Amd 40, Pub Serv L; add 393-f, Gen Bus L; amd 1020-f, Pub Auth L
Authorizes utility corporations, telegraph and telephone corporations, and cable television corporations to provide notice of bills to third parties at the request of the customer.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A1368A Revised 2/21/2023
SPONSOR: Rozic (MS) TITLE OF BILL:
An act to amend the public service law, the general business law and the
public authorities law, in relation to third-party notification
PURPOSE:
To .offer utility, phone, cable, and internet residential customers who
have difficulty keeping up with their bills the option of having notice
of amounts due, collection attempts, and termination of services sent to
a trusted third party.
SUMMARY OF PROVISIONS:
Section one of the bill amends Section 40 of the public service law to
clarify that third party notification programs already required of util-
ities must offer notice of amounts due or past due on routine bills and
the amounts paid by or on behalf of the customer, as well as collection
and termination notices. Additionally, this bill provides that if a
customer opts to have a third party receive notices, they will also
continue to receive the notices.
Section two of the bill amends the general business law by adding a new
section 393-f that will require every telegraph and telephone corpo-
ration, cable television corporation, cellular phone company, or munici-
pality to designate a third party to receive notice of the total amount
due or past due on all bills, the amounts of any payments made by or on
behalf of the customer, as well as copies of all collection and termi-
nation notices. Additionally, this bill provides that if a customer opts
to have a third party receive notices, they will also continue to
receive the notices.
Section three of the bill amends section 1020-f of the public service
law by adding new subdivisions jj and kk to provide that LIPA and its
service providers to allow a customer to designate a third party to
receive notice of the total amount due or past due on all bills, the
amounts of any payments made by or on behalf of the customer, as well as
copies of all collection and termination notices. Additionally, this
bill provides that a landlord may designate a third party to receive
notifications of requests for discontinuance of service at that tenant's
unit, provided that the tenant consents to third party notification and
the third party consents to such notice. This bill further provides that
if a landlord and tenant opt to have a third party receive notices, they
will also continue to receive the notices.
Section four of the bill establishes the effective date.
JUSTIFICATION:
This legislation will enable customers of utility, phone, cable tele-
vision, and internet service providers to designate a relative, friend,
or other trusted third party to receive notice of amounts due or past
due on routine bills and amounts paid by or on behalf of the customer,
as well as any collection or termination notices. Present statutes only
apply to traditional utilities and could be interpreted to require third
party notification only of collection and termination notices. This bill
will expand the requirement, both by adding phone, cable television,
internet service providers, and by clarifying that third party notifica-
tion programs must offer information about amounts due and payments of
routine bills, as well as collection and termination notices.
We are all cognizant that many people may have difficulty keeping up
with bills - because of age, illness, or other circumstances - even if
they are otherwise able to live independently. This legislation will
enable people to obtain the regular assistance of a third party in
ensuring that such bills are kept up-to-date, thereby enhancing their
independence and making it easier for relatives, friends, and caregivers
to offer such assistance.
In addition, this bill recognizes that the services of utilities, phone
companies, and cable and internet providers are increasingly converging.
For example, cable companies are often in phone and internet services,
and utilities and phone companies are working on broadband networks that
can carry television programming. As these services continue to
converge, they will be more and more likely to offer packages of
services that we view as essential for daily living. In recognition of
this convergence, this legislation would ensure that all providers have
the same obligation to offer third party billing on the same terms.
Finally, service providers might benefit from timelier bill payment if
this legislation is enacted. The bill has been amended to place some of
the requirements in the general business law rather than the public
service law. In addition, because of privacy concerns, a provision of a
previous version of the bill that would have required that full copies
of bills be sent to a third party has been changed to require only that
amounts due, past due, and paid by or on behalf of the customer be sent
to the third party, since this information is all that is necessary to
assist customers in keeping up with their bills.
The State of Connecticut enacted legislation which provides that parents
and providers receive 30 days notice if their subsidy will be ending in
order to protect families from the financial distress that results when
parents lose their subsidies with very little notice.
(Connecticut Mirror, June 2, 2010, See
HTTP://WWW.CTMIRROR.ORG/STORV/6266/CARE-4-KIDS). New York must protect
its families as well.
FISCAL IMPACT ON THE STATE:
None
FISCAL IMPACT ON LOCALITIES:
None, except to the extent they may function as utilities.
IMPACT ON REGULATION OF BUSINESSES AND INDIVIDUALS:
Affected. Service providers would be required to permit third party
notifications.
IMPACT ON FINES, IMPRISONMENT. FORFEITURE OF RIGHTS, OR OTHER PENAL
SANCTIONS:
None.
LEGISLATIVE HISTORY:
2022: A422 (Rozic) - Corporations, Authorities & Commissions
2021: A422 (Rozic) - Corporations, Authorities & Commissions
2020: A3743 (Rozic) - Corporations, Authorities & Commissions
2019: A3743 (Rozic) - Corporations, Authorities & Commissions
2018: A9696 (Rozic) - Corporations, Authorities & Commissions
2017: A04355 (Kavanagh) Corporations, Authorities and Commissions
2016: A05794 (Kavanagh) Corporations, Authorities and Commissions
2015: A05794 (Kavanagh) Corporations, Authorities and Commissions
2014: A03907 (Kavanagh) - Corporations, Authorities and Commissions
2013: A03907 (Kavanagh) - Corporations, Authorities and Commissions
2012: A03693 (Kavanagh) - Third Reading
2011: A03693 (Kavanagh) - Third Reading
2010: A00509 (Kavanagh) - Passed Assembly
2009: A00509 (Kavanagh) - Passed Assembly
EFFECTIVE DATE:
This act shall take effect on the ninetieth day after it shall have
become a law.
STATE OF NEW YORK
________________________________________________________________________
1368--A
2023-2024 Regular Sessions
IN ASSEMBLY
January 17, 2023
___________
Introduced by M. of A. ROZIC, COLTON, RIVERA, L. ROSENTHAL -- Multi-
Sponsored by -- M. of A. J. M. GIGLIO, LUPARDO, PEOPLES-STOKES,
ZEBROWSKI -- 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, the general business law and the
public authorities law, in relation to third-party notification
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 40 of the public service law, as amended by chapter
2 631 of the laws of 1992, is amended to read as follows:
3 § 40. Voluntary third-party [notice prior to termination of service]
4 notification. 1. Every utility corporation or municipality shall permit
5 a residential customer to designate a [third-party] third party to
6 receive notice of the total amount due or past due on all bills, the
7 amounts of any payments paid by or on behalf of such residential custom-
8 er, and copies of all notices relating to termination of service [or]
9 and notices relating to collection of amounts due sent to such residen-
10 tial customer, provided that the designated [third-party] third party
11 indicates in writing a willingness to receive such notices, and provided
12 further, where a residential customer opts for third-party notifica-
13 tions, such residential customer may opt to continue to receive such
14 notices.
15 2. Every utility corporation or municipality shall permit a landlord,
16 upon written request of both the landlord and tenant, to designate a
17 [third-party] third party to be notified of all requests for discontin-
18 uance of service to units [owned] occupied by such [landlord] tenant,
19 provided that the designed third party indicates in writing a willing-
20 ness to receive such notices, and provided further, where the tenant and
21 landlord customers opt for third-party notifications, such tenant and
22 landlord customers may opt to continue to receive such notices.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00459-03-3
A. 1368--A 2
1 § 2. The general business law is amended by adding a new section 393-f
2 to read as follows:
3 § 393-f. Voluntary third-party notification. 1. Every telegraph or
4 telephone corporation, cable television corporation, cellular phone
5 company, or municipality shall permit a residential customer to desig-
6 nate a third party to receive notice of the total amount due or past due
7 on all bills, the amounts of any payments paid by or on behalf of such
8 residential customer, and copies of all notices relating to termination
9 of service and notices relating to collection of amounts due sent to
10 such residential customer, provided that the designated third party
11 indicates in writing a willingness to receive such notices, and provided
12 further, where a residential customer opts for third-party notifica-
13 tions, such residential customer may opt to continue to receive such
14 notices.
15 2. Every telegraph or telephone corporation, cable television corpo-
16 ration, cellular phone company, or municipality shall permit a landlord,
17 upon written request of both the landlord and tenant, to designate a
18 third party to be notified of all requests for discontinuance of service
19 to units occupied by such tenant, provided that the designated third
20 party indicates in writing a willingness to receive such notices, and
21 provided further, where the tenant and landlord customers opt for third-
22 party notifications, such tenant and landlord customers may opt to
23 continue to receive such notices.
24 § 3. Section 1020-f of the public authorities law, as added by chapter
25 517 of the laws of 1986, is amended by adding two new subdivisions (jj)
26 and (kk) to read as follows:
27 (jj) The authority and its service provider shall permit a residential
28 customer to designate a third party to receive notice of the total
29 amount due or past due on all bills, the amounts of any payments paid by
30 or on behalf of such residential customer, and copies of all notices
31 relating to termination of service and notices relating to collection of
32 amounts due sent to such residential customer, provided that the desig-
33 nated third party indicates in writing a willingness to receive such
34 notices, and provided further, where a residential customer opts for
35 third-party notifications, such residential customer may opt to continue
36 to receive such notices.
37 (kk) The authority and its service provider shall permit a landlord,
38 upon written request of both the landlord and tenant, to designate a
39 third party to be notified of all requests for discontinuance of service
40 to units occupied by such tenant, provided that the designated third
41 party indicates in writing a willingness to receive such notices, and
42 provided further, where the tenant and landlord customers opt for third-
43 party notifications, such tenant and landlord customers may opt to
44 continue to receive such notices.
45 § 4. This act shall take effect on the one hundred eightieth day after
46 it shall have become a law.
