Senator Rachel May and The Senate Majority Passes Legislation Protecting Ratepayers Includes NY HEAT Act to Meet CLCPA Standards

Dan Messineo

March 28, 2024

Energy Costs

senator-may_-ratepayer-press-release.pdf

(Albany, NY) Senator Rachel May and the Senate Democratic Majority passed legislation to further protect ratepayers across New York State. This legislation continues the work of the Senate Majority to support working families and fight New York’s affordability crisis by prioritizing the interests of consumers and holding utility companies accountable. This package of bills works to address the failures of utilities and power producers.

“Too many utilities continue to push rates upward to pay shareholder dividends. The Senate Majority believes it is crucial to support families in every possible way. Therefore, we passed a package of common-sense legislation to make utility services more affordable and companies more responsive to the needs of working families in the 48th Senate District. Thank you to my colleagues for prioritizing families' needs and ensuring everyone can enjoy a good quality of life,” said Senator Rachel May.

● Utility Hikes Economic Impact: This bill, S2432, sponsored by Senator Leroy Comrie, would require the Public Service Commission to consider the economic impact of utility rates and charges when evaluating utilities’ proposed rate changes.
● Accurate Meter Readings: This bill, S1851B, sponsored by Senator Michelle Hinchey, directs utilities to file with the Public Service Commission a model procedure for calculating estimated utility bills and to use more actual meter readings.

● Strengthen Utility Storm Response and Compliance: This bill, S4882, sponsored by Senator Shelley Mayer would incentivize better regulatory compliance by utilities through increased flexibility for the Public Service Commission to assess penalties on utilities for violations of the Public Service Law, and to expand emergency response plan requirements.

● Utilities to Adopt the Common Equity Ratio: This bill, S6557A, sponsored by Senator Shelley Mayer would require electric corporations, gas corporations, steam corporations and water-works corporations to use standardized return on equity calculations set by the Public Service Commission to prevent unjustifiable rate increases. ● Utility Late Payment Study: This bill, S2623A, sponsored by Senator Kevin Parker, directs the Department of State and Public Service Commission to study and report upon disclosure by utilities to credit reporting agencies regarding late payments.

● Limits Fixed Charges: This bill, S1303B, sponsored by Senator Kevin Parker, would direct the Department of Public Service to adjust each utility corporation's residential fixed charge upon such corporation's filing with the Department regarding rate schedule amendments, to recover only the fixed costs and operation and maintenance expenses directly related to metering, billing, service connections and the provision of customer service.

● NY HEAT Act: This bill, S2016B, sponsored by Senator Liz Krueger, aligns utility regulation with state climate justice and emission reduction targets; and repeals certain provisions of the Public Service Law relating to gas service and sale, including the 100-foot rule that obligates utilities to provide gas connections to residential ratepayers at no cost if the ratepayer lives within 100 feet of the main gas line.

● Civil Penalties for False Statements: This bill, S6710, sponsored by Senator James Skoufis, would establish civil penalties for utilities that knowingly make false material statements to the Public Service Commission in relation to a rate-making proceeding.