New Jersey A 1568: Requires electric public utilities to implement flood mitigation plans for certain electric distribution substations; prohibits rate increase pending implementation of flood mitigation plans.

Bill Text

A1568 

ASSEMBLY, No. 1568 

STATE OF NEW JERSEY

222nd LEGISLATURE

� 

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblyman SEAN T. KEAN

District 30 (Monmouth and Ocean)

SYNOPSIS

���� Requires electric public utilities to implement flood 
mitigation plans for certain electric distribution substations; prohibits rate 
increase pending implementation of flood mitigation plans.

CURRENT VERSION OF TEXT 

���� Introduced Pending Technical Review by Legislative 
Counsel.

�� 

An Act concerning electric public utility flood 
mitigation plans and supplementing Title 48 of the Revised Statutes.

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

���� 1.��� As used in P.L.��� , 
c.��� (C.������� ) (pending before the Legislature as this bill):

���� �Board� means the Board of 
Public Utilities.

���� �Electric distribution 
substation� means, with respect to an electric public utility, an electric substation which takes electricity from the 
transmission grid and converts it to a lower voltage for the purpose of 
distribution to end-use customers in the State through one or more distribution 
lines having a rating of less than 69 kilovolts, or such rating as the board to 
determines to be at the distribution level.

���� �Electric public utility� or 
�utility� means a public utility, as that term is defined in R.S.48:2-13, that 
transmits and distributes electricity to end users within this State.

���� �Sustained outage� is the 
interruption of electric service for a period of not less than 24 hours.

���� 2.��� a.� Within 120 days of 
the board�s promulgation of the rules and regulations establishing flood-proof 
design regulations pursuant to section 4 of P.L.��� , c.��� (C.������� ) 
(pending before the Legislature as this bill), each electric public utility in the 
State having ownership or control of an electric distribution substation which 
has, within 10 years prior to the effective date of� 
P.L. , c. (C. ) (pending before 
the Legislature as this bill), experienced flooding that has resulted in a 
sustained outage to at least five percent of the end-use customers of any 
municipality located within the electric public utility�s service territory, or 
five percent of the end-use customers of any county located within an electric 
public utility�s service territory if such outage has effected end-use 
customers in more than one municipality, shall prepare and submit to the board, 
a plan to mitigate flood damage to the substation in accordance with the 
flood-proof design regulations promulgated by the board pursuant to section 4 
of 
P.L. , c. (C. ) (pending 
before the Legislature as this bill).

���� b.��� Within 180 days of 
receipt of a flood damage mitigation plan pursuant to subsection a. of this 
section, the board shall determine whether the plan is feasible and whether it 
shall be implemented with or without recommendations.� Upon a determination 
that the plan shall be implemented, the board shall order that the plan be 
implemented and flood damage mitigation at the electric distribution substation 
described in the plan shall be completed within one calendar year from such 
order, which order shall include any recommendations for amendments or 
additions to the plan.

���� 3.��� Notwithstanding any law, 
rule, regulation, or order to the contrary, the board shall not grant any 
petition of an electric public utility for an adjustment in existing tariffs which 
proposes to increase individual rates, joint rates, tolls, or charges, or 
schedules thereof, until the utility completes implementation of the flood 
damage mitigation plan pursuant to a board order issued pursuant to subsection 
b. of section 2 of P.L.��� , c.��� (C.������� ) (pending before the Legislature 
as this bill).

���� 4.��� Within 120 days of the 
effective date of P.L.��� , c.��� (C. ) (pending before 
the Legislature as this bill), the board shall, pursuant to the provisions of 
the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et 
seq.), adopt rules and regulations establishing flood-proof design regulations 
applicable to electric distribution substations subject to the requirements of 
section 1 of P.L.��� , c.��� (C.������� ) (pending before the Legislature as 
this bill), standards, and classification of property and equipment to be 
determined by the board as being an electric distribution substation, and any 
other such rules and regulations as may be necessary to effectuate the purposes 
of P.L.��� , c.��� (C.������� ) (pending before the Legislature as 
this bill).

���� 5.��� This act shall take 
effect immediately.

STATEMENT

���� This bill directs the Board of 
Public Utilities (BPU), within 120 days of the effective date of the bill, to 
promulgate electric flood-proof design regulations for electric distribution 
substations which have experienced flooding in the 10 years preceding the 
effective date of the bill, which flooding has