What's happening
This bill limits residential electric fixed charges to only cover costs directly related to metering, billing, service connections, and customer service.
Why it matters
Rate-filing trigger. The bill would add a new requirement to state public service law, with adjustments made when each utility corporation files an amendment to its rate schedules—not an automatic reset of every bill on the effective date.
Broad fee coverage. For residential electric customers of utility corporations across New York, the definition would cover fixed fees under multiple names, including basic service fees separate from per-kilowatt-hour distribution charges.
No cross-class shift. The department could not use these adjustments to shift costs to other rate classes, constraining how it implements changes to residential charges.
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Who cares
Residential electric customers
Their utility’s rate-schedule amendment would trigger review of fixed charges covered by the bill.
Electric utility corporations
Their residential fixed charges would face a new statutory adjustment requirement when they file amended rate schedules.
Department of Public Service
The department would have to adjust qualifying charges while avoiding a cost shift to other rate classes.
Customers in other rate classes
The bill would prohibit shifting costs to their rate classes through these residential fixed-charge adjustments.
Headline styles
Limit Electric Fixed Charges
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
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.
Cap Electric Fixed Fees
In Assembly Committee · Energy · Sponsor Robert C. Carroll
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6241
2019-2020 Regular Sessions
IN SENATE
May 28, 2019
Introduced by Sen. METZGER -- 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 adjustment of electric residential fixed charges
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 section 42-a to read as follows:
§ 42-a. Adjustment of electric distribution company residential fixed charge. 1. As used in this section "residential fixed charge" means any fixed fee charged to residential electric customers, including, but not limited to, (a) a fixed charge for distribution basic service, (b) a distribution customer service charge, (c) a customer charge, or (d) a basic service fee which is separate and distinct from any distribution charge per kilowatt-hour.
2. The department shall adjust each utility corporation's residential fixed charge upon such corporation's filing with the department of an amendment of rate schedules pursuant to article four of this chapter, to recover only the fixed costs and operation and maintenance expenses directly related to metering, billing, service connections and the provision of customer service.
3. The provisions of subdivision two of this section shall not permit or enable the department to cause a cost shift to other rate classes.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13034-01-9
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 adjustment of electric residential fixed charges
Purpose
The purpose of this legislation is to limit the fixed charges that resi- dential consumers pay on their utility bills.
Summary of provisions
Section 1 - Amends public service law adding a new section 42-a. Utili- ties will only be permitted to charge residential consumers for the costs directly related to metering, billing, service connection, and customer service.
Section 2 - Effective Date.
Justification
New Yorkers pay some of the highest fixed charges in the national on their utility bills. Fixed charges are flat monthly fees that consumers pay on their utility bills regardless of the energy they use. A recent report by the Acadia Center found that in many cases utilities are charging New Yorkers three times as much in fixed charges as they are charging residents in nearby states. Fixed charges shift costs from bigger energy users to those who can least afford it. A lower fixed residential charge is important for New York's economic viability : High fixed charges mean higher electric bills, which results in a higher cost of living and less money to spend in the local economy.
Legislative history
New Bill
Fiscal implications
None
Effective date
Immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.