NY State Senate Bill 2017-S5023

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 03, 2018	referred to energy and telecommunications
Mar 06, 2017	referred to energy and telecommunications

co-Sponsors

2017-S5023 (ACTIVE) - Details

See Assembly Version of this Bill:: A5235
Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Amd §65, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2009-2010: A3245
2011-2012: S6455, A1027, A8433
2013-2014: S3442, A351
2015-2016: S2557, A1903
2019-2020: S2376, A3245

2017-S5023 (ACTIVE) - Summary

Prohibits suppliers of natural gas or electric service from changing a customer's supplier of gas or electric service (commonly known as "slamming") unless such supplier complies with requirements established by the public service commission; authorizes the commission to establish requirements for customer consent; makes enforcement provisions to punish violators of slamming requirements.

2017-S5023 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S5023

 TITLE OF BILL :  An act to amend the public service law, in relation
to unauthorized changes in suppliers of natural gas and electric
service

 PURPOSE OR GENERAL IDEA OF BILL :

To prohibit unauthorized changes in suppliers of natural gas or
electric service and to establish additional enforcement methods.

 SUMMARY OF SPECIFIC PROVISIONS :

This bill would amend Section 65 of the Public Service Law to prohibit
a supplier of natural gas or electricity from making or directing an
unauthorized change in gas or electric service, commonly known as
slamming. This bill would further authorize the Public Service
Commission (PSC) to establish requirements for obtaining the
authorization of a customer to effect a change in the customer's
supplier of gas or electric service and for the verification of such
change. This bill would also authorize the PSC to punish violators of
slamming requirements by seeking a judicial penalty under Public
Service Law Section 25 or an administrative penalty not to exceed
$1,000 for every violation associated with each meter service point,
and by seeking injunctive relief. Section 25 of the Public Service Law
currently authorizes penalties, subject to judicial discretion, in

amounts not to exceed $100,000 per offense.

The PSC currently requires Energy Service Companies (ESCOs) to
establish procedures to obtain authorization of customers for a change
in gas and electric service and for the verification of such change,
as a condition of eligibility to serve customers in New York State.
Such eligibility may be revoked by the PSC if the ESCO fails to comply
with service requirements. Natural gas local distribution companies
require a written authorization or a verified oral declaration by a
customer prior to a change in supplier and may deny transportation of
gas on their systems to a marketer that fails to obtain the necessary
authorizations.

 JUSTIFICATION :

Competition in the electric and gas industries will provide many new
benefits for consumers, but experience gained from the deregulation of
the telephone industry also suggests that the unauthorized change in
gas or electric service, known as slamming, may be a concern with the
deregulation of the electric and gas industries. Unauthorized changes
in electric and gas service are deceitful business practices which
anger consumers, who object to the loss of control over their choice
of supplier and the inconvenience involved in returning to their
original supplier.

 FISCAL IMPLICATIONS :

Increased revenue to general fund resulting from administrative and
judicial penalties.

 EFFECTIVE DATE :
This bill will take effect 120 days after it shall have become law.

2017-S5023 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5023
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               March 6, 2017
                                ___________
 
 Introduced  by Sens. KRUEGER, HAMILTON, PARKER -- read twice and ordered
   printed, and when printed to be committed to the Committee  on  Energy
   and Telecommunications
 
 AN  ACT  to  amend  the  public service law, in relation to unauthorized
   changes in suppliers of natural gas and electric service

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 65 of the public service law is amended by adding a
 new subdivision 16 to read as follows:
   16.  UNAUTHORIZED CHANGES IN NATURAL GAS OR ELECTRIC SERVICE PROHIBIT-
 ED. (A) NO SUPPLIER OF GAS OR ELECTRIC SERVICE OR ANY  PERSON,  FIRM  OR
 CORPORATION  ACTING  AS SUCH SUPPLIER'S AGENT OR REPRESENTATIVE SHALL ON
 BEHALF OF A CUSTOMER MAKE OR DIRECT ANY CHANGE IN A SUPPLIER OF  GAS  OR
 ELECTRIC  SERVICE UNLESS SUCH SUPPLIER, AGENT OR REPRESENTATIVE COMPLIES
 WITH REQUIREMENTS TO AUTHORIZE AND VERIFY  THE  CHANGE.  THE  COMMISSION
 SHALL  HAVE  THE  AUTHORITY  TO ESTABLISH REQUIREMENTS FOR OBTAINING THE
 AUTHORIZATION OF A CUSTOMER TO EFFECT A CHANGE IN THE CUSTOMER'S SUPPLI-
 ER OF GAS OR ELECTRIC SERVICE AND FOR THE VERIFICATION OF  SUCH  CHANGE.
 IN  CONSTRUING AND ENFORCING THE PROVISIONS OF THIS SUBDIVISION, THE ACT
 OF ANY PERSON, FIRM OR CORPORATION ACTING AS AN AGENT OR  REPRESENTATIVE
 OF  A  SUPPLIER OF GAS OR ELECTRIC SERVICE SHALL BE DEEMED TO BE THE ACT
 OF SUCH SUPPLIER OF GAS OR ELECTRIC SERVICE. FOR THE  PURPOSES  OF  THIS
 SUBDIVISION,  "SUPPLIER  OF  GAS  OR ELECTRIC SERVICE" SHALL INCLUDE ANY
 PERSON, FIRM OR CORPORATION THAT OFFERS, SELLS OR DELIVERS ALL  OR  PART
 OF NATURAL GAS OR ELECTRIC SERVICE, INCLUDING, BUT NOT LIMITED TO, A GAS
 OR  ELECTRIC  DISTRIBUTION COMPANY, A GAS OR ELECTRIC CORPORATION, A GAS
 OR ELECTRICITY PROVIDER, MARKETER, AGGREGATOR OR BROKER.
   (B) THE FAILURE TO COMPLY WITH  THE  PROVISIONS  IN  THIS  SUBDIVISION
 SHALL  SUBJECT A SUPPLIER OF GAS OR ELECTRIC SERVICE TO EITHER THE JUDI-
 CIAL PENALTY AUTHORIZED IN SECTION TWENTY-FIVE OF THIS CHAPTER  FOR  THE
 FAILURE OR NEGLECT TO OBEY OR COMPLY WITH A PROVISION OF THIS CHAPTER OR
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD03556-01-7

 S. 5023                             2
 
 THE  ADMINISTRATIVE  PENALTY ESTABLISHED IN THIS SUBDIVISION. IN SEEKING
 SUCH JUDICIAL PENALTY OR  ASSESSING  SUCH  ADMINISTRATIVE  PENALTY,  THE
 COMMISSION  SHALL  TAKE  INTO ACCOUNT THE NATURE, CIRCUMSTANCES, EXTENT,
 GRAVITY  AND NUMBER OF THE VIOLATIONS, AND WITH RESPECT TO THE VIOLATOR,
 THE DEGREE OF CULPABILITY, ANY HISTORY OF PRIOR  OFFENSES  AND  REPEATED
 VIOLATIONS,  AND  SUCH OTHER MATTERS AS MAY BE APPROPRIATE AND RELEVANT.
 THE REMEDIES PROVIDED BY THIS SUBDIVISION SHALL BE IN  ADDITION  TO  ANY
 OTHER REMEDIES PROVIDED BY LAW.
   (C)  THE  COMMISSION,  AFTER OPPORTUNITY FOR A HEARING, SHALL HAVE THE
 AUTHORITY TO ASSESS  DIRECTLY  AN  ADMINISTRATIVE  PENALTY  AGAINST  ANY
 SUPPLIER  OF GAS OR ELECTRIC SERVICE FOR EACH VIOLATION OF THIS SUBDIVI-
 SION OR ORDER OF THE COMMISSION IMPLEMENTING OR ENFORCING THE PROVISIONS
 OF THIS SUBDIVISION. SUCH PENALTY SHALL NOT EXCEED ONE THOUSAND  DOLLARS
 FOR  EACH VIOLATION ASSOCIATED WITH EACH METER SERVICE POINT. ALL MONEYS
 RECOVERED FROM ANY ADMINISTRATIVE PENALTY SHALL BE PAID INTO  THE  STATE
 TREASURY TO THE CREDIT OF THE GENERAL FUND.
   (D)  WHENEVER  THE  COMMISSION  DETERMINES THAT ANY SUPPLIER OF GAS OR
 ELECTRIC SERVICE IS VIOLATING OR ABOUT TO VIOLATE ANY PROVISION OF  THIS
 SUBDIVISION OR ANY REGULATION OR ORDER OF THE COMMISSION IMPLEMENTING OR
 ENFORCING  THE  PROVISIONS OF THIS SUBDIVISION, OR HAS FAILED TO PAY ANY
 PENALTY ASSESSED PURSUANT TO THE PROVISIONS  OF  THIS  SUBDIVISION,  THE
 COMMISSIONER SHALL HAVE POWER TO BRING AN ACTION OR ENFORCEMENT PROCEED-
 ING AS PROVIDED BY SECTION TWENTY-SIX OF THIS CHAPTER.
   §  2.    This  act  shall take effect on the one hundred twentieth day
 after it shall have become a  law;  provided,  however,  that  effective
 immediately,  the addition, amendment and/or repeal of any rule or regu-
 lation necessary for the implementation of this  act  on  its  effective
 date  is  authorized  and directed to be made and completed on or before
 such effective date.

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Senate Bill S5023

Sponsored By

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

co-Sponsors

2017-S5023 (ACTIVE) - Details

2017-S5023 (ACTIVE) - Summary

2017-S5023 (ACTIVE) - Sponsor Memo

2017-S5023 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S5023

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Sponsored By

Liz Krueger

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

co-Sponsors

Jesse Hamilton

Kevin S. Parker

2017-S5023 (ACTIVE) - Details

2017-S5023 (ACTIVE) - Summary

2017-S5023 (ACTIVE) - Sponsor Memo

2017-S5023 (ACTIVE) - Bill Text download pdf

Comments