NY State Senate Bill 2021-S3022

Senate Bill S3022

2021-2022 Legislative Session

Requires the public service commission to retain an independent auditor to conduct audits of private water utility companies prior to and after rate changes are approved by the public service commission

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Archive: Last Bill Status - In Senate Committee Finance 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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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 05, 2022	referred to finance
Jan 27, 2021	referred to finance

co-Sponsors

2021-S3022 (ACTIVE) - Details

See Assembly Version of this Bill:: A5165
Current Committee:: Senate Finance
Law Section:: Public Service Law
Laws Affected:: Amd §89-c, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2017-2018: S6862, A8740
2019-2020: S20, A4411
2023-2024: S7341

2021-S3022 (ACTIVE) - Summary

2021-S3022 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S3022

SPONSOR: PARKER
 
TITLE OF BILL:

An act to amend the public service law, in relation to requiring the
public service commission retain an independent auditor to conduct
audits of private water utility companies prior to and after rate chang-
es are approved by the public service commission

 
PURPOSE:

This legislation would require the public service commission to retain
an independent auditor to conduct audits of private water utility compa-
nies prior to and after rate changes are approved by the public service
commission.

 
SUMMARY OF PROVISIONS:

Subdivision 10 of section 89-c of the public service law is amended to
require the public service commission to retain an independent auditor

to conduct audits of private water utility companies prior to and after
rate changes are approved by the public service commission.

 
JUSTIFICATION:

Nearly ninety-five percent of all New Yorkers receive water from public
water supply systems in New York State. Private water utility companies
service the remaining customers.

Consumers have no choice who provides their water. Public water utili-
ties are exempt from property taxes. Private water utilities are not.
Private water utilities can pass the expense of these taxes on to their
customers and create bills, which in many cases, are dramatically higher
than public water utilities.

When private companies seek and receive rate increases from the Public
Service Commission, the corresponding water bill spikes can be dramatic.
Consumers required to pay these large charges deserve to know that the
companies finances are in order and that all laws regulating their
costs, profits and expenditures are being followed.

This legislation would require the public service commission to retain
an independent auditor to conduct audits of private water utility compa-
nies prior to and after rate changes are approved by the public service
commission.

 
LEGISLATIVE HISTORY:

2019/20 S.20 REPORTED AND COMMITTED TO FINANCE
2017/18 S.6862A PASSED SENATE/DIED IN ASSEMBLY

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.

2021-S3022 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3022
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             January 27, 2021
                                ___________
 
 Introduced  by  Sens.  PARKER, GAUGHRAN, KAPLAN, MYRIE -- read twice and
   ordered printed, and when printed to be committed to the Committee  on
   Finance
 
 AN  ACT  to  amend  the public service law, in relation to requiring the
   public service commission retain an  independent  auditor  to  conduct
   audits  of  private  water  utility  companies prior to and after rate
   changes are approved 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 10 of section 89-c of the public service law is
 amended by adding a new paragraph (b-1) to read as follows:
   (B-1) PRIOR TO THE APPROVAL BY THE COMMISSION OF A CHANGE BY A PRIVATE
 WATER  UTILITY COMPANY IN ANY RATE OR CHARGE, OR IN ANY FORM OF CONTRACT
 OR AGREEMENT OR ANY RULE OR REGULATION RELATING TO ANY RATE,  CHARGE  OR
 SERVICE, OR IN ANY GENERAL PRIVILEGE OR FACILITY, THE COMMISSIONER SHALL
 RETAIN  A  THIRD-PARTY AUDITOR TO CONDUCT AN AUDIT OF SUCH PRIVATE WATER
 UTILITY COMPANY AND PROVIDE HIS OR HER FINDINGS  TO  THE  COMMISSION  IN
 WRITING.  THE  THIRD-PARTY  AUDITOR  SHALL  NOT  BE  AFFILIATED WITH THE
 COMMISSION OR WITH ANY MEMBER OF THE PUBLIC SERVICE COMMISSION.  IN  THE
 EVENT  OF  APPROVAL  BY  THE  COMMISSION OF ANY SUCH CHANGE BY A PRIVATE
 WATER UTILITY COMPANY IN RATE OR CHARGE, OR IN ANY FORM OF  CONTRACT  OR
 AGREEMENT  OR  ANY  RULE  OR  REGULATION RELATING TO ANY RATE, CHARGE OR
 SERVICE, OR IN ANY GENERAL PRIVILEGE OR FACILITY, THE INDEPENDENT  AUDI-
 TOR  SHALL  CONDUCT  A SECOND AUDIT OF THE PRIVATE WATER UTILITY COMPANY
 ONE YEAR AFTER THE CHANGE TAKES EFFECT. THE COMMISSION SHALL PUBLISH THE
 RESULTS OF ALL SUCH AUDITS ON ITS WEBSITE.
   § 2. This act shall take effect immediately.
 

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07246-01-1

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Senate Bill S3022

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Sponsored By

Kevin S. Parker