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Bill > S01721


NY S01721

Enacts the "utility penalty adjustment"; adjusts utility penalties to account for inflation; increases such penalties and ties them to inflation after January 1, 2027.


summary

Introduced
01/13/2025
In Committee
01/13/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the public service law, in relation to certain penalties

AI Summary

This bill amends the Public Service Law to significantly increase penalties for utility companies that violate certain regulations, with substantial increases to civil penalty amounts and a mechanism for automatic inflation adjustments starting January 1, 2027. Specifically, the bill raises penalties for various types of violations, including general regulatory non-compliance, safety violations that cause injury or death, and failures related to electric service reliability. For example, the maximum penalty for general non-compliance increases from $100,000 to $290,000 per offense, while penalties for safety violations causing injury or death rise from $750,000 to $720,000. The bill also introduces a new provision penalizing utilities for failing to satisfy their "duty of candor with the public" with potential fines up to $500,000. Critically, the legislation includes an automatic inflation adjustment mechanism that will increase these penalty amounts annually based on the consumer price index, ensuring that the financial consequences for utility companies keep pace with economic changes. These changes aim to create stronger financial incentives for utility companies to comply with regulations, prioritize safety, and maintain service reliability.

Committee Categories

Transportation and Infrastructure

Sponsors (1)

Last Action

AMENDED ON THIRD READING 1721A (on 03/27/2025)

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