Assemblyman Brian Curran (Lynbrook-21st AD) joined his Assembly colleagues to vote for restructuring and accountability of the Long Island Power Authority (LIPA).
“The response from LIPA during Hurricane Sandy further highlighted its inability to meet basic operational standards and the inefficiency of Long Island’s utilities. Under this new legislation, a Department of Public Services (DPS) will be created to take over much of the management and oversight of LIPA. DPS will be authorized to make recommendations on rates and charges, LIPA’s emergency response plan, annual capital expenditures, and undertake a comprehensive and much-needed audit of this authority,” said Curran.
“Nassau County and Long Island residents pay nearly double the national average rate for energy. Services, however, have proven less than satisfactory for years or were even non-existent during hurricane Sandy. The cliché ‘you get what you pay for’ has absolutely fallen short in regard to LIPA’s service. Making unwise investments, providing lucrative wages for new employees and consistently failing to budget for storms has left LIPA nearly $7 billion in debt; which accounts for an annual debt service of approximately $300 million, which is in turn passed on to the ratepayer.
“This bill will also liquidate LIPA’s current board and replace it with nine legislative and executive appointees who, as per the legislation, must have relevant utility, corporate board or financial experience. With new and qualified leadership, real changes can be enacted to benefit ratepayers on Long Island. It is finally time to take over the management duties of this utility and put professionals in charge who can make a real difference in the quality of service provided to the ratepayer at a reasonable rate.
“Under the management of DPS, rates will be frozen for two years while these outrageous grievances are addressed. This legislation has allowed New York to appropriately step in to fix an organization that has failed to provide necessary services to Long Islanders.
“The Public Service Enterprise Group (PSEG) will be taking over National Grid’s duties in providing services to ratepayers. PSEG has had a proven record of prompt and reliable service, particularly during storm responses. This change of hands of the utility company, combined with DPS’s oversight of LIPA, will maximize efforts to identify and rectify longstanding issues of LIPA’s poor customer service, maintenance and appropriate storm coverage.
“I understand those people who will be skeptical of the Legislature’s most recent action in trying to solve the problem of electrical costs and poor power management for Long Island. The history of power authorities on Long island has been marked with serious mistakes and miscalculations, starting with the construction of Shoreham Power Plant and continuing straight through to LIPA's gross mishandling of storms from Irene to Sandy. But Nassau County residents should not live in fear that their families will not promptly receive emergency service and basic utility operations during regular times or under extreme adverse conditions. It was less than a year ago when I was handing out food, water, flashlights and firewood in resource centers in Baldwin and East Rockaway because residents in those communities were without electricity for days and weeks with LIPA nowhere to be found. LIPA failed, and now its issues are on the road to being rectified. Long Island residents deserve fair rates and fair service. This legislation starts to provide both,” said Curran.
View Assemblyman Curran’s address to the Assembly at: http://youtu.be/BgC6jw6zYKs.
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