S652A-2011 Actions

• Jan 25, 2012: PRINT NUMBER 652A
• Jan 25, 2012: AMEND AND RECOMMIT TO ENERGY AND TELECOMMUNICATIONS
• Jan 4, 2012: REFERRED TO ENERGY AND TELECOMMUNICATIONS
• Jan 5, 2011: REFERRED TO ENERGY AND TELECOMMUNICATIONS

S652A-2011 Memo

BILL NUMBER:S652

TITLE OF BILL:
An act
to amend the public service law, in relation to electric service for
farmers; and providing for the repeal of such provisions upon expiration
thereof

PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to allow farmers to provide for on-site
electric generation without being forced to pay
prohibitive fees to electric providers.

SUMMARY OF SPECIFIC PROVISIONS:
This bill would prohibit electric utilities from imposing any fee,
penalty or charge or any restriction on a customer that is a farmer
when the farmer installs on-site electric generating capability to
serve domestic and farm needs for electricity. This prohibition would
apply whether or not the consumer continues to be connected to the
electric distribution system. This bill also would ensure that costs
for other customers are not increased as a result of this fee
prohibition.
The benefits of the bill would be offered on a first-come-first-serve
basis until a sufficient number of farmers in each service territory
installs a total amount of on-site generating capacity equaling 0.1%
of the demand of the service utility for the year 1996 or until
September 1, 2016 whichever comes first.
This bill would add a new subdivision 6-a to Section 65 of the Public
Service Law.

JUSTIFICATION:
Electric energy costs are a significant component of farm economics.
On-site generation can be effective not only to reduce energy cost
but also to protect farmers from the devastating costs of natural
disasters. Fees, penalties, charges, and other restrictions imposed
by utilities for not buying their electricity adversely affect the
economies of on-site generation and discourage the use of this
technology. This legislation is needed to protect
and encourage cost-effective agriculture and to preserve farm jobs
in New York State.

PRIOR LEGISLATIVE HISTORY:
2009-2010:  S.1641
2007-2008:  S.2205
2005-2006:  A.2720 Passed Assembly and S.4824 Died in Energy Committee
2003-2004:  A.9830 Passed Assembly
2001:       A.7214 Passed Assembly
1999-2000:  S.5994

FISCAL IMPLICATIONS:
Minimal impact on Gross Receipts Tax collections.

EFFECTIVE DATE:
This act shall take effect immediately and shall be deemed to be
repealed September 1, 2014, except that the provisions of this act


shall continue to apply to a customer who is a qualifying farmer as
long as such on-site electric generation system remains in use.

S652A-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 652--A
 2011-2012 Regular Sessions
 I N  SENATE
 (PREFILED)
 January 5, 2011
 
 Introduced  by  Sens. VALESKY, CARLUCCI, KLEIN, SAVINO -- read twice and
 ordered printed, and when printed to be committed to the Committee  on
 Energy and Telecommunications -- recommitted to the Committee on Ener
 gy  and Telecommunications 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 electric service
 for farmers; and providing for the  repeal  of  such  provisions  upon
 expiration thereof
 

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

 

Section 1. Legislative intent. The legislature finds and declares that
 the installation of on-site electric generation  systems  would  address
 the  high  energy  costs of farmers and would result in the creation and
 retention of jobs in New  York  state.  Barriers  to  such  installation
 should  be removed to encourage private investment in these technologies
 and to stimulate economic growth.
 

S 2.

Section 65 of the public service law is amended by adding  a  new
 subdivision 6-a to read as follows:

 6-A.  CERTAIN CHARGES PROHIBITED. (A) NO ELECTRIC CORPORATION OR MUNI
 CIPALITY OWNING ELECTRIC PLANT USEFUL FOR THE DISTRIBUTION OF  ELECTRIC
 ITY  SHALL  IMPOSE  ON ANY CUSTOMER THAT IS A QUALIFYING FARMER ANY FEE,
 PENALTY OR CHARGE OF ANY KIND OTHER THAN ITS CHARGES BASED UPON THE COST
 OF SERVICES ACTUALLY PROVIDED TO SUCH CUSTOMER, FOR ELECTRICITY,  TRANS
 MISSION, DISTRIBUTION, METERING, BILLING AND CUSTOMER SERVICES. NO ELEC
 TRIC  CORPORATION OR MUNICIPALITY SHALL IMPLEMENT POLICIES OR PROCEDURES
 THAT WOULD PREVENT QUALIFYING  FARMERS  FROM  INSTALLING  AND  OPERATING
 ON-SITE GENERATION EQUIPMENT AND RELATED TECHNOLOGY.
 (B) FOR THE PURPOSE OF THIS SUBDIVISION:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD03506-02-1
 
       S. 652--A                           2
 (I)  "FARMER"  MEANS  A  PERSON  WHOSE  FEDERAL GROSS INCOME FROM FARM
 PRODUCTION FOR THE PREVIOUS TAXABLE  YEAR  WAS  AT  LEAST  TEN  THOUSAND
 DOLLARS.
 (II) "QUALIFYING FARMER" MEANS A FARMER THAT INSTALLS AN ON-SITE ELEC
 TRIC  GENERATION  SYSTEM  TO PROVIDE ELECTRIC SERVICE TO A FARM (WHETHER
 THE FARMER CONTINUES TO MAINTAIN ACCESS TO TRANSMISSION AND DISTRIBUTION
 SERVICES OR VOLUNTARILY DISCONNECTS ACCESS TO TRANSMISSION AND  DISTRIB
 UTION  SERVICES)  AND  FILES  A  NOTIFICATION  THEREOF WITH THE ELECTRIC
 CORPORATION OR MUNICIPALITY, WITH A COPY TO THE DEPARTMENT, PRIOR TO THE
 CUT-OFF DATE.
 (III) "CUT-OFF DATE" FOR EACH SERVICE TERRITORY MEANS  THE  DATE  WHEN
 THE  ELECTRIC CORPORATION OR MUNICIPALITY SERVING SUCH SERVICE TERRITORY
 SHALL HAVE RECEIVED NOTIFICATIONS FROM QUALIFYING FARMERS SUCH THAT  THE
 SUM  OF  THE RATED GENERATING CAPACITY SHOWN ON SUCH NOTIFICATIONS SHALL
 EQUAL OR EXCEED ONE-TENTH OF ONE PERCENT OF ITS  TOTAL  ELECTRIC  DEMAND
 FOR THE YEAR NINETEEN HUNDRED NINETY-SEVEN, AS DETERMINED BY THE DEPART
 MENT,  OR  SEPTEMBER  FIRST,  TWO  THOUSAND  SEVENTEEN, WHICHEVER OCCURS
 FIRST.
 

S 3. Subdivision 28 of section 66 of the public service law, as  added
 by chapter 82 of the laws of 1998, is amended to read as follows:

 28.  No  revenues  foregone by an electric corporation, as a result of
 subjecting certain veterans' organizations [with] TO  rates  or  charges
 applicable to domestic consumers pursuant to section seventy-six of this
 article  OR  AS A RESULT OF PROHIBITING CERTAIN CHARGES RELATED TO ELEC
 TRIC SERVICE PROVIDED  TO  FARMERS  PURSUANT  TO  SUBDIVISION  SIX-A  OF
 SECTION  SIXTY-FIVE OF THIS ARTICLE, shall be recovered from the custom
 ers of such corporation.
 

S 4. This act shall take effect immediately and shall be deemed to  be
 repealed September 1, 2017, except that the provisions of this act shall
 continue  to  apply  to a customer who is a qualifying farmer as long as
 such on-site electric generation system remains in use.

*By contributing or voting you agree to the Terms of Participation and Privacy Policy and verify you are over 13.

Discuss!