(Binghamton, NY) Senator Webb and the Senate Democratic Conference advanced legislation to ensure utility providers, through their PSC-approved actions and practices, continue to act in the best interest of New York’s ratepayers. The bills in this package aim to equip the Public Service Commission with resources to better evaluate the impact of utility providers’ actions on ratepayers, preventing utilities from profiting at the expense of the communities they serve. 

This package includes legislation that would prohibit public utilities from recovering funds from ratepayers to support certain non-operational expenses like lobbying or entertainment; authorize the Public Service Commission to consider non-economic damages when determining penalties for utilities; require utilities to return excess revenue to ratepayers; and mandate that utility providers notify ratepayers of a proposed rate hike via text, email, and/or their monthly utility bill. 

  “For too long, families have faced rate hikes and confusing bills without meaningful protections,” said Senator Lea Webb. “This package of legislation enacts common-sense reforms that prioritize people over profits. I am proud of the work we continue to do in the NYS Senate to protect ratepayers and put the needs of working families first by addressing utility affordability and strengthening oversight. 

The legislation passed by the Senate Democratic Majority includes: 

Prohibiting Ratepayer Funded Expense Recovery for Political Activities: This bill, S.1012A, sponsored by Senator Brouk, would prevent public utilities from recovering funds from ratepayers to support certain activities such as expenses incurred from lobbying public officials, donations to public charities, travel, entertainment and educational expenditures as well as public relations and advertising campaigns. 

Enacting the Rate Hike Notice Act: This bill, S.5553C, sponsored by Senator Comrie, would enact the Rate Hike Notice Act, which directs the Public Service Commission to mandate electric and gas utilities to provide notice of a proposed rate hike to a customer via text, email, and to that customer’s monthly utility bill. 

Utility Hikes Economic Impact: This bill, S.1847, sponsored by Senator Comrie, would require the Public Service Commission to consider the economic impact of utility rates and charges when evaluating utilities’ proposed rate changes. 

Regulating Appointments to the Public Service Commission: This bill, S.7328A, sponsored by Senator Hinchey, would expand the number of Public Service Commission commissioners to eight; codify the Public Service Commission’s mission to ensure affordable, reliable, and safe access to utility services for New Yorkers; and prohibit any employee of a utility regulated by the Public Service Commission from serving as a commissioner for two years after their employment. 

Evaluating Non-Economic Damages for Utilities: This bill, S.7165A, sponsored by Senator Hinchey, would authorize the Public Service Commission to consider non-economic damages suffered by customers when determining penalties for utilities, including penalties negotiated in settlements. These non-economic damages may include, for example, any pain and suffering or mental anguish endured by a utility customer during an unplanned power outage. 

Establishing a Fair Annual Ratemaking Process: This bill, S.1896, sponsored by Senator Mayer, and would direct the Public Service Commission (PSC) to reform the PSC’s evaluation of utilities’ return on equity (ROE) to ensure the ROE that electric, gas, steam, and water utilities receive is reasonable and transparent for ratepayers. 

Extending the Suspension Period for Utility Rate Cases: This bill, S.5593, sponsored by Senator Mayer, would (1) permit the Public Service Commission (PSC) to extend the suspension period for gas or electric utility rate cases up to fourteen months in order to mitigate financial strain on ratepayers and allow more time for the PSC and intervenors to scrutinize utility rate filings for potential savings to ratepayers, and (2) limit utilities’ “make whole” ability to retroactively collect rate increase amounts. 

Requiring Utilities to Return Excess Revenue to Ratepayers: This bill, S.7693, sponsored by Senator Mayer, would direct the Public Service Commission to require gas, electric, or combination gas and electric utilities to return to ratepayers all revenues in excess of their authorized rate of return on equity. 

Mandating Minimum Standards for Utility Payment Plans: This bill, S.1327, sponsored by Senator Parker, would direct the Public Service Commission to set minimum standards for payment plans established by utility companies for eligible residential customers already enrolled in other assistance programs. 

Adjusting Electric Residential Fixed Charges: This bill, S.1329, sponsored by Senator Parker, would direct the Department of Public Service to limit monthly fixed service charges: utility corporations would only be permitted to bill residential customers fixed charges for fixed operation and maintenance costs directly related to metering, billing, service connections, and the provision of customer service. 

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