Bill A11101-2009

Extends the expiration of the power for jobs program and the energy cost savings benefits program

Extends the expiration of the power for jobs program and the energy cost savings benefits program.

Details

  • Sponsor:
  • Multi-sponsor(s):
  • Co-sponsor(s):
  • Law Section:
  • Law:

Actions

  • May 25, 2010: signed chap.88
  • May 19, 2010: delivered to governor
  • May 18, 2010: RETURNED TO ASSEMBLY
  • May 18, 2010: PASSED SENATE
  • May 18, 2010: ORDERED TO THIRD READING CAL.557
  • May 18, 2010: COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • May 17, 2010: REFERRED TO ENERGY AND TELECOMMUNICATIONS
  • May 17, 2010: delivered to senate
  • May 17, 2010: passed assembly
  • May 17, 2010: ordered to third reading rules cal.46
  • May 17, 2010: rules report cal.46
  • May 17, 2010: reported
  • May 17, 2010: reported referred to rules
  • May 17, 2010: reported referred to ways and means
  • May 14, 2010: referred to energy

Votes

Memo

BILL NUMBER:A11101

TITLE OF BILL: An act to amend the economic development law; chapter 316 of the laws of 1997 amending the public authorities law and other laws relating to the provision of low cost power to foster statewide economic development; and chapter 645 of the laws of 2006 amending the economic development law and other laws relating to reauthorizing the New York power authority to make contributions to the general fund, in relation to extending the expiration of the power for jobs program and the energy cost savings benefits program

SUMMARY OF SPECIFIC PROVISIONS: Extends the Power for Jobs and Energy Cost Savings Benefit Programs for through June 2, 2010;

JUSTIFICATION: This legislation extends the Power for Jobs and Energy Cost Savings Benefit Programs through June 2, 2010 giving the businesses participating in these programs the assurance that their benefits will continue until a long term program is finalized.

PRIOR LEGISLATIVE HISTORY: A new bill.

FISCAL IMPLICATIONS: None. The costs would be paid for by a combination of revenues raised from the sale of low-cost hydroelectric power and funds of the New York Power Authority.

EFFECTIVE DATE: This legislation would be effective immediately upon being signed into law and shall be deemed to have been in full force and effect on and after May 15, 2010.


Text

STATE OF NEW YORK ________________________________________________________________________ 11101 IN ASSEMBLY May 14, 2010 ___________
Introduced by M. of A. CAHILL -- read once and referred to the Committee on Energy AN ACT to amend the economic development law; chapter 316 of the laws of 1997 amending the public authorities law and other laws relating to the provision of low cost power to foster statewide economic develop- ment; and chapter 645 of the laws of 2006 amending the economic devel- opment law and other laws relating to reauthorizing the New York power authority to make contributions to the general fund, in relation to extending the expiration of the power for jobs program and the energy cost savings benefits program THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraphs 2 and 4 of subdivision (h) of section 183 of the economic development law, as amended by chapter 217 of the laws of 2009, are amended to read as follows: 2. During the period commencing on November first, two thousand five and ending on [May fifteenth] JUNE SECOND, two thousand ten eligible businesses shall only include customers served under the power authority of the state of New York's high load factor, economic development power and other business customers served by political subdivisions of the state authorized by law to engage in the distribution of electric power that were authorized to be served by the authority from the authority's former James A. Fitzpatrick nuclear power plant as of the effective date of this subdivision whose power prices may be subject to increase before [May fifteenth] JUNE SECOND, two thousand ten. Provided, however, that the total amount of megawatts of replacement and preservation power which, due to the extension of the energy cost savings benefits, are not relinquished by or withdrawn from a recipient shall be deemed to be relinquished or withdrawn for purposes of offering such megawatts by the authority for reallocation pursuant to subdivision thirteen of section one thousand five of the public authorities law. Provided, further, that for any such reallocation, the authority shall maintain the same energy cost savings benefit level for all eligible businesses using any avail- able authority resources as deemed feasible and advisable by the trus-
tees pursuant to section seven of part U of chapter fifty-nine of the laws of two thousand six. 4. Applications for an energy cost savings benefit shall be in the form and contain such information, exhibits and supporting data as the board may prescribe. The board shall review the applications received and shall determine the applications which best meet the criteria estab- lished for the benefits pursuant to this subdivision and it shall recom- mend such applications to the power authority of the state of New York with such terms and conditions as it deems appropriate; provided, howev- er, that for energy cost savings benefits granted on or after June thir- tieth, two thousand nine through [May fifteenth] JUNE SECOND, two thou- sand ten, the board shall expedite the awarding of such benefits and shall defer the review of compliance with such criteria until after the applicant has been awarded an energy cost savings benefit. Such terms and conditions shall include reasonable provisions providing for the partial or complete withdrawal of the energy cost savings benefit in the event the recipient fails to maintain mutually agreed upon commitments that may include, but are not limited to, levels of employment, capital investment and power utilization. Recommendation for approval of an energy cost savings benefit shall qualify an applicant to receive an energy cost savings benefit from the power authority of the state of New York pursuant to the terms and conditions of the recommendation. S 2. The opening paragraph of paragraph 5 of subdivision (a) of section 189 of the economic development law, as amended by chapter 217 of the laws of 2009, is amended to read as follows: "Power for jobs electricity savings reimbursements" shall mean payments made by the power authority of the state of New York as recom- mended by the board to recipients of allocations of power under phases four and five of the power for jobs program for a period of time until November thirtieth, two thousand four, subsequent to the expiration of their phase four or five power for jobs contract provided however that any power for jobs recipient may choose to receive an electricity savings reimbursement as a substitute for a contract extension for the period from the date the recipient's contract expires through [May fifteenth] JUNE SECOND, two thousand ten. The "basic reimbursement" is an amount that when credited against the recipient's actual "unit cost of electricity" during a quarter (meaning the cost for commodity and delivery per kilowatt-hour for the quantity of electricity purchased and delivered under the power for jobs program during a similar period in the final year of the recipient's contract), results in an effective unit cost of electricity during the quarter equal to the average unit cost of electricity such recipient paid during the final year of the contract for power allocated under phase four or five of the power for jobs program. S 3. Subdivisions (f) and (l) of section 189 of the economic develop- ment law, as amended by chapter 217 of the laws of 2009, are amended to read as follows: (f) Eligibility. The board shall recommend applications for allo- cations of power under the power for jobs program to or for the use of businesses which normally utilize a minimum peak electric demand in excess of four hundred kilowatts; provided, however, that up to one hundred megawatts of power available for allocation during the initial three phases of the power for jobs program may be recommended for allo- cations to not-for-profit corporations and to small businesses; and, provided, further that up to seventy-five megawatts of power available for allocation during the fourth phase of the program may be recommended
for allocations to not-for-profit corporations and to small businesses. The board may require small businesses that normally utilize a minimum peak electric demand of less than one hundred kilowatts to aggregate their electric demand in amounts of no less than one hundred kilowatts, for the purposes of applying to the board for an allocation of power. The board shall recommend allocations of the additional three hundred megawatts available during the fourth phase of the program to any such eligible applicant, including any recipient of power allocated during the first phase of the program. The board shall recommend allocations of the additional one hundred eighty-three megawatts available during the fifth phase of the program to any eligible applicant, including any recipient of power allocated during the second and third phases of the program; provided, however, that the term of contracts for allocations under the fifth phase of the program shall in no case extend beyond [May fifteenth] JUNE SECOND, two thousand ten. Notwithstanding any provision of law to the contrary, and, in particular, the provisions of this chap- ter concerning the terms of contracts for allocations under the power for jobs program, the terms of any contract with a recipient of power allocated under phase two of the power for jobs program that has expired or will expire on or before the thirty-first day of August, two thousand two, may be extended by the power authority of the state of New York for an additional period of three months effective on the date of such expi- ration, pending the filing and approval of an application by such recip- ient for an allocation under the fifth phase of the program. The term of any new contract with such recipient under the fifth phase of the program shall be deemed to include any three month contract extension made pursuant to this subdivision and the termination date of any such new contract under phase five shall be no later than if such new contract had commenced upon the expiration of the recipient's original phase two contract. The terms of any contract with a recipient of power allocated under phase four and/or phase five of the power for jobs program that has expired or will expire on or before the thirty-first day of December, two thousand five, may be extended by the power author- ity of the state of New York from a date beginning no earlier than the first day of December, two thousand four and extending through [May fifteenth] JUNE SECOND, two thousand ten. (l) The board shall solicit and review applications for the power for jobs electricity savings reimbursements and contract extensions from recipients of power for jobs allocations under phases four and five of the program for the award of such reimbursements and/or contract exten- sions. The board may prescribe a simplified form and content for an application for such reimbursements or extensions. An applicant shall be eligible for such reimbursements and/or extensions only if it is in compliance with and agrees to continue to meet the job retention and creation commitments set forth in its prior power for jobs contract, or such other commitments as the board deems reasonable; provided, however, that for the power for jobs electricity savings reimbursements and contract extensions granted on or after June thirtieth, two thousand nine through [May fifteenth] JUNE SECOND, two thousand ten, the board shall expedite the awarding of such reimbursements and/or extensions and shall defer the review of compliance with such commitments until after the applicant has been awarded a power for jobs electricity savings reimbursement and/or contract extension. The board shall review such applications and make recommendations for the award: 1. of such reimbursements through the power authority of the state of New York for a period of time up to November thirtieth, two thousand four, and 2. of
such contract extensions or reimbursements as applied for by the recipi- ent for a period of time beginning December first, two thousand four and ending [May fifteenth] JUNE SECOND, two thousand ten. At no time shall a recipient receive both a reimbursement and extension after December first, two thousand four. The power authority of the state of New York shall receive notification from the board regarding the award of power for jobs electricity savings reimbursements and/or contract extensions. S 4. Section 9 of chapter 316 of the laws of 1997 amending the public authorities law and other laws relating to the provision of low cost power to foster statewide economic development, as amended by chapter 217 of the laws of 2009, is amended to read as follows: S 9. This act shall take effect immediately and shall expire and be deemed repealed [May 15] JUNE 2, 2010. S 5. Section 11 of chapter 645 of the laws of 2006 amending the economic development law and other laws relating to reauthorizing the New York power authority to make contributions to the general fund, as amended by chapter 217 of the laws of 2009, is amended to read as follows: S 11. This act shall take effect immediately and shall be deemed to have been in full force and effect on and after April 1, 2006; provided, however, that the amendments to section 183 of the economic development law and subparagraph 2 of paragraph g of the ninth undesignated para- graph of section 1005 of the public authorities law made by sections two and six of this act shall not affect the expiration of such section and subparagraph, respectively, and shall be deemed to expire therewith; provided further, however, that the amendments to section 189 of the economic development law and subdivision 9 of section 186-a of the tax law made by sections three, four, five and ten of this act shall not affect the repeal of such section and subdivision, respectively, and shall be deemed to be repealed therewith; provided further, however, that section seven of this act shall expire and be deemed repealed [May 15] JUNE 2, 2010. S 6. This act shall take effect immediately and shall be deemed to have been in full force and effect on and after May 15, 2010; provided that the amendments to sections 183 and 189 of the economic development law made by sections one, two and three of this act shall not affect the expiration of such sections and shall be deemed repealed therewith.

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