Establishes a public service commission nominating board to make recommendations of persons qualified for appointment as commissioners of the public service commission

Summary of provisions

Section 1 amends § 4 of the Public Service Law by adding a new subdivision 4, providing that, to ensure the highest standard of public utility regulation, any person appointed as a member of the Public Service Commission (PSC) shall be qualified for such appointment as provided in § 4-a of such law.

Section 2 adds a new section 4-a to the Public Service Law, which in summary provides:

* any person appointed as a PSC commissioner shall (a) have education and training and 3 or more years of experience in one or more of the following fields: economics, engineering, law, accounting business management, utility regulation, public policy, consumer advocacy or environmental management; and (b) shall be selected from a list of individuals chosen by the Public Service Commission Nominating Board (PSCNB);

* the PSCNB consists of the following individuals: (1) the Executive Director of the Consumer Protection Board (or designee);

(2) the President of NYSERDA (or designee);

(3) the Commissioner of Economic Development (or designee);

(4) the Commissioner of Environmental Conservation (or designee)

(5) the Attorney General (or designee);

(6) a professional engineer appointed by the Commissioner of Education;

(7) a certified public accountant appointed by the Commissioner of Education;

(8) a person 65 years of age of older appointed by the Director of the state Office for the Aging;

(9) a representative of business entities regulated by the PSC, appointed by the Governor;

(10) a representative of business entities that are not regulated by the PSC, appointed by the governor;

(11) a representative of labor appointed by the governor;

(12) two members of the public appointed by the Speaker of the Assembly;

(13) two members of the public appointed by the Temporary President of the Senate;

(14) a member of the public appointed by the Assembly Minority; and

(15) a member of the public appointed by the Senate Minority Leader.

* The PSCNB shall select a chairperson, adopt bylaws, and keep a record of its proceedings. Special meetings may be called by the chairperson, and shall be called by the chairperson upon receipt of a written request for a meeting signed by two or more members of the board.

* The PSCNB shall review and evaluate possible appointees for the office of commissioner of the PSC, and, within 2-3 months prior to the expiration of a PSC commissioner's term or within one month after the death, resignation or termination of service of such a member, shall provide the Governor with a list of 4 individuals who the PSCNB adjudges to be the most fully qualified to serve on the commission. The board shall not include the name of an individual upon the list if his or her appointment would result in a greater number of members of the PSC belonging to the same political party than is permitted pursuant to section four of this chapter.

* Within 30 days of receipt of the PSCNB's recommendations, the Governor shall fill the vacancy by appointment of one of the persons recommended by the board, or may reject all nominees of the-board and reconvene the PSCNB in order to select 4 additional nominees. However, once the Governor has done so and the PSCNB has provided a second list of 4 names, the Governor shall make the appointment from one of the names on the first list or the second list.

Effects of present law which this bill would alter

There are currently no statutory standards for appointment to the PSC, other than provisions for political party balance, and no process for selection of the most qualified individuals.

Justification

In the Summer of 2006, the western part of Queens suffered a massive power outage that lasted 9 days. The Assembly Queens Power Outage Task Force studied the outage's causes and the inadequate responses by the company responsible for the transmission and distribution system, Consolidated Edison, and by the Public Service Commission. One underlying cause of this debacle was found to be the reliance by New

York's utility regulators on antiquated laws, regulations and policies that let companies engaged in energy transmission and distribution operate without effective oversight. The Task Force found that, unlike many other states, New York does not have any substantive statutory standards for who may serve on the PSC. This bill sets forth such standards, as well as a process similar to those utilized in Ohio and Florida to seek out the most qualified individuals to assist the state in this vital area of regulation.

Prior legislative history

2014: Senate Bill #576 (Gianaris) - Died in Senate Energy & Telecommunications Committee 2012: Senate Bill #1964 (Gianaris) - Died in Senate Energy & Telecommunications Committee 2012: Assembly Bill #1643 (Kavanagh) - Died in Assembly Corporations Authorities and Commissions Committee 2010: Assembly Bill #1671 (Gianaris) - Died in Assembly Corporations Authorities and Commissions Committee 2008: Assembly Bill #8619 (Gianaris) - Died in Assembly Corporations Authorities and Commissions Committee

Fiscal implications for state and local governments

None.

Effective date

The 120th day after enactment.