BILL NUMBER:S6963

TITLE OF BILL:  An act to amend the public authorities law, in
relation to the use of monies from certain funds or accounts

Purpose:

To ensure that the any monies in the possession of the New York Power
Authority or any such funds that may be transferred from the Authority
are used only for energy related purposes and further that any
ratepayer funds collected for programs administered by NYSERDA are
used only for their intended purpose.

Summary of Provisions:

Section 1. Requires that any and all funds of the Authority may only
be used for purposes expressly related in section one thousand one of
this title and that such funds may not be swept for any other use,
unless the use is for an "energy project" as defined in this section.

Section 2. Requires that any ratepayer's funds collected by order of
the Public Service Commission to support programs at NYSERDA, must be
used only for the intended purposes of that program. Further this
section requires that any money that is not spent on its intended
purpose by the end of the calendar year, will be refunded to
ratepayers
              

Section 3: Sets forth the effective date

Justification:

The New York Power Authority (NYPA) and The New York Energy Research
and Development Authority (NYSERDA) provide valuable resources and
programs that benefit all fo the citizens of the State of New York.
In the case of NYPA any additional money that may be produced is
gained through the sale of excess power into the market, and also
other financial investments of the Authority. This revenue is produced
by and for the energy sector and the purposes outlined in section 1001
of the Public Authorities law are directly tied to energy related
purposes. Therefore it is important to ensure that Authority resources
are only used for these purposes and that transfer of this revenue are
prohibited unless the transfer is to support a qualified energy
project. NYSERDA collects around $1 billion a year from ratepayers to
support various energy related programs. These include the Renewable
Portfolio Standard (RPS) the Energy Efficiency Portfolio Standard
(EEPS) and the Systems Benefit Charge (SBC). These programs provide
significant investments in renewable energy projects, energy
efficiency and other important infrastructure. It is vitally important
that this money only be used for the direct purpose associated with
the surcharge itself which h as been imposed by the Public Service
Commission. Similarly, if money is left at the close of a calendar
year and is not spent on that intended purpose, it should be refunded
to ratepayers. This will provide pressure to ensure that projects are
funded and contracted in a timely way, and that the Commission
exercises robust oversight to protect ratepayers.

Fiscal Implications:


None

History:

This is a new bill

Effective Date:

This bill shall take effect immediately