N.Y. PBS Law § 66

§ 66. General powers of commission in respect to gas and electricity.\nThe commission shall:\n 1. Have general supervision of all gas corporations and electric\ncorporations having authority under any general or special law or under\nany charter or franchise to lay down, erect or maintain wires, pipes,\nconduits, ducts or other fixtures in, over or under the streets,\nhighways and public places of any municipality for the purpose of\nfurnishing or distributing gas or of furnishing or transmitting\nelectricity for light, heat or power, or maintaining underground\nconduits or ducts for electrical conductors, and all gas plants and\nelectric plants owned, leased or operated by any gas corporation or\nelectric corporation.\n 1-a. Review the annual capital expenditure of each combination gas and\nelectric corporation and may order such improvement in the manufacture,\nconveying, transportation, distribution or supply of gas, in the\nmanufacture, transmission or supply of electricity, or in the methods\nemployed by such corporation as in the commission's judgment is\nadequate, just and reasonable.\n 2. Investigate and ascertain, from time to time, the quality of gas\nsupplied by persons, corporations and municipalities; examine or\ninvestigate the methods employed by such persons, corporations and\nmunicipalities in manufacturing, distributing and supplying gas or\nelectricity for light, heat or power and in transmitting the same, and\nhave power to order such reasonable improvements as will best promote\nthe public interest, preserve the public health and protect those using\nsuch gas or electricity and those employed in the manufacture and\ndistribution thereof, and have power to order reasonable improvements\nand extensions of the works, wires, poles, lines, conduits, ducts and\nother reasonable devices, apparatus and property of gas corporations,\nelectric corporations and municipalities; and have power after an\ninvestigation and a hearing to order any corporation having authority\nunder any general or special law or under any charter or franchise, to\nlay down, erect or maintain wires, pipes, conduits, ducts or other\nfixtures in, over or under the streets, highways and public places of\nany municipality for the purpose of supplying, selling or distributing\nnatural gas, to augment its supply of natural gas, whenever the\ncommission deems necessary and whenever artificial gas can be reasonably\nobtained, by acquiring by purchase, manufacture or otherwise a supply\nthereof to be mixed with such natural gas, in order to render adequate\nservice to the customers of such corporation or to maintain a proper and\nuniform pressure; and have power after an investigation and a hearing to\norder any corporation having authority under any general or special law\nor under any charter or franchise, to lay down, erect or maintain wires,\npipes, conduits, ducts or other fixtures in, over or under the streets,\nhighways and public places of any municipality for the purpose of\nsupplying, selling or distributing artificial gas, to augment its supply\nof artificial gas, whenever the commission deems necessary and whenever\nnatural gas can be reasonably obtained, by acquiring by purchase or\notherwise a supply thereof to be mixed with such artificial gas, in\norder to render adequate service to the customers of such corporation or\nto maintain a proper and uniform pressure; and to fix such rate for the\nsupplying of mixed gas as shall secure to such corporation a fair\nreturn; and may order the curtailment or discontinuance of the use of\nnatural gas for manufacturing or industrial purposes, for periods\naggregating not to exceed four months in any calendar year, if it is\nestablished to the satisfaction of the commission that the supply of\nnatural gas is not adequate to meet the reasonable demands of domestic\nconsumption and may prohibit the use of natural gas in wasteful devices\nand practices.\n 2-a. Have power, after an investigation and hearing held on notice and\nupon a finding that as a result of a shortage of gas a public emergency\nexists, to determine whether any gas corporation has available, or may\nbe made available by the operation of its facilities, gas in excess of\nan amount necessary to supply its consumers for purposes for which gas\nmay properly be used during such emergency. Upon the making of such a\ndetermination it shall have power to order such a gas corporation to\ntransfer and make available to any other gas corporation where a\nshortage of gas exists, for the duration of the emergency, any or all of\nsuch excess gas for which the transferring company shall receive just\ncompensation. Such order may require the installation and operation of\nall necessary connections and facilities at the expense of the\npurchasing gas corporation and require the selling and purchasing gas\ncorporation to adopt appropriate regulations and practices to carry out\nthe transfer of gas as ordered.\n 3. Have power by order to fix and change from time to time standards\nof the purity, illuminating power and heating power, and standards for\nthe measurement thereof, of gas to be manufactured, distributed or sold\nby persons, corporations or municipalities for lighting, heating or\npower purposes, notwithstanding that other standards of the purity,\nilluminating power and heating power of gas and standards for the\nmeasurement thereof, may have been fixed by general or special statute\nand to prescribe from time to time the efficiency of the electric supply\nsystem, of the current supplied and of the lamps furnished by the\npersons, corporations or municipalities generating and selling electric\ncurrent, and by order to require the gas so manufactured, distributed or\nsold to equal the standards so fixed by it, and to prescribe from time\nto time the reasonable minimum and maximum pressure at which gas shall\nbe delivered by said persons, corporations or municipalities. For the\npurpose of determining whether the gas manufactured, distributed or sold\nby such persons, corporations or municipalities for lighting, heating or\npower purposes conforms to the standards of illuminating power, heating\npower, purity and pressure, and for the purpose of determining whether\nthe efficiency of the electric supply system, of the current supplied\nand of the lamps furnished conforms to the orders issued by the\ncommission, the commission shall have power of its own motion, to\nexamine and investigate the plants and methods employed in\nmanufacturing, delivering and supplying gas or electricity, and shall\nhave access through its members or persons employed and authorized by it\nto make such examinations and investigations to all parts of the\nmanufacturing plants owned, used or operated by the manufacture,\ntransmission or distribution of gas or electricity by any such person,\ncorporation or municipality.\n 4. Have power, in its discretion, to prescribe uniform methods of\nkeeping accounts, records and books, to be observed by gas corporations\nand electric corporations and by municipalities engaged in the\nmanufacture, sale and distribution of gas and electricity for light,\nheat or power. It may also in its discretion prescribe, by order, forms\nof accounts, records and memoranda to be kept by such persons,\ncorporations and municipalities. Notice of alterations by the commission\nin the required method or form of keeping a system of accounts shall be\ngiven to such persons or corporations by the commission at least six\nmonths before the same shall take effect. Any other and additional forms\nof accounts, records and memoranda kept by such corporations shall be\nsubject to examination by the commission.\n 5. Examine all persons, corporations and municipalities under its\nsupervision and keep informed as to the methods, practices, regulations\nand property employed by them in the transaction of their business.\nWhenever the commission shall be of opinion, after a hearing had upon\nits own motion or upon complaint, that the rates, charges or\nclassifications or the acts or regulations of any such person,\ncorporation or municipality are unjust, unreasonable, unjustly\ndiscriminatory or unduly preferential or in anywise in violation of any\nprovision of law, the commission shall determine and prescribe in the\nmanner provided by and subject to the provisions of section seventy-two\nof this chapter the just and reasonable rates, charges and\nclassifications thereafter to be in force for the service to be\nfurnished notwithstanding that a higher or lower rate or charge has\nheretofore been prescribed by general or special statute, contract,\ngrant, franchise condition, consent or other agreement, and the just and\nreasonable acts and regulations to be done and observed; and whenever\nthe commission shall be of opinion, after a hearing had upon its own\nmotion or upon complaint, that the property, equipment or appliances of\nany such person, corporation or municipality are unsafe, inefficient or\ninadequate, the commission shall determine and prescribe the safe,\nefficient and adequate property, equipment and appliances thereafter to\nbe used, maintained and operated for the security and accommodation of\nthe public and in compliance with the provisions of law and of their\nfranchises and charters.\n 6. Require every person and corporation under its supervision and it\nshall be the duty of every such person and corporation to file with the\ncommission an annual report, verified by the oath of the president,\nvice-president, treasurer, secretary, general manager, or receiver, if\nany, thereof, or by the person required to file the same. The\nverification shall be made by said official holding office at the time\nof the filing of said report, and if not made upon the knowledge of the\nperson verifying the same shall set forth the sources of his information\nand the grounds of his belief as to any matters not stated to be\nverified upon his knowledge. The report shall show in detail (a) the\namount of its authorized capital stock and the amount thereof issued and\noutstanding; (b) the amount of its authorized bonded indebtedness and\nthe amount of its bonds and other forms of evidence of indebtedness\nissued and outstanding; (c) its receipts and expenditures during the\npreceding year; (d) the amount paid as dividends upon its stock and as\ninterest upon its bonds; (e) the names of its officers and the aggregate\namount paid as salaries to them and the amount paid as wages to its\nemployees; (f) the location of its plant or plants and system, with a\nfull description of its property and franchises, stating in detail how\neach franchise stated to be owned was acquired; and (g) such other facts\npertaining to the operation and maintenance of the plant and system, and\nthe affairs of such person or corporation as may be required by the\ncommission. Such reports shall be in the form, cover the period and be\nfiled at the time prescribed by the commission. The commission may, from\ntime to time, make changes and additions in such forms. When any such\nreport is defective or believed to be erroneous, the commission shall\nnotify the person, corporation or municipality making such report to\namend the same within a time prescribed by the commission. Any such\nperson or corporation or municipality which shall neglect to make any\nsuch report or which shall fail to correct any such report within the\ntime prescribed by the commission shall be liable to a penalty of one\nhundred dollars and an additional penalty of one hundred dollars for\neach day after the prescribed time for which it shall neglect to file or\ncorrect the same, to be sued for in the name of the people of the state\nof New York. The amount recovered in any such action shall be paid into\nthe state treasury and be credited to the general fund. The commission\nmay extend the time prescribed for cause shown.\n 7. Require each municipality engaged in operating any works or systems\nfor the manufacture and supplying of gas or electricity to make an\nannual report to the commission, verified by the oath of the general\nmanager or superintendent thereof, showing in detail, (a) the amount of\nits authorized bonded indebtedness and the amount of its bonds and other\nforms of evidence of indebtedness issued and outstanding for lighting\npurposes; (b) its receipts and expenditures during the preceding year;\n(c) the amount paid as interest upon its bonds and upon other forms of\nevidence of indebtedness; (d) the name of and the amount paid to each\nperson receiving a yearly or monthly salary, and the amount paid as\nwages to employees; (e) the location of its plant and system with a full\ndescription of the property; and (f) such other facts pertaining to the\noperation and maintenance of the plant and system as may be required by\nthe commission. Such report shall be in the form, cover the period and\nbe filed at the time prescribed by the commission.\n 8. Have power, either through its members or inspectors or employees\nduly authorized by it, to enter in or upon and to inspect the property,\nbuildings, plants, factories, power houses, ducts, conduits and offices\nof any of such corporations, persons or municipalities.\n 9. Have power to examine the accounts, books, contracts, records,\ndocuments and papers of any such corporation, person or municipality,\nand have power, after hearing, to prescribe by order the accounts in\nwhich particular outlays and receipts shall be entered, charged or\ncredited. At any such hearing the burden of proof shall be on the\nperson, corporation or municipality to establish the correctness of the\naccounts in which such outlays and receipts have been entered, and the\ncommission may suspend a charge or credit pending submission of proof by\nsuch person, corporation or municipality.\n 10. Have power to compel, by subpoena duces tecum, the production of\nany accounts, books, contracts, records, documents, memoranda and\npapers. In lieu of requiring production of originals by subpoena duces\ntecum the commission or any commissioner may require sworn copies of any\nsuch books, records, contracts, documents and papers, or parts thereof,\nto be filed with it. The commission may require of all such\ncorporations, persons or municipalities, specific answers to questions\nupon which the commission may need information, and may also require\nsuch corporations, persons or municipalities to file periodic reports in\nthe form, covering the period and filed at the time prescribed by the\ncommission. If such corporation, person or municipality shall fail to\nmake specific answer to any question or shall fail to make a periodic\nreport when required by the commission as herein provided within the\ntime and in the form prescribed by the commission for the making and\nfiling of any such report or answer, such corporation, person or the\nofficer of the municipality shall forfeit to the state the sum of one\nhundred dollars for each and every day it shall continue to be in\ndefault with respect to such report or answer. Such forfeiture shall be\nrecovered in an action brought by the commission in the name of the\npeople of the state of New York. The amount recovered in any such action\nshall be paid into the state treasury and be credited to the general\nfund.\n 11. Have power in all parts of the state, either as a commission or\nthrough its members, or through an officer or employee specially\nauthorized to conduct an investigation or hearing to subpoena witnesses,\ntake testimony and administer oaths to witnesses in any proceeding or\nexamination instituted before it, or conducted by it in reference to any\nmatter within its jurisdiction under this article.\n 12. (a) Have power to require every gas corporation, electric\ncorporation and municipality hereinafter in this subdivision called a\nutility to file with the commission and to print and keep open to public\ninspection schedules showing all rates and charges made, established or\nenforced or to be charged or enforced, all forms of contract or\nagreement and all rules and regulations relating to rates, charges or\nservice used or to be used, and all general privileges and facilities\ngranted or allowed by such utility; but this subdivision shall not apply\nto state, municipal or federal contracts, except to the extent such\ncontracts relate to transportation of electricity.\n (b) No change shall be made in any rate or charge, or in any form of\ncontract or agreement or any rule or regulation relating to any rate,\ncharge or service, or in any general privilege or facility, which shall\nhave been filed by a utility in compliance with an order of the\ncommission, except after thirty days' notice to the commission and to\neach county, city, town and village served by such utility which had\nfiled with such utility, within the prior twelve months, a request for\nsuch notice and which shall be affected by such change and publication\nof a notice to the public of such proposed change once in each week for\nfour successive weeks in a newspaper having general circulation in each\ncounty containing territory affected by the proposed change, which\nnotice shall plainly state the changes proposed and when the change will\ngo into effect. The commission for good cause shown may, except in the\ncase of major changes, allow changes to take effect prior to the end of\nsuch thirty-day period and without publication of notice to the public\nunder such conditions as it may prescribe. The commission may delegate\nto the secretary of the commission its authority to approve a change to\na schedule postponing the effective date of such schedule previously\nfiled with the commission and to allow for good cause shown the\npostponement to take effect prior to the end of such thirty-day period\nand without publication of notice to the public.\n (c) For the purpose of this subdivision, "major changes" shall mean an\nincrease in the rates and charges which would increase the aggregate\nrevenues of the applicant more than the greater of three hundred\nthousand dollars or two and one-half percent, but shall not include\nchanges in rates, charges or rentals (i) allowed to go into effect by\nthe commission or made by the utility pursuant to an order of the\ncommission after hearings held upon notice to the public, or (ii)\nproposed by a municipality.\n (d) No utility shall charge, demand, collect or receive a greater or\nless or different compensation for any service rendered or to be\nrendered than the rates and charges specified in its schedule filed and\nin effect; nor shall any utility refund or remit in any manner or by any\ndevice any portion of the rates or charges so specified, nor extend to\nany person any form of contract or agreement, or any rule or regulation,\nor any privilege or facility, except such as are regularly and uniformly\nextended to all persons under like circumstances.\n (e) The commission shall have power to prescribe the form of every\nsuch schedule, and from time to time prescribe by order such changes in\nthe form thereof as may be deemed wise. The commission shall also have\npower to establish such rules and regulations to carry into effect this\nsubdivision as it may deem necessary, and to modify or amend such rules\nor regulations from time to time. Nothing in this chapter shall be taken\nto prohibit a utility from establishing sliding scale upward rates,\nbeginning at a fixed price per unit for a small consumption and then\nincreasing the price per unit as the consumption is increased.\n (f) Whenever there shall be filed with the commission by any utility\nany schedule stating a new rate or charge, or any change in any form of\ncontract or agreement or any rule or regulation relating to any rate,\ncharge or service, or in any general privilege or facility, the\ncommission may, at any time within sixty days from the date when such\nschedule would or has become effective, either upon complaint or upon\nits own initiative, and, if it so orders, without answer or other formal\npleading by the utility, but upon reasonable notice, hold a hearing\nconcerning the propriety of a change proposed by the filing. If such\nchange is a major change, the commission shall hold such a hearing.\nPending such hearing and decision thereon, the commission, upon filing\nwith such schedule and delivering to the utility, a statement in writing\nof its reasons therefor, may suspend the operation of such schedule, but\nnot for a longer period than one hundred and twenty days beyond the time\nwhen it would otherwise go into effect. After full hearing, whether\ncompleted before or after the schedule goes into effect, the commission\nmay make such order in reference thereto as would be proper in a\nproceeding begun after the rate, charge, form of contract or agreement,\nrule, regulation, service, general privilege or facility had become\neffective. If any such hearing cannot be concluded within the period of\nsuspension as above stated, the commission may extend the suspension for\na further period, not exceeding six months.\n (g) The commission shall review all filings to determine if they are\nin compliance with section seventy-two-a of this article. The commission\nshall have the power to hold public hearings concerning the propriety of\nany increased rate or charge for fuel costs. At any hearing involving\nsuch an increase, the burden of proof as to the correctness and\nreasonableness of the charge shall be upon the utility.\n (h) The commission may, as authorized by section seventy-two of this\narticle, establish temporary rates or charges for any period of\nsuspension under this section.\n (i) At any hearing involving a rate, the burden of proof to show that\nthe change or proposed change if proposed by the utility, or that the\nexisting rate, if it is proposed to reduce the rate, is just and\nreasonable shall be upon the utility; and the commission may give to the\nhearing and decision of such questions preference over all other\nquestions pending before it.\n (j) The schedule, rates, charges, form of contract or agreement, rule,\nregulation, service, general privilege or facility in force when the new\nschedule, rate, charge, form of contract, rule, regulation, service,\ngeneral privilege or facility was filed shall continue in force during\nthe period of the suspension unless the commission shall establish a\ntemporary rate or charge as authorized by section seventy-two of this\narticle.\n (k) In any case in which the commission determines that the whole or\nany part of any increased rate or charge imposed by a utility pursuant\nto any automatic adjustment, including but not limited to any fuel\nadjustment, was not just and reasonable, because of a lack of reasonable\ncare on the part of the utility in providing gas or electric service,\nthe commission may order the utility to refund, with interest, any\nmoneys collected by the utility pursuant to such whole or part of such\nincreased rate or charge. In determining whether a utility exercised\nreasonable care in providing gas or electric service, the commission\nshall take into account the public health and safety consequences, and\nthe economic consequences to ratepayers, of the utility's actions.\n 12-a. Have power to fix and alter the format and informational\nrequirements of bills utilized by public and private gas corporations,\nelectric corporations and gas and electric corporations in levying\ncharges for service, to assure simplicity and clarity and to require\nindication of any adjustment charges, including but not limited to fuel\nadjustments, in monetary amounts. The commission shall further ensure\nperiodic explanation of applicable rates and rate schedules for the\npurpose of assisting customers in making the most efficient use of\nenergy.\n 12-b. (a) In consultation with the commissioner of the department of\ncommerce have power 1. to designate as economic incentive areas specific\nareas in which reduced economic activity, unemployment and\nunderutilization of utility facilities justifies the approval of reduced\nincentive rates for utility services, and to promulgate criteria for\nidentifying such areas and customers eligible for such rates. Upon\napplication of a utility corporation the commission shall authorize\nspecial economic incentive rates in such areas to such customers and for\nsuch periods of time as the commission finds will best effectuate the\npurposes of this subdivision. The commission may also provide for the\ngradual elimination of the rate reduction authorized, and for the\nelimination of such reduction, if any conditions imposed by the\ncommission are not met. 2. to designate or form classes of customers as\nappropriate for special rates or tariffs, in order to prevent loss of\nsuch customers, or to attract new customers where necessary to maintain\neconomic use of utility facilities.\n Any such special rate or tariff shall be so designed as to recover the\nincremental cost of providing service to such customers and to\ncontribute to the common costs which otherwise would be borne by other\ncustomers.\n (b) The commission may also authorize utility corporations to contract\nwith existing or prospective industrial and commercial customers to\nwheel or deliver electricity or gas purchased directly by such\ncustomers, provided that the commission finds that such arrangements are\nin the overall best interest of the rate payers of the corporation, and\nthat the rates and fees for the services provided adequately compensate\nthe corporation for the use of its facilities.\n 12-c. Notwithstanding any other provision of law, upon application of\na gas or electric corporation, the commission shall authorize such\ncorporation to charge a special empire zone rate equal to the\nincremental cost of providing service to customers certified as eligible\nfor such rate pursuant to article eighteen-B of the general municipal\nlaw.\n 12-d. Notwithstanding any other provision of law, upon application of\na gas or electric corporation, the commission shall authorize such\ncorporation to charge a special excelsior jobs program rate equal to the\nincremental cost of providing service to participants in the excelsior\njobs program as defined in article seventeen of the economic development\nlaw.\n 13. In case any electric corporation or gas corporation is engaged in\ncarrying on any business other than owning, operating or managing a gas\nplant or an electric plant, which other business is not otherwise\nsubject to the jurisdiction of the commission, and is so conducted that\nits operations are to be substantially kept separate and apart from the\nowning, operating, managing or controlling of such gas plant or electric\nplant, said corporation in respect of such other business shall not be\nsubject to any of the provisions of this chapter and shall not be\nrequired to procure the assent or authorization of the commission to any\nact in such other business or to make any report in respect thereof. But\nthis subdivision shall not restrict or limit the powers of the\ncommission in respect to the owning, operating, managing or controlling\nby such corporation of such gas plant or electric plant, and said powers\nshall include also the right to inquire as to, and prescribe the\napportionment of, capitalization, earnings, debts and expenses fairly\nand justly to be awarded to or borne by the ownership, operation,\nmanagement or control of such gas plant or electric plant as\ndistinguished from such other business. In any such case if the owning,\noperating, managing or controlling of such gas plant or electric plant\nby any such corporation is wholly subsidiary and incidental to the other\nbusiness carried on by it and is inconsiderable in amount and not\ngeneral in its character, the commission may by general rules exempt\nsuch corporation from making full reports and from the keeping of\naccounts as to such subsidiary and incidental business. Where the\npermission granted such corporation pursuant to section sixty-eight is\nto supply gas only to less than twenty customers specified by the\ncommission, the commission may, if the public interest permits, exempt\nsuch corporation from compliance with all or any of the provisions of\nthis article except those affecting matters of public safety and the\nprovisions of sections sixty-five, sixty-eight and seventy-four.\n 14. The commission shall have power to require each gas corporation\nand electric corporation to establish classifications of service based\nupon the quantity used, the time when used, the purpose for which used,\nthe duration of use and upon any other reasonable consideration, and to\nestablish in connection therewith just and reasonable graduated rates\nand charges; and it shall have power, either upon complaint or upon its\nown motion, to require such changes in such classifications, rates and\ncharges as it shall determine to be just and reasonable. Neither the\nscheduled rates nor the minimum charge for residential customers shall,\nafter July first, nineteen hundred thirty-seven, be based in any manner\non the number of outlets, number of rooms, cubic or square foot area or\nother such standards.\n 15. Receive, and any gas corporation may at any time submit to the\ncommission for its approval, one or more contracts proposed to be made\nby it for the purchase from the producer of by-product gas, to be used\nin its service to its consumers, in which said proposed contract the\nprice of gas shall be based on the then market price of coal, and to\nvary therewith whenever the market price of coal shall vary to the\nextent of ten per centum for a period of not less than thirty days, and\nwhich said contract shall state the efficiency of said gas, and upon the\napproval of said contract by the commission, or said contract as the\nsame may be amended, altered or changed, and upon the application of\nsaid gas corporation, the commission shall make an order fixing the rate\nor rates to be charged to consumers for the service of such gas, which\nsaid rate shall thereafter remain unchanged during the term of said\ncontract in so far as said rate shall be based on the cost of gas to\nsaid corporation, except as such cost shall vary with the variations in\nthe price of coal as in said contract provided. The commission shall\nhave like powers and duties with reference to existing contracts made\nprior to January first, nineteen hundred and twenty-two, by a gas\ncorporation for a supply of by-product gas where the price of gas varies\nas the price of coal varies. By-product, as used in this section, is\ndefined to mean one of the several products obtained by treatment of\ncoal by some process other than the customary distillation in retorts.\n 16. The commission shall have power after a hearing on its own motion,\nupon complaint or upon the application of a gas corporation or electric\ncorporation to prescribe rates and charges for gas, electricity or other\nservice rendered or to be rendered, embodying the automatic adjustment\nof such rates and charges, over a fixed period not exceeding four years,\nbased on the relation between the net income from such rates and charges\navailable for return and the fair value of the property of the\ncorporation used and useful in said service; but nothing in this\nsubdivision shall operate to prevent the commission after the expiration\nof such fixed period from fixing proper, just and reasonable rates and\ncharges to be made for gas, electricity or service as authorized in this\narticle.\n 17. Notwithstanding the provisions of this article, any gas\ncorporation which transports natural gas through the state of New York\nbut which does not deliver, sell or furnish any such gas to any person\nor corporation within the state of New York, shall be subject to\nregulation by the commission only insofar as the construction and\noperation of such facilities shall affect matters of public safety.\n 19. (a) The commission shall have power to provide for management and\noperations audits of gas corporations and electric corporations. Such\naudits shall be performed at least once every five years for combination\ngas and electric corporations, as well as for straight gas corporations\nhaving annual gross revenues in excess of two hundred million dollars.\nThe audit shall include, but not be limited to, an investigation of the\ncompany's construction program planning in relation to the needs of its\ncustomers for reliable service, an evaluation of the efficiency of the\ncompany's operations, recommendations with respect to same, and the\ntiming with respect to the implementation of such recommendations. The\ncommission shall have discretion to have such audits performed by its\nstaff, or by independent auditors.\n In every case in which the commission chooses to have the audit\nprovided for in this subdivision or pursuant to subdivision fourteen of\nsection sixty-five of this article performed by independent auditors, it\nshall have authority to select the auditors, and to require the company\nbeing audited to enter into a contract with the auditors providing for\ntheir payment by the company. Such contract shall provide further that\nthe auditors shall work for and under the direction of the commission\naccording to such terms as the commission may determine are necessary\nand reasonable.\n (b) Each corporation subject to an audit under this subdivision shall\nfile a report with the commission within thirty days after issuance of\nsuch audit detailing its plan to implement the recommendations made in\nthe audit. After review of such plan, the commission may require each\ncombined electric and gas corporation amend its plan in a particular\nmanner. Such plan shall thereafter become enforceable upon approval by\nthe commission. The commission shall have power to commence a proceeding\nto examine any such corporation's compliance with the recommendations of\nsuch audit.\n (c) Upon the application of a gas or electric corporation for a major\nchange in rates as defined in subdivision twelve of this section, the\ncommission shall review that corporation's compliance with the\ndirections and recommendations made previously by the commission, as a\nresult of the most recently completed management and operations audit.\nThe commission shall incorporate the findings of such review in its\nopinion or order, and such findings shall be enforceable by the\ncommission.\n 20. Notwithstanding any general or special law, rule or regulation,\nthe commission shall have the power to provide for the refund of any\nrevenues received by any gas or electric corporation which cause the\ncorporation to have revenues in the aggregate in excess of its\nauthorized rate of return for a period of twelve months. The commission\nmay initiate a proceeding with respect to such a refund after the\nconclusion of any such twelve month period.\n 21. (a) Each electric corporation subject to section twenty-five-a of\nthis chapter shall annually, on or before December fifteenth, submit to\nthe commission an emergency response plan for review and approval. The\nemergency response plan shall be designed for the reasonably prompt\nrestoration of service in the case of an emergency event, defined for\npurposes of this subdivision as an event where widespread outages have\noccurred in the service territory of the company due to storms or other\ncauses beyond the control of the company. The emergency response plan\nshall include, but need not be limited to, the following: (i) the\nidentification of management staff responsible for company operations\nduring an emergency; (ii) a communications system with customers during\nan emergency that extends beyond normal business hours and business\nconditions; (iii) identification of and outreach plans to customers who\nhad documented their need for essential electricity for medical needs;\n(iv) identification of and outreach plans to customers who had\ndocumented their need for essential electricity to provide critical\ntelecommunications, critical transportation, critical fuel distribution\nservices or other large-load customers identified by the commission; (v)\ndesignation of company staff to communicate with local officials and\nappropriate regulatory agencies; (vi) provisions regarding how the\ncompany will assure the safety of its employees and contractors; (vii)\nprocedures for deploying company and mutual aid crews to work assignment\nareas; (viii) identification of additional supplies and equipment needed\nduring an emergency; (ix) the means of obtaining additional supplies and\nequipment; (x) procedures to practice the emergency response plan; (xi)\nappropriate safety precautions regarding electrical hazards, including\nplans to promptly secure downed wires within thirty-six hours of\nnotification of the location of such downed wires from a municipal\nemergency official; and (xii) such other additional information as the\ncommission may require. Each such corporation shall, on an annual basis,\nundertake drills implementing procedures to practice its emergency\nmanagement plan. The commission may adopt additional requirements\nconsistent with ensuring the reasonably prompt restoration of service in\nthe case of an emergency event.\n (b) After review of a corporation's emergency response plan, the\ncommission may require such corporation to amend the plan. The\ncommission may also open an investigation of the corporation's plan to\ndetermine its sufficiency to respond adequately to an emergency event.\nIf, after hearings, the commission finds a material deficiency in the\nplan, it may order the company to make such modifications that it deems\nreasonably necessary to remedy the deficiency.\n (c) The commission is authorized to open an investigation to review\nthe performance of any corporation in restoring service or otherwise\nmeeting the requirements of the emergency response plan during an\nemergency event. If, after evidentiary hearings or other investigatory\nproceedings, the commission finds that the corporation failed to\nreasonably implement its emergency response plan or the length of such\ncorporation's outages were materially longer than they would have been,\nbecause of such corporation's failure to reasonably implement its\nemergency response plan, the commission may deny the recovery of any\npart of the service restoration costs caused by such failure,\ncommensurate with the degree and impact of the service outage; provided,\nhowever, that nothing herein limits the commission's authority to\notherwise commence a proceeding pursuant to sections twenty-four,\ntwenty-five and twenty-five-a of this chapter.\n (d) The commission shall certify to the department of homeland\nsecurity and emergency services that each such corporation's emergency\nresponse plan is sufficient to ensure to the greatest extent feasible\nthe timely and safe restoration of energy services after an emergency in\ncompliance with the requirements of this chapter.\n (e) The filing of each emergency response plan required under\nparagraph (a) of this subdivision shall also include a copy of all\nwritten mutual assistance agreements among utilities.\n (f) Each electric corporation shall file with the county executive or\nthe chief elected official of a county for each county within its\nservice territory the most recent approved copy of the emergency\nresponse plan required pursuant to this section. For the purposes of an\nelectric corporation operating within the city of New York, such\ncorporation shall file the most recent approved emergency response plan\nwith the emergency management office of the city of New York.\n (g) The commission shall provide access to such emergency response\nplan pursuant to article six of the public officers law.\n 22. The commission shall permit the recovery through rates established\npursuant to this section of all payments made by electric corporations\npursuant to section twenty-nine-c of the executive law.\n 23. Require every gas corporation or electric corporation having\nequipment containing five hundred parts per million or greater of\npolychlorinated biphenyls (PCBs), including but not limited to,\ncapacitors and transformers, to submit a report to the commission. The\nreport shall contain (1) a list of such equipment that is in service,\neach unit's location, size and service age, (2) a list of such equipment\nthat is retired from service after the effective date of this\nsubdivision, the date each unit was retired from service, and the\nlocation of the facility where the unit and/or PCBs are processed or\nstored, (3) the date for shipment of PCBs within or out of New York\nstate, and (4) a description of the New York state portion of the\nshipping route. The commission shall require the report to be updated\nand distributed semiannually. In addition, such corporation shall submit\nto each county and city located in the service territory of the\ncorporation a report containing the information listed above for such\nequipment and PCBs located in or transported through the county or city\nreceiving the report.\n For the purposes of this subdivision, capacitors, transformers, and\nequipment designed to use the PCB-free mineral oil dielectric fluids\nshall be presumed to contain concentrations below five hundred parts per\nmillion of PCBs, unless the unit has been serviced with fluid which\ncontains five hundred parts per million or greater of PCBs, or there is\nany other reason to believe that the unit contains or was ever mixed\nwith fluid with a concentration level of five hundred parts per million\nor greater or unless testing has specifically shown otherwise.\n 24. (a) If a nuclear power plant which is not commercially used and\nuseful in the actual generation of electricity on the effective date of\nthis subdivision and which is owned by a single utility on or after the\neffective date of this subdivision fails to commence or continue\ncommercial operation after the effective date of this subdivision, the\ncommission shall thereafter remove and exclude from the utility\ncorporation's revenue requirement all amounts, costs, charges,\nadjustments, or extraordinary cost of capital allowances theretofore\nmade, granted or provided which are attributable, directly or\nindirectly, to such nuclear power plant or to such plant's failure to\ncommence commercial operation.\n (b) The commission shall not thereafter, unless and until such plant\ncommences or recommences commercial operation, include in such utility's\nrevenue requirement any amounts, costs, charges, adjustments or\nextraordinary cost of capital allowances attributable, directly or\nindirectly, to such plant or to such plant's failure to commence\ncommerical operation.\n (c) Nothing in this subdivision shall be deemed to require a refund of\nthe charges paid by or billed to a customer of such utility prior to a\nfailure to commence or continue commercial operation of such plant.\n (d) For the purposes of this subdivision, the failure to commence or\ncontinue commercial operation shall mean the abandonment of such plant\nafter the effective date of this subdivision; the denial, including any\ndenial pursuant to or as a result of any administrative or judicial\nreview, of a commercial operating license or other regulatory approval\nnecessary for the plant to become commercially used and useful in the\nactual generation of electricity; the failure of the plant to become\ncommercially used and useful in the actual generation of electricity\nwithin forty-two months of the issuance of the low power testing license\nfor such plant; or the occurrence of any event or the existence of any\ncircumstances (other than customary inspection and maintenance and\nrelated repairs or refueling requirements) after the plant becomes\ncommercially used and useful in the actual generation of electricity\nwhich renders the plant not commercially used and useful in the actual\ngeneration of electricity.\n 25. Notwithstanding any other provision of law to the contrary,\nwhenever a city having a population of one million or more provides for\na deduction from gross receipts of a gas corporation or electric\ncorporation, pursuant to a local law authorized by the provisions of\nsubdivision (k) of section twelve hundred one of the tax law, the rate\nor charge imposed by any such corporation within such city upon\nnon-residential users of electricity or gas eligible to receive a rebate\nin accordance with a local law or laws adopted pursuant to article two-G\nof the general city law shall be set by the commission so as to reflect\nfully the decrease in tax liability attributable to such deduction.\n 26. Notwithstanding any other provision of law to the contrary,\nwhenever the gas facility costs of a gas corporation are paid or\nreimbursed by the city of New York as provided in the gas facility cost\nallocation act, the rates and charges of such gas corporation within\nsuch city shall be set by the commission so as to reflect fully the\namount of such payments and reimbursements made by such city. The amount\nof such payments and reimbursements shall not be reflected directly or\nindirectly in any rate or charge imposed by such corporation outside\nsuch city.\n 27. (a) Each electric corporation with annual gross revenues in excess\nof two hundred million dollars shall offer the option of paying charges\non the basis of time of use rates for service to its residential\ncustomers and to posts and halls owned by a not-for-profit corporation\nthat is a veterans' organization. Such electric corporation shall\nperiodically send a notice explaining the rates and informing such\ncustomers and organizations that the rates are available.\n (b) Any electric corporation which offers its customers time of use\nrates shall notify those customers who elect or receive such rate\nregarding the following:\n (1) the hours for which such rates are available for both standard and\ndaylight savings time;\n (2) the procedure such customers shall follow in order to have their\nmeter clocks reset following an interruption of service if such\nresetting is necessary to restore the effective hours of the time of use\nrates; and\n (3) when the utility has knowledge of an outage, a statement within\nsixty days of such outage that the time of use rates may not be applied\nat the previously stated times until the meter clock is reset, if such\nresetting is necessary.\n 28. No revenues foregone by an electric corporation, as a result of\nsubjecting certain veterans' organizations with rates or charges\napplicable to domestic consumers pursuant to section seventy-six of this\narticle, shall be recovered from the customers of such corporation.\n