S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5559
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                               March 8, 2023
                                ___________
 
 Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations
 
 AN  ACT  to amend the public service law and the public authorities law,
   in relation to providing for a  two  percent  cap  on  rate  increases
   imposed by utilities

   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.  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.  NO GAS CORPORATION  OR
 ELECTRIC  CORPORATION  SHALL INCREASE RATES AND CHARGES BY MORE THAN TWO
 PERCENT AS MEASURED ON AN ANNUAL BASIS.
   § 2. Paragraphs 2 and 4 of subdivision (u) of section  1020-f  of  the
 public  authorities  law, as added by section 7 of part A of chapter 173
 of the laws of 2013, are amended to read as follows:
   2. The authority and the service provider shall thereafter submit  for
 review  to the department of public service any rate proposal that would
 increase the rates and charges [and thus increase the aggregate revenues
 of the authority by more than two  and  one-half].  SUCH  RATE  PROPOSAL
 SHALL NOT PROVIDE FOR AN INCREASE OF SUCH RATES AND CHARGES BY MORE THAN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03898-01-3
              

 S. 5559                             2
 
 TWO  percent to be measured on an annual basis[; provided, however, that
 the authority may place such rates and charges into effect on an interim
 basis, subject to prospective rate adjustment; provided, further, that a
 final  rate plan issued by the authority that would not so increase such
 rates and charges shall not be subject to the requirements of  paragraph
 four  of this subdivision and shall be considered final for the purposes
 of review under article seventy-eight of  the  civil  practice  law  and
 rules.    The authority and/or the service provider may otherwise submit
 for review to such department any  rate  proposal  irrespective  of  its
 effect on revenues].
   4.  Any  recommendations  associated  with  a  rate proposal submitted
 pursuant to paragraphs one and two of this subdivision shall be provided
 by the department of public service to the board of the authority  imme-
 diately  upon  their finalization by the department. Unless the board of
 the authority makes a preliminary determination in its  discretion  that
 any particular recommendation is inconsistent with the authority's sound
 fiscal  operating practices, any existing contractual or operating obli-
 gations, or the provision of safe and adequate service, the board  shall
 implement  such  recommendations as part of its final rate plan and such
 final determination shall be deemed to satisfy the requirements of  this
 subdivision  and  be  considered  final for the purposes of review under
 article seventy-eight of the civil practice law and rules.    THE  BOARD
 SHALL  NOT APPROVE A FINAL RATE PLAN THAT INCREASES RATES AND CHARGES BY
 MORE THAN TWO PERCENT. The board shall make any such preliminary  deter-
 mination  of  inconsistency within thirty days of receipt of such recom-
 mendations, with notice  and  the  basis  of  such  determination  being
 provided  to  the  department  of  public service, and contemporaneously
 posted on the websites of the authority and its  service  provider.  The
 board  shall thereafter, within thirty days of such posting and with due
 advance notice to the public, hold a public hearing with respect to  its
 preliminary determination of inconsistency. At such hearing, the depart-
 ment  of public service shall present the basis for its recommendations,
 the board shall present the basis for its determination of inconsistency
 and the service provider may present its position. The authority and the
 service provider may, during the time period before such public  hearing
 reach  agreement  with  the department on disputed issues. Within thirty
 days after such  public  hearing,  the  board  of  the  authority  shall
 announce its final determination and planned implementation with respect
 to  any  such  recommendations.  The  authority's final determination of
 inconsistency  shall  be  subject  to  any  applicable  judicial  review
 proceeding,  including  review  available under article seventy-eight of
 the civil practice law and rules.
   § 3. This act shall take effect on the ninetieth day  after  it  shall
 have become a law.