S T A T E O F N E W Y O R K
________________________________________________________________________
5134
2011-2012 Regular Sessions
I N A S S E M B L Y
February 14, 2011
___________
Introduced by M. of A. CERETTO -- read once and referred to the Commit-
tee on Energy
AN ACT to amend the public authorities law, in relation to establishing
the power authority of the state of New York shall make low cost
hydropower available to certain hospitals
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The opening paragraph of subdivision 13 of section 1005 of
the public authorities law, as amended by chapter 436 of the laws of
2010, is amended to read as follows:
Notwithstanding any other provision of law to the contrary but subject
to the terms and conditions of federal energy regulatory commission
licenses, to allocate or reallocate directly or by sale for resale, two
hundred fifty megawatts of firm Niagara project hydroelectric power as
"expansion power" and four hundred forty-five megawatts of firm Niagara
project hydroelectric power as "replacement power" to businesses within
the state located within thirty miles of the Niagara project, and four
hundred ninety megawatts of firm and interruptible power from the Saint
Lawrence-FDR project as "preservation power" sold to businesses located
within the counties of Jefferson, Saint Lawrence and Franklin, provided
that the amount of expansion power allocated to businesses in Chautauqua
county on January first, nineteen hundred eighty-seven shall continue to
be allocated in such county and, provided further that up to seventy
megawatts of replacement power, up to thirty-eight and six-tenths mega-
watts of preservation power from the Saint Lawrence-FDR project which is
relinquished or withdrawn after the effective date of chapter three
hundred thirteen of the laws of two thousand five which amended this
subdivision and, for the period ending on December thirty-first, two
thousand six, up to twenty megawatts of other power from the Saint
Lawrence-FDR project which is unallocated as of the effective date of
chapter three hundred thirteen of the laws of two thousand five which
amended this subdivision, shall be allocated by the authority together
with such other funds of the authority as the trustees deem feasible and
advisable for energy cost savings benefits and for western New York
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01438-01-1
A. 5134 2
economic development fund benefits pursuant to the eleventh undesignated
paragraph of this section AND, PROVIDED FURTHER THAT LOW COST HYDROPOWER
BE MADE AVAILABLE TO HOSPITALS THAT ARE LOCATED IN THE COUNTIES OF
NIAGARA AND ORLEANS. Provided, however, that the amount of replacement,
preservation power, or the additional twenty megawatts of Saint
Lawrence-FDR power for the period ending December thirty-first, two
thousand six made available for such purpose, used for energy cost
savings benefits that are relinquished by or withdrawn from a recipient
thereof shall be offered by the authority proportionately for a period
of six months for reallocation to applicants who qualify respectively
for replacement or preservation power allocations as provided in this
subdivision. If such power is not allocated within such period it shall
be allocated for the purpose of energy cost savings benefits pursuant to
subdivision (h) of section one hundred eighty-three of the economic
development law. The authority shall negotiate contracts on reasonable
terms and conditions to renew or extend every permanent contract allo-
cation of expansion power in effect on the effective date of this subdi-
vision and, to the extent consistent with such contracts, the authority
shall negotiate contracts on reasonable terms and conditions to extend
or renew all other allocations or allotments of such power in effect on
such date. The authority shall negotiate contracts on reasonable terms
and conditions to renew or extend for a period of at least five years
every permanent contract allocation of replacement power in effect on
the effective date of chapter three hundred thirteen of the laws of two
thousand five which added this sentence and that would expire by its
terms on or before the end of the initial federal energy regulatory
commission license for the Niagara project; provided that, in negotiat-
ing the terms and conditions of such contracts, the authority may
consider a business' compliance with all current contractual obli-
gations, including employment and power usage commitments. Contracts
entered into pursuant to this subdivision shall contain reasonable
provisions providing for the partial or complete withdrawal of the power
in the event the recipient fails to maintain mutually agreed levels of
employment, investment, and power utilization. Expansion or replacement
power relinquished by businesses or withdrawn by the authority shall be
allocated directly or by sale for resale by the authority to businesses
within the state located within thirty miles of the Niagara project
provided, that the proceeds from the sale of such unallocated and allo-
cated, but relinquished or withdrawn or currently not accessed expansion
or replacement power, as shall be determined by the trustees, shall be
allocated for the purposes of western New York economic development fund
benefits pursuant to the eleventh undesignated paragraph of this
section. Proceeds to such western New York economic development fund
shall not preclude the authority from allocating expansion or replace-
ment power to eligible companies under the provisions of this section.
The amount of power allocated to businesses in Chautauqua county on
January first, nineteen hundred eighty-seven shall be allocated in such
county. Preservation power that is relinquished by businesses or with-
drawn by the authority shall be allocated directly or by sale for resale
by the authority within the counties of Jefferson, Saint Lawrence and
Franklin. Allocations made pursuant to this paragraph shall be made in
accordance with criteria established by the trustees. Such criteria
shall address the expansion of industry and employment pursuant to para-
graph (a) of this subdivision and the revitalization of existing indus-
try pursuant to paragraph (b) of this subdivision.
S 2. This act shall take effect immediately.