Senate Bill S9380

                                 
BILL NUMBER: S9380

SPONSOR: JACKSON
 
TITLE OF BILL:

An act to amend the public authorities law, in relation to authorizing
the New York power authority to supply electric energy to certain low-
income households; and providing for the repeal of such provisions upon
expiration thereof

 
SUMMARY OF PROVISIONS:

Section 1 of this bill Amends section 1005 of the public authorities law
by adding a new subdivision 31 directing the New York Power Authority to
supply electric power to eligible low-income residential customers iden-
tified through the New York City Human Resources Administration (HRA),
the New York State Office of Temporary and Disability Assistance (OTDA),
and local social services districts administering state or federal ener-
gy assistance programs. This section authorizes HRA, OTDA, and local
social services districts to act as billing energy service companies,
allowing them to purchase wholesale electricity from the New York Power
Authority and bill eligible clients directly. Counties receiving less
than five million dollars in OTDA energy assistance may opt into OTDA as
              

their billing energy service company, with a management fee capped at up
to three percent of verified cost savings. This section requires that
electricity supplied under this program be priced on a cost-based basis
to maintain household energy burdens at or below six percent of income.
It further directs the authority to coordinate with electric utilities,
the Department of Public Service, OTDA, and HRA to integrate billing,
metering, data-sharing, and enrollm ent systems and to prevent dupli-
cation of benefits. This section also requires the authority to provide
technical assistance to participating social services agencies to
support the operation of billing energy service companies and to promul-
gate regulations governing data security, payment systems, and billing
dispute resolution. In addition, this section requires that verified
cost savings be reinvested into state or local energy affordability
programs, including expansion of Home Energy Assistance Program eligi-
bility or benefits, arrears forgiveness and shutoff protections, and
low-income energy efficiency and renewable energy installations.  The
authority must publish an annual report documenting cost savings, rein-
vestment allocations, and program impacts.

Section 2 of this bill provides that this act shall take effect imme-
diately.

 
JUSTIFICATION:

New York's lowest-income households face the highest energy burdens in
the state, often exceeding the commonly accepted affordability benchmark
of six percent of household income. While existing assistance programs
provide essential support, they are often fragmented, reactive, and
dependent on volatile retail energy markets. This bill establishes a
structural, cost-based solution by leveraging the New York Power Author-
ity's statutory authority and low-cost generation portfolio to supply
electricity directly to households most in need. By doing so, it helps
stabilize energy costs and reduce the financial strain faced by low-in-
come families.  Allowing the New York City Human Resources Adminis-
tration, the Office of Temporary and Disability Assistance, and local
social services districts to function as billing energy service compa-
nies creates a unified and administratively efficient system. These
agencies already verify income eligibility and administer energy assist-
ance programs, making them well positioned to coordinate enrollment and
billing while reducing administrative duplication and delays. The bill
also ensures that savings generated through cost-based power supply are
reinvested into programs that further reduce energy burdens, including
expanded Home Energy Assistance Program benefits, arrears relief,
shutoff protections, and energy efficiency improvements. In this way,
the legislation creates a self-reinforcing framework in which reduced
supply costs generate additional resources to strengthen energy afforda-
bility.

 
LEGISLATIVE HISTORY:

New Bill.

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENT:

This bill is designed to be cost-neutral to the state. Savings generated
through the New York Power Authority's cost-based electricity supply
model are reinvested into energy affordability programs, reducing down-
stream expenditures related to arrears management, emergency assistance,
and service shutoffs.

 
EFFECTIVE DATE:
This act shall take effect immediately.