S T A T E   O F   N E W   Y O R K
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                                 5277--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                              May 12, 2015
                               ___________

Introduced  by  Sens. FUNKE, AMEDORE, CARLUCCI -- read twice and ordered
  printed, and when printed to be committed to the Committee  on  Energy
  and  Telecommunications  -- recommitted to the Committee on Energy and
  Telecommunications in accordance with Senate Rule 6, sec. 8 -- commit-
  tee discharged, bill amended, ordered reprinted as amended and  recom-
  mitted to said committee

AN  ACT  to amend the public service law, in relation to the creation of
  the New York Farm-to-Urban Consumer Solar Access Act of 2016

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

  Section  1.  Legislative  intent  and purpose. It is the intent of the
Legislature to extend access to the savings and benefits of solar  power
to  electricity consumers that reside in multifamily buildings by allow-
ing these consumers to share in the savings and benefits of solar  power
systems  located  on  agricultural  land  or  other qualified properties
including landfills and brownfields. By extending the  state's  abundant
solar  energy  resources  to more consumers, it is the further intent of
the Legislature to reduce the costs for electricity incurred by  consum-
ers  residing  in  multifamily  buildings, to increase the benefits that
accrue to electricity consumers that reside  in  multifamily  properties
from  the payment of the system benefit charge, to create new sources of
income for owners of agricultural land and other qualifying  properties,
and  to create jobs and increase economic growth for the citizens of the
State.
  S 2. Short title. This act shall be known and may be cited as the "New
York Farm-to-Urban Consumer Solar Access Act of 2016".
  S 3. The public service law is amended by adding a new article  12  to
read as follows:
                               ARTICLE 12
                           SHARED SOLAR POWER
SECTION 240. DEFINITIONS.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11026-02-6
              

S. 5277--A                          2

        241. SHARED SOLAR POWER.
  S  240. DEFINITIONS. AS USED IN THIS SECTION THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
  1. "SOLAR ELECTRIC GENERATING EQUIPMENT" MEANS A  PHOTOVOLTAIC  SYSTEM
THAT  IS:  (A) INTERCONNECTED TO THE DISTRIBUTION SYSTEM ON THE CUSTOMER
SIDE OF  THE  ELECTRIC  DISTRIBUTION  COMPANY  METER,  (B)  OPERATED  IN
CONJUNCTION WITH AN ELECTRIC CORPORATION'S TRANSMISSION AND DISTRIBUTION
FACILITIES  AND IN COMPLIANCE WITH ANY STANDARDS AND REQUIREMENTS ESTAB-
LISHED UNDER SECTION SIXTY-SIX-J OF  THIS  CHAPTER,  (C)  WITH  A  RATED
CAPACITY  OF  NOT  MORE  THAN TWO HUNDRED KILOWATTS UNTIL THE END OF TWO
THOUSAND SEVENTEEN, FIVE HUNDRED KILOWATTS UNTIL THE END OF TWO THOUSAND
EIGHTEEN AND THE COMMISSION MAY, THROUGH A  FORMAL  PROCEEDING  INCREASE
THE  RATED  CAPACITY  TO  AN  AGGREGATE  TOTAL OF ONE MEGAWATT THROUGH A
FORMAL PROCEEDING AT ANY TIME AFTER JANUARY FIRST,  TWO  THOUSAND  NINE-
TEEN,  AND  (D) THAT IS MANUFACTURED, INSTALLED, AND OPERATED IN ACCORD-
ANCE WITH APPLICABLE GOVERNMENT AND INDUSTRY STANDARDS.
  2. "CUSTOMER-GENERATOR" MEANS A RESIDENTIAL OR NON-RESIDENTIAL CUSTOM-
ER OF AN ELECTRIC CORPORATION WHO OWNS OR OPERATES SOLAR ELECTRIC GENER-
ATING EQUIPMENT AS DEFINED IN SUBDIVISION ONE OF THIS  SECTION,  LOCATED
AND USED AT HIS OR HER FARM OPERATION, AS SUCH TERM IS DEFINED IN SUBDI-
VISION  ELEVEN  OF  SECTION  THREE  HUNDRED  ONE  OF THE AGRICULTURE AND
MARKETS LAW; OR A NON-RESIDENTIAL CUSTOMER OF  AN  ELECTRIC  CORPORATION
WHICH OWNS OR OPERATES SOLAR ELECTRIC GENERATING EQUIPMENT AS DEFINED IN
SUBDIVISION  ONE  OF  THIS SECTION, LOCATED AND USED AT A QUALIFIED SITE
PURSUANT TO SUBDIVISION NINE OF THIS SECTION.
  3. "NET ENERGY METER" MEANS A METER THAT MEASURES THE REVERSE FLOW  OF
ELECTRICITY  TO REGISTER THE DIFFERENCE BETWEEN THE ELECTRICITY SUPPLIED
BY AN ELECTRIC CORPORATION TO THE CUSTOMER-GENERATOR AND THE ELECTRICITY
PROVIDED TO THE CORPORATION BY THAT CUSTOMER-GENERATOR.
  4. "NET ENERGY METERING" MEANS THE USE OF A NET ENERGY METER TO  MEAS-
URE,  DURING  THE BILLING PERIOD APPLICABLE TO A CUSTOMER-GENERATOR, THE
NET AMOUNT OF  ELECTRICITY  SUPPLIED  BY  AN  ELECTRIC  CORPORATION  AND
PROVIDED TO THE CORPORATION BY A CUSTOMER-GENERATOR.
  5.  "ELECTRIC  UTILITY" MEANS ANY INVESTOR-OWNED UTILITY THAT DISTRIB-
UTES ELECTRICITY WITHIN THIS STATE.
  6. "QUALIFIED CONSUMER" SHALL MEAN AN ELECTRIC SERVICE ACCOUNT  HOLDER
OF  AN  ELECTRIC  UTILITY WHO RESIDES IN A BUILDING OF GREATER THAN FOUR
HOUSING UNITS OR IN A CONDOMINIUM OR HOUSING COOPERATIVE LOCATED IN  THE
SERVICE  TERRITORY  OF  THE  ELECTRIC UTILITY OR ANY OF ITS WHOLLY OWNED
SUBSIDIARIES, IN WHICH THE SHARED SOLAR POWER FACILITY,  AS  DEFINED  IN
SUBDIVISION  EIGHT  OF  THIS  SECTION, IS LOCATED; OR WHO RESIDES WITHIN
FIVE MILES OF A FARM OPERATION  AS  DEFINED  IN  SUBDIVISION  ELEVEN  OF
SECTION  THREE  HUNDRED  ONE  OF THE AGRICULTURE AND MARKETS LAW THAT IS
ALSO A QUALIFIED SITE UNDER  THE  PROVISIONS  OF  THIS  CHAPTER  AND  IS
LOCATED IN THE SERVICE TERRITORY OF THE ELECTRIC UTILITY.
  7.  "QUALIFIED SOLAR ENERGY GENERATION" MEANS ELECTRIC OUTPUT MEASURED
IN KWH FROM A SHARED SOLAR POWER  FACILITY  AS  DEFINED  IN  SUBDIVISION
EIGHT OF THIS SECTION.
  8.  "SHARED  SOLAR  POWER  FACILITY"  MEANS  SOLAR ELECTRIC GENERATING
EQUIPMENT AS DEFINED IN SUBDIVISION ONE OF  THIS  SECTION,  WHOSE  OWNER
HOLDS  THE TITLE OR LEASEHOLD OF A "QUALIFIED SITE" AS DEFINED IN SUBDI-
VISION NINE OF THIS SECTION, AND THAT  ELECTS  TO  ASSIGN  NET  METERING
CREDITS  TO "QUALIFIED CONSUMERS", AS DEFINED IN SUBDIVISION SIX OF THIS
SECTION, ACCORDING TO THE REQUIREMENTS OF THIS ARTICLE.
  9. "QUALIFIED SITE" SHALL MEAN: (A) PROPERTY USED FOR FARM  OPERATIONS
AS  DEFINED  IN  SUBDIVISION  ELEVEN OF SECTION THREE HUNDRED ONE OF THE

S. 5277--A                          3

AGRICULTURE AND MARKETS LAW; OR (B) PROPERTY  OWNED  OR  LEASED  BY  ANY
LEGAL  ENTITY THAT IS ORGANIZED AS A NOT FOR PROFIT OR A LANDFILL, OR AN
AREA DESIGNATED AS A BROWNFIELD.
  10. "SOLAR SUBSCRIPTION" MEANS A CONTRACT MADE BY THE OWNER OF A QUAL-
IFIED  SITE ASSIGNING A PRO-RATE SHARE, WHOSE NUMERATOR IS ONE AND WHOSE
DENOMINATOR IS THE NUMBER OF QUALIFIED CONSUMERS TO WHOM THE NET  METER-
ING CREDITS OF THE SHARED SOLAR POWER FACILITY ARE BEING ALLOCATED, TO A
QUALIFIED  CONSUMER  WITH  A  MINIMUM  LENGTH  OF THREE YEARS, A MAXIMUM
LENGTH OF TEN YEARS, A FIXED ANNUAL RENEWAL DATE, A PROVISION  PROVIDING
THE  QUALIFIED  CONSUMER WITH THE RIGHT TO END THEIR SUBSCRIPTION ON THE
ANNUAL RENEWAL DATE WITH SIXTY DAYS NOTICE TO THE OWNER.
  11. "SHARED SOLAR POWER ALLOCATION SCHEDULE" SHALL MEAN AN  ATTACHMENT
TO  THE  SCHEDULE PRESCRIBED IN SUBDIVISION THREE OF SECTION SIXTY-SIX-J
OF THIS CHAPTER, PUBLISHED BY EACH ELECTRIC UTILITY, TO  BE  FILLED  OUT
ELECTRONICALLY  BY  THE  SHARED  FACILITY OWNER AND FILED ELECTRONICALLY
WITH THE ELECTRIC UTILITY TO SHOW THE PRORATED SHARE OF THE KWH PRODUCED
BY THE SHARED SOLAR FACILITY TO BE ALLOCATED TO A UTILITY ACCOUNT  HOLD-
ER.   WITHIN SIXTY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE EACH ELEC-
TRIC UTILITY SHALL SUBMIT  ITS  ATTACHMENT  SCHEDULE  AND  DESCRIBE  ITS
FILING PROCEDURES TO THE COMMISSION.
  S  241.  SHARED  SOLAR POWER. 1. THE KWH OF ELECTRICITY GENERATED BY A
SHARED SOLAR FACILITY DURING EACH ELECTRIC UTILITY BILLING PERIOD  SHALL
BE  ALLOCATED BY THE OWNER OF THE SHARED SOLAR FACILITY ACCORDING TO THE
TERMS OF THE SUBSCRIPTION AGREEMENT FOR EACH SUBSCRIBING  CONSUMER.  THE
ALLOCATION  SHALL  BE RECORDED AND FILED WITH THE ELECTRIC UTILITY WHOSE
ACCOUNT HOLDERS ARE SUBSCRIBERS. THE AMOUNT OF THE NET METERING  CREDITS
TO  BE ATTRIBUTED TO EACH SUCH CUSTOMER SHALL BE DETERMINED BY THE ALLO-
CATION PROVIDED BY THE SHARED  SOLAR  FACILITY.    THE  CREDIT  WILL  BE
APPLIED  TO  THE  MONTHLY  BILL  OF  EACH  SUBSCRIPTION  HOLDER  WITH  A
SUBSCRIPTION AGREEMENT AT THE SAME RATE AS THE CUSTOMER  PAYS  ON  THEIR
PRIMARY  ACCOUNT.  CREDITS MAY BE CARRIED FORWARD BY SUCH CUSTOMERS FROM
MONTH TO MONTH. WRITTEN NOTICE OF  THE  IDENTITY  OF  THE  CUSTOMERS  SO
DESIGNATED  AND  THE  ALLOCATION OF THE CREDITS TO BE ATTRIBUTED TO SUCH
CUSTOMERS SHALL BE IN SUCH FORM AS REQUIRED BY THE PROVISIONS  DESCRIBED
IN SUBDIVISION TEN OF SECTION TWO HUNDRED FORTY OF THIS ARTICLE.
  2. A SOLAR SUBSCRIPTION SHALL NOT BE CONSIDERED AS A SECURITY.
  3.  A  CUSTOMER-GENERATOR WHO OWNS A SHARED SOLAR FACILITY AT A QUALI-
FIED SITE MAY DESIGNATE ALL OR A PORTION OF  THE  NET  METERING  CREDITS
GENERATED  BY  SUCH  EQUIPMENT  TO QUALIFIED CONSUMERS WHO RESIDE WITHIN
THAT UTILITY SERVICE TERRITORY.
  4. ALL RENEWABLE ENERGY CREDITS PRODUCED BY THE SHARED SOLAR  FACILITY
SHALL,  NOT  WITHSTANDING  THE  TERMS  AND  CONDITIONS  OF ANY INCENTIVE
PROGRAM FOR WHICH THE OWNER IS ELIGIBLE,  REMAIN  THE  PROPERTY  OF  THE
OWNER OF THE SHARED SOLAR FACILITY.
  5.  SHARED  SOLAR  FACILITIES SHALL BE EXEMPT FROM THE LIMITATIONS SET
FORTH IN SUBPARAGRAPH (III) OF PARAGRAPH (A)  OF  SUBDIVISION  THREE  OF
SECTION  SIXTY-SIX-J  OF THIS CHAPTER.  SHARED SOLAR FACILITIES SHALL BE
SUBJECT TO ALL SAFETY STANDARDS AS SET FORTH IN SUBDIVISION FIVE OF SUCH
SECTION.
  6. EACH RETAIL ELECTRIC SUPPLIER  THAT  IS  AN  ELECTRIC  DISTRIBUTION
COMPANY  SHALL  BE  ENTITLED  TO RECOVER THE PRUDENTLY INCURRED COSTS OF
COMPLYING WITH ITS OBLIGATIONS, AS DETERMINED  BY  THE  COMMISSION.  ALL
SUCH  COSTS  SHALL BE RECOVERED THROUGH THE SUPPLY PORTION OF EACH ELEC-
TRIC CUSTOMER'S BILL IN A COMPETITIVELY NEUTRAL MANNER.
  7. THE COMMISSION MAY IN ITS DISCRETION AND THROUGH A FORMAL  PROCEED-
ING,  SUSPEND  THIS  PROGRAM  IF  IT IS DETERMINED TO HAVE A SUBSTANTIAL

S. 5277--A                          4

NEGATIVE IMPACT ON THE UTILITY COSTS OF RATEPAYERS, OR IF IT  IS  DETER-
MINED  THAT  THE  FURTHER  OPERATION OF THE PROGRAM IS NOT IN THE PUBLIC
INTEREST. IF THE COMMISSION SHOULD  ISSUE  AN  ORDER  PURSUANT  TO  THIS
SUBDIVISION,  ALL  PROJECTS ALREADY UNDER CONTRACT AS OF THE DATE OF THE
ORDER WOULD BE HELD HARMLESS AND ALLOWED TO OPERATE UNDER THE CONDITIONS
THAT EXIST PRIOR TO SUCH ORDER.
  S 4. Severability. If any provision of this act is,  for  any  reason,
declared  unconstitutional or invalid, in whole or in part, by any court
of competent jurisdiction, such portion shall be deemed  severable,  and
such  unconstitutionality or invalidity shall not affect the validity of
the remaining provisions of this act, which remaining  provisions  shall
continue in full force and effect.
  S 5. This act shall take effect immediately.