What's happening
This bill requires utility companies to automatically offer affordable payment plans to eligible low-income customers and streamline the enrollment process.
Why it matters
Expands eligibility for payment plans. by allowing a wide range of public assistance recipients (such as SNAP, Medicaid, SSI, veterans’ benefits, and more) to qualify, which could help many financially vulnerable households maintain essential utility services.
Requires utilities to proactively assess and tailor payment plans. based on individual customer circumstances—such as ability to pay, payment history, and potential hardships—rather than using a one-size-fits-all approach, potentially reducing utility shutoffs and financial stress.
Mandates clear communication and easier enrollment. , including prominent advertising of payment plan availability on utility websites and a streamlined, electronic process for submitting eligibility documentation, making it easier for eligible customers to access help.
Establishes consumer protections. by setting a minimum 21-day bill payment window and preventing early withdrawals for automatic payments (unless agreed to), giving customers more control over their finances and reducing the risk of overdraft or late fees.
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Who cares
Headline styles
Require Utility Payment Plans
Plain English, a few words. Used as the page title.
Sponsors
History
- Delivered to assembly
- Passed senateVote 60–1
- Ordered to third reading cal.1608
- Committee discharged and committed to rules
- Print number 1330a
- Amend and recommit to energy and telecommunications
- Referred to energy and telecommunications
- Returned to senate
- Died in assembly
- Referred to energy
- Delivered to assembly
- Passed senateVote 59–1
Show 3 earlier actions
- Ordered to third reading cal.144
- Reported and committed to rules
- 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.
Automatic Utility Payment Plans
In Assembly Committee · Ways And Means · Sponsor Brian Cunningham
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1330--A
2025-2026 Regular Sessions
IN SENATE
January 9, 2025
Introduced by Sens. PARKER, FERNANDEZ, GOUNARDES, JACKSON, WEBB -- 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 requiring the establishment of automatic payment plans
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 37-a to read as follows:
§ 37-a. Utility automatic payment plans. 1. Within one hundred eighty days of the effective date of this section, notwithstanding any other provision of law, the commission is authorized and directed to require utility companies to provide eligible participants with affordable payment plans. Utility companies shall automatically provide appropriate payment plans to qualifying low income individuals who provide documentation of their eligibility status. Enrollment shall be available at any time during the year. For the purposes of this section, "utility company" shall mean a utility company that provides electric, gas, or steam service.
2. (a) A utility company which offers such a payment plan program shall conspicuously advertise the availability of such plan on the website of such utility company.
(b) The commission shall also create a mechanism by which an individual's documentation is submitted and reasonably and promptly reviewed by a utility company for qualification as proper documentation of the individual's eligibility status. Such mechanism shall also provide for electronic submission of documentation.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00014-03-5
3. An individual or household shall be determined to be eligible for a payment plan if such individual or household provides documentation of eligibility for any of the following programs:
(a) temporary assistance for needy families (family assistance);
(b) safety net assistance (public assistance);
(c) supplemental security income (SSI);
(d) supplemental nutrition assistance program (SNAP);
(e) veterans disability pension and survivors benefits;
(f) child health plus;
(g) lifeline;
(h) home energy assistance program (HEAP);
(i) direct vendor or utility guarantee;
(j) social security disability insurance (SSDI);
(k) Medicaid;
(l) federal public housing assistance;
(m) bureau of Indian affairs general assistance;
(n) Head Start;
(o) tribal TANF;
(p) food distribution program on Indian reservation (FDPIR); and
(q) any other income-based assistance program identified by the commission and/or the office of temporary and disability assistance.
4. (a) When devising payment plans, the utility company shall consider the circumstances and financial condition of the customer including:
(i) The amount due, if any, on the account;
(ii) The customer's ability to pay;
(iii) The customer's payment history;
(iv) The anticipated energy assistance benefits for which the customer may be eligible;
(v) The circumstances which resulted in the past due bills;
(vi) Hardships which may result from the lack of utility service to the customer; and
(vii) Any other relevant factors related to the circumstances of the customer.
(b) A utility company shall permit each customer a period of not less than twenty-one days from the date the bill was sent to pay in full, unless the customer and the utility company agree on a different due date. A utility company shall not withdraw funds from a customer's account before the due date in cases where a customer uses an automatic bill payment plan unless the customer agrees to a different period.
§ 2. This act shall take effect on the thirtieth day after 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 requiring the establishment of automatic payment plans
Purpose or general idea of bill
The purpose of this bill is to require the establishment of automatic payment plans by certain combination utility companies
Summary of provisions
Section 1 amends the public service law. Subsection 1 identifies the utility automatic payment plan. Authorizes the Public Service Commission to direct utilities to a statewide program to provide automatic afforda- ble payment plans.
Subsection 2 requires the PSC to engage with utilities to provide a mechanism for the utility that will provide a list of qualified individ- uals for the automatic affordable payment plans.
Subsection 2(a) requires the PSC to provide a mechanism for the review and submission of qualified customer's documentation.
Subsection 3 requires eligible customers to submit the proper documenta- tion of their eligibility.
Subsection 4(a) directs utilities to consider the circumstances and financial condition of the customer.
Subsection 4(b) establishes that each payment plan shall give customers 21 days from which the bill was sent to pay it in full.
Subsection 5 authorizes the Attorney General to bring action against utilities who violate this article.
Section 2 sets the effective date.
Justification
Affordable payment plans should provide customers with reasonable means,time, and structure to pay their often-high extraordinarily high energy bills, especially during a period of inflation. Payment plans should also be more accessible and available. to more individuals who have demonstrated the need and should not be tools for generational debt.
This legislation directs utilities that provide combination services (electric, gas, and steam) to provide a mechanism that will review and submit documentation of qualified customers for enrollment to automated payment plans. As such, customers will be in much better positions to pay their bills and utilities will have less customer accounts past due.
Prior legislative history
2023-24: S12008 2021-22: S8983 - COMMITTED TO RULES
Fiscal implications for state and local governments
None.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.