S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1928--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 13, 2015
                               ___________

Introduced  by M. of A. BRENNAN -- read once and referred to the Commit-
  tee on Corporations, Authorities and Commissions -- recommitted to the
  Committee on Corporations, Authorities and Commissions  in  accordance
  with  Assembly  Rule  3, sec. 2 -- committee discharged, bill amended,
  ordered reprinted as amended and recommitted to said committee

AN ACT to amend the public service law, in relation to  providing  over-
  sight and monitoring the operations of an independent system operator

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. 1. Definitions. For  the  purposes  of  this  section,  the
terms:
  a.  "independent system operator" shall mean any not-for-profit corpo-
ration formed and operating in the state of New York that is approved by
the United States federal energy regulatory commission to operate in the
state to administer and monitor wholesale electricity markets.
  b. "end use sector member" shall mean any entity that purchases  elec-
tricity for its own consumption and not for resale.
  2.  Board  members.  The  board of directors of the independent system
operator shall include three members who shall represent  the  interests
of  small  business owners and farmers. The governor, the speaker of the
assembly and the temporary president of the senate  shall  each  appoint
one such member.
  3.  Disclosure of information. a. An independent system operator oper-
ating in this state shall disclose price data related to  its  wholesale
market  operations  including,  but not limited to, information on real-
time, hour-ahead and day-ahead bids in the independent system operator's
wholesale electricity market auctions, transmission congestion  contract
auctions  and  installed  capacity  market  auctions with no more than a
three month delay. Such data shall  be  provided  in  aggregate  hourly,
daily,  monthly, annual and historical data sets for comparison purposes
and shall also reflect seasonal and peak load variations and averages.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02449-03-6
              

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  b. The independent system operator shall also disclose  the  names  of
any  bidder that submits a bid in any of the auctions described in para-
graph a of this subdivision and the amount of the bid.
  c.  Such  information  shall be made in a format readily available and
accessible to the public.
  4. Consumer liaison. The independent system operator shall appoint  an
employee  to  serve  as consumer liaison, whose primary duty shall be to
interact with members of the end-use sector for the purposes of:
  a. keeping end-use sector members informed about developments that may
affect their interests;
  b. explaining the issues and proposals under discussion  and  proposed
for  consideration at the operating committee, business issues committee
and management committee as well as the ramifications of those proposals
on residential consumers;
  c. responding to the questions and concerns of members of the  end-use
sector; and
  d.  serving  as the liaison between the end-use sector and the members
of the operator's board of directors who are designated or  assigned  to
focus on the interests of the residential, small business and farm elec-
tricity users.
  5.  Notwithstanding  any  other  provision of law to the contrary, the
independent system operator shall be subject to the provisions of  arti-
cles 6 and 7 of the public officers law.
  S  2.  Section 66 of the public service law is amended by adding a new
subdivision 29 to read as follows:
  29. (A) FOR THE PURPOSES OF THIS SUBDIVISION:
  (I) "INDEPENDENT SYSTEM OPERATOR" SHALL MEAN ANY NOT-FOR-PROFIT CORPO-
RATION FORMED AND OPERATING IN THE STATE THAT IS APPROVED BY THE  UNITED
STATES  FEDERAL  ENERGY REGULATORY COMMISSION TO OPERATE IN THE STATE TO
ADMINISTER AND MONITOR WHOLESALE ELECTRICITY MARKETS; AND
  (II) "END USE SECTOR MEMBER" SHALL INCLUDE ANY ENTITY  THAT  PURCHASES
ELECTRICITY FOR ITS OWN CONSUMPTION AND NOT FOR RESALE.
  (B)  THE  COMMISSIONER IS AUTHORIZED AND DIRECTED TO PROVIDE OVERSIGHT
AND MONITOR THE MARKET AND CORPORATE OPERATIONS OF AN INDEPENDENT SYSTEM
OPERATOR, INCLUDING  BUT NOT LIMITED TO THE EXTENT TO WHICH IT:
  (I) SERVES THE NEEDS OF ALL CUSTOMER CLASSES AND OPERATES IN A  MANNER
THAT IS IN THE BEST INTEREST OF THE PUBLIC;
  (II)  ENSURES RELIABILITY, QUALITY AND MAINTENANCE OF THE TRANSMISSION
SYSTEM;
  (III) COMPLIES WITH THE REQUIREMENTS OF THE NEW YORK STATE OPEN  MEET-
ING AND FREEDOM OF INFORMATION LAWS; AND
  (IV)  CONTRIBUTES  TO  THE  ACHIEVEMENT  OF ENERGY EFFICIENCY AND FUEL
DIVERSITY GOALS OF THE STATE.
  (C) THE COMMISSIONER SHALL ANNUALLY ISSUE A REPORT RELATING THE MARKET
AND CORPORATE OPERATIONS OF  THE  INDEPENDENT  SYSTEM  OPERATOR.    SUCH
REPORTS SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I)  ANALYSES  BY  AN  INDEPENDENT  SYSTEM  OPERATOR  AND  OTHER  DATA
COLLECTED AND ANALYZED  BY  THE  COMMISSION  INFORMATION  ON  REAL-TIME,
HOUR-AHEAD  AND  DAY-AHEAD  MARKET  BIDS  AND  BIDDERS IN AN INDEPENDENT
SYSTEM OPERATOR'S WHOLESALE ELECTRICITY  MARKET  AUCTIONS,  TRANSMISSION
CONGESTION CONTRACT AUCTIONS AND INSTALLED MARKET AUCTIONS;
  (II)  A  DETERMINATION  OF  THE EXTENT TO WHICH THE ENERGY MARKETS ARE
MAINTAINING NECESSARY LEVELS OF RELIABILITY;
  (III) A DETERMINATION OF WHETHER OR NOT ALL CUSTOMER CLASSES ARE BEING
ADEQUATELY SERVED BY COMPETITIVE ENERGY MARKETS;

A. 1928--A                          3

  (IV) A DETERMINATION OF THE COMPETITIVENESS OF ENERGY MARKETS; INCLUD-
ING A DETERMINATION WHETHER OR NOT THE ELECTRIC  INDUSTRY  IS  PROVIDING
CONSUMERS WITH THE LOWEST PRICES POSSIBLE WITHIN A RESTRUCTURED, COMPET-
ITIVE RETAIL MARKETPLACE;
  (V)  A  DETERMINATION  OF  THE  EXTENT TO WHICH THE ENERGY MARKETS ARE
ACHIEVING THE ENERGY EFFICIENCY AND FUEL DIVERSITY GOALS OF THE STATE;
  (VI) THE NAME AND TERMS OF THE BOARDS OF DIRECTORS AND OF THE  MEMBERS
OF  THE INDEPENDENT SYSTEM OPERATOR'S MANAGEMENT, OPERATING AND BUSINESS
COMMITTEES;
  (VII) AN INDEPENDENT SYSTEM OPERATOR'S FINANCIAL INFORMATION; AND
  (VIII) RECOMMENDATIONS FOR IMPROVING ANY DEFICIENCIES SO IDENTIFIED IN
ELECTRICITY ENERGY  MARKETS,  INCLUDING  NON-COMPETITIVE  PRICING  SITU-
ATIONS.
  (D)  THE  COMMISSION  SHALL  SUBMIT  SUCH  REPORT TO THE GOVERNOR, THE
TEMPORARY PRESIDENT OF THE SENATE, THE  SPEAKER  OF  THE  ASSEMBLY,  THE
MINORITY LEADERS OF THE SENATE AND THE ASSEMBLY, THE CHAIRS OF THE ENER-
GY COMMITTEES OF THE SENATE AND THE ASSEMBLY, NO LATER THAN APRIL FIRST,
TWO THOUSAND SEVENTEEN AND ANNUALLY THEREAFTER.
  S 3. This act shall take effect immediately.