A 9041: Prohibits utilities from raising rates while reporting high profits; requires utilities to reinvest revenues into New York's energy infrastructure, safety, and reliability; requires the submission to the public service commission of a compliance report.

  
  STATE OF NEW YORK ________________________________________________________________________ 9041 2025-2026 Regular Sessions  IN ASSEMBLY September 5, 2025 ___________ Introduced by M. of A. SANTABARBARA -- read once and referred to the Committee on Energy AN ACT to amend the public service law, in relation to prohibiting util- ities from raising rates while reporting high profits and requiring utilities to reinvest revenues into New York's energy infrastructure, safety, and reliability The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. This act shall be known and may be cited as the "Utility 2 Profit Reinvestment and Rate Hike Ban Act". 3 § 2. Subdivision 12 of section 66 of the public service law is amended 4 by adding two new paragraphs (b-1) and (b-2) to read as follows: 5 (b-1) No change shall be made in any rate or charge, or in any form of 6 contract or agreement or any rule or regulation relating to any rate, 7 charge or service, which shall have been filed by a utility in compli- 8 ance with an order of the commission, if the utility filing the request 9 for the increase in rates or charges has above-average profits in the 10 fiscal year during which the request is filed compared to the average 11 profits over the immediately preceding previous three fiscal years. For 12 the purposes of this subdivision, "above-average profits" shall mean net 13 profits in excess of more than ten percent over the average of the net 14 profits during the three immediately preceding fiscal years. 15 (b-2) No change shall be made in any rate or charge, or in any form of 16 contract or agreement or any rule or regulation relating to any rate, 17 charge or service, which shall have been filed by a utility in compli- 18 ance with an order of the commission, if the utility filing the request 19 for the increase in rates or charges has failed to comply with the 20 provisions of section sixty-nine-b of this article. 21 § 3. The public service law is amended by adding two new sections 69-b 22 and 69-c to read as follows: EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD13670-01-5 
 A. 9041 2 1 § 69-b. Use of revenues. 1. Each gas corporation and electric corpo- 2 ration shall reinvest a minimum of seventy-five percent of its annual 3 net profits from revenues received from service delivered in the state 4 in measures to improve and promote energy infrastructure, safety, and 5 reliability. Such measures shall include, but not be limited to: 6 (a) energy grid modernization and infrastructure upgrades; 7 (b) improvements in reliability and maintenance of infrastructure; 8 (c) clean energy transition; and 9 (d) safety improvements. 10 2. No gas corporation or electric corporation shall utilize revenues 11 received from the rendition of public service within the state for the 12 purpose of increasing dividends or authorizing stock buybacks in any 13 year the corporation petitions for a rate hike. 14 3. No gas corporation or electric corporation shall utilize net reven- 15 ues received as a result of an approved rate hike for the purpose of 16 shareholder profits, payment of dividends, or stock buybacks. All such 17 revenues shall be utilized for the purposes specified in subdivision one 18 of this section. 19 § 69-c. Use of revenue compliance reports. 1. On or before April thir- 20 tieth of each year, each gas corporation and each electric corporation 21 shall file with the commission a report disclosing the corporation's 22 gross profits and net profits, the amount of dividends paid over the 23 preceding fiscal year, the amount of executive compensation paid over 24 the preceding fiscal year, and the amount of net revenues reinvested in 25 infrastructure, safety, and reliability in accordance with subdivision 26 one of section sixty-nine-b of this article. 27 2. The commission shall review the reports to monitor each corpo- 28 ration's activities related to compliance with the provisions of section 29 sixty-nine-b of this article. 30 3. The commission may take any action to address and/or prevent a 31 deficiency in a corporation's prioritization or administration of its 32 infrastructure improvement projects or operation and maintenance activ- 33 ities related to safety, including ordering reasonable improvements that 34 will best promote the public interest, preserve the public health and 35 protect those using gas and electricity pursuant to those powers 36 provided to the commission as provided in this chapter, including but 37 not limited to those in sections sixty-six and sixty-nine-b of this 38 article. 39 4. The commission shall issue an annual report certifying the compli- 40 ance or noncompliance of each gas corporation and electric corporation 41 with the requirements of this section and of section sixty-nine-b of 42 this article and shall make such report available on its public website. 43 5. Any gas corporation or electric corporation that fails to comply 44 with the provisions of this section or that provides materially incor- 45 rect or inaccurate information related to the disclosures required by 46 subdivision one of this section shall be subject to a fine of one 47 hundred thousand dollars per each day of the failure, be required to 48 forfeit any revenues resulting from the corporation's failure to comply 49 with section sixty-nine-b of this article, and be prohibited from filing 50 an application for an increase in rates or costs with the commission for 51 a period not to exceed two years. 52 § 4. This act shall take effect immediately.