NY State Senate Bill 2013-S1622A

Senate Bill S1622A

2013-2014 Legislative Session

Provides for expiration of temporary state energy and utility service conservation assessment at end of state fiscal year unless governor asks for a continuance

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Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Feb 10, 2014	print number 1622a
Feb 10, 2014	amend and recommit to energy and telecommunications
Jan 08, 2014	referred to energy and telecommunications
Jan 09, 2013	referred to energy and telecommunications

Bill Amendments

Original

A (Active)

2013-S1622 - Details

Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Amd §18-a, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2009-2010: S6850
2011-2012: S1065

2013-S1622 - Summary

Provides for the expiration of the temporary state energy and utility service conservation assessment at end of each state fiscal year unless the governor requests a continuance of such assessment from the legislature.

2013-S1622 - Sponsor Memo

                                BILL NUMBER:S1622

TITLE OF BILL:
An act
to amend the public service law, in relation to the imposition of the
temporary state energy and utility service conservation assessment

PURPOSE OR GENERAL IDEA OF BILL:
To require the temporary state energy and utility service conservation
assessment imposed by the 2009-2010 Executive Budget to sunset on an
annual basis.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 provides the "temporary state energy and utility service
conservation assessment" imposed by the 2009-2010 Executive Budget
will sunset annually beginning on or after March 31, 2010, unless, on
or before submission of the executive budget, the Governor requests
the authority in such budget to continue to impose such assessment
for an additional fiscal year.

JUSTIFICATION:
In the 2009-2010 Executive Budget, the utility regulation assessment
imposed by section 18-a of the Public Service Law was increased 500%..

Historically, the 18-a assessment was a de minimis fee that funded the

PSC, which is an independent regulatory body that regulates the
behavior of electric, gas, telecommunications and water utilities on
behalf of the public interest. The 18-a surcharge was established by
statute in an amount that was not to exceed one-third of one percent
of the utilities' intrastate revenues.

The Governor's 2009-2010 Executive Budget increased that fee to one
percent of intrastate revenues, and added an additional 1 percent fee
that was labeled a "conservation assessment." The rationale for the
increased "conservation assessment" was the increased utility prices
would induce consumers to lessen their use of energy, while
simultaneously raising hundreds of millions of dollars of new revenue
for the State's general fund.

The 18-a fee is passed on by utilities to their customers via their
energy bills. The practical effect on consumers is their utility
bills have increased by at least 2%, and in some cases by more. The
practical effect on the general fund is the expanded 18-a fee raised
more than 5400 million in revenues in 2009, which were placed in the
general fund to balance the budget.

The 2009-2010 Executive Budget requested the increased 18-a fee from
2009 to 2014. This legislation would require the increased fee to
expire ("sunset") at the end of each fiscal year, unless the Governor
expressly requests legislative authority to renew the fee..

Creating legislative oversight over this fee will ensure the Governor
will not continue to impose this new burden upon New York's energy
consumers once the current budget crises are over. Moreover,
requiring this increase to sunset will make certain the Governor's


fee increase does not permanently increase consumer energy and,
potentially, telecommunications prices.

PRIOR LEGISLATIVE HISTORY:
2011-12: S.1065 - Referred to Energy & Telecommunications
2009-10: S.6850 - Referred to Energy & Telecommunications

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE:
Immediately, provided however the amendments to subdivision 6 of
section 18-a of the public service law, made by section one of this
act, shall not affect the expiration and repeal of such subdivision
and shall expire and be deemed repealed therewith.

2013-S1622 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1622

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
  printed to be committed to the Committee on  Energy  and  Telecommuni-
  cations

AN ACT to amend the public service law, in relation to the imposition of
  the temporary state energy and utility service conservation assessment

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph (a) of subdivision  6  of  section  18-a  of  the
public  service  law,  as added by section 4 of part NN of chapter 59 of
the laws of 2009, is amended to read as follows:
  (a) Notwithstanding any provision of law to the contrary, and  subject
to the exceptions provided for in paragraph (b) of this subdivision, for
the state fiscal year beginning on April first, two thousand nine and UP
TO  four  state  fiscal  years thereafter, a temporary annual assessment
(hereinafter "temporary state energy and  utility  service  conservation
assessment")  is  hereby  imposed on public utility companies (including
for the purposes of this subdivision municipalities other  than  munici-
palities  as  defined  in section eighty-nine-l of this chapter), corpo-
rations (including for purposes of  this  subdivision  the  Long  Island
power  authority),  and  persons  subject to the commission's regulation
(hereinafter such public utility companies,  corporations,  and  persons
are referred to collectively as the "utility entities") to encourage the
conservation  of  energy  and  other  resources provided through utility
entities, to be assessed in the manner  provided  in  this  subdivision;
provided,  however, that such assessment shall not be imposed upon tele-
phone corporations as defined in subdivision seventeen of section two of
this article; AND PROVIDED, FURTHER, THAT THE AUTHORITY TO  IMPOSE  SUCH
ASSESSMENT SHALL EXPIRE AT THE END OF EACH STATE FISCAL YEAR ON OR AFTER
MARCH  THIRTY-FIRST, TWO THOUSAND THIRTEEN, UNLESS THE GOVERNOR REQUESTS
THE AUTHORITY  FROM THE LEGISLATURE TO CONTINUE TO IMPOSE THE  TEMPORARY

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD02399-01-3

S. 1622                             2

STATE  ENERGY  AND  UTILITY SERVICE CONSERVATION ASSESSMENT FOR AN ADDI-
TIONAL FISCAL YEAR, AFTER CERTIFYING THE NECESSITY  FOR  SUCH  CONTINUED
ASSESSMENT TO THE LEGISLATURE.
  S  2. This act shall take effect immediately; provided that the amend-
ments to subdivision 6 of section 18-a of the public service  law,  made
by  section  one of this act, shall not affect the expiration and repeal
of such subdivision and shall expire and be deemed repealed therewith.

2013-S1622A (ACTIVE) - Details

Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Amd §18-a, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2009-2010: S6850
2011-2012: S1065

2013-S1622A (ACTIVE) - Summary

2013-S1622A (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S1622A

TITLE OF BILL:  An act to amend the public service law, in relation to
the imposition of the temporary state energy and utility service
conservation assessment

PURPOSE OR GENERAL IDEA OF BILL:

To require the temporary state energy and utility service conservation
assessment imposed by the 2009-2010 Executive Budget to sunset on an
annual basis.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 provides the "temporary state energy and utility service
conservation assessment" imposed by the 2009-2010 Executive Budget
will sunset annually beginning on or after March 31, 2010, unless, on
or before submission of the executive budget, the Governor requests
the authority in such budget to continue to impose such assessment for
an additional fiscal year.

JUSTIFICATION:

In the 2009-2010 Executive Budget, the utility regulation assessment
imposed by section 18-a of the Public Service Law was increased 500%.

Historically, the 18-a assessment was a de minimis fee that funded the
PSC, which is an independent regulatory body that regulates the
behavior of electric, gas, telecommunications and water utilities on
behalf of the public interest. The 18-a surcharge was established by
statute in an amount that was not to exceed one-third of one percent
of the utilities' intrastate revenues.

The Governor's 2009-2010 Executive Budget increased that fee to one
percent of intrastate revenues, and added an additional 1 percent fee
that was labeled a "conservation assessment." The rationale for the
increased "conservation assessment" was the increased utility prices
would induce consumers to lessen their use of energy, while
simultaneously raising hundreds of millions of dollars of new revenue
for the State's general fund.

The 18-a fee is passed on by utilities to their customers via their
energy bills. The practical effect on consumers is their utility bills
have increased by at least 2%, and in some cases by more. The
practical effect on the general fund is the expanded 18-a fee raised
more than 5400 million in revenues in 2009, which were placed in the
general fund to balance the budget.

The 2009-2010 Executive Budget requested the increased 18-a fee from
2009 to 2014. This legislation would require the increased fee to
expire ("sunset") at the end of each fiscal year, unless the Governor
expressly requests legislative authority to renew the fee.

Creating legislative oversight over this fee will ensure the Governor
will not continue to impose this new burden upon New York's energy
consumers once the current budget crises are over. Moreover, requiring
this increase to sunset will make certain the Governor's fee increase


does not permanently increase consumer energy and, potentially,
telecommunications prices.

PRIOR LEGISLATIVE HISTORY:

2011-12: S.1065 - Referred to Energy & Telecommunications
2009-10: S.6850 - Referred to Energy & Telecommunications

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately, provided however the amendments to subdivision 6 of
section 18-a of the public service law, made by section one of this
act, shall not affect the expiration and repeal of such subdivision
and shall expire and be deemed repealed therewith.

2013-S1622A (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1622--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
  printed to be committed to the Committee on  Energy  and  Telecommuni-
  cations  --  recommitted  to  the Committee on Energy and Telecommuni-
  cations in  accordance  with  Senate  Rule  6,  sec.  8  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN ACT to amend the public service law, in relation to the imposition of
  the temporary state energy and utility service conservation assessment

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph (a) of subdivision  6  of  section  18-a  of  the
public  service  law,  as added by section 4 of part NN of chapter 59 of
the laws of 2009, is amended to read as follows:
  (a) Notwithstanding any provision of law to the contrary, and  subject
to the exceptions provided for in paragraph (b) of this subdivision, for
the state fiscal year beginning on April first, two thousand nine and UP
TO  four  state  fiscal  years thereafter, a temporary annual assessment
(hereinafter "temporary state energy and  utility  service  conservation
assessment")  is  hereby  imposed on public utility companies (including
for the purposes of this subdivision municipalities other  than  munici-
palities  as  defined  in section eighty-nine-l of this chapter), corpo-
rations (including for purposes of  this  subdivision  the  Long  Island
power  authority),  and  persons  subject to the commission's regulation
(hereinafter such public utility companies,  corporations,  and  persons
are referred to collectively as the "utility entities") to encourage the
conservation  of  energy  and  other  resources provided through utility
entities, to be assessed in the manner  provided  in  this  subdivision;
provided,  however, that such assessment shall not be imposed upon tele-
phone corporations as defined in subdivision seventeen of section two of
this article; AND PROVIDED, FURTHER, THAT THE AUTHORITY TO  IMPOSE  SUCH

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD02399-02-4

S. 1622--A                          2

ASSESSMENT SHALL EXPIRE AT THE END OF EACH STATE FISCAL YEAR ON OR AFTER
MARCH  THIRTY-FIRST, TWO THOUSAND FOURTEEN, UNLESS THE GOVERNOR REQUESTS
THE AUTHORITY  FROM THE LEGISLATURE TO CONTINUE TO IMPOSE THE  TEMPORARY
STATE  ENERGY  AND  UTILITY SERVICE CONSERVATION ASSESSMENT FOR AN ADDI-
TIONAL FISCAL YEAR, AFTER CERTIFYING THE NECESSITY  FOR  SUCH  CONTINUED
ASSESSMENT TO THE LEGISLATURE.
  S  2. This act shall take effect immediately; provided that the amend-
ments to subdivision 6 of section 18-a of the public service  law,  made
by  section  one of this act, shall not affect the expiration and repeal
of such subdivision and shall expire and be deemed repealed therewith.

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