Bill Text: NY S07262 | 2017-2018 | General Assembly | Amended


Bill Title: Requires public utilities to submit emergency preparation plans to the public service commission on an annual basis; requires submission of reports after the restoration of service in an emergency; relates to vegetation management and communications during power outages; requires penalties to be used towards investments in improving storm restoration.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2018-06-21 - referred to corporations, authorities and commissions [S07262 Detail]

Download: New_York-2017-S07262-Amended.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                         7262--A
            Cal. No. 1291
                    IN SENATE
                                     January 5, 2018
                                       ___________
        Introduced  by  Sen.  MURPHY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Investigations and Govern-
          ment Operations -- reported favorably from said committee and  commit-
          ted  to  the  Committee  on  Energy and Telecommunications -- reported
          favorably from said committee, ordered to  first  and  second  report,
          ordered  to  a third reading, amended and ordered reprinted, retaining
          its place in the order of third reading
        AN ACT to amend the public service law, in relation to  emergency  plan-
          ning  and  response; in relation to vegetation management and communi-
          cations during power outages; and relates  to  the  use  of  penalties
          towards investments in improving storm restoration
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Paragraph (g) of subdivision 21 of section 66 of the public
     2  service law is relettered paragraph (k), and four  new  paragraphs  (g),
     3  (h), (i) and (j) are added to read as follows:
     4    (g)  Each  year,  on or before the first day of April or on such other
     5  date as the commission may prescribe, each  electric  corporation  shall
     6  (i)  file  an  electric utility emergency plan including any such amend-
     7  ments as it deems necessary, or as the commission may require, to  main-
     8  tain  a  high level of preparedness, and (ii) certify in a report to the
     9  commission that within the past twelve months it has periodically  veri-
    10  fied  telephone  and other appropriate contacts, and updated its list of
    11  internal and external contact persons necessary to execute the plan, and
    12  has conducted one or more emergency exercises involving  the  management
    13  of  the  corporation and key company personnel assigned service restora-
    14  tion responsibilities. Prior to approving any such plan, the  commission
    15  shall seek comments from interested state and local agencies and members
    16  of  the  public,  and  may  require modifications or otherwise prescribe
    17  conditions for approval. The commission shall ensure that  comments  are
    18  solicited from the state office of emergency management, the division of
    19  homeland security and emergency services and other appropriate state and
    20  local  agencies,  and from organizations that provide emergency shelter,
    21  warming/cooling stations and  other  relief  efforts.  As  part  of  its
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14089-05-8

        S. 7262--A                          2
     1  review,  the  commission  shall  review the adequacy of any policies for
     2  reimbursing customers for losses due to outages  or  inadvertent  inten-
     3  tional  shutoffs of electricity. Such review shall include consideration
     4  of the appropriateness of any policy of providing for, limiting or deny-
     5  ing  reimbursement  for  damages to electrical equipment or other losses
     6  attributable to the failure to deliver  electricity  or  to  significant
     7  reductions  in  the  voltage of electricity delivered, including loss of
     8  business opportunities and the appropriateness of any duration standards
     9  in such policies. Such review shall also include the sufficiency of  any
    10  monetary limits in such policies.
    11    (h)  Within  sixty days following completion of service restoration in
    12  an emergency where the restoration  period  exceeds  seventy-two  hours,
    13  each  electric  corporation  shall  submit to the commission a review of
    14  system restoration performance. Based on this review  or  upon  its  own
    15  assessment  of  the  electric corporation's performance in responding to
    16  such emergency, the commission may immediately order  any  modifications
    17  or  conditions  to the corporation's emergency plan that it deems neces-
    18  sary to ensure a high level of preparedness. The commission  is  author-
    19  ized to extend the timeframe herein where another emergency event occurs
    20  within such timeframe.
    21    (i) The names and contact information of employees and outside contact
    22  persons  may  be  deleted  from  copies of the plan available for public
    23  inspection, but such deleted information shall be subject to  inspection
    24  by  the commission. An electric corporation may request that the commis-
    25  sion designate as confidential internal security matters and  any  other
    26  information  required  to be submitted in emergency plans. Such requests
    27  shall identify the specific  information  requested  to  be  treated  as
    28  confidential and shall explain why confidentiality is sought. Unless the
    29  commission  directs otherwise, such information shall not be included in
    30  the plans available for public inspection.
    31    (j) The commission shall encourage electric corporations  to  identify
    32  and  disseminate  best  practices in emergency planning and response. In
    33  addition to overseeing dissemination of best  practices  on  an  ongoing
    34  basis,  the  commission  shall  be  authorized  to initiate a statewide,
    35  collaborative emergency preparedness and storm management planning proc-
    36  ess involving all electric corporations  and  other  involved  organiza-
    37  tions.
    38    §  2. Notwithstanding any law, rule or regulation to the contrary, the
    39  public service commission shall order that any penalties or  settlements
    40  pursuant  to  the  public service law rendered or approved by the public
    41  service commission against any electric corporation in  connection  with
    42  the  winter storms Quinn and Riley which impacted the counties of Dutch-
    43  ess, Westchester, Putnam and Sullivan, shall  be  used  exclusively  for
    44  investments  by  such electric corporations to improve storm restoration
    45  through increased resiliency and  improved  emergency  response.    Such
    46  penalties  or  settlements  shall not be reflected in the aforementioned
    47  electric companies' rate bases or  operating  expenses  in  establishing
    48  future delivery rates.
    49    The  electric  companies shall invest such penalties and/or settlement
    50  funding directly in the areas impacted by the storms  Quinn  and  Riley.
    51  Such  investments  shall target the areas which received the most damage
    52  from the foregoing storms.  Such investments as ordered  by  the  public
    53  service  commission shall include, but not be limited to, the following:
    54  implementation of communications upgrades; tree trimming costs;  funding
    55  for training of emergency first responders; upgrade of pole materials to
    56  withstand  storms;  technology  upgrades, including, but not limited to,

        S. 7262--A                          3
     1  the use of drones, to increase effectiveness and time for assessment  of
     2  damages; the use of monitoring devices at critical facilities located in
     3  the  impacted  counties  referenced  herein and generators for customers
     4  with life support assistance.
     5    The  public  service  commission  shall provide a list of expenditures
     6  proposed for adoption ten days prior to final  adoption  by  the  public
     7  service commission of such investments to the temporary president of the
     8  Senate and the speaker of the Assembly to provide them with the opportu-
     9  nity to comment thereon.
    10    The  electric  companies shall record the investments as follows:  for
    11  investments that would not typically be capitalized, the electric compa-
    12  nies shall record such expenditures in below-the-line expense  accounts,
    13  and  for  investment  which would typically be capitalized, the electric
    14  companies shall  record  such  expenditures  in  a  non-operating  asset
    15  account,  and  the ongoing amortization/depreciation expenses associated
    16  with these non-operating assets shall be recorded below-the-line.  Every
    17  six  months, the electric corporations shall make a report to the public
    18  service commission on the status of any investments ordered.  A  failure
    19  to  comply with any provision of the foregoing may result in judicial or
    20  administrative action by the public service commission,  including,  but
    21  not  limited  to,  a proceeding under section 25-a of the public service
    22  law.
    23    The public service commission  shall  review  the  implementation  and
    24  effectiveness of these new directives for storm response investment, and
    25  within  twelve  months from the public service commission's order imple-
    26  menting this section, issue a report and  make  recommendations  on  the
    27  effectiveness of the investments made pursuant to this section.
    28    § 3. The public service law is amended by adding a new section 66-p to
    29  read as follows:
    30    §  66-p.  Vegetation  management. Vegetation management is critical to
    31  ensure public safety and a reliable supply  of  electrical  power  using
    32  integrated  vegetation management and arboricultural practices. Electric
    33  corporations shall employ a vegetation manager, who is an electric util-
    34  ity arborist. The commission  shall  promulgate  regulations  to  define
    35  hazard trees, which shall include trees which are diseased, or otherwise
    36  create danger to energized conductors' reliable supply of electric power
    37  whether  within  the  electric  corporation's right-of-way or outside of
    38  such right-of-way. The electric corporation shall  determine  if  it  is
    39  permitted  to  remove or mitigate hazard trees. The electric corporation
    40  shall remove or mitigate the  hazard  trees  as  soon  as  possible.  If
    41  permission  is required to remove hazard trees, the electric corporation
    42  shall reasonably attempt to obtain permission to remove or mitigate  the
    43  hazard trees as determined by the commission.
    44    § 4. The public service law is amended by adding a new section 66-q to
    45  read as follows:
    46    §  66-q.  Communication  during  power  outages.  The commission shall
    47  specifically review the communication plans of each electric corporation
    48  to evaluate the effectiveness  of  electric  corporation  communications
    49  with customers, particularly for customers with life support assistance,
    50  as  well as federal, state, county and municipal and emergency operation
    51  center officials during power outages.  Communication  protocols  should
    52  also be established for facilities critical to public health and safety.
    53  The  commission  shall make recommendations to the electric corporations
    54  on any improvements which should be made to their  communications  poli-
    55  cies.

        S. 7262--A                          4
     1    §  5.  Non-contiguous  service  territory study. 1. The public service
     2  commission, in connection with the recent storms Quinn and Riley,  shall
     3  undertake  a  study  to analyze whether the storm restoration efforts of
     4  electric corporations are  impacted  by  having  non-contiguous  service
     5  territories.  Such  study  shall  examine the ability of electric corpo-
     6  rations with non-contiguous service territories to effectively  mobilize
     7  personnel,  equipment  and  resources  to respond to storm damage within
     8  reasonable timeframes equivalent to electric corporations  with  contig-
     9  uous  territories. It shall also consider whether there are any barriers
    10  to communication and coordination with local  governments,  based  on  a
    11  non-contiguous service territory.
    12    2.  In addition to the foregoing, such study shall include a review of
    13  the mutual aid response during the aforementioned  storms  to  determine
    14  whether  there  are  any recommendations related to the effectiveness of
    15  the electric corporations' mutual aid agreements.
    16    § 6. This act shall take effect immediately.
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