S T A T E O F N E W Y O R K
________________________________________________________________________
10780
I N A S S E M B L Y
April 1, 2026
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Introduced by M. of A. SANTABARBARA -- read once and referred to the
Committee on Corporations, Authorities and Commissions
AN ACT to amend the public service law, in relation to establishing
civil penalties for improper denial of propane service to consumers
located within a company's designated service territory, providing for
enforcement by the department of public service and the office of the
attorney general, and directing that all collected civil penalties be
deposited into the New York state general fund
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The public service law is amended by adding a new section
28 to read as follows:
§ 28. IMPROPER DENIAL OF PROPANE SERVICE; PENALTIES. 1. FOR THE
PURPOSES OF THIS SECTION, AN "IMPROPER DENIAL OF SERVICE" BY A PROPANE
COMPANY OCCURS WHEN:
(A) A CONSUMER RESIDES WITHIN SUCH PROPANE COMPANY'S ESTABLISHED
SERVICE AREA OR DELIVERY TERRITORY;
(B) SUCH PROPANE COMPANY OPERATES AND REGULARLY PROVIDES SERVICE WITH-
IN THE GEOGRAPHIC AREA OF SUCH ESTABLISHED SERVICE AREA OR DELIVERY
TERRITORY; AND
(C) SUCH PROPANE COMPANY DENIES SERVICE TO SUCH CONSUMER FOR REASONS
OF CONVENIENCE, ROUTE EFFICIENCY, OR PREFERENCE NOT TO DEVIATE FROM A
FASTER, MORE EFFICIENT, OR MORE PROFITABLE DELIVERY ROUTE.
2. A PROPANE COMPANY SHALL BE SUBJECT TO A CIVIL PENALTY IN AN AMOUNT
WHICH SHALL BE DETERMINED BY THE DEPARTMENT, BUT WHICH SHALL NOT EXCEED
ONE HUNDRED THOUSAND DOLLARS, FOR EACH IMPROPER DENIAL OF SERVICE BY
SUCH PROPANE COMPANY.
3. IN DETERMINING THE AMOUNT OF THE CIVIL PENALTY TO BE IMPOSED PURSU-
ANT TO SUBDIVISION TWO OF THIS SECTION, THE DEPARTMENT MAY CONSIDER
FACTORS INCLUDING, BUT NOT LIMITED TO:
(A) THE CIRCUMSTANCES AND SERIOUSNESS OF THE IMPROPER DENIAL OF
SERVICE;
(B) WHETHER THE IMPROPER DENIAL OF SERVICE WAS WILLFUL OR PART OF A
PATTERN OR PRACTICE OF DENYING SERVICE;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15324-01-6
A. 10780 2
(C) THE NUMBER OF CONSUMERS AFFECTED BY THE IMPROPER DENIAL OF
SERVICE;
(D) ANY RISK TO PUBLIC HEALTH, SAFETY OR PROPERTY RESULTING FROM THE
IMPROPER DENIAL OF SERVICE; AND
(E) ANY GOOD FAITH EFFORTS BY THE PROPANE COMPANY TO REMEDY THE
IMPROPER DENIAL OF SERVICE.
4. EACH IMPROPER DENIAL OF SERVICE SHALL CONSTITUTE A SEPARATE
VIOLATION. MULTIPLE SEPARATE VIOLATIONS MAY BE ASSESSED INDIVIDUALLY
REGARDLESS OF WHETHER:
(A) SUCH VIOLATIONS INVOLVE THE SAME CONSUMER ON MULTIPLE OCCASIONS;
OR
(B) MULTIPLE CONSUMERS WITHIN THE SAME SERVICE TERRITORY ARE DENIED
SERVICE.
5. (A) THE DEPARTMENT SHALL RECEIVE, INVESTIGATE AND ADJUDICATE
COMPLAINTS ALLEGING IMPROPER DENIALS OF SERVICE.
(B) THE DEPARTMENT SHALL HAVE THE AUTHORITY TO:
(I) PROMULGATE RULES AND REGULATIONS NECESSARY TO IMPLEMENT THE
PROVISIONS OF THIS SECTION;
(II) CONDUCT INVESTIGATIONS AND ADMINISTRATIVE HEARINGS; AND
(III) ISSUE DETERMINATIONS AND ADMINISTRATIVE PENALTY ASSESSMENTS
PURSUANT TO THE PROVISIONS OF THIS SECTION.
(C) THE OFFICE OF THE ATTORNEY GENERAL SHALL HAVE THE AUTHORITY TO:
(I) INVESTIGATE IMPROPER DENIALS OF SERVICE UPON REFERRAL FROM THE
DEPARTMENT OR ON ITS OWN INITIATIVE;
(II) COMMENCE CIVIL ACTIONS IN COURTS OF COMPETENT JURISDICTION TO
RECOVER PENALTIES IMPOSED PURSUANT TO THIS SECTION; AND
(III) SEEK INJUNCTIVE RELIEF, RESTITUTION AND ANY OTHER RELIEF AUTHOR-
IZED BY LAW.
(D) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE COORDINATION WITH ANY
OTHER APPLICABLE STATE OR LOCAL ENFORCEMENT AUTHORITIES WHERE APPROPRI-
ATE.
6. ALL CIVIL PENALTIES RECOVERED PURSUANT TO THIS SECTION SHALL BE
PAID TO THE COMMISSIONER OF TAXATION AND FINANCE AND CREDITED TO THE
STATE GENERAL FUND.
7. THE PENALTIES ESTABLISHED PURSUANT TO THIS SECTION SHALL NOT BE
CONSTRUED TO PRECLUDE ANY ADDITIONAL REMEDIES AVAILABLE UNDER EXISTING
CONSUMER PROTECTION, PUBLIC SAFETY OR UTILITY REGULATORY LAWS.
§ 2. This act shall take effect immediately.