Relates to applications for the approval and construction of energy-related projects of the New York Power Authority by the public authorities control board.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A4695
SPONSOR: Dinowitz TITLE OF BILL:
An act to amend the public authorities law, in relation to applications
for the approval and construction of energy-related projects
PURPOSE OR GENERAL IDEA OF BILL:
This bill would add the Power Authority of the State of New York to the
list of authorities which must submit projects and undertakings for
approval by the Public Authorities Control Board, and would ensure that
projects of this and other authorities that involve energy generation or
transmission can be examined for consistency with the State Energy Plan
and other environmental and energy-related policies.
SUMMARY OF PROVISIONS:
Bill § 1 amends § 51 of the Public Authorities Law to add the Power
Authority of the State of New York to the 14 other public benefit corpo-
rations that must submit proposed projects to the Public Authorities
Control Board (PACB) for its review and approval. This section is also
amended to provide that, when reviewing a proposal from the Power
Authority or the other two authorities already subject to PACB oversight
that engage in projects involving energy generation and transmission
(the Long Island Power Authority and the North Country Power Authority),
the PACB may consider the consistency of such a project with the current
state energy plan and other state environmental and energy-related poli-
cies.
Bill § 2 adds a new Public Authorities Law § 1005-b to provide that the
Power Authority shall not make any commitment, enter into any agreement
nor incur any indebtedness unless prior approval has been received from
the PACB.
EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER:
Although similar authorities such as LIPA and the North Country Power
Authority are subject to PACB oversight, the Power Authority to date has
not been subject to this important fiscal safeguard.
JUSTIFICATION:
The PACB provides independent oversight of the proposed actions of
public authorities to ensure that they are financially feasible and
prudent. Recent events have indicated that there may be substantial
public benefit to extending this oversight to projects of the Power
Authority. In addition, the reviews of projects involving energy gener-
ation or transmission would be enhanced by giving the PACB the opportu-
nity to ensure that they are consistent with the current State Energy
Plan and with other applicable environmental and energy-related poli-
cies.
PRIOR LEGISLATIVE HISTORY:
2013-14: A.3187- Referred to Corporations/S.4119- Referred to Corpo-
rations
2011-12: A7644 - In Corporations
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
Review of the Power Authority's projects will protect the interests of
New York taxpayers.
EFFECTIVE DATE:
Immediately.
