S T A T E O F N E W Y O R K
________________________________________________________________________
2281
2017-2018 Regular Sessions
I N A S S E M B L Y
January 17, 2017
___________
Introduced by M. of A. MAYER, BRAUNSTEIN, BUCHWALD, GALEF, ORTIZ, RAIA,
ROZIC, TITONE, OTIS, ABINANTI -- Multi-Sponsored by -- M. of A. COOK,
GUNTHER, PERRY, RIVERA, SALADINO, THIELE -- read once and referred to
the Committee on Corporations, Authorities and Commissions
AN ACT to amend the public service law, in relation to utility prepared-
ness for outages and disruptions of service
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. This act shall be known and may be cited as the "utility
preparedness act of 2017".
§ 2. The public service law is amended by adding a new section 66-o to
read as follows:
§ 66-O. UTILITY PREPAREDNESS FOR OUTAGES AND DISRUPTIONS OF SERVICE.
1. DEFINITIONS. AS USED IN THIS SECTION:
(A) "ELECTRIC TRANSMISSION AND DISTRIBUTION COMPANY" OR "TRANSMISSION
AND DISTRIBUTION COMPANY" OR "COMPANY" SHALL MEAN: AN INVESTOR-OWNED
UTILITY HAVING ANNUAL REVENUES IN EXCESS OF TWO HUNDRED MILLION DOLLARS
THAT TRANSMITS AND DISTRIBUTES ELECTRICITY WITHIN THIS STATE.
(B) "VEGETATION MANAGEMENT" SHALL MEAN: PROGRAMS AND PRACTICES
DESIGNED TO PREVENT ELECTRIC SYSTEM DISRUPTIONS OR POWER OUTAGES CAUSED
BY THE PHYSICAL INTERFERENCE OR COLLAPSE OF TREES, TREE BRANCHES AND
OTHER VEGETATION ON ELECTRIC TRANSMISSION AND DISTRIBUTION LINES.
2. TRANSMISSION AND DISTRIBUTION COMPANY PERFORMANCE BENCHMARKS AND
STANDARDS. (A) NO LATER THAN ONE YEAR FOLLOWING THE EFFECTIVE DATE OF
THIS SECTION, THE COMMISSION SHALL ESTABLISH, AND EACH TRANSMISSION AND
DISTRIBUTION COMPANY IS REQUIRED TO COMPLY WITH, POWER RESTORATION
PERFORMANCE BENCHMARKS AND STANDARDS TO REDUCE THE DURATION OF OUTAGES
AND DISRUPTIONS AND TO FACILITATE RESTORATION OF POWER AFTER OUTAGES OR
DISRUPTIONS. PRIOR TO ESTABLISHING SUCH BENCHMARKS AND STANDARDS, THE
COMMISSION MAY REQUIRE COMPANIES TO SUBMIT DOCUMENTS AND ANY OTHER
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02685-01-7
A. 2281 2
INFORMATION IN THEIR POSSESSION IN ORDER TO ASSIST THE COMMISSION IN
ESTABLISHING SUCH BENCHMARKS AND STANDARDS.
(B) THE BENCHMARKS AND STANDARDS ESTABLISHED BY THE COMMISSION SHALL
BE DESIGNED FOR POWER OUTAGES IN WHICH MORE THAN TEN PERCENT OF A TRANS-
MISSION AND DISTRIBUTION COMPANY'S CUSTOMERS ARE WITHOUT POWER FOR MORE
THAN FORTY-EIGHT CONSECUTIVE HOURS AND SHALL INCLUDE BUT NOT BE LIMITED
TO, STANDARDS FOR:
(I) MINIMUM STAFFING AND EQUIPMENT LEVELS FOR EACH COMPANY, BASED ON
THE NUMBER OF CUSTOMERS SERVED BY SUCH COMPANY AND THE NATURE OF THE
INFRASTRUCTURE DEPLOYED TO SERVE SUCH COMPANY'S CUSTOMERS IN THE EVENT
OF AN EMERGING OR WIDE-SPREAD OUTAGE OR DISRUPTION;
(II) A TIMETABLE FOR RESTORATION OF POWER IN OUTAGES AFFECTING MORE
THAN TEN PERCENT, THIRTY PERCENT, FIFTY PERCENT AND SEVENTY PERCENT OF
SUCH COMPANY'S CUSTOMERS;
(III) A TIMETABLE FOR RESTORATION OF POWER WHEN OUTAGES ARE DUE TO
BLACKOUTS OF THE ENTIRE GRID;
(IV) CREATION OF A COMMUNICATION PLAN BETWEEN EACH COMPANY AND ITS
CUSTOMERS, INCLUDING, BUT NOT LIMITED TO, COMMUNICATION DURING TIME
PERIODS THAT ARE NOT CONSIDERED NORMAL BUSINESS HOURS;
(V) SAFETY OF COMPANIES' EMPLOYEES, WORK CREWS AND PRIVATE CONTRAC-
TORS;
(VI) CREATION OF MUTUAL AID AGREEMENTS WITH OTHER UTILITIES IN THE
REGION AND, AS NEEDED, IN THE UNITED STATES AND CANADA, FOR MUTUAL STORM
RESTORATION ASSISTANCE, WHICH SUCH AGREEMENTS SHALL BE FILED WITH THE
COMMISSION;
(VII) NOTIFICATION OF THE COMMISSION AND THE PUBLIC WHEN A COMPANY HAS
REQUESTED AID FOR STORM RESTORATION ASSISTANCE FROM OTHER UTILITIES
INCLUDING THE NUMBER OF WORKERS AND/OR ADDITIONAL EQUIPMENT THE COMPANY
HAS REQUESTED;
(VIII) COMMUNICATION AND COORDINATION BETWEEN EACH COMPANY AND THE
RELEVANT STATE, MUNICIPAL AND/OR EMERGENCY OPERATIONS CENTER OFFICIALS
CONCERNING EMERGENCY PREPARATION, ROAD CLEARING AND THE ESTABLISHMENT OF
RESTORATION PRIORITIES;
(IX) TREE TRIMMING, CUTTING AND REMOVAL BY EACH TRANSMISSION AND
DISTRIBUTION COMPANY TO REDUCE POWER OUTAGES CAUSED BY TREES AND LIMBS;
(X) COMMUNICATION AND COORDINATION, AFTER CONSULTATION WITH THE NEW
YORK STATE DIVISION OF HOMELAND SECURITY AND EMERGENCY SERVICES, BETWEEN
EACH TRANSMISSION AND DISTRIBUTION COMPANY AND THE PUBLIC INCLUDING, BUT
NOT LIMITED TO, STANDARDS CONCERNING THE USE OF ANY EMERGENCY NOTIFICA-
TION SYSTEM TO NOTIFY THE PUBLIC OF POWER RESTORATION STATUS AND ANY
DANGEROUS CONDITIONS, INCLUDING NOTIFICATION METHODS SUCH AS MOBILE
TELEPHONE TEXT MESSAGES, ELECTRONIC MAIL AND ANY OTHER ELECTRONIC OR
NON-ELECTRONIC MEANS THAT THE COMMISSION MAY REQUIRE;
(XI) REIMBURSEMENT TO RESIDENTIAL CUSTOMERS FOR:
(A) ACTUAL LOSSES OF FOOD SPOILED DUE TO LACK OF REFRIGERATION CAUSED
DURING A POWER OUTAGE LASTING FORTY-EIGHT OR MORE CONSECUTIVE HOURS WHEN
GREATER THAN TEN PERCENT OF A COMPANY'S RESIDENTIAL CUSTOMERS HAVE LOST
POWER, IN AN AMOUNT UP TO TWO HUNDRED DOLLARS UPON SUBMISSION OF AN
ITEMIZED LIST AND IN AN AMOUNT OVER TWO HUNDRED DOLLARS UPON SUBMISSION
OF AN ITEMIZED LIST AND PROOF OF LOSS, UP TO A MAXIMUM OF FOUR HUNDRED
FIFTY DOLLARS FOR ANY ONE CUSTOMER FOR ANY ONE INCIDENT, WHICH SUCH
AMOUNTS MAY BE PERIODICALLY REVIEWED AND CHANGED BY THE COMMISSION;
(B) ACTUAL LOSSES OF PERISHABLE PRESCRIPTION MEDICINE, SPOILED DUE TO
LACK OF REFRIGERATION, UPON SUBMISSION OF AN ITEMIZED LIST AND PROOF OF
LOSS AND, IF REQUESTED BY THE COMPANY, SUBMISSION OF AUTHORIZATION TO
ENABLE THE COMPANY TO VERIFY THE CLAIMED LOSS;
A. 2281 3
(XII) TIMELY NOTIFICATION OF POWER OUTAGES AND RESTORATION EFFORTS BY
EACH COMPANY TO ANY RELEVANT STATE OR MUNICIPAL AGENCY OR OFFICIALS
INCLUDING, BUT NOT LIMITED TO, ANY PUBLIC SAFETY AGENCY OR OFFICIALS;
(XIII) THE OPERATION OF AN EMERGENCY CALL CENTER BY EACH COMPANY; AND
(XIV) ANY OTHER STANDARDS THE COMMISSION DEEMS NECESSARY.
(C) THE COMMISSION, IN DEVELOPING ITS POWER RESTORATION PERFORMANCE
BENCHMARKS AND STANDARDS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION,
SHALL REVIEW:
(I) EACH TRANSMISSION AND DISTRIBUTION COMPANY'S CURRENT PRACTICES
CONCERNING POWER RESTORATION AFTER AN EMERGENCY. SUCH REVIEW SHALL
INCLUDE, BUT NOT BE LIMITED TO, AN ANALYSIS OF EACH SUCH COMPANY'S: (A)
ESTIMATES CONCERNING POTENTIAL DAMAGE AND POWER DISRUPTIONS MADE PRIOR
TO A POTENTIAL OUTAGE AFFECTING MORE THAN TEN PERCENT OF A COMPANY'S
CUSTOMERS FOR A PERIOD OF MORE THAN FORTY-EIGHT CONSECUTIVE HOURS; (B)
DAMAGE AND POWER OUTAGE ASSESSMENTS AFTER ANY EMERGENCY; (C) RESTORATION
MANAGEMENT AFTER ANY EMERGENCY, INCLUDING ACCESS TO ALTERNATE RESTORA-
TION RESOURCES VIA MUTUAL AID AGREEMENTS WITH OTHER UTILITIES FOR MUTUAL
STORM RESTORATION ASSISTANCE, INCLUDING THOSE ENTERED INTO WITH OTHER
TRANSMISSION AND DISTRIBUTION COMPANIES; (D) EACH COMPANY'S PLAN FOR
AT-RISK AND VULNERABLE CUSTOMERS INCLUDING, BUT NOT LIMITED TO, CUSTOM-
ERS IDENTIFIED IN PARAGRAPHS (A) AND (B) OF SUBDIVISION THREE OF SECTION
THIRTY-TWO OF THIS CHAPTER; (E) POLICIES CONCERNING COMMUNICATION WITH
STATE AND LOCAL OFFICIALS AND CUSTOMERS, INCLUDING NOTIFICATION OF
CUSTOMER RESTORATION ESTIMATES AND THE TIMELINESS, ACCURACY AND USEFUL-
NESS OF SUCH ESTIMATES; AND (F) NEED FOR MUTUAL AID AGREEMENTS WITH
OTHER UTILITIES FOR MUTUAL STORM RESTORATION INCLUDING ASSISTANCE FROM
CREWS SERVING OTHER UTILITIES OR COMPANIES;
(II) THE ADEQUACY OF EACH TRANSMISSION AND DISTRIBUTION COMPANY'S
INFRASTRUCTURE, FACILITIES AND EQUIPMENT, INCLUDING, BUT NOT LIMITED TO,
ELECTRIC DISTRIBUTION LINES, ELECTRIC TRANSFORMERS AND CIRCUITS, WHICH
SHALL INCLUDE AN ANALYSIS OF: (A) WHETHER SUCH COMPANY IS FOLLOWING
STANDARD INDUSTRY PRACTICES FOR OPERATION AND MAINTENANCE OF SUCH
INFRASTRUCTURE, FACILITIES AND EQUIPMENT; AND (B) WHETHER SUCH COMPANY
HAS ACCESS TO ADEQUATE REPLACEMENT EQUIPMENT FOR SUCH INFRASTRUCTURE,
FACILITIES AND EQUIPMENT DURING THE COURSE OF A POWER OUTAGE AFFECTING
MORE THAN TEN PERCENT OF A COMPANY'S CUSTOMERS FOR MORE THAN FORTY-EIGHT
CONSECUTIVE HOURS;
(III) VEGETATION MANAGEMENT POLICIES OF EACH TRANSMISSION AND DISTRIB-
UTION COMPANY INCLUDING: (A) EXPENDITURES FOR TREE TRIMMING AND OTHER
PRACTICES TO PREVENT INTERFERENCE OF TRANSMISSION AND DISTRIBUTION LINES
BY VEGETATION; (B) INCIDENCE OF POWER OUTAGES CAUSED BY VEGETATION
INCLUDING FALLING TREES AND TREE BRANCHES CAUSED BY WEATHER OR OTHER
EVENTS; AND (C) THE AMOUNT AND DURATION OF POWER OUTAGES DURING PREVIOUS
MAJOR STORMS CAUSED BY TREES AND LIMBS OUTSIDE THE CURRENT RIGHT OF WAY
MANAGEMENT WITH CONSIDERATION GIVEN TO THE QUANTITY AND EFFECTIVENESS OF
PRIOR TREE TRIMMING;
(IV) THE IMPACT, INCLUDING, BUT NOT LIMITED TO, POTENTIAL REDUCTION OF
POWER OUTAGES AND POTENTIAL COST OF BURYING POWER LINES UNDERGROUND WERE
SUCH EFFORT TO BE UNDERTAKEN;
(V) THE IMPACT OF EXPANDING THE AREA ADJACENT TO DISTRIBUTION LINES
FOR TREE TRIMMING, INCLUDING AN ANALYSIS OF THE BENEFITS AND THE COSTS
OF SUCH EXPANSION TO RATEPAYERS AND THE LIKELIHOOD THAT SUCH EXPANSION
WOULD DECREASE DAMAGE TO INFRASTRUCTURE, FACILITIES AND EQUIPMENT USED
TO DISTRIBUTE ELECTRICITY AND DECREASE POWER OUTAGE FREQUENCY OR DURA-
TION; AND
A. 2281 4
(VI) ANY OTHER POLICY OR PRACTICE THE COMMISSION DEEMS NECESSARY TO
ANALYZE IN ORDER TO CONDUCT THE REVIEW REQUIRED PURSUANT TO THIS PARA-
GRAPH.
(D) THE COMMISSION SHALL PERMIT EACH COMPANY TO RECOVER THE REASONABLE
COSTS INCURRED BY SUCH COMPANY TO MAINTAIN OR IMPROVE THE RELIABILITY OF
SUCH COMPANY'S INFRASTRUCTURE NECESSARY TO MEET THE STANDARDS ESTAB-
LISHED PURSUANT TO THIS SECTION.
(E) THE COMMISSION MAY ALSO ESTABLISH STANDARDS FOR ACCEPTABLE
PERFORMANCE BY EACH TRANSMISSION AND DISTRIBUTION COMPANY IN AN EMERGEN-
CY, IN ACCORDANCE WITH THIS SECTION, UPON A DETERMINATION BY THE COMMIS-
SION THAT THE CHANGED CIRCUMSTANCES OF ANY UTILITY NECESSITATES SUCH
ADDITIONAL STANDARDS.
(F) NO LATER THAN ONE YEAR FOLLOWING THE ESTABLISHMENT OF THE BENCH-
MARKS AND STANDARDS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION AND
EACH YEAR THEREAFTER, EACH TRANSMISSION AND DISTRIBUTION COMPANY SHALL
PROVIDE AN EMERGENCY RESPONSE REPORT TO THE COMMISSION. SUCH REPORT
SHALL INCLUDE INFORMATION AND AN ANALYSIS CONCERNING SUCH COMPANY'S
ABILITY AND PERFORMANCE DURING THE PRECEDING YEAR TO MEET THE EMERGENCY
PREPAREDNESS AND RESPONSE STANDARDS ESTABLISHED BY THE COMMISSION PURSU-
ANT TO THIS SECTION. IN ADDITION TO THE ANNUAL RESPONSE REPORT REQUIRED
IN THIS PARAGRAPH, THE COMMISSION MAY REQUIRE ANY UTILITY TO SUBMIT A
SUPPLEMENTAL EMERGENCY RESPONSE REPORT AFTER ANY STORM, EMERGENCY OR
EVENT CAUSING SIGNIFICANT POWER DISRUPTIONS.
3. THE COMMISSION SHALL REVIEW THE PERFORMANCE OF EACH TRANSMISSION
AND DISTRIBUTION COMPANY AFTER ANY EMERGENCY: (A) IN WHICH MORE THAN TEN
PERCENT OF ANY SUCH COMPANY'S CUSTOMERS WERE WITHOUT POWER FOR MORE THAN
FORTY-EIGHT CONSECUTIVE HOURS; OR (B) AT THE COMMISSION'S DISCRETION.
THE COMMISSION, UPON A FINDING, AFTER A HEARING OR OPPORTUNITY TO BE
HEARD, THAT ANY SUCH COMPANY FAILED TO COMPLY WITH ANY RESTORATION STAN-
DARD REQUIRED BY THIS SECTION OR ANY ORDER OF THE COMMISSION IN PREPARA-
TION FOR A POWER OUTAGE, OR IN RESTORATION OF A POWER OUTAGE, SHALL
IMPOSE CIVIL PENALTIES AGAINST SUCH COMPANY, NOT TO EXCEED A TOTAL OF
TWO AND ONE-HALF PERCENT OF SUCH COMPANY'S GROSS ANNUAL REVENUES FROM
ELECTRIC DISTRIBUTION. IN DETERMINING THE AMOUNT OF ANY PENALTY, THE
COMMISSION MAY CONSIDER WHETHER SUCH COMPANY RECOVERED COSTS INCURRED
PURSUANT TO PARAGRAPH (D) OF SUBDIVISION TWO OF THIS SECTION TO MEET
INFRASTRUCTURE RELIABILITY EFFORTS TO IMPROVE SUCH COMPANY'S PERFORM-
ANCE. ANY SUCH PENALTY IMPOSED SHALL BE PAID TO THE CUSTOMERS OR RATE-
PAYERS OF SUCH COMPANY IN THE FORM OF A CREDIT, WHICH SHALL BE CREDITED
WITHIN ONE HUNDRED TWENTY DAYS OF SUCH ORDER. ANY SUCH PENALTY SHALL NOT
BE INCLUDED AS AN OPERATING EXPENSE OF SUCH COMPANY FOR THE PURPOSES OF
RATEMAKING.
§ 3. This act shall take effect immediately.