BILL NUMBER: S1498

SPONSOR: TEDISCO
 
TITLE OF BILL:

An act to amend the public service law, in relation to requiring legis-
lative approval of increases in utility charges

 
PURPOSE OR GENERAL IDEA OF BILL:

To require in addition to the consent of the Public Service Commission,
Legislative approval before implementing increases in fees, rentals and
charges for the furnishing or rendition of gas or electric power.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1. This act shall be known and may be cited as the "utility
ratepayer protection act".

§ 2. Subdivision 12 of section 66 of the public service law is amended
by adding a new paragraph (b-1) to read as follows:
              

(b-1) No change shall be made in any rate or charge, which shall have
been filed by a utility in compliance with an order of the commission,
without the consent of both houses of the legislature by a majority vote
in each house. The utility shall submit a written report to the legisla-
ture at least one hundred eighty days prior to the date when any
proposed increase in fees, rentals and charges for the provision of
services by the utility is scheduled to take effect.  Such report shall
include justification for the proposed increase, and information setting
forth the current financial condition of the utility. The legislature
may require any additional data or information that it deems necessary.
If the legislature or the appropriate committees thereof, finds that the
proposed increases are not necessary to produce sufficient revenue to
meet the expense of the provision of services, including the maintenance
and operation of infrastructure, then no proposed increase shall take
effect until approved by a majority vote of each house of the legisla-
ture.

 
JUSTIFICATION:

A recent proposal made by National Grid to hike its electricity and
natural gas rates by a whopping 14 percent has drawn a firestorm of
opposition from New Yorkers who already pay the 7th highest energy costs
in the nation.

While the Public Service Commission is charged with assuring consumers
are not subject to excessive rate hikes, they are not accountable to the
voters who ultimately pay for these essential services in an industry
bereft of free market competition and choice.

Currently, these increases are not subject to ratification, and this
bill would provide a much-needed extra layer of protection for ratepay-
ers here in New York State.

 
PRIOR LEGISLATIVE HISTORY:

09/06/17: S.6869 REFERRED TO RULES

01/03/18: 5.6869 REFERRED TO ENERGY AND TELECOMMUNICATIONS

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None

 
EFFECTIVE DATE:
This act shall take effect immediately.