Requires the public service commission to conduct a review within fifteen days when a residential customer of a public utility company alleges that the public utility company has overcharged the customer for service and to refund the overcharge within thirty days; provides for penalties; requires the public service commission to promulgate rules and regulations.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A4980
SPONSOR: Beephan TITLE OF BILL:
An act to amend the public service law, in relation to refunds by public
utility companies to overcharged customers
SUMMARY OF PROVISIONS:
Section 1: Whenever a customer is overcharged by the utility company,
including mistake, negligence, or fraud, the commission shall review the
overcharge. The review will be within fifteen days of the complaint. The
customer will choose the refund type, and if not refunded in 30 days,
the commission is authorized to implement a fine. An act under this
section will be in accordance with subdivision two of section two
hundred thirteen of the civil practice and law. The commission will
issue rules and regulations. Section 2: Provides the effective date.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
N/A
JUSTIFICATION:
The purpose of this bill is to provide paying customers the option of
receiving a check when they have been overcharged by a public utility
company.
Residential customers who pay for service through a public utility
company, have been overcharged for numerous reasons, including billing
mistakes, negligence or fraud, deserve to have that money back in their
bank accounts.
This bill allows for the residential customer to decide how they would
like to receive their refund, and provides a choice of a check or a
credit to the account. Many residential customers want to have the
choice of receiving a check, instead of having a large sum of credit on
their account, and by receiving a check refund they can use that money
for other monthly spending needs.
If the public utility company fails to provide a refund or credit back
to the customer's account, within thirty days, the commission is author-
ized to impose a fine on the public utility company.
PRIOR LEGISLATIVE HISTORY:
New Bill
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERN1JENTS:
None to New York State
EFFECTIVE DATE:
This act shall take effect immediately.
