NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A8666
SPONSOR: Santabarbara TITLE OF BILL: An act to amend the public service law, in relation to
requiring legislative approval of increases in utility charges
PURPOSE OR GENERAL IDEA OF BILL:
To require in addition to the consent of the Public Service Commission,
Legislative approval before implementing increases in fees, rentals and
charges for the furnishing or rendition of gas or electric power.
SUMMARY OF SPECIFIC PROVISIONS:
Section 1. This act shall be known and may be cited as the "utility
ratepayer protection act".
§ 2. Subdivision 12 of section 66 of the public service law is amended
by adding a new paragraph (b-1) to read as follows:
(b-1) No change shall be made in any rate or charge, which shall have
been filed by a utility in compliance with an order of the commission,
without the consent of both houses of the legislature by a majority vote
in each house. The utility shall submit a written report to the legisla-
ture at least one hundred eighty days prior to the date when any
proposed increase in fees, rentals and charges for the provision of
services by the utility is scheduled to take effect. Such report shall
include justification for the proposed increase, and information setting
forth the current financial condition of the utility. The legislature
may require any additional data or information that it deems necessary.
If the legislature or the appropriate committees thereof, finds that the
proposed increases are not necessary to produce sufficient revenue to
meet the expense of the provision of services, including the maintenance
and operation of infrastructure,, then no proposed increase shall take
effect until approved by a majority vote of each house of the legisla-
ture.
JUSTIFICATION:
A recent proposal made by National Grid to hike its electricity and
natural gas rates by a whopping 14 percent has drawn a firestorm of
opposition from New Yorkers who already pay the 7th highest energy costs
in the nation.
While the Public Service Commission is charged with assuring consumers
are not subject to excessive rate hikes, they are not accountable to the
voters who ultimately pay for these essential services in an industry
bereft of free market competition and choice.
Currently, these increases are not subject to ratification, and this
bill would provide a much-needed extra layer of protection for ratepay-
ers here in New York State.
PRIOR LEGISLATIVE HISTORY:
New Bill
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
8666
2017-2018 Regular Sessions
IN ASSEMBLY
September 11, 2017
___________
Introduced by M. of A. SANTABARBARA -- read once and referred to the
Committee on Energy
AN ACT to amend the public service law, in relation to requiring legis-
lative approval of increases in utility charges
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. This act shall be known and may be cited as the "utility
2 ratepayer protection act".
3 § 2. Subdivision 12 of section 66 of the public service law is
4 amended by adding a new paragraph (b-1) to read as follows:
5 (b-1) No change shall be made in any rate or charge, which shall have
6 been filed by a utility in compliance with an order of the commission,
7 without the consent of both houses of the legislature by a majority vote
8 in each house. The utility shall submit a written report to the legisla-
9 ture at least one hundred eighty days prior to the date when any
10 proposed increase in fees, rentals and charges for the provision of
11 services by the utility is scheduled to take effect. Such report shall
12 include justification for the proposed increase, and information setting
13 forth the current financial condition of the utility. The legislature
14 may require any additional data or information that it deems necessary.
15 If the legislature, or the appropriate committees thereof, finds that
16 the proposed increases are not necessary to produce sufficient revenue
17 to meet the expense of the provision of services, including the mainte-
18 nance and operation of infrastructure, then no proposed increase shall
19 take effect until approved by a majority vote of each house of the
20 legislature.
21 § 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13394-03-7
