New York A 7963: Eliminates late fees for residential utility customers

Bill Text

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A07963 Summary:

BILL NOA07963A

&nbsp

SAME ASNo Same As

&nbsp

SPONSORTapia

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COSPNSRRomero, Colton, Simon, Yeger, Torres, Shimsky

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MLTSPNSR

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Amd §42, Pub Serv L

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Eliminates late fees for residential utility customers; provides that no late payment charges may be imposed on residential customers.

Go to top A07963 Actions:

BILL NOA07963A

&nbsp

04/16/2025referred to corporations, authorities and commissions

08/15/2025amend and recommit to corporations, authorities and commissions

08/15/2025print number 7963a

01/07/2026referred to corporations, authorities and commissions

Go to topA07963 Committee&nbspVotes:

Go to topA07963 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topA07963 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 7963--A

 2025-2026 Regular Sessions

 IN ASSEMBLY

 April 16, 2025
 ___________

 Introduced by M. of A. TAPIA -- read once and referred to the Committee
 on Corporations, Authorities and Commissions -- committee discharged,
 bill amended, ordered reprinted as amended and recommitted to said
 committee

 AN ACT to amend the public service law, in relation to eliminating late
 fees for residential utility customers

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. Section 42 of the public service law, as added by chapter
 2 713 of the laws of 1981, subdivision 3 as added by chapter 388 of the
 3 laws of 2011, is amended to read as follows:
 4 § 42. Other charges. 1. (a) A utility corporation or municipality may
 5 impose late payment charges on non-residential customers not in excess
 6 of one and one-half percent per month on the unpaid balance of any bill
 7 including any interest thereon. No such late payment charge shall be
 8 imposed on any residential customer or small business customer. Any
 9 such late payment charge on non-residential customers, however, may not
 10 be imposed if the bill is the subject of a pending complaint with the
 11 utility or municipality provided, however, that such charge may be
 12 imposed retroactively if the complaint is finally resolved in favor of
 13 the utility or municipality.
 14 (b) For the purposes of this subdivision, the term "small business
 15 customer" shall mean a customer who is an electric customer that meets
 16 the criteria in subparagraph (i) of this paragraph, a gas customer that
 17 meets the criteria in subparagraph (ii) of this paragraph, or both:
 18 (i) A non-residential electric service customer that receives service
 19 either under a non-demand billed rate, or under a demand billed rate,
 20 provided the highest metered demand was less than or equal to forty
 21 kilowatts during the previous twelve months;
 22 (ii) A gas customer that has an actual gas consumption that does not
 23 exceed seven hundred fifty dekatherms per year, or, for customers with

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD11200-02-5

 A. 7963--A 2

 1 less than one year of actual meter readings, is a gas customer that has
 2 an average actual monthly usage that when multiplied by twelve does not
 3 exceed seven hundred fifty dekatherms.
 4 2. [Except as provided in subdivision one of this section, no] No
 5 utility corporation or municipality may charge any residential customer
 6 a late payment charge, penalty, fee, interest, or other charge of any
 7 kind for any late payment, collection effort, service disconnection or
 8 deferred payment agreement occasioned by the customer's failure to pay
 9 timely for gas or electric service.
 10 3. The rights and responsibilities of residential customers partic-
 11 ipating in green jobs-green New York on-bill recovery pursuant to
 12 section sixty-six-m of this chapter shall be substantially comparable to
 13 those of electric and gas customers not participating in on-bill recov-
 14 ery, and charges for on-bill recovery shall be treated as charges for
 15 utility service for the purpose of this article, provided that:
 16 (a) all determinations and safeguards related to the termination and
 17 reconnection of service shall apply to on-bill recovery charges billed
 18 by a utility pursuant to such se