Bill Text: NY S04490 | 2011-2012 | General Assembly | Amended
Bill Title: Establishes the green jobs-green New York on-bill financing program to provide monies for the purposes of the green jobs-green New York program.
Spectrum: Slight Partisan Bill (Republican 3-1)
Status: (Introduced - Dead) 2012-01-04 - REFERRED TO ENERGY AND TELECOMMUNICATIONS [S04490 Detail]
Download: New_York-2011-S04490-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 4490--A 2011-2012 Regular Sessions I N S E N A T E April 6, 2011 ___________ Introduced by Sens. MAZIARZ, GRISANTI, PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommunications -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the public service law, the public authorities law, the real property law, the administrative code of the city of New York, the emergency tenant protection act of nineteen seventy-four and the emergency housing rent control law, in relation to establishing the green jobs-green New York on-bill financing program THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Subdivision 2 of section 18-a of the public service law is 2 amended by adding a new paragraph (h) to read as follows: 3 (H) ON-BILL FINANCING CHARGES BILLED PURSUANT TO SECTION SIXTY-SIX-M 4 OF THIS CHAPTER SHALL BE EXCLUDED FROM ANY DETERMINATION OF A UTILITY 5 COMPANY'S GROSS OPERATING REVENUES DERIVED FROM INTRASTATE UTILITY OPER- 6 ATIONS FOR PURPOSES OF THIS SECTION. 7 S 2. Section 33 of the public service law is amended by adding a new 8 subdivision 6 to read as follows: 9 6. IN THE EVENT THAT THE RESPONSIBILITY FOR MAKING UTILITY PAYMENTS 10 HAS BEEN ASSUMED BY OCCUPANTS OF A MULTIPLE DWELLING PURSUANT TO SUBDI- 11 VISION FIVE OF THIS SECTION, SUCH OCCUPANTS SHALL NOT BE BILLED FOR ANY 12 ARREARS OF ON-BILL FINANCING CHARGES BILLED AS SET FORTH IN SECTION 13 SIXTY-SIX-M OF THIS CHAPTER, WHICH SHALL REMAIN THE RESPONSIBILITY OF 14 THE INCURRING CUSTOMER. 15 S 3. Section 34 of the public service law is amended by adding a new 16 subdivision 3-a to read as follows: 17 3-A. IN THE EVENT THAT AN OCCUPANT OF A TWO-FAMILY DWELLING MAKES A 18 UTILITY PAYMENT PURSUANT TO SUBDIVISION THREE OF THIS SECTION, SUCH 19 OCCUPANTS SHALL NOT BE BILLED FOR ANY ARREARS OF ON-BILL FINANCING 20 CHARGES BILLED AS SET FORTH IN SECTION SIXTY-SIX-M OF THIS CHAPTER, 21 WHICH SHALL REMAIN THE RESPONSIBILITY OF THE INCURRING CUSTOMER. 22 S 4. Subdivision 1 of section 41 of the public service law, as added 23 by chapter 713 of the laws of 1981, is amended to read as follows: EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD10711-04-1 S. 4490--A 2 1 1. Notwithstanding any other provision of law, EXCEPT SECTION 2 SIXTY-SIX-M OF THIS CHAPTER, no utility corporation or municipality may 3 charge a residential customer for gas or electric service which was 4 rendered more than six months prior to the mailing of the first bill to 5 the customer for such service unless the failure of the corporation or 6 municipality to bill sooner was not due to the neglect of the corpo- 7 ration or municipality or was due to the culpable conduct of the custom- 8 er. If the customer remains liable for such service, the utility shall 9 permit payments to be made under an installment payment plan, provided, 10 however, that the utility or municipality may require prompt payment if 11 the non-billing resulted from the culpable conduct of the customer. Any 12 such installment payment plan may provide for a downpayment of up to 13 one-half of the amounts due from the customer, or three months average 14 billing, whichever is less. 15 S 5. Section 42 of the public service law is amended by adding a new 16 subdivision 3 to read as follows: 17 3. THE RIGHTS AND RESPONSIBILITIES OF RESIDENTIAL CUSTOMERS PARTIC- 18 IPATING IN GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING PURSUANT TO 19 SECTION SIXTY-SIX-M OF THIS CHAPTER SHALL BE SUBSTANTIALLY COMPARABLE TO 20 THOSE OF GAS AND ELECTRIC CUSTOMERS NOT PARTICIPATING IN SUCH FINANCING, 21 AND CHARGES FOR ON-BILL FINANCING SHALL BE TREATED AS CHARGES FOR UTILI- 22 TY SERVICE FOR THE PURPOSE OF THIS ARTICLE, PROVIDED THAT: 23 (A) ALL DETERMINATIONS AND SAFEGUARDS RELATED TO THE TERMINATION AND 24 RECONNECTION OF SERVICE SHALL APPLY TO ON-BILL FINANCING CHARGES BILLED 25 BY A UTILITY COMPANY PURSUANT TO SUCH SECTION; 26 (B) IN THE EVENT THAT THE RESPONSIBILITY FOR MAKING UTILITY PAYMENTS 27 HAS BEEN ASSUMED BY OCCUPANTS OF A MULTIPLE DWELLING PURSUANT TO SECTION 28 THIRTY-THREE OF THIS ARTICLE OR BY OCCUPANTS OF A TWO-FAMILY DWELLING 29 PURSUANT TO SECTION THIRTY-FOUR OF THIS ARTICLE, SUCH OCCUPANTS SHALL 30 NOT BE BILLED FOR ANY ARREARS OF ON-BILL FINANCING CHARGES OR ANY 31 PROSPECTIVE ON-BILL FINANCING CHARGES, WHICH SHALL REMAIN THE RESPONSI- 32 BILITY OF THE INCURRING CUSTOMER; 33 (C) DEFERRED PAYMENT AGREEMENTS PURSUANT TO SECTION THIRTY-SEVEN OF 34 THIS ARTICLE SHALL BE AVAILABLE TO CUSTOMERS PARTICIPATING IN ON-BILL 35 FINANCING ON THE SAME TERMS AS OTHER CUSTOMERS, AND THE UTILITY COMPANY 36 SHALL RETAIN THE SAME DISCRETION TO DEFER TERMINATION OF SERVICE AS FOR 37 ANY OTHER DELINQUENT CUSTOMER; 38 (D) WHERE A CUSTOMER HAS A BUDGET BILLING PLAN OR LEVELIZED PAYMENT 39 PLAN PURSUANT TO SECTION THIRTY-EIGHT OF THIS ARTICLE, THE UTILITY 40 COMPANY SHALL RECALCULATE THE PAYMENTS UNDER SUCH PLAN TO REFLECT THE 41 EFFECTS OF INSTALLING ENERGY EFFICIENCY MEASURES AS SOON AS PRACTICABLE 42 AFTER RECEIPT OF INFORMATION ON THE ENERGY AUDIT AND QUALIFIED ENERGY 43 EFFICIENCY SERVICES SELECTED; 44 (E) LATE PAYMENT CHARGES ON UNPAID ON-BILL FINANCING CHARGES SHALL BE 45 DETERMINED AS PROVIDED IN THIS SECTION, OR AS OTHERWISE CONSENTED TO BY 46 THE CUSTOMER IN THE AGREEMENT FOR GREEN JOBS-GREEN NEW YORK ON-BILL 47 FINANCING AND ANY SUCH CHARGES SHALL BE REMITTED TO THE NEW YORK STATE 48 ENERGY RESEARCH AND DEVELOPMENT AUTHORITY; 49 (F) NOTWITHSTANDING THE PROVISIONS OF SECTION FORTY-THREE OF THIS 50 ARTICLE, WHEN A COMPLAINT IS RELATED SOLELY TO WORK PERFORMED UNDER THE 51 GREEN JOBS-GREEN NEW YORK PROGRAM OR TO THE APPROPRIATE AMOUNT OF 52 ON-BILL FINANCING CHARGES, THE UTILITY COMPANY SHALL ONLY BE REQUIRED TO 53 INFORM THE CUSTOMER OF THE COMPLAINT HANDLING PROCEDURES OF THE NEW YORK 54 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, WHICH SHALL RETAIN 55 RESPONSIBILITY FOR HANDLING SUCH COMPLAINTS, AND SUCH COMPLAINTS SHALL S. 4490--A 3 1 NOT BE DEEMED TO BE COMPLAINTS ABOUT UTILITY SERVICE IN ANY OTHER 2 COMMISSION ACTION OR PROCEEDING; AND 3 (G) BILLING INFORMATION PROVIDED PURSUANT TO SECTION FORTY-FOUR OF 4 THIS ARTICLE SHALL INCLUDE INFORMATION ON GREEN JOBS-GREEN NEW YORK 5 ON-BILL FINANCING CHARGES, INCLUDING THE BASIS FOR SUCH CHARGES, AND ANY 6 INFORMATION OR INSERTS PROVIDED BY THE NEW YORK STATE ENERGY RESEARCH 7 AND DEVELOPMENT AUTHORITY RELATED THERETO. IN ADDITION, AT LEAST ANNUAL- 8 LY THE AUTHORITY SHALL PROVIDE THE UTILITY COMPANY WITH INFORMATION FOR 9 INCLUSION OR INSERTION IN THE CUSTOMER'S BILL THAT SETS FORTH THE AMOUNT 10 AND DURATION OF REMAINING ON-BILL FINANCING CHARGES AND THE AUTHORITY'S 11 CONTACT INFORMATION AND PROCEDURES FOR RESOLVING CUSTOMER COMPLAINTS 12 WITH SUCH CHARGES. 13 S 6. Section 43 of the public service law is amended by adding a new 14 subdivision 4 to read as follows: 15 4. WHEN A COMPLAINT IS RECEIVED BY THE UTILITY COMPANY THAT IS RELATED 16 TO WORK PERFORMED UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM OR TO THE 17 APPROPRIATE AMOUNT OF ON-BILL FINANCING CHARGES, THE UTILITY COMPANY 18 SHALL ONLY BE REQUIRED TO INFORM THE CUSTOMER OF THE COMPLAINT HANDLING 19 PROCEDURES OF THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR- 20 ITY, WHICH SHALL RETAIN SOLE RESPONSIBILITY FOR HANDLING SUCH 21 COMPLAINTS, AND SUCH COMPLAINTS SHALL NOT BE DEEMED TO BE COMPLAINTS 22 ABOUT UTILITY SERVICE IN ANY OTHER COMMISSION ACTION OR PROCEEDING. THE 23 UTILITY COMPANY SHALL NOT TERMINATE, DISCONNECT OR SUSPEND THE CUSTOM- 24 ER'S SERVICE FOR NON-PAYMENT OF THE ON-BILL FINANCING CHARGES DURING THE 25 PENDENCY OF THE COMPLAINT AND UNTIL FIFTEEN DAYS AFTER THE NEW YORK 26 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY INFORMS THE UTILITY 27 COMPANY THAT THE COMPLAINT HAS BEEN RESOLVED. 28 S 7. Paragraph (d) of subdivision 6 of section 65 of the public 29 service law, as added by chapter 204 of the laws of 2010, is amended to 30 read as follows: 31 (d) for installation of capital improvements and fixtures to promote 32 energy efficiency upon the request and consent of the customer, INCLUD- 33 ING BUT NOT LIMITED TO THE PERFORMANCE OF QUALIFIED ENERGY EFFICIENCY 34 SERVICES FOR CUSTOMERS PARTICIPATING IN GREEN JOBS-GREEN NEW YORK 35 ON-BILL FINANCING PURSUANT TO SECTION SIXTY-SIX-M OF THIS ARTICLE. 36 S 8. The public service law is amended by adding a new section 66-m to 37 read as follows: 38 S 66-M. GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM. 1. (A) 39 THE COMMISSION SHALL REQUIRE EACH UTILITY COMPANY TO PROVIDE FOR THE 40 BILLING AND COLLECTION OF ON-BILL CHARGES FOR PAYMENT OF OBLIGATIONS OF 41 ITS CUSTOMERS TO THE GREEN JOBS-GREEN NEW YORK REVOLVING LOAN FUND 42 ESTABLISHED PURSUANT TO TITLE NINE-A OF ARTICLE EIGHT OF THE PUBLIC 43 AUTHORITIES LAW. TO THE MAXIMUM EXTENT PRACTICABLE, UTILITY COMPANIES 44 SHALL UTILIZE EXISTING ELECTRONIC DATA INTERCHANGE INFRASTRUCTURE OR 45 OTHER EXISTING BILLING INFRASTRUCTURE TO IMPLEMENT THEIR BILLING AND 46 COLLECTION RESPONSIBILITIES UNDER THIS SECTION. 47 (B) EXCEPT AS PARTICIPATION MAY BE LIMITED BY PARAGRAPH (G) OF THIS 48 SUBDIVISION, THIS PROGRAM SHALL BE AVAILABLE TO CUSTOMERS WHO HAVE MET 49 THE STANDARDS ESTABLISHED BY THE NEW YORK STATE ENERGY RESEARCH AND 50 DEVELOPMENT AUTHORITY FOR PARTICIPATION IN THE ON-BILL FINANCING MECH- 51 ANISM UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM AND WHO HAVE EXECUTED 52 A WRITTEN AGREEMENT FOR THE DELIVERY OF QUALIFIED ENERGY EFFICIENCY 53 SERVICES UNDER SUCH PROGRAM AND A NOTE OBLIGATING THE CUSTOMER TO REPAY 54 THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY FOR FUNDS 55 LOANED TO THE CUSTOMER FOR SUCH QUALIFIED ENERGY EFFICIENCY SERVICES; S. 4490--A 4 1 PROVIDED, HOWEVER, THAT SUCH CUSTOMERS MUST BE THE UTILITY COMPANY'S 2 CUSTOMER OF RECORD TO WHICH SUCH ON-BILL FINANCING CHARGES WILL APPLY. 3 (C) FOLLOWING THE EXPIRATION OF THE CANCELLATION PERIOD PROVIDED IN 4 SUBDIVISION FOUR OF SECTION EIGHTEEN HUNDRED NINETY-SIX OF THE PUBLIC 5 AUTHORITIES LAW, THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT 6 AUTHORITY SHALL IDENTIFY TO THE APPROPRIATE UTILITY COMPANY EACH CUSTOM- 7 ER WHO HAS RECEIVED A LOAN TO BE REPAID THROUGH THE ON-BILL FINANCING 8 MECHANISM AND THE AMOUNT OF EACH MONTHLY LOAN REPAYMENT INSTALLMENT. 9 EACH UTILITY COMPANY SHALL BILL ITS CUSTOMER THAT HAS OBTAINED A GREEN 10 JOBS-GREEN NEW YORK LOAN FOR ENERGY EFFICIENCY IMPROVEMENTS FROM THE NEW 11 YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY THE AMOUNT DUE AS 12 THE ON-BILL FINANCING CHARGES, COMPRISING THE MONTHLY INSTALLMENT ON 13 SUCH LOAN AND ANY LATE PAYMENT CHARGES THEREON DESIGNATED BY THE NEW 14 YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY. AT THE UTILITY 15 COMPANY'S OPTION, THE ON-BILL FINANCING CHARGES MAY BE BILLED SEPARATE- 16 LY. 17 (D) THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY SHALL 18 DETERMINE WHETHER THE CUSTOMER'S UTILITY COMPANY WILL BILL THE ON-BILL 19 FINANCING CHARGES BASED ON THE RELATIVE DOLLAR VALUES OF THE PROJECTED 20 ENERGY SAVINGS BY ENERGY TYPE. BILLING AND COLLECTION SERVICES SHALL BE 21 AVAILABLE WITHOUT REGARD TO WHETHER THE ENERGY OR FUEL DELIVERED BY THE 22 UTILITY COMPANY IS THE CUSTOMER'S PRIMARY ENERGY SOURCE. THE ON-BILL 23 FINANCING CHARGES SHALL BE COLLECTED ON BILLS FROM THE CUSTOMER'S ELEC- 24 TRIC CORPORATION UNLESS THE QUALIFIED ENERGY EFFICIENCY SERVICES AT THE 25 CUSTOMER'S PREMISES RESULTS IN MORE PROJECTED ENERGY SAVINGS ON THE 26 CUSTOMER'S GAS BILL THAN ON THE ELECTRIC BILL, IN WHICH CASE THE ON-BILL 27 FINANCING CHARGES SHALL BE COLLECTED ONLY ON THE CUSTOMER'S GAS CORPO- 28 RATION BILLS. 29 (E) GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING, IMPLEMENTATION PLAN. 30 (I) FOR THE PURPOSES OF CARRYING OUT THE REQUIREMENTS OF THIS SECTION, 31 THE COMMISSION SHALL ISSUE AN ORDER MANDATING A COLLABORATIVE PROCESS 32 BETWEEN THE COMMISSION, THE NEW YORK STATE ENERGY RESEARCH AND DEVELOP- 33 MENT AUTHORITY AND UTILITY COMPANIES, TO DEVELOP THE RULES, REGULATIONS 34 AND PRACTICES REQUIRED BY SUBPARAGRAPH (II) OF THIS PARAGRAPH, IN ADDI- 35 TION TO THE PROCESS AND RULES FOR ONGOING RECOVERY. SUCH COLLABORATIVE 36 PROCESS SHALL LAST NINETY DAYS, AFTER WHICH TIME UTILITY COMPANIES SHALL 37 SUBMIT A FINAL IMPLEMENTATION PLAN TO THE COMMISSION WITHIN THIRTY DAYS. 38 THE COMMISSION SHALL THEREAFTER APPROVE, DENY OR MODIFY SUCH PLAN WITHIN 39 SIXTY DAYS. IF A PLAN IS DISAPPROVED, THE UTILITY COMPANY WILL HAVE 40 THIRTY DAYS TO MEET THE REQUIREMENTS OF APPROVAL. FOLLOWING APPROVAL, 41 UTILITY COMPANIES SHALL IMPLEMENT THE PROGRAM WITHIN EIGHT MONTHS. NOT 42 LESS THAN ONE MONTH BEFORE THE DEADLINE FOR COMPLIANCE WITH IMPLEMENTA- 43 TION OF THE PROGRAM, A UTILITY COMPANY MAY REQUEST IN WRITING THAT THE 44 COMMISSION GRANT, FOR GOOD CAUSE, AN EXTENSION OF TIME, NOT TO EXCEED 45 TWO MONTHS, IN ORDER FOR SUCH UTILITY COMPANY TO IMPLEMENT THE PROGRAM. 46 THE COMMISSION SHALL APPROVE OR DENY SUCH REQUEST WITHIN FIVE BUSINESS 47 DAYS, AND SHALL SPECIFY THE LENGTH OF THE ADDITIONAL TIME PROVIDED, UP 48 TO TWO MONTHS, HOWEVER ONLY ONE EXTENSION OF TIME MAY BE APPROVED BY THE 49 COMMISSION. 50 (II) THE COMMISSION SHALL, IN CONSULTATION WITH THE NEW YORK STATE 51 ENERGY RESEARCH AND DEVELOPMENT AUTHORITY AND UTILITY COMPANIES, PROMUL- 52 GATE RULES AND REGULATIONS THAT ESTABLISH BUSINESS PRACTICES TO BE 53 EMPLOYED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY 54 AND UTILITY COMPANIES IN ADMINISTERING THE ON-BILL FINANCING PROGRAM 55 INCLUDING, BUT NOT LIMITED TO: BILLING, PAYMENT PROCESSING, COLLECTION 56 OF ON-BILL FINANCING CHARGES, NOTICE OF TERMINATION REQUIREMENTS, CONDI- S. 4490--A 5 1 TIONS UNDER WHICH UTILITY COMPANIES MAY APPLY TO THE COMMISSION FOR ANY 2 ONGOING COST RECOVERY, AND CONDITIONS UPON WHICH THE NEW YORK STATE 3 ENERGY RESEARCH AND DEVELOPMENT AUTHORITY MAY AUTHORIZE THE REIN- 4 STATEMENT OF SERVICE OR THE OPENING OF A NEW UTILITY ACCOUNT BY A 5 CUSTOMER WHOSE UTILITY ACCOUNT HAS BEEN TERMINATED FOR NONPAYMENT OF 6 ON-BILL FINANCING CHARGES. RULES AND REGULATIONS PROMULGATED BY THE 7 COMMISSION CONCERNING ANY REQUEST FOR ONGOING COST RECOVERY SHALL DIRECT 8 UTILITY COMPANIES TO FILE INFORMATION BEFORE THE COMMISSION FOR CONSID- 9 ERATION OF THE REQUEST, AND THE COMMISSION SHALL MAINTAIN ITS RIGHT TO 10 APPROVE, DENY OR MODIFY SUCH REQUEST. 11 (F) IN ADMINISTERING THE GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING 12 PROGRAM, THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY IS 13 DIRECTED TO MAKE REIMBURSEMENTS TO UTILITY COMPANIES FOR REASONABLE AND 14 NECESSARY COSTS ASSOCIATED WITH THE IMPLEMENTATION OF THE GREEN 15 JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM. 16 (G) EACH UTILITY COMPANY SHALL LIMIT THE NUMBER OF CUSTOMERS WHO 17 PARTICIPATE IN THE GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM 18 TO NO MORE THAN ONE AND ONE-HALF PERCENT OF ITS TOTAL CUSTOMERS. THE 19 NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY MAY, FOLLOWING 20 A REVIEW OF THE PROGRAM OVER A PERIOD OF NOT LESS THAN THIRTY-SIX 21 MONTHS, BASED UPON DATA FROM THE REPORTING REQUIREMENT OF SUBDIVISION 22 THREE OF SECTION EIGHTEEN HUNDRED NINETY-NINE OF THE PUBLIC AUTHORITIES 23 LAW, PETITION THE COMMISSION TO INCREASE THE NUMBER OF CUSTOMERS WHO MAY 24 PARTICIPATE IN THE GREEN JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM 25 TO NOT MORE THAN TWO AND ONE-HALF PERCENT OF EACH UTILITY'S TOTAL 26 CUSTOMERS. 27 (H) THE COMMISSION MAY SUSPEND OR TERMINATE A UTILITY COMPANY'S OFFER- 28 ING OF THE ON-BILL FINANCE CHARGE PROVIDED THAT THE COMMISSION MAKES A 29 FINDING THAT THERE IS A SIGNIFICANT INCREASE IN UTILITY SERVICE DISCON- 30 NECTIONS THAT THE COMMISSION DETERMINES IS DIRECTLY RELATED TO THE 31 ON-BILL CHARGE, OR A FINDING OF OTHER GOOD CAUSE. 32 (I) FIFTEEN PERCENT OF THE ENERGY SAVINGS REALIZED FROM CAPITAL 33 IMPROVEMENTS AND FIXTURES FINANCED BY THE NEW YORK STATE ENERGY RESEARCH 34 AND DEVELOPMENT AUTHORITY LOANS UNDER THE GREEN JOBS-GREEN NEW YORK LOAN 35 PROGRAM PURSUANT TO SUBDIVISION TWO OF SECTION EIGHTEEN HUNDRED NINETY- 36 SIX OF THE PUBLIC AUTHORITIES LAW, IN THE UTILITY COMPANIES' SERVICE 37 TERRITORIES SHALL BE CREDITED TO THE APPROPRIATE ELECTRIC CORPORATION'S 38 AND/OR GAS CORPORATION'S ENERGY SAVINGS TARGETS ESTABLISHED BY THE 39 COMMISSION IN THE ENERGY EFFICIENCY PORTFOLIO STANDARD PROCEEDING. 40 (J) UTILITY COMPANIES MAY TERMINATE UTILITY SERVICE FOR NON-PAYMENT OF 41 SUCH ON-BILL FINANCING CHARGES SUBJECT TO THE RIGHTS OF THE CUSTOMER 42 ESTABLISHED UNDER ARTICLE TWO OF THE PUBLIC SERVICE LAW EXCEPT THE RIGHT 43 TO HAVE PAYMENT OF ARREARS OF INSTALLMENTS OF ON-BILL FINANCING CHARGES 44 SUBJECT TO A DEFERRED PAYMENT AGREEMENT UNDER SECTION THIRTY-SEVEN OF 45 THIS CHAPTER. 46 (K) THE RESPONSIBILITIES OF THE UTILITY COMPANY SHALL BE LIMITED SOLE- 47 LY TO PROVIDING BILLING, PAYMENT PROCESSING, AND COLLECTION SERVICES FOR 48 ON-BILL CHARGES AS DIRECTED BY THE NEW YORK STATE ENERGY RESEARCH AND 49 DEVELOPMENT AUTHORITY. 50 (L) A CUSTOMER REMITTING LESS THAN THE TOTAL AMOUNT DUE FOR ELECTRIC 51 AND/OR GAS SERVICES AND ON-BILL FINANCING CHARGES SHALL HAVE SUCH 52 PARTIAL PAYMENT FIRST APPLIED AS PAYMENT FOR ELECTRIC AND/OR GAS 53 SERVICES AND ANY REMAINING AMOUNT WILL BE APPLIED TO THE ON-BILL FINANC- 54 ING CHARGE, WHETHER SUCH CHARGE IS INCLUDED ON THE UTILITY BILL OR BILL 55 SEPARATELY. S. 4490--A 6 1 (M) WHEN THE CUSTOMER'S UTILITY ACCOUNT AT THE UTILITY COMPANY IS 2 CLOSED, THE BALANCE OF THE CUSTOMER'S GREEN JOBS-GREEN NEW YORK LOAN 3 INCLUDING ANY CHARGES IN ARREARS SHALL BE DUE AND OWING, AND COLLECTION 4 SHALL BE THE RESPONSIBILITY OF THE NEW YORK STATE ENERGY RESEARCH AND 5 DEVELOPMENT AUTHORITY. AFTER THE CUSTOMER'S UTILITY ACCOUNT AT THE 6 UTILITY COMPANY IS CLOSED, ALL PAYMENT PROCESSING AND COLLECTION 7 SERVICES FOR ON-BILL CHARGES SHALL BE CONDUCTED BY OR ON BEHALF OF THE 8 NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY IN A MANNER 9 CONSISTENT WITH THE RIGHTS, DUTIES AND OBLIGATIONS OF EVERY UTILITY 10 COMPANY SUBJECT TO THE JURISDICTION OF THE COMMISSION UNDER THIS ARTI- 11 CLE, AND ARTICLES TWO AND FOUR-A OF THIS CHAPTER. 12 (N) UNLESS OTHERWISE PRECLUDED BY LAW, PARTICIPATION IN THE GREEN 13 JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM SHALL NOT AFFECT A CUSTOM- 14 ER'S ELIGIBILITY FOR ANY REBATE OR INCENTIVE OFFERED BY A UTILITY COMPA- 15 NY. UTILITY COMPANIES MAY MAKE AVAILABLE TO CUSTOMERS WHO RECEIVED GREEN 16 JOBS-GREEN NEW YORK ON-BILL FINANCING PROGRAM LOANS ANY REBATES FOR 17 ELIGIBLE ENERGY EFFICIENCY MEASURES AVAILABLE TO CUSTOMERS WHO DO NOT 18 RECEIVE SUCH LOANS. 19 (O) THE COMMISSION SHALL NOT APPROVE ANY APPLICATION FOR THE CONVER- 20 SION TO SUBMETERING OF ANY MASTER METER THAT IS SUBJECT TO ANY ON-BILL 21 FINANCING CHARGES. 22 2. (A) QUALIFIED ENERGY EFFICIENCY SERVICES REPAID THROUGH AN ON-BILL 23 RECOVERY MECHANISM SHALL BE CONSIDERED A SPECIAL ENERGY PROJECT PURSUANT 24 TO SECTION EIGHTEEN HUNDRED FIFTY-ONE OF THE PUBLIC AUTHORITIES LAW. THE 25 NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY SHALL SECURE 26 EVERY LOAN ISSUED FOR SUCH SERVICES THAT ARE TO BE REPAID THROUGH AN 27 ON-BILL RECOVERY MECHANISM WITH A MORTGAGE UPON THE REAL PROPERTY THAT 28 IS IMPROVED BY SUCH SERVICES. SUCH MORTGAGE SHALL BE RECORDED PURSUANT 29 TO SECTION TWO HUNDRED NINETY-ONE-D OF THE REAL PROPERTY LAW. 30 (B) ALL TERMS AND PROVISIONS OF A GREEN JOBS-GREEN NEW YORK MORTGAGE 31 PURSUANT TO THIS SUBDIVISION SHALL BE SUBJECT AND SUBORDINATE TO THE 32 LIEN OF ANY MORTGAGE OR MORTGAGES BY A BANK, CREDIT UNION OR OTHER 33 INSTITUTIONAL LENDER. WHEN A SUBSEQUENT PURCHASER OF THE PROPERTY IS 34 GRANTED A MORTGAGE, THE GREEN JOBS-GREEN NEW YORK MORTGAGE SHALL BE 35 SUBORDINATE TO THE TERMS OF THAT MORTGAGE. 36 (C) THE MORTGAGEE SHALL NOT RETAIN ANY RIGHT TO ENFORCE PAYMENT OR 37 FORECLOSE UPON THE PROPERTY. 38 (D) THE GREEN JOBS-GREEN NEW YORK MORTGAGE SHALL BE EXEMPT FROM STATE 39 MORTGAGE RECORDING TAXES AND LOCAL RECORDING TAXES. 40 S 9. Sections 1020-hh, 1020-ii and 1020-jj of the public authorities 41 law, as renumbered by chapter 433 of the laws of 2009, are renumbered 42 sections 1020-ii, 1020-jj and 1020-kk and a new section 1020-hh is added 43 to read as follows: 44 S 1020-HH. GREEN JOBS-GREEN NEW YORK ON-BILL RECOVERY. 1. WITHIN ONE 45 HUNDRED FIFTY DAYS OF THE EFFECTIVE DATE OF THIS SECTION, THE AUTHORITY 46 SHALL ESTABLISH A PROGRAM TO PROVIDE FOR THE BILLING AND COLLECTION OF 47 ON-BILL RECOVERY CHARGES FOR PAYMENT OF OBLIGATIONS OF ITS CUSTOMERS TO 48 THE GREEN JOBS-GREEN NEW YORK REVOLVING LOAN FUND ESTABLISHED PURSUANT 49 TO TITLE NINE-A OF ARTICLE EIGHT OF THIS CHAPTER. SUCH PROGRAM SHALL BE 50 CONSISTENT WITH THE STANDARDS SET FORTH IN SUBDIVISION THREE OF SECTION 51 FORTY-TWO AND SECTION SIXTY-SIX-M OF THE PUBLIC SERVICE LAW. TO THE 52 MAXIMUM EXTENT PRACTICABLE, FUNDING AVAILABLE FROM THE NEW YORK STATE 53 ENERGY RESEARCH AND DEVELOPMENT AUTHORITY SHALL BE UTILIZED TO DEFRAY 54 ANY COSTS ASSOCIATED WITH ELECTRONIC DATA INTERCHANGE IMPROVEMENTS OR 55 OTHER COSTS OF INITIATING AND IMPLEMENTING THIS PROGRAM. BILLING AND S. 4490--A 7 1 COLLECTION SERVICES SHALL COMMENCE AS SOON AS PRACTICABLE AFTER ESTAB- 2 LISHMENT OF THE PROGRAM. 3 2. THE AUTHORITY MAY SUSPEND ITS OFFERING OF THE ON-BILL RECOVERY 4 CHARGE PROVIDED THAT, AFTER CONDUCTING A PUBLIC HEARING, THE AUTHORITY 5 MAKES A FINDING THAT THERE IS A SIGNIFICANT INCREASE IN UTILITY SERVICE 6 ARREARS OR DISCONNECTIONS THAT THE AUTHORITY DETERMINES IS DIRECTLY 7 RELATED TO THE ON-BILL RECOVERY CHARGE, OR A FINDING OF OTHER GOOD 8 CAUSE. 9 S 10. Section 1896 of the public authorities law, as added by chapter 10 487 of the laws of 2009, is amended to read as follows: 11 S 1896. Green jobs-green New York revolving loan fund. 1. (a) There is 12 hereby created a green jobs-green New York revolving loan fund. The 13 revolving loan fund shall consist of: 14 (i) all moneys made available for the purpose of the revolving loan 15 fund pursuant to section eighteen hundred ninety-nine-a of this title; 16 (ii) payments of principal and interest, INCLUDING ANY LATE PAYMENT 17 CHARGES, made pursuant to loan or financing agreements entered into with 18 the authority or its designee pursuant to this section; and 19 (iii) any interest earned by the investment of moneys in the revolving 20 loan fund. 21 (b) The revolving loan fund shall consist of two accounts: 22 (i) one account which shall be maintained for monies to be made avail- 23 able to provide loans to finance the cost of approved qualified energy 24 efficiency services for residential structures and multi-family struc- 25 tures, and 26 (ii) one account which shall be maintained for monies made available 27 to provide loans to finance the cost of approved qualified energy effi- 28 ciency services for non-residential structures. The initial balance of 29 the residential account established in [clause] SUBPARAGRAPH (i) of this 30 paragraph shall represent at least fifty percent of the total balance of 31 the two accounts. The authority shall not commingle the monies of the 32 revolving loan fund with any other monies of the authority or held by 33 the authority, nor shall the authority commingle the monies between 34 accounts. Payments of principal, interest and fees shall be deposited 35 into the account created and maintained for the appropriate type of 36 eligible project. 37 (c) In administering such program, the authority is authorized and 38 directed to: 39 (i) use monies made available for the revolving loan fund to achieve 40 the purposes of this section by section eighteen hundred ninety-nine-a 41 of this title, including but not limited to making loans available for 42 eligible projects; 43 (ii) enter into contracts with one or more program implementers to 44 perform such functions as the authority deems appropriate; [and] 45 (iii) ESTABLISH AN ON-BILL RECOVERY MECHANISM FOR REPAYMENT OF LOANS 46 FOR THE PERFORMANCE OF QUALIFIED ENERGY EFFICIENCY SERVICES FOR ELIGIBLE 47 PROJECTS IN THE FORM OF A CHARGE APPEARING ON THE PARTICIPATING CUSTOM- 48 ER'S UTILITY BILL PROVIDED THAT SUCH ON-BILL RECOVERY MECHANISM SHALL 49 PROVIDE FOR THE UTILIZATION OF ANY ON-BILL RECOVERY PROGRAMS ESTABLISHED 50 PURSUANT TO SECTION SIXTY-SIX-M OF THE PUBLIC SERVICE LAW AND SECTION 51 ONE THOUSAND TWENTY-HH OF THIS CHAPTER; 52 (IV) ESTABLISH STANDARDS FOR CUSTOMER PARTICIPATION IN SUCH ON-BILL 53 FINANCING MECHANISM, INCLUDING STANDARDS FOR RELIABLE UTILITY BILL 54 PAYMENT, CURRENT GOOD STANDING ON ANY MORTGAGE OBLIGATIONS, AND SUCH 55 ADDITIONAL STANDARDS AS THE AUTHORITY DEEMS NECESSARY; PROVIDED THAT IN 56 ORDER TO PROVIDE BROAD ACCESS TO ON-BILLING FINANCING THE AUTHORITY MAY S. 4490--A 8 1 MAINTAIN DIFFERENT STANDARDS FOR DIFFERENT CATEGORIES OF CUSTOMERS WHICH 2 SHALL BE PRUDENT AND, TO THE FULLEST EXTENT PRACTICABLE, SHALL INCLUDE 3 PARTICIPATION BY CUSTOMERS WHO ARE LESS LIKELY TO HAVE ACCESS TO TRADI- 4 TIONAL SOURCES OF FINANCING; 5 (V) PROVIDE ALL CUSTOMERS WHO ENTER INTO A LOAN PURSUANT TO THIS TITLE 6 WITH ADEQUATE DISCLOSURES AS PROVIDED FOR IN SUBDIVISION FOUR OF THIS 7 SECTION; AND 8 (vi) exercise such other powers as are necessary for the proper admin- 9 istration of the program, INCLUDING AT THE DISCRETION OF THE AUTHORITY, 10 ENTERING INTO AGREEMENTS WITH APPLICANTS AND WITH SUCH STATE OR FEDERAL 11 AGENCIES AS NECESSARY TO DIRECTLY RECEIVE REBATES AND GRANTS AVAILABLE 12 FOR ELIGIBLE PROJECTS AND APPLY SUCH FUNDS TO REPAYMENT OF APPLICANT 13 LOAN OBLIGATIONS. 14 2. (a) The authority shall provide financial assistance in the form of 15 loans for the performance of qualified energy efficiency services for 16 eligible projects on terms and conditions established by the authority. 17 (b) Loans made by the authority pursuant to this section shall be 18 subject to the following limitations: 19 (i) eligible projects shall meet cost effectiveness standards devel- 20 oped by the authority; 21 (ii) loans shall not exceed thirteen thousand dollars per applicant 22 for approved qualified energy efficiency services for residential struc- 23 tures, and twenty-six thousand dollars per applicant for approved quali- 24 fied energy efficiency services for non-residential structures, 25 PROVIDED, HOWEVER, THAT THE AUTHORITY MAY PERMIT A LOAN IN EXCESS OF 26 SUCH AMOUNTS IF THE TOTAL COST OF ENERGY EFFICIENCY MEASURES FINANCED BY 27 SUCH LOAN WILL ACHIEVE A PAYBACK PERIOD OF FIFTEEN YEARS OR LESS, BUT IN 28 NO EVENT SHALL ANY SUCH LOAN EXCEED TWENTY-FIVE THOUSAND DOLLARS PER 29 APPLICANT FOR RESIDENTIAL STRUCTURES AND FIFTY THOUSAND DOLLARS PER 30 APPLICANT FOR NON-RESIDENTIAL STRUCTURES; and for multi-family struc- 31 tures loans shall be in amounts determined by the authority, provided, 32 however, that the authority shall assure that a significant number of 33 residential structures are included in the program; [and] 34 (iii) NO FEES OR PENALTIES SHALL BE CHARGED OR COLLECTED FOR PREPAY- 35 MENT OF ANY SUCH LOAN; AND 36 (IV) loans shall be at interest rates determined by the authority to 37 be no higher than necessary to make the provision of the qualified ener- 38 gy efficiency services feasible. 39 In determining whether to make a loan, and the amount of any loan that 40 is made, the authority is authorized to consider whether the applicant 41 or borrower has received, or is eligible to receive, financial assist- 42 ance and other incentives from any other source for the qualified energy 43 efficiency services which would be the subject of the loan. IN DETER- 44 MINING WHETHER A LOAN WILL ACHIEVE A PAYBACK PERIOD OF FIFTEEN YEARS OR 45 LESS PURSUANT TO SUBPARAGRAPH (II) OF THIS PARAGRAPH, THE AUTHORITY MAY 46 CONSIDER THE AMOUNT OF THE LOAN TO BE REDUCED BY THE AMOUNT OF ANY 47 REBATES FOR QUALIFIED ENERGY EFFICIENCY SERVICES RECEIVED BY THE APPLI- 48 CANT OR BY THE AUTHORITY ON BEHALF OF AN APPLICANT. 49 (c) Applications for financial assistance pursuant to this section 50 shall be reviewed and evaluated by the authority or its designee pursu- 51 ant to eligibility and qualification requirements and criteria estab- 52 lished by the authority. The authority shall establish standards for (i) 53 qualified energy efficiency services, and (ii) measurement and verifica- 54 tion of energy savings. Such standards shall meet or exceed the stand- 55 ards used by the authority for similar programs in existence on the 56 effective date of this section. S. 4490--A 9 1 (d) The amount of a fee paid for an energy audit provided under 2 section eighteen hundred ninety-five of this title may be added to the 3 amount of a loan that is made under this section to finance the cost of 4 an eligible project conducted in response to such energy audit. In such 5 a case, the amount of the fee may be reimbursed from the fund to the 6 borrower. 7 (E) IN ESTABLISHING AN ON-BILL FINANCING MECHANISM: 8 (I) THE COST-EFFECTIVENESS OF AN ELIGIBLE PROJECT SHALL BE EVALUATED 9 SOLELY ON THE BASIS OF THE COSTS AND PROJECTED SAVINGS TO THE APPLYING 10 CUSTOMER, USING STANDARD ENGINEERING ASSESSMENTS AND PRIOR BILLING DATA 11 AND USAGE PATTERNS; 12 (II) THE AUTHORITY SHALL ESTABLISH A PROCESS FOR RECEIPT AND RESOL- 13 UTION OF CUSTOMER COMPLAINTS CONCERNING ON-BILL CHARGES AND FOR ADDRESS- 14 ING DELAYS AND DEFAULTS IN CUSTOMER PAYMENTS; AND 15 (III) THE AUTHORITY MAY LIMIT THE AVAILABILITY OF LIGHTING MEASURES OR 16 HOUSEHOLD APPLIANCES THAT ARE NOT PERMANENTLY AFFIXED TO REAL PROPERTY. 17 3. THE AUTHORITY SHALL EVALUATE THE COST-EFFECTIVENESS OF THE ON-BILL 18 FINANCING MECHANISM ON AN ON-GOING BASIS. 19 (A) IN CONDUCTING SUCH EVALUATION, THE AUTHORITY SHALL REQUEST EACH 20 CUSTOMER TO PROVIDE INFORMATION ON ANY IMPROVEMENTS OR MODIFICATIONS TO 21 THE PREMISES, USE OF THE PREMISES OR ENERGY CONSUMING APPLIANCES OR 22 EQUIPMENT OF ANY TYPE THAT MAY SIGNIFICANTLY AFFECT ENERGY USAGE. 23 (B) AT A MINIMUM THE AUTHORITY SHALL COLLECT AND MAINTAIN INFORMATION 24 FOR DATES PRIOR TO THE PERFORMANCE OF QUALIFIED ENERGY EFFICIENCY 25 SERVICES, TO ESTABLISH A BASELINE, AND FOR DATES COVERING A SUBSEQUENT 26 TIME PERIOD TO MEASURE THE EFFECTIVENESS OF SUCH MEASURES. SUCH DATA 27 SHALL BE CORRELATED WITH INFORMATION FROM THE ENERGY AUDIT AND ANY OTHER 28 RELEVANT INFORMATION, INCLUDING INFORMATION ON LOCAL WEATHER CONDITIONS, 29 AND SHALL BE USED TO EVALUATE THE ON-BILL FINANCING PROGRAM AND TO 30 IMPROVE THE ACCURACY OF PROJECTIONS OF COST-EFFECTIVENESS ON AN ON- 31 GOING BASIS. AN ANALYSIS OF SUCH DATA SHALL BE INCLUDED IN THE ANNUAL 32 REPORT PREPARED PURSUANT TO SECTION EIGHTEEN HUNDRED NINETY-NINE OF THIS 33 TITLE. 34 (C) ALL PERSONALLY IDENTIFIABLE INFORMATION COLLECTED BY THE AUTHORITY 35 SHALL BE CONFIDENTIAL. THE AUTHORITY SHALL COLLECT AND AGGREGATE AND 36 PUBLISH ON THE AUTHORITY WEBSITE SUCH INFORMATION AS DESCRIBED IN PARA- 37 GRAPH (B) OF THIS SUBDIVISION IN A MANNER THAT WILL FACILITATE THE OPEN 38 TRANSMISSION OF INFORMATION REGARDING THE BEST PRACTICES OF QUALIFIED 39 ENERGY EFFICIENCY SERVICES. 40 (D) QUALIFIED ENERGY EFFICIENCY SERVICES REPAID THROUGH AN ON-BILL 41 RECOVERY MECHANISM SHALL BE CONSIDERED A SPECIAL ENERGY PROJECT PURSUANT 42 TO SECTION EIGHTEEN HUNDRED FIFTY-ONE OF THIS ARTICLE. THE NEW YORK 43 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY SHALL SECURE EVERY LOAN 44 ISSUED FOR SUCH SERVICES THAT ARE TO BE REPAID THROUGH AN ON-BILL RECOV- 45 ERY MECHANISM WITH A MORTGAGE UPON THE REAL PROPERTY THAT IS IMPROVED BY 46 SUCH SERVICES. SUCH MORTGAGE SHALL BE RECORDED PURSUANT TO SECTION TWO 47 HUNDRED NINETY-ONE-D OF THE REAL PROPERTY LAW. 48 (E) ALL TERMS AND PROVISIONS OF A GREEN JOBS-GREEN NEW YORK MORTGAGE 49 PURSUANT TO THIS SUBDIVISION SHALL BE SUBJECT AND SUBORDINATE TO THE 50 LIEN OF ANY MORTGAGE OR MORTGAGES BY A BANK, CREDIT UNION OR OTHER 51 INSTITUTIONAL LENDER. WHEN A SUBSEQUENT PURCHASER OF THE PROPERTY IS 52 GRANTED A MORTGAGE, THE GREEN JOBS-GREEN NEW YORK MORTGAGE SHALL BE 53 SUBORDINATE TO THE TERMS OF THAT MORTGAGE. 54 4. (A) ANY PERSON, FIRM, COMPANY, PARTNERSHIP, OR CORPORATION INCLUD- 55 ING, BUT NOT LIMITED TO, THE AUTHORITY, OFFERING TO PROVIDE CUSTOMERS 56 WITH A LOAN FOR THE PURPOSES OF UNDERTAKING AN ENERGY-EFFICIENT PROJECT S. 4490--A 10 1 PURSUANT TO THE PROGRAM SHALL PROVIDE, IN WRITING, TO SUCH CUSTOMER, IN 2 CLEAR AND CONSPICUOUS TERMS: (I) THE FINANCIAL AND LEGAL OBLIGATIONS, 3 RISKS, IMPACTS, AND CONSEQUENCES OF ACCEPTING SUCH LOAN RESPONSIBIL- 4 ITIES, INCLUDING THE OBLIGATION TO PROVIDE OR CONSENT TO THE CUSTOMER'S 5 UTILITY COMPANY PROVIDING THE AUTHORITY INFORMATION ON THE SOURCES AND 6 QUANTITIES OF ENERGY USED IN THE CUSTOMER'S PREMISES AND ANY IMPROVE- 7 MENTS OR MODIFICATIONS TO THE PREMISES, USE OF THE PREMISES OR ENERGY 8 CONSUMING APPLIANCES OR EQUIPMENT OF ANY TYPE THAT MAY SIGNIFICANTLY 9 AFFECT ENERGY USAGE; (II) NOTIFICATION THAT THE ON-BILL FINANCING CHARGE 10 WILL BE BILLED BY SUCH CUSTOMER'S UTILITY COMPANY AND THAT FAILURE TO 11 PAY SUCH ON-BILL FINANCING CHARGE MAY RESULT IN THE CUSTOMER'S HAVING 12 ITS ELECTRICITY AND/OR GAS TERMINATED FOR NON-PAYMENT, PROVIDED THAT 13 SUCH UTILITY COMPANY FOLLOWS THE REQUIREMENTS OF ARTICLE TWO OF THE 14 PUBLIC SERVICE LAW WITH RESPECT TO RESIDENTIAL CUSTOMERS; (III) NOTIFI- 15 CATION THAT INCURRING SUCH LOAN TO UNDERTAKE ENERGY-EFFICIENCY PROJECTS 16 MAY NOT RESULT IN LOWER MONTHLY ENERGY COSTS OVER TIME, BASED ON ADDI- 17 TIONAL FACTORS THAT CONTRIBUTE TO MONTHLY ENERGY COSTS; (IV) THE PROGRAM 18 IS OPERATED BY THE AUTHORITY AND IT IS THE SOLE RESPONSIBILITY OF THE 19 AUTHORITY TO HANDLE CONSUMER INQUIRIES AND COMPLAINTS RELATED TO THE 20 OPERATION AND LENDING ASSOCIATED WITH THE PROGRAM, PROVIDED FURTHER THAT 21 THE AUTHORITY SHALL PROVIDE A MECHANISM TO RECEIVE SUCH CONSUMER 22 INQUIRIES AND COMPLAINTS. 23 (B) ANY PERSON ENTERING INTO A GREEN JOBS-GREEN NEW YORK LOAN SHALL 24 HAVE THE RIGHT TO CANCEL ANY CONTRACT FOR CAPITAL IMPROVEMENTS AND 25 FIXTURES TO PROMOTE ENERGY EFFICIENCY PURSUANT TO THE PROGRAM ESTAB- 26 LISHED BY SECTION EIGHTEEN HUNDRED NINETY-SIX OF THIS TITLE UNTIL 27 MIDNIGHT OF THE FIFTH BUSINESS DAY FOLLOWING THE DAY ON WHICH SUCH 28 PERSON SIGNS SUCH CONTRACT. 29 S 11. The opening paragraph of section 1899 of the public authorities 30 law, as added by chapter 487 of the laws of 2009, is amended to read as 31 follows: 32 No later than October first, two thousand ten and October first of 33 each year thereafter, the president of the authority shall issue an 34 annual report to the governor, the temporary president of the senate, 35 the speaker of the assembly, the minority leader of the senate [and], 36 the minority leader of the assembly, THE PUBLIC SERVICE COMMISSION AND 37 THE PARTICIPATING UTILITY COMPANIES concerning the authority's activ- 38 ities related to the green jobs - green New York program created pursu- 39 ant to this title. Such report shall include, but not be limited to the 40 following information: 41 S 12. Subdivision 3 of section 1899 of the public authorities law, as 42 added by chapter 487 of the laws of 2009, is amended to read as follows: 43 3. The status of the authority's activities and outcomes related to 44 section eighteen hundred ninety-six of this title. Such report shall 45 include, but not be limited to: (a) the number of persons who have 46 applied for and received financial assistance through the revolving loan 47 fund; (b) the revolving loan fund account balances; (c) the number of 48 loans in default; [and] (d) the amount and nature of the costs incurred 49 by the authority for the activities described in paragraph (c) of subdi- 50 vision one of section eighteen hundred ninety-six of this title; (E) THE 51 AUTHORITY'S ACTIVITIES AND OUTCOMES RELATED TO ESTABLISHING AN ON-BILL 52 FINANCING MECHANISM, INCLUDING THE NUMBER OF PERSONS WHO HAVE APPLIED 53 FOR AND WHO HAVE RECEIVED FINANCIAL ASSISTANCE THAT UTILIZES ON-BILL 54 FINANCING AND THE RESULTS OF THE EVALUATION PROGRAM PERFORMED PURSUANT 55 TO SUBDIVISION THREE OF SECTION EIGHTEEN HUNDRED NINETY-SIX OF THIS 56 TITLE; (F) THE AMOUNT EXPENDED BY THE AUTHORITY IN SUPPORT OF THE S. 4490--A 11 1 PROGRAM AND THE PURPOSES FOR WHICH SUCH FUNDS HAVE BEEN EXPENDED; (G) 2 THE NUMBER OF CUSTOMERS PARTICIPATING IN THE PROGRAM, SEPARATELY STATING 3 THE NUMBER OF RESIDENTIAL AND NON-RESIDENTIAL CUSTOMERS AND THE AMOUNTS 4 FINANCED; (H) THE NUMBER OF PROGRAM PARTICIPANTS WHO ARE IN ARREARS IN 5 THEIR UTILITY ACCOUNTS FOR ELECTRIC AND/OR GAS SERVICE; (I) THE NUMBER 6 OF PROGRAM PARTICIPANTS WHO ARE IN ARREARS IN THEIR ON-BILL FINANCING 7 CHARGE PAYMENTS; (J) THE NUMBER OF PROGRAM PARTICIPANTS WHOSE UTILITY 8 SERVICE HAS BEEN TERMINATED FOR NON-PAYMENT; (K) A DESCRIPTION OF THE 9 GEOGRAPHIC DISTRIBUTION OF LOANS MADE; (L) AN ESTIMATE OF THE ENERGY 10 SAVINGS RESULTING FROM THIS PROGRAM; AN ESTIMATE OF THE AVERAGE PROJECT 11 COST IN EACH COUNTY IN THE STATE; AND (M) IN CONSULTATION WITH THE 12 DEPARTMENT OF LABOR, AN ESTIMATE OF THE NUMBER OF JOBS CREATED AS A 13 DIRECT RESULT OF THIS PROGRAM, BY REGION AND JOB TYPE. 14 S 13. Section 242 of the real property law is amended by adding a new 15 subdivision 4 to read as follows: 16 4. DISCLOSURE PRIOR TO THE SALE OF REAL PROPERTY TO WHICH A GREEN 17 JOBS-GREEN NEW YORK ON-BILL CHARGE APPLIES. (A) PRIOR TO THE SIGNING BY 18 THE BUYER OF A BINDING CONTRACT OF SALE FOR REAL PROPERTY THAT HAS A 19 GREEN JOBS-GREEN NEW YORK MORTGAGE OBLIGATION, THE PROSPECTIVE GRANTOR 20 SHALL PRESENT TO THE PROSPECTIVE GRANTEE A DISCLOSURE NOTICE WHICH 21 STATES THE FOLLOWING: "THIS DISCLOSURE NOTICE IS INTENDED TO INFORM 22 PROSPECTIVE PURCHASERS THAT THE REAL PROPERTY THEY ARE ABOUT TO ACQUIRE 23 IS SUBJECT TO A GREEN JOBS-GREEN NEW YORK MORTGAGE." SUCH NOTICE SHALL 24 ALSO STATE THE TOTAL AMOUNT OF THE ORIGINAL CHARGE, THE PAYMENT SCHEDULE 25 AND THE APPROXIMATE REMAINING BALANCE, A DESCRIPTION OF THE ENERGY EFFI- 26 CIENCY SERVICES PERFORMED, INCLUDING IMPROVEMENTS TO THE PROPERTY, AND 27 AN EXPLANATION OF THE BENEFIT OF THE GREEN JOBS-GREEN NEW YORK QUALIFIED 28 ENERGY EFFICIENCY SERVICES. 29 (B) ANY PROSPECTIVE OR ACTUAL PURCHASER WHO HAS SUFFERED A LOSS DUE TO 30 A VIOLATION OF THIS SUBDIVISION SHALL BE ENTITLED TO RECOVER ANY ACTUAL 31 DAMAGES INCURRED FROM THE SELLER OF SAID REAL PROPERTY. 32 (C) WHERE THE PURCHASER RECEIVES THE GREEN JOBS-GREEN NEW YORK LOAN 33 DISCLOSURE PURSUANT TO THIS SUBDIVISION PRIOR TO THE SIGNING BY THE 34 PURCHASER OF A BINDING CONTRACT OF SALE FOR THE PURCHASE OF RESIDENTIAL 35 REAL PROPERTY, ANY PERSON WHO IS LICENSED AS A REAL ESTATE BROKER, ASSO- 36 CIATE REAL ESTATE BROKER OR REAL ESTATE SALESPERSON UNDER SECTION FOUR 37 HUNDRED FORTY-A OF THIS CHAPTER AND WHO IS ACTING IN A FIDUCIARY CAPACI- 38 TY FOR EITHER A BUYER OR A SELLER OF RESIDENTIAL REAL PROPERTY SHALL 39 HAVE FULFILLED THEIR DISCLOSURE OBLIGATION PURSUANT TO THIS SUBDIVISION 40 AND SHALL NOT BE REQUIRED TO PROVIDE ANY FURTHER INFORMATION TO THE 41 BUYER OR SELLER OF THE RESIDENTIAL REAL PROPERTY REGARDING INFORMATION 42 RELATING TO THE GREEN JOBS-GREEN NEW YORK LOAN PROGRAM PURSUANT TO 43 SUBDIVISION TWO OF SECTION EIGHTEEN HUNDRED NINETY-SIX OF THE PUBLIC 44 AUTHORITIES LAW. 45 S 14. Section 1891 of the public authorities law is amended by adding 46 a new subdivision 16 to read as follows: 47 16. "RURAL ELECTRIC COOPERATIVE" MEANS A RURAL ELECTRIC COOPERATIVE 48 ESTABLISHED PURSUANT TO THE RURAL ELECTRIC COOPERATIVE LAW. 49 S 15. Subdivision 1 of section 1894 of the public authorities law, as 50 added by chapter 487 of the laws of 2009, is amended to read as follows: 51 1. The authority shall issue one or more program opportunity notices 52 or requests for proposals to solicit applications from partnerships or 53 consortia comprised of constituency-based organizations which can 54 connect community members to the program, including facilitating aware- 55 ness of the program and enrollment, and (a) distribution utilities, (b) 56 contractors that have signed enforceable agreements to meet standards S. 4490--A 12 1 set by the authority, including standards for local hiring and pre-ap- 2 prenticeship and apprenticeship and other labor-management training 3 program participation, (c) workforce development organizations that will 4 recruit unemployed individuals, and provide training and job placement 5 in conjunction with contractors pursuant to section eighteen hundred 6 ninety-seven of this title; and/or (d) organized trades and their 7 certification or apprenticeship programs. The authority shall specif- 8 ically solicit applications that propose to demonstrate the feasibility 9 of innovative financing mechanisms, including but not limited to appli- 10 cations undertaken in partnership with distribution utilities that 11 propose to demonstrate the feasibility of on-bill financing. The public 12 service commission and other appropriate agencies are authorized to 13 coordinate with the authority and applicants in developing and imple- 14 menting proposed demonstrations of innovative financing mechanisms. 15 NOTWITHSTANDING THE FOREGOING, THE AUTHORITY SHALL, IN COOPERATION WITH 16 RURAL ELECTRIC COOPERATIVES, DEVELOP AND ISSUE ONE OR MORE PROGRAM 17 OPPORTUNITY NOTICES OR REQUESTS FOR PROPOSALS TO SOLICIT APPLICATIONS 18 FOR FUNDING UNDER THIS PROGRAM FROM RURAL ELECTRIC COOPERATIVES THAT 19 PROPOSE TO: PROMOTE ENERGY EFFICIENCY, ENERGY CONSERVATION AND THE 20 INSTALLATION OF CLEAN ENERGY TECHNOLOGIES; REDUCE ENERGY CONSUMPTION AND 21 ENERGY COSTS; REDUCE GREENHOUSE GAS EMISSIONS; SUPPORT SUSTAINABLE 22 COMMUNITY DEVELOPMENT; OR CREATE GREEN JOB OPPORTUNITIES. 23 S 16. Subparagraph (g) of paragraph 1 of subdivision g of section 24 26-405 of the administrative code of the city of New York, as amended by 25 chapter 749 of the laws of 1990, is amended to read as follows: 26 (g) There has been since July first, nineteen hundred seventy, a major 27 capital improvement required for the operation, preservation or mainte- 28 nance of the structure. A MAJOR CAPITAL IMPROVEMENT SHALL NOT INCLUDE AN 29 ELIGIBLE PROJECT UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM BY THE NEW 30 YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, ESTABLISHED PURSU- 31 ANT TO TITLE NINE-A OF ARTICLE EIGHT OF THE PUBLIC AUTHORITIES LAW. An 32 adjustment under this subparagraph [(g)] shall be in an amount suffi- 33 cient to amortize the cost of the improvements pursuant to this subpara- 34 graph [(g)] over a seven-year period; or 35 S 17. Paragraph 6 of subdivision c of section 26-511 of the adminis- 36 trative code of the city of New York, as amended by chapter 116 of the 37 laws of 1997, is amended to read as follows: 38 (6) provides criteria whereby the commissioner may act upon applica- 39 tions by owners for increases in excess of the level of fair rent 40 increase established under this law provided, however, that such crite- 41 ria shall provide (a) as to hardship applications, for a finding that 42 the level of fair rent increase is not sufficient to enable the owner to 43 maintain approximately the same average annual net income (which shall 44 be computed without regard to debt service, financing costs or manage- 45 ment fees) for the three year period ending on or within six months of 46 the date of an application pursuant to such criteria as compared with 47 annual net income, which prevailed on the average over the period nine- 48 teen hundred sixty-eight through nineteen hundred seventy, or for the 49 first three years of operation if the building was completed since nine- 50 teen hundred sixty-eight or for the first three fiscal years after a 51 transfer of title to a new owner provided the new owner can establish to 52 the satisfaction of the commissioner that he or she acquired title to 53 the building as a result of a bona fide sale of the entire building and 54 that the new owner is unable to obtain requisite records for the fiscal 55 years nineteen hundred sixty-eight through nineteen hundred seventy 56 despite diligent efforts to obtain same from predecessors in title and S. 4490--A 13 1 further provided that the new owner can provide financial data covering 2 a minimum of six years under his or her continuous and uninterrupted 3 operation of the building to meet the three year to three year compar- 4 ative test periods herein provided; and (b) as to completed building- 5 wide major capital improvements, for a finding that such improvements 6 are deemed depreciable under the Internal Revenue Code and that the cost 7 is to be amortized over a seven-year period, based upon cash purchase 8 price exclusive of interest or service charges. A MAJOR CAPITAL 9 IMPROVEMENT SHALL NOT INCLUDE AN ELIGIBLE PROJECT UNDER THE GREEN JOBS- 10 GREEN NEW YORK PROGRAM BY THE NEW YORK STATE ENERGY RESEARCH AND DEVEL- 11 OPMENT AUTHORITY, ESTABLISHED PURSUANT TO TITLE NINE-A OF ARTICLE EIGHT 12 OF THE PUBLIC AUTHORITIES LAW. Notwithstanding anything to the contrary 13 contained herein, no hardship increase granted pursuant to this para- 14 graph shall, when added to the annual gross rents, as determined by the 15 commissioner, exceed the sum of, (i) the annual operating expenses, (ii) 16 an allowance for management services as determined by the commissioner, 17 (iii) actual annual mortgage debt service (interest and amortization) on 18 its indebtedness to a lending institution, an insurance company, a 19 retirement fund or welfare fund which is operated under the supervision 20 of the banking or insurance laws of the state of New York or the United 21 States, and (iv) eight and one-half percent of that portion of the fair 22 market value of the property which exceeds the unpaid principal amount 23 of the mortgage indebtedness referred to in subparagraph (iii) of this 24 paragraph. Fair market value for the purposes of this paragraph shall be 25 six times the annual gross rent. The collection of any increase in the 26 stabilized rent for any apartment pursuant to this paragraph shall not 27 exceed six percent in any year from the effective date of the order 28 granting the increase over the rent set forth in the schedule of gross 29 rents, with collectability of any dollar excess above said sum to be 30 spread forward in similar increments and added to the stabilized rent as 31 established or set in future years; 32 S 18. Paragraph 3 of subdivision d of section 6 of section 4 of chap- 33 ter 576 of the laws of 1974, constituting the emergency tenant 34 protection act of nineteen seventy-four, as amended by chapter 749 of 35 the laws of 1990, is amended to read as follows: 36 (3) there has been since January first, nineteen hundred seventy-four 37 a major capital improvement required for the operation, preservation or 38 maintenance of the structure. A MAJOR CAPITAL IMPROVEMENT SHALL NOT 39 INCLUDE AN ELIGIBLE PROJECT UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM 40 BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, ESTAB- 41 LISHED PURSUANT TO TITLE 9-A OF ARTICLE 8 OF THE PUBLIC AUTHORITIES LAW. 42 An adjustment under this paragraph shall be in an amount sufficient to 43 amortize the cost of the improvements pursuant to this paragraph over a 44 seven-year period, or 45 S 19. The second undesignated paragraph of paragraph (a) of subdivi- 46 sion 4 of section 4 of chapter 274 of the laws of 1946, constituting the 47 emergency housing rent control law, as amended by chapter 21 of the laws 48 of 1962, clause 5 as amended by chapter 253 of the laws of 1993, is 49 amended to read as follows: 50 No application for adjustment of maximum rent based upon a sales price 51 valuation shall be filed by the landlord under this subparagraph prior 52 to six months from the date of such sale of the property. In addition, 53 no adjustment ordered by the commission based upon such sales price 54 valuation shall be effective prior to one year from the date of such 55 sale. Where, however, the assessed valuation of the land exceeds four 56 times the assessed valuation of the buildings thereon, the commission S. 4490--A 14 1 may determine a valuation of the property equal to five times the equal- 2 ized assessed valuation of the buildings, for the purposes of this 3 subparagraph. The commission may make a determination that the valuation 4 of the property is an amount different from such equalized assessed 5 valuation where there is a request for a reduction in such assessed 6 valuation currently pending; or where there has been a reduction in the 7 assessed valuation for the year next preceding the effective date of the 8 current assessed valuation in effect at the time of the filing of the 9 application. Net annual return shall be the amount by which the earned 10 income exceeds the operating expenses of the property, excluding mort- 11 gage interest and amortization, and excluding allowances for obsoles- 12 cence and reserves, but including an allowance for depreciation of two 13 per centum of the value of the buildings exclusive of the land, or the 14 amount shown for depreciation of the buildings in the latest required 15 federal income tax return, whichever is lower; provided, however, that 16 (1) no allowance for depreciation of the buildings shall be included 17 where the buildings have been fully depreciated for federal income tax 18 purposes or on the books of the owner; or 19 (2) the landlord who owns no more than four rental units within the 20 state has not been fully compensated by increases in rental income 21 sufficient to offset unavoidable increases in property taxes, fuel, 22 utilities, insurance and repairs and maintenance, excluding mortgage 23 interest and amortization, and excluding allowances for depreciation, 24 obsolescence and reserves, which have occurred since the federal date 25 determining the maximum rent or the date the property was acquired by 26 the present owner, whichever is later; or 27 (3) the landlord operates a hotel or rooming house or owns a cooper- 28 ative apartment and has not been fully compensated by increases in 29 rental income from the controlled housing accommodations sufficient to 30 offset unavoidable increases in property taxes and other costs as are 31 allocable to such controlled housing accommodations, including costs of 32 operation of such hotel or rooming house, but excluding mortgage inter- 33 est and amortization, and excluding allowances for depreciation, obso- 34 lescence and reserves, which have occurred since the federal date deter- 35 mining the maximum rent or the date the landlord commenced the operation 36 of the property, whichever is later; or 37 (4) the landlord and tenant voluntarily enter into a valid written 38 lease in good faith with respect to any housing accommodation, which 39 lease provides for an increase in the maximum rent not in excess of 40 fifteen per centum and for a term of not less than two years, except 41 that where such lease provides for an increase in excess of fifteen per 42 centum, the increase shall be automatically reduced to fifteen per 43 centum; or 44 (5) the landlord and tenant by mutual voluntary written agreement 45 agree to a substantial increase or decrease in dwelling space or a 46 change in the services, furniture, furnishings or equipment provided in 47 the housing accommodations; provided that an owner shall be entitled to 48 a rent increase where there has been a substantial modification or 49 increase of dwelling space or an increase in the services, or installa- 50 tion of new equipment or improvements or new furniture or furnishings 51 provided in or to a tenant's housing accommodation. The permanent 52 increase in the maximum rent for the affected housing accommodation 53 shall be one-fortieth of the total cost incurred by the landlord in 54 providing such modification or increase in dwelling space, services, 55 furniture, furnishings or equipment, including the cost of installation, 56 but excluding finance charges provided further that an owner who is S. 4490--A 15 1 entitled to a rent increase pursuant to this clause shall not be enti- 2 tled to a further rent increase based upon the installation of similar 3 equipment, or new furniture or furnishings within the useful life of 4 such new equipment, or new furniture or furnishings. The owner shall 5 give written notice to the commission of any such adjustment pursuant to 6 this clause; or 7 (6) there has been, since March first, nineteen hundred fifty, an 8 increase in the rental value of the housing accommodations as a result 9 of a substantial rehabilitation of the building or housing accommodation 10 therein which materially adds to the value of the property or appre- 11 ciably prolongs its life, excluding ordinary repairs, maintenance and 12 replacements; or 13 (7) there has been since March first, nineteen hundred fifty, a major 14 capital improvement required for the operation, preservation or mainte- 15 nance of the structure. A MAJOR CAPITAL IMPROVEMENT SHALL NOT INCLUDE AN 16 ELIGIBLE PROJECT UNDER THE GREEN JOBS-GREEN NEW YORK PROGRAM BY THE NEW 17 YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, ESTABLISHED PURSU- 18 ANT TO TITLE 9-A OF ARTICLE 8 OF THE PUBLIC AUTHORITIES LAW; or 19 (8) there has been since March first, nineteen hundred fifty, in 20 structures containing more than four housing accommodations, other 21 improvements made with the express consent of the tenants in occupancy 22 of at least seventy-five per centum of the housing accommodations, 23 provided, however, that no adjustment granted hereunder shall exceed 24 fifteen per centum unless the tenants have agreed to a higher percentage 25 of increase, as herein provided; or 26 (9) there has been, since March first, nineteen hundred fifty, a 27 subletting without written consent from the landlord or an increase in 28 the number of adult occupants who are not members of the immediate fami- 29 ly of the tenant, and the landlord has not been compensated therefor by 30 adjustment of the maximum rent by lease or order of the commission or 31 pursuant to the federal act; or 32 (10) the presence of unique or peculiar circumstances materially 33 affecting the maximum rent has resulted in a maximum rent which is 34 substantially lower than the rents generally prevailing in the same area 35 for substantially similar housing accommodations. 36 S 20. This act shall take effect immediately; provided, however, that 37 the amendments to section 26-405 of the city rent and rehabilitation 38 law, made by section sixteen of this act, shall remain in full force and 39 effect only as long as the public emergency requiring the regulation and 40 control of residential rents and evictions continues, as provided in 41 subdivision 3 of section 1 of the local emergency housing rent control 42 act; provided further that the amendments to section 26-511 of the rent 43 stabilization law of nineteen hundred sixty-nine, made by section seven- 44 teen of this act, shall expire on the same date as such law expires and 45 shall not affect the expiration of such law as provided under section 46 26-520 of such law; provided further that the amendments to section 6 of 47 the emergency tenant protection act of nineteen seventy-four, made by 48 section eighteen of this act, shall expire on the same date as such act 49 expires and shall not affect the expiration of such act as provided in 50 section 17 of chapter 576 of the laws of 1974; and further provided that 51 the amendments to section 4 of the emergency housing rent control law, 52 made by section nineteen of this act, shall expire on the same date as 53 such law expires and shall not affect the expiration of such law as 54 provided in subdivision 2 of section 1 of chapter 274 of the laws of 55 1946.