S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4490--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             February 16, 2017
                                ___________
 
 Introduced  by Sen. HAMILTON -- read twice and ordered printed, and when
   printed to be committed to the Committee on Corporations,  Authorities
   and  Commissions -- reported favorably from said committee and commit-
   ted to the Committee on Finance -- committee discharged, bill amended,
   ordered reprinted as amended and recommitted to said committee

 AN ACT to amend the public authorities law, in relation to enacting  the
   "New York microgrids act"
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Article 8 of the  public  authorities  law  is  amended  by
 adding a new title 9-B to read as follows:
 
                                 TITLE 9-B
                          NEW YORK MICROGRIDS ACT
 
 SECTION 1900. SHORT TITLE.
         1901. DEFINITIONS.
         1902. PURPOSES.
         1903. MICROGRIDS OF NEW YORK GRANT PROGRAM.
   § 1900. SHORT TITLE. THIS TITLE SHALL BE KNOWN AND MAY BE CITED AS THE
 "NEW YORK MICROGRIDS ACT".
   §  1901.  DEFINITIONS.  AS  USED  IN THIS SECTION, THE FOLLOWING TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   1. "AUTHORITY" MEANS THE NEW YORK STATE ENERGY RESEARCH  AND  DEVELOP-
 MENT  AUTHORITY CONTINUED PURSUANT TO SECTION EIGHTEEN HUNDRED FIFTY-TWO
 OF THIS ARTICLE.
   2. "ENERGY INSECURE REGIONS" MEANS AREAS OF THE STATE THAT HAVE  EXPE-
 RIENCED  INCREASED ELECTRICITY OUTAGES DUE TO GRID INSTABILITY, CAPACITY
 CONSTRAINTS, DISTRIBUTION AND TRANSMISSION LINE ISSUES.
   3. "PROGRAM" MEANS THE MICROGRIDS OF NEW  YORK  GRANT  PROGRAM  ESTAB-
 LISHED PURSUANT TO SECTION NINETEEN HUNDRED THREE OF THIS TITLE.
   4.  "RURAL  AREAS"  SHALL HAVE THE SAME MEANING AS IS ASCRIBED TO SUCH
 TERM PURSUANT TO SUBDIVISION SEVEN OF SECTION FOUR HUNDRED EIGHTY-ONE OF
 THE EXECUTIVE LAW.
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09837-02-7

 S. 4490--A                          2
 
   5. "LOW-INCOME COMMUNITY" MEANS A CENSUS BLOCK  GROUP,  OR  CONTIGUOUS
 AREA  WITH  MULTIPLE CENSUS BLOCK GROUPS, HAVING A LOW-INCOME POPULATION
 EQUAL TO OR GREATER THAN 23.59 PERCENT OF THE TOTAL POPULATION  OF  SUCH
 BLOCK  GROUP OR GROUPS, OR SUCH OTHER PERCENTAGE AS MAY BE DETERMINED BY
 THE NEW YORK STATE DEPARTMENT OF ENVIRONMENTAL CONSERVATION.
   § 1902. PURPOSES. THE PURPOSES OF THIS TITLE ARE TO:
   1. PROMOTE LONG TERM REDUCTION OF ENERGY COSTS;
   2.  REDUCE  THE  CAPACITY DEMAND FOR THE MARKET BY DRAWING LESS ENERGY
 FROM THE ORIGINAL GRID;
   3. STABILIZE ENERGY COSTS;
   4. ENHANCE THE RELIABILITY OF ENERGY SOURCES;
   5. INCREASE ENERGY INDEPENDENCE THROUGHOUT THE STATE; AND
   6. PROMOTE RELIANCE ON  RENEWABLE  ENERGY  SOURCES  TO  HELP  MITIGATE
 CLIMATE CHANGE AND ACHIEVE THE STATE'S ENERGY USE REDUCTION GOALS.
   §  1903.  MICROGRIDS OF NEW YORK GRANT PROGRAM. 1. THE AUTHORITY SHALL
 ESTABLISH AND OPERATE THE MICROGRIDS OF NEW  YORK  GRANT  PROGRAM.  SUCH
 PROGRAM  SHALL BE IMPLEMENTED BY THE AUTHORITY, IN CONSULTATION WITH THE
 DEPARTMENT OF PUBLIC SERVICE, THE POWER AUTHORITY OF THE  STATE  OF  NEW
 YORK,  THE  LONG  ISLAND  POWER AUTHORITY AND THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION. IN FURTHERANCE THEREOF, THE AUTHORITY SHALL:
   (A) USE MONIES MADE AVAILABLE FOR THE PURPOSES OF THIS TITLE  AND  THE
 PROGRAM;
   (B)  ENTER  INTO  CONTRACTS  WITH CONSTITUENCY BASED ORGANIZATIONS AND
 OTHER ENTITIES THROUGH THE COMPETITIVE GRANT PROCESS ESTABLISHED  PURSU-
 ANT TO SUBDIVISION TWO OF THIS SECTION;
   (C)  ENTER  INTO  CONTRACTS  WITH  ONE OR MORE PROGRAM IMPLEMENTERS TO
 PERFORM SUCH FUNCTIONS AS THE AUTHORITY DEEMS APPROPRIATE; AND
   (D) EXERCISE SUCH OTHER POWERS AS ARE NECESSARY FOR THE PROPER  IMPLE-
 MENTATION OF THIS TITLE.
   2. THE AUTHORITY SHALL:
   (A)  ISSUE  ONE  OR  MORE  PROGRAM OPPORTUNITY NOTICES OR REQUESTS FOR
 PROPOSALS TO SOLICIT APPLICATIONS FROM PARTNERSHIPS COMPRISED OF CONSTI-
 TUENCY BASED ORGANIZATIONS, WHICH CAN CONNECT COMMUNITY MEMBERS  TO  THE
 PROGRAM,  INCLUDING FACILITATING AWARENESS OF THE PROGRAM AND ENROLLMENT
 THEREIN;
   (B) AWARD GRANTS OF NOT MORE THAN ONE HUNDRED FIFTY  THOUSAND  DOLLARS
 TO EACH APPROVED APPLICANT;
   (C) WITH REGARD TO AWARDING SUCH GRANTS, GIVE PREFERENCE TO:
   (I) COMMUNITIES IN AREAS OF THE STATE WHERE ENERGY COSTS ARE A PARTIC-
 ULARLY  HIGH  PERCENTAGE  OF  A  COMMUNITY'S  MEDIAN HOUSEHOLD INCOME AS
 DETERMINED BY THE AUTHORITY;
   (II) COMMUNITIES THAT WOULD BENEFIT FROM ENERGY RESILIENCY PROVIDED BY
 A MICROGRID, AS DEMONSTRATED BY PRIOR OUTAGE HISTORY DUE TO  WEATHER  OR
 OTHER CAUSES;
   (III) LOW INCOME COMMUNITIES;
   (IV) ENERGY INSECURE REGIONS; AND
   (V) RURAL AREAS.
   3.  THE AUTHORITY IS AUTHORIZED IN CONSULTATION WITH THE DEPARTMENT OF
 PUBLIC SERVICE, THE POWER AUTHORITY OF THE STATE OF NEW YORK,  THE  LONG
 ISLAND POWER AUTHORITY AND THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION,
 TO PROMULGATE SUCH RULES AND REGULATIONS AS SHALL BE NECESSARY TO IMPLE-
 MENT THE PROVISIONS OF THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.