    4.  Immediately  following  the  60-day opt-out period provided for in
    46  paragraph (b) of subdivision three of this section, a  community  choice

    47  aggregator  shall  provide  the program administrator with the following
    48  information:
    49    (a) the number of customers that received electric and/or  gas  supply
    50  services  from such distribution utility who are participating customers
    51  by rate class; and
    52    (b) the name,  address,  and  account  number  of  each  participating
    53  customer.
    54    5.  The  program  administrator,  upon receipt of information required
    55  under subdivision four of this section, shall  submit  such  information
    56  and  the information provided for under subdivision two of section three

        A. 8883                             8
 
     1  of this act to the ESCO or  ESCOs.  Such  ESCOs  shall  commence  supply
     2  services to participating customers.
     3    §  6.  Public  service  commission  review.  1. Within 365 days of the

     4  commencement of gas and/or electric supply services under an aggregation
     5  contract, the commission, after consultation with the  department  shall
     6  commence  an  audit  to ensure such ESCO or ESCOs selected have achieved
     7  benchmarks established pursuant to paragraph (b) of subdivision  one  of
     8  section four of this act.
     9    2.  (a)  If the commission determines that the ESCO or ESCOs providing
    10  gas and/or electric gas supply  services  has  failed  to  achieve  such
    11  benchmarks  as  established in subdivision three of section four of this
    12  act, the contract for services established pursuant to subdivision three
    13  of section four of this act shall be subject to  termination  by  resol-
    14  ution of the community choice aggregator's governing board.
    15    (b)  Within  30  days of the termination of a contract for services by
    16  the community choice aggregator's municipal board, the ESCO shall  issue

    17  payment  to each participating customer for any supply rates above those
    18  specified in the contract, including the cost of any applicable re-entry
    19  fees charged to a customer for resumption of supply services.
    20    (c) The commission  shall  ensure  that  all  customers  eligible  for
    21  resumption  of  electric and/or gas supply service from their respective
    22  distribution utility receive such  services  regardless  of  the  actual
    23  timing  of the payment provided for under paragraph (b) of this subdivi-
    24  sion.
    25    3. An ESCO shall not levy any charge to a community choice  aggregator
    26  to cover expenses related to the termination of a contract.
    27    §  7.  Report.  Within  30  months  of  the  establishment of a supply
    28  services contract for services or upon the termination of such contract,
    29  the commission shall submit a report to  the  executive,  the  temporary

    30  president  of the senate, the speaker of the assembly, the chairs of the
    31  senate energy and telecommunications committee and the  assembly  energy
    32  committee  detailing  the  performance of any aggregation contract. Such
    33  report shall include the following information:
    34    1. the number of participating customers served;
    35    2. the ability of the ESCO or  ESCOs  selected  under  an  aggregation
    36  program to provide adequate supply services;
    37    3. the actual supply rates charged under a contract for services;
    38    4. the amount, if any, of participating customers whose residential or
    39  non-residential service was disconnected; and
    40    5.  any  other  information the public service commission deems neces-
    41  sary.
    42    § 8. Energy services company bill of rights applicable to  participat-
    43  ing  customers.  For purposes of this act the term "customer" as defined

    44  in paragraph (c) of subdivision 1 of section 349-d of the general  busi-
    45  ness law, shall include participating customers.
    46    § 9. This act shall take effect immediately.
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