NY State Senate Bill 2017-S6714

Senate Bill S6714

Signed By Governor

2017-2018 Legislative Session

Relates to the general powers of the Long Island office of the department of public service to review the rates and charges of LIPA

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Archive: Last Bill Status Via A7051 - Signed by Governor

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Dec 18, 2017	signed chap.479
Dec 06, 2017	delivered to governor
Jun 21, 2017	returned to assembly passed senate 3rd reading cal.2185 substituted for s6714
Jun 21, 2017	substituted by a7051 ordered to third reading cal.2185
Jun 14, 2017	referred to rules

Votes

- Jun 21, 2017 - Floor Vote
  A7051
  
  62
  
  Aye
  
  0
  
  Nay
  
  1
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 21, 2017
      
      aye (62)
      
      Addabbo Jr.
      
      Akshar
      
      Alcantara
      
      Amedore
      
      Avella
      
      Bailey
      
      Benjamin
      
      Bonacic
      
      Boyle
      
      Breslin
      
      Brooks
      
      Carlucci
      
      Comrie
      
      Croci
      
      DeFrancisco
      
      Diaz
      
      Dilan
      
      Felder
      
      Flanagan
      
      Funke
      
      Gallivan
      
      Gianaris
      
      Golden
      
      Griffo
      
      Hamilton
      
      Hannon
      
      Helming
      
      Hoylman-Sigal
      
      Jacobs
      
      Kaminsky
      
      Kennedy
      
      Klein
      
      Krueger
      
      LaValle
      
      Lanza
      
      Larkin
      
      Latimer
      
      Little
      
      Marcellino
      
      Marchione
      
      Montgomery
      
      Murphy
      
      O'Mara
      
      Ortt
      
      Parker
      
      Peralta
      
      Persaud
      
      Phillips
      
      Ranzenhofer
      
      Ritchie
      
      Rivera
      
      Robach
      
      Savino
      
      Serino
      
      Serrano
      
      Seward
      
      Squadron
      
      Stavisky
      
      Stewart-Cousins
      
      Tedisco
      
      Valesky
      
      Young
      
      absent (1)
      
      Sanders Jr.
  Jun 21, 2017 - Rules Committee Vote
  S6714
  
  25
  
  Aye
  
  0
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Rules Committee Vote: Jun 21, 2017
      
      aye (25)
      
      Bonacic
      
      Breslin
      
      Carlucci
      
      DeFrancisco
      
      Dilan
      
      Flanagan
      
      Gianaris
      
      Griffo
      
      Hannon
      
      Kennedy
      
      Krueger
      
      LaValle
      
      Lanza
      
      Larkin
      
      Little
      
      Marcellino
      
      Montgomery
      
      Parker
      
      Ranzenhofer
      
      Robach
      
      Savino
      
      Seward
      
      Squadron
      
      Stewart-Cousins
      
      Valesky

co-Sponsors

2017-S6714 (ACTIVE) - Details

See Assembly Version of this Bill:: A7051
Law Section:: Public Service Law
Laws Affected:: Amd §3-b, Pub Serv L
Versions Introduced in 2015-2016 Legislative Session:: A6534

2017-S6714 (ACTIVE) - Summary

Relates to the general powers of the Long Island office of the department of public service to review the rates and charges of the Long Island power authority.

2017-S6714 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S6714

 TITLE OF BILL :  An act to amend the public service law, in relation
to the general powers of the Long Island office of the department of
public service to review the rates and charges of the Long Island
Power Authority

 PURPOSE :

This legislation provides for the review of all compensation,
including executive pay and all fees to consultants and contractors,
which is paid in connection with the Public Service Enterprise Group
of Long Island (PSEG-LI) operations services contract with the Long
Island Power Authority (LIPA).

 SUMMARY OF PROVISIONS :

Amends Paragraph (a) of subdivision 3 of Section 3-b of the public
service law relating to the general powers of the Long Island office
of the Department of Public Service (DPS-LI) to review rates and
charges of LIPA.

 JUSTIFICATION :

This legislation would empower the DPS-LI to review all compensation,
including executive pay and all fees to consultants and contractors,

which is paid in connection with PSEG-LI's operations services
contract with LIPA. The DPS-LI has no decision-making authority over
electric rates but is empowered to make recommendations to LIPA about
rate petitions.

In March of 2015, the PSEG-LI refused to make public the executive
compensation for its 18 top officials, claiming that such information
is exempt from state scrutiny or public disclosure under the LIPA
Reform Act passed in 2013. The management contract between LIPA and
PSEG-LI is for a term of 12 years. The fee to PSEG-LI will increase
from $45 million to $73 million in 2016.

In addition, PSEG-LI has been accused of hindering scrutiny of the
utility's proposed three-year rate hike by failing to respond to more
than two dozen separate information requests by the DP5-LI. The State
Department of Public Service said in the filing to administrative law
judges overseeing the rate case that many of the 28 outstanding
information requests exceeded the normal 10-day response time by as
many as 27 days.

Because the PSEG-LI is a contractor for a public authority (LIPA), it
has as its mission the supplying of a most basic societal need:
electricity.

Its revenue is generated by the payment of the monthly electric bill
of every Long Island resident and business. The people's right to
review the documents and information related to the operation of its
utility company should be obvious in a democratic society. Access to
such information should not be thwarted by shrouding it with the cloak
of secrecy or confidentiality. This legislation would amend the LIPA
Reform Act to ensure that such information is available for public
scrutiny. It would also give DPS-LI the right to review such
information and make recommendations to LIPA about such matters.

 LEGISLATIVE HISTORY :

2015-16: A. 6534

 FISCAL IMPLICATIONS :

None.

 EFFECTIVE DATE :
This act shall take effect immediately.

2017-S6714 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6714
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               June 14, 2017
                                ___________
 
 Introduced by Sens. LAVALLE, CROCI, MARCELLINO -- read twice and ordered
   printed, and when printed to be committed to the Committee on Rules
 
 AN  ACT  to  amend  the  public  service law, in relation to the general
   powers of the Long Island office of the department of  public  service
   to review the rates and charges of the Long Island Power Authority

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (a) of subdivision 3 of section 3-b of the public
 service law, as added by section 1 of part A of chapter 173 of the  laws
 of 2013, is amended to read as follows:
   (a)  Review  and  make recommendations to the board of the Long Island
 power authority with respect to the rates and charges, including charges
 related to energy efficiency and renewable energy programs, to be estab-
 lished by the authority and become applicable on or after January first,
 two thousand sixteen pursuant to subdivision (u) of section one thousand
 twenty-f of the public authorities law.
   (i) The purpose of such review is to make recommendations designed  to
 ensure  that  the  authority  and  the service provider provide safe and
 adequate transmission and distribution  service  at  rates  set  at  the
 lowest level consistent with sound fiscal operating practices.
   (ii) The department's recommendations shall be designed to be consist-
 ent  with  ensuring  that  the revenue requirements related to such rate
 review are  sufficient  to  satisfy  the  authority's  obligations  with
 respect to its bonds, notes and all other contracts.
   (iii)  [In the context of such review, the department may not make any
 recommendation that would  modify  the  compensation  or  fee  structure
 included  within  the  operations services agreement]  IN THE CONTEXT OF
 SUCH REVIEW, THE DEPARTMENT MAY MAKE RECOMMENDATIONS WITH REGARD TO  THE
 COMPENSATION  OR  FEE  STRUCTURE INCLUDED WITHIN THE OPERATIONS SERVICES
 AGREEMENT.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10799-01-7

 S. 6714                             2
 
   (iv) In undertaking such review and in making recommendations  related
 to the proposed rates and charges, the department shall establish stand-
 ards,  policies  and  procedures  that, at a minimum, provide for public
 statement and evidentiary hearings and participation of intervenors  and
 other  parties, and ensure that any final recommendations related to the
 proposed rates and charges are provided  to  the  authority  within  two
 hundred forty days of the filing with the department of such plan.
   (v)  The parties to any such rate review proceeding shall include, but
 not be limited to, department staff, the authority, the service provider
 and, to the extent it deems necessary or appropriate, the utility inter-
 vention unit.
   § 2. This act shall take effect immediately.

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Senate Bill S6714

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Sponsored By

Kenneth P. LaValle