This bill has been amended

Bill S2057-2013

Establishes a small business energy assistance and advocacy services program

Establishes a small business energy assistance and advocacy services program as part of the division of small business to assist small businesses in accessing energy conservation, energy efficiency and renewable energy programs available through public and private sources; requires notice to be given to the division of small business prior to any rate increase; makes related provisions.

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  • Jan 10, 2013: REFERRED TO COMMERCE, ECONOMIC DEVELOPMENT AND SMALL BUSINESS

Memo

BILL NUMBER:S2057

TITLE OF BILL: An act to amend the economic development law and the public service law, in relation to small business energy assistance and advocacy services

PURPOSE OR GENERAL IDEA OF BILL: This bill would improve New York's business climate by providing for a program of small business energy assistance and advocacy.

SUMMARY OF SPECIFIC PROVISIONS: Bill § 1 sets forth legislative findings concealing the impact of rising costs on the States small businesses and the need for a program of assistance and advocacy to ensure the continued vitality of this crucial sector.

Bill § 2 adds a new § 138-a to the Economic Development Law to establish a small business energy assistance and advocacy services program within the Division for Small Business. The program shall:

* solicit input from small businesses and organizations representing them on energy assistance needs; identify issues relating to energy availability, affordability and sustainability affecting small businesses; and develop recommendations for legislative, regulatory and programmatic actions to address such issues;

* coordinate with entities including NYSERDA, the Power Authority and other public utility authorities, the Public Service Commission (PSC) and utilities to promote small business participation in developing and implementing energy assistance programs and state energy policy;

*provide small businesses with information and materials on energy assistance programs, cooperative fuel purchasing efforts and other programs to maintain the affordability of energy, and provide access to such information and materials on the Department of Economic Development's website; and

* refer small businesses to specialists for information and assistance on affordable alternative technologies, process changes, products and operational methods to achieve energy savings.

The program, through the Division, shall represent the interests of small businesses before the PSC pursuant to a new § 24-c of the Public Service Law, and is authorized to initiate, intervene in or Participate in any proceedings before the PSC and in any other such energy-related proceedings as deemed necessary or appropriate. The program shall also advocate before the PSC and other state and Federal regulatory agencies for the adoption of appropriate regulations providing for quit able treatment of small businesses in energy-related policies, including but not limited to extending reasonable consumer protections to small businesses in energy-related matters.

Bill § 3 adds a new § 24-c to the Public Service Law to require that the Division be given notice prior to any filing for a rate increase or other change in utility regulation. Should the division file a

statement of intent to be a party in a PSC proceeding, it shall have and may exercise all the rights and privileges of a party.

EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER: This bill would establish a program of energy assistance and advocacy for small businesses, and would authorize the Division for Small Business to represent the interests of small businesses before the PSC and in other energy-related proceedings, much in the way that the Consumer Protection Board does for the State's consumers.

JUSTIFICATION: Changes in the energy market are having a major impact on small businesses. Skyrocketing energy costs threaten the viability of many small businesses, while the opportunities created by conservation measures, alternative energy sources, co-generation and net metering, and financing help often require substantial investments of time and effort. Unlike larger businesses, swan businesses often lack the resources to take full advantage of available programs to assist them in lowering their energy bills and "going green."

This information gap undercuts the effectiveness of our strategies to reduce fossil fuel use and preserve the environment. This bill would create a "one stop" energy assistance program at the Division for Small Business to make it easier for our entrepreneurs to learn about, compare and select energy alternatives that will best fit their operations and enable continued growth. The program would enhance the ability of New York's small businesses to take advantage of programs offered by NYSERDA, public utility authorities and investor-owned utilities, as well as the new small business energy efficiency programs included in the Federal "Energy Independence and Security Act of 2007" (P.L. 110-140).

The Division would also be empowered to represent the interests of small businesses in PSC rote cases and other proceedings relating to energy prices and policies. While the Consumer Protection Board has for many years been involved in advocating for residential energy customers, no organization has been similarly vested with responsibility for ensuring that small businesses are represented in rate deliberations or in the development of state programs and policies on energy. Other states(including our neighbor, Pennsylvania) have recognized the value of a dedicated small business advocate in energy proceedings.

Taken together, the provisions of this bill will help to ensure that small businesses can take full advantage of conservation, efficiency and renewable energy programs and can obtain affordable energy to enable them - and our economy - to grow.

PRIOR LEGISLATIVE HISTORY: 2009-10 - A.6766 (Latimer) passed Assembly, tabled 2009-10 - S.5942 (Stewart-Cousins) passed Senate, tabled 2011-12 - A.235 (Latimer) passed assembly 2011-12 - S.2822 Stewart Cousins) REFERRED TO COMMERCE, ECONOMIC DEVELOPMENT AND SMALL BUSINESS

FISCAL IMPLICATIONS: The Department of Economic Development already receives a percentage of the annual assessment on public utilities and corporations authorized by Public Service Law § 18-a. The percentages of assessments allocated to specific agencies are changed each year in

the budget process. Any additional funding required to implement the Division's responsibilities under Economic Development Law § 138-a and Public Service Law § 24-c can be achieved through such a reallocation.

LOCAL FISCAL IMPLICATIONS: None

EFFECTIVE DATE: First day of April after having become a law.


Text

STATE OF NEW YORK ________________________________________________________________________ 2057 2013-2014 Regular Sessions IN SENATE January 10, 2013 ___________
Introduced by Sen. LATIMER -- read twice and ordered printed, and when printed to be committed to the Committee on Commerce, Economic Devel- opment and Small Business AN ACT to amend the economic development law and the public service law, in relation to small business energy assistance and advocacy services THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The legislature hereby finds and declares that rising ener- gy costs present a significant barrier to the economic viability of New York's small businesses, a crucial sector of the state's economy. Small businesses can least afford the time and cost associated with seeking opportunities to conserve energy, utilize energy efficient products and processes and gain access to renewable sources of energy. The viability of small businesses and the overall economic and environmental status of New York state will be enhanced by the development, expansion and promotion of accessible and affordable programs to assist small busi- nesses in energy conservation, energy efficiency, and increased use of renewable resources, and by ensuring equitable treatment of small busi- nesses in the proceedings of energy-related regulatory agencies. The legislature hereby establishes a small business energy assistance and advocacy services program as part of the division for small business within the New York state department of economic development to assist small businesses in accessing energy conservation, energy efficiency and renewable energy programs available through public and private sources, and to advocate for the initiation and expansion of such programs and for equitable treatment of small businesses in regulatory proceedings related to energy. S 2. The economic development law is amended by adding a new section 138-a to read as follows:
S 138-A. SMALL BUSINESS ENERGY ASSISTANCE AND ADVOCACY SERVICES PROGRAM. 1. THERE IS HEREBY ESTABLISHED WITHIN THE DIVISION A SMALL BUSINESS ENERGY ASSISTANCE AND ADVOCACY SERVICES PROGRAM. 2. THE SMALL BUSINESS ENERGY ASSISTANCE AND ADVOCACY SERVICES PROGRAM, DIRECTLY AND IN CONJUNCTION WITH OTHER DIVISIONS OF THE DEPARTMENT AND WITH OTHER AGENCIES OF THE STATE, FEDERAL AGENCIES OR LOCAL GOVERNMENTS, SHALL: A. SOLICIT INPUT FROM SMALL BUSINESSES AND FROM ORGANIZATIONS REPRES- ENTING SMALL BUSINESSES, SUCH AS TRADE ASSOCIATIONS OR OTHER ENTITIES, REGARDING THE ENERGY ASSISTANCE NEEDS OF SMALL BUSINESSES; B. WITH SUCH INPUT AND THE ASSISTANCE OF THE SMALL BUSINESS ADVISORY BOARD AND OTHER APPROPRIATE STATE AGENCIES, IDENTIFY ISSUES RELATING TO ENERGY AVAILABILITY, AFFORDABILITY AND SUSTAINABILITY AFFECTING SMALL BUSINESSES AND ASSIST THE ADVISORY BOARD AND THE DIVISION IN MAKING RECOMMENDATIONS FOR LEGISLATIVE, REGULATORY AND PROGRAMMATIC ACTIONS TO ADDRESS SUCH ISSUES; C. COORDINATE WITH ENTITIES INCLUDING THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, THE POWER AUTHORITY OF THE STATE OF NEW YORK AND OTHER APPROPRIATE PUBLIC UTILITY AUTHORITIES ESTABLISHED PURSUANT TO ARTICLE FIVE OF THE PUBLIC AUTHORITIES LAW, THE PUBLIC SERVICE COMMISSION, INVESTOR-OWNED UTILITIES AND OTHER APPROPRIATE ENTI- TIES TO FACILITATE AND PROMOTE THE PARTICIPATION OF SMALL BUSINESSES AND ASSOCIATIONS REPRESENTING SMALL BUSINESSES IN THE DEVELOPMENT AND IMPLE- MENTATION OF ENERGY ASSISTANCE PROGRAMS; D. PROVIDE GUIDANCE AND RECOMMENDATIONS TO THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, THE POWER AUTHORITY OF THE STATE OF NEW YORK AND OTHER PUBLIC UTILITY AUTHORITIES ESTABLISHED PURSUANT TO ARTICLE FIVE OF THE PUBLIC AUTHORITIES LAW, THE PUBLIC SERVICE COMMIS- SION, INVESTOR-OWNED UTILITIES AND OTHER ENTITIES REGARDING THE DEVELOP- MENT AND IMPLEMENTATION OF ENERGY ASSISTANCE PROGRAMS AND ON THE IMPACT OF STATE ENERGY POLICY ON SMALL BUSINESSES; E. PROVIDE TO SMALL BUSINESSES INFORMATION AND MATERIALS ON ENERGY ASSISTANCE PROGRAMS, COOPERATIVE FUEL PURCHASING EFFORTS AND OTHER PROGRAMS TO MAINTAIN THE AFFORDABILITY OF ENERGY, AND PROVIDE ACCESS TO SUCH INFORMATION AND MATERIALS ON THE DEPARTMENT'S WEBSITE; AND F. REFER SMALL BUSINESSES TO SPECIALISTS FOR INFORMATION AND ASSIST- ANCE ON AFFORDABLE ALTERNATIVE TECHNOLOGIES, PROCESS CHANGES, PRODUCTS AND OPERATIONAL METHODS TO ACHIEVE ENERGY SAVINGS. 3. A. THE SMALL BUSINESS ENERGY ASSISTANCE AND ADVOCACY SERVICES PROGRAM SHALL REPRESENT THE INTERESTS OF SMALL BUSINESSES BEFORE THE PUBLIC SERVICE COMMISSION PURSUANT TO SECTION TWENTY-FOUR-C OF THE PUBLIC SERVICE LAW, AND SHALL BE AUTHORIZED TO INITIATE, INTERVENE IN OR PARTICIPATE IN ANY PROCEEDINGS BEFORE THE PUBLIC SERVICE COMMISSION AND IN ANY OTHER SUCH ENERGY-RELATED PROCEEDINGS AS THE DIVISION DEEMS TO BE NECESSARY OR APPROPRIATE. B. THE SMALL BUSINESS ENERGY ASSISTANCE AND ADVOCACY SERVICES PROGRAM SHALL ADVOCATE BEFORE THE PUBLIC SERVICE COMMISSION AND OTHER STATE AND FEDERAL REGULATORY AGENCIES FOR THE ADOPTION OF APPROPRIATE REGULATIONS PROVIDING FOR EQUITABLE TREATMENT OF SMALL BUSINESSES IN ENERGY-RELATED POLICIES, INCLUDING BUT NOT LIMITED TO EXTENDING REASONABLE CONSUMER PROTECTIONS TO SMALL BUSINESSES IN ENERGY-RELATED MATTERS. S 3. The public service law is amended by adding a new section 24-c to read as follows: S 24-C. NOTICE TO BE GIVEN TO DIVISION PRIOR TO RATE INCREASE. 1. NOTWITHSTANDING ANY INCONSISTENT GENERAL, SPECIAL OR LOCAL LAW OR RULE OR REGULATION TO THE CONTRARY, THE COMMISSION SHALL TO THE EXTENT THE
DIVISION SHALL SO REQUEST IN ANY CASES OR CLASS OF CASES, GIVE NOTICE TO THE DIVISION OF ANY FILED STATEMENT PROPOSING TO MODIFY OR INCREASE RATES, SERVICES, SCHEDULE OF RATES OR ANY OTHER RATING RULE OR TO ADOPT OR AMEND ANY RATE OR SERVICE RULES OR REGULATIONS WITHIN FIVE DAYS AFTER THE COMMISSION SHALL HAVE RECEIVED SUCH STATEMENT FROM ANY UTILITY SUBJECT TO ITS JURISDICTION; PROVIDED, HOWEVER, THAT IN LIEU OF GIVING SUCH NOTICE, THE COMMISSION MAY DIRECT THAT THE UTILITY GIVE SUCH NOTICE TO THE DIVISION. THE COMMISSION SHALL DIRECTLY NOTIFY THE DIVISION OF ANY SUCH CASE THAT IS NOT INITIATED BY A UTILITY. 2. IN ANY SUCH CASE IN WHICH THE DIVISION SHALL FILE WITH THE COMMIS- SION A STATEMENT OF INTENT TO BE A PARTY, THE DIVISION SHALL HAVE AND IN ITS DISCRETION MAY EXERCISE ALL THE RIGHTS AND PRIVILEGES OF A PARTY. 3. FOR THE PURPOSES OF THIS SECTION, THE TERM "DIVISION" SHALL MEAN THE DIVISION FOR SMALL BUSINESS ESTABLISHED BY ARTICLE FOUR-B OF THE ECONOMIC DEVELOPMENT LAW, AND THE TERM "COMMISSION" SHALL MEAN THE PUBLIC SERVICE COMMISSION. S 4. This act shall take effect on the first of April next succeeding the date on which it shall have become a law. Effective immediately the department of economic development and the public service commission shall be authorized to take any and all actions necessary to fully implement the provisions of this act on such effective date.

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