Bill Text: NY A02452 | 2019-2020 | General Assembly | Introduced


Bill Title: Relates to enacting the take charge New York power program to award microgrid allocations to eligible applicants.

Spectrum: Slight Partisan Bill (Democrat 2-1)

Status: (Introduced - Dead) 2020-01-08 - referred to energy [A02452 Detail]

Download: New_York-2019-A02452-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          2452
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    January 22, 2019
                                       ___________
        Introduced  by M. of A. WALLACE -- read once and referred to the Commit-
          tee on Energy
        AN ACT to amend the economic development law, in  relation  to  enacting
          the takecharge New York power program
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Section 188-a of the economic development law is amended by
     2  adding a new subdivision (i) to read as follows:
     3    (i) Any applicant currently  receiving  proceeds  under  this  section
     4  shall  also be permitted to apply for benefits under section one hundred
     5  eighty-eight-b of this article.
     6    § 2. The economic development law is amended by adding a  new  section
     7  188-b to read as follows:
     8    §  188-b. Takecharge New York power program. (a) Definitions.  For the
     9  purposes of this section, the following terms shall have  the  following
    10  meanings:
    11    (1)  "Applicable criteria" shall mean the criteria specified in subdi-
    12  vision (c) of this section.
    13    (2) "Authority" shall mean the power authority of  the  state  of  New
    14  York.
    15    (3)  "Eligible  applicant"  shall  mean an eligible business, eligible
    16  small business, eligible industrial development agency or eligible  not-
    17  for-profit  corporation  as  defined  in this section, provided however,
    18  that an eligible  applicant  shall  not  include  retail  businesses  as
    19  defined  by  the  board,  including,  without limitation, sports venues,
    20  gaming or entertainment-related establishments or  places  of  overnight
    21  accommodation.
    22    (4)  "Eligible  business"  shall mean a business other than a not-for-
    23  profit corporation which  normally  utilizes  a  minimum  peak  electric
    24  demand in excess of four hundred kilowatts.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00325-01-9

        A. 2452                             2
     1    (5)  "Eligible  not-for-profit  corporation"  shall mean a corporation
     2  defined in subparagraph five of paragraph (a) of section one hundred two
     3  of the not-for-profit corporation law.
     4    (6)  "Eligible small business" shall mean a business other than a not-
     5  for-profit corporation which normally utilizes a minimum  peak  electric
     6  demand equal to or less than four hundred kilowatts.
     7    (7)  "Microgrid"  shall  mean  a  group  of  interconnected  loads and
     8  distributed energy resources within clearly defined  electrical  bounda-
     9  ries  that acts as a single controllable entity with respect to the grid
    10  and that disconnects from such grid to enable  it  to  operate  in  both
    11  grid-connected or island mode. Any entity providing microgrid technology
    12  shall be structured as a special purpose entity.
    13    (8)  "Infrastructure"  shall  mean the components necessary for trans-
    14  mission and distribution of energy on the microgrid.
    15    (9) "Takecharge New York power" shall mean a subsidy provided  by  the
    16  authority,  subject  to  an equity assurance to be matched by the appli-
    17  cant, to cover the development and infrastructure needed to install  and
    18  maintain  a  microgrid  at  each  applicant's  place  of business, as it
    19  relates to a microgrid the allocation would be the value of the monetary
    20  equivalent of the power allocation that would have  been  granted  under
    21  section one hundred eighty-eight-a of this article.
    22    (b)  Applications  for  takecharge  New  York power. (1) The board may
    23  solicit applications for takecharge New York  power  under  the  program
    24  created by this section by public notice beginning no later than Septem-
    25  ber  first,  two  thousand twenty-one. Such notice may include newspaper
    26  advertisements, press releases, website postings,  paper  or  electronic
    27  mailing, and/or such other form of notice as the board finds appropriate
    28  in consultation with the authority. The board shall also work with local
    29  industrial   development  agencies  and  economic  development  agencies
    30  located throughout the state to identify and solicit  applications  from
    31  businesses  and  corporate  parks  that  meet  the criteria set forth in
    32  subdivision (c) of this section.
    33    (2) Applications for takecharge New York power allocations shall be in
    34  the form and contain such information, exhibits and supporting  data  as
    35  the  board prescribes in consultation with the authority. A copy of each
    36  application received shall be made available for review  by  each  board
    37  member, and a copy shall be provided to the authority.
    38    (3)  Subject  to  confidentiality  requirements,  upon receipt of each
    39  application from the board, the authority shall promptly notify by elec-
    40  tronic means, including website postings  and  such  other  methods  the
    41  board  deems  appropriate in consultation with the authority, the gover-
    42  nor, the speaker of the assembly, the minority leader of  the  assembly,
    43  the  temporary  president  of  the  senate,  the  minority leader of the
    44  senate, and each member of the state legislature in whose  district  any
    45  portion of the facility for which an allocation is requested is located.
    46  Such  notice  shall provide the name and a description of the applicant,
    47  and the address of the facility for which the allocation  is  requested.
    48  The authority shall also develop a listing which contains the name and a
    49  description  of  each  applicant,  the takecharge New York power benefit
    50  sought by each applicant, and the address of the facility for which  the
    51  applicant requests the benefit, and shall make the listing available for
    52  public review on the authority's website.
    53    (4)  Applications may be made by multiple eligible applicants, subject
    54  to acceptance by the board, if each eligible applicant is located  in  a
    55  geographic proximity to each other. The board shall set the requirements
    56  of  what  constitutes  geographic  proximity. The board shall treat such

        A. 2452                             3
     1  combined applications as a single application, and  use  the  cumulative
     2  totals  when  evaluating  the applicable criteria set for in subdivision
     3  (c) of this section.
     4    (5)  Applications  may  be  made  by an industrial development agency,
     5  subject to acceptance by the board, if the board determines  the  indus-
     6  trial  development agency's application is feasible with microgrid tech-
     7  nology.
     8    (c) Review applicable criteria  and  recommendations.  (1)  The  board
     9  shall  review applications submitted under the takecharge New York power
    10  program.  The board shall make an initial determination of  whether  the
    11  applicant  is  an  eligible  applicant. In the case of multiple eligible
    12  applicants or an industrial development agency making a single  applica-
    13  tion,  the  board  shall  treat  the  cumulative application as a single
    14  application. In the case of an eligible applicant, the board may  recom-
    15  mend to the authority that an allocation of a microgrid be awarded to an
    16  applicant  for  a  facility  located  in  the state of New York based on
    17  consideration of the following criteria which shall be considered in the
    18  aggregate and no one of which shall be presumptively determinative:
    19    (i) the significance of the cost of overall energy usage to the appli-
    20  cant's overall cost of doing business, and the impact that a  takecharge
    21  New York power allocation will have on the applicant's operating costs;
    22    (ii)  the  extent  to  which  a takecharge New York power benefit will
    23  result in new capital investment in the state by the applicant;
    24    (iii) the extent to which a  takecharge  New  York  power  benefit  is
    25  consistent with any regional economic development council strategies and
    26  priorities;
    27    (iv)  the  type  and cost of buildings, equipment and facilities to be
    28  constructed, enlarged or installed if the applicant were  to  receive  a
    29  benefit;
    30    (v)  the applicant's payroll, salaries, benefits and number of jobs at
    31  the facility for which a takecharge New York power benefit is requested;
    32    (vi) the number of jobs that will be created or  retained  within  the
    33  state  in  relation  to the requested takecharge New York power benefit,
    34  and the extent to which the applicant will agree to commit  to  creating
    35  or retaining such jobs as a condition to receiving a takecharge New York
    36  power benefit;
    37    (vii)  whether the applicant, due to the cost of energy, is at risk of
    38  closing or curtailing facilities or operations in the state,  relocating
    39  facilities  or  operations  out  of  the  state, or losing a significant
    40  number of jobs in the state, in the absence of  a  takecharge  New  York
    41  benefit;
    42    (viii) the significance of the applicant's facility that would receive
    43  the takecharge New York benefit to the economy of the area in which such
    44  facility is located;
    45    (ix)  will  agree  to  place an equity amount, to be determined by the
    46  board, for the installation and maintenance of a  microgrid  and  to  be
    47  released  upon  reimbursement  of  the  subsidy  amount  provided by the
    48  authority;
    49    (x) in addition to the foregoing criteria, in the case of  a  not-for-
    50  profit  corporation, whether the applicant provides critical services or
    51  substantial benefits to the local community in which  the  facility  for
    52  which the benefit is requested is located;
    53    (xi) the minimum load requirements by the applicant; and
    54    (xii)  in  addition to the foregoing criteria, the applicant must also
    55  agree to pay back the subsidy provided by the  authority  for  microgrid
    56  development, under a timeline developed by the board.

        A. 2452                             4
     1    (2)  A recommendation by the board that the authority provide a takec-
     2  harge New York power benefit in the form of a microgrid to  an  eligible
     3  applicant shall include, but need not be limited to:
     4    (i)  an  effective  initial  term of the contract between the eligible
     5  applicant and the authority which shall not exceed the effective life of
     6  the microgrid;
     7    (ii) provisions for effective periodic audits of the  recipient  of  a
     8  benefit  for the purpose of determining contract and program compliance,
     9  and for the partial or complete withdrawal of a benefit if the recipient
    10  fails to maintain mutually agreed upon commitments, relating  to,  among
    11  other  things,  employment  levels,  capital  investments, and/or energy
    12  efficiency measures;
    13    (iii) a requirement for an agreement by the recipient of a benefit  to
    14  (A)  undertake  at  its own expense an energy audit of its facilities at
    15  which receives the benefit at least once during the term of the contract
    16  but in any event not less than once every five years, provided, however,
    17  that such requirement may be waived or modified by the  authority  on  a
    18  showing  of  good  cause by the recipient, and (B) provide the authority
    19  with a copy of any such audit or, at the authority's  option,  a  report
    20  describing   the  results  of  such  audit,  and  provide  documentation
    21  requested by the authority relating to the implementation of  any  effi-
    22  ciency measures at the facilities;
    23    (iv)  a requirement for an agreement between the recipient of an allo-
    24  cation and the authority for the installation of a microgrid and mainte-
    25  nance of such equipment for a period of years; and
    26    (v) a requirement for an agreement by the recipient of  a  benefit  to
    27  (A)  make its facilities available at reasonable times and intervals for
    28  energy audits and related assessments  that  the  authority  desires  to
    29  perform,  if any, at the authority's own expense, and (B) provide infor-
    30  mation requested by the authority or its designee in surveys,  question-
    31  naires  and other information requests relating to energy efficiency and
    32  energy-related projects, programs and services.
    33    (3) The board may base its recommendation on which eligible applicants
    34  it determines best meet the applicable criteria.
    35    (4) The board shall issue a written  statement  of  its  findings  and
    36  conclusions  with  respect  to every application and the reasons for its
    37  recommendation to the authority.
    38    (5) A recommendation for a takecharge New  York  power  benefit  shall
    39  qualify  an applicant to enter into a contract with the authority pursu-
    40  ant to the terms and conditions of the recommendation by the  board  and
    41  on such other terms as the authority determines to be appropriate.
    42    (d)  The  authority shall, at a minimum, report quarterly to the board
    43  on the success of the takecharge New York benefits.
    44    (e) For the purposes of this section,  the  authority  shall  own  and
    45  maintain  all  microgrid  infrastructure,  and  shall use its powers set
    46  forth in section one thousand five of  the  public  authorities  law  to
    47  implement any microgrid infrastructure.
    48    (f) (1) The board, in consultation with the authority, shall submit to
    49  the  governor,  temporary president of the senate, speaker of the assem-
    50  bly, minority leader of the senate and minority leader of  the  assembly
    51  an  evaluation  of  the  effectiveness  of the takecharge New York power
    52  program. Such evaluation shall focus on how the program has aided recip-
    53  ients of microgrid, and may include recommendations for how the  program
    54  can be made more effective. Such evaluation shall be submitted by Decem-
    55  ber thirty-first, two thousand twenty and by December thirty-first every
    56  five years thereafter.

        A. 2452                             5
     1    (2)  The board, with assistance from the authority, shall maintain the
     2  necessary records and data  required  to  perform  such  evaluation  and
     3  respond  to  requests  for  information  pursuant  to article six of the
     4  public officers law.
     5    (g)  The  authority  shall  have the power to effectuate all necessary
     6  regulations to carry out the intent and purpose of this chapter.
     7    (h) Nothing in this section shall  prohibit  an  applicant  from  also
     8  receiving  power allocations under section one hundred eighty-eight-a of
     9  this article.
    10    § 3. This act shall take effect on the ninetieth day  after  it  shall
    11  have become a law.
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