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A10008 Summary:

BILL NOA10008B
 
SAME ASNo Same As
 
SPONSORBudget
 
COSPNSR
 
MLTSPNSR
 
Amend Various Laws, generally
 
Enacts into law major components of legislation necessary to implement the state transportation, economic development and environmental conservation budget for the 2026-2027 state fiscal year; extends provisions of law relating to certain costs of the department of motor vehicles (Part A); extends the accident prevention course internet technology pilot program (Part B); authorizes for-hire autonomous vehicles outside of New York city; extends provisions of law relating thereto (Part E); extends provisions of law relating to certain tax increment financing provisions (Part H); enacts the dairy promotion act; enacts provisions related to the marketing of agricultural products in New York state; repeals certain provisions relating thereto (Part J); extends the refundability of the investment tax credit for farmers (Part K); extends the effectiveness of certain provisions of law relating to the powers and duties of the dormitory authority to establish subsidiaries (Part T); extends the authority of the New York state urban development corporation to administer the empire state economic development fund (Part V); extends the loan powers of the New York state urban development corporation (Part W); requires the registration of data brokers; establishes a data deletion mechanism for consumers; provides for enforcement by an office within the department of financial services and audits, assessments, and rulemaking authority (Part (AA); relates to the annual consumer guide of health insurers (Subpart A); relates to ongoing treatment by an out-of-network provider during pregnancy (Subpart B); relates to accessible formulary drug lists (Subpart C); relates to utilization reviews for treatment for a chronic health condition (Subpart D) (Part HH); extends the effectiveness of the New York state health insurance continuation assistance demonstration project (Part LL); relates to utility intervenor reimbursement to a participant for its reasonable costs of participation in any proceeding before the public service commission (Part OO); directs the environmental facilities corporation to undertake and provide state financial assistance payments to rural municipalities in support of water quality infrastructure projects (Part PP); establishes the excelsior power program to enable utilities and the Long Island power authority to reduce peak demand by remotely operating voluntarily enrolled customers' smart thermostats or otherwise affecting service in exchange for a bill credit (Part QQ); establishes the office of the utility consumer advocate to represent the interests of utility consumers; repeals provisions relating to the utility intervention unit (Part RR); establishes a fare-free bus pilot program within the city of New York (Part SS); establishes a blue ribbon commission on residential affordability through energy savings (RATES commission) to study the causes and origins of rising utility rates and to recommend actions or reforms to reduce rates; provides for the repeal of such commission upon expiration thereof (Subpart A); requires the public service commission to develop a methodology to identify any excess profits resulting from the participation of electric generating facilities in the federally designated bulk system operator's short-term electric commodity markets; requires the remittance to the state of such profits (Subpart B)(Part TT); includes outpatient care provided by creative arts therapists in certain insurance policies covering care for other mental health services (Part UU).
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A10008 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                        10008--B
 
                   IN ASSEMBLY
 
                                    January 21, 2026
                                       ___________
 
        A  BUDGET  BILL,  submitted by the Governor pursuant to article seven of
          the Constitution -- read once and referred to the  Committee  on  Ways
          and  Means -- committee discharged, bill amended, ordered reprinted as
          amended and recommitted to said committee -- again reported from  said
          committee  with amendments, ordered reprinted as amended and recommit-
          ted to said committee

        AN ACT to amend part U1 of chapter 62 of the laws of 2003, amending  the
          vehicle  and traffic law and other laws relating to increasing certain
          motor vehicle transaction fees, in relation to the effectiveness ther-
          eof; and to amend part B of chapter 84 of the laws of  2002,  amending
          the state finance law relating to the costs of the department of motor
          vehicles,  in relation to the effectiveness thereof (Part A); to amend
          chapter 751 of the laws of 2005, amending the insurance  law  and  the
          vehicle   and  traffic  law  relating  to  establishing  the  accident
          prevention course internet technology pilot program,  in  relation  to
          the  effectiveness  thereof  (Part B); intentionally omitted (Part C);
          intentionally omitted (Part D); to amend the vehicle and traffic  law,
          in  relation  to  allowing for-hire autonomous vehicles outside of New
          York City; to amend part FF of chapter 55 of the laws of 2017,  relat-
          ing  to motor vehicles equipped with autonomous vehicle technology, in
          relation to the effectiveness thereof (Part E); intentionally  omitted
          (Part  F); intentionally omitted (Part G); to amend part PP of chapter
          54 of the laws of 2016, amending the public authorities  law  and  the
          general  municipal  law relating to the New York transit authority and
          the metropolitan transportation authority, in  relation  to  extending
          provisions   of  law  relating  to  certain  tax  increment  financing
          provisions (Part H); intentionally omitted  (Part  I);  to  amend  the
          agriculture  and  markets  law,  in  relation  to  dairy promotion and
          marketing of agricultural products in New York state;  and  to  repeal
          sections  16-x,  16-y and 16-z of section 1 of chapter 174 of the laws
          of 1968, constituting the New York state urban development corporation
          act, in relation thereto (Part J); to amend the tax law,  in  relation
          to  extending the refundability of the investment tax credit for farm-
          ers (Part K); intentionally omitted (Part  L);  intentionally  omitted
          (Part  M); intentionally omitted (Part N); intentionally omitted (Part
          O); intentionally omitted (Part P); intentionally  omitted  (Part  Q);
          intentionally  omitted  (Part  R);  intentionally omitted (Part S); to
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD12673-05-6

        A. 10008--B                         2
 
          amend chapter 584 of the laws of 2011, amending the public authorities
          law relating to the powers and duties of the  dormitory  authority  of
          the  state  of  New York relative to the establishment of subsidiaries
          for  certain  purposes, in relation to the effectiveness thereof (Part
          T); intentionally omitted (Part U); to amend the New York state  urban
          development corporation act, in relation to extending the authority of
          the  New  York  state  urban development corporation to administer the
          empire state economic development fund (Part V); to amend chapter  393
          of  the  laws  of  1994, amending the New York state urban development
          corporation act, relating to the powers of the New  York  state  urban
          development  corporation  to make loans, in relation to extending loan
          powers (Part W); intentionally omitted (Part X); intentionally omitted
          (Part Y); intentionally omitted (Part Z); to amend the  general  busi-
          ness  law,  in relation to requiring the registration of data brokers,
          establishing a data deletion mechanism for  consumers,  and  providing
          related  regulatory  provisions (Part AA); intentionally omitted (Part
          BB); intentionally omitted (Part CC); intentionally omitted (Part DD);
          intentionally omitted (Part  EE);  intentionally  omitted  (Part  FF);
          intentionally  omitted  (Part  GG);  to  amend  the  insurance law, in
          relation to the annual consumer guide of health insurers (Subpart  A);
          to  amend  the insurance law and the public health law, in relation to
          ongoing treatment  by  an  out-of-network  provider  during  pregnancy
          (Subpart  B);  to  amend  the insurance law, in relation to accessible
          formulary drug lists (Subpart C); and to amend the insurance  law  and
          the  public  health law, in relation to utilization reviews for treat-
          ment for a chronic health condition  (Subpart  D)  (Part  HH);  inten-
          tionally  omitted  (Part  II); intentionally omitted (Part JJ); inten-
          tionally omitted (Part KK); to amend chapter 495 of the laws of  2004,
          amending  the  insurance law and the public health law relating to the
          New York state health insurance continuation assistance  demonstration
          project,  in  relation  to the effectiveness thereof (Part LL); inten-
          tionally omitted (Part MM); intentionally omitted (Part NN); to  amend
          the  public  service law, in relation to utility intervenor reimburse-
          ment (Part OO); to amend part T of chapter 57  of  the  laws  of  2017
          amending  the  environmental  conservation law, the public health law,
          the public authorities law, the state finance law  and  the  soil  and
          water conservation districts law relating to the implementation of the
          "clean  water  infrastructure  act  of 2017", in relation to providing
          state financial assistance payments to rural municipalities in support
          of water quality infrastructure  projects  (Part  PP);  to  amend  the
          public  service  law  and  the  public authorities law, in relation to
          establishing the excelsior power  program  (Part  QQ);  to  amend  the
          public  service  law,  in relation to establishing the state office of
          the utility consumer advocate; and to repeal subdivision 4 of  section
          94-a  of  the  executive  law, in relation to the utility intervention
          unit (Part RR); in relation to  establishing  a  fare-free  bus  pilot
          program  within  the city of New York (Part SS); establishing the blue
          ribbon commission on residential affordability through energy savings;
          and providing for the repeal of  certain  provisions  upon  expiration
          thereof  (Subpart  A);  and  relating  to  profits  resulting from the
          participation of  electric  generating  facilities  in  the  federally
          designated   bulk  system  operator's  short-term  electric  commodity
          markets (Subpart B)(Part TT); and  to  amend  the  insurance  law,  in
          relation to including outpatient care provided by creative arts thera-
          pists in certain insurance policies (Part UU)

        A. 10008--B                         3
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section  1.  This  act enacts into law major components of legislation
     2  necessary to implement the state  transportation,  economic  development
     3  and  environmental  conservation  budget  for the 2026-2027 state fiscal
     4  year.  Each component is wholly contained within a  Part  identified  as
     5  Parts  A  through  UU.  The effective date for each particular provision
     6  contained within such Part is set forth in  the  last  section  of  such
     7  Part.  Any  provision  in any section contained within a Part, including
     8  the effective date of the Part, which makes a reference to a section "of
     9  this act", when used in connection with that particular component, shall
    10  be deemed to mean and refer to the corresponding section of the Part  in
    11  which  it  is  found.  Section  three of this act sets forth the general
    12  effective date of this act.
 
    13                                   PART A
 
    14    Section 1. Section 13 of part U1 of chapter 62 of the  laws  of  2003,
    15  amending the vehicle and traffic law and other laws relating to increas-
    16  ing  certain  motor vehicle transaction fees, as amended by section 1 of
    17  part G of chapter 58 of the laws of 2024, is amended to read as follows:
    18    § 13. This act shall take effect immediately;  provided  however  that
    19  sections  one through seven of this act, the amendments to subdivision 2
    20  of section 205 of the tax law made by section eight  of  this  act,  and
    21  section nine of this act shall expire and be deemed repealed on April 1,
    22  [2026]  2028;  provided further, however, that the provisions of section
    23  eleven of this act shall take effect April 1, 2004 and shall expire  and
    24  be deemed repealed on April 1, [2026] 2028.
    25    §  2.  Section 2 of part B of chapter 84 of the laws of 2002, amending
    26  the state finance law relating to the costs of the department  of  motor
    27  vehicles, as amended by section 2 of part G of chapter 58 of the laws of
    28  2024, is amended to read as follows:
    29    §  2.  This act shall take effect April 1, 2002; provided, however, if
    30  this act shall become a law after such date it shall take  effect  imme-
    31  diately and shall be deemed to have been in full force and effect on and
    32  after  April  1,  2002;  provided  further, however, that this act shall
    33  expire and be deemed repealed on April 1, [2026] 2028.
    34    § 3. This act shall take effect immediately.
 
    35                                   PART B
 
    36    Section 1. Section 5 of chapter 751 of the laws of 2005, amending  the
    37  insurance  law  and the vehicle and traffic law relating to establishing
    38  the accident prevention course internet  technology  pilot  program,  as
    39  amended  by  section  1  of part F of chapter 58 of the laws of 2024, is
    40  amended to read as follows:
    41    § 5. This act shall take effect on the one hundred eightieth day after
    42  it shall have become a law and shall expire and be deemed repealed April
    43  1, [2026] 2028; provided that any rules  and  regulations  necessary  to
    44  implement  the  provisions of this act on its effective date are author-
    45  ized and directed to be completed on or before such date.
    46    § 2. This act shall take effect immediately.
 
    47                                   PART C

        A. 10008--B                         4
 
     1                            Intentionally Omitted
 
     2                                   PART D
 
     3                            Intentionally Omitted
 
     4                                   PART E
 
     5    Section  1.  Section  3  of part FF of chapter 55 of the laws of 2017,
     6  relating to motor vehicles equipped with autonomous vehicle  technology,
     7  as  amended by section 1 of part J of chapter 58 of the laws of 2024, is
     8  amended to read as follows:
     9    § 3. This act shall take effect April 1, 2017; provided, however, that
    10  section one of this act shall expire and be  deemed  repealed  April  1,
    11  [2026] 2028.
    12    § 2. This act shall take effect immediately.
 
    13                                   PART F
 
    14                            Intentionally Omitted
 
    15                                   PART G
 
    16                            Intentionally Omitted
 
    17                                   PART H
 
    18    Section  1.  Section  3  of  part PP of chapter 54 of the laws of 2016
    19  amending the public authorities law and the general municipal law relat-
    20  ing to the New York transit authority and the  metropolitan  transporta-
    21  tion  authority,  as amended by section 1 of part I of chapter 58 of the
    22  laws of 2025, is amended to read as follows:
    23    § 3. This act shall take effect immediately; provided that the  amend-
    24  ments  to  subdivision  1  of section 119-r of the general municipal law
    25  made by section two of this act shall  expire  and  be  deemed  repealed
    26  April  1,  [2026]  2027, and provided further that such repeal shall not
    27  affect the validity or duration of any contract entered into before that
    28  date pursuant to paragraph f of such subdivision.
    29    § 2. This act shall take effect immediately.
 
    30                                   PART I
 
    31                            Intentionally Omitted
 
    32                                   PART J
 
    33    Section 1. Article 21-AA of the agriculture and markets law is amended
    34  by adding a new section 258-aa to read as follows:
    35    § 258-aa. Dairy promotion act. 1. Declaration of policy. It is  hereby
    36  declared that the dairy industry is a paramount agricultural industry of
    37  this  state,  and is an industry affecting the health and welfare of the

        A. 10008--B                         5
 
     1  inhabitants of the state; that the  continued  existence  of  the  dairy
     2  industry and the continued production of milk on the farms of this state
     3  is  of  vast  economic  importance  to  the  state and to the health and
     4  welfare  of  the  inhabitants thereof; that it is essential, in order to
     5  assure such continued production of milk and its handling  and  distrib-
     6  ution, that prices to producers be such as to return reasonable costs of
     7  production,  and  at the same time assure an adequate supply of milk and
     8  dairy products to consumers at reasonable prices; and to these  ends  it
     9  is  essential that consumers and others be adequately informed as to the
    10  dietary needs and advantages of milk and dairy products and  as  to  the
    11  economies  resulting  from  the  use  of milk and dairy products, and to
    12  command for milk and  dairy  products,  consumer  attention  and  demand
    13  consistent  with their importance and value. It is further declared that
    14  continued decline in the consumption of fluid milk and some other  dairy
    15  products will jeopardize the production of adequate supplies of milk and
    16  dairy  products  because  of  increasing surpluses necessarily returning
    17  less to producers; and that continued  adequate  supplies  of  milk  and
    18  dairy  products is a matter of vital concern as affecting the health and
    19  general welfare of the people of this state. It is therefore declared to
    20  be the legislative intent and policy of the state:
    21    (a) To enable milk producers and others in the  dairy  industry,  with
    22  the  aid  of  the  state, to more effectively promote the consumption of
    23  milk and dairy products;
    24    (b) To provide methods and  means  for  the  development  of  new  and
    25  improved dairy products, and to promote their use; and
    26    (c)  To  this end, eliminate the possible impairment of the purchasing
    27  power of the milk producers of this state  and  to  assure  an  adequate
    28  supply of milk for consumers at reasonable prices.
    29    2. Definitions. As used in this section the following terms shall have
    30  the following meanings:
    31    (a)  "Dairy  products"  means milk and products derived therefrom, and
    32  products of which milk or a portion thereof is a significant part.
    33    (b) "Producer" means any person in this state who is  engaged  in  the
    34  production  of  milk or who causes milk to be produced for any market in
    35  this or any other state.
    36    (c) "Advisory board" means the persons appointed by  the  commissioner
    37  from  nominations from producers as herein defined to assist the commis-
    38  sioner in administering a dairy promotion order.
    39    (d) "Milk dealer"  means  any  person  who  purchases  or  handles  or
    40  receives  or  sells  milk,  including  individuals, partnerships, corpo-
    41  rations, cooperative associations, and unincorporated cooperative  asso-
    42  ciations.
    43    (e) "Dairy promotion order" means an order issued by the commissioner,
    44  pursuant to the provisions of this section.
    45    (f) "Cooperative" means an association or federation or cooperative of
    46  milk  producers organized under the laws of New York state, or any other
    47  state, having agreements with their producer members to market,  bargain
    48  for  or  sell the milk of such producers, and is actually performing one
    49  or more of these services in the marketing of the milk produced by their
    50  members, through the cooperative or through a federation of milk cooper-
    51  atives in which the cooperative has membership.
    52    3. Powers and duties of the commissioner. (a) The  commissioner  shall
    53  administer and enforce the provisions of this section and shall have and
    54  may  exercise  any  or  all the administrative powers conferred upon the
    55  head of a department. In order to effectuate the declared policy of this

        A. 10008--B                         6
 
     1  section the commissioner may, after due notice  and  hearing,  make  and
     2  issue a dairy promotion order, or orders.
     3    (b)  Such order or orders shall be issued and amended or terminated in
     4  accordance with the following procedures:
     5    (i) Before any such order may become effective it shall be approved by
     6  fifty-one per centum of the producers of milk voting in  the  referendum
     7  for  the  area  to be regulated by such order. Such referendum shall not
     8  constitute valid approval  unless  fifty-one  per  centum  of  all  milk
     9  producers for the area to be regulated vote in the referendum.
    10    (ii)  Producers may vote by individual ballot or through their cooper-
    11  atives in accordance with the following procedures:
    12    (1) Cooperatives may submit written approval of such  order  within  a
    13  period of one hundred twenty days after the commissioner has announced a
    14  referendum  on  a  proposed order, for such producers who are listed and
    15  certified to the commissioner as members of such cooperative,  provided,
    16  however,  that  any  cooperative before submitting such written approval
    17  shall give at least sixty days prior written notice to each producer who
    18  is its member, of the intention  of  the  cooperative  to  approve  such
    19  proposed  order,  and  further provide that if such cooperative does not
    20  intend to approve such proposed order, it shall  likewise  give  written
    21  notice  of  at least sixty days to each such producer who is its member,
    22  of its intention not to approve of such proposed order.
    23    (2) Any producer may obtain a ballot from  the  commissioner  so  that
    24  they  may  register  their  own  approval or disapproval of the proposed
    25  order.
    26    (3) A producer who is a member of a  cooperative  which  has  notified
    27  such  producer  of its intent to approve or not to approve of a proposed
    28  order, and who obtains a ballot  and  with  such  ballot  expresses  the
    29  producer's  approval  or disapproval of the proposed order, shall notify
    30  the commissioner as to the name of the cooperative of which the producer
    31  is a member, and the commissioner shall remove such producer's name from
    32  the list certified by such cooperative.
    33    (4) In order to ensure that all milk producers are informed  regarding
    34  a  proposed order, the commissioner shall notify all milk producers that
    35  an order is being considered, and that each producer  may  register  the
    36  producer's approval or disapproval with the commissioner either directly
    37  or through the producer's cooperative.
    38    (5)  The  commissioner  may appoint a referendum advisory committee to
    39  assist and advise the commissioner in the  conduct  of  the  referendum.
    40  Such  committee shall review referendum procedures and the tabulation of
    41  results and shall advise the commissioner of  its  findings.  The  final
    42  certification of the referendum results shall be made by the commission-
    43  er.  The committee shall consist of not less than three members, none of
    44  whom shall be persons directly affected by  the  promotion  order  being
    45  voted  upon. Two members shall be representatives of general farm organ-
    46  izations which are not directly affected by the order being voted  upon.
    47  The  members  of  the  committee shall not receive a salary but shall be
    48  entitled to actual and reasonable expenses incurred in  the  performance
    49  of their duties.
    50    (6)  The  commissioner may, and upon written petition of not less than
    51  ten per centum of the producers in the area, either  as  individuals  or
    52  through  cooperative  representation  shall,  call a hearing to amend or
    53  terminate such order, and any such amendment  or  termination  shall  be
    54  effective only upon approval of fifty-one per centum of the producers of
    55  milk  for  the  area  regulated  participating  in  a referendum vote as
    56  provided pursuant to this paragraph.

        A. 10008--B                         7
 
     1    (c) The commissioner shall  administer  and  enforce  any  such  dairy
     2  promotion order while it is in effect, for the purpose of:
     3    (i)  Encouraging  the  consumption  of  milk  and  dairy  products  by
     4  acquainting consumers and others with  the  advantages  and  economy  of
     5  using more of such products.
     6    (ii)  Protecting  the  health  and welfare of consumers by assuring an
     7  adequate supply of milk and dairy products.
     8    (iii) Providing for research programs  designed  to  develop  new  and
     9  improved dairy products.
    10    (iv)  Providing  for  research programs designed to acquaint consumers
    11  and the public generally with the effects of the use of milk  and  dairy
    12  products on the health of such consumers.
    13    (d)  Carrying  out,  in  other ways, the declared policy and intent of
    14  this section.
    15    4. Provisions of dairy promotion orders. Any dairy promotion order  or
    16  orders may contain, among others, any or all of the following:
    17    (a)  Provision for levying an assessment against all producers subject
    18  to the regulation for the purpose of carrying out the provisions of such
    19  order and to pay the cost of administering and enforcing such order.  In
    20  order  to collect any such assessments, provision shall be made for each
    21  milk dealer who receives milk from producers to  deduct  the  amount  of
    22  assessment from moneys otherwise due to producers for the milk so deliv-
    23  ered.  The  rate  of  such  assessment shall not exceed two per cent per
    24  hundredweight of the gross value of the producer's milk, and  there  may
    25  be  credited  against  any such assessment the amounts per hundredweight
    26  otherwise paid by  any  producer  covered  by  the  order  by  voluntary
    27  contribution  or  otherwise  pursuant to any other federal or state milk
    28  market order for any similar research promotion or  program.    Notwith-
    29  standing  the  provisions  of paragraph (b) of subdivision three of this
    30  section, the commissioner, upon written petition of no less  than  twen-
    31  ty-five  per  cent  of  producers  in the area, either as individuals or
    32  through cooperative representation, may call  a  hearing  for  the  sole
    33  purpose  of  establishing  a  new  rate  of assessment hereunder and may
    34  submit a proposed change in the rate of assessment to the producers  for
    35  acceptance  or  rejection  without  otherwise  affecting  the order. The
    36  producers in the area may vote on the proposed rate either  as  individ-
    37  uals  or through cooperative representation. Notwithstanding the forego-
    38  ing provisions of this paragraph and of  paragraph  (b)  of  subdivision
    39  three of this section, or the provisions of any order promulgated pursu-
    40  ant to this section, the rate of assessment, for any period during which
    41  a  dairy  products  promotion and research order established pursuant to
    42  the federal dairy and tobacco adjustment act of 1983 is in effect, shall
    43  not be less than an amount equal to the maximum credit  which  producers
    44  participating  in  this  state's  dairy  products promotion or nutrition
    45  education programs may receive pursuant to subdivision  (g)  of  section
    46  113 of such federal act.
    47    (b)  Provision  for  payments to organizations engaged in campaigns by
    48  advertisements or otherwise, including participation in similar regional
    49  or national plans or campaigns to promote the increased  consumption  of
    50  milk  and dairy products, to acquaint the public with the dietary advan-
    51  tages of milk and dairy products and with the economy of their inclusion
    52  in the diet and to command, for milk and dairy products, consumer atten-
    53  tion consistent with their importance and value.
    54    (c) Provision for payments to institutions or organizations engaged in
    55  research leading to the development of new or improved dairy products or

        A. 10008--B                         8
 
     1  research with respect to the value of milk and  dairy  products  in  the
     2  human diet.
     3    (d) Provision for requiring records to be kept and reports to be filed
     4  by  milk  dealers  with respect to milk received from producers and with
     5  respect to assessments on the milk of such producers.
     6    (e) Provision for the auditing of the records of such milk dealers for
     7  the purpose of verifying payment of producer assessments.
     8    (f) Provision for an advisory board as hereinafter indicated.
     9    (g) Such other provisions  as  may  be  necessary  to  effectuate  the
    10  declared policies of this section.
    11    5.  Matters  to  be considered. In carrying out the provisions of this
    12  section and particularly in determining whether or not a dairy promotion
    13  order shall be issued, the commissioner shall take  into  consideration,
    14  among others, facts available to them with respect to the following:
    15    (a)  The  total  production  of milk in the area and the proportion of
    16  such milk being utilized in fluid form and in other products;
    17    (b) The prices being received for milk by producers in the area;
    18    (c) The level of consumption per capita for fluid milk  and  of  other
    19  dairy products;
    20    (d) The purchasing power of consumers; and
    21    (e)  Other  products  which  compete  with milk and dairy products and
    22  prices of such products.
    23    6. Interstate orders for compacts. The commissioner is  authorized  to
    24  confer  and  cooperate with the legally constituted authorities of other
    25  states and of the United States with respect to the issuance and  opera-
    26  tion  of joint and concurrent dairy promotion orders or other activities
    27  tending to carry out the declared intent of this  section.  The  commis-
    28  sioner may join with such other authorities in conducting joint investi-
    29  gations,  holding  joint hearings, and issuing joint or concurrent order
    30  or orders complementary to those of the  federal  government  and  shall
    31  have  the  authority to employ or designate a joint agent or joint agen-
    32  cies to carry out and enforce such joint, concurrent,  or  supplementary
    33  orders.
    34    7.  Prior  assessments.  Prior  to  the  effective  date  of any dairy
    35  promotion order as  provided  in  this  section,  the  commissioner  may
    36  require  that  cooperatives  which have petitioned for such an order and
    37  who have approved of the issuance of such an order, to deposit with  the
    38  commissioner  such  amounts  as  the  commissioner may deem necessary to
    39  defray the expense of administering and enforcing such order until  such
    40  time  as the assessments as herein before provided are adequate for that
    41  purpose. Such funds shall be received, deposited, and disbursed  by  the
    42  commissioner in the same manner as other funds received pursuant to this
    43  section  and the commissioner shall reimburse those who paid these prior
    44  assessments from other funds received pursuant to this section.
    45    8. Status of funds. Any moneys collected under any market order issued
    46  pursuant to this section shall not be deemed to be state funds and shall
    47  be deposited in a bank or other depository in this  state,  approved  by
    48  the  commissioner  and  the  state  comptroller, allocated to each dairy
    49  promotion order under which they were collected, and shall be  disbursed
    50  by  the  commissioner  only  for  the necessary expenses incurred by the
    51  commissioner with respect to each separate order, all in accordance with
    52  the rules and regulations of the commissioner. All such  expenses  shall
    53  be  audited by the state comptroller at least annually and within thirty
    54  days after the completion thereof the state  comptroller  shall  give  a
    55  copy  thereof  to  the  commissioner.  Any moneys remaining in such fund
    56  allocable to a particular order, after the termination of such order and

        A. 10008--B                         9
 
     1  not required by the commissioner to defray  the  expenses  of  operating
     2  such  order,  may in the discretion of the commissioner be refunded on a
     3  pro-rata basis to  all  persons  from  whom  assessments  therefor  were
     4  collected;  provided,  however,  that if the commissioner finds that the
     5  amounts so refundable are so small as to make impracticable the computa-
     6  tion and refunding of such moneys, the commissioner may use such  moneys
     7  to  defray  the expenses incurred by them in the promulgation, issuance,
     8  administration or enforcement of any other similar dairy promotion order
     9  or in the absence of any other such dairy promotion order,  the  commis-
    10  sioner  may  pay  such  moneys  to  any  organization  or institution as
    11  provided in paragraph (b) or (c) of subdivision four of this section.
    12    9. Budget. The commissioner shall prepare a budget  for  the  adminis-
    13  tration and operating costs and expenses including advertising and sales
    14  promotion  when required in any dairy promotion order executed hereunder
    15  and to provide for the collection of such necessary fees or  assessments
    16  to  defray  costs  and  expenses,  in  no case to exceed two percent per
    17  hundredweight of the gross value of milk marketed by  producers  in  the
    18  area covered by the order.
    19    10.  Advisory  board. (a) Any dairy promotion order issued pursuant to
    20  this section shall provide for the establishment of an advisory board to
    21  advise and assist the commissioner in the administration of such  order.
    22  This  board  shall  consist  of  not less than five members and shall be
    23  appointed by the commissioner from nominations  submitted  by  producers
    24  marketing milk in the area to which the order applies. Nominating proce-
    25  dure,  qualification,  representation,  and  size  of the advisory board
    26  shall be prescribed in the order for which such board was appointed.
    27    (b) No member of an advisory board shall receive a salary but shall be
    28  entitled to reimbursement of the member's actual and reasonable expenses
    29  incurred while performing such member's duties as authorized herein.
    30    (c) The duties and responsibilities of the  advisory  board  shall  be
    31  prescribed  by  the  commissioner, and the commissioner may specifically
    32  delegate to the advisory board, by  inclusion  in  the  dairy  promotion
    33  order, all or any of the following duties and responsibilities:
    34    (i) The recommendation to the commissioner of administrative rules and
    35  regulations relating to the order.
    36    (ii)  Recommending to the commissioner such amendments to the order as
    37  seems advisable.
    38    (iii) The preparation and submission to the commissioner of  an  esti-
    39  mated budget required for the proper operation of the order.
    40    (iv)  Recommending to the commissioner methods for assessing producers
    41  and methods for collecting the necessary funds.
    42    (v) Assisting the commissioner  in  the  collection  and  assembly  of
    43  information  and  data  necessary  for  the proper administration of the
    44  order.
    45    (vi) The performance of such other duties in connection with the order
    46  as the commissioner shall designate.
    47    11. Rules and regulations enforcement. (a) The commissioner may,  with
    48  the  advice  and  assistance  of the advisory board, make and issue such
    49  rules and regulations as may be necessary to effectuate  the  provisions
    50  and  intent  of  this section and to enforce the provisions of any dairy
    51  promotion order, all of which shall have the force and effect of law.
    52    (b) The commissioner may institute such action at law or in equity  as
    53  may  appear  necessary  to enforce compliance with any provision of this
    54  section, or any rule or regulation, or dairy promotion  order  committed
    55  to the commissioner's administration, and in addition to any other reme-
    56  dy  under  article  three  of  this  chapter or otherwise, may apply for

        A. 10008--B                        10
 
     1  relief by injunction if necessary to protect the public interest without
     2  being compelled to allege or prove that an adequate remedy at  law  does
     3  not  exist.  Such  application shall be made to the supreme court in any
     4  district  or  county  provided in the civil practice law or rules, or to
     5  the supreme court in the third judicial district.
     6    § 2. The agriculture and markets law is amended by adding a new  arti-
     7  cle 25 to read as follows:
     8                                 ARTICLE 25
     9                     MARKETING OF AGRICULTURAL PRODUCTS
    10  Section 291. Legislative declaration.
    11          292. Definitions.
    12          293. Powers and duties of the commissioner.
    13          294. Rules and regulations; enforcement.
    14    § 291. Legislative declaration. It is hereby declared that the market-
    15  ing  of  agricultural commodities and aquatic products in this state, in
    16  excess of reasonable and  normal  market  demands  therefor;  disorderly
    17  marketing  of such commodities; improper preparation for market and lack
    18  of uniform grading and classification of  agricultural  commodities  and
    19  aquatic products; unfair methods of competition in the marketing of such
    20  commodities and the inability of individual producers to develop new and
    21  larger markets for agricultural commodities and aquatic products, result
    22  in  an  unreasonable  and unnecessary economic waste of the agricultural
    23  wealth of this state. Such conditions and the accompanying  waste  jeop-
    24  ardize the future continued production of adequate food supplies for the
    25  people  of  this  and other states. These conditions vitally concern the
    26  health, safety, and general welfare of the people of this state.  It  is
    27  therefore declared the legislative purpose and the policy of this state:
    28    1.  To  enable  agricultural  producers  and aquatic producers of this
    29  state, with the aid of the state,  more  effectively  to  correlate  the
    30  marketing  of  their  agricultural commodities and aquatic products with
    31  market demands therefor.
    32    2. To establish orderly, efficient, and equitable marketing  of  agri-
    33  cultural commodities and aquatic products.
    34    3.  To  provide for uniform grading and proper preparation of agricul-
    35  tural commodities and aquatic products for market.
    36    4. To provide methods and means for the development of new and  larger
    37  markets  for  agricultural  commodities and aquatic products produced in
    38  New York.
    39    5. To eliminate or reduce the economic waste in the marketing of agri-
    40  cultural commodities and aquatic products.
    41    6. To eliminate unjust impairment of the purchasing power  of  aquatic
    42  producers and the agricultural producers of this state.
    43    7.  To aid agricultural and aquatic producers in maintaining an income
    44  at an adequate and equitable level.
    45    § 292. Definitions. For the purposes of this  article,  the  following
    46  terms shall have the following meanings:
    47    1.  "Agricultural commodity" means any and all agricultural, horticul-
    48  tural, vineyard products, corn for grain, oats, soybeans, barley, wheat,
    49  poultry or poultry products, bees, maple sap  and  pure  maple  products
    50  produced  therefrom,  Christmas  trees,  livestock, including swine, and
    51  honey, sold in the state either in their natural state or  as  processed
    52  by  the  producer  thereof  but  does not include milk, timber or timber
    53  products, other than Christmas trees, all hay, rye  and  legumes  except
    54  for soybeans.
    55    2. "Aquaculture" means the culture, cultivation and harvest of aquatic
    56  plants and animals.

        A. 10008--B                        11
 
     1    3.  "Aquatic  products"  means  any  food  or  fiber products obtained
     2  through the  practice  of  aquaculture,  including  mariculture;  or  by
     3  harvest  from  the  sea when such products are cultured or landed in New
     4  York state. Such products include but are not limited to  fish,  shellf-
     5  ish, seaweed, or other water-based plant life.
     6    4.  "Producer" means any person engaged within this state in the busi-
     7  ness of producing, or causing to be produced for any market,  any  agri-
     8  cultural commodity or aquatic product.
     9    5.  "Handler"  means  any  person engaged in the operation of packing,
    10  grading, selling, offering for sale, or marketing any  marketable  agri-
    11  cultural  commodities or aquatic products, who as owner, agent or other-
    12  wise ships or causes an agricultural commodity to be shipped.
    13    6. "Processor" means any person engaged within this state in  process-
    14  ing, or in the operation of receiving, grading, packing, canning, freez-
    15  ing, dehydrating, fermenting, distilling, extracting, preserving, grind-
    16  ing, crushing, or in any other way preserving or changing the form of an
    17  agricultural  product  or  aquatic  product for the purpose of marketing
    18  such commodity but shall not include a person engaged  in  manufacturing
    19  from  an agricultural commodity or aquatic product another and different
    20  product.
    21    7. "Distributor" means any person engaged within this state, in  sell-
    22  ing,  offering  for  sale,  marketing  or  distributing  an agricultural
    23  commodity or aquatic product which they have purchased or acquired  from
    24  a  producer  or  other person or which they are marketing on behalf of a
    25  producer or other person, whether as owner, agent, employee,  broker  or
    26  otherwise,  but  shall  not include a retailer, except such retailer who
    27  purchases or acquires from, or handles on  behalf  of  any  producer  or
    28  other  person,  an  agricultural commodity or aquatic product subject to
    29  regulation by the marketing agreement or order covering such commodity.
    30    8. "Marketing agreement" means an agreement  entered  into,  with  the
    31  approval of the commissioner, by producers with distributors, processors
    32  and  handlers  regulating the preparation, sale and handling of agricul-
    33  tural commodities or aquatic products.
    34    9. "Marketing order" means an order issued by the commissioner  pursu-
    35  ant  to  this  article,  prescribing rules and regulations governing the
    36  marketing for processing, the distributing, the sale of, or the handling
    37  in any manner of any agricultural commodity or aquatic product  sold  in
    38  this state during any specified period or periods.
    39    §  293. Powers and duties of the commissioner. 1. In order to effectu-
    40  ate the declared policy of this article, the commissioner may, after due
    41  notice and opportunity for hearing, approve marketing agreements,  which
    42  marketing  agreements  shall  thereupon  be binding upon the signatories
    43  thereto exclusively.
    44    2. The commissioner may make and issue  marketing  orders,  after  due
    45  notice and opportunity for hearing, subject to:
    46    (a)  Approval  of not less than sixty-six and two-thirds per centum of
    47  the producers participating in a referendum in the area affected, or
    48    (b) Approval of not less than sixty-five per centum of  the  producers
    49  participating  in  a  referendum  vote, in the area affected, and having
    50  marketed not less than fifty-one per centum of the total quantity of the
    51  commodity which was marketed in the next preceding marketing  season  by
    52  all producers that voted in the referendum, or
    53    (c)  Approval  of  not less than fifty-one per centum of the producers
    54  participating in a referendum vote, in the  area  affected,  and  having
    55  marketed  not  less  than sixty-five per centum of the total quantity of

        A. 10008--B                        12

     1  the commodity which was marketed in the next preceding marketing  season
     2  by all producers that voted in the referendum.
     3    3. The commissioner may and upon written petition duly signed by twen-
     4  ty-five  per  centum of the producers in the area shall, amend or termi-
     5  nate such order after  due  notice  and  opportunity  for  hearing,  but
     6  subject  to  the  approval  of  not  less  than fifty per centum of such
     7  producers participating in a referendum vote.
     8    4. The commissioner shall administer and enforce any marketing  order,
     9  while it is in effect, to:
    10    (a)  Encourage  and  maintain  stable prices received by producers for
    11  such agricultural commodity and aquatic product  at  a  level  which  is
    12  consistent with the provisions and aims of this article.
    13    (b)  Prevent  the  unreasonable or unnecessary waste of land or water-
    14  based wealth.
    15    (c) Protect the interests of consumers of such commodity, by  exercis-
    16  ing  the powers of this article to such extent as is necessary to effec-
    17  tuate the purposes of this article.
    18    (d) Prepare a budget for the administration and  operating  costs  and
    19  expenses  including advertising and sales promotion when required in any
    20  marketing agreement or order executed hereunder and to provide  for  the
    21  collection  of such necessary fees to defray such costs and expenses, in
    22  no case to exceed five percent of the gross dollar volume  of  sales  or
    23  dollar volume of purchases or amounts handled, to be collected from each
    24  person engaged in the production, processing, distributing or the handl-
    25  ing  of  any  marketable  agricultural  commodity  and  aquatic  product
    26  produced or landed in this state and directly affected by any  marketing
    27  order issued pursuant to this article for such commodity.
    28    (e)  Confer  and cooperate with the legally constituted authorities of
    29  other states and the United States.
    30    5. Any marketing agreement or order issued by the commissioner  pursu-
    31  ant to this article may contain any or all of the following:
    32    (a) Provisions for determining the existence and extent of the surplus
    33  of  any agricultural commodity, or of any grade, size, or quality there-
    34  of, and providing for the regulation and disposition of such surplus.
    35    (b) Provisions for limiting the total  quantity  of  any  agricultural
    36  product,  or  of  any  grade  or  grades,  size  or sizes, or quality or
    37  portions or combinations thereof, which may be marketed during any spec-
    38  ified period or periods. Such total quantity of any  such  commodity  so
    39  regulated  shall  not  be  less than the quantity which the commissioner
    40  shall find is reasonably  necessary  to  supply  the  market  demand  of
    41  consumers for such commodity.
    42    (c)  Provisions  regulating  the  period, or periods, during which any
    43  agricultural commodity, or any grade or grades, size or sizes or quality
    44  or portions or combinations of such commodity, may be marketed.
    45    (d) Provisions for the establishment of  uniform  grading,  standards,
    46  and  inspection  of any agricultural commodity delivered by producers or
    47  other persons to handlers, processors, distributors or  others  engaging
    48  in  the handling thereof, and for the establishment of grading or stand-
    49  ards of quality, condition, size, maturity or pack for any  agricultural
    50  commodity,  and  the inspection and grading of such commodity in accord-
    51  ance with such grading or standards so established; and  for  provisions
    52  that  no producer, handler, processor or distributor of any agricultural
    53  commodity for which grading or standards are so established may,  except
    54  as  otherwise provided in such marketing agreement or order, sell, offer
    55  for sale, process, distribute or otherwise  handle  any  such  commodity
    56  whether produced within or without this state, not meeting and complying

        A. 10008--B                        13
 
     1  with  such  established  grading  or standards. For the purposes of this
     2  article,  the  federal-state  inspection  service  shall   perform   all
     3  inspections made necessary by such provisions.
     4    (e)  Provisions for the establishment of research programs designed to
     5  benefit a specified commodity or New York agriculture in general.
     6    (f) Such other provisions  as  may  be  necessary  to  effectuate  the
     7  declared policies of this article.
     8    (g)  Provisions to establish marketing promotion and research programs
     9  for aquatic products which may include paragraphs  (a)  through  (f)  of
    10  this subdivision.
    11    6. The commissioner may temporarily suspend the operation of an effec-
    12  tive marketing order for a continuing period of no longer than one grow-
    13  ing  and  marketing  season,  if the purposes of this article are deemed
    14  unnecessary during such season.
    15    7. In carrying out the purposes  of  this  article,  the  commissioner
    16  shall  take  into consideration any and all facts available to them with
    17  respect to the following economic factors:
    18    (a) The quantity of such agricultural commodity available for distrib-
    19  ution.
    20    (b) The quantity of such agricultural commodity normally  required  by
    21  consumers.
    22    (c) The cost of producing such agricultural commodity.
    23    (d) The purchasing power of consumers.
    24    (e)  The  level of prices of commodities, services, and articles which
    25  the farmers commonly buy.
    26    (f) The level of prices of other commodities which compete with or are
    27  utilized as substitutes for such agricultural commodity.
    28    8. The execution of such  marketing  agreements  shall  in  no  manner
    29  affect  the  issuance,  administration  or  enforcement of any marketing
    30  order provided for in this article.  The  commissioner  may  issue  such
    31  marketing order without executing a marketing agreement or may execute a
    32  marketing  agreement without issuing a marketing order covering the same
    33  commodity.  The commissioner, in their discretion, may hold a concurrent
    34  hearing upon a proposed marketing agreement  and  a  proposed  marketing
    35  order  in  the manner provided for giving due notice and opportunity for
    36  hearing for a marketing order as provided in this article.
    37    9. Prior to the issuance, amendment or termination  of  any  marketing
    38  order,  the  commissioner  may require the applicants for such issuance,
    39  amendment, or termination to deposit with them such amount as  they  may
    40  deem  necessary to defray the expenses of preparing and making effective
    41  amending or terminating a marketing order. Such funds shall be received,
    42  deposited, and disbursed by the commissioner in the same manner as other
    43  fees received by the commissioner under this article and, in  the  event
    44  the  application  for  adoption, amendment or termination of a marketing
    45  order is approved in a referendum, the commissioner shall reimburse  any
    46  such  applicant  in  the  amount of any such deposit from any unexpended
    47  monies collected under the marketing order affected by such referendum.
    48    10. Any moneys collected by the commissioner pursuant to this  article
    49  shall  not  be  deemed  state  funds and shall be deposited in a bank or
    50  other depository in this state, approved by the commissioner,  allocated
    51  to  each  marketing  order  under which they are collected, and shall be
    52  disbursed by the commissioner only for the necessary  expenses  incurred
    53  by  the commissioner with respect to each such separate marketing order,
    54  all in accordance with the rules and regulations  of  the  commissioner.
    55  All such expenditures shall be audited by the state comptroller at least
    56  annually  and  within thirty days after the completion thereof the state

        A. 10008--B                        14
 
     1  comptroller shall give a copy thereof to the  commissioner.  Any  moneys
     2  remaining in such fund allocable to any particular commodity affected by
     3  a  marketing  order  may,  in  the  discretion  of  the commissioner, be
     4  refunded  at  the close of any marketing season upon a pro-rata basis to
     5  all persons from whom assessments therefor were collected  or,  whenever
     6  the  commissioner  finds that such moneys may be necessary to defray the
     7  cost of operating such marketing order in a succeeding marketing season,
     8  they may carry over all or any portion of such moneys into the next such
     9  succeeding season. Upon the  termination  by  the  commissioner  of  any
    10  marketing  order,  all  moneys remaining and not required by the commis-
    11  sioner to defray the expenses of operating such marketing  order,  shall
    12  be  refunded  by  the  commissioner upon a pro-rata basis to all persons
    13  from whom assessments therefor were collected; provided,  however,  that
    14  if the commissioner finds that the amounts so refundable are so small as
    15  to make impracticable the computation and refunding of such refunds, the
    16  commissioner  may use such moneys to defray the expenses incurred by the
    17  commissioner in the formulation, issuance, administration or enforcement
    18  of any subsequent marketing order for such commodity.
    19    11. Advisory board. (a) Any marketing order issued  pursuant  to  this
    20  article  shall  provide  for  the establishment of an advisory board, to
    21  consist of not less than five members nor more  than  nine  members,  to
    22  advise the commissioner in the administration of such marketing order in
    23  accordance  with  its  terms  and  provisions. The members of such board
    24  shall be appointed by the commissioner from  nominations  received  from
    25  the  commodity group for which the marketing order is established. Nomi-
    26  nating procedure, qualification, representation, and size of  the  advi-
    27  sory  board  shall  be prescribed in each marketing order for which such
    28  board is appointed. Each  advisory  board  shall  be  composed  of  such
    29  producers  and  handlers  or  processors as are directly affected by the
    30  marketing order in such proportion of representation as the order  shall
    31  prescribe.  The  commissioner  may  appoint  one person who is neither a
    32  producer nor processor nor other handler to represent the department  of
    33  agriculture and markets or the public generally.
    34    (b)  No  member  of an advisory board shall receive a salary, but each
    35  shall be entitled to reimbursement  for  the  member's  actual  expenses
    36  incurred  while engaged in performing the member's duties herein author-
    37  ized.
    38    (c) The duties and responsibilities of each advisory  board  shall  be
    39  prescribed  by  the  commissioner, and they may specifically delegate to
    40  the advisory board, by inclusion in the marketing order, all or  any  of
    41  the following duties and responsibilities:
    42    (i) The recommendation to the commissioner of administrative rules and
    43  regulations relating to the marketing order.
    44    (ii) Recommending to the commissioner such amendments to the marketing
    45  order as seem advisable.
    46    (iii)  The preparation and submission to the commissioner of the esti-
    47  mated budget required or the proper operation of the marketing order.
    48    (iv) Recommending to the commissioner methods for assessing members of
    49  the industry and methods for collecting the necessary funds.
    50    (v) Assisting the commissioner in the  collection  and  assembling  of
    51  information  and  data  necessary  to  the  proper administration of the
    52  order.
    53    (vi) The performance of such  other  duties  in  connection  with  the
    54  marketing order as the commissioner shall designate.
    55    §  294.  Rules  and  regulations; enforcement. 1. The commissioner may
    56  make and promulgate such rules and regulations as may  be  necessary  to

        A. 10008--B                        15
 
     1  effectuate  the provisions and intent of this article and to enforce the
     2  provision of any marketing agreement or order, all of which  shall  have
     3  the force and effect of law.
     4    2.  The  commissioner may institute such action at law or in equity as
     5  may appear necessary to enforce compliance with any  provision  of  this
     6  article,  or  any  rule  or  regulation,  marketing  agreement or order,
     7  committed to the commissioner's administration, and in addition  to  any
     8  other  remedy under article three of this chapter or otherwise may apply
     9  for relief by injunction if necessary to  protect  the  public  interest
    10  without  being  compelled  to allege or prove that an adequate remedy at
    11  law does not exist. Such application may be made to the supreme court in
    12  any district or county as provided in the civil practice law and  rules,
    13  or to the supreme court in the third judicial district.
    14    §  3.  Sections 16-x, 16-y and 16-z of section 1 of chapter 174 of the
    15  laws of 1968, constituting the New York state urban  development  corpo-
    16  ration act, are REPEALED.
    17    §  4.  Notwithstanding  the  repeal of sections 16-x, 16-y and 16-z of
    18  section 1 of chapter 174 of the laws of 1968, constituting the New  York
    19  state  urban  development  corporation  act pursuant to section three of
    20  this act the marketing orders, and the  regulatory  provisions  relating
    21  thereto, set forth under parts 40, 200, 201, 203, 204 and 205 of title 1
    22  of the New York codes, rules and regulations, shall remain in full force
    23  and effect.
    24    §  5.  Notwithstanding  the  repeal of sections 16-x, 16-y and 16-z of
    25  section 1 of chapter 174 of the laws of 1968, constituting the New  York
    26  state  urban  development  corporation  act pursuant to section three of
    27  this act, all contracts entered into pursuant to such repealed  sections
    28  that  continue  in force and effect after the effective date of this act
    29  and shall be assigned to the department of agriculture and markets,  and
    30  all  undisbursed funds under the control of the urban development corpo-
    31  ration in connection with the marketing orders shall be  transferred  to
    32  the  department  of agriculture and markets on or before the forty-fifth
    33  day following the effective date of this act; and  any  assessments  due
    34  and payable under such marketing orders shall be remitted to the depart-
    35  ment  of  agriculture and markets beginning upon the thirtieth day after
    36  the effective date of this act.
    37    § 6. This act shall take effect July 1, 2026.
 
    38                                   PART K

    39    Section 1. Paragraph (d) of subdivision 1 of section 210-B of the  tax
    40  law,  as  amended  by  section  1 of part C of chapter 59 of the laws of
    41  2023, is amended to read as follows:
    42    (d) Except as otherwise provided in this paragraph, the credit allowed
    43  under this subdivision for any taxable year shall not reduce the tax due
    44  for such year to less than the fixed dollar minimum amount prescribed in
    45  paragraph (d) of subdivision one of section  two  hundred  ten  of  this
    46  article.  However, if the amount of credit allowable under this subdivi-
    47  sion for any taxable year reduces the tax  to  such  amount  or  if  the
    48  taxpayer  otherwise  pays  tax based on the fixed dollar minimum amount,
    49  any amount of credit allowed for a  taxable  year  commencing  prior  to
    50  January  first, nineteen hundred eighty-seven and not deductible in such
    51  taxable year may be carried over to the following year or years and  may
    52  be  deducted  from  the  taxpayer's tax for such year or years but in no
    53  event shall such credit be carried over to taxable years  commencing  on
    54  or  after  January  first,  two  thousand  two, and any amount of credit

        A. 10008--B                        16
 
     1  allowed for a taxable year commencing on or after January  first,  nine-
     2  teen hundred eighty-seven and not deductible in such year may be carried
     3  over  to  the fifteen taxable years next following such taxable year and
     4  may be deducted from the taxpayer's tax for such year or years.  In lieu
     5  of  such carryover, (i) any such taxpayer which qualifies as a new busi-
     6  ness under paragraph (f) of this subdivision  may  elect  to  treat  the
     7  amount  of  such  carryover  as  an overpayment of tax to be credited or
     8  refunded in accordance with the provisions of section ten hundred eight-
     9  y-six of this chapter, and (ii) any such taxpayer that  is  an  eligible
    10  farmer,  as defined in subdivision eleven of this section, may for taxa-
    11  ble years beginning before January first,  two  thousand  [twenty-eight]
    12  thirty-three, elect to treat the amount of such carryover as an overpay-
    13  ment of tax to be credited or refunded in accordance with the provisions
    14  of  section  one thousand eighty-six of this chapter, provided, however,
    15  the provisions of subsection (c) of section ten hundred eighty-eight  of
    16  this chapter notwithstanding, no interest shall be paid thereon.
    17    §  2.  Paragraph 5 of subsection (a) of section 606 of the tax law, as
    18  amended by section 2 of part C of chapter 59 of the  laws  of  2023,  is
    19  amended to read as follows:
    20    (5)  If  the  amount of credit allowable under this subsection for any
    21  taxable year shall exceed the taxpayer's tax for such year,  the  excess
    22  allowed  for  a taxable year commencing prior to January first, nineteen
    23  hundred eighty-seven may be carried over to the following year or  years
    24  and  may be deducted from the taxpayer's tax for such year or years, but
    25  in no event shall such credit be carried over to taxable years  commenc-
    26  ing  on  or  after January first, nineteen hundred ninety-seven, and any
    27  amount of credit allowed for a taxable year commencing on or after Janu-
    28  ary first, nineteen hundred eighty-seven and not deductible in such year
    29  may be carried over to the ten taxable years next following such taxable
    30  year and may be deducted from the taxpayer's tax for such year or years.
    31  In lieu of carrying over any such excess, (A) a taxpayer  who  qualifies
    32  as  an  owner  of  a  new business for purposes of paragraph ten of this
    33  subsection may, at the taxpayer's  option,  receive  such  excess  as  a
    34  refund,  and  (B)  a  taxpayer  that is an eligible farmer as defined in
    35  subsection (n) of this section may, at the taxpayer's option, for  taxa-
    36  ble  years  beginning  before January first, two thousand [twenty-eight]
    37  thirty-three, receive such excess as a refund. Any refund paid  pursuant
    38  to  this  paragraph  shall be deemed to be a refund of an overpayment of
    39  tax as provided in section  six  hundred  eighty-six  of  this  article,
    40  provided, however, that no interest shall be paid thereon.
    41    § 3. This act shall take effect immediately.
 
    42                                   PART L
 
    43                            Intentionally Omitted
 
    44                                   PART M

    45                            Intentionally Omitted
 
    46                                   PART N
 
    47                            Intentionally Omitted

        A. 10008--B                        17
 
     1                                   PART O
 
     2                            Intentionally Omitted
 
     3                                   PART P
 
     4                            Intentionally Omitted
 
     5                                   PART Q
 
     6                            Intentionally Omitted
 
     7                                   PART R
 
     8                            Intentionally Omitted
 
     9                                   PART S
 
    10                            Intentionally Omitted
 
    11                                   PART T
 
    12    Section  1. Section 2 of chapter 584 of the laws of 2011, amending the
    13  public authorities law relating to the powers and duties of the dormito-
    14  ry authority of the state of New York relative to the  establishment  of
    15  subsidiaries  for certain purposes, as amended by section 1 of part V of
    16  chapter 58 of the laws of 2024, is amended to read as follows:
    17    § 2. This act shall take effect immediately and shall  expire  and  be
    18  deemed repealed on July 1, [2026] 2028; provided however, that the expi-
    19  ration  of  this  act  shall  not  impair or otherwise affect any of the
    20  powers, duties, responsibilities, functions, rights  or  liabilities  of
    21  any  subsidiary  duly  created  pursuant  to  subdivision twenty-five of
    22  section 1678 of the public authorities law prior to such expiration.
    23    § 2. This act shall take effect immediately.
 
    24                                   PART U
 
    25                            Intentionally Omitted

    26                                   PART V
 
    27    Section 1. Subdivision 3 of section 16-m of section 1 of  chapter  174
    28  of  the  laws  of 1968 constituting the New York state urban development
    29  corporation act, as amended by section 1 of part EE of chapter 58 of the
    30  laws of 2025, is amended to read as follows:
    31    3. The provisions of this section shall  expire,  notwithstanding  any
    32  inconsistent provision of subdivision 4 of section 469 of chapter 309 of
    33  the laws of 1996 or of any other law, on July 1, [2026] 2027.
    34    § 2. This act shall take effect immediately.

        A. 10008--B                        18
 
     1                                   PART W
 
     2    Section  1. Section 2 of chapter 393 of the laws of 1994, amending the
     3  New York state urban development corporation act, relating to the powers
     4  of the New York state urban development corporation to  make  loans,  as
     5  amended  by  section  1 of part FF of chapter 58 of the laws of 2025, is
     6  amended to read as follows:
     7    § 2. This act shall take effect immediately  provided,  however,  that
     8  section  one  of  this act shall expire on July 1, [2026] 2027, at which
     9  time the provisions of subdivision 26 of section 5 of the New York state
    10  urban development corporation act shall be  deemed  repealed;  provided,
    11  however,  that neither the expiration nor the repeal of such subdivision
    12  as provided for herein shall be deemed to affect or impair in any manner
    13  any loan made pursuant to the authority of  such  subdivision  prior  to
    14  such expiration and repeal.
    15    § 2. This act shall take effect immediately.
 
    16                                   PART X

    17                            Intentionally Omitted
 
    18                                   PART Y
 
    19                            Intentionally Omitted
 
    20                                   PART Z
 
    21                            Intentionally Omitted
 
    22                                   PART AA
 
    23    Section 1. The general business law is amended by adding a new article
    24  42-A to read as follows:
    25                                ARTICLE 42-A
    26                                DATA BROKERS
    27  Section 1150. Definitions.
    28          1151. Jurisdictional scope.
    29          1152. Registration of data brokers.
    30          1153. Data deletion mechanism.
    31          1154. Audit.
    32          1155. Rulemaking.
    33          1156. Powers, duties and adjudicatory proceedings.
    34          1157. Assessments.
    35          1158. Enforcement.
    36    §  1150.  Definitions. The following definitions apply throughout this
    37  article unless the context clearly requires otherwise:
    38    1. "artificial intelligence  system  or  model"  means  an  artificial
    39  intelligence  that  can  generate  derived  synthetic content, including
    40  text, images, video, and audio, that emulates the structure and  charac-
    41  teristics of the system's training data.
    42    2. "biometric data" means any measurable physical, behavioral or phys-
    43  iological  characteristics  that  is  attributable  to a natural person,
    44  including, but not limited to, facial characteristics, fingerprint char-

        A. 10008--B                        19

     1  acteristics, hand characteristics, eye characteristics, vocal character-
     2  istics, and any other characteristics that can be  used  to  identify  a
     3  person,  including  but  not  limited to, fingerprints, handprints, iris
     4  patterns  or  retina  scans, DNA sequence, voice, gait, and facial geom-
     5  etry.  "Biometric data" does not include a digital  or  physical  photo-
     6  graph, an audio or video recording, or any data generated from a digital
     7  or physical photograph, or an audio or video recording, unless such data
     8  is generated to identify a specific individual.
     9    3. "consumer" means a natural person who is a New York resident acting
    10  only  in  an  individual  or  household  context.  It does not include a
    11  natural person known to  be  acting  in  a  professional  or  employment
    12  context.
    13    4.  "dark  patterns"  means  user  interfaces  that  subvert or impair
    14  consumers' autonomy, decision making, or  choice  when  asserting  their
    15  privacy rights or consenting.
    16    5.  "data broker" means a person or entity that knowingly collects and
    17  sells to third parties the personal information of a consumer with  whom
    18  the person or entity does not have a direct relationship.
    19    6. "foreign actor" means either:
    20    (a) the government of a foreign adversary country.
    21    (b)  a  partnership,  association, corporation, organization, or other
    22  combination of persons organized under the laws of or having its princi-
    23  pal place of business in a foreign adversary country.
    24    7. "foreign adversary  country"  has  the  same  meaning  as  "covered
    25  nation"  as  defined  in  Section  4872 of Title 10 of the United States
    26  Code.
    27    8. "minor" means a natural person under the age of eighteen.
    28    9. "personal information" means any  data  that  identifies  or  could
    29  reasonably  be  linked,  directly or indirectly, with a specific natural
    30  person, or household. "Personal information" does not include  deidenti-
    31  fied  data,  information  that  is lawfully made publicly available from
    32  federal, state or  local  government  records,  or  information  that  a
    33  controller  has a reasonable basis to believe is lawfully made available
    34  to the general public by the consumer or from widely distributed media.
    35    10. "precise geolocation data" means information derived from technol-
    36  ogy, including, but not limited  to,  global  positioning  system  level
    37  latitude  and  longitude  coordinates or other mechanisms, that directly
    38  identifies the specific location of an  individual  with  precision  and
    39  accuracy  within  a  radius  of  one  thousand seven hundred fifty feet,
    40  except as prescribed by regulations. Precise geolocation data  does  not
    41  include  the  content  of  communications  or  any  data generated by or
    42  connected to advance utility metering infrastructure systems  or  equip-
    43  ment for use by a utility.
    44    11. "protected health information" has the same meaning as in Title 45
    45  C.F.R., established pursuant to the federal Health Insurance Portability
    46  and Accountability Act of 1996.
    47    12.  "verifiable  consumer  request" means a request that is made by a
    48  consumer, by a consumer on behalf of such consumer's minor child, or  by
    49  a  person  who  has  power of attorney or is acting as a conservator for
    50  such consumer, and that the data broker can verify,  using  commercially
    51  reasonable  methods,  pursuant to any regulations adopted by the office,
    52  to be such consumer about whom the data broker  has  collected  personal
    53  information.
    54    13. "department" means the department of financial services.
    55    14. "superintendent" means the superintendent of financial services.

        A. 10008--B                        20
 
     1    15.  "office"  shall mean an office within the department, which shall
     2  report to the superintendent, and is tasked with the  implementation  of
     3  this article.
     4    § 1151. Jurisdictional  scope.  This  article  applies to data brokers
     5  that conduct business in New York state or produce products or  services
     6  that  are  targeted  to  residents of New York state, and satisfy one or
     7  more of the following thresholds:
     8    1. has an annual gross revenue of twenty-five million dollars or more;
     9    2. controls or processes personal data of one hundred thousand custom-
    10  ers or more; and/or
    11    3. derives over fifty percent  of  gross  revenue  from  the  sale  of
    12  personal data.
    13    §  1152.  Registration  of data brokers.  On or before January thirty-
    14  first annually, each data broker shall:
    15    1. Register with the office;
    16    2. Pay the pro rata share as determined by the superintendent, not  to
    17  exceed  the reasonable cost of establishing and maintaining the database
    18  and informational website described in this section; and
    19    3. Provide the following information to the office:
    20    (a) the name and primary physical, email, and internet website address
    21  of the data broker.
    22    (b) the name and business address of an officer or registered agent of
    23  the data broker authorized to accept legal process on behalf of the data
    24  broker.
    25    (c) the number of requests received and the number  of  such  requests
    26  complied  with,  complied  with  in part, or denied under section eleven
    27  hundred fifty-three of this article.
    28    (d) the median and the mean number  of  days  within  which  the  data
    29  broker responded to requests under section eleven hundred fifty-three of
    30  this article.
    31    (e) whether the data broker collected personal information of minors.
    32    (f) whether the data broker collects consumers' names, dates of birth,
    33  ZIP codes, email addresses, or phone numbers.
    34    (g)  whether  the  data  broker  collects  consumers' account login or
    35  account number in combination with any required  security  code,  access
    36  code,  or password that would permit access to a consumer's account with
    37  a third party.
    38    (h) whether the  data  broker  collects  consumers'  drivers'  license
    39  number,  state  identification  card  number, tax identification number,
    40  social security number, passport number, military identification number,
    41  or other unique identification number issued on  a  government  document
    42  commonly used to verify the identity of a specific individual.
    43    (i)  whether  the  data  broker collects consumers' mobile advertising
    44  identification numbers, connected television identification numbers,  or
    45  vehicle identification numbers (VIN).
    46    (j)  whether  the  data  broker  collects consumers' citizenship data,
    47  including immigration status.
    48    (k) whether the  data  broker  collects  consumers'  union  membership
    49  status.
    50    (l)  whether  the  data  broker collects consumers' sexual orientation
    51  status.
    52    (m) whether the data broker collects consumers'  gender  identity  and
    53  gender expression data.
    54    (n) whether the data broker collects consumers' biometric data.
    55    (o) whether the data broker collects consumers' precise geolocation.

        A. 10008--B                        21
 
     1    (p)  whether  the  data broker collects consumers' reproductive health
     2  care data.
     3    (q)  whether  the  data  broker  collects  consumers' protected health
     4  information.
     5    (r) whether the data broker has shared or sold consumers'  data  to  a
     6  foreign actor in the past year.
     7    (s)  whether the data broker has shared or sold consumers' data to the
     8  federal government in the past year.
     9    (t) whether the data broker has shared  or  sold  consumers'  data  to
    10  other state governments in the past year.
    11    (u)  whether the data broker has shared or sold consumers' data to law
    12  enforcement in the past year, unless that data was shared pursuant to  a
    13  subpoena or court order.
    14    (v)  whether  the  data broker has shared or sold consumers' data to a
    15  developer of an artificial intelligence system  or  model  in  the  past
    16  year.
    17    (w)  up  to  three, but no fewer than one, of the most common types of
    18  personal information that the data broker collects.
    19    (x) beginning January first, two thousand  thirty,  whether  the  data
    20  broker  has  undergone an audit under this article, and, if so, the most
    21  recent year that the data broker has submitted a report  resulting  from
    22  the audit and any related materials to the office.
    23    (y) a link to a page on the data broker's internet website that:
    24    (i)  details  how consumers may exercise their privacy rights by doing
    25  all of the following:
    26    (1) Deleting personal information.
    27    (2) Correcting inaccurate personal information.
    28    (3) Learning what personal information is being collected and  how  to
    29  access that personal information.
    30    (4)  Learning what personal information is being sold or shared and to
    31  whom.
    32    (5) Learning how to opt out of the sale or sharing of personal  infor-
    33  mation.
    34    (6) Learning how to limit the use and disclosure of sensitive personal
    35  information.
    36    (ii) does not make use of any dark patterns.
    37    (z)  whether  and to what extent the data broker or any of its subsid-
    38  iaries is regulated by any of the following:
    39    (i) the federal Fair Credit Reporting Act  (15  U.S.C.  Sec.  1681  et
    40  seq.).
    41    (ii)  the Gramm-Leach-Bliley Act (Public Law 106-102) and implementing
    42  regulations.
    43    (iii) any other law, rule, or regulation governing data brokers or any
    44  of its subsidiaries.
    45    (aa) any additional information or explanation the data broker chooses
    46  to provide concerning its data collection practices.
    47    § 1153. Data deletion mechanism. 1. The office shall create a  webpage
    48  on  the  department's  website  which  includes registration information
    49  provided by data brokers described in section eleven  hundred  fifty-two
    50  of  this article and the data deletion mechanism established pursuant to
    51  this section.
    52    2. The office shall establish a data  deletion  mechanism  within  one
    53  year of the effective date of this section. Such data deletion mechanism
    54  shall:
    55    (a)  implement  and  maintain reasonable security procedures and prac-
    56  tices, including, but not  limited  to,  administrative,  physical,  and

        A. 10008--B                        22
 
     1  technical  safeguards  appropriate  to the nature of the information and
     2  the purposes for which the personal information  will  be  used  and  to
     3  protect  consumers'  personal information from unauthorized use, disclo-
     4  sure, access, destruction, or modification.
     5    (b) allow a consumer, through a single verifiable consumer request, to
     6  request  that  every data broker that maintains any personal information
     7  delete any personal information related to that  consumer  held  by  the
     8  data broker or associated service provider, contractor, or subsidiary.
     9    (c) allow a consumer to selectively exclude specific data brokers from
    10  a request made under paragraph (b) of this subdivision.
    11    (d)  allow  a  consumer  to make a request to alter a previous request
    12  made under this section after at least forty-five days have passed since
    13  the consumer last made a request under this section.
    14    (e) allow a consumer to request the deletion of all personal  informa-
    15  tion related to that consumer through a single deletion request.
    16    (f)  permit  a  consumer to securely submit information in one or more
    17  privacy-protecting ways determined by the superintendent to aid  in  the
    18  deletion request.
    19    (g) allow data brokers registered with the office to determine whether
    20  an  individual has submitted a verifiable consumer request to delete the
    21  personal information related to that consumer and shall  not  allow  the
    22  disclosure  of  any additional personal information when the data broker
    23  accesses the accessible deletion mechanism unless otherwise specified in
    24  this article.
    25    (h) allow a consumer to make a request under  this  section  using  an
    26  internet service operated by the office.
    27    (i) not charge a consumer to make a request under this section.
    28    (j)  allow  a  consumer to make a request under this section in any of
    29  the twelve most commonly spoken languages in New York state,  consistent
    30  with  section  two hundred two-a of the executive law, for whom personal
    31  information has been collected by data brokers.
    32    (k) be readily accessible and usable by consumers with disabilities.
    33    (l) support the ability of a consumer's authorized agents  to  aid  in
    34  the deletion request.
    35    (m)  allow  the  consumer,  or  their  authorized agent, to verify the
    36  status of the consumer's deletion request.
    37    (n) provide a description of:
    38    (i) the deletion permitted by this section;
    39    (ii) the process for submitting a deletion request  pursuant  to  this
    40  section; and
    41    (iii) examples of the types of information that may be deleted.
    42    (o)  comply  with  section one hundred three-d of the state technology
    43  law.
    44    3. Six months after the creation of the data deletion mechanism,  each
    45  data broker shall, at least once every forty-five days:
    46    (a)  process  all  deletion requests made pursuant to this section and
    47  delete all personal information related  to  the  consumers  making  the
    48  requests  consistent with the requirements of this section within forty-
    49  five days of receiving such requests and direct all  service  providers,
    50  contractors,  and subsidiaries associated with the data broker to delete
    51  all personal information in their possession related  to  the  consumers
    52  making such request.
    53    (b) where a data broker denies a consumer request to delete under this
    54  section  because  the request cannot be verified, process the request as
    55  an opt-out of the sale or sharing of the consumer's personal information
    56  within forty-five days of receiving such request and direct all  service

        A. 10008--B                        23
 
     1  providers, contractors, and subsidiaries associated with the data broker
     2  to  process  the  request  as  an  opt-out of the sale or sharing of the
     3  consumer's personal information.
     4    4.  (a)  Notwithstanding  any  other provision of this section, a data
     5  broker shall not be required to delete a consumer's personal information
     6  if such personal information is required to:
     7    (i) complete the transaction for which the  personal  information  was
     8  collected,  fulfill  the  terms  of a written warranty or product recall
     9  conducted in accordance with federal law,  provide  a  good  or  service
    10  requested  by  the  consumer,  or reasonably anticipated by the consumer
    11  within the context of a data broker's ongoing business relationship with
    12  the consumer, or otherwise perform a contract between  the  data  broker
    13  and the consumer.
    14    (ii)  help  to  ensure security and integrity to the extent the use of
    15  the consumer's personal information is reasonably necessary and  propor-
    16  tionate for those purposes.
    17    (iii)  debug  to  identify  and  repair  errors  that  impair existing
    18  intended functionality.
    19    (iv) exercise free speech, ensure the right  of  another  consumer  to
    20  exercise that consumer's right of free speech, or exercise another right
    21  provided for by law.
    22    (v)  engage  in  public  or  peer-reviewed  scientific, historical, or
    23  statistical research that conforms or adheres to  all  other  applicable
    24  ethics and privacy laws, when the data broker's deletion of the informa-
    25  tion  is  likely to render impossible or seriously impair the ability to
    26  complete such research, if the consumer has provided informed consent.
    27    (vi) to enable solely internal uses that are reasonably  aligned  with
    28  the  expectations  of  the consumer based on the consumer's relationship
    29  with the data broker and  compatible  with  the  context  in  which  the
    30  consumer provided the information.
    31    (vii) comply with a legal obligation.
    32    (b)  Personal  information  not required to be deleted under paragraph
    33  (a) of this subdivision shall only be used for purposes directly related
    34  to such exceptions and shall not be used  or  disclosed  for  any  other
    35  purpose.
    36    5. Where a consumer has submitted a deletion request and a data broker
    37  has  deleted  the  consumer's  data  pursuant  to this section, the data
    38  broker shall:
    39    (a) delete all personal information of  the  consumer  at  least  once
    40  every  forty-five  days  pursuant  to  this  section unless the consumer
    41  requests otherwise or the deletion is not required pursuant to  subdivi-
    42  sion four of this section; and
    43    (b)  not sell or share new personal information of the consumer unless
    44  the consumer requests  otherwise  unless  such  selling  or  sharing  is
    45  permitted under another section of law.
    46    6.  The office may charge an access fee to a data broker when the data
    47  broker accesses the data deletion mechanism that  does  not  exceed  the
    48  reasonable costs of providing that access.
    49    § 1154. Audit.  Three  years  after the effective date of this section
    50  and every three years thereafter, each  data  broker  shall  undergo  an
    51  audit  by  an  independent third party to determine compliance with this
    52  article.  Each data broker shall submit  a  report  resulting  from  the
    53  audit  written  by  such independent third party in a form determined by
    54  the superintendent and any other materials required by  the  superinten-
    55  dent  to  the  superintendent  within  five  business  days of a written

        A. 10008--B                        24
 
     1  request by the superintendent.  Data brokers shall maintain such reports
     2  and any required materials for six years.
     3    § 1155. Rulemaking.  The  office  shall adopt rules and regulations to
     4  implement the provisions of this article.
     5    § 1156. Powers, duties and adjudicatory proceedings. 1. In  connection
     6  with  the  implementation  and  enforcement  of this article, the office
     7  shall have the following powers and duties:
     8    (a) to hold hearings, subpoena  witnesses,  compel  their  attendance,
     9  administer  oaths,  to  examine  any person under oath and in connection
    10  therewith to require the production of any books or records relative  to
    11  the  inquiry,  provided that subpoena issued under this section shall be
    12  regulated by the civil practice law and rules;
    13    (b) to appoint such advisory groups and committees as deemed necessary
    14  to provide assistance to the office to carry out the purposes and objec-
    15  tives of this article;
    16    (c) to enter into contracts, memoranda of  understanding,  and  agree-
    17  ments as deemed appropriate to effectuate the policy and purpose of this
    18  chapter;
    19    (d)  to  draft  declaratory rulings, guidance and industry advisories;
    20  and
    21    (e) to delegate the powers provided in  this  section  to  such  other
    22  officers  or  employees  as may be deemed appropriate by the superinten-
    23  dent.
    24    2. (a) The superintendent, or any person designated by the superinten-
    25  dent for the purposes of  this  subdivision,  may  issue  subpoenas  and
    26  administer  oaths  in connection with any hearing or investigation under
    27  or pursuant to this article, and it shall be the duty of the superinten-
    28  dent and any persons designated  by  them  for  such  purpose  to  issue
    29  subpoenas at the request of and upon behalf of the respondent.
    30    (b)  The  superintendent  and  those  designated by the superintendent
    31  shall not be bound by the laws of evidence in  the  conduct  of  hearing
    32  proceedings,  but  the determination shall be founded upon preponderance
    33  of evidence to sustain it.
    34    (c) Notice and right of hearing as provided in the  state  administra-
    35  tive  procedure  act  shall be served at least fifteen days prior to the
    36  date of the hearing, provided that, whenever because of  danger  to  the
    37  public health, safety or welfare it appears prejudicial to the interests
    38  of  the people of the state to delay action for fifteen days, the super-
    39  intendent may serve the  respondent  with  an  order  requiring  certain
    40  action  or  the  cessation of certain activities immediately or within a
    41  specified period of less than fifteen days.
    42    (d) Service of notice of hearing or order shall be  made  by  personal
    43  service  or  by  registered or certified mail. Where service, whether by
    44  personal service or by registered or certified mail,  is  made  upon  an
    45  incompetent,  partnership,  or  corporation,  it  shall be made upon the
    46  person or persons designated to  receive  personal  service  by  article
    47  three of the civil practice law and rules.
    48    (e) At a hearing, which shall to the greatest extent practicable shall
    49  be reasonably near the respondent, the respondent may appear personally,
    50  shall have the right of counsel, and may cross-examine witnesses against
    51  the respondent and produce evidence and witnesses on their behalf.
    52    (f)  Following  a  hearing,  the  superintendent  may make appropriate
    53  determinations and issue a final order in accordance therewith.
    54    (g) The superintendent may  adopt,  amend  and  repeal  administrative
    55  rules  and  regulations  governing  the  procedures  to be followed with
    56  respect to hearings, such rules to be consistent  with  the  policy  and

        A. 10008--B                        25
 
     1  purpose  of  this  chapter and the effective and fair enforcement of its
     2  provisions.
     3    (h) The provisions of this section shall be applicable to all hearings
     4  held pursuant to this article.
     5    § 1157. Assessments.  Companies  or  persons  required to be licensed,
     6  registered or file with the office pursuant to  this  article  shall  be
     7  assessed  in  pro  rata shares by the department to defray the operating
     8  expenses, including all direct and indirect costs, of administering  the
     9  obligations imposed by this article.
    10    § 1158. Enforcement. 1. The superintendent may, after notice and hear-
    11  ing,  require  any person found violating the provisions of this article
    12  or the rules or regulations promulgated hereunder to pay to  the  people
    13  of this state, penalties and expenses as follows:
    14    (a)  a  fine  or civil penalty of two hundred dollars for each day the
    15  data broker fails to register or fails to comply with  the  registration
    16  requirements as required by this article;
    17    (b)  an  amount equal to the monies that were due during the period it
    18  failed to register;
    19    (c) a fine or civil penalty of two hundred dollars for  each  deletion
    20  request  for  each  day  the  data broker fails to delete information as
    21  required by section eleven hundred fifty-three of this article;
    22    (d) a fine or civil penalty of two hundred dollars for  each  day  the
    23  data  broker fails to comply with the website disclosure requirements as
    24  set forth in section eleven hundred fifty-three of this article; and
    25    (e) appropriate expenses incurred by the office in  the  investigation
    26  and  administration of the action; or in the case of an action commenced
    27  by the attorney general, any expenses incurred by the office,  that  are
    28  deemed appropriate by the court.
    29    2.  The  superintendent  may  request the attorney general commence an
    30  action in a court of competent jurisdiction to enforce the  requirements
    31  of  this  article and to recover the penalties and expenses set forth in
    32  paragraphs (a) through (e) of subdivision one of this section.
    33    § 2. This act shall take effect immediately; provided,  however,  that
    34  section  one  of this act shall take effect on the one hundred eightieth
    35  day after the office of the department of financial services tasked with
    36  the implementation of article 42-A of the general business law, as added
    37  by section one of this act, shall have promulgated rules and regulations
    38  to effectuate the provisions of this act; provided, however,  that  such
    39  office  shall notify the legislative bill drafting commission  upon  the
    40  occurrence  of  the promulgation  of such rules and regulations in order
    41  that the commission may maintain an accurate and timely  effective  data
    42  base  of  the    official  text  of the laws of the state of New York in
    43  furtherance of effectuating the  provisions of section 44 of the  legis-
    44  lative law and section 70-b of the public officers law.  Effective imme-
    45  diately,  the  addition,    amendment and/or repeal of any rule or regu-
    46  lation necessary for the implementation of this  act  on  its  effective
    47  date  are  authorized  to  be made completed on or before such effective
    48  date.
 
    49                                   PART BB
 
    50                            Intentionally Omitted
 
    51                                   PART CC

        A. 10008--B                        26
 
     1                            Intentionally Omitted
 
     2                                   PART DD
 
     3                            Intentionally Omitted

     4                                   PART EE
 
     5                            Intentionally Omitted
 
     6                                   PART FF
 
     7                            Intentionally Omitted
 
     8                                   PART GG
 
     9                            Intentionally Omitted
 
    10                                   PART HH
 
    11    Section  1. This Part enacts into law components of legislation relat-
    12  ing to pre-authorization, access to specialty care, and formulary lists.
    13  Each component is  wholly  contained  within  a  Subpart  identified  as
    14  Subparts  A through D.  The effective date for each particular provision
    15  contained within such Subpart is set forth in the last section  of  such
    16  Subpart.    Any  provision  in  any  section contained within a Subpart,
    17  including the effective date of the Subpart, which makes reference to  a
    18  section  "of  this  act",  when  used in connection with that particular
    19  component, shall be deemed  to  mean  and  refer  to  the  corresponding
    20  section  of  the Subpart in which it is found.  Section two of this Part
    21  sets forth the general effective date of this Part.
 
    22                                  SUBPART A
 
    23    Section 1. Section 210 of the insurance law, as amended by chapter 579
    24  of the laws of 1998, subsection (d) as amended by  chapter  207  of  the
    25  laws of 2019, is amended to read as follows:
    26    §  210.  Annual consumer guide of health insurers, and entities certi-
    27  fied pursuant to article forty-four of the public health law.
    28    (a) The superintendent shall annually publish on or  before  September
    29  first, nineteen hundred ninety-nine, and annually thereafter, a consumer
    30  guide  to  insurers providing managed care products, individual accident
    31  and health insurance or group or blanket accident and  health  insurance
    32  and  entities  licensed  pursuant  to  article  forty-four of the public
    33  health law providing comprehensive health service plans which  includes,
    34  in  detail, a ranking from best to worst based upon each company's claim
    35  processing or medical payments record during the preceding calendar year
    36  using criteria available to  the  department,  adjusted  for  volume  of
    37  coverage  provided.  Such ranking shall also take into consideration the
    38  corresponding total number or percentage of  claims  denied  which  were
    39  reversed  or  compromised  after  intervention by the department and the

        A. 10008--B                        27
 
     1  department of health, consumer complaints  to  the  department  and  the
     2  department  of  health, violations of section three thousand two hundred
     3  twenty-four-a of this chapter  and  other  pertinent  data  which  would
     4  permit  the department to objectively determine a company's performance.
     5  The department in publishing  such  consumer  guide  shall  publish  one
     6  state-wide  guide  or no more than five regional guides so as to facili-
     7  tate comparisons among individual insurers and entities within a service
     8  market area. Such rankings shall be printed in a format which ranks  all
     9  health  insurers  and  all entities certified pursuant to article forty-
    10  four of the public health law in one combined list.
    11    (b) [Beginning September first, nineteen hundred ninety-nine and annu-
    12  ally thereafter, the] The superintendent shall  include  in  such  guide
    13  annually,  and  insurers  and  entities  certified  pursuant  to article
    14  forty-four of the public health law shall provide to the  superintendent
    15  the information required for such guide in a timely fashion, the follow-
    16  ing information:
    17    (1)  The  number  of  grievances  filed pursuant to section forty-four
    18  hundred eight-a of the public health law,  section  three  thousand  two
    19  hundred seventeen-d of this chapter, section four thousand three hundred
    20  six-c  of  this  chapter, or article forty-eight of this chapter and the
    21  number of such grievances in  which  an  adverse  determination  of  the
    22  insurer  or entity was reversed in whole or in part versus the number of
    23  such determinations which were upheld; [and]
    24    (2) Beginning September first, two thousand twenty-seven,  the  number
    25  of  approvals  and the number of adverse determinations in whole or part
    26  issued by utilization  review  agents  pursuant  to  section  forty-nine
    27  hundred  three  of  the  public health law or section four thousand nine
    28  hundred three of this chapter; and
    29    (3) The number of appeals to utilization review determinations [which]
    30  that were filed pursuant to [article forty-nine of the public health law
    31  or article forty-nine] section forty-nine hundred  four  of  the  public
    32  health  law  and section four thousand nine hundred four of this chapter
    33  and the number of such determinations  [which]  that  were  reversed  in
    34  whole  or  in part versus the number of such determinations [which] that
    35  were upheld.
    36    (c) Beginning September first, nineteen hundred ninety-nine and  annu-
    37  ally  thereafter, in addition to the information required in subsections
    38  (a) and (b) of this section, the superintendent, in conjunction with the
    39  commissioner of health, in consultation with the National  Committee  on
    40  Quality  Assurance  or a similar national organization, shall include in
    41  such guide the following additional information,  for  the  most  recent
    42  year  in  which  such information is available and where applicable, for
    43  health insurers, health insurers providing  managed  care  products  and
    44  entities  certified  under  article  forty-four of the public health law
    45  providing comprehensive health service plans pursuant to such article:
    46    (1) the percentage of physicians who are  either  board  certified  or
    47  board eligible;
    48    (2) the percentage of primary care physicians who remained participat-
    49  ing  providers,  provided  however,  that  such percentage shall exclude
    50  voluntary terminations due to physician retirement, relocation or  other
    51  similar reasons;
    52    (3)  the  percentage of enrollees aged twenty-three to thirty-nine and
    53  forty to sixty-four who had one or more visits to a health plan  practi-
    54  tioner during the three years of their continual enrollment.
    55    (4)  the  methods used to compensate primary care physicians and other
    56  providers, provided however, that  nothing  in  this  section  shall  be

        A. 10008--B                        28
 
     1  construed to require disclosure of the specific details of any financial
     2  arrangement  between the insurer or entity and an individual provider or
     3  practice;
     4    (5)  the national accreditation status of insurers and entities, where
     5  applicable;
     6    (6) indices of the quality of care provided,  such  as  the  rates  of
     7  mammography,  prostate,  and  cervical  cancer screening, prenatal care,
     8  well-child care, immunization and such other  information  collected  by
     9  the  commissioner  of  health  through the health plan employer data and
    10  information set (HEDIS); or  through  the  quality  assurance  reporting
    11  requirements  for  entities not otherwise required to collect and report
    12  health plan employer data and information set (HEDIS) data;
    13    (7) the results of a consumer satisfaction survey among  enrollees  of
    14  the  various  health  insurers and entities, which shall be conducted by
    15  the superintendent and commissioner of health, in consultation with  the
    16  National  Committee on Quality Assurance or a similar national organiza-
    17  tion;
    18    (8) a toll-free telephone number for each health insurer or plan;
    19    (9) toll-free telephone numbers at the department and  the  department
    20  of health to which consumers can make complaints about insurers or enti-
    21  ties; and
    22    (10)  except as required in paragraph seven of this subsection, health
    23  insurers and entities certified pursuant to article  forty-four  of  the
    24  public  health  law  shall  report  the  information required under this
    25  subdivision to the commissioner of health, and  the  commissioner  shall
    26  provide  such  information  to  the  superintendent for inclusion in the
    27  annual consumer guide.
    28    (d) Beginning September first, two thousand twenty-seven and  annually
    29  thereafter,  in addition to the information required in subsections (a),
    30  (b), and (c) of this section, the superintendent shall include  in  such
    31  guide,  and  insurers  and entities certified pursuant to article forty-
    32  four of the public health law shall provide to the superintendent, in  a
    33  form  and  manner  specified  by  the  superintendent,  the  information
    34  required for such guide in a timely fashion, the  following  information
    35  regarding  pre-authorization  requests  under  article forty-nine of the
    36  public health law or article forty-nine of this chapter:
    37    (1) the number of pre-authorization requests  received  under  section
    38  forty-nine hundred three of the public health law and section four thou-
    39  sand nine hundred three of this chapter;
    40    (2)  the  number  of  pre-authorization requests for which an authori-
    41  zation was issued under section forty-nine hundred three of  the  public
    42  health law and section four thousand nine hundred three of this chapter;
    43    (3)  the  number  of  pre-authorization  requests for which an adverse
    44  determination was issued in  whole  or  part  under  section  forty-nine
    45  hundred  three  of  the public health law and section four thousand nine
    46  hundred three of this chapter;
    47    (4) the number of pre-authorization  requests  for  which  an  adverse
    48  determination  was appealed under section forty-nine hundred four of the
    49  public health law and section four thousand nine hundred  four  of  this
    50  chapter;
    51    (5)  the  number  of  pre-authorization  requests for which an adverse
    52  determination was reversed on appeal in  whole  or  part  under  section
    53  forty-nine  hundred four of the public health law and section four thou-
    54  sand nine hundred four of this chapter;
    55    (6) the number of pre-authorization  requests  for  which  an  adverse
    56  determination  was  upheld  under section forty-nine hundred four of the

        A. 10008--B                        29
 
     1  public health law and section four thousand nine hundred  four  of  this
     2  chapter;
     3    (7)  the  twenty-five  current  procedural  terminology codes with the
     4  highest number of  pre-authorization  requests  and  the  percentage  of
     5  authorizations  for  each  of these current procedural terminology codes
     6  under section forty-nine hundred three of  the  public  health  law  and
     7  section four thousand nine hundred three of this chapter;
     8    (8)  the  twenty-five  current  procedural  terminology codes with the
     9  highest number of pre-authorization requests for which an  authorization
    10  was  issued  under section forty-nine hundred three of the public health
    11  law and section four thousand nine hundred three of this chapter;
    12    (9) the twenty-five current  procedural  terminology  codes  with  the
    13  highest  number  of  pre-authorization requests under section forty-nine
    14  hundred three of the public health law and section  four  thousand  nine
    15  hundred  three  of  this  chapter for which an adverse determination was
    16  issued in whole or part but that was reversed by an appeal, in whole  or
    17  part, under section forty-nine hundred four of the public health law and
    18  section four thousand nine hundred four of this chapter; and
    19    (10)  the  twenty-five  current  procedural terminology codes with the
    20  highest number of pre-authorization requests for which an adverse deter-
    21  mination was issued in whole or part under  section  forty-nine  hundred
    22  three  of  the  public health law and section four thousand nine hundred
    23  three of this chapter.
    24    (e) Health insurers and entities certified pursuant to article  forty-
    25  four  of the public health law shall provide annually to the superinten-
    26  dent and the commissioner of health,  and  the  commissioner  of  health
    27  shall  provide to the superintendent by March first of each year, all of
    28  the information necessary for the superintendent to produce  the  annual
    29  consumer  guide.   In compiling the guide, the superintendent shall make
    30  every effort to ensure that the information is  presented  in  a  clear,
    31  understandable  fashion [which] that facilitates comparisons among indi-
    32  vidual insurers and entities, and in a format [which] that lends  itself
    33  to  the  widest  possible  distribution to consumers. The superintendent
    34  shall either include the information from the annual consumer  guide  in
    35  the  consumer  shopping guide required by subsection (a) of section four
    36  thousand three hundred twenty-three of this chapter or combine  the  two
    37  guides  as  long as consumers in the individual market are provided with
    38  the information required by subsection  (a)  of  section  four  thousand
    39  three hundred twenty-three of this chapter.
    40    [(e)]  (f) The superintendent shall contract with a national organiza-
    41  tion for the purposes of drafting and designing the guide, including the
    42  preparation of relevant explanatory material.  Such  organization  shall
    43  have  actual  experience  in  preparing a similar guide for at least one
    44  other state. The superintendent, in consultation with  the  commissioner
    45  of  health, may also contract with one or more national organizations to
    46  assist such commissioner in the collection of data and the analysis  and
    47  auditing  of  the  clinical  measurers. Such organizations shall consult
    48  periodically with associations representing health insurers  and  health
    49  maintenance  organizations  as  well as with consumer representatives in
    50  New York in preparing the consumer guide.
    51    § 2.  This act shall take effect immediately.
 
    52                                  SUBPART B
 
    53    Section 1. Subsection (f) of section 4804 of  the  insurance  law,  as
    54  added by chapter 705 of the laws of 1996, is amended to read as follows:

        A. 10008--B                        30
 
     1    (f) If a new insured whose health care provider is not a member of the
     2  insurer's in-network benefits portion of the provider network enrolls in
     3  the  managed  care  product,  the  insurer  shall  permit the insured to
     4  continue an ongoing course  of  treatment  with  the  insured's  current
     5  health care provider during a transitional period of up to [sixty] nine-
     6  ty days from the effective date of enrollment[, if (1) the insured has a
     7  life-threatening  disease  or  condition or a degenerative and disabling
     8  disease or condition or (2)]. If the insured  [has  entered  the  second
     9  trimester of pregnancy] is pregnant at the time of enrollment, [in which
    10  case]  the transitional period shall include the provision of [post-par-
    11  tum] care for the duration of the pregnancy and postpartum care directly
    12  related to the delivery. If an insured elects  to  continue  to  receive
    13  care  from  such  health  care provider pursuant to this paragraph, such
    14  care shall be authorized by the insurer for the transitional period only
    15  if the health care provider agrees: (A) to accept reimbursement from the
    16  insurer at rates established by the insurer as payment  in  full,  which
    17  rates  shall  be  no  more than the level of reimbursement applicable to
    18  similar providers within the in-network benefits portion of  the  insur-
    19  er's  network  for such services; (B) to adhere to the insurer's quality
    20  assurance requirements and agrees to provide to  the  insurer  necessary
    21  medical information related to such care; and (C) to otherwise adhere to
    22  the  insurer's  policies  and  procedures including, but not limited to,
    23  procedures regarding referrals and  obtaining  pre-authorization  and  a
    24  treatment  plan  approved  by  the  insurer.  In  no  event  shall  this
    25  subsection be construed to require an insurer to  provide  coverage  for
    26  benefits  not  otherwise  covered  or to diminish or impair pre-existing
    27  condition limitations contained within the insured's contract.
    28    § 2. Paragraph (f) of subdivision 6 of  section  4403  of  the  public
    29  health  law,  as added by chapter 705 of the laws of 1996, is amended to
    30  read as follows:
    31    (f) If a new enrollee whose health care provider is not  a  member  of
    32  the  health  maintenance  organization's provider network enrolls in the
    33  health maintenance  organization,  the  organization  shall  permit  the
    34  enrollee  to continue an ongoing course of treatment with the enrollee's
    35  current health care provider during  a  transitional  period  of  up  to
    36  [sixty]  ninety  days from the effective date of enrollment[, if (i) the
    37  enrollee has a life-threatening disease or condition or  a  degenerative
    38  and  disabling  disease  or  condition  or  (ii)].  If the enrollee [has
    39  entered the second trimester of pregnancy] is pregnant at the  effective
    40  date  of  enrollment,  [in  which  case]  the  transitional period shall
    41  include the provision of [post-partum] care  for  the  duration  of  the
    42  pregnancy  and  postpartum  care directly related to the delivery. If an
    43  enrollee elects to continue  to  receive  care  from  such  health  care
    44  provider  pursuant  to  this paragraph, such care shall be authorized by
    45  the health maintenance organization for the transitional period only  if
    46  the  health  care  provider agrees: (A) to accept reimbursement from the
    47  health maintenance organization at rates established by the health main-
    48  tenance organization as payment in full, which rates shall  be  no  more
    49  than  the  level of reimbursement applicable to similar providers within
    50  the health maintenance organization's network for such services; (B)  to
    51  adhere  to  the organization's quality assurance requirements and agrees
    52  to provide to the organization necessary medical information related  to
    53  such  care;  and  (C) to otherwise adhere to the organization's policies
    54  and procedures including,  but  not  limited  to,  procedures  regarding
    55  referrals  and obtaining pre-authorization and a treatment plan approved
    56  by the organization. In no event shall this paragraph  be  construed  to

        A. 10008--B                        31
 
     1  require  a health maintenance organization to provide coverage for bene-
     2  fits not otherwise covered or to diminish or impair pre-existing  condi-
     3  tion limitations contained within the subscriber's contract.
     4    §  3. This act shall take effect on the first of January next succeed-
     5  ing the date on which it shall have become a  law  and  shall  apply  to
     6  policies issued, renewed, modified, or amended on or after such date.

     7                                  SUBPART C
 
     8    Section  1.  Subsection  (a)  of section 3242 of the insurance law, as
     9  added by section 1 of subpart C of part J of chapter 57 of the  laws  of
    10  2019, is amended to read as follows:
    11    (a) Every insurer that delivers or issues for delivery in this state a
    12  policy that provides coverage for prescription drugs shall, with respect
    13  to  the prescription drug coverage, publish an up-to-date, accurate, and
    14  complete list of all covered prescription drugs on  its  formulary  drug
    15  list,  including  any  tiering  structure  that  it  has adopted and any
    16  restrictions on the manner in which a prescription drug may be obtained,
    17  in a manner that is easily accessible  to  insureds  [and],  prospective
    18  insureds,  health  care  providers,  and other interested parties.   The
    19  formulary drug list shall clearly identify the  preventive  prescription
    20  drugs  that  are  available  without  annual deductibles or coinsurance,
    21  including co-payments.  A formulary drug list shall only  be  considered
    22  easily accessible if:
    23    (1) it can be viewed on the insurer's public website without requiring
    24  an  individual  to create or access an account or enter a password or to
    25  be covered under an insurance policy issued by the insurer; and
    26    (2) an individual can easily discern which formulary drug list applies
    27  to which plan, if an insurer offers more than one plan.
    28    § 2. Subsection (a) of section 4329 of the insurance law, as added  by
    29  section  2 of subpart C of part J of chapter 57 of the laws of 2019,  is
    30  amended to read as follows:
    31    (a) Every corporation subject to the provisions of this  article  that
    32  issues  a  contract that provides coverage for prescription drugs shall,
    33  with respect to the prescription drug coverage, publish  an  up-to-date,
    34  accurate,  and  complete  list  of all covered prescription drugs on its
    35  formulary drug list, including any tiering structure that it has adopted
    36  and any restrictions on the manner in which a prescription drug  may  be
    37  obtained,  in  a  manner  that  is  easily accessible to insureds [and],
    38  prospective  insureds,  health  care  providers,  and  other  interested
    39  parties.   The formulary drug list shall clearly identify the preventive
    40  prescription drugs that are  available  without  annual  deductibles  or
    41  coinsurance, including co-payments.  A formulary drug list shall only be
    42  considered easily accessible if:
    43    (1)  it  can  be  viewed  on  the corporation's public website without
    44  requiring an individual to create or access an account or enter a  pass-
    45  word  or  to  be  covered under an insurance policy issued by the corpo-
    46  ration; and
    47    (2) an individual can easily discern which formulary drug list applies
    48  to which plan, if a corporation offers more than one plan.
    49    § 3. This act shall take effect on the first of January next  succeed-
    50  ing  the  date  on  which  it shall have become a law and shall apply to
    51  policies issued, renewed, modified or amended on or after such date.
 
    52                                  SUBPART D

        A. 10008--B                        32

     1    Section 1. Subsection (b-3) of section 4900 of the  insurance  law  is
     2  relettered  subsection (b-4) and a new subsection (b-3) is added to read
     3  as follows:
     4    (b-3) "Chronic health condition" means a condition that is expected to
     5  last for at least one year and requires ongoing treatment to effectively
     6  manage the condition or prevent an adverse health event.
     7    §  2. Subsection (f) of section 4905 of the insurance law, as added by
     8  chapter 705 of the laws of 1996,  is amended read as follows:
     9    (f) Utilization review shall not be conducted more frequently than  is
    10  reasonably  required  to  assess  whether the health care services under
    11  review are  medically  necessary  provided,  however,  that  utilization
    12  review  shall  not  be conducted more than once per year for a course of
    13  treatment for a chronic health condition starting from  the  date  of  a
    14  pre-authorization approval for the course of treatment unless:
    15    (1)  nationally  recognized  clinical  practice  guidelines  recommend
    16  follow-up care with the course  of  treatment  for  the  chronic  health
    17  condition  to  assess  possible  negative side effects, then utilization
    18  review may be conducted more than once per year on the same schedule  as
    19  the recommended follow up;
    20    (2) nationally recognized clinical practice guidelines change substan-
    21  tially  for the treatment of the chronic health condition, then utiliza-
    22  tion review may be conducted to consider whether the ongoing  course  of
    23  treatment  is still appropriate for the chronic health condition and the
    24  insured; or
    25    (3) nationally recognized clinical  practice  guidelines  recommend  a
    26  change  to  the  course  of  treatment  based on a change in the chronic
    27  health condition, then utilization review may be conducted for  the  new
    28  course of treatment.
    29    §  3.  Subdivision  2-c  of  section  4900 of the public health law is
    30  renumbered subdivision 2-d and a new subdivision 2-c is added to read as
    31  follows:
    32    (2-c) "Chronic health condition" means a condition that is expected to
    33  last for at least one year and requires ongoing treatment to effectively
    34  manage the condition or prevent an adverse health event.
    35    § 4. Subdivision 6 of section 4905 of the public health law, as  added
    36  by chapter 705 of the laws of 1996,  is amended to read as follows:
    37    6.  Utilization  review shall not be conducted more frequently than is
    38  reasonably required to assess whether the  health  care  services  under
    39  review  are  medically  necessary  provided,  however,  that utilization
    40  review shall not be conducted more than once per year for  a  course  of
    41  treatment  for  a  chronic  health condition starting from the date of a
    42  pre-authorization approval for the course of treatment unless:
    43    (a)  nationally  recognized  clinical  practice  guidelines  recommend
    44  follow-up  care  with  the  course  of  treatment for the chronic health
    45  condition to assess possible negative  side  effects,  then  utilization
    46  review  may be conducted more than once per year on the same schedule as
    47  the recommended follow up;
    48    (b) nationally recognized clinical practice guidelines change substan-
    49  tially for the treatment of the chronic health condition, then  utiliza-
    50  tion  review  may be conducted to consider whether the ongoing course of
    51  treatment is still appropriate for the chronic health condition and  the
    52  insured; or
    53    (c)  nationally  recognized  clinical  practice guidelines recommend a
    54  change to the course of treatment based  on  a  change  in  the  chronic
    55  health  condition,  then utilization review may be conducted for the new
    56  course of treatment.

        A. 10008--B                        33
 
     1    § 5. This act shall take effect on the first of January next  succeed-
     2  ing  the  date  on  which  it shall have become a law and shall apply to
     3  policies issued, renewed, modified, or amended on or after such date.
     4    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
     5  sion,  section  or  part  of  this act shall be adjudged by any court of
     6  competent jurisdiction to be invalid, such judgment  shall  not  affect,
     7  impair,  or  invalidate  the remainder thereof, but shall be confined in
     8  its operation to the clause, sentence, paragraph,  subdivision,  section
     9  or part thereof directly involved in the controversy in which such judg-
    10  ment shall have been rendered. It is hereby declared to be the intent of
    11  the  legislature  that  this  act  would  have been enacted even if such
    12  invalid provisions had not been included herein.
    13    § 3. This act shall take effect immediately; provided,  however,  that
    14  the  applicable effective date of Subparts A through D of this act shall
    15  be as specifically set forth in the last section of such Subparts.
 
    16                                   PART II
 
    17                            Intentionally Omitted
 
    18                                   PART JJ
 
    19                            Intentionally Omitted
 
    20                                   PART KK
 
    21                            Intentionally Omitted
 
    22                                   PART LL
 
    23    Section 1. Section 4 of chapter 495 of the laws of 2004, amending  the
    24  insurance  law  and the public health law relating to the New York state
    25  health  insurance  continuation  assistance  demonstration  project,  as
    26  amended  by  section  1  of part S of chapter 58 of the laws of 2025, is
    27  amended to read as follows:
    28    § 4. This act shall take effect on the sixtieth  day  after  it  shall
    29  have  become  a  law;  provided,  however, that this act shall remain in
    30  effect until July 1, [2026] 2027 when upon such date the  provisions  of
    31  this  act shall expire and be deemed repealed; provided, further, that a
    32  displaced worker shall be eligible for continuation assistance  retroac-
    33  tive to July 1, 2004.
    34    § 2. This act shall take effect immediately.
 
    35                                   PART MM
 
    36                            Intentionally Omitted
 
    37                                   PART NN
 
    38                            Intentionally Omitted

        A. 10008--B                        34
 
     1                                   PART OO
 
     2    Section  1.  The public service law is amended by adding a new section
     3  24-c to read as follows:
     4    § 24-c.   Utility intervenor  reimbursement.  1.    As  used  in  this
     5  section, the following terms shall have the following meanings:
     6    (a) "Compensation" means payment for all or part, as determined by the
     7  department,  of  reasonable  advocate's  fees, reasonable expert witness
     8  fees, and other reasonable costs for preparation and participation in  a
     9  proceeding.
    10    (b)  "Participant"  means a group of persons that apply jointly for an
    11  award of compensation under this section and who represent the interests
    12  of a significant number of residential or small business customers, or a
    13  not-for-profit organization in this state  authorized  pursuant  to  its
    14  articles  of incorporation or bylaws to represent the interests of resi-
    15  dential or small  business  utility  customers.  For  purposes  of  this
    16  section,  a  participant  does  not include a non-profit organization or
    17  other organization whose principal interests are the welfare of a public
    18  utility or its investors or employees, or the welfare  of  one  or  more
    19  businesses  or  industries  which receive utility service ordinarily and
    20  primarily for use in connection  with  the  profit-seeking  manufacture,
    21  sale, or distribution of goods or services.
    22    (c)  "Other  reasonable costs" means reasonable out-of-pocket expenses
    23  directly incurred by a participant that  are  directly  related  to  the
    24  contentions  or recommendations made by the participant that resulted in
    25  a substantial contribution.
    26    (d) "Party" means any interested party, respondent public utility,  or
    27  commission staff in a hearing or proceeding.
    28    (e)  "Proceeding"  means a complaint, or investigation, rulemaking, or
    29  other formal proceeding before the commission,  or  alternative  dispute
    30  resolution  procedures in lieu of formal proceedings as may be sponsored
    31  or endorsed by the commission, provided however such  proceedings  shall
    32  be limited to those arising under and proceeding pursuant to the follow-
    33  ing articles of this chapter: (1) the regulation of the price of gas and
    34  electricity,  pursuant  to  article  four  of  this chapter except those
    35  described in subparagraph (ii) of paragraph (c) of subdivision twelve of
    36  section sixty-six of this chapter; (2) the regulation of  the  price  of
    37  steam,  pursuant to article four-A of this chapter; (3) the submetering,
    38  remetering or resale of electricity to residential premises, pursuant to
    39  sections sixty-five and sixty-six of this chapter, and pursuant to regu-
    40  lations regarding the submetering, remetering, or resale of  electricity
    41  adopted  by the commission; and (4) such sections of this chapter as are
    42  applicable to a proceeding in which the commission makes  a  finding  on
    43  the record that the public interest requires the reimbursement of utili-
    44  ty intervenor fees pursuant to this section.
    45    (f)  "Significant  financial hardship" means that the participant will
    46  be unable to afford, without undue hardship, to pay the costs of  effec-
    47  tive  participation, including advocate's fees, expert witness fees, and
    48  other reasonable costs of participation.
    49    (g) "Small business" means a business with a gross annual  revenue  of
    50  two hundred fifty thousand dollars or less.
    51    (h)  "Substantial  contribution"  means  that,  in the judgment of the
    52  department, the participant's application may substantially  assist  the
    53  commission  in  making  its  decision  because the decision may adopt in
    54  whole or in part one or more factual contentions, legal contentions,  or

        A. 10008--B                        35
 
     1  specific  policy or procedural recommendations that will be presented by
     2  the participant.
     3    2.  A  participant  may  apply for an award of compensation under this
     4  section in a proceeding in which  such  participant  has  sought  active
     5  party  status  as defined by the department. The department shall deter-
     6  mine appropriate procedures for accepting and responding to such  appli-
     7  cations.    At  the time of application, such participant shall serve on
     8  every party to the proceeding notice of intent to apply for an award  of
     9  compensation.
    10    An application shall include:
    11    (a)  A  statement  of  the nature and extent and the factual and legal
    12  basis of the participant's planned participation in  the  proceeding  as
    13  far  as  it  is  possible to describe such participation with reasonable
    14  specificity at the time the application is filed.
    15    (b) At minimum, a reasonably detailed description of anticipated advo-
    16  cates and expert witness fees and other costs of preparation and partic-
    17  ipation that the participant expects to request as compensation.
    18    (c) If participation or intervention will impose a significant  finan-
    19  cial  hardship  and the participant seeks payment in advance to an award
    20  of compensation in order to initiate, continue or complete participation
    21  in the hearing or proceeding, such participant must include evidence  of
    22  such significant financial hardship in its application.
    23    (d) Any other requirements as required by the department.
    24    3.  (a)  Within  thirty  days  after  the filing of an application the
    25  department shall issue a decision that determines  whether  or  not  the
    26  participant may make a substantial contribution to the final decision in
    27  the  hearing or proceeding. If the department finds that the participant
    28  requesting compensation may make a substantial contribution, the depart-
    29  ment shall describe this  substantial  contribution  and  determine  the
    30  amount  of  compensation to be paid pursuant to subdivision four of this
    31  section.
    32    (b) Notwithstanding subdivision four of this section, if  the  depart-
    33  ment  finds  that  the participant has a significant financial hardship,
    34  the department may pay all or part of the compensation  to  the  partic-
    35  ipant  prior to the end of the proceeding. In the event that the partic-
    36  ipant discontinues its  participation  in  the  proceeding  without  the
    37  consent of the department, the department shall be entitled to, in whole
    38  or in part, recover any payments made to such participant.
    39    (c)  The computation of compensation pursuant to paragraph (a) of this
    40  subdivision shall take into  consideration  the  market  rates  paid  to
    41  persons   of  comparable  training  and  experience  who  offer  similar
    42  services. The compensation awarded may not,  in  any  case,  exceed  the
    43  comparable market rate for services paid by the department or the public
    44  utility,  whichever  is  greater,  to persons of comparable training and
    45  experience who are offering similar services.
    46    (d) Any compensation awarded to a participant and  not  used  by  such
    47  participant shall be returned to the department.
    48    (e)  The  department  shall  require that participants seeking payment
    49  maintain an itemized record of all expenditures incurred as a result  of
    50  such proceeding.
    51    (i)  The  department may use the itemized record of expenses to verify
    52  the claim of financial hardship by a participant seeking payment  pursu-
    53  ant to paragraph (c) of subdivision two of this section.
    54    (ii) The department may use the record of expenditures in determining,
    55  after the completion of a proceeding, if any unused funds remain.

        A. 10008--B                        36

     1    (iii) The department shall preserve the confidentiality of the partic-
     2  ipant's  records  in making any audit or determining the availability of
     3  funds after the completion of a proceeding.
     4    (f)  In  the  event that the department finds that two or more partic-
     5  ipants' applications have substantially similar interests,  the  depart-
     6  ment  may require such participants to apply jointly in order to receive
     7  compensation.
     8    4. Any compensation pursuant to this section  shall  be  paid  at  the
     9  conclusion of the proceeding within thirty days.
    10    5. The department shall deny any award to any participant who attempts
    11  to  delay  or obstruct the orderly and timely fulfillment of the depart-
    12  ment's responsibilities.
    13    § 2. This act shall take effect on the thirtieth day  after  it  shall
    14  have become a law.
 
    15                                   PART PP
 
    16    Section  1.  Subdivision 3 of section 6 of part T of chapter 57 of the
    17  laws of 2017 amending the environmental  conservation  law,  the  public
    18  health  law,  the  public authorities law, the state finance law and the
    19  soil and water conservation districts law relating to the implementation
    20  of the "clean water infrastructure act of 2017" is amended by  adding  a
    21  new paragraph h to read as follows:
    22    h.  In accordance with the other provisions of this section, the envi-
    23  ronmental facilities corporation shall also undertake and provide  state
    24  financial assistance payments, from funds appropriated for such purpose,
    25  to  rural  municipalities  in  support  of  water quality infrastructure
    26  projects. For the purposes of this paragraph, "rural municipality" shall
    27  mean a municipality with a population of 25,000 inhabitants or less.
    28    (i) When developing the manner, form and timeframe of applications for
    29  such projects, pursuant to paragraph c of this subdivision, the environ-
    30  mental facilities corporation shall, to the maximum extent  practicable,
    31  ensure  that  any  administrative  burdens  for rural municipalities are
    32  minimized.
    33    (ii) When awarding such state financial assistance payments, in  addi-
    34  tion  to  the  preference provisions of paragraph f of this subdivision,
    35  the environmental facilities corporation  shall  also  prioritize  water
    36  quality  infrastructure  projects that promote the preservation of hous-
    37  ing.
    38    § 2. This act shall take effect immediately.
 
    39                                   PART QQ
 
    40    Section 1. The public service law is amended by adding a  new  section
    41  53-b to read as follows:
    42    §  53-b.  Excelsior  power  program.  1.  As used in this section, the
    43  following terms shall have the following meanings:
    44    (a) "Customer" means  a  residential  recipient  of  electric  or  gas
    45  service from an electric corporation, gas corporation, or combined elec-
    46  tric and gas corporation, or the Long Island power authority.
    47    (b)  "Smart  thermostat" means an electronic device that is able to be
    48  accessed and controlled remotely and that directly  regulates  connected
    49  heating  and/or cooling appliances within a dwelling to maintain a ther-
    50  mostatic range.
    51    (c) "Utility" means  an  electric  corporation,  gas  corporation,  or
    52  combined electric and gas corporation.

        A. 10008--B                        37
 
     1    2.  There  is hereby established an excelsior power program, hereafter
     2  the program, which shall be developed and administered by the department
     3  pursuant to regulation. The program shall be designed to  enable  utili-
     4  ties  and  the  Long  Island  power  authority  to reduce peak demand by
     5  remotely  operating voluntarily enrolled customers' smart thermostats or
     6  otherwise affecting service, in exchange for a bill credit.  The program
     7  shall also be designed to  prioritize  enrolling  customers  located  in
     8  areas  that  are  forecasted to face a reliability need as identified by
     9  the federally designated bulk system operator or areas where  the  elec-
    10  tric  plant  consistently  experiences  congestion  as identified by the
    11  commission.
    12    3. The department may, subject to  appropriation,  disburse  available
    13  amounts  to  utilities  participating in the program and the Long Island
    14  power authority for the purpose of providing bill credits to  customers.
    15  Provided,  however,  that  each  such  bill  credit shall be limited per
    16  customer per year.
    17    4. No customer may be enrolled in the program without their  informed,
    18  written consent pursuant to this section.
    19    5.  (a)  A  customer may voluntarily enroll in the program through the
    20  utility with which they receive service, if participating, or  the  Long
    21  Island  power  authority,  on a form prescribed by the department, which
    22  shall clearly and conspicuously state that under  the  program  (i)  the
    23  customer's  utility  service  may be interrupted, curtailed, temporarily
    24  reduced, or otherwise affected without  the  customer's  prior  consent;
    25  (ii)  such  service interruptions, curtailments, or reductions may occur
    26  on the hottest and coldest days of the year and affect  the  comfort  of
    27  the customer; and (iii) the utility, in conjunction with the smart ther-
    28  mostat  manufacturer  or  connection  service provider, will have remote
    29  access to the smart thermostat  and  will  be  permitted  to  alter  its
    30  outputs  and  settings,  including  modifying the thermostatic ranges of
    31  heating and cooling appliances.
    32    (b) Prior to enrollment, each customer shall  receive  information  in
    33  plain  language,  which shall include: (i) the rights of customers under
    34  the program; (ii) how to disenroll or temporarily suspend  participation
    35  in  the program; (iii) examples of when a utility may curtail service or
    36  modify the settings of a smart thermostat under the  program;  and  (iv)
    37  the  availability of other energy efficiency and affordability programs,
    38  including how to enroll. Such information shall also be  made  available
    39  on  the  department's  website  as  well as each participating utility's
    40  website and the website of the Long Island power authority.
    41    (c) A customer may disenroll from the program or  temporarily  suspend
    42  participation  in  the  program  at any time without penalty in a manner
    43  prescribed by the commission. The department shall ensure that a custom-
    44  er may quickly and easily disenroll and, upon disenrollment, may  elimi-
    45  nate or modify pro rata any bill credits for participation.
    46    6.  Each  participating  utility  and  the Long Island power authority
    47  shall:
    48    (a) to the maximum extent practicable, notify participating  customers
    49  of  potential curtailment events such as during forecast extreme weather
    50  or high demand events;
    51    (b) take other actions reasonably available to the utility  to  reduce
    52  peak  demand, including curtailment of other classifications of service,
    53  prior to  affecting  the  service  of  customers  participating  in  the
    54  program; and
    55    (c) annually submit to the department a report regarding the implemen-
    56  tation  of  the  program.  Such  report shall include: (i) the number of

        A. 10008--B                        38
 
     1  customers participating; (ii) the number of events that required  demand
     2  response  or  curtailment under the program, and the number of customers
     3  affected; (iii) an accounting of all bill credits provided to customers;
     4  and (iv) any other information required by the commission.
     5    7.  In addition to any other customer protections of this chapter, the
     6  program shall ensure that:
     7    (a) any interruption, curtailment, or  reduction  of  utility  service
     8  under the program shall be temporary, limited to only the period of time
     9  actually  necessary, and shall not result in the complete termination of
    10  utility service;
    11    (b) any customer usage or consumption data collected or accessed under
    12  this program in any manner (i) shall be kept private, secure, and  peri-
    13  odically  destroyed  or cleared; and (ii) shall not be sold, offered for
    14  sale, or otherwise provided, either individually or in aggregate; and
    15    (c) customers with medical needs that may be affected by  the  program
    16  shall  receive  sufficient  protections  to  ensure continued health and
    17  safety and that any electric service essential for medical needs, pursu-
    18  ant to section sixty-six of this chapter, is not affected.
    19    8. The department, no later than February first of  each  year,  shall
    20  make  public on its website and submit to the temporary president of the
    21  senate and speaker of the assembly a report regarding the implementation
    22  of the program. Such report shall, utilizing the reports of  participat-
    23  ing  utilities  required  pursuant  to  subdivision six of this section,
    24  include:  (i) the number of customers participating statewide, including
    25  the number of low-income customers or customers located in disadvantaged
    26  communities as defined by section 75-0111 of the environmental conserva-
    27  tion law; (ii) a list of participating utilities; (iii)  the  number  of
    28  events  that  required demand response or curtailment under the program,
    29  including the total amount of energy  curtailed  or  otherwise  reduced,
    30  statewide,  and  by  each  utility,  as  well as the number of customers
    31  affected; (iv) an accounting of all bill credits provided  to  customers
    32  statewide,  and  by  participating  utility; and (v) the total amount of
    33  money provided under this program.   Such report may be  included  as  a
    34  distinct  section  of  any  other  report required to be made public and
    35  submitted to the legislature pursuant to this chapter,  or  section  one
    36  hundred sixty-four of the executive law.
    37    9.  The  department  shall, within sixty days of the effective date of
    38  this section, promulgate any rules and regulations necessary to effectu-
    39  ate this program. No customer may be enrolled or funds  disbursed  prior
    40  to the adoption of rules and regulations required by this subdivision.
    41    §  2.  Title 1-A of article 5 of the public authorities law is amended
    42  by adding a new section 1020-nn to read as follows:
    43    § 1020-nn. Excelsior power program. The authority  is  hereby  author-
    44  ized,  pursuant  to  appropriation,  to disburse funds received from the
    45  department of public service for the  implementation  of  the  excelsior
    46  power  program  pursuant  to section fifty-three-b of the public service
    47  law to customers enrolled in such program in the form of bill credits.
    48    § 3. This act shall take effect immediately.
 
    49                                   PART RR
 
    50    Section 1. The public service law is amended by adding a  new  article
    51  1-A to read as follows:
    52                                  ARTICLE 1-A
    53                STATE OFFICE OF THE UTILITY CONSUMER ADVOCATE
    54  Section 28.   Definitions.

        A. 10008--B                        39
 
     1          28-a. Establishment  of the state office of the utility consumer
     2                  advocate.
     3          28-b. Powers  of  the state office of the utility consumer advo-
     4                  cate.
     5          28-c. Reports.
     6    § 28. Definitions. As used in this article the following  terms  shall
     7  have the following meanings:
     8    1.  "Residential  utility  customer"  means  any person who is sold or
     9  offered for sale residential utility service by a utility company.
    10    2. "Utility company" means any person or entity  operating  an  agency
    11  for  public  service,  including,  but  not limited to, those persons or
    12  entities subject  to  the  jurisdiction,  supervision,  and  regulations
    13  prescribed  by  or  pursuant to the provisions of this chapter. "Utility
    14  company" shall include any service provider under contract with the Long
    15  Island power authority pursuant to title one-A of article  five  of  the
    16  public authorities law as added by chapter 517 of the laws of 1986.
    17    3.  "Office"  means  the state office of the utility consumer advocate
    18  established pursuant to this article.
    19    § 28-a. Establishment of the state  office  of  the  utility  consumer
    20  advocate.  There  is  hereby established the state office of the utility
    21  consumer advocate, to represent the interests of utility customers.  The
    22  office  shall  be  led  by  the  utility consumer advocate, who shall be
    23  appointed by the governor to a term of six years, upon  the  advice  and
    24  consent of the senate. The utility consumer advocate shall possess know-
    25  ledge and experience in matters affecting utility customers. The utility
    26  consumer advocate shall not be removed for cause but may be removed only
    27  after  notice  and opportunity to be heard, and only for permanent disa-
    28  bility, malfeasance, a felony, or  conduct  involving  moral  turpitude.
    29  Exercise  of  independent  judgment in advocating positions on behalf of
    30  utility customers shall not constitute cause for removal of the  utility
    31  consumer advocate.
    32    §  28-b.  Powers of the state office of the utility consumer advocate.
    33  1.  The consumer utility advocate shall have the power and duty to:
    34    (a) be responsible for the direction, control, and  operation  of  the
    35  office, including its hiring of staff and retention of experts for anal-
    36  ysis and testimony in proceedings;
    37    (b)  exercise  their  independent discretion in determining whether to
    38  participate in or initiate any proceeding and in such  discretion  shall
    39  consider  the public interest, the resources available, and the substan-
    40  tiality of the effect of the proceeding  on  the  interests  of  utility
    41  customers;
    42    (c) exercise their independent discretion in determining the interests
    43  of  utility  customers that will be advocated for in any proceeding and,
    44  in such discretion, shall consider the public  interest,  the  resources
    45  available,  and  the  substantiality  of the effect of such interests to
    46  utility customers; and
    47    (d) represent the interests of utility customers as a party or  other-
    48  wise  participate  for the purpose of representing the interests of such
    49  customers before  any  authorities,  agencies  or  courts.  The  utility
    50  consumer advocate may initiate proceedings if in their judgment doing so
    51  may  be necessary in connection with any matter involving the actions or
    52  regulation of utility companies whether on appeal  or  otherwise  initi-
    53  ated.   The utility consumer advocate may monitor all cases before regu-
    54  latory agencies in the United States,  including  the  federal  communi-
    55  cations  commission  and  the  federal energy regulatory commission that
    56  affect the interests of utility customers of the state and may  formally

        A. 10008--B                        40
 
     1  participate  in  those proceedings which in their judgment warrants such
     2  participation.
     3    2. The office shall have the power and duty to:
     4    (a)  initiate,  intervene  in,  or  participate  on  behalf of utility
     5  customers in any proceedings before the commission or the department  of
     6  public  service,  the  federal energy regulatory commission, the federal
     7  communications commission, federal, state and local  administrative  and
     8  regulatory  agencies,  and  state  and  federal  courts in any matter or
     9  proceedings that may  substantially  affect  the  interests  of  utility
    10  customers,  including,  but  not limited to, a proposed change of rates,
    11  charges, terms and conditions of service, the adoption of  rules,  regu-
    12  lations,  guidelines,  orders, standards or final policy decisions where
    13  the utility consumer advocate deems such  initiation,  intervention,  or
    14  participation to be necessary or appropriate;
    15    (b)  represent  the interests of utility customers of the state before
    16  federal, state and local administrative and regulatory agencies  engaged
    17  in the regulation of energy, telecommunications, water, and other utili-
    18  ty  services,  and  before  state  and  federal  courts  in  actions and
    19  proceedings to review the actions of  utilities  or  orders  of  utility
    20  regulatory  agencies.  Any  action or proceedings brought by the utility
    21  consumer advocate before a court or an agency shall be  brought  in  the
    22  name  of  the state office of the utility consumer advocate. The utility
    23  consumer advocate may join with any utility customer or group of utility
    24  customers in bringing an action;
    25    (c) accept and investigate complaints from Long Island power authority
    26  customers, attempt to mediate such complaints where appropriate, direct-
    27  ly with the authority or their service provider, and refer complaints to
    28  the appropriate state and local entity authorized by law to take  action
    29  with respect to such complaints;
    30    (d)  hold  forums  in the service territory of each utility company to
    31  educate utility customers about utility-related matters and the  regula-
    32  tory  process,  opportunities  to  lower  energy  costs through methods,
    33  including but not limited to, energy efficiency, distributed generation,
    34  bill assistance, or affordability programs, and other matters  affecting
    35  such customers;
    36    (e)  request  and  receive  from any state or local authority, agency,
    37  department or division  of  the  state  or  political  subdivision  such
    38  assistance,  personnel, information, books, records, other documentation
    39  and cooperation necessary to perform their duties; and
    40    (f) enter into cooperative agreements with other government offices to
    41  efficiently carry out their work.
    42    3. The utility consumer advocate and the office  shall,  as  empowered
    43  under  this  article,  prioritize actions that will substantially affect
    44  the interests and affordability of residential utility customers.
    45    § 28-c. Reports. On or before July first,  two  thousand  twenty-seven
    46  and annually thereafter, the office shall issue a report to the governor
    47  and  the  legislature, and make such report available to the public free
    48  of charge on a publicly available website. Such  report  shall  include,
    49  but not be limited to, the following:
    50    1.  all proceedings that the office participated in and the outcome of
    51  such proceedings, to the extent of such outcome, and  if  not  confiden-
    52  tial;
    53    2.  estimated  savings  to utility customers that resulted from inter-
    54  vention by the office, with delineation between residential and  non-re-
    55  sidential customers;

        A. 10008--B                        41

     1    3.  anonymized information detailing the number of consumer complaints
     2  received pursuant to paragraph (c) of subdivision two of  section  twen-
     3  ty-eight-b of this article;
     4    4.  all  forums  that  the  office  held, pursuant to paragraph (d) of
     5  subdivision two of section twenty-eight-b of this article, and  informa-
     6  tion  relevant to such forums that includes, but is not limited to:  the
     7  number of participants, location, and any other information  related  to
     8  such forums the utility consumer advocate deems appropriate; and
     9    5.  policy  recommendations  and suggested statutory amendments as the
    10  office deems necessary and appropriate.
    11    § 2. Subdivision 4 of section 94-a of the executive law is REPEALED.
    12    § 3. This act shall take effect October 1, 2026. Effective  immediate-
    13  ly,  the  addition,  amendment,  and/or repeal of any rule or regulation
    14  necessary for the implementation of this act on its effective  date  are
    15  authorized to be made and completed on or before such effective date.
 
    16                                   PART SS
 
    17    Section 1. The Metropolitan Transportation Authority ("the authority")
    18  shall  take  necessary  steps to establish and implement a fare-free bus
    19  pilot program within the city of New York. The authority  shall  present
    20  the  fare-free bus pilot program to its board for approval no later than
    21  60 days after the effective date of  this  act,  for  implementation  no
    22  later than 90 days after board adoption.
    23    § 2. The purpose of the fare-free bus pilot program shall be to under-
    24  stand  the  impact of fare-free bus routes on ridership, quality of life
    25  issues, bus speed performance, operations, and  related  issues  as  the
    26  authority deems relevant.
    27    §  3.  The fare-free bus pilot program shall consist of five fare-free
    28  bus routes and shall cost no more than fifteen million  dollars  in  net
    29  operating  costs.  Net  operating costs shall be determined by the total
    30  costs of implementing the fare-free bus  pilot  program  and  shall  not
    31  accrue to the city of New York.
    32    §  4.  The  fare-free  bus  routes included in the fare-free bus pilot
    33  program shall be selected by the authority, provided that there shall be
    34  at least one fare-free bus route within each of the following  counties:
    35  Kings  County, New York County, Queens County, Richmond County and Bronx
    36  County. The factors considered by the authority in selecting such  fare-
    37  free  bus  routes shall include but not be limited to: (a) fare evasion;
    38  (b)   ridership,   including   subway   ridership   and   ridership   on
    39  adjacent/redundant  bus routes; (c) service adequacy and equity for low-
    40  income and economically disadvantaged communities;  and  (d)  access  to
    41  employment  and  commercial  activity  in  areas served by the fare-free
    42  routes.
    43    § 5. No express bus routes shall be  included  in  the  fare-free  bus
    44  pilot program.
    45    §  6.  The  authority  shall  report to its board on the fare-free bus
    46  pilot program after it has been in effect for six months and again  upon
    47  the  conclusion  of  the  pilot.  Such reports shall also be sent to the
    48  Governor, the temporary president of the Senate, and the speaker of  the
    49  Assembly,  and  shall  include,  but  not  be  limited to, the following
    50  comparative performance metrics: (a) ridership totals relative to equiv-
    51  alent time periods before the  pilots  took  effect;  (b)  increases  or
    52  decreases  in  fare evasion on adjacent/redundant bus routes and subways
    53  during the fare-free bus pilot program relative to the  equivalent  time
    54  period  before  the fare-free bus pilot program took effect; (c) service

        A. 10008--B                        42
 
     1  delivered; (d) average end-to-end bus speed changes; (e) customer  jour-
     2  ney  time performance; (f) additional bus stop time and travel time; (g)
     3  wait assessments; (h) the cost  to  provide  such  service  itemized  by
     4  route; and (i) any other impacts associated with and resulting from such
     5  fare-free bus pilot program.
     6    §  7. The fare-free bus routes shall revert to regular revenue service
     7  six to twelve months after the fare-free bus pilot program begins.
     8    § 8. This act shall take effect immediately.

     9                                   PART TT
 
    10    Section 1. This part enacts into law major components  of  legislation
    11  relating to affordable energy. Each component is wholly contained within
    12  a  subpart  identified  as  Subparts A through B. The effective date for
    13  each particular provision contained within such Subpart is set forth  in
    14  the last section of such Subpart. Any provision in any section contained
    15  within  a  Subpart,  including  the effective date of the Subpart, which
    16  makes a reference to a section "of this act", when  used  in  connection
    17  with that particular component, shall be deemed to mean and refer to the
    18  corresponding section of the Subpart in which it is found. Section three
    19  of this act sets forth the general effective date of this act.
 
    20                                  SUBPART A
 
    21    Section 1. The legislature hereby finds and declares that:
    22    (a)  Access  to  public utility service that is provided at affordable
    23  and reasonable rates is central to the health, welfare, and  economy  of
    24  the  state.  Nearly  all  aspects  of the state rely on the provision of
    25  electric and/or gas service to: heat and cool homes, offices, and facto-
    26  ries; illuminate buildings; cook meals; charge vehicles; manufacture new
    27  products; and power the countless appliances, machines,  devices,  tech-
    28  nologies,  and  infrastructure  that serve as the backbone of the modern
    29  digital era.
    30    (b) For well over a century, the provision of utility service by inve-
    31  stor-owned corporations has been  recognized  as  serving  an  essential
    32  public  function, lawfully subject to comprehensive and systematic regu-
    33  lation by the state to protect and promote the public interest.    Under
    34  this  system  of regulation, which has been repeatedly upheld by federal
    35  and state courts, the obligation to provide fair and reasonable  utility
    36  rates does not entitle utility corporations to an immutable and absolute
    37  right  to profit, but instead grants great deference to the state to act
    38  in the public interest.
    39    (c) The burden of rising energy costs is becoming  increasingly  acute
    40  and  threatens  the  general prosperity of the state. Utility rates have
    41  hit an all-time high, as have utility  corporation's  profits,  and  the
    42  increased costs are being borne by all ratepayers. To further worsen the
    43  situation,  the  current rate structure disproportionately burdens resi-
    44  dential customers with relatively low energy usage,  particularly  those
    45  with lower or fixed incomes.
    46    (d)  Utility  service  is  a  natural  monopoly,  and  outside  of the
    47  provision of commodity service, New Yorkers do not have  a  say  in  who
    48  provides  them  utility  service. While utilities are allowed to recover
    49  the actual costs of providing service as well as a  reasonable  rate  of
    50  return  on  their  investment, the actual rates and charges passed on to
    51  customers are a matter of public concern and have been regulated by  the
    52  state for well over a century. Further, utility monopolies have no mark-

        A. 10008--B                        43
 
     1  et-based incentive to lower costs, absent the intervention of the legis-
     2  lature or the public service commission.
     3    (e)  As  the  state  enters further into the twenty-first century, the
     4  electric and gas system faces new challenges including rapidly  increas-
     5  ing demand and shifting patterns of usage. Aside from a series of orders
     6  by the commission in the 1990's limiting their control over the costs of
     7  generation  and  deregulating the utility industry, the current model of
     8  regulation and rate setting has remained  largely  unchanged  since  the
     9  dawn  of  the  public  service commission. In light of the all-time high
    10  utility rates, and recent  changes  in  financial  markets,  methods  of
    11  acquiring  capital,  the  globalization of the utility industry, and the
    12  shifting needs of utility customers, a reexamination of the  rationality
    13  and merits of the current utility regulatory model is appropriate.
    14    (f)  Any additional increase in utility rates, on top of the countless
    15  other energy burdens facing the state such as federally imposed tariffs,
    16  high interest  rates,  lingering  inflation,  and  the  reduced  federal
    17  support  of  financial  energy  assistance  and  clean energy transition
    18  programs, could have a harmful and ruinous effect on the health, welfare
    19  and economy of the state.
    20    § 2. (a) Notwithstanding any law to the contrary or any order  of  the
    21  public  service  commission  adopted prior to the effective date of this
    22  section, for a period commencing on the effective date of  this  section
    23  and  ending twenty-four months thereafter, the public service commission
    24  shall not adopt, approve, or otherwise take any action that would effec-
    25  tuate a major change in rates or charges. Such actions shall include, in
    26  relation to the rates and charges for the provision of electric  or  gas
    27  services by a utility corporation: (i) the approval of any matter relat-
    28  ing to a major change in rates or charges; (ii) the adoption or approval
    29  of  modifications to a tariff or schedule of rates or charges, including
    30  the implementation or effectuation of an  order  adopted  prior  to  the
    31  effective  date of this section, which would result in a major change in
    32  rates or charges; and the issuance  of  any  recommendation  that  would
    33  result in a major change in rates or charges submitted for review by the
    34  Long  Island power authority, or its designated service provider, pursu-
    35  ant to section one thousand twenty-f of the public authorities law.
    36    (b) Notwithstanding any law to the contrary, for a  period  commencing
    37  on  the  effective  date  of  this section and ending twenty-four months
    38  thereafter, the Long Island power authority shall  not  request,  submit
    39  for  recommendation to the public service commission, adopt, approve, or
    40  otherwise take any action on a matter relating to a change in  rates  or
    41  charges for the provision of electric service, including the adoption or
    42  modification of any contract for the provision of electric service, that
    43  would result in a major change to such rates or charges.
    44    §  3.  (a)  There  is  hereby established a temporary commission to be
    45  known as the blue ribbon commission on residential affordability through
    46  energy savings, or RATES commission, to study the causes and origins  of
    47  rising  utility  rates and to recommend any actions or reforms to reduce
    48  such rates.
    49    (b) The blue ribbon commission shall be composed of  twelve  appointed
    50  voting  members,  the  chairperson of the public service commission, and
    51  the presidents of the New York state energy development  authority,  the
    52  New  York power authority, and the Long Island power authority, or their
    53  designees, as well as a total of three non-voting  residential  ratepay-
    54  ers,  with  the governor, temporary president of the senate, and speaker
    55  of the assembly each appointing one. Voting members shall include:
    56    (i) four non-agency members to be appointed by the governor;

        A. 10008--B                        44
 
     1    (ii) three members to be appointed by the temporary president  of  the
     2  senate;
     3    (iii) three members to be appointed by the speaker of the assembly;
     4    (iv)  one member to be appointed by the minority leader of the senate;
     5  and
     6    (v) one member to be appointed by the minority leader of the assembly;
     7    (c) (i) The blue ribbon commission, by a majority vote, shall elect  a
     8  chairperson and any other necessary officers;
     9    (ii)  Each  member  of the blue ribbon commission shall have one vote,
    10  and a majority of the total number of  voting  members  which  the  blue
    11  ribbon commission would have were there no vacancies, shall constitute a
    12  quorum  and  shall be required for the blue ribbon commission to conduct
    13  business; provided, however, that no business shall be  conducted  prior
    14  to the initial appointment of all voting members;
    15    (iii)  Any  vacancies  shall be filled in the manner that provided for
    16  the initial appointment;
    17    (iv) All meetings of the blue ribbon commission shall be conducted  in
    18  accordance  with  the provisions of article seven of the public officers
    19  law; and
    20    (v) The blue ribbon commission shall meet at least every other  month,
    21  but  may  meet as frequently as its business may require, and shall hold
    22  at least one public hearing prior to the adoption of the report required
    23  by paragraph (f) of this section.
    24    (d) (i) Members shall have professional or academic expertise  in  one
    25  or  more of the following areas: utility regulation and oversight; rate-
    26  payer or consumer advocacy; utility management and administration; ener-
    27  gy or public utility law; utility systems; commodity market  regulation;
    28  and energy or public utility economics.
    29    (ii)  Members  shall  receive  no  compensation for their services but
    30  shall be reimbursed for actual and necessary expenses  incurred  in  the
    31  performance of their duties;
    32    (iii) The chairperson of the blue ribbon commission shall be responsi-
    33  ble for hiring any staff of the blue ribbon commission, with the consent
    34  of the commission members; and
    35    (iv)  Notwithstanding the provisions of any general, special, or local
    36  law, ordinance or city charter to the contrary, no member,  officer,  or
    37  employee  of the blue ribbon commission shall be disqualified from hold-
    38  ing any other public office or employment, nor shall  they  forfeit  any
    39  such  office  or  employment  by reason of their appointment to the blue
    40  ribbon commission.
    41    (e)(i) The blue ribbon commission may request and shall  receive  from
    42  any  subdivision, department, board, bureau, commission, office, agency,
    43  or other instrumentality of the state or of  any  political  subdivision
    44  thereof,  including,  but  not  limited  to,  the  department  of public
    45  service, the public  service  commission,  and  the  Long  Island  power
    46  authority, such facilities, assistance and data as it deems necessary or
    47  desirable for the proper execution of its powers and duties; and
    48    (ii)  The blue ribbon commission, to facilitate the development of the
    49  recommendations required by this section, and provided that such commis-
    50  sion takes measures to protect private information, shall have the power
    51  to examine the accounts, books, contracts, records, documents,  memoran-
    52  da,  and papers of any utility corporation under the jurisdiction of the
    53  public service commission or the Long Island power authority.
    54    (f) No later than eighteen months after the  effective  date  of  this
    55  section, the blue ribbon commission, shall develop, and after a superma-
    56  jority  vote of the blue ribbon commission, which shall include at least

        A. 10008--B                        45
 
     1  one member appointed by the governor, temporary president of the senate,
     2  and speaker of the assembly, adopt and make public on the department  of
     3  public  service's  website,  and  deliver to the governor, the temporary
     4  president  of  the  senate,  and  the speaker of the assembly, a report,
     5  which at a minimum, shall include:
     6    (i) an identification of the causes  and  origins  of  rising  utility
     7  rates, and the relative impacts of each such cause;
     8    (ii)  an  examination of the current regulatory model of public utili-
     9  ties, including:
    10    (1) the regulatory role of the  public  service  commission  over  the
    11  costs and market prices of electricity generation;
    12    (2)  the  merits  of  any  public service commission orders or actions
    13  limiting the oversight or regulation of electric generation, in light of
    14  the jurisdiction assigned to them under section 5 of the public  service
    15  law;
    16    (3)  the effects of any existing limitations on the ability of utility
    17  corporations to construct, own, and operate generating assets;
    18    (4) embedded cost of service modeling or asset cost distributions, and
    19  its effects on the  residential  price  of  electric  and  gas  service,
    20  particularly for low-use customers; and
    21    (5)  the  methodology used to determine a utility corporation's return
    22  on equity, the reasonableness of  current  commission-approved  returns,
    23  divergence  between  such returns and the returns of capital investments
    24  of similar risk, and ways in which the fiscal impacts of such returns on
    25  ratepayers can be minimized and made more transparent.
    26    (iii) an evaluation of the impacts of increased  demand  on  commodity
    27  and  delivery  costs, and the sufficiency of current and projected elec-
    28  tric supply to meet such increased demands;
    29    (iv) an examination of the current treatment of customer arrears,  and
    30  implications for rates;
    31    (v)  an  examination  of existing energy affordability programs, their
    32  effectiveness and participation rates,  as  well  as  the  merits  of  a
    33  centralized  office  to  coordinate and streamline the administration of
    34  energy affordability programs across state  agencies,  authorities,  and
    35  offices;
    36    (vi)  an examination of actions being taken in other states and juris-
    37  dictions to lower residential utility rates;
    38    (vii) an examination of the governance structure  and  powers  of  all
    39  federally  designated bulk system operators, and implications for whole-
    40  sale electric prices;
    41    (viii) an examination of utility corporation cost management practices
    42  that could be effectively replicated by other utility corporations;
    43    (ix) an examination of current commodity pricing models and  commodity
    44  market  design,  including  methodologies  that  employ uniform clearing
    45  prices above the lowest valid bids, and an examination of any strategies
    46  employed by actors in these markets that may undermine  market  competi-
    47  tiveness;
    48    (x)  an  assessment  of  opportunities to subsidize programs and oper-
    49  ations conducted pursuant to orders of the public service commission  by
    50  utility corporations and the New York state energy research and develop-
    51  ment authority through revenues or funds of the state;
    52    (xi) recommendations for eliminating future excess profits based on an
    53  evaluation of the findings of Subpart B;
    54    (xii) recommendations related to subsequent rate changes; and

        A. 10008--B                        46
 
     1    (xiii) other recommendations to the legislature and the public service
     2  commission  regarding  prudent and feasible actions that may be taken to
     3  lower or stabilize utility rates.
     4    (g)  The  blue  ribbon commission shall be deemed dissolved sixty days
     5  after the publication of the report required pursuant to subdivision (f)
     6  of this section.
     7    § 4. For purposes of this act, the  following  terms  shall  have  the
     8  following meanings:
     9    (a)  "Major  change"  shall  mean an increase in the rates and charges
    10  which would increase the aggregate revenues of the  utility  corporation
    11  more  than  the lesser of three hundred thousand dollars or two and one-
    12  half percent.
    13    (b) "Utility corporation" shall mean any "gas corporation",  "electric
    14  corporation",  or "combined gas and electric corporation", as such terms
    15  are defined in section 2 of the public service law and shall not include
    16  municipalities.
    17    § 5. This act shall take effect  immediately;  provided  however  that
    18  section  two of this act shall expire and be deemed repealed twenty-four
    19  months after such date.
 
    20                                  SUBPART B
 
    21    Section 1. (a) The public service commission, in consultation with the
    22  New York state energy research and development authority, shall  develop
    23  a  methodology to identify any excess profits resulting from the partic-
    24  ipation of electric generating facilities in  the  federally  designated
    25  bulk  system  operator's  short-term  electric commodity markets.   Such
    26  methodology shall include an analysis of financial data from  the  elec-
    27  tric  generating  facilities  and  the  federally designated bulk system
    28  operator and shall take into account all costs, revenues, and  ratepayer
    29  funded subsidies. Such methodology shall also, at a minimum measure:
    30    1.  any difference between the price of bids for the sale of electric-
    31  ity, formally submitted by owners or operators  of  electric  generating
    32  facilities  in  the state to the federally designated bulk system opera-
    33  tor's short-term commodity markets, and the price such owners or  opera-
    34  tors received in excess of such bid; and
    35    2.  any difference between the price of bids for the sale of electric-
    36  ity, formally submitted by owners or operators  of  electric  generating
    37  facilities  in  the state to the federally designated bulk system opera-
    38  tor's short-term commodity markets, and actual operating costs  of  such
    39  electric generating facilities.
    40    (b)  Electric  generating facilities and the federally designated bulk
    41  system operator shall provide any requested information to  the  commis-
    42  sion in a timely manner.
    43    (c) The commission shall identify and assess any excess profits, using
    44  the methodology established pursuant to subdivision (a) of this section,
    45  that  are  attributable  to any owner or operator of electric generating
    46  facilities, beginning January first, two thousand twenty-six, and in  an
    47  ongoing manner thereafter.
    48    (d) The commission shall deliver each assessment in a timely manner to
    49  the  relevant  owner  or operator of an electric generating facility and
    50  shall, in a manner determined by the commission, require  remittance  to
    51  the state of any amount assessed.
    52    (e)  The  commission, no later than February first, two thousand twen-
    53  ty-seven, shall have fulfilled the requirements of this  act  and  shall

        A. 10008--B                        47
 
     1  deliver  a  summary of such methodology, assessments, and remittances to
     2  the legislature and post such summary to the commission's website.
     3    (f)  As  used in this act the following terms shall have the following
     4  meanings:
     5    1. "Electric generating facility"  shall  have  the  same  meaning  as
     6  defined in section 575-a of the real property tax law.
     7    2. "Commission" shall mean the public service commission.
     8    § 2. This act shall take effect immediately.
     9    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
    10  sion,  section  or  part  of  this act shall be adjudged by any court of
    11  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    12  impair,  or  invalidate  the remainder thereof, but shall be confined in
    13  its operation to the clause, sentence, paragraph,  subdivision,  section
    14  or part thereof directly involved in the controversy in which such judg-
    15  ment shall have been rendered. It is hereby declared to be the intent of
    16  the  legislature  that  this  act  would  have been enacted even if such
    17  invalid provisions had not been included herein.
    18    § 3. This act shall take effect immediately  provided,  however,  that
    19  the  applicable effective date of Subparts A through B of this act shall
    20  be as specifically set forth in the last section of such Subparts.
 
    21                                   PART UU
 
    22    Section 1. Item (ii) of subparagraph (A) of paragraph 35 of subsection
    23  (i) of section 3216 of the insurance law, as amended by  chapter  62  of
    24  the laws of 2023, is amended to read as follows:
    25    (ii)  where  the policy provides coverage for physician services, such
    26  policy shall include benefits for outpatient care provided by a psychia-
    27  trist or psychologist licensed to practice in  this  state,  a  licensed
    28  clinical  social  worker  within  the  lawful scope of [his or her] such
    29  licensed clinical social worker's practice, who is licensed pursuant  to
    30  article  one  hundred  fifty-four  of the education law, a mental health
    31  counselor, marriage and family therapist, creative  arts  therapist,  or
    32  psychoanalyst  licensed  pursuant  to article one hundred sixty-three of
    33  the education law, a nurse practitioner licensed  to  practice  in  this
    34  state,  or  a  professional  corporation  or university faculty practice
    35  corporation thereof.  Nothing herein shall be  construed  to  modify  or
    36  expand  the scope of practice of a mental health counselor, marriage and
    37  family therapist, creative arts  therapist,  or  psychoanalyst  licensed
    38  pursuant  to  article  one  hundred  sixty-three  of  the education law.
    39  Further, nothing herein shall be construed  to  create  a  new  mandated
    40  health benefit.
    41    § 2. Subparagraph (A) of paragraph 4 of subsection (l) of section 3221
    42  of  the  insurance law, as amended by chapter 62 of the laws of 2023, is
    43  amended to read as follows:
    44    (A) Every insurer delivering a group policy or issuing a group  policy
    45  for delivery, in this state, that provides reimbursement for psychiatric
    46  or  psychological  services or for the diagnosis and treatment of mental
    47  health conditions,  however  defined  in  such  policy,  by  physicians,
    48  psychiatrists  or  psychologists,  shall  provide  the  same coverage to
    49  insureds for such services when performed by a licensed clinical  social
    50  worker,  within  the lawful scope of [his or her] such licensed clinical
    51  social worker's   practice, who is  licensed  pursuant  to  article  one
    52  hundred  fifty-four  of  the education law and mental health counselors,
    53  marriage and family therapists, creative arts therapists, and psychoana-
    54  lysts licensed pursuant to article one hundred sixty-three of the educa-

        A. 10008--B                        48
 
     1  tion law, within the lawful scope of [his or  her]  such  mental  health
     2  counselor's,  marriage  and/or  family therapist's, creative arts thera-
     3  pist's, or psychoanalyst's practice. Nothing herein shall  be  construed
     4  to  modify or expand the scope of practice of a mental health counselor,
     5  marriage and family therapist, creative arts therapist, or psychoanalyst
     6  licensed pursuant to article one hundred sixty-three  of  the  education
     7  law. Further, nothing herein shall be construed to create a new mandated
     8  health benefit.
     9    § 3. Item (ii) of subparagraph (A) of paragraph 5 of subsection (l) of
    10  section  3221 of the insurance law, as amended by chapter 62 of the laws
    11  of 2023, is amended to read as follows:
    12    (ii) where the policy provides coverage  for  physician  services,  it
    13  shall include benefits for outpatient care provided by a psychiatrist or
    14  psychologist  licensed  to  practice  in  this state, or a mental health
    15  counselor, marriage and family therapist, creative  arts  therapist,  or
    16  psychoanalyst  licensed  pursuant  to article one hundred sixty-three of
    17  the education law, or a  licensed  clinical  social  worker  within  the
    18  lawful  scope  of  [his  or  her] such licensed clinical social worker's
    19  practice, who is licensed pursuant to article one hundred fifty-four  of
    20  the  education  law,  a  nurse practitioner licensed to practice in this
    21  state, or a professional  corporation  or  university  faculty  practice
    22  corporation  thereof.  Nothing  herein  shall  be construed to modify or
    23  expand the scope of practice of a mental health counselor, marriage  and
    24  family  therapist,  creative  arts  therapist, or psychoanalyst licensed
    25  pursuant to article  one  hundred  sixty-three  of  the  education  law.
    26  Further,  nothing  herein  shall  be  construed to create a new mandated
    27  health benefit.
    28    § 4. Paragraph 2 of subsection (g) of section 4303  of  the  insurance
    29  law, as amended by chapter 62 of the laws of 2023, is amended to read as
    30  follows:
    31    (2)  where  the contract provides coverage for physician services such
    32  contract shall provide  benefits  for  outpatient  care  provided  by  a
    33  psychiatrist  or  psychologist  licensed to practice in this state, or a
    34  mental health counselor, marriage and family  therapist,  creative  arts
    35  therapist,  or  psychoanalyst licensed   pursuant to article one hundred
    36  sixty-three of the education law, or a licensed clinical  social  worker
    37  within  the  lawful  scope of [his or her] such licensed clinical social
    38  worker's practice, who is  licensed  pursuant  to  article  one  hundred
    39  fifty-four  of the education law, a nurse practitioner licensed to prac-
    40  tice in this state, or professional corporation  or  university  faculty
    41  practice corporation thereof. Nothing herein shall be construed to modi-
    42  fy  or  expand  the  scope  of  practice  of  a mental health counselor,
    43  marriage and family therapist, creative arts therapist, or psychoanalyst
    44  licensed pursuant to article one hundred sixty-three  of  the  education
    45  law. Further, nothing herein shall be construed to create a new mandated
    46  health benefit.
    47    §  5.  Subsection (n) of section 4303 of the insurance law, as amended
    48  by chapter 62 of the laws of 2023, is amended to read as follows:
    49    (n) Every health service  or  medical  expense  indemnity  corporation
    50  issuing  a group contract pursuant to this section or a group remittance
    51  contract for delivery in this state which contract  provides  reimburse-
    52  ment  to  subscribers  or physicians, psychiatrists or psychologists for
    53  psychiatric or psychological services or for the diagnosis and treatment
    54  of mental health conditions, however  defined  in  such  contract,  must
    55  provide  the  same  coverage to persons covered under the group contract
    56  for such services when performed by a licensed clinical  social  worker,

        A. 10008--B                        49
 
     1  within  the  lawful  scope of [his or her] such licensed clinical social
     2  worker's practice, who is  licensed  pursuant  to  article  one  hundred
     3  fifty-four  of the education law and a mental health counselor, marriage
     4  and family therapist, creative arts therapist, or psychoanalyst licensed
     5  pursuant  to article one hundred sixty-three of the education law. Noth-
     6  ing herein shall be construed to modify or expand the scope of  practice
     7  of  a  mental  health counselor, marriage and family therapist, creative
     8  arts therapist,  or  psychoanalyst  licensed  pursuant  to  article  one
     9  hundred sixty-three of the education law.  Further, nothing herein shall
    10  be  construed  to  create a new mandated health benefit. The state board
    11  for social work shall maintain a list of all  licensed  clinical  social
    12  workers  qualified  for  reimbursement  under this subsection. The state
    13  board for mental health practitioners  shall  maintain  a  list  of  all
    14  licensed mental health counselors, marriage and family therapists, crea-
    15  tive  arts  therapists,  or  psychoanalysts  qualified for reimbursement
    16  under this subsection.
    17    § 6. This act shall take effect immediately and  shall  apply  to  all
    18  policies  and contracts issued, renewed, modified, altered or amended on
    19  or after such effective date.
    20    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
    21  sion, section or part of this act shall be  adjudged  by  any  court  of
    22  competent  jurisdiction  to  be invalid, such judgment shall not affect,
    23  impair, or invalidate the remainder thereof, but shall  be  confined  in
    24  its  operation  to the clause, sentence, paragraph, subdivision, section
    25  or part thereof directly involved in the controversy in which such judg-
    26  ment shall have been rendered. It is hereby declared to be the intent of
    27  the legislature that this act would  have  been  enacted  even  if  such
    28  invalid provisions had not been included herein.
    29    §  3.  This  act shall take effect immediately provided, however, that
    30  the applicable effective date of Parts A through UU of this act shall be
    31  as specifically set forth in the last section of such Parts.
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