S T A T E   O F   N E W   Y O R K
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                                  2048

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 15, 2015
                               ___________

Introduced  by M. of A. CAHILL -- Multi-Sponsored by -- M. of A. COLTON,
  DINOWITZ, FINCH, GALEF, GLICK, GOTTFRIED,  LUPARDO,  RUSSELL  --  read
  once  and  referred  to the Committee on Corporations, Authorities and
  Commissions

AN ACT to amend  the  public  service  law,  in  relation  to  requiring
  evidence and consideration of the economic impact of utility rates and
  charges by the public service commission

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 1 of section 65 of the public service  law,  as
amended  by  chapter  789  of  the  laws  of 1930, is amended to read as
follows:
  1. Every gas corporation, every electric corporation and every munici-
pality shall furnish and provide  such  service,  instrumentalities  and
facilities  as  shall  be safe and adequate and in all respects just and
reasonable. All charges made or demanded by any  such  gas  corporation,
electric corporation or municipality for gas, electricity or any service
rendered  or  to  be rendered, shall be just and reasonable and not more
than allowed by law or by order of the commission. IN DETERMINING WHETH-
ER CHARGES ARE JUST AND REASONABLE, CONSIDERATION SHALL BE GIVEN TO  THE
ECONOMIC  IMPACT  OF  SUCH CHARGES UPON CONSUMERS AND THE AREA SERVED BY
EACH SUCH GAS CORPORATION, ELECTRIC CORPORATION AND MUNICIPALITY.  Every
unjust  or  unreasonable charge made or demanded for gas, electricity or
any such service, or in connection  therewith,  or  in  excess  of  that
allowed by law or by the order of the commission is prohibited.
  S 2. Subdivision 1 of section 79 of the public service law, as amended
by chapter 134 of the laws of 1921, is amended to read as follows:
  1.  Every  steam  corporation  shall furnish and provide such service,
instrumentalities and facilities as shall be safe and  adequate  and  in
all  respects  just  and reasonable. All charges made or demanded by any
such corporation for such service rendered or to be  rendered  shall  be

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06240-01-5
              

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just  and  reasonable  and not more than allowed by order of the commis-
sion.  IN DETERMINING WHETHER CHARGES ARE JUST AND REASONABLE, CONSIDER-
ATION SHALL BE GIVEN TO THE ECONOMIC IMPACT OF SUCH CHARGES UPON CONSUM-
ERS  AND THE AREA SERVED BY EACH SUCH STEAM CORPORATION. Every unjust or
unreasonable charge made or demanded for such service, or in  connection
therewith  or  in  excess of that allowed by law or by the commission is
prohibited.
  S 3. Subdivision 1 of section 89-b of the public service law, as added
by chapter 715 of the laws of 1931, is amended to read as follows:
  1. Every  water-works  corporation  shall  furnish  and  provide  such
service,  instrumentalities and facilities as shall be safe and adequate
and in all respects just and reasonable. All charges made or demanded by
any such water-works corporation for water, or for  equipment  furnished
or  for any service rendered or to be rendered shall be just and reason-
able and not more than allowed by law or by order of the commission.  IN
DETERMINING WHETHER CHARGES ARE JUST AND REASONABLE, CONSIDERATION SHALL
BE GIVEN TO THE ECONOMIC IMPACT OF SUCH CHARGES UPON CONSUMERS  AND  THE
AREA SERVED BY EACH SUCH WATER-WORKS CORPORATION. Every unjust or unrea-
sonable  charge made or demanded for water or for equipment furnished or
for any such service, or in connection therewith, or in excess  of  that
allowed by law or by the order of the commission is prohibited.
  S  4.  Subdivision 1 of section 91 of the public service law, as added
by chapter 673 of the laws of 1910, is amended to read as follows:
  1. Every telegraph corporation and every telephone  corporation  shall
furnish  and provide with respect to its business such instrumentalities
and facilities as shall be adequate and in all respects just and reason-
able. All charges made or demanded by any telegraph corporation or tele-
phone corporation  for  any  service  rendered  or  to  be  rendered  in
connection  therewith  shall  be  just  and reasonable and not more than
allowed by law or by order of the  commission.  IN  DETERMINING  WHETHER
CHARGES  ARE  JUST  AND  REASONABLE, CONSIDERATION SHALL BE GIVEN TO THE
ECONOMIC IMPACT OF SUCH CHARGES UPON CONSUMERS AND THE  AREA  SERVED  BY
EACH  SUCH TELEGRAPH CORPORATION AND TELEPHONE CORPORATION. Every unjust
or unreasonable charge made or demanded  for  any  such  service  or  in
connection  therewith or in excess of that allowed by law or by order of
the commission is prohibited and declared to be unlawful.
  S 5. The public service law is amended by adding a new  section  119-d
to read as follows:
  S  119-D. ECONOMIC IMPACT. 1. PRIOR TO APPROVING ANY MAJOR INCREASE IN
RATES OR CHARGES PROPOSED BY A PUBLIC UTILITY COMPANY  OR  MUNICIPALITY,
THE  COMMISSION  SHALL CONSIDER THE ECONOMIC IMPACT OF ANY SUCH PROPOSED
INCREASE IN THE RATES OR CHARGES UPON CONSUMERS IN THE  AREA  SERVED  BY
THE  COMPANY  OR  MUNICIPALITY  PROPOSING SUCH INCREASE. FOR PURPOSES OF
THIS SUBDIVISION, "MAJOR INCREASE" SHALL MEAN AN INCREASE IN  THE  RATES
AND CHARGES WHICH WOULD INCREASE THE AGGREGATE REVENUES OF THE APPLICANT
MORE  THAN THE GREATER OF THREE HUNDRED THOUSAND DOLLARS OR TWO AND ONE-
HALF PERCENT.
  2. THE COMMISSION SHALL  CONSIDER  UNEMPLOYMENT  DATA,  MEDIAN  INCOME
INFORMATION  AND THE NUMBER OF PERSONS RECEIVING SOCIAL SERVICES ASSIST-
ANCE WITH RESPECT TO THE  APPLICABLE  SERVICE  AREA.  IN  ADDITION,  THE
COMMISSION SHALL CONSIDER IN REACHING ITS DETERMINATION IN ANY SUCH RATE
CASE:
  A.  THE  AVERAGE  MONTHLY UTILITY BILL FOR EACH CLASS OF CUSTOMERS WHO
WOULD BE AFFECTED BY AN INCREASED  RATE  OR  CHARGE  AND  THE  ESTIMATED
INCREASED UTILITY BILL FOR EACH SUCH CLASS OF CUSTOMERS; AND

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  B.  THE LATEST FEDERAL BUREAU OF LABOR STATISTICS CONSUMER PRICE INDEX
FIGURES INDICATING THE AVERAGE COST OF LIVING AND THE  AVERAGE  COST  OF
FUEL  AND UTILITIES FOR THE NATION AND, IF POSSIBLE FOR THE STATE OR THE
SERVICE AREA AFFECTED BY SUCH INCREASED RATE OR CHARGE.
  S  6.  This  act shall take effect immediately and shall apply to each
request for increased rates or charges submitted on or after the  effec-
tive date of this act.