Bill Text: NY S01171 | 2011-2012 | General Assembly | Introduced


Bill Title: Relates to green jobs-green New York on-bill financing for retrofit projects; amends definitions.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2012-01-04 - REFERRED TO ENERGY AND TELECOMMUNICATIONS [S01171 Detail]

Download: New_York-2011-S01171-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         1171
                              2011-2012 Regular Sessions
                                   I N  S E N A T E
                                    January 5, 2011
                                      ___________
       Introduced  by Sens. PARKER, SQUADRON -- read twice and ordered printed,
         and when printed to be committed to the Committee on Energy and  Tele-
         communications
       AN  ACT to amend the public service law, the public authorities law, and
         the real property law,  in  relation  to  green  jobs-green  New  York
         on-bill financing
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Section 2 of the public service law is  amended  by  adding
    2  three new subdivisions 28, 29 and 30 to read as follows:
    3    28.  THE  TERM  "CAPITAL  IMPROVEMENTS  AND FIXTURES TO PROMOTE ENERGY
    4  EFFICIENCY," WHEN USED IN THIS CHAPTER, MEANS REPAIRS  AND  UPGRADES  TO
    5  BUILDINGS,  BUILDING  SYSTEMS,  FIXTURES  AND  MAJOR  APPLIANCES FOR THE
    6  PURPOSE OF REDUCING THE CONSUMPTION OF ELECTRICITY, GAS, OIL  AND  OTHER
    7  FUELS, AS DEEMED ELIGIBLE UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM BY
    8  THE  NEW  YORK  STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, SUCH AS
    9  WINDOW AND DOOR REPLACEMENT, LIGHTING, CAULKING,  WEATHERSTRIPPING,  AIR
   10  SEALING,  INSULATION, AND HEATING AND COOLING SYSTEM UPGRADES, AND SIMI-
   11  LAR IMPROVEMENTS. WITH RESPECT TO ONE TO FOUR FAMILY RESIDENTIAL PROPER-
   12  TIES, THE TERM "ENERGY EFFICIENCY IMPROVEMENT" MAY  INCLUDE  ANY  HEALTH
   13  AND  SAFETY  RELATED REPAIRS THAT ARE REQUIRED TO BE MADE IN CONJUNCTION
   14  WITH OTHER ENERGY EFFICIENCY IMPROVEMENTS IN ORDER TO CONFORM  WITH  THE
   15  STANDARDS OF THE CERTIFYING ENTITY DESCRIBED IN SUBDIVISION FOUR OF THIS
   16  SECTION,  HOWEVER, WITH RESPECT TO THE GREEN JOBS-GREEN NEW YORK ON-BILL
   17  CHARGE ESTABLISHED PURSUANT TO  SECTION  SIXTY-SIX-M  OF  THIS  CHAPTER,
   18  "CAPITAL  IMPROVEMENTS  AND FIXTURES TO PROMOTE ENERGY EFFICIENCY" SHALL
   19  NOT INCLUDE LIGHTING MEASURES  OR  HOUSEHOLD  APPLIANCES  THAT  ARE  NOT
   20  PERMANENTLY FIXED TO REAL PROPERTY.
   21    29.  THE TERM "GREEN JOBS-GREEN NEW YORK ON-BILL CHARGE," WHEN USED IN
   22  THIS CHAPTER, MEANS A CHARGE APPEARING ON THE MONTHLY UTILITY BILL OF  A
   23  UTILITY  CUSTOMER  WHO ELECTS TO PARTICIPATE IN THE GREEN JOBS-GREEN NEW
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD02144-01-1
       S. 1171                             2
    1  YORK PROGRAM AND TO FINANCE  CAPITAL  IMPROVEMENTS  UNDER  THAT  PROGRAM
    2  THROUGH SUCH A CHARGE.
    3    30.  THE TERM "NYSERDA," WHEN USED IN THIS CHAPTER, MEANS THE NEW YORK
    4  STATE ENERGY RESEARCH AND DEVELOPMENT  AUTHORITY,  PURSUANT  TO  SECTION
    5  EIGHTEEN HUNDRED FIFTY-TWO OF THE PUBLIC AUTHORITIES LAW.
    6    S  2.  Paragraph  (a)  of  subdivision  2  of section 32 of the public
    7  service law, as added by chapter 713 of the laws of 1981, is amended  to
    8  read as follows:
    9    (a) fails to pay charges for any service rendered during the preceding
   10  twelve  months,  INCLUDING ANY GREEN JOBS-GREEN NEW YORK ON-BILL CHARGE,
   11  provided however that the  commission  by  regulations  may  permit  the
   12  termination of service for bills due for service rendered during periods
   13  in  excess  of  twelve months where (i) there was a dispute between such
   14  person and the utility corporation or municipality concerning  the  bill
   15  during  the  twelve month period, (ii) delays in termination are not the
   16  fault of the utility or were due to the culpable conduct of such person,
   17  or (iii) such bills are necessary to adjust estimated bills; or
   18    S 3. Paragraph (b) of subdivision 6 of  section  18-a  of  the  public
   19  service  law, as added by section 4 of part NN of chapter 59 of the laws
   20  of 2009, is amended to read as follows:
   21    (b) The  temporary  state  energy  and  utility  service  conservation
   22  assessment shall be equal to two percentum of the utility entity's gross
   23  operating  revenues  derived  from  intrastate utility operations in the
   24  last preceding calendar year, minus the amount, if any, that such utili-
   25  ty entity is assessed pursuant to  subdivisions  one  and  two  of  this
   26  section  for the corresponding state fiscal year period. With respect to
   27  the Long Island power authority, the temporary state energy and  utility
   28  service  conservation assessment shall be equal to one percentum of such
   29  authority's gross operating revenues  derived  from  intrastate  utility
   30  operations  in  the  last  preceding  calendar year. THE TEMPORARY STATE
   31  ENERGY AND UTILITY SERVICE CONSERVATION ASSESSMENT SHALL NOT BE  APPLIED
   32  TO  THE  GREEN  JOBS-GREEN  NEW YORK ON-BILL CHARGE BILLED AND COLLECTED
   33  PURSUANT TO SECTION SIXTY-SIX-M  OF  THIS  CHAPTER.  No  corporation  or
   34  person  subject  to the jurisdiction of the commission only with respect
   35  to safety, or the power authority of the state of  New  York,  shall  be
   36  subject  to  the temporary state energy and utility service conservation
   37  assessment provided for under this subdivision. Utility  entities  whose
   38  gross  operating  revenues  from  intrastate utility operations are five
   39  hundred thousand dollars or less in the preceding  calendar  year  shall
   40  not be subject to the temporary state energy and utility service conser-
   41  vation  assessment.  The  minimum  temporary  state  energy  and utility
   42  service conservation assessment to be billed to any utility entity whose
   43  gross revenues from intrastate utility operations are in excess of  five
   44  hundred  thousand  dollars  in  the preceding calendar year shall be two
   45  hundred dollars.
   46    S 4.   Subdivision 6 of section 65  of  the  public  service  law,  as
   47  amended  by  chapter  204  of  the  laws  of 2010, is amended to read as
   48  follows:
   49    6. Service charges prohibited. Every gas corporation shall charge  for
   50  gas supplied a fair and reasonable price. No such corporation shall make
   51  or  impose  an additional charge or fee for service or for the installa-
   52  tion of apparatus or the use  of  apparatus  installed,  except  that  a
   53  charge may be made:
   54    (a)  where  entry, inspection or examination as authorized by subdivi-
   55  sion nine of this section is denied;
       S. 1171                             3
    1    (b) for reconnecting the service to a person  or  corporation  if  the
    2  service  to  such  person or corporation was disconnected, in accordance
    3  with  applicable  legal  requirements,  for  non-payment  of  bills  for
    4  service;
    5    (b-1) for expenses reasonably incurred as determined by the commission
    6  in  cases  of  meter tampering and theft of service. Such expenses shall
    7  include, but not be limited to, the cost of investigating, repairing and
    8  replacing meters and pipes, and the cost of moving a meter and  install-
    9  ing it in a secure location;
   10    (c)  for a remote meter reading device upon the request and consent of
   11  the customer; [or]
   12    (d) for installation of capital improvements and fixtures  to  promote
   13  energy efficiency upon the request and consent of the customer; OR
   14    (E) FOR CAPITAL IMPROVEMENTS AND FIXTURES TO PROMOTE ENERGY EFFICIENCY
   15  PURSUANT  TO THE PROGRAM ESTABLISHED IN PARAGRAPH (D) OF SUBDIVISION ONE
   16  OF SECTION EIGHTEEN HUNDRED NINETY-FOUR OF THE PUBLIC AUTHORITIES LAW.
   17    S 5. The public service law is amended by adding a new section 66-m to
   18  read as follows:
   19    S 66-M. GREEN JOBS-GREEN NEW YORK ON-BILL CHARGE.  1.  THE  COMMISSION
   20  SHALL  REQUIRE  ELECTRIC AND GAS CORPORATIONS TO FILE TARIFFS TO PROVIDE
   21  FOR THE BILLING AND COLLECTION OF  GREEN  JOBS-GREEN  NEW  YORK  ON-BILL
   22  CHARGES UTILIZED TO COLLECT PAYMENT OF OBLIGATIONS TO THE NYSERDA RETRO-
   23  FIT   INVESTMENT   FUND  THAT  CUSTOMERS  UNDERTAKE  THROUGH  THE  GREEN
   24  JOBS-GREEN NEW YORK PROGRAM "PROGRAM",  ESTABLISHED  PURSUANT  TO  TITLE
   25  NINE-A  OF ARTICLE EIGHT OF THE PUBLIC AUTHORITIES LAW. ELECTRIC AND GAS
   26  CORPORATIONS SHALL SEEK FUNDING OPPORTUNITIES PROVIDED UNDER THE  AMERI-
   27  CAN RECOVERY AND REINVESTMENT ACT OF TWO THOUSAND NINE TO FUND OR OFFSET
   28  COSTS  ASSOCIATED WITH IMPLEMENTING THE PROGRAM. ELECTRIC AND GAS CORPO-
   29  RATIONS SHALL UTILIZE EXISTING ELECTRONIC DATA  INTERCHANGE  INFRASTRUC-
   30  TURE  OR OTHER EXISTING BILLING INFRASTRUCTURE TO IMPLEMENT THE PROGRAM.
   31  ELECTRIC AND GAS CORPORATIONS WILL BE PERMITTED TO RECOVER THROUGH RATES
   32  THE COSTS OF ALL NECESSARY AND  PRUDENT  PROGRAM  IMPLEMENTATION  COSTS,
   33  INCLUDING  COSTS  ASSOCIATED  WITH  ELECTRONIC DATA INTERCHANGE IMPROVE-
   34  MENTS.  THE COMMISSION SHALL WITHIN FORTY-FIVE  DAYS  OF  THE  EFFECTIVE
   35  DATE OF THIS SECTION REQUIRE ALL ELECTRIC, STEAM AND/OR GAS CORPORATIONS
   36  TO  FILE  TARIFFS  TO  IMPLEMENT  THE PROGRAM FOR ALL ELIGIBLE CUSTOMERS
   37  WITHIN THEIR RESPECTIVE  SERVICE  TERRITORIES  AND  ISSUE  A  NOTICE  OF
   38  PROPOSED  RULE-MAKING  ON  SUCH  TARIFFS. THE COMMISSION SHALL ACT EXPE-
   39  DITIOUSLY, WITHIN THE MINIMUM TIME PERIOD CONSISTENT WITH  THE  REQUIRE-
   40  MENTS  OF THE STATE ADMINISTRATIVE PROCEDURE ACT, TO ISSUE A FINAL DECI-
   41  SION REGARDING THE GREEN JOBS-GREEN NEW YORK TARIFFS.
   42    2. THE TARIFFS SHALL PROVIDE:
   43    (A) THAT FULL ACCESS TO THE BENEFITS OF THE PROGRAM  BE  AVAILABLE  TO
   44  ALL  CUSTOMERS THAT MEET STANDARDS FOR RELIABLE UTILITY BILL PAYMENT AND
   45  CURRENT GOOD STANDING ON ANY MORTGAGE OBLIGATIONS  ON  THE  PREMISES  AS
   46  DETERMINED BY NYSERDA IN ITS CAPACITY AS MANAGER OF THE RETROFIT INVEST-
   47  MENT FUND, AND WHO HOLD PRIMARY OWNERSHIP OR REPRESENT THE PRIMARY OWNER
   48  OR  OWNERS OF THE PREMISES, AND WHO HOLD PRIMARY METER ACCOUNT RESPONSI-
   49  BILITY OR REPRESENT THE PRIMARY  HOLDER  OR  HOLDERS  OF  METER  ACCOUNT
   50  RESPONSIBILITY  FOR  ALL METERS TO WHICH AN ON-BILL REPAYMENT OBLIGATION
   51  IS ATTACHED.
   52    (B) THAT THE  GREEN  JOBS-GREEN  NEW  YORK  ON-BILL  CHARGES  FOR  ANY
   53  SERVICES  PROVIDED  AT THE CUSTOMER'S PREMISES SURVIVE CHANGES IN OWNER-
   54  SHIP, TENANCY, OR METER ACCOUNT RESPONSIBILITY, WITH ARREARS AT TIME  OF
   55  METER  ACCOUNT CLOSURE OR METER TRANSFER REMAINING THE RESPONSIBILITY OF
   56  THE INCURRING CUSTOMER.
       S. 1171                             4
    1    (C) THAT THE PREMISES OWNER MAY NOT  TRANSFER  PRIMARY  METER  ACCOUNT
    2  RESPONSIBILITY  FOR  THE  INCURRING  METER  TO  A TENANT WHILE THE GREEN
    3  JOBS-GREEN NEW YORK ON-BILL CHARGES SURVIVE.
    4    (D)  FOR THE DISCONNECTION OF SERVICE FOR NON-PAYMENT OF PROGRAM OBLI-
    5  GATIONS, SUBJECT TO REQUIREMENTS OF ARTICLE TWO OF THIS CHAPTER.
    6    (E) THAT ELECTRIC AND GAS CORPORATIONS SHALL ONLY BE  RESPONSIBLE  FOR
    7  BILLING  AND COLLECTION OF GREEN JOBS-GREEN NEW YORK ON-BILL CHARGES FOR
    8  SPECIFIC CUSTOMERS IN THE AMOUNTS AND TIME PERIODS DIRECTED BY  NYSERDA,
    9  AND FOR SUCCESSOR CUSTOMERS AT THE SAME PREMISES, WHEN ADVISED BY NYSER-
   10  DA THAT:
   11    (I)  THE SPECIFIC CUSTOMER HAS ENTERED INTO A WRITTEN REPAYMENT AGREE-
   12  MENT WITH NYSERDA TO PAY SUCH AMOUNTS FOR SUCH TIME PERIODS.
   13    (II) THE REPAYMENT AGREEMENT IS  CONSISTENT  WITH  THE  PROVISIONS  OF
   14  TITLE  NINE-A  OF  ARTICLE  EIGHT OF THE PUBLIC AUTHORITIES LAW AND WITH
   15  REGULATIONS PROMULGATED PURSUANT TO SUCH TITLE.
   16    (III) THE PROGRAM INCLUDES A SUBSTANTIVE PLAN TO PROVIDE FOR  CUSTOMER
   17  SERVICE AND RESOLUTION OF CUSTOMER COMPLAINTS, AND TO ACCOUNT FOR DELAYS
   18  AND DEFAULTS IN CUSTOMER PAYMENTS.
   19    (F) THAT THE UTILITY'S OBLIGATION TO COLLECT GREEN JOBS-GREEN NEW YORK
   20  CUSTOMER REPAYMENTS DOES NOT RESTRICT THE UTILITY'S DISCRETION TO ESTAB-
   21  LISH THE TERMS OF DEFERRED PAYMENT AGREEMENTS OR TO DEFER TERMINATION OF
   22  SERVICE FOR DELINQUENT CUSTOMERS.
   23    (G) THAT UNDERPAYMENTS OF BILLS BY CUSTOMERS WITH GREEN JOBS-GREEN NEW
   24  YORK  ON-BILL  CHARGES SHALL BE APPORTIONED BETWEEN THE GREEN JOBS-GREEN
   25  NEW YORK ON-BILL CHARGES AND ALL OTHER CHARGES ON  THE  BILL,  WITH  THE
   26  PERCENTAGE  OF  THE UNDERPAYMENT APPORTIONED TO THE GREEN JOBS-GREEN NEW
   27  YORK ON-BILL CHARGE EQUAL TO THE PERCENTAGE  THE  GREEN  JOBS-GREEN  NEW
   28  YORK  ON-BILL  CHARGE  REPRESENTS  OF THE TOTAL BILL. THAT WITH CUSTOMER
   29  CONSENT, THE UTILITY SHALL  PROVIDE  PRIOR  YEAR  CUSTOMER  BILLING  AND
   30  CONSUMPTION  DATA  TO  NYSERDA.  IN  CASES WHERE CUSTOMER CONSENT IS NOT
   31  OBTAINED, THE UTILITY MAY  PROVIDE  AGGREGATE  CENSUS  TRACT  DATA  THAT
   32  INCLUDES THE CUSTOMER'S ADDRESS.
   33    (H)  THAT  NYSERDA  SHALL  BE  RESPONSIBLE  FOR  THE RESOLUTION OF ANY
   34  CUSTOMER COMPLAINTS REGARDING WORK PERFORMED PURSUANT TO THE PROGRAM AND
   35  THE DETERMINATION OF WHETHER GREEN JOBS-GREEN NEW YORK  ON-BILL  CHARGES
   36  SHOULD  BE  MODIFIED.    SUCH COMPLAINTS SHALL NOT BE COUNTED IN UTILITY
   37  CUSTOMER SERVICE PERFORMANCE MECHANISMS APPROVED BY THE COMMISSION.
   38    (I) THAT UTILITIES WILL PROVIDE ON THE CUSTOMER'S BILL AN  EXPLANATION
   39  OF THE BENEFIT OF THE GREEN JOBS-GREEN NEW YORK RETROFIT THAT INCLUDES A
   40  CALCULATION OF THE AVOIDED COST OF FUEL BASED ON NYSERDA'S PROJECTION OF
   41  SAVINGS  OVER PRIOR USAGE ASSOCIATED WITH THE RETROFIT, THE CURRENT UNIT
   42  COST OF THE UTILITY FUEL, AND AN EXPLANATION THAT BILL LEVELS VARY BASED
   43  ON ACTUAL USAGE EVEN WHEN HOMES ARE UPGRADED TO USE  ENERGY  MORE  EFFI-
   44  CIENTLY.
   45    (J)  THAT UTILITIES WILL INFORM CUSTOMERS AT THE TIME OF ACCOUNT OPEN-
   46  ING AND AT LEAST ANNUALLY OF THE AMOUNT AND DURATION OF ANY GREEN  JOBS-
   47  GREEN  NEW YORK ON-BILL CHARGES AT THE PREMISES FOR PREVIOUSLY INSTALLED
   48  ENERGY EFFICIENCY MEASURES, INCLUDING NYSERDA PROCEDURES  FOR  DISPUTING
   49  SUCH CHARGES.
   50    (K)  THAT  FOR  CUSTOMERS  WITH  A  LEVELIZED  BILLING  PLAN,  A GREEN
   51  JOBS-GREEN NEW YORK RETROFIT SHALL TRIGGER AN IMMEDIATE RECALCULATION OF
   52  MONTHLY PAYMENTS UNDER SUCH PLAN, BASED ON NYSERDA PROJECTIONS OF ENERGY
   53  SAVINGS RESULTING FROM THE  INSTALLED  MEASURES  AND  EFFECTIVE  ON  THE
   54  CUSTOMER'S FIRST BILL WITHIN SIXTY DAYS OF COMPLETION OF THE RETROFIT.
   55    (L)  THAT  UTILITIES  SHALL OFFER DEFERRED PAYMENT AGREEMENTS TO GREEN
   56  JOBS-GREEN NEW YORK CUSTOMERS ON THE SAME TERMS AS TO  OTHER  CUSTOMERS,
       S. 1171                             5
    1  REGARDLESS  OF  THE  APPORTIONMENT OF COLLECTED PAYMENTS TO BOTH UTILITY
    2  AND GREEN JOBS-GREEN NEW YORK CHARGES.
    3    (M)  THAT  UTILITIES  MAY SIMULTANEOUSLY OFFER TO GREEN JOBS-GREEN NEW
    4  YORK ON-BILL REPAYMENT CUSTOMERS ANY AVAILABLE  REBATES  FOR  INDIVIDUAL
    5  RETROFIT  MEASURES, REGARDLESS OF WHETHER SUCH MEASURES ARE PERFORMED IN
    6  THE COURSE OF A GREEN JOBS-GREEN NEW YORK RETROFIT.
    7    S 6. Paragraph (d) of subdivision 1 of  section  1894  of  the  public
    8  authorities law, as added by chapter 487 of the laws of 2009, is amended
    9  and a new paragraph (e) is added to subdivision 1 to read as follows:
   10    (d)   organized  trades  and  their  certification  or  apprenticeship
   11  programs.  The authority shall specifically  solicit  applications  that
   12  propose  to  demonstrate  the  feasibility of innovative financing mech-
   13  anisms, including but not limited to applications undertaken in partner-
   14  ship with distribution utilities that propose to demonstrate the  feasi-
   15  bility  of  on-bill  financing.  The public service commission and other
   16  appropriate agencies are authorized to coordinate with the authority and
   17  applicants in developing and  implementing  proposed  demonstrations  of
   18  innovative  financing  mechanisms.  AN  ON-BILL  FINANCING MECHANISM FOR
   19  INSTALLATION OF ENERGY EFFICIENCY MEASURES  AND  IMPROVEMENTS  SHALL  BE
   20  ESTABLISHED AS FOLLOWS:
   21    (1)  GREEN  JOBS-GREEN  NEW  YORK PROGRAM "PROGRAM" RETROFITS SHALL BE
   22  PERFORMED IN  ACCORDANCE  WITH  RESEARCH-BASED,  INDUSTRY  STANDARDS  AS
   23  DETERMINED BY THE AUTHORITY;
   24    (2)  PERFORMANCE OF RETROFIT WORK SHALL MEET STANDARDS FOR CONTRACTING
   25  AS DETERMINED BY THE AUTHORITY;
   26    (3) THE AUTHORITY SHALL ONLY PROVIDE ON-BILL FINANCING FOR PACKAGES OF
   27  ENERGY EFFICIENCY MEASURES THAT  IT  DETERMINES  TO  BE  COST-EFFECTIVE.
   28  PACKAGES  OF  ENERGY  EFFICIENCY MEASURES SHALL BE DEEMED COST-EFFECTIVE
   29  IF:
   30    (A) BASED UPON THE MOST RECENT CUSTOMER DATA AVAILABLE, ON AN  ANNUAL-
   31  IZED  BASIS  THE MONTHLY ON-BILL REPAYMENT AMOUNT FOR A PACKAGE OF MEAS-
   32  URES DOES NOT EXCEED ONE-TWELFTH OF THE SAVINGS PROJECTED TO RESULT FROM
   33  THOSE MEASURES; AND
   34    (B) THE SAVINGS PROJECTIONS  ARE  BASED  UPON  STANDARDS  SET  BY  THE
   35  AUTHORITY AND THE ESTABLISHED CALCULATIONS FOR PROJECTING ENERGY SAVINGS
   36  DURING  AN ENERGY AUDIT ARE ADJUSTED BY THE AUTHORITY NO LESS THAN BIAN-
   37  NUALLY USING DATA FROM AUTHORITY EXPERIENCE WITH ITS  ENERGY  EFFICIENCY
   38  PROGRAMS AND OTHER COMPARABLE PROGRAMS;
   39    A PORTION OF THE SAVINGS ACHIEVED BY THE RETROFIT, NOT NECESSARILY ALL
   40  SAVINGS, WILL BE SAVINGS ON THE BILL PROVIDED BY THE UTILITY BILLING AND
   41  COLLECTING THE MONTHLY ON-BILL REPAYMENT;
   42    (4)  THE  ON-BILL  REPAYMENT PERIOD IS LIMITED SO THAT THE CUSTOMER IS
   43  NOT PAYING FOR MEASURES FOR WHICH THE USEFUL LIFE HAS EXPIRED;
   44    (5) COST-EFFECTIVE RETROFITS SHALL NOT BE  LIMITED  TO  MEASURES  THAT
   45  SAVE  ON THE FUEL DELIVERED BY THE UTILITY THAT IS PROVIDING THE BILLING
   46  AND COLLECTION SERVICES; AND
   47    (6) CALCULATIONS OF  COST-EFFECTIVENESS  WITH  USE  PRICES  REASONABLY
   48  AVAILABLE  TO  THE CUSTOMER, AND COSTS AND SAVINGS TO PARTIES OTHER THAN
   49  THE CUSTOMER WILL NOT BE USED TO DETERMINE COST-EFFECTIVENESS.
   50    (E) FOR DETERMINING THE  COST-EFFECTIVENESS  OF  THE  PROGRAM,  CALCU-
   51  LATIONS  SHALL  CONSIST  OF  PROGRAM EXPENDITURES SUCH AS ADMINISTRATIVE
   52  COSTS, INTEREST SUBSIDIES,  MARKETING,  AND  OTHER  COSTS  EXCLUSIVE  OF
   53  CUSTOMER  PAYMENTS,  AS COMPARED WITH THE VALUE OF SOCIETAL AND ENVIRON-
   54  MENTAL BENEFITS, SUCH AS POLLUTION AVOIDED, JOBS CREATED, ENERGY  SAVED,
   55  IMPROVED NATIONAL SECURITY AND OTHER SOCIETAL BENEFITS.
       S. 1171                             6
    1    S 7. Section 1005 of the public authorities law is amended by adding a
    2  new subdivision 17 to read as follows:
    3    17.  TO  PROVIDE  ITS MUNICIPAL CUSTOMERS WITH ACCESS TO FINANCING FOR
    4  ENERGY EFFICIENCY  CAPITAL  IMPROVEMENTS,  BY  ESTABLISHING  AN  ON-BILL
    5  FINANCING  MECHANISM  FOR INSTALLATION OF ENERGY EFFICIENCY MEASURES AND
    6  IMPROVEMENTS IN COOPERATION WITH THE NEW YORK STATE ENERGY RESEARCH  AND
    7  DEVELOPMENT   AUTHORITY'S   ("NYSERDA")   IMPLEMENTATION  OF  THE  GREEN
    8  JOBS-GREEN NEW YORK PROGRAM PURSUANT TO NYSERDA'S AUTHORITY UNDER  TITLE
    9  NINE-A OF ARTICLE EIGHT OF THIS CHAPTER. THE ON-BILL FINANCING MECHANISM
   10  SHALL BE ESTABLISHED AS FOLLOWS:
   11    (A)  GREEN  JOBS-GREEN  NEW  YORK PROGRAM "PROGRAM" RETROFITS SHALL BE
   12  PERFORMED IN  ACCORDANCE  WITH  RESEARCH-BASED,  INDUSTRY  STANDARDS  AS
   13  DETERMINED BY THE AUTHORITY;
   14    (B)  PERFORMANCE OF RETROFIT WORK SHALL MEET STANDARDS FOR CONTRACTING
   15  AS DETERMINED BY THE AUTHORITY;
   16    (C) THE AUTHORITY SHALL ONLY PROVIDE ON-BILL FINANCING FOR PACKAGES OF
   17  ENERGY EFFICIENCY MEASURES THAT  IT  DETERMINES  TO  BE  COST-EFFECTIVE.
   18  PACKAGES  OF  ENERGY  EFFICIENCY MEASURES SHALL BE DEEMED COST-EFFECTIVE
   19  IF:
   20    (1) BASED UPON THE MOST RECENT CUSTOMER DATA AVAILABLE, ON AN  ANNUAL-
   21  IZED  BASIS  THE MONTHLY ON-BILL REPAYMENT AMOUNT FOR A PACKAGE OF MEAS-
   22  URES DOES NOT EXCEED ONE-TWELFTH OF THE SAVINGS PROJECTED TO RESULT FROM
   23  THOSE MEASURES; AND
   24    (2) THE SAVINGS PROJECTIONS  ARE  BASED  UPON  STANDARDS  SET  BY  THE
   25  AUTHORITY AND THE ESTABLISHED CALCULATIONS FOR PROJECTING ENERGY SAVINGS
   26  DURING  AN ENERGY AUDIT ARE ADJUSTED BY THE AUTHORITY NO LESS THAN BIAN-
   27  NUALLY USING DATA FROM AUTHORITY EXPERIENCE WITH ITS  ENERGY  EFFICIENCY
   28  PROGRAMS AND OTHER COMPARABLE PROGRAMS;
   29    (D) A PORTION OF THE SAVINGS ACHIEVED BY THE RETROFIT, NOT NECESSARILY
   30  ALL  SAVINGS,  WILL  BE SAVINGS ON THE BILL PROVIDED BY THE AUTHORITY OR
   31  OTHER ENTITY BILLING AND COLLECTING THE MONTHLY ON-BILL REPAYMENT;
   32    (E) THE ON-BILL REPAYMENT PERIOD IS LIMITED SO THAT  THE  CUSTOMER  IS
   33  NOT PAYING FOR MEASURES FOR WHICH THE USEFUL LIFE HAS EXPIRED;
   34    (F)  COST-EFFECTIVE  RETROFITS  SHALL  NOT BE LIMITED TO MEASURES THAT
   35  SAVE ON THE FUEL DELIVERED BY THE AUTHORITY OR  OTHER  ENTITY  PROVIDING
   36  THE BILLING AND COLLECTION SERVICES; AND
   37    (G)  IN TESTS OF COST-EFFECTIVENESS, CALCULATIONS OF COSTS AND SAVINGS
   38  WILL USE PRICES REASONABLY AVAILABLE TO  THE  CUSTOMER,  AND  COSTS  AND
   39  SAVINGS TO PARTIES OTHER THAN THE CUSTOMER WILL NOT BE USED TO DETERMINE
   40  COST-EFFECTIVENESS.
   41    (H) MUNICIPAL UTILITIES PROVIDING THIS SERVICE SHALL ADHERE TO CONSUM-
   42  ER  PROTECTION  PROVISIONS PURSUANT TO ARTICLE TWO OF THE PUBLIC SERVICE
   43  LAW.
   44    (I) STANDARDS FOR THE BILLING, COLLECTION AND  CONDITIONS  OF  SERVICE
   45  RELATED TO GREEN JOBS-GREEN NEW YORK REPAYMENTS WILL ADHERE TO THE STAN-
   46  DARDS  ESTABLISHED  IN  SUBDIVISION  TWO  OF  SECTION SIXTY-SIX-M OF THE
   47  PUBLIC SERVICE LAW.
   48    (J) THE AUTHORITY SHALL ESTABLISH  SUCH  ON-BILL  FINANCING  MECHANISM
   49  WITHIN FORTY-FIVE DAYS OF THE EFFECTIVE DATE OF THIS SUBDIVISION.
   50    S  8.  Sections 1020-hh, 1020-ii and 1020-jj of the public authorities
   51  law, such sections as renumbered by chapter 433 of the laws of 2009, are
   52  renumbered sections 1020-ii, 1020-jj and  1020-kk,  and  a  new  section
   53  1020-hh is added to read as follows:
   54    S  1020-HH.  GREEN  JOBS-GREEN  NEW  YORK PROGRAM. THE AUTHORITY SHALL
   55  PROVIDE ITS CUSTOMERS WITH ACCESS TO  FINANCING  FOR  ENERGY  EFFICIENCY
   56  CAPITAL IMPROVEMENTS, BY ESTABLISHING AN ON-BILL FINANCING MECHANISM FOR
       S. 1171                             7
    1  INSTALLATION  OF  ENERGY EFFICIENCY MEASURES AND IMPROVEMENTS IN COOPER-
    2  ATION WITH THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOPMENT  AUTHORI-
    3  TY'S ("NYSERDA") IMPLEMENTATION OF THE GREEN JOBS-GREEN NEW YORK PROGRAM
    4  PURSUANT  TO  NYSERDA'S AUTHORITY UNDER TITLE NINE-A OF ARTICLE EIGHT OF
    5  THIS CHAPTER.  THE ON-BILL FINANCING MECHANISM SHALL BE  ESTABLISHED  AS
    6  FOLLOWS:
    7    (A)  GREEN  JOBS-GREEN  NEW  YORK PROGRAM "PROGRAM" RETROFITS SHALL BE
    8  PERFORMED IN  ACCORDANCE  WITH  RESEARCH-BASED,  INDUSTRY  STANDARDS  AS
    9  DETERMINED BY THE AUTHORITY;
   10    (B)  PERFORMANCE OF RETROFIT WORK SHALL MEET STANDARDS FOR CONTRACTING
   11  AS DETERMINED BY THE AUTHORITY;
   12    (C) THE AUTHORITY SHALL ONLY PROVIDE ON-BILL FINANCING FOR PACKAGES OF
   13  ENERGY EFFICIENCY MEASURES THAT  IT  DETERMINES  TO  BE  COST-EFFECTIVE.
   14  PACKAGES  OF  ENERGY  EFFICIENCY MEASURES SHALL BE DEEMED COST-EFFECTIVE
   15  IF:
   16    (1) BASED UPON THE MOST RECENT CUSTOMER DATA AVAILABLE, ON AN  ANNUAL-
   17  IZED  BASIS  THE MONTHLY ON-BILL REPAYMENT AMOUNT FOR A PACKAGE OF MEAS-
   18  URES DOES NOT EXCEED ONE-TWELFTH OF THE SAVINGS PROJECTED TO RESULT FROM
   19  THOSE MEASURES; AND THE SAVINGS PROJECTIONS ARE BASED UPON STANDARDS SET
   20  BY THE AUTHORITY AND THE ESTABLISHED CALCULATIONS FOR PROJECTING  ENERGY
   21  SAVINGS  DURING  AN  ENERGY  AUDIT ARE ADJUSTED BY THE AUTHORITY NO LESS
   22  THAN BIANNUALLY USING DATA FROM AUTHORITY  EXPERIENCE  WITH  ITS  ENERGY
   23  EFFICIENCY PROGRAMS AND OTHER COMPARABLE PROGRAMS;
   24    (2) A PORTION OF THE SAVINGS ACHIEVED BY THE RETROFIT, NOT NECESSARILY
   25  ALL  SAVINGS,  WILL  BE SAVINGS ON THE BILL PROVIDED BY THE AUTHORITY OR
   26  OTHER ENTITY BILLING AND COLLECTING THE MONTHLY ON-BILL REPAYMENT;
   27    (3) THE ON-BILL REPAYMENT PERIOD IS LIMITED SO THAT  THE  CUSTOMER  IS
   28  NOT PAYING FOR MEASURES FOR WHICH THE USEFUL LIFE HAS EXPIRED;
   29    (4)  COST-EFFECTIVE  RETROFITS  SHALL  NOT BE LIMITED TO MEASURES THAT
   30  SAVE ON THE FUEL DELIVERED BY THE AUTHORITY OR  OTHER  ENTITY  PROVIDING
   31  THE BILLING AND COLLECTION SERVICES; AND
   32    (5)  IN TESTS OF COST-EFFECTIVENESS, CALCULATIONS OF COSTS AND SAVINGS
   33  WILL USE PRICES REASONABLY AVAILABLE TO  THE  CUSTOMER,  AND  COSTS  AND
   34  SAVINGS TO PARTIES OTHER THAN THE CUSTOMER WILL NOT BE USED TO DETERMINE
   35  COST-EFFECTIVENESS.
   36    (D)  STANDARDS  FOR  THE BILLING, COLLECTION AND CONDITIONS OF SERVICE
   37  RELATED TO GREEN JOBS-GREEN NEW YORK REPAYMENTS WILL ADHERE TO THE STAN-
   38  DARDS ESTABLISHED IN SUBDIVISION  TWO  OF  SECTION  SIXTY-SIX-M  OF  THE
   39  PUBLIC SERVICE LAW.
   40    (E)  THE  AUTHORITY  SHALL  ESTABLISH SUCH ON-BILL FINANCING MECHANISM
   41  WITHIN FORTY-FIVE DAYS OF THE EFFECTIVE DATE OF THIS SECTION.
   42    S 9. Subparagraphs (ii) and (iii) of paragraph (c) of subdivision 1 of
   43  section 1896 of the public authorities law, as added by chapter  487  of
   44  the laws of 2009, are amended to read as follows:
   45    (ii)  enter  into  contracts  with one or more program implementers to
   46  perform such functions as the authority deems appropriate; [and]
   47    (iii) ENTER INTO AGREEMENTS WITH CUSTOMERS  AND  WITH  SUCH  STATE  OR
   48  FEDERAL  AGENCIES  AS  NECESSARY  TO DIRECTLY CAPTURE REBATES AND GRANTS
   49  AVAILABLE FOR INDIVIDUAL RETROFIT PROJECTS,  AND  APPLY  SUCH  FUNDS  TO
   50  REPAYMENT OF CUSTOMER LOAN OBLIGATIONS; AND
   51    (IV) exercise such other powers as are necessary for the proper admin-
   52  istration of the program.
   53    S  10.  Subparagraphs (ii) and (iii) of paragraph (b) of subdivision 2
   54  of section 1896 of the public authorities law, as added by  chapter  487
   55  of the laws of 2009, are amended to read as follows:
       S. 1171                             8
    1    (ii)  loans [shall not exceed thirteen thousand dollars per applicant]
    2  for approved qualified energy efficiency services for residential struc-
    3  tures SHALL BE LIMITED TO THE COST OF A  PROJECT  DEEMED  COST-EFFECTIVE
    4  WITHIN  A PERIOD OF FIFTEEN YEARS PLUS THE AMOUNT OF ANY GRANT OR REBATE
    5  DIRECTLY  RECEIVABLE  BY  THE  AUTHORITY FOR SUCH PROJECT, and SHALL NOT
    6  EXCEED twenty-six thousand dollars per applicant for approved  qualified
    7  energy  efficiency  services  for  non-residential  structures,  and for
    8  multi-family structures loans shall be  in  amounts  determined  by  the
    9  authority,  provided,  however,  that  the authority shall assure that a
   10  significant  number  of  residential  structures  are  included  in  the
   11  program; [and]
   12    (iii)  THE CAPITAL AMOUNT TO BE REPAID BY THE CUSTOMER SHALL BE CALCU-
   13  LATED AS THE TOTAL LOAN AMOUNT LESS ANY GRANT OR REBATE FROM  ANY  STATE
   14  OR FEDERAL AGENCY DUE TO THE CUSTOMER PURSUANT TO THE RETROFIT UNDERTAK-
   15  EN THROUGH THE PROGRAM, AND FOR WHICH NYSERDA HAS SECURED THE CUSTOMER'S
   16  PERMISSION TO COLLECT FUNDS DIRECTLY FROM THE ISSUING AGENCY; AND
   17    (IV)  loans  shall be at interest rates determined by the authority to
   18  be no higher than necessary to make the provision of the qualified ener-
   19  gy efficiency services feasible.
   20    S 11. Section 242 of the real property law is amended by adding a  new
   21  subdivision 4 to read as follows:
   22    4.  DISCLOSURE  PRIOR  TO  THE  SALE OF REAL PROPERTY TO WHICH A GREEN
   23  JOBS-GREEN NEW YORK ON-BILL CHARGE APPLIES. ANY PERSON,  FIRM,  COMPANY,
   24  PARTNERSHIP  OR  CORPORATION  OFFERING TO SELL REAL PROPERTY TO WHICH AN
   25  ELECTRIC OR GAS GREEN JOBS-GREEN NEW YORK ON-BILL CHARGE APPLIES  PURSU-
   26  ANT TO SECTION SIXTY-SIX-M OF THE PUBLIC SERVICE LAW SHALL PROVIDE WRIT-
   27  TEN  NOTICE  TO THE PROSPECTIVE PURCHASER OR THE PROSPECTIVE PURCHASER'S
   28  AGENT, STATING AS FOLLOWS:    "THIS  PROPERTY  IS  SUBJECT  TO  A  GREEN
   29  JOBS-GREEN  NEW YORK ON-BILL CHARGE." THE NOTICE SHALL BE PROVIDED PRIOR
   30  TO THE ACCEPTANCE OF AN OFFER TO PURCHASE SUCH REAL  PROPERTY  AND  MUST
   31  STATE  THAT  THE  PURCHASER  MUST ACCEPT THE OBLIGATION TO PAY THE GREEN
   32  JOBS-GREEN NEW YORK ON-BILL CHARGE,  AND  THAT  NEW  YORK  STATE  ENERGY
   33  RESEARCH  AND  DEVELOPMENT AUTHORITY MUST IN WRITING OR BY EMAIL CERTIFY
   34  RECEIPT OF WRITTEN ACCEPTANCE OF THE OBLIGATION BY PURCHASER, BEFORE THE
   35  SALE CAN BE COMPLETED. IN ADDITION, SUCH NOTICE  SHALL  ALSO  STATE  THE
   36  AMOUNT, TERM, AND PURPOSE OF THE ON-BILL CHARGE.
   37    S  12.  This act shall take effect immediately; provided, however, the
   38  amendments to subdivision 6 of section 18-a of the public  service  law,
   39  made  by  section  three of this act shall not affect the repeal of such
   40  subdivision and shall be deemed repealed therewith.
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