What's happening
This bill creates the New York State Office of the Utility Consumer Advocate to represent and protect residential utility customers' interests.
Why it matters
Establishes an independent office with the authority to intervene in regulatory and legal proceedings. This gives New York’s residential utility customers an official, dedicated advocate in rate cases, regulatory rulemakings, and other crucial decisions at both the state and federal levels.
Mandates expertise and independence for the advocate role. The advocate must possess relevant experience, is appointed for a fixed six-year term, and is protected from arbitrary removal, ensuring that the office operates with professional knowledge and autonomy from political or industry influence.
Requires annual public reporting on activities, outcomes, and savings. By compelling the office to report on the cases it participates in, estimated consumer savings, and policy recommendations, the bill aims to keep the office transparent and accountable, while also informing policymakers and the public of ongoing issues and successes.
Empowers the office to request information and collaborate with other government entities. This facilitates comprehensive, well-informed advocacy by allowing access to necessary data and enabling partnerships that could increase the effectiveness of consumer representation.
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Who cares
Headline styles
Create Utility Consumer Advocate Office
Plain English, a few words. Used as the page title.
Sponsors
History
- Print number 3923a
- Amend and recommit to energy and telecommunications
- Referred to energy and telecommunications
- Referred to energy and telecommunications
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Create Utility Consumer Advocate Office
Assembly Floor Calendar · Sponsor Jeffrey Dinowitz
Full text
3 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3923--A
2017-2018 Regular Sessions
IN SENATE
January 30, 2017
Introduced by Sens. SAVINO, KLEIN, VALESKY, AVELLA, CARLUCCI -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommunications -- recommitted to the Committee on Energy 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 creating the state office of the utility consumer advocate
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The public service law is amended by adding a new article 1-A to read as follows:
ARTICLE 1-A
THE STATE OFFICE OF THE UTILITY CONSUMER ADVOCATE Section 28-a. Definitions.
28-b. Establishment of the state office of the utility consumer
advocate.
28-c. Powers of the state office of the utility consumer advo-
cate.
28-d. Reports.
§ 28-a. Definitions. When used in this article: (a) "Department" means the department of public service.
(b) "Commission" means the public service commission.
(c) "Residential utility customer" means any person who is sold or offered for sale residential utility service by a utility company.
(d) "Utility company" means any person or entity operating an agency for public service, including, but not limited to, those persons or entities subject to the jurisdiction, supervision and regulations prescribed by or pursuant to the provisions of this chapter.
§ 28-b. Establishment of the state office of the utility consumer advocate. There is established the state office of the utility consumer
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03223-03-8
S. 3923--A 2
advocate to represent the interests of residential utility customers. The utility consumer advocate shall be appointed by the governor to a term of six years, upon the advice and consent of the senate. The utility consumer advocate shall possess knowledge and experience in matters affecting residential utility customers and shall be responsible for the direction, control, and operation of the state office of the utility consumer advocate, including its hiring of staff and retention of experts for analysis and testimony in proceedings. The utility consumer advocate shall not be removed for cause, but may be removed only after notice and opportunity to be heard, and only for permanent disability, malfeasance, a felony, or conduct involving moral turpitude. Exercise of independent judgment in advocating positions on behalf of residential utility customers shall not constitute cause for removal of the utility consumer advocate.
§ 28-c. Powers of the state office of the utility consumer advocate. The state office of the utility consumer advocate shall have the power and duty to: (a) initiate, intervene in, or participate on behalf of residential utility customers in any proceedings before the commission, the federal energy regulatory commission, the federal communications commission, federal, state and local administrative and regulatory agencies, and state and federal courts in any matter or proceeding that may substantially affect the interests of residential utility customers, including, but not limited to, a proposed change of rates, charges, terms and conditions of service, the adoption of rules, regulations, guidelines, orders, standards or final policy decisions where the utility consumer advocate deems such initiation, intervention or participation to be necessary or appropriate;
(b) represent the interests of residential utility customers of the state before federal, state and local administrative and regulatory agencies engaged in the regulation of energy, telecommunications, water, and other utility services, and before state and federal courts in actions and proceedings to review the actions of utilities or orders of utility regulatory agencies. Any action or proceeding brought by the utility consumer advocate before a court or an agency shall be brought in the name of the state office of the utility consumer advocate. The utility consumer advocate may join with a residential utility customer or group of residential utility customers in bringing an action;
(c) (i) in addition to any other authority conferred upon the utility consumer advocate, he or she is authorized, and it shall be his or her duty to represent the interests of residential utility customers as a party, or otherwise participate for the purpose of representing the interests of such customers before any agencies or courts. He or she may initiate proceedings if in his or her judgment doing so may be necessary in connection with any matter involving the actions or regulation of public utility companies whether on appeal or otherwise initiated. The utility consumer advocate may monitor all cases before regulatory agencies in the United States, including the federal communications commission and the federal energy regulatory commission that affect the interests of residential utility customers of the state and may formally participate in those proceedings which in his or her judgment warrants such participation.
(ii) the utility consumer advocate shall exercise his or her independent discretion in determining the interests of residential utility customers that will be advocated in any proceeding, and determining whether to participate in or initiate any proceeding and, in so determining, shall consider the public interest, the resources available, and
S. 3923--A 3
the substantiality of the effect of the proceeding on the interest of residential utility customers;
(d) request and receive from any state or local authority, agency, department or division of the state or political subdivision such assistance, personnel, information, books, records, other documentation and cooperation necessary to perform its duties; and
(e) enter into cooperative agreements with other government offices to efficiently carry out its work.
§ 28-d. Reports. On July first, two thousand nineteen and annually thereafter, the state office of the utility consumer advocate shall issue a report to the governor and the legislature, and make such report available to the public free of charge on a publicly available website, containing, but not limited to, the following information:
(a) all proceedings that the state office of the utility consumer advocate participated in and the outcome of such proceedings, to the extent of such outcome and if not confidential;
(b) estimated savings to residential utility consumers that resulted from intervention by the state office of the utility consumer advocate; and
(c) policy recommendations and suggested statutory amendments that the state office of the utility consumer advocate deems necessary.
§ 2. This act shall take effect on the first of April next succeeding the date on which it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the public service law, in relation to creating the state office of the utility consumer advocate
Purpose or general idea of bill
This bill would create the State Office of the Utility Consumer Advocate (UCA).
Summary of provisions
Section 1 amends the public service law by adding a new article 1-A that would establish the state Office of the Utility Consumer Advocate. The UCA will be appointed by the governor to a six year term. The section also outlines the qualifications required for such an appointee and his or her responsibilities as the UCA, including the operation of the office.
Read the full memo (808 words)
The powers of the office of the office, include initiating, intervening, and participating on behalf of residential utility consumers in any proceedings before the Public Service Commission, the Federal Regulatory Energy Commission, the Federal Communications Commission, state and local administrative and regulatory agencies, and state and federal courts in any matter or proceeding that may substantially affect the interests of residential utility customers. The section also allows for the UCA to exercise and have independence in any and all actions of the office.
The new article 1-A also requires an annual report from the office to the governor and legislature as, which would be made available to the public, and would that will include information on all proceedings that the office of the UCA participated. in and the outcome of such proceedings. Additionally, the report shall include estimated savings to residential utility customers that resulted from intervention by the UCA, and lastly any policy recommendations and suggested statutory amendments that the UCA deems necessary.
Section 2 sets the effective date of the first of April next succeeding the date on which it shall have become law.
Justification
Currently more than 40 states and the District of Columbia have an inde- pendent state agency that represents the interests of residential utili- ty customers. New York is one of few states, and by far the largest, without such an independent office. In the wake of Superstorm Sandy, Hurricane Irene, and Tropical Storm. Lee, consumers in New York have been left without a voice and real representation when it comes to util- ity services.
This bill would create the State Office of the Utility Consumer Advocate to serve as an independent advocate and appear on behalf of New York consumers in state and federal regulatory proceedings, as well as judi- cial review proceedings concerning rates and conditions of public service utilities. Currently consumers in New York are represented by the Public Service Commission as well as the Utility Intervention Unit, a division of the Department of State. Neither of them is able to act solely on behalf of the interest of consumers.
The Public Service Commission mediates the competing interests of utili- ties and others in their proceedings to develop facts upon. which their decisions are ultimately based. The utility providers as well as large commercial and industrial customers have an active and able presence in such proceedings; however there is a glaring lack of input from any parties representing consumers. The Utility Intervention Unit operates under the direction of the Secretary of the State, who has created a non-statutory subordinate at-will position for the Director of the Util- ity Intervention Unit. The Utility Consumer Advocate would be appointed by the Governor, subject to Senate confirmation, and would serve a term of six years similar to the Chairman of the Public Service Commission. Therefore the Utility Consumer Advocate would not be an at-will employee subject to removal without cause by the Secretary of State or Governor. This would allow for actual independent action on behalf of residential consumers without the concern of removal for such action.
In other states where such an office exists residential consumers have seen drastic savings in comparison to the actual amount of funding that goes to these offices. California's Division of Ratepayer Advocates lobbied over 200 times on behalf of California consumers and saved them over $4 billion in rates saved and increases avoided; in fact, they estimate that for every $1 spent representing and advocating on behalf of California's public utility customers, the average customer saved $153 per year The creation of an appointed advocate with the powers allotted in this bill would give New York utility customers a voice at the table, save them a considerable amount of money when it comes to the utilities they use every day.
Prior legislative history
S.4550-13 of 2013-14 Session - referred to Finance, Assembly companion bill has passed that house both Sessions. S.3356 - 2015/2016 Session - referred to Energy and Telecommunications - no significant action taken
Fiscal implications
To be determined
Effective date
This act shall take effect of the first of April next succeeding the date on which it shall have become law
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