S T A T E O F N E W Y O R K
________________________________________________________________________
7067
I N S E N A T E
April 23, 2014
___________
Introduced by Sen. MAZIARZ -- 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 authorities law, in relation to bi-annual
construction audits
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative intent. It is the intent of the legislature of
the state of New York to ensure that electric ratepayer funds are used
effectively by evaluating the completed work that has been funded by
ratepayer funds under programs overseen and operated by the New York
state energy research and development authority.
S 2. The public authorities law is amended by adding a new section
1874 to read as follows:
S 1874. BI-ANNUAL CONSTRUCTION AUDITS. 1. THE AUTHORITY SHALL AUDIT,
ON A BI-ANNUAL BASIS, NO LESS THAN TWENTY-FIVE PERCENT OF THE
CONSTRUCTION, RENOVATION, RETROFIT, RENEWABLE ENERGY, DISTRIBUTED GENER-
ATION, OR ENERGY EFFICIENCY PROJECTS WHICH WERE PERFORMED BY A PRIVATE
SECTOR CONTRACTOR AS UNDER A BENEFIT OR INCENTIVE PROGRAM WHICH IS OPER-
ATED BY THE AUTHORITY AND IS BACKED BY RATEPAYER FUNDS, FOR THE PURPOSE
OF DETERMINING WHETHER SUCH CONSTRUCTION PROJECTS ARE FUNCTIONING PROP-
ERLY. THE TYPE OF AUDIT WILL VARY ON A CASE-BY-CASE BASIS DEPENDING ON
WHICH AUTHORITY PROGRAM FUNDED THE PROJECT, THE TECHNOLOGY INVOLVED, AND
THE TYPE OF BENEFIT THE PROJECT IS SUPPOSED TO PROVIDE. BENEFIT AND
INCENTIVE PROGRAMS THAT ARE FUNDED USING RATEPAYER FUNDS INCLUDE BUT ARE
NOT LIMITED TO PROJECTS FUNDED BY THE RENEWABLE PORTFOLIO STANDARD
(RPS), THE SYSTEMS BENEFIT CHARGE (SBC), THE REGIONAL GREENHOUSE GAS
INITIATIVE (RGGI), AND THE ENERGY EFFICIENCY PORTFOLIO STANDARD (EEPS).
2. THE AUTHORITY SHALL BE REQUIRED TO ISSUE A REPORT CONTAINING ITS
FINDINGS NO LATER THAN SIX MONTHS AFTER IT COMPLETES AN AUDIT TO THE
TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE
CHAIR OF THE SENATE ENERGY AND TELECOMMUNICATIONS COMMITTEE, THE CHAIR
OF THE PUBLIC SERVICE COMMISSION, AND THE CHAIR OF THE ASSEMBLY ENERGY
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD14799-01-4
S. 7067 2
COMMITTEE. THE REPORT SHALL ALSO BE MADE AVAILABLE TO THE PUBLIC ON THE
AUTHORITY'S WEBSITE.
3. THE AUTHORITY SHALL DEVELOP A SCORING SYSTEM AND ASSIGN EACH
CONTRACTOR AUDITED A "SCORE" INDICATING THE RELATIVE PERFORMANCE OF
CONSTRUCTION WORK AS COMPARED TO ITS PURPOSE AT THE TIME OF
CONSTRUCTION. SUCH SCORE SHALL TAKE INTO ACCOUNT, AMONG OTHER CRITERIA
THAT THE AUTHORITY DEEMS RELEVANT; THE TECHNOLOGY INVOLVED AND THE TYPE
OF BENEFIT THE PROJECT IS SUPPOSED TO PROVIDE; THE AGE OF THE PROJECT;
WHETHER TECHNOLOGICAL ADVANCEMENTS ARE AVAILABLE TO IMPROVE THE
PROJECT'S PERFORMANCE AS IT RELATES TO ENERGY EFFICIENCY; WHETHER THE
PROJECT IS OPERATING SAFELY; WHETHER THE PROJECT PRESENTS A SAFETY
THREAT TO SUBSEQUENT OWNERS, OPERATORS, AND THIRD PARTIES; IF A STRUC-
TURE, THE STRUCTURAL INTEGRITY THEREOF; THE OVERALL FUNCTIONING OF THE
PROJECT; AND ANYTHING ELSE THAT THE AUTHORITY DEEMS NECESSARY AND APPRO-
PRIATE.
4. THE OWNERS OR OPERATORS OF EACH BUILDING, STRUCTURE, OR OTHER ENTI-
TY TO WHICH CONSTRUCTION OR RENOVATIONS WERE PERFORMED USING RATEPAYER
FUNDS IS HEREBY DIRECTED TO COOPERATE FULLY WITH THE AUDIT REQUIRED BY
THIS SECTION, AND TO PROVIDE ACCESS TO THE PREMISES UPON REASONABLE
NOTICE.
5. THE AUTHORITY SHALL CONSIDER THE RESULTS OF EACH AUDIT AND THE
RELATIVE PERFORMANCE OF EACH CONTRACTOR EXAMINED, AND SHALL USE SUCH
INFORMATION AS A DETERMINING FACTOR AS TO EACH CONTRACTOR'S CONTINUED
PARTICIPATION IN ANY RATEPAYER-FUNDED PROGRAM. IN PREPARING ITS REPORT,
THE AUTHORITY SHALL LIST ANY AND ALL CONTRACTORS WHO HAVE BEEN REMOVED
FROM ITS PROGRAM DUE TO SUB-STANDARD PERFORMANCE.
S 3. This act shall take effect January 1, 2015.