What's happening
This bill increases penalties for gas and electric corporations that fail to file or correct annual reports with the Public Service Commission.
Why it matters
Significantly increases possible financial penalties. for gas and electric companies that fail to file or correct required annual reports, tying the penalty to a percentage of annual net revenues (up to 0.1%) and capping it at $25,000, compared to the previous flat $100 per violation.
Introduces much higher daily fines for ongoing non-compliance. , allowing additional penalties of up to the same maximum amount for each day a report remains unfiled or incorrect—potentially resulting in substantial cumulative costs for continued violations.
Strengthens enforcement power of the Public Service Commission (PSC). by giving it a more robust tool to compel utility companies to provide timely and accurate information, which is essential for oversight, transparency, and consumer protection.
May incentivize better compliance and corporate responsibility. among utility providers, as the increased penalties create a stronger financial deterrent against delays or inaccuracies in reporting, potentially leading to more reliable oversight of critical public services.
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Who cares
Headline styles
Increase Utility Penalties
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Referred to energy and telecommunications
- Referred to energy and telecommunications
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2154
2019-2020 Regular Sessions
IN SENATE
January 22, 2019
Introduced by Sens. GIANARIS, KRUEGER -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommunications
AN ACT to amend the public service law, in relation to penalties for the failure of gas and electric corporations to file or correct an annual report
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 6 of section 66 of the public service law, as amended by chapter 784 of the laws of 1923, is amended to read as follows:
6. Require every person and corporation under its supervision and it shall be the duty of every such person and corporation to file with the commission an annual report, verified by the oath of the president, vice-president, treasurer, secretary, general manager, or receiver, if any, thereof, or by the person required to file the same. The verification shall be made by said official holding office at the time of the filing of said report, and if not made upon the knowledge of the person verifying the same shall set forth the sources of his information and the grounds of his belief as to any matters not stated to be verified upon his knowledge. The report shall show in detail (a) the amount of its authorized capital stock and the amount thereof issued and outstanding; (b) the amount of its authorized bonded indebtedness and the amount of its bonds and other forms of evidence of indebtedness issued and outstanding; (c) its receipts and expenditures during the preceding year; (d) the amount paid as dividends upon its stock and as interest upon its bonds; (e) the names of its officers and the aggregate amount paid as salaries to them and the amount paid as wages to its employees; (f) the location of its plant or plants and system, with a full description of its property and franchises, stating in detail how each franchise stated to be owned was acquired; and (g) such other facts
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04056-01-9
S. 2154 2
pertaining to the operation and maintenance of the plant and system, and the affairs of such person or corporation as may be required by the commission. Such reports shall be in the form, cover the period and be filed at the time prescribed by the commission. The commission may, from time to time, make changes and additions in such forms. When any such report is defective or believed to be erroneous, the commission shall notify the person, corporation or municipality making such report to amend the same within a time prescribed by the commission. Any such person or corporation or municipality which shall neglect to make any such report or which shall fail to correct any such report within the time prescribed by the commission shall be liable to a penalty of not more than one-tenth of one percent of the annual net revenues of such person, corporation or municipality for the past year, but not more than twenty-five thousand dollars nor less than one hundred dollars and an additional penalty of [one hundred dollars] not more than the same amount for each day after the prescribed time for which it shall neglect to file or correct the same, to be sued for in the name of the people of the state of New York. The amount recovered in any such action shall be paid into the state treasury and be credited to the general fund. The commission may extend the time prescribed for cause shown.
§ 2. This act shall take effect on the one hundred twentieth day after it shall have become a law. Effective immediately, the public service commission is authorized and directed to take any and all actions, including but not limited to the promulgation of any necessary rules, necessary to fully implement the provisions of this act on its effective date.
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 penalties for the failure of gas and electric corporations to file or correct an annual report
Purpose
This bill will help ensure compliance with reporting requirements in the Public Service Law by scaling the penalties for failure to file or correct an annual report to the size of a regulated entity.
Summary of provisions
This legislation amends subdivision 6 of section 66 of the public service law, as amended by chapter 784 of the laws of 1923.
Justification
In 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 was found to be the reliance by New York's utility regulators on antiquated laws, regu- lations, and policies that let companies engaged in energy transmission and distribution operate without effective oversight.
The Task Force found that in many cases the sanctions imposed by the PSC are neither timely nor meaningful, The $100 penalty in section 66 is a perfect example. The amounts that a major utility could be penalized for being one day, or even one year, late in meeting a deadline would be well beneath its notice. This bill would bring the penalties in line with the realities of today's energy markets.
Legislative history
2018: Died in Energy and Telecommunications 2017: Died in Energy and Telecommunications 2016: Died in Energy and Telecommunications 2015: Died in Energy and Telecommunications 2014: Senate Bill 608 (Gianaris) - Died in Senate Energy and Telecommu- nications Committee 2012: Senate Bill 4230 (Gianaris) - Died in Senate Rules Committee 2012: Assembly Bill 2364 (Hevesi) - Died in Assembly Codes Committee 2010: Assembly Bill 1595-A (Gianaris) - Died in Assembly Rules Committee 2008: Assembly Bill 8623-A (Gianaris) - Died in Assembly Codes Committee
Fiscal implications
To be determined.
Effective date
This act shall take effect on the one hundred twentieth day after it shall have become law; however, the Public Service Commission will be immediately authorized and directed to take any and all actions, includ- ing but not limited to the promulgation of rules, necessary to fully implement the Provisions of this act on its effective date.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.