senate Bill S5278A

Signed By Governor
2013-2014 Legislative Session

Authorizes the public service commission, upon application by a municipality, to order costs for infrastructure maintenance and access to be charged to all customer classes

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Sponsored By

Archive: Last Bill Status Via A4086 - Signed by Governor


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Oct 23, 2013 signed chap.433
Oct 11, 2013 delivered to governor
Jun 20, 2013 returned to assembly
passed senate
3rd reading cal.1533
substituted for s5278a
Jun 20, 2013 substituted by a4086a
ordered to third reading cal.1533
committee discharged and committed to rules
Jun 05, 2013 print number 5278a
amend and recommit to energy and telecommunications
May 15, 2013 referred to energy and telecommunications

Votes

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Bill Amendments

Original
A (Active)
Original
A (Active)

S5278 - Bill Details

See Assembly Version of this Bill:
A4086A
Law Section:
Public Services

S5278 - Bill Texts

view summary

Authorizes the public service commission, upon application by a municipality, following a local law, to order costs for infrastructure maintenance and access to be charged to all customer classes located in such municipality; provides that all costs allocated to the infrastructure maintenance and access function of a water-works corporation including equipment used in connection with the sale, furnishing, transmission and distribution of water for domestic, commercial, public and emergency purposes are eligible to be apportioned to customers in a municipality; defines municipality as a city, town or village in Westchester county.

view sponsor memo
BILL NUMBER:S5278

TITLE OF BILL: An act in relation to authorizing the public service
commission, upon application by a municipality, to order costs for
infrastructure maintenance and access to be charged to all customer
classes located in such municipality

PURPOSE OR GENERAL IDEA OF THE BILL:

To reduce property taxes by having all water rate payers pay for the
costs associated with fire hydrant infrastructure maintenance and
access charged to a municipality by a private water company.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 (1) authorizes a municipality, after the adoption of a local
law, to apply to the public service commission to have the costs
associated with infrastructure, maintenance and access it is charged
by a private water works corporation to be charged to all customers
across all customer classes. Any savings achieved as a result shall be
applied to the property tax levy of the municipality in an amount
equal to such savings in the following fiscal year.

Within 120 days of receiving an application, the public service
commission is empowered to issue an order to have costs for
infrastructure maintenance charged to all customer classes in the
municipality, relieving the municipality from being charged separately
or additionally for the costs. The public service commission can also
request information from the water-works corporation or municipality
and require that the information be provided in their format.

Section 1 (2) provides definitions for "costs for infrastructure
maintenance and access"; "municipality"; and "water-works
corporation". Municipality is defined as the nine member consortium of
New Rochelle, Bronxville, Pelham, Pelham Manor, Hastings-on-Hudson,
Eastchester, Tuckahoe, Dobbs Ferry, and Ardsiey.

Section 2 provides that the act shall take effect immediately.

JUSTIFICATION:

Municipalities that buy water from a private water corporation have a
separate line item in their budgets to pay for fire hydrant
infrastructure maintenance and access. The burden of this cost is
borne by municipal tax payers and not all water rate payers. This is
not the case in municipalities which own their own water systems. Upon
investigation, it is evident that many municipal water systems charge
all rate payers, not just taxpayers, for all costs associated with
water distribution, including hydrant costs. This legislation aims to
remedy this inequity and apply the savings to reduce property taxes.

The City of New Rochelle is a municipality that buys water from a
private waterworks corporation and a member of a consortium of nine
Westchester communities served by a private water company. In 2012,
the Citizen's Panel on Sustainable Budgets ("Panel"), a group of
community members, was tasked with examining the City's budget and
proposing solutions to address its fiscal challenges. The Panel


submitted its final report in September of 2012. One of its
recommendations is to relieve property taxpayers of hydrant
maintenance costs. This legislation was introduced in response to this
recommendation.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately

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

                                  5278

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              May 15, 2013
                               ___________

Introduced  by  Sen.  STEWART-COUSINS -- read twice and ordered printed,
  and when printed to be committed to the Committee on Energy and  Tele-
  communications

AN  ACT  in  relation to authorizing the public service commission, upon
  application by a municipality, to order costs for infrastructure main-
  tenance and access to be charged to all customer  classes  located  in
  such municipality

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

  Section 1. 1. Notwithstanding any law to the contrary, a  municipality
may apply to the public service commission to have any costs for infras-
tructure  maintenance  and  access it is charged by a water-works corpo-
ration to instead be charged to all customers across all customer class-
es located in the municipality provided the municipality adopts a  local
law  to  have  such  costs  charged to all customers across all customer
classes.   Any savings achieved as a result  of  this  action  shall  be
applied  to  the property tax levy of the municipality which has adopted
such a resolution in an amount equal to such savings  in  the  following
fiscal year.  Within 120 days after receiving an application pursuant to
this  act,  the  public  service commission is empowered and directed to
issue an order requiring that costs for infrastructure  maintenance  and
access  be  included  in  the  rates charged to all customer classes and
apportioned among all customers located in  the  municipality  and  that
such  municipality  shall  not be charged separately or additionally for
costs for infrastructure maintenance and access.    The  public  service
commission  shall  have the power to request any information that it may
deem necessary from the water-works corporation or municipality so  that
it  may  issue an order as required by this section and may require that
such information or application be in the form and manner as the commis-
sion may request.
  2. Definitions. For purposes of this act:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10876-01-3

S. 5278                             2

  a. "costs for infrastructure maintenance and access" means  all  costs
associated  with  maintenance and operation of infrastructure and equip-
ment used in connection with  the  sale,  furnishing,  transmission  and
distribution  of  water  for  domestic, commercial, public and emergency
purposes  and shall also mean costs or charges associated with municipal
access to infrastructure or equipment.
  b. "municipality" shall mean the city of New Rochelle, the village  of
Bronxville, the town of Pelham, the village of Pelham Manor, the village
of Hastings-on-Hudson, the town of Eastchester, the village of Tuckahoe,
the  village of Dobbs Ferry and the village of Ardsley, in the county of
Westchester.
  c. "water-works corporation" shall have the same meaning as that  term
is defined in section 2 of the public service law.
  S 2. This act shall take effect immediately.

Co-Sponsors

S5278A (ACTIVE) - Bill Details

See Assembly Version of this Bill:
A4086A
Law Section:
Public Services

S5278A (ACTIVE) - Bill Texts

view summary

Authorizes the public service commission, upon application by a municipality, following a local law, to order costs for infrastructure maintenance and access to be charged to all customer classes located in such municipality; provides that all costs allocated to the infrastructure maintenance and access function of a water-works corporation including equipment used in connection with the sale, furnishing, transmission and distribution of water for domestic, commercial, public and emergency purposes are eligible to be apportioned to customers in a municipality; defines municipality as a city, town or village in Westchester county.

view sponsor memo
BILL NUMBER:S5278A

TITLE OF BILL: An act in relation to authorizing the public service
commission, upon application by a municipality, to order costs for
infrastructure maintenance and access to be charged to all customer
classes located in such municipality

PURPOSE OR GENERAL IDEA OF THE BILL:

To reduce property taxes by having all water rate payers pay for the
costs associated with fire hydrant infrastructure maintenance and
access charged to a municipality by a private water company.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 authorizes a municipality, after public hearing with notice
and upon affirmative resolution of the municipality, to apply to the
public service commission to have the costs associated with
infrastructure, maintenance and access it is charged by a private
water works corporation to be charged to all customers across all
customer classes. Any savings achieved as a result shall be applied to
the property tax levy of the municipality in an amount equal to such
savings in the following fiscal year. This section also includes
definitions.

Section 2 provides for an immediate effective date.

JUSTIFICATION:

Municipalities that buy water from a private water warts corporation
have a separate line item in their budgets to pay for fire :hydrant
infrastructure maintenance and access. The burden of this cost is
borne by municipal tax payers and not all water rate payers. This is
not the case in municipalities which own their own water systems. Upon
investigation, it is evident that many municipal water systems charge
all rate payers, not just taxpayers, for all costs associated with
water distribution, including hydrant costs. This legislation aims to
remedy this inequity and apply the savings to reduce property taxes.

The City of New Rochelle is a municipality that buys water from a
private waterworks corporation. In 2012, the Citizen's Panel on
Sustainable Budgets ("Panel"), a group of community members, was
tasked with examining the City's budget and proposing solutions to
address its fiscal challenges. The Panel submitted its final report in
September of 2012. One of its recommendations is to relieve property
taxpayers of hydrant maintenance costs. This legislation was
introduced in response to this recommendation.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately.


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

                                 5278--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              May 15, 2013
                               ___________

Introduced  by  Sen.  STEWART-COUSINS -- read twice and ordered printed,
  and when printed to be committed to the Committee on Energy and  Tele-
  communications   --   committee   discharged,  bill  amended,  ordered
  reprinted as amended and recommitted to said committee

AN ACT in relation to authorizing the public  service  commission,  upon
  application by a municipality, to order costs for infrastructure main-
  tenance  and  access  to be charged to all customer classes located in
  such municipality

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

  Section  1. 1. Notwithstanding any law to the contrary, a municipality
may apply to the public service commission to have any costs for infras-
tructure maintenance and access it is charged by  a  water-works  corpo-
ration to instead be charged to all customers across all customer class-
es  located  in  the  municipality  provided the municipality has held a
public hearing with notice on the matter and has  adopted  a  resolution
and  determined  by  a majority vote of the total voting strength of its
governing body that it is in the overall public interest  to  have  such
costs charged to all customers across all customer classes.  Any savings
achieved as a result of this action shall be applied to the property tax
levy  of  the  municipality  which  has  adopted such a resolution in an
amount equal to such savings in the following fiscal year.   Within  120
days  after  receiving  an  application pursuant to this act, the public
service commission is empowered and directed to issue an order requiring
that costs for infrastructure maintenance and access be included in  the
rates  charged to all customer classes and apportioned among all custom-
ers located in the municipality and that such municipality shall not  be
charged  separately or additionally for costs for infrastructure mainte-
nance and access.  The public service commission shall have the power to
request any information that it may deem necessary from the  water-works
corporation or municipality so that it may issue an order as required by

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10876-03-3

S. 5278--A                          2

this  section and may require that such information or application be in
the form and manner as the commission may request.
  2. Definitions. For purposes of this act:
  a.  "costs  for infrastructure maintenance and access" means all costs
associated with maintenance and operation of infrastructure  and  equip-
ment  used  in  connection  with  the sale, furnishing, transmission and
distribution of water for domestic,  commercial,  public  and  emergency
purposes  and shall also mean costs or charges associated with municipal
access to infrastructure or equipment.
  b. "municipality" shall mean a city, town or village  located  in  the
county of Westchester.
  c.  "water-works corporation" shall have the same meaning as that term
is defined in section 2 of the public service law.
  S 2. This act shall take effect immediately.

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