S1687-2013 - NY Senate Open Legislation - Prohibits authorities from imposing additional charges for delivering payment through non-electronic means

Prohibits authorities from imposing additional charges for delivering payment through non-electronic means.

Sponsor: ZELDIN / Co-sponsor(s): LARKIN, MAZIARZ, RANZENHOFER / Committee: CORPORATIONS, AUTHORITIES AND COMMISSIONS
Law Section: Public Authorities Law / Law: Amd SS2855 & 2, add Art 5 Title 1 S999, Pub Auth L; add S6, Pub Serv L

S1687-2013 Actions

Mar 5, 2013: referred to corporations, authorities and commissions
Mar 5, 2013: DELIVERED TO ASSEMBLY
Mar 5, 2013: PASSED SENATE
Feb 11, 2013: ADVANCED TO THIRD READING
Feb 5, 2013: 2ND REPORT CAL.
Feb 4, 2013: 1ST REPORT CAL.28
Jan 9, 2013: REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS

S1687-2013 Meetings

Corporations, Authorities and Commissions: Feb 4, 2013

S1687-2013 Calendars

Active List: Mar 5, 2013 , Floor Calendar: Feb 5, 2013 , Floor Calendar: Feb 11, 2013 , Floor Calendar: Feb 12, 2013 , Floor Calendar: Feb 27, 2013 , Floor Calendar: Feb 28, 2013 , Floor Calendar: Mar 4, 2013 , Floor Calendar: Mar 5, 2013

S1687-2013 Votes

VOTE: COMMITTEE VOTE: - Corporations, Authorities and Commissions - Feb 4, 2013

Ayes (6): Ranzenhofer, Flanagan, Larkin, Martins, Perkins, Squadron

VOTE: FLOOR VOTE: - Mar 5, 2013

Ayes (61): Adams, Addabbo, Avella, Ball, Bonacic, Boyle, Breslin, Carlucci, DeFrancisco, Dilan, Espaillat, Farley, Felder, Flanagan, Fuschillo, Gallivan, Gianaris, Gipson, Golden, Griffo, Grisanti, Hannon, Hassell-Thomps, Hoylman, Kennedy, Klein, Krueger, Lanza, Larkin, Latimer, Libous, Little, Marcellino, Marchione, Martins, Maziarz, Montgomery, Nozzolio, O'Brien, O'Mara, Parker, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Sampson, Sanders, Savino, Serrano, Seward, Skelos, Smith, Squadron, Stavisky, Stewart-Cousin, Tkaczyk, Valesky, Young, Zeldin
Excused (2): Diaz, LaValle

S1687-2013 Memo

BILL NUMBER:S1687

TITLE  OF  BILL:    An act to amend the public authorities law and the
public service law, in relation  to  methods  of  payments  to  public
utilities

PURPOSE  OR  GENERAL  IDEA  OF BILL: This legislation would prohibit a
public authority, public utility authority, or an entity  governed  by
the public service commission from imposing a fee on any customer, for
failure  to  use  an  electronic  method of payment. It also prohibits
public authorities from imposing a periodic  administrative  or  other
charge on customers.

SUMMARY  OF  PROVISIONS: Section One amends section 2855 of the public
authorities law, as added by section 1 of part KK of chapter 59 of the
laws of 2006 by adding a  subsection  two  which  prohibits  a  public
authority  who  offers  electronic  means of payment from imposing any
charge for failure to use an  electronic  method  of  payment  or  for
delivering  payment  through  non-electronic  means. It also prohibits
authorities from imposing any periodic administrative or other  charge
with  the exception of amounts due on interest. This prohibition shall
not apply to any services requested by an account holder, any  charges
for  lost or damaged equipment, for defaults on payment or charges fox
dishonored checks.

Section Two defines Public Utility Authorities.

Section  Three  prohibits  a  public  utility  authority  who   offers
electronic  means  of  payment from imposing any charge for failure to
use an electronic method of payment or for delivering payment  through
non-electronic means.

Section  Four  prohibits  an  entity  governed  by  the public service
commission who offers electronic means of payment  from  imposing  any
charge  for  failure  to  use  an  electronic method of payment or for
delivering payment through non-electronic means.

Section Five is the effective date.

JUSTIFICATION: It is common practice for customers of  certain  public
authorities,  public utility authorities, and entities governed by the
public service commission to see a charge fox making a payment through
non-electronic  means.  This   legislation   would   prohibit   public
authorities,  public utility authorities, and entities governed by the
public  service  commission  from   charging   customers   for   using
non-electronic   means   of   payment.   With  utility  costs  already
financially crippling for many residents in our state, an added fee of
this nature is an additional  charge  that  customers  should  not  be
forced to incur.

It is also common practice for customers of certain public authorities
to  see  a  "billing  charge"  on  their  utility bill. This charge is
generally under one dollar and is passed on to  the  customer  by  the
utility   for  calculating  the  bill  and  processing  payment.  This
legislation would prohibit public authorities from charging  customers
to be billed.


LEGISLATIVE HISTORY: 2012 - Passed Senate

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect immediately.

S1687-2013 Text

 S T A T E   O F   N E W   Y O R K
 
                                          1687
 2013-2014 Regular Sessions
 I N  SENATE
 (PREFILED)
 January 9, 2013
 
 Introduced  by  Sens. ZELDIN, MAZIARZ -- read twice and ordered printed,
 and when printed to be committed to  the  Committee  on  Corporations,
 Authorities and Commissions
 AN  ACT  to amend the public authorities law and the public service law,
 in relation to methods of payments to public utilities
 THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section  1. 

Section  2855  of the public authorities law, as added by
 section 1 of part KK of chapter 59 of the laws of 2006,  is  amended  to
 read as follows:

 

S  2855.  Electronic method of payment; periodic charges.  1. Notwith
 standing the provisions of any law to the  contrary,  if  any  authority
 shall  offer  any  electronic  method of payment for tolls, fares, fees,
 rentals, or other charges, including but not limited to a system  called
 E-ZPass,  such authority shall not impose any periodic administrative or
 other charge for the  privilege  of  using  such  electronic  method  of
 payment  for such charges. Nothing in this section shall be construed to
 prohibit any  authority  from  making  any  charge  for  extra  services
 requested  by  a holder of such electronic method of payment, any charge
 for lost or damaged equipment, or for  defaults,  such  as  charges  for
 dishonored  checks.  The  authority  shall  not enter any agreement with
 bondholders that would require the imposition of administrative or other
 periodic charges relating to electronic methods of payment prohibited by
 this section.
 2. NO AUTHORITY OFFERING ANY ELECTRONIC METHOD OF PAYMENT SHALL IMPOSE
 ANY PERIODIC ADMINISTRATIVE OR OTHER CHARGE  FOR  FAILURE  TO  USE  SUCH
 METHOD OF PAYMENT OR OTHERWISE IMPOSE ADDITIONAL ADMINISTRATIVE OR OTHER
 CHARGES  FOR  DELIVERING PAYMENT THROUGH NON-ELECTRONIC MEANS.  NOTWITH
 STANDING ANY PROVISIONS OF LAW TO THE  CONTRARY,  AUTHORITIES  SHALL  BE
 PROHIBITED  FROM  IMPOSING  ANY PERIODIC ADMINISTRATIVE OR OTHER CHARGE,
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD01052-01-3
        S. 1687                             2
 EXCEPTING AMOUNTS DUE AND INTEREST ON  ACCOUNTS  OUTSTANDING  WHEN  SUCH
 INTEREST  IS  COMPUTED  AND  APPLIED IN ACCORDANCE WITH THE LAWS OF THIS
 STATE, FOR METHOD OF PAYMENT ON ANY ACCOUNT. NOTHING IN THIS SUBDIVISION
 SHALL  BE CONSTRUED TO PROHIBIT ANY AUTHORITY FROM MAKING ANY CHARGE FOR
 EXTRA SERVICES REQUESTED BY AN ACCOUNT HOLDER, ANY CHARGE  FOR  LOST  OR
 DAMAGED  EQUIPMENT,  OR  FOR  DEFAULTS,  SUCH  AS CHARGES FOR DISHONORED
 CHECKS. THE AUTHORITIES SHALL NOT ENTER ANY AGREEMENT  WITH  BONDHOLDERS
 THAT  WOULD  REQUIRE  THE IMPOSITION OF ADMINISTRATIVE OR OTHER PERIODIC
 CHARGES RELATING TO METHODS OF PAYMENT.
 

S 2.

Section 2 of the public authorities law is amended  by  adding  a
 new subdivision 7 to read as follows:

 7.  "PUBLIC  UTILITY  AUTHORITIES"  SHALL  MEAN ANY ENTITY ESTABLISHED
 PURSUANT TO ARTICLE FIVE OF THIS CHAPTER.
 

S 3. Title 1 of article 5 of the public authorities law is amended  by
 adding a new section 999 to read as follows:

 

S  999.  GENERAL PROVISIONS.  NO PUBLIC UTILITY AUTHORITY OFFERING ANY
 ELECTRONIC METHOD OF PAYMENT SHALL IMPOSE ANY PERIODIC ADMINISTRATIVE OR
 OTHER CHARGE FOR FAILURE TO USE SUCH  METHOD  OF  PAYMENT  OR  OTHERWISE
 IMPOSE ADDITIONAL ADMINISTRATIVE OR OTHER CHARGES FOR DELIVERING PAYMENT
 THROUGH  NON-ELECTRONIC  MEANS.    NOTHING  IN  THIS  SECTION  SHALL  BE
 CONSTRUED TO PROHIBIT ANY  PUBLIC  UTILITY  AUTHORITY  FROM  MAKING  ANY
 CHARGE FOR EXTRA SERVICES REQUESTED BY AN ACCOUNT HOLDER, ANY CHARGE FOR
 LOST  OR DAMAGED EQUIPMENT, OR FOR DEFAULTS, SUCH AS CHARGES FOR DISHON
 ORED CHECKS. THE PUBLIC UTILITY AUTHORITIES SHALL NOT ENTER  ANY  AGREE
 MENT  WITH  BONDHOLDERS THAT WOULD REQUIRE THE IMPOSITION OF ADMINISTRA
 TIVE OR OTHER PERIODIC CHARGES RELATING TO METHODS OF PAYMENT.
 

S 4. The public service law is amended by adding a new  section  6  to
 read as follows:

 

S  6.  BILLING  BY ENTITIES GOVERNED BY THE PUBLIC SERVICE COMMISSION.
 NO ENTITY GOVERNED BY THE PUBLIC SERVICE COMMISSION OFFERING  ANY  ELEC
 TRONIC  METHOD  OF  PAYMENT  SHALL IMPOSE ANY PERIODIC ADMINISTRATIVE OR
 OTHER CHARGE FOR FAILURE TO USE SUCH  METHOD  OF  PAYMENT  OR  OTHERWISE
 IMPOSE ADDITIONAL ADMINISTRATIVE OR OTHER CHARGES FOR DELIVERING PAYMENT
 THROUGH  NON-ELECTRONIC  MEANS.    NOTHING  IN  THIS  SECTION  SHALL  BE
 CONSTRUED TO PROHIBIT ANY ENTITY GOVERNED BY THE PUBLIC SERVICE  COMMIS
 SION  FROM  MAKING ANY CHARGE FOR EXTRA SERVICES REQUESTED BY AN ACCOUNT
 HOLDER, ANY CHARGE FOR LOST OR DAMAGED EQUIPMENT, OR FOR DEFAULTS,  SUCH
 AS  CHARGES  FOR  DISHONORED  CHECKS.  ENTITIES  GOVERNED  BY THE PUBLIC
 SERVICE COMMISSION SHALL NOT ENTER ANY AGREEMENT WITH  BONDHOLDERS  THAT
 WOULD REQUIRE THE IMPOSITION OF ADMINISTRATIVE OR OTHER PERIODIC CHARGES
 RELATING TO METHODS OF PAYMENT.
 

S 5. This act shall take effect immediately.

S1687-2013: Prohibits authorities from imposing additional charges for delivering payment through non-electronic means