BILL NUMBER: S403

SPONSOR: PARKER
 
TITLE OF BILL:

An act to amend the public service law and the public authorities law,
in relation to requiring the public service commission and the Long
Island power authority to establish standards of acceptable performance
for gas and electric corporations

 
PURPOSE OF BILL:

This bill would require the public service commission and the long
island power authority to establish standards for gas and electric
corporations in the event of a power outage.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 66 of the public service law would be amended by adding a new
subdivision 2-b

Section 1- Gives the public service commission the power to establish
              

performance standards for gas and electric corporations in the event of
a power outage.

Section 1(a) - Performance standards shall be based on the foreseeable
nature of the outage and the number of customers affected.

Section 1(b) - Corporations found to be in violation of the standards
set forth by the public service commission shall be penalized for each
violation in a manner which the commission deems just and proper.

Section 1(c)- Penalties shall include but not be limited to a credit for
each customer of the amount of money charged for one kilowatt hour for
each kilowatt hour of service outage.

Section 1020-f of the public authorities law would be amended by adding
a new subdivision jj

Section 2 - Gives the long island power authority and its service
providers the power to establish performance standards for*gas and elec-
tric corporations in the event of a power outage.

Section 2(1) - Performance standards shall be based on the foreseeable
nature of the outage and the number of customers affected.

Section 2(2) - Corporations found to be in violation of the standards
set forth by the authority may be penalized for each violation in a
manner which the authority deems just and proper.

Section 2(3)- Penalties shall include but not be limited to a credit for
each customer of the _amount of money charged for one kilowatt hour for
each kilowatt hour of service outage.

Section 3 - This act shall take effect immediately.

 
JUSTIFICATION:


On October 29, 2011 the Northeast was hit with a powerful snowstorm
affecting more than 2 million homes and businesses and causing the
deaths of at least three people. More than 2.3 million customers lost
power, and firms were bringing in crews from other states to help
restore it. Governor Andrew Cuomo, declared a state of emergency for 13
counties.

Although there was no way to prevent the storm, this early winter snow
fall turned into outrage when thousands of utility customers reported no
power well into the month of November. Many New Yorkers complained that
the response time of the utility companies begged for improvement.

Outraged by utility response time, our neighboring states of Connecticut
and Pennsylvania plan to introduce legislation creating standards of
acceptable performance modeled after Massachusetts law.  The state of
Massachusetts enacted legislation in 2009 in the wake of lackadaisical
utility response to an ice storm that year.

New York should follow in our neighboring states' footsteps to ensure
that our residents are not without power for an unreasonable amount of
time due to unacceptable performance by our utility companies.  This
bill would allow the Public Service Commission and the Long Island Power
Authority to create standards of acceptable performance for utility
companies with respect to serving customers and power restoration
following outages. Establishing these standards to provide a blueprint
to our utility companies for acceptable response time. Failure to meet
those standards would result in penalties for the utility company and
reimbursement to the customers affected.

 
LEGISLATIVE HISTORY:

2019/20: S1606 - REFERRED TO ENERGY AND TELECOMMUNICATIONS

2017/18: S2439 - Energy & Telecom

2015-2016: S.1389-Died in Energy & Telecom

2013-2014: S.710-Died in Energy & Telecom

2011-2012: S.6094-Died in Energy & Telecom

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.