Bill Text: NJ S1039 | 2010-2011 | Regular Session | Introduced


Bill Title: Establishes NJ Task Force on Utility Sub-metering.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2010-02-04 - Introduced in the Senate, Referred to Senate Economic Growth Committee [S1039 Detail]

Download: New_Jersey-2010-S1039-Introduced.html

SENATE, No. 1039

STATE OF NEW JERSEY

214th LEGISLATURE

 

INTRODUCED FEBRUARY 4, 2010

 


 

Sponsored by:

Senator  DIANE B. ALLEN

District 7 (Burlington and Camden)

 

 

 

 

SYNOPSIS

     Establishes NJ Task Force on Utility Sub-metering.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act creating the New Jersey Task Force on Utility Sub-metering to study the issue of utility sub-metering in this State.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    The Legislature finds and declares that:

     a.     Utility sub-metering refers to the implementation of a system that allows a landlord, property management firm, condominium association, homeowner's association or other multi-tenant property to bill tenants for individual measured utility usage.

     b.    Prior to the installation of utility sub-metering, landlords typically include a tenant's utility costs in the bulk price of the rent or lease, or divide the utility usage among the tenants on some proportionate basis such as by square footage or some other basis.

     c.     In certain cases, utility companies may be more reluctant to install sub-metering for individual units involving residential tenants than for individual property owners or commercial tenants since utility companies can place liens on the owner's real property or attach other assets of a commercial enterprise if the utility bills remain unpaid, and since residential tenants can be more difficult to collect from or keep track of after they move to another rental property.

     d.    In other cases, utility companies may prefer not to install sub-metering for any rental space unit, regardless of the type of tenant, if there is difficulty in getting access to meters for reading, or if electrical systems or plumbing are not suitable for the installation of sub-metering.

     e.     Without meters to measure individual usage, there is generally less incentive for tenants to conserve utility usage since other tenants or the landlord may share in all or part of the utility costs.

     f.     Where utility sub-metering is promoted as a means of creating awareness of energy conservation generally, the installation of such meters can contribute to keeping the cost of rent reasonable and fair for all units, regardless of energy consumption.

     g.     These issues are of such concern that it is in the public interest to determine how widespread the practice of sub-metering has become in this State, the feasibility of expanding utility sub-metering in this State and the consequences to the State's residents if efforts are successful to reduce or completely ban the implementation of sub-metering in this State.

     h.     It is further in the public interest to establish a New Jersey Task Force on Utility Sub-metering to study the issue of utility sub-metering in this State and to develop and submit recommendations to the Governor and the Legislature concerning the potential for expansion of utility sub-metering and the consequences of reducing or banning utility sub-metering.

     2.    a.  There is established in the Department of Community Affairs, the New Jersey Task Force on Utility Sub-metering ("task force").  The purpose of the task force shall be to study and evaluate the practice of utility sub-metering in this State, and to develop recommendations relating to the feasibility of utility sub-metering expansion in this State, and the consequences of reduction or banning of utility sub-metering.

     b.    The task force shall consist of 11 members as follows:

     (1)   the Attorney General, the Commissioner of Community Affairs, the President of the Board of Public Utilities, and the Public Advocate, or their designees, who shall serve ex-officio;

     (2)   three public members who shall be appointed by the Governor, including one representative of the business community, one representative of organized labor, and one representative of a consumer advocacy organization;

     (3)   one member appointed by the Governor upon the recommendation of the President of the Senate;

     (4)   one member appointed by the Governor upon the recommendation of the Speaker of the General Assembly;

     (5)   one member appointed by the Governor upon the recommendation of the Senate Minority Leader; and

     (6)   one member appointed by the Governor upon the recommendation of the Assembly Minority Leader.

     c.     Within 90 days after the effective date of this act, a majority of the task force's authorized membership shall be appointed and the task force shall hold its initial meeting.  The task force shall organize upon the appointment of a majority of its authorized membership and shall elect a chair from among the members.  The members of the task force, other than those serving ex-officio, shall serve for the duration of the existence of the task force.  Any vacancy shall be filled in the same manner as the original appointment.  The task force members shall serve without compensation, but shall be reimbursed for necessary expenses incurred in the performance of their duties.

     d.    The task force shall study the issue of utility sub-metering in this State including, but not limited to, the following:

     (1)   The extent to which utility sub-metering has been installed in multi-tenant properties in this State, the feasibility of expanding the installation of utility sub-metering and, if such expansion is determined to be feasible, the most effective means of promoting such expansion and any source or sources of funding for programs to accomplish or promote expansion of utility sub-metering; and

     (2)   The reasons why utility sub-metering has not been fully implemented in multi-tenant properties throughout the State, any ongoing efforts by utilities or other groups to reduce or ban the implementation of utility submetering and the possible consequences to the residents of this State of reducing or banning the installation of utility sub-metering.

     e.     Not later than 180 days after the initial meeting of the task force, the task force shall issue a report to the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), which shall include, but not be limited to, a general description of the costs and benefits of utility sub-metering, the extent to which sub-metering has been installed in multi-tenant properties in this State, recommendations concerning the feasibility of utility sub-metering expansion and the best approach to finance the cost of programs to promote such expansion, if feasible, the consequences of reducing or banning utility sub-metering, any other information relevant to the subject of the report, and any draft legislation the task force deems appropriate to implement the purposes of this act.

     f.     The task force shall be entitled to the assistance and services of the employees of any State board, bureau, commission, or agency as it may require and as may be available to it for these purposes, and to employ stenographic and clerical assistants and incur traveling and other miscellaneous expenses as necessary, to perform its duties.

     g.     The Department of Environmental Protection, the Department of the Public Advocate, and the Board of Public Utilities shall assist the task force in the performance of its duties and provide the task force with studies, data, or other materials in the possession of those entities, to the extent that such materials are relevant to the purposes of the task force.

 

     3.    This act shall take effect immediately and shall expire upon the issuance of the task force's report.

 

 

STATEMENT

 

     This bill establishes in the Department of Community Affairs, the "New Jersey Task Force on Utility Sub-metering" ("task force"). The purpose of the task force shall be to study and evaluate the extent to which utility sub-metering has been installed in multi-tenant properties in this State, and to develop recommendations relating to the feasibility of utility sub-metering expansion in this State, the best approach to financing the promotion of such expansion, and the consequences to the State's residents of reducing or banning utility sub-metering in multi-tenant properties.

     The task force is to be composed of 11 members as follows:

     (1)   the Attorney General, the Commissioner of Community Affairs, the President of the Board of Public Utilities, and the Public Advocate, or their designees, who are to serve ex-officio;

     (2)   three public members who are to be appointed by the Governor, including one representative of the business community, one representative of organized labor, and one representative of a consumer advocacy organization;

     (3)   one member to be appointed by the Governor upon the recommendation of the President of the Senate;

     (4)   one member to be appointed by the Governor upon the recommendation of the Speaker of the General Assembly;

     (5)   one member to be appointed by the Governor upon the recommendation of the Senate Minority Leader; and

     (6)   one member to be appointed by the Governor upon the recommendation of the Assembly Minority Leader.

     The bill requires that, not later than 180 days after the initial meeting of the task force, the task force is to issue a report to the Governor and the Legislature which is to include, but not be limited to, a general description of the costs and benefits of utility sub-metering, the extent to which sub-metering has been installed in multi-tenant properties in this State, recommendations concerning the feasibility of utility sub-metering expansion and the best approach to finance the cost of programs to promote such expansion, if such expansion is determined to be feasible, the consequences of reducing or banning utility sub-metering, any other information relevant to the subject of the report, and any draft legislation the task force deems appropriate to implement the purposes of this bill.

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