Bill Text: NY A10162 | 2023-2024 | General Assembly | Introduced


Bill Title: Relates to contracts entered into by the Long Island Power Authority for emergency goods and services.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2024-05-10 - referred to corporations, authorities and commissions [A10162 Detail]

Download: New_York-2023-A10162-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          10162

                   IN ASSEMBLY

                                      May 10, 2024
                                       ___________

        Introduced by COMMITTEE ON RULES -- (at request of M. of A. K. Brown) --
          read  once  and referred to the Committee on Corporations, Authorities
          and Commissions

        AN ACT to amend the public authorities law, the executive  law  and  the
          state  finance  law, in relation to contracts entered into by the Long
          Island Power Authority for emergency goods and services

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Section 1020-b of the public authorities law, as added by
     2  chapter 517 of the laws of 1986, is amended by adding two  new  subdivi-
     3  sions 25 and 26 to read as follows:
     4    25.   "Short-term   public  power  purchase  agreement"  shall  denote
     5  contracts for the purchase, sale, or delivery of power or energy,  fuel,
     6  costs  and  services  ancillary  thereto,  or financial products related
     7  thereto, with a term of less than five years.
     8    26. "Contracts for emergency goods or services" shall denote contracts
     9  entered into for procurement of goods, services, or both, made  to  meet
    10  emergencies arising from unforeseen causes or to effect repairs to crit-
    11  ical infrastructure that are necessary to avoid delay in the delivery of
    12  critical services that could compromise the public welfare.
    13    §  2. Subdivision (h) of section 1020-f of the public authorities law,
    14  as added by chapter 517 of the laws of  1986,  is  amended  to  read  as
    15  follows:
    16    (h)  To  make  and execute agreements, contracts and other instruments
    17  necessary or convenient in the exercise of the powers and  functions  of
    18  the  authority  under  this  title, including contracts with any person,
    19  firm, corporation, municipality, state agency or other entity in accord-
    20  ance with the provisions of section one hundred  three  of  the  general
    21  municipal  law, and all state agencies and all municipalities are hereby
    22  authorized to enter into and do all things necessary to perform any such
    23  agreement, contract or other instrument with the authority, except  that
    24  (i) the authority's contracts, other than as specified in paragraph (ii)
    25  of  this  subdivision, shall only be subject to bidding requirements and
    26  pre-audit requirements whenever such contract exceeds an  amount  estab-

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15018-01-4

        A. 10162                            2

     1  lished  by  the comptroller in consultation with the authority, and (ii)
     2  the authority's contracts entered into for categories described in para-
     3  graphs (c), (d) and (e) of subdivision  three  of  section  twenty-eight
     4  hundred  seventy-nine-a  of  this  chapter,  shall not be subject to the
     5  bidding requirements or pre-audit requirements of the comptroller pursu-
     6  ant to section one thousand  twenty-mm  of  this  title,  but  shall  be
     7  entered  into  pursuant  to guidelines and thresholds established by the
     8  comptroller in consultation with the authority. Any such contracts shall
     9  be filed with the comptroller within sixty days after their execution;
    10    § 3. Section 1020-cc of the public  authorities  law,  as  amended  by
    11  section  11  of part A of chapter 173 of the laws of 2013, is amended to
    12  read as follows:
    13    § 1020-cc. Authority subject to certain provisions  contained  in  the
    14  state  finance  law, the public service law, the social services law and
    15  the general municipal law. 1. (a) All contracts of the  authority  shall
    16  be  subject  to  the  provisions  of  the  state finance law relating to
    17  contracts made by the state. The authority shall  also  establish  rules
    18  and  regulations with respect to providing to its residential gas, elec-
    19  tric and steam utility customers those rights and  protections  provided
    20  in  article two and sections one hundred seventeen and one hundred eigh-
    21  teen of the public service law and section one hundred  thirty-one-s  of
    22  the social services law. The authority shall conform to any safety stan-
    23  dards  regarding  manual lockable disconnect switches for solar electric
    24  generating equipment established by the public service commission pursu-
    25  ant to subparagraph (ii)  of  paragraph  (a)  of  subdivision  five  and
    26  subparagraph  (ii)  of  paragraph  (a)  of subdivision five-a of section
    27  sixty-six-j of the public service law. The authority shall let contracts
    28  for construction or purchase of supplies, materials, or equipment pursu-
    29  ant to section one hundred three and paragraph (e) of  subdivision  four
    30  of section one hundred twenty-w of the general municipal law.
    31    (b)  Notwithstanding  paragraph  (a)  of  this subdivision, before any
    32  contract made for or by the authority shall be executed or become effec-
    33  tive, whenever such contract exceeds an amount established by the  comp-
    34  troller  in  consultation with the authority, it shall first be approved
    35  by the office of the comptroller and filed in such  office  pursuant  to
    36  section  one hundred twelve of the state finance law, except for catego-
    37  ries described in paragraphs (c), (d) and (e) of  subdivision  three  of
    38  section  twenty-eight hundred seventy-nine-a of this chapter which shall
    39  not be subject to the bidding requirements or pre-audit requirements  of
    40  the  comptroller  pursuant  to  section  one  thousand twenty-mm of this
    41  title, but shall be entered into pursuant to guidelines  and  thresholds
    42  established  by  the comptroller in consultation with the authority, and
    43  any collective bargaining agreements.
    44    2. The authority [and service provider] shall  provide  to  the  state
    45  comptroller on March thirty-first and September thirtieth of each year a
    46  report documenting each contract in excess of two hundred fifty thousand
    47  dollars  per year entered into with a third party and related to manage-
    48  ment and operation services associated  with  the  authority's  electric
    49  transmission  and  distribution  system, including the name of the third
    50  party, the contract term and a description of services or  goods  to  be
    51  procured,  and post such report on each of their websites. All contracts
    52  necessary for conducting utility operations entered  into  between  [the
    53  service  provider]  ServCo  and  third  parties  are  not subject to the
    54  requirements of subdivision one of this section.
    55    § 4. Section 1020-mm of the public  authorities  law,  as  amended  by
    56  chapter 37 of the laws of 2023, is amended to read as follows:

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     1    §  1020-mm.  Prioritization  of emergency services.  1.  Extraordinary
     2  circumstances, including excessive costs, shortages of supply,  and  the
     3  inflated  price  of  fuel,  may threaten the capacity to provide utility
     4  service essential to the continued safety, health, prosperity, and well-
     5  being of the people of Long Island, by reason of the interconnection and
     6  interdependence  of electric facilities, the reliability of such service
     7  throughout the area require emergency action by  the  authority.  It  is
     8  therefore declared that:
     9    (a)  If,  during  a  widespread prolonged outage that affects at least
    10  twenty thousand customers in the service territory of the authority, and
    11  the [service provider] authority is not able to restore  electric  power
    12  services  within  twenty-four  hours  to any affected police department,
    13  fire department,  ambulance  service  or  advanced  life  support  first
    14  response  service facility that is prewired with an appropriate transfer
    15  switch for using an alternate  generated  power  source,  [such  service
    16  provider]  the authority shall notify the village, town or city in which
    17  such facility is located.
    18    [2.] (b) Towns, cities, and villages shall provide  to  counties,  and
    19  counties shall to the extent practicable, provide the [service provider]
    20  authority  and  the division of homeland security and emergency services
    21  with a list of such  police  departments,  fire  departments,  ambulance
    22  services and advanced life support first response services located with-
    23  in  such  municipality's  territorial  boundaries within one year of the
    24  effective date of this section, and periodically thereafter as necessary
    25  to update such list.
    26    [3.] (c) For the purposes of this section, "alternate generated  power
    27  source" shall mean electric generating equipment that is of the capacity
    28  that  is  capable  of providing adequate electricity to operate all life
    29  safety systems and the basic operations of  a  police  department,  fire
    30  department,  ambulance  service  or advanced life support first response
    31  service.
    32    2. To the extent necessary, and pursuant to guidelines and  thresholds
    33  established  by  the comptroller in consultation with the authority, the
    34  authority shall be entitled to enter into contracts for emergency  goods
    35  or  services  or  short-term  public  power purchase agreements, without
    36  being subject to the bidding requirements or pre-audit  requirements  of
    37  the  comptroller  pursuant  to subdivision three of section twenty-eight
    38  hundred seventy-nine-a of this chapter in  accordance  with  subdivision
    39  (h)  of  section one thousand twenty-f of this title. This shall include
    40  contracts entered into for the procurement of goods,  services  or  both
    41  goods  and  services  made  to  meet emergencies arising from unforeseen
    42  causes or to effect repairs to critical infrastructure that  are  neces-
    43  sary  to  avoid  a delay in the delivery of critical services that could
    44  compromise the public welfare.  Contracts  entered  into  for  emergency
    45  goods  or  services or short-term public power purchase agreements shall
    46  be pursuant to guidelines  established  by  the  comptroller  and  shall
    47  require notice to the office of the state comptroller within forty-eight
    48  hours.
    49    §  5. Paragraph a of subdivision 9 of section 24 of the executive law,
    50  as added by chapter 37 of the laws  of  2023,  is  amended  to  read  as
    51  follows:
    52    a.  Whenever  a  local state of emergency is declared pursuant to this
    53  section and upon receipt of notification by an electric  corporation  or
    54  the  [service provider] Long Island power authority, pursuant to section
    55  seventy-three-a of the public service law or section one thousand  twen-
    56  ty-mm  of  the public authorities law, the chief executive shall coordi-

        A. 10162                            4

     1  nate with  affected  police  departments,  fire  departments,  ambulance
     2  services and advanced life support first response services prewired with
     3  an  appropriate  transfer  switch for using an alternate generated power
     4  source  for the emergency deployment of alternate generated power sourc-
     5  es.
     6    § 6. Paragraph (a) of subdivision  2  of  section  112  of  the  state
     7  finance  law  is  amended  by adding a new subparagraph (iii) to read as
     8  follows:
     9    (iii) Before the Long Island power authority enters into any  contract
    10  which  exceeds  an amount established by the comptroller in consultation
    11  with such authority, it shall first be approved by  the  office  of  the
    12  state  comptroller  and  filed  in  such  office,  except that contracts
    13  entered into for emergency goods and services or short-term public power
    14  purchase contracts must comply with  guidelines  and  thresholds  estab-
    15  lished  by  the  comptroller  in consultation with the Long Island power
    16  authority.  The Long Island power authority shall not be subject to  the
    17  fifty thousand dollar limitation set forth in clause one of subparagraph
    18  (i) of this paragraph.
    19    §  7. Severability. The provisions of this act shall be severable, and
    20  if any clause, sentence, paragraph, subdivision, or  part  of  this  act
    21  shall  be adjudged by any court of competent jurisdiction to be invalid,
    22  such judgment shall not affect,  impair,  or  invalidate  the  remainder
    23  thereof, but shall be confined in its operation to the clause, sentence,
    24  paragraph, subdivision, or part thereof directly involved in the contro-
    25  versy in which such judgment shall have been rendered.
    26    § 8. This act shall take effect January 1, 2026.
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