S T A T E   O F   N E W   Y O R K
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                                  7963--A
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 16, 2025
                                ___________
 
 Introduced  by M. of A. TAPIA -- read once and referred to the Committee
   on Corporations, Authorities and Commissions -- committee  discharged,
   bill  amended,  ordered  reprinted  as amended and recommitted to said
   committee
 
 AN ACT to amend the public service law, in relation to eliminating  late
   fees for residential utility customers

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 42 of the public service law, as added  by  chapter
 713  of  the  laws of 1981, subdivision 3 as added by chapter 388 of the
 laws of 2011, is amended to read as follows:
   § 42. Other charges. 1. (A) A utility corporation or municipality  may
 impose  late  payment charges ON NON-RESIDENTIAL CUSTOMERS not in excess
 of one and one-half percent per month on the unpaid balance of any  bill
 including  any  interest thereon.   NO SUCH LATE PAYMENT CHARGE SHALL BE
 IMPOSED ON ANY RESIDENTIAL CUSTOMER OR SMALL  BUSINESS  CUSTOMER.    Any
 such  late payment charge ON NON-RESIDENTIAL CUSTOMERS, however, may not
 be imposed if the bill is the subject of a pending  complaint  with  the
 utility  or  municipality  provided,  however,  that  such charge may be
 imposed retroactively if the complaint is finally resolved in  favor  of
 the utility or municipality.
   (B)  FOR  THE  PURPOSES  OF THIS SUBDIVISION, THE TERM "SMALL BUSINESS
 CUSTOMER" SHALL MEAN A CUSTOMER WHO IS AN ELECTRIC CUSTOMER  THAT  MEETS
 THE  CRITERIA IN SUBPARAGRAPH (I) OF THIS PARAGRAPH, A GAS CUSTOMER THAT
 MEETS THE CRITERIA IN SUBPARAGRAPH (II) OF THIS PARAGRAPH, OR BOTH:
   (I) A NON-RESIDENTIAL ELECTRIC SERVICE CUSTOMER THAT RECEIVES  SERVICE
 EITHER  UNDER  A  NON-DEMAND BILLED RATE, OR UNDER A DEMAND BILLED RATE,
 PROVIDED THE HIGHEST METERED DEMAND WAS LESS  THAN  OR  EQUAL  TO  FORTY
 KILOWATTS DURING THE PREVIOUS TWELVE MONTHS;
   (II)  A  GAS CUSTOMER THAT HAS AN ACTUAL GAS CONSUMPTION THAT DOES NOT
 EXCEED SEVEN HUNDRED FIFTY DEKATHERMS PER YEAR, OR, FOR  CUSTOMERS  WITH
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11200-02-5
              

 A. 7963--A                          2
 
 LESS  THAN ONE YEAR OF ACTUAL METER READINGS, IS A GAS CUSTOMER THAT HAS
 AN AVERAGE ACTUAL MONTHLY USAGE THAT WHEN MULTIPLIED BY TWELVE DOES  NOT
 EXCEED SEVEN HUNDRED FIFTY DEKATHERMS.
   2.  [Except  as  provided  in  subdivision one of this section, no] NO
 utility corporation or municipality may charge any residential  customer
 a  late  payment  charge, penalty, fee, interest, or other charge of any
 kind for any late payment, collection effort, service  disconnection  or
 deferred  payment  agreement occasioned by the customer's failure to pay
 timely for gas or electric service.
   3. The rights and responsibilities of  residential  customers  partic-
 ipating  in  green  jobs-green  New  York  on-bill  recovery pursuant to
 section sixty-six-m of this chapter shall be substantially comparable to
 those of electric and gas customers not participating in on-bill  recov-
 ery,  and  charges  for on-bill recovery shall be treated as charges for
 utility service for the purpose of this article, provided that:
   (a) all determinations and safeguards related to the  termination  and
 reconnection  of  service shall apply to on-bill recovery charges billed
 by a utility pursuant to such section;
   (b) in the event that the responsibility for making  utility  payments
 has been assumed by occupants of a multiple dwelling pursuant to section
 thirty-three  of  this  article or by occupants of a two-family dwelling
 pursuant to section thirty-four of this article,  such  occupants  shall
 not  be  billed  for  any  arrears  of  on-bill  recovery charges or any
 prospective on-bill recovery charges, which shall remain  the  responsi-
 bility of the incurring customer;
   (c)  deferred  payment  agreements pursuant to section thirty-seven of
 this article shall be available to customers  participating  in  on-bill
 recovery  on  the  same  terms as other customers, and the utility shall
 retain the same discretion to defer termination of service  as  for  any
 other delinquent customer;
   (d)  where  a  customer has a budget billing plan or levelized payment
 plan pursuant to section thirty-eight of this article, the utility shall
 recalculate the payments  under  such  plan  to  reflect  the  projected
 effects  of installing energy efficiency measures as soon as practicable
 after receipt of information on the energy audit  and  qualified  energy
 efficiency services selected;
   (e) on-bill recovery charges shall not be subject to the provisions of
 section forty-one of this article;
   (f)  late  payment charges on unpaid on-bill recovery charges shall be
 determined as provided in this section, or as otherwise consented to  by
 the  customer  in  the  agreement  for green jobs-green New York on-bill
 recovery and any such charges shall be remitted to the  New  York  state
 energy research and development authority;
   (g)  notwithstanding  the  provisions  of  section forty-three of this
 article, when a complaint is related solely to work performed under  the
 green  jobs-green  New  York  program  or  to  the appropriate amount of
 on-bill recovery charges, the utility shall only be required  to  inform
 the  customer of the complaint handling procedures of the New York state
 energy research and development authority, which shall retain  responsi-
 bility  for  handling  such complaints, and such complaints shall not be
 deemed to be complaints about utility service in  any  other  commission
 action or proceeding; and
   (h)  billing  information  provided  pursuant to section forty-four of
 this article shall include information  on  green  jobs-green  New  York
 on-bill  recovery charges, including the basis for such charges, and any
 information or inserts provided by the New York  state  energy  research
 A. 7963--A                          3
 
 and development authority related thereto. In addition, at least annual-
 ly  the  authority shall provide the utility with information for inclu-
 sion or insertion in the customer's bill that sets forth the amount  and
 duration  of  remaining  on-bill  recovery  charges  and the authority's
 contact information and procedures  for  resolving  customer  complaints
 with such charges.
   § 2. This act shall take effect immediately.