N.Y. Comp. Codes R. & Regs. tit. 21

 

 CHAPTER X

 

Power Authority of the State of New York

 

 

Part

 

450           Procedures with Respect to Resale of Power

451           Consume-r Deposits-Municipalities and Cooperatives

452           Resale Rates-Municipalities and Cooperatives

453           Public Records

454           Power Service

455           Administrative Procedures

456           Declaratory Rulings

457           Late Payment Charges-Municipal and Rural Electric Cooperative Systems

458           Minimum Insulation and Heating Standards

459           Procedures for Notice of Discontinuance of Electrical Service

460           Procedures for Allocation of Industrial Power and Enforcement of Contracts

461           Implementation of the State Environmental Quality Review Act

462           Personal Privacy Protection Law

463           Prompt Payment Policy


 

 

CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK

 

PART 450.

 

 PROCEDURES WITH RESPECT TO RESALE OF POWER

 

 

 

450.1      Failure to comply with provisions of contract

 


§ 450.1  Failure to comply with provisions of contract

   Whenever the authority shall deem it necessary, in order to carry out its obligations under the Power Authority Act and the authority's contracts for the sale of power for resale, to investigate the failure of any customer of the authority to comply with the provisions of its contract governing the resale of power and energy or failure to comply with any request of the authority made pursuant to such provisions, or to investigate the operations, service, practices, accounting records, rates, charges, rules and regulations, or to make valuations or revaluations of property of any such customer of the authority, such customer shall be charged with and pay such portion of the compensation and expenses of any member, officer, agent, consultant or employee of the authority, including any agent, consultant or employee temporarily engaged by the authority, as is reasonably attributable to such investigation, valuation or revaluation. The authority shall ascertain the costs, including the compensation and expenses of any member, officer, agent, consultant or employee, and shall determine the amount to be paid by the customer and a bill shall be rendered therefor by the authority to the customer. The amount of any such bill so rendered shall be paid to the authority by such customer within 30 days from the date of its rendition unless, within such period, the customer so billed shall request an opportunity to be heard as to the amount thereof. If such a request is made, the authority shall designate a member of the authority or a member of the staff to conduct a hearing and report to the authority. The authority shall reconsider the charges and advise the customer of its determination. The bill as finally rendered shall be paid within 30 days after the date of service of such determination.


 

CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK

 

PART 451.

 

CONSUMER DEPOSITS--MUNICIPALITIES AND COOPERATIVES

 


451.1  Consumer deposits—nonresidential

451.2  Consumer deposits--residential

 

§ 451.1  Consumer deposits--nonresidential


   (a) Deposit. Any municipality or cooperative in the State of New York which purchases power from the authority may require any nonresidential customer to whom such municipality or cooperative shall supply electricity to deposit a reasonable sum of money, according to the estimated quantity of electricity necessary to supply the consumer for two calendar months, to secure payment for such electricity.

(b) Calculating and crediting of interest. Every municipality or cooperative shall allow every nonresidential customer, from whom a deposit is required, interest on the amount deposited at a rate prescribed quarterly by the municipality or cooperative. Each quarter, the municipality or cooperative shall select the lowest interest rate available from a pool of local area bank savings accounts. The selected rate shall be used to accrue interest on consumer deposits each quarter. A weighted average interest rate shall be calculated using the quarterly interest rates over the period a customer's deposit is held; and shall be paid to the customer upon the return of the deposit.

(c) Return of deposit. If any nonresidential customer is not delinquent in the payment of bills, as defined in section 451.2(a)(5) of this Part, during the two-year period from the payment of the deposit by the customer, the deposit shall be refunded promptly without prejudice to the municipality's or cooperative's right to require a future deposit in the event that the customer thereafter becomes delinquent. As of September 1, 1986, all deposits held for more than two years must be returned promptly to nondelinquent customers, and in no event later than the next bill for service thereafter.

 


§ 451.2  Consumer deposits--residential

   (a) Deposit.

(1) A municipality or cooperative in the State of New York which purchases power from the authority may require, subject to the restrictions set forth in this section, a new or current residential customer to whom such municipality or cooperative shall supply electricity to deposit a sum of money, which shall be in the amount specified in paragraph (9) of this subdivision, to secure payment for such electricity or for the rental of fixtures, instruments and facilities actually supplied.

(2) For the purposes of this section, a new residential customer is an applicant for electric service to a dwelling unit which such customer uses for his or her residential purposes and where business rates do not apply to the service, and who does not qualify as a current residential customer. A current residential customer is a customer who receives electric service to a dwelling unit which such customer uses for his or her residential purposes and where business rates do not apply to the service. A current residential customer includes an applicant for electric service who has transferred dwelling units within a municipality's or cooperative's service territory and for whom there is a recent payment history. A seasonal customer is a person who applies for and receives electric service periodically each year, intermittently during the year, or at other irregular intervals. A short-term customer is a person who requires electric service for a specified period of time that does not exceed one year. A customer who receives continuous electric service for more than one year shall not be considered a seasonal or short-term customer.

(3) Unless authorized by the authority under paragraph (6) of this subdivision, no municipality or cooperative shall require any new residential customer to post a security deposit as a condition of receiving electric service, unless such new customer is a seasonal or short-term customer as defined in paragraph (2) of this subdivision.

(4) As of December 1, 1985, no municipality or cooperative shall, unless authorized by the authority under paragraph (6) of this subdivision, require a current residential customer, other than a delinquent customer, to post a security deposit, and deposits held on September 1, 1986 shall be returned promptly to nondelinquent residential customers, and in no event later than the next bill for service thereafter.

(5) Notwithstanding the requirements of paragraph (4) of this subdivision:

(i) A municipality or cooperative may continue to demand deposits as a

condition of receiving electric service from customers who are seasonal customers or short-term customers as defined in paragraph (2) of this subdivision.

(ii) A municipality or cooperative may require a deposit from a current residential customer as a condition of service if that customer is delinquent in payment of his or her electric bills.

(iii) A customer is delinquent for the purpose of a deposit assessment if such customer:

(a) accumulates two consecutive months of arrears without making reasonable payment, defined as one half of the total arrears, of such charges before the time that a late payment charge would become applicable, or fails to make a reasonable payment on a bimonthly bill within 50 days after the bill is due, provided that the municipality or cooperative requests such deposit within two months of such failure to pay; or

(b) had electric service terminated for nonpayment during the preceding six months. A municipality or cooperative intending to require a deposit under clause (a) of this subparagraph shall provide a customer with written notice, at least 20 days before it may assess a deposit, that the failure to make timely payment will permit the municipality or cooperative to require a deposit from such customer.

(iv) If a municipality or cooperative requires a deposit from a current residential customer who is delinquent by virtue of his or her failure to make a reasonable payment of arrears, as provided in this paragraph, it shall permit such customer to pay the deposit in installments over a period not to exceed 12 months.

(6) Notwithstanding the requirements of paragraphs (3) and (4) of this subdivision, a municipality or cooperative may demand and hold deposits from new or current residential customers as a condition of electric service if the authority, after investigation and hearing, so authorizes such practice, upon a finding that the collection and maintenance of such deposits is cost-effective for the municipality or cooperative as a whole without regard to the municipality's or cooperative's cash flow and the availability of capital to the municipality or cooperative.

(7) No municipality or cooperative shall require any person it knows to be a recipient of public assistance, supplemental security income benefits or additional State payments, to post a security deposit after November 30, 1985, nor shall any municipality or cooperative hold such deposit from such known recipient after January 31, 1986.

(8) No municipality or cooperative shall demand after November 30, 1985, or hold after January 31, 1986, a deposit from any new or current residential customer it knows is 62 years of age or older unless such customer has had service terminated by the municipality or cooperative for nonpayment of bills within the preceding six months.

(9) In any case where customer deposits are authorized by this section, a municipality or cooperative may require a new or current residential customer to deposit a reasonable amount of money, not greater than twice the average monthly bill for a calendar year, except in the case of electric space-heating customers, where deposits may not exceed twice the estimated average monthly bill for the heating season, in order to secure payment for services actually rendered or for the rental of fixtures, instruments and facilities actually supplied.

(b) Calculation and crediting of interest. Every municipality or residential cooperative shall allow every customer from whom a deposit is required, interest on the amount deposited at a rate prescribed quarterly by the municipality or cooperative. Each quarter, the municipality or cooperative shall select the lowest interest rate available from a pool of local area bank savings accounts. The selected rate shall be used to accrue interest on consumer deposits each quarter. A weighted average interest rate shall be calculated using the quarterly interest rates over the period a customer's deposit is held; and shall be paid to the customer upon the return of the deposit.

(c) Return of deposit. If any customer is not delinquent in the payment of bills, as defined in paragraph (a)(5) of this section, during the one-year period from the payment of the deposit by the customer, the deposit shall be refunded promptly without prejudice to the municipality's or cooperative's right to require a future deposit in the event that the customer thereafter becomes delinquent.


CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK


PART 452.

 

 RESALE RATES--MUNICIPALITIES AND COOPERATIVES



452.1  Policy

452.2      Annual reports

452.3      Rate revisions

452.4      Adjustment of rates in accordance with changes in the cost of purchased power



§ 452.1  Policy


   Resale rates of municipalities and cooperatives purchasing power from Power Authority of the State of New York shall be established and revised from time to time in accordance with the following:

"The Power Authority Act (New York Public Authorities Law §§ 1001 to 1015) requires that power and energy from authority's projects be supplied to domestic and rural consumers at the lowest possible rates and that the rates, services and practices of purchasing, transmitting and distributing public agencies or companies in respect to the power generated shall be governed by the provisions and principles established in the contracts made by authority with such agencies or companies and not by regulations of the Public Service Commission or by general principles of Public Service Law regulating rates, services and practices."

"It further provides for full and complete disclosure to authority of all factors of cost in the transmission and distribution of power, so that rates to consumers may be fixed initially in its contracts and may be adjusted from time to time on the basis of true cost data, provided that in fixing such cost of transmission and distribution no account shall be given to any franchise value, going value or goodwill based upon the existence of the contract and the availability of the power for sale by the transmitting or distributing company or any company associated therewith."

"The act also provides for periodic revisions of the service and rates to consumers on the basis of accurate cost data obtained by such accounting methods and systems as shall be approved by authority and in furtherance and effectuation of the marketing policy provided for in the act." "In establishing rates the purchaser shall not be entitled to any profit on the sale of the power and energy purchased from authority, but a reasonable return shall be allowed in an amount to be approved by authority on the purchaser's investment in distribution and other facilities. There shall also be allowed, in lieu of taxes, an amount to be approved by authority for payment into the general fund of the purchaser which shall not exceed a maximum amount to be calculated by applying the prevailing property tax rates to the depreciated original cost of the purchaser's tangible property which is used in the generation, transmission and distribution of electric power and energy. The purchaser shall keep its books, accounts and records pertaining to the generation, purchase, distribution or sale of power according to procedures to be approved by authority, and all funds received, used and expended in connection therewith shall be kept separate from other funds of the purchaser. Nothing herein shall be construed to prevent the allowance, as an element of cost, of payments made into reasonable and proper reserve funds established by the purchaser and approved by authority."

 

 

§ 452.2  Annual reports

   Each New York municipal and cooperative system purchasing power from the authority subject to contract provisions providing for regulation of resale rates by the authority, shall file an annual report in the form annexed hereto (Appendix 10-A, infra) with the authority within 90 days after the close of its fiscal years. Cooperative electric systems may, in lieu of filing the annual report in the form annexed hereto, file Rural Electrification Administration form and Rural Electrification Administration form 7a within 90 days after the close of their fiscal year.

 


§ 452.3  Rate revisions

   (a) In considering applications for rate revisions, the authority will consider annual reports submitted by the applicant in accordance with section 452.2 of this Part. Applications for rate revisions shall be accompanied by such information as the authority may require to update information contained in the most recent annual report submitted by the applicant and such other information as the authority deems necessary to demonstrate that the requested rate revision is needed and is in compliance with the intent and purposes of the Power Authority Act, as amended (Public Authorities Law, article 5, title 1), and the Niagara Redevelopment Act (Public Law 85-159).

(b) Local public hearings re rate revision. In connection with any request for rate revision by the preference customers of the Power Authority, a contracting municipality shall hold a public hearing at an appropriate local office to afford reasonable opportunity for participation by all interested parties, or their representatives concerning such proposed rate revision. In the event there is a governing electric commission or board, the public hearing should be a joint undertaking between members of such commission or board and the municipal governing body. In order to provide for a reasonable opportunity for participation by the residents of the service area in which electric service is provided there shall be published in the local media, newspapers or otherwise, notice of such hearing in the manner required for an official notice to be issued by any municipality. The listing of such a hearing as an agenda item to be considered in addition to other items scheduled for a public hearing or consideration published in accordance with local law, custom or requirement shall constitute compliance with this provision. A contracting cooperative seeking such rate revision shall hold a meeting, upon 30 days' notice unless such notice be waived by its members, at which time such proposal for a rate revision shall be the subject of approval or disapproval. At this hearing or meeting as the case may be it shall be necessary to have data available to answer reasonable and responsible questions that could be reasonably anticipated. Such data should include, but not be limited to, the following:

(1) comparison of present and proposed net rates;

(2) comparison of annual revenues by amount and percent change for each service classification under present and proposed rates; and

(3) typical net monthly bills comparison for each service classification under present and proposed rates by amount and percent change. If at such hearing or meeting as the case may be or the conclusion thereof, application for such request rate revision is approved, there shall be furnished to the authority a transcript of said hearing or meeting, if any, and if there be none a summary of the proceedings attested to by the official of the municipality or cooperative designated to act in the premises together with a request and recommendation to implement the proposed revised rates included in the form of an appropriate duly executed board resolution.

 

 

§ 452.4  Adjustment of rates in accordance with changes in the cost of purchased power

   (a) Municipalities and cooperatives purchasing their full power requirements from the Power Authority of the State of New York may include in their resale rates an adjustment clause for recovery of changes in the delivered cost of purchased power subject to such reconciliation as the authority may deem appropriate. Municipalities or cooperatives which elect to use such an adjustment clause may file statements to their rate schedules in lieu of rate revisions. Such statements, which shall be in a form prescribed by the Power Authority, shall not be part of the rate schedule, but a copy of each effective statement will be kept available with each rate schedule to which it applies. The first such statement of each municipality or cooperative shall be filed with the Power Authority and become effective on a date specified by the authority. Thereafter, each such statement must be filed with the Power Authority not less than three days prior to the date on which it is proposed to be effective.

(b) When municipalities and cooperatives elect to file statements in accordance with this section, such statements must contain:

(1) identification of the schedules and service classifications to which they apply;

(2) the present purchased power cost per KWh and its derivation;

(3) the base purchased power cost per KWh and its derivation;

(4) the difference per KWh between the present purchased power cost per KWh and the base purchased power cost per KWh;

(5) the factor of adjustment for distribution system efficiency;

(6) the purchased power adjustment per KWh (exclusive of any surcharge/credit per KWh) determined by applying the factor of adjustment for distribution system efficiency to the difference between the base purchased power cost per KWh and the present purchased power cost per KWh;

(7) the surcharge/credit per KWh and its derivation, if utilized;

(8) the purchased power adjustment per KWh (inclusive of the surcharge/credit per KWh if utilized);

(9) the effective date of the increase or decrease in rates.

(c) In connection with statements filed pursuant to this section:

(1) The term purchased power cost is defined as the total cost of power including transmission and wheeling charges at the point of delivery to the municipal or cooperative system of electricity purchased from the Power Authority for resale.

(2) The base purchased power cost per KWh is determined by calculating the average cost per KWh of purchased power by applying the authority's wholesale, transmission and wheeling rates to billing quantities for a 12-month period to be determined by the authority and dividing the total cost, so calculated, by KWh delivered during the period. Wholesale, transmission and wheeling rates to be used in the calculation are those which a specific customer has reflected in its base retail rates.

(3) The present purchased power cost per KWh is determined by calculating the average cost per KWh of purchased power by applying the authority's current wholesale, transmission and wheeling rates to billing quantities in the current billing period.

(4) The factor of adjustment for distribution system efficiency is determined by dividing the number of kilowatt hours purchased at the point of delivery during the recently completed fiscal year by the number of kilowatt hour sales to all customers under all service classifications during the same fiscal year.

(5) The surcharge/credit per KWh is determined by dividing the surcharge or credit as hereinafter described by KWh delivered during the period and adjusting for distribution system efficiency. The surcharge shall be an amount approved by the Power Authority, as a function of an individual municipality's or cooperative's James A. FitzPatrick nuclear power allocation and the applicable demand charge which, at the option of the municipality or cooperative, may be applied during its peak consumption season. The surcharge shall be offset by a "credit" applied during the system's off-peak consumption season, the amount of which shall be determined monthly by dividing the then outstanding balance of the collected surcharge by the number of months remaining in the off-peak season. For purposes of this definition, the term season shall mean the authority's six-month billing period October through March or April through September.


 

 

CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK  


PART 453.

 

PUBLIC RECORDS

 

 

453.1      Public records

453.2      Procedures

 

 

§ 453.1  Public records

   (a) The public records of the Power Authority of the State of New York, which are required to be made available under article 6 of the New York Public Officers Law, shall be available for inspection and copying upon written request, reasonably describing the record or records sought, during the times provided in this Part at the authority's office at 123 Main Street, 15th Floor, White Plains, NY 10601.


§ 453.2  Procedures

   (a) A request for inspection or copying of a public record of the authority shall be made to the secretary of the authority in writing, and shall contain sufficient information to identify the particular record sought, including, if possible, information regarding the date, file designation or other information describing the record sought. Any request shall be made either:

(1) in person during regular business hours at the authority's office at 123 Main Street, 15th Floor, White Plains, NY 10601; or

(2) by mailing such request, postage prepaid, to the Secretary, Power Authority of the State of New York, at the aforesaid address.

(b) (1) Upon receipt of a written request for a record reasonably described, the secretary shall promptly determine whether or not the record requested is required to be made available under the provisions of article 6 of the New York Public Officers Law and will, within five business days of the receipt of such request, either:

(i) make such record available to the person requesting it by notifying such person where and when the record may be inspected and copied;

(ii) deny such request in writing; or

(iii) furnish a written acknowledgment of the receipt of such request and a statement of the approximate date when such request will be granted or denied, including, where appropriate, a statement that access to the record will be determined in accordance with the procedure prescribed in section 89(5)  of the New York Public Officers Law regarding trade secrets.

(2) If access to records is neither granted nor denied within 10 business days after the date of acknowledgment of receipt of request, the request may be construed as a denial of access that may be appealed.

(c) Trade secrets. (1) Records or portions of records constituting trade secrets shall be so designated by the authority and shall be filed or maintained in secure facilities of the authority to which access is limited. Records or portions of records constituting trade secrets shall be made available for inspection and study to the trustees, the president, counsel, the officers and department heads of the authority and their designees.

(2) A person acting pursuant to law or regulation who, on or after January 1, 1982, submits any record to the authority may, at the time of submission, request that the authority, in accordance with the provisions of section 89(5) of the New York Public Officers Law , designate such record or any portion thereof as a trade secret and except such information from public disclosure under section 87(d)(2) of such law. Any such request shall identify in writing the record or part thereof alleged to be a trade secret and state reasons why such record or portion thereof should be excepted from public disclosure. Within 15 business days of receipt of a written request for an exception, the authority will either grant or deny such request in writing.

(d) (1) Records required to be made available for public inspection will be photocopied by the authority if practicable and the person requesting a copy will be charged a fee of $ .25 per page for copies not exceeding 9 x 14 inches, or the actual cost of reproducing such records if larger copies are required. If it is not practicable for the authority to photocopy any such record, it will be copied commercially and the person requesting the copy will be charged a fee equal to the cost of such commercial reproduction.

(2) Upon payment of, or offer to pay, the fee determined by the authority for copying a record required to be made available for public inspection, the authority will provide a copy of such record and the secretary will certify to the correctness of such copy if so requested in writing, or, as the case may be, shall certify that the authority does not have possession of such record or that such record cannot be found after diligent search.

(3) Any fee charged by the authority pursuant to this Part shall be paid by the person making the request in cash, certified check or bank cashier's check, in advance of the delivery of copies of any record referred to in this Part.

(e) Any person who is denied access to a public record of the authority by the secretary of the authority may, within 30 days of such denial, file an appeal from such denial with the authority's general counsel. Appeals pursuant to this subdivision shall be decided by the general counsel. If an appeal is denied, the reasons therefor shall be explained fully in writing to the person requesting the record within 10 business days of the date on which such appeal is received by the general counsel. The general counsel will forward to the Committee on Open Government a copy of such appeal and the determination thereon.


 

 

CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK

 
PART 454.

 

POWER SERVICE

 

 

454.1      Definitions

454.2      Sale of authority power

454.3      Liability, limitations and conditions of service

454.4      Metering

454.5      Cooperation of contracting parties

454.6      Billings and payments

454.7      Cancellation for violation by customer

454.8      Waivers

454.9      Notices

454.10   Transfer of interest in contract by customer

454.11   Resale of electric power and energy

454.12   Modification or merger of rates


§ 454.1  Definitions

   The following definitions shall apply for all the purposes of this Part and of the service tariff and applications for electric service pertaining thereto:

(a) Authority is Power Authority of the State of New York.

(b) Customer is an individual, firm, partnership, corporation, association, rural electric cooperative corporation, municipality, or governmental body receiving electric service from authority.

(c) Electric service is availability of any type of power and energy for customer in accordance with this Part, accepted applications for electric service, applicable service tariffs and other contract documents.

(d) Application for electric service is a written request for the furnishing of electric service to customers by authority on a form prescribed by authority.

(e) Service tariff is a schedule establishing rates and other conditions for sale of electric service.

(f) Firm power and energy are power and associated energy which are intended to be available at all times except for limitations provided in this Part, in a service tariff, in an accepted application for electric service, or other contract documents.

(g) Peaking power and energy are firm power and energy intended for use primarily in customer's peak load periods and limited as to the energy to be supplied.

(h) Firm storage power and energy are power and associated energy produced with water stored in an authority pumped-storage facility or power and energy supplied in lieu thereof, to be available as provided in a service tariff, or other contract documents.

(i) Nonfirm storage power and energy are power and associated energy produced with water stored in an authority pumped-storage facility of intermittent or temporary availability the supply of which will be limited as provided in a service tariff or in other contract documents.

(j) Pumping power and energy are power and associated energy supplied by customer or by authority for use in pumping water into an authority pumped-storage facility.

(k) Interruptible hydro power and energy are power and associated energy from authority's St. Lawrence or Niagara project which are normally available continuously for substantial periods of time but subject to interruption for extended periods because of decreased water flow.

(l) Replacement power is Niagara project firm power made available by authority to Niagara Mohawk Power Corporation pursuant to Public Law 85-159 to replace power formerly produced by Niagara Mohawk Power Corporation in its Adams and Schoelkopf plants, sales of which are subject to approval by authority.

(m) Expansion power is firm power supplied from the Niagara project or substituted from other sources to utility customers for resale to industrial consumers which authority shall individually designate for use in the expansion of their operations, the amounts of each allocation to such consumers to be determined by authority.

(n) Priority customers are (1) exempt persons as defined in 26 U.S.C. 103(c)(3), and (2) entities entitled to preference under 16 U.S.C. 836 (b)(1). High load factor manufacturers as defined in subdivision (o) of this section are priority customers to the extent provided in sections 1001 and 1005 of the Power Authority Act as amended (title 1, article 5 of the Public Authorities Law).

(o) High load factor manufacturer is an industrial establishment which normally utilizes a minimum electric demand of 5,000 kilowatts and which will normally utilize energy at the rate of approximately 540 kilowatt-hours per month for each kilowatt of demand and of which the cost of electricity normally represents at least 7 1/2 percent of its total product value.

(p) Billing period shall be the calendar month except as otherwise specified in a service tariff or other contract document.

(q) Contract demand is the maximum amount of power which authority is obligated to supply under an accepted application for electric service or service tariff or other contract document.

(r) System capability is capacity available to authority from its own generating sources and from firm power purchases from others.

(s) Unsupported firm power and energy are power and associated energy normally supplied only to customers operating electric utility distribution systems, the customer to be responsible for providing substitute power and energy in the event of interruptions or reduction in authority supply.

(t) Withdrawable power and energy are power and associated energy not currently required for service to priority customers and subject to withdrawal for such service.

(u) Supporting energy is energy purchased by authority for use when it is unable to meet contractual commitments because of lack of availability of necessary power and energy from its system capability.

(v) Reserve power is that part of the authority's system capability which is reserved from sale for the purpose of assuring authority's ability to meet its contractual commitments for firm power and energy in conjunction with interconnected utility systems as contemplated by 26 U.S.C. 103(c)(3).

(w) Reserve energy is energy associated with reserve power and normally sold on an immediately withdrawable basis to utilities which contract to provide supporting energy to authority.

(x) Residual power and energy are power and associated energy available on a temporary basis from authority generating sources or purchases in excess of authority requirements.

 

 

§ 454.2  Sale of authority power

   (a) Applications for authority power. Applications for authority power pursuant to an appropriate service tariff or other contract document will be entertained by authority at any time, and insofar as they meet the qualifications established for the class of power to be marketed, will be considered individually as received, provided that authority may consider two or more applications at one time without reference to order of application.

(b) Process and approval of applications. Applications are subject to public hearings and other procedural requirements pursuant to section 1009 of the Public Authorities Law, as amended from time to time.

(c) Power in excess of contractual requirements. Power and energy in excess of authority's contractual requirements and not needed for any other authority purposes will be made available to authority customers from time to time under the provisions of applicable service tariffs or other contract documents.

 


§ 454.3  Liability, limitations and conditions of service

   (a) Authority will endeavor at all times to provide a regular and uninterrupted supply of service, or such other character of service as specified in the application for electric service, the applicable service tariff, or other contract documents, but in case the supply of service shall be interrupted, or irregular or defective or fail from interruptions or reductions as such terms are described in subdivisions (b) and (c) of this section, or through ordinary negligence of employees, servants or agents, authority will not be liable therefor.

(b) Continuity of electric service to be furnished. (1) The electric service, except as otherwise specified in the application for electric service, the applicable service tariff or other contract documents will be furnished continuously except:

(i) for interruptions or reductions due to uncontrollable forces, as defined in this section;

(ii) for temporary interruptions or reductions which, in the opinion of the authority, are required for power system protection or for providing temporary emergency assistance to interconnecting systems; and

(iii) for temporary interruptions or reductions, which, in the opinion of authority, are necessary or desirable for the purpose of maintenance, repairs, replacements, installation of equipment, or investigation and inspection.

Authority, except in case of emergency as determined by it, will give the customer reasonable advance notice of such temporary interruptions or reductions and will exercise due diligence to remove the cause thereof.

(2) The authority operates its generating and transmission facilities as a system and to the extent it determines feasible will utilize power and energy produced at any of its generating plants or purchased from others to satisfy its obligations to any of its customers. This provision shall not be construed to require the authority to utilize such power and energy referred to in the preceding sentence to avoid interruptions of service of the types referred to in paragraph (1) of this subdivision unless the customer agrees to pay the difference between the rate charged for the power and energy interrupted and the rate charged by authority for the charges incurred by authority, including any transmission.

(c) Uncontrollable forces. Neither customer nor authority shall be considered to be in default in respect to any obligation under any accepted application for electric service, service tariff, or other contract document, if prevented from fulfilling such obligation by reason of uncontrollable forces, the term being deemed to mean any cause beyond the control of the party affected, including but not limited to failure of facilities, flood, earthquake, storm, lightning, fire, epidemic, war, riot, civil disturbance, strike and sabotage or restraint by court or public authority, which by exercise of due diligence and foresight such party could not reasonably have been expected to avoid. The party rendered unable to fulfill any obligation by reason of uncontrollable forces shall exercise due diligence to remove such inability with all reasonable dispatch.

(d) Service beyond authority obligation. Customer may from time to time, in the absence of objection by authority, take power under any service tariff or other contract document at rates of power delivery greater than the contract demand in effect for such service or take energy in amounts greater than the amounts which authority is obligated to supply, but such greater takings shall not be deemed to establish in customer any right thereto and customer shall cease such greater takings whenever and for the periods of time requested by authority.

(e) Transmission by authority over the facilities of others. Where authority transmits power and energy to customer over the facilities of others, the obligation of authority to furnish the power and energy shall be subject to and contingent on the existence of an arrangement granting authority the right to use such facilities. The power and energy will be provided at the voltage available and under the conditions which exist from time to time on the system or systems over whose facilities the power and energy are transmitted. The points on the customer's system to which the power and energy are to be transmitted shall be agreed upon by customer and authority. Authority will endeavor to inform customer from time to time of any significant changes contemplated on a system over which transmission is made if not authority's, and the added costs to customer resulting from such changes, but the costs of any changes made necessary in customer's system because of changes or conditions on such system shall not be a charge against or a liability of authority, provided, that if customer, because of changes or conditions on a system over which transmission is made if not authority's, is subjected to the necessity of making changes on its system at its own expense in order to continue receiving service, or if the electric service requirements of customer, to the extent that authority is obligated or determines that it can become obligated to furnish such requirements, are not being met, or if authority advises customer that such requirements cannot be met, because of an insufficiency of transmission capacity available to authority under its transmission arrangement in the facilities of others over which power and energy are supplied, then customer may terminate service as provided in the applicable service tariff or other contract documents.

(f) Delivery and service over the facilities of others. Where delivery of power and energy (as distinguished from transmission) is carried out through the systems of others, the utility which makes delivery will receive the power and energy from the authority at connecting points agreed upon by authority and the utility. The utility will use its system to make delivery in the same manner it uses such system to make delivery to its own customers. It will also provide service in connection with such delivery as mutually agreed upon by the utility and the authority. The obligation of authority to furnish power and energy shall be subject to and contingent on the existence of an arrangement between authority and the utility. The power and energy will be provided to customer at the voltage available and under the conditions which exist from time to time on the system from whose facilities the power and energy are delivered. Authority will endeavor to inform customer from time to time of any significant changes contemplated on the system from which delivery is made, but the costs of any changes made necessary in customer's system, because of changes or conditions on that system, shall not be a charge against or a liability of authority. However, if changes are necessitated in the utility's system for the benefit of the authority's customers, it will be done at the customer's expense or a compensating increase in the rate charged by the utility for delivery, and service will be made as provided for under the terms of authority's agreement with the utility providing delivery and service. If customer, because of changes or conditions in the system from which delivery is made, is subjected to the necessity of making changes in its facilities at its own expense in order to continue receiving delivery and service, or if the electric service requirements of customer to the extent that authority is obligated, or determines that it can become obligated to furnish such requirements are not being met, or if authority advised customer that such requirements cannot be met because of an insufficiency of system capacity of the utility providing delivery and service to authority under its arrangement with the utility, then customer may terminate or obtain modification of its agreement with authority.

(g) Applicable laws, licenses and directives. All applicable provisions of licenses, permits, approvals or orders issued to the authority by any State or Federal agency and all applicable provisions of Federal and State statutes, including Federal Power Act, Atomic Energy Act, National Environmental Policy Act, Federal Water Pollution Control Act and Power Authority Act of the State of New York (title 1 of article 5 of the Public Authorities Law, chapter 772 of the Laws of 1931), all as amended shall be deemed to be incorporated in and made a part of this Part.

 

 

§ 454.4  Metering

   (a) Transmission metering. Unless otherwise specified in the applicable service tariff or other contract documents, the total electric power and energy delivered to customer will be measured alone or in conjunction with deliveries to others by metering equipment to be furnished and maintained by authority. The meter or meters shall be sealed and the seals shall be broken only upon occasions when the meters are to be inspected, tested or adjusted, and representatives of customer shall be afforded reasonable opportunity to be present upon such occasions. The meter or meters shall be tested at least once each year by authority and at any reasonable time upon request therefor by either authority or customer. Any metering equipment found to be defective or inaccurate shall be repaired and readjusted or replaced. Should any meter fail to register, the electric power and energy delivered during the period of failure to register shall, for billing purposes, be estimated by authority from the best information available.

(b) Delivery and service metering. (1) Where delivery and service (as distinguished from transmission) are carried out through the systems of others and by the personnel of others, the total electric power and energy, including reactive power and energy where authority deems appropriate, transmitted or delivered to a customer (as distinguished from transmitted over the facilities of others) will be measured by metering equipment and measuring devices to be furnished and maintained by either authority or the utility providing delivery and service. Seals on meters, meter equipment and associated equipment shall be broken only upon occasions when the meters and measuring devices are to be inspected, tested, or adjusted. No person, except a duly authorized and identified representative of authority or the utility providing delivery and service, shall be permitted to break or replace a seal or to alter or change a meter of its connections or location, except when wiring changes are being made by customer following receipt of appropriate specifications of authority or the utility providing delivery and service as to service supply. In such case, a qualified electrician may break the meter seal and remove and remount a meter when authorized to do so by authority and/or by the utility providing delivery and service, whichever seals such meter. Meters owned by the authority or the utility providing delivery and service shall be tested by authority or such utility providing delivery and service as mutually determined by them.

(2) Should any meter fail to register for any period of time, or if the actual power and energy usage cannot be measured because of inability to read a meter or other measuring device, the electric power and energy delivered during such period shall, for billing purposes, be estimated by authority from the best information available, and customer billed accordingly.

(3) Except as provided in this section, customer shall not permit access by anyone, except authorized representatives of authority or the utility providing delivery and service, to the meter equipment or any other property of authority or the utility providing delivery and service, and shall not interfere or permit interference with such equipment. Customer shall be responsible for their safekeeping on his premises. Duly authorized representatives of authority and the utility providing delivery and service shall have the right to access to the premises of customer and to all appropriate property of authority or the utility providing delivery and service to all reasonable times for the purpose of reading and testing meters, inspecting equipment used in connection with its service, repairing, readjusting, or replacing defective or inaccurate meters, metering the demand, ascertaining and counting the connected load of customer's installation, removing its property, or any other purpose.

(c) Meters errors. If any of the meter tests provided for in this section discloses that the error of any meter or meters exceeds two percent correction based upon the inaccuracy found shall be made of the records of electric service furnished since the beginning of the monthly billing period immediately preceding the billing period during which the test was made; provided, that no correction shall be made for a longer period than such inaccuracy may be determined by authority to have existed. Any correction in billing resulting from such correction in meter records shall be made in the next monthly bill rendered by authority to customer, and such correction when made shall constitute full adjustment of any claim between customer and authority arising out of such inaccuracy of meters.

 

 

§ 454.5  Cooperation of contracting parties

   (a) Mutual assistance. If, in the maintenance of their respective power systems and/or electrical equipment and the utilization thereof for the purposes of the service provided by authority, it becomes necessary by reason of any emergency or extraordinary condition for either authority or customer to request the other to furnish personnel, materials, tools, and equipment for the accomplishment thereof, the party so requested shall cooperate with the other and render such assistance as the party so requested may determine to be available. The party making such request, upon receipt of properly itemized bills from the other party, shall reimburse the party rendering such assistance for all costs properly and reasonably incurred by it in such performance, together with an amount not to exceed 10 percent of such costs for administration and general expenses, such costs to be determined on the basis of current charges or rates used in its own operations by the party rendering assistance. Nothing in this subdivision shall be construed to require the furnishing of personnel in the case of a strike, lockout or other labor dispute.

(b) License to the customer. Authority by acceptance of an application for electric service or as provided in other contract documents will grant customer a license to construct, install, operate, maintain, replace or repair, either or all, upon property of authority at locations designated by authority under the administrative control and jurisdiction of authority such facilities as in the opinion of authority are necessary or desirable for the purposes of the service authority is to provide customer. Such license shall remain in effect during the term of service and shall expire coincidentally therewith. Any facilities so installed by customer pursuant to this subdivision shall be and remain the property of customer notwithstanding that the same may have been affixed to the premises. Unless otherwise specified in the application for electric service, the applicable service tariff, or other contract documents, if upon expiration of the license authority desires to acquire such facilities, it may do so at a price equal to the original cost less depreciation provided it gives written notice within 20 days of its intention to so acquire such property. If the authority does not acquire such facilities customer shall have a reasonable time after the expiration of such license or licenses in which to remove its facilities so installed.

(c) License to the authority. Customer upon authority's acceptance of customer's application for electric service or as provided in other contract documents will grant to authority a license to construct, install, operate, maintain, replace or repair, either or all, upon the property of customer such facilities as in the opinion of authority or the utility providing delivery and service are necessary or desirable for the service authority is to provide customer. The license or licenses shall be and remain in effect during the term of service, and shall expire coincidentally therewith. Any facilities so installed by authority pursuant to such license or licenses shall be and remain the property of authority, notwithstanding that the same may have been affixed to the premises. Unless otherwise specified in the application for electric service, the applicable service tariff, or other contract documents, if upon expiration of the license customer desires to acquire such facilities, it may do so at a price equal to the original cost less depreciation provided it gives written notice within 20 days of its intention to so acquire such property. If the customer does not acquire such facilities authority shall have a reasonable time after the expiration of such license in which to remove its facilities so installed.

 

 

§ 454.6  Billings and payments

   (a) Billings. Except as otherwise provided in the accepted application for electric service, the applicable service tariff or other contract documents, authority will submit bills to customer on or before the 10th business day of each billing period for electric service furnished during the preceding billing period, and payments will be due and payable by customer on the first day of the billing period immediately succeeding the date each bill is submitted. For the purposes of the preceding sentence, the term "business day" shall mean a day other than a Saturday, Sunday, or banking holiday in the State of New York.

(b) Nonpayment of bills. Except as otherwise provided in the accepted application for electric service the applicable service tariff or other contract documents if customer fails to pay any bill when due an interest charge of two percent of the amount unpaid shall be added thereto as liquidated damages, and thereafter, as further liquidated damages, an additional interest charge of one and one-half percent of the sum unpaid shall be added on the first day of each succeeding billing period until the amount due, including interest, is paid in full. Authority shall have the right upon not less than 15 days' advance written notice to discontinue furnishing electric service to customer for nonpayment of bills and to refuse to resume same so long as any part of the amount due remains unpaid. In the case of contracts with electric corporations entered into on or after May 1, 1974, failure to make prompt and timely payments of all bills rendered by authority for electric service shall be grounds for immediate termination pursuant to §1005(e) of the Public Authorities Law. Such discontinuance of electric service will not relieve customer of liability for any minimum charge during the time electric service is so discontinued. The rights given in this subdivision to authority shall be in addition to all other remedies available to authority, either at law or in equity, for the breach of any of the provisions of this subdivision.

(c) Adjustment for fractional billing period. For a fractional part of a billing period at the beginning or end of service, and for fractional periods due to withdrawals or other changes in the agreed upon amount of service the demand or capacity charge and the portion of the minimum charge based on demand or capacity or minimum amount of energy to be billed shall each be proportionately adjusted in the ratio that the number of hours that electric service is furnished to customer in such fractional billing period bears to the total number of hours in the billing period involved.

(d) Adjustments for curtailment (interruptions or reductions) of service. (1) Unless otherwise specified in the applicable service tariff or application for electric service or other contract documents, if for the reasons specified in subdivisions (a) and (b) of section 454.3 of this Part conditions on the power system of authority (which system, for purpose of adjustments hereunder, shall include transmission and delivery facilities, if any, utilized but not owned by authority) require the delivery of electric service to be interrupted or reduced below the contract demand or other maximum rate of delivery in effect for the affected type of service, or below the rate of delivery required by customer at the time of such reduction, whichever is the lesser, for a period or periods of one hour or longer in duration, each customer shall receive a credit against the capacity charge and the minimum charge for the billing period representing a fraction of the total capacity charge and of the minimum charge determined by the ratio of (i) the sum of the hours in which the rate of delivery was reduced to zero plus the total of the fractional hours of partially reduced service (the fraction for each hour being the ratio of the reduction in rate of delivery below that scheduled by customer to customer's contract demand) to (ii) the number of hours in the billing period.

(2) Customer shall be limited in its remedy for such interruptions or reductions to the relief granted by this subdivision.

 

 

§ 454.7  Cancellation for violation by customer

   Authority may cancel and terminate service under any service tariff upon violation of the terms of service as set forth in this Part, in the service tariff, in the accepted application for electric service, or in other contract documents, provided, that authority shall not exercise its option to cancel unless written notice and statement of any violation shall have been given customer and customer afforded a period of at least 60 days in which to cure such violation.

 


§ 454.8  Waivers

   Any waiver at any time by either customer or authority of its rights with respect to a default or any other matter arising in connection with service to customer shall not be deemed to be a waiver with respect to any subsequent default or matter.

 


§ 454.9  Notices

   Except where otherwise specifically provided, any notice, demand or request required or authorized by this Part, by the applicable service tariff or by the accepted application for electric service shall be deemed properly given if mailed by certified mail, postage prepaid to office of secretary of authority at the address of authority, and to the official signing for customer at the address of customer shown on the application for electric service or other contract document unless another person has been designated to receive such notice, demand or request. The designation of the person to be notified or the address of such person may be changed at any time by similar notice.

 


§ 454.10  Transfer of interest in contract by customer

   No voluntary transfer of service by customer or of the rights of customer under its accepted application for electric service or other contract document shall be made without the written approval of authority, provided, that any successor to or assignee of the rights of the customer, whether by voluntary transfer, judicial sale, foreclosure sale, or otherwise, shall be subject to all the provisions and conditions of this Part, the applicable service tariff or other contractual arrangements between customer and authority to the same extent as though such successor or assignee were the original customer, and provided further, that the execution of a mortgage or trust deed, or judicial or foreclosure sales made thereunder, shall not be deemed voluntary transfer within the meaning of this section.

 


§ 454.11  Resale of electric power and energy

   Unless otherwise provided in the applicable service tariff, or other contract documents, customer shall not sell any of the electric power and energy delivered to it under this Part, except to such purchaser(s) and upon such terms and at such rates as the authority shall approve.

 


§ 454.12  Modification or merger of rates

   The rates provided for in each service tariff or other contract documents shall be subject to modification from time to time by the authority pursuant to the provisions of the Power Authority Act or any other applicable statutes. The authority may merge rates for power and energy made available from some or all of its facilities.


 

 



CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK  


PART 455.

 

 ADMINISTRATIVE PROCEDURES



455.1      Notice of proposed action

455.2      Notice of adoption

 


§ 455.1  Notice of proposed action

   (a) Except as provided in subdivision (d) of this section, whenever the authority proposes to undertake any of the following actions, notice shall be given as provided in subdivisions (b) and (c) of this section:

(1) amendment of any rate schedule or tariff for the sale of power and/or energy;

(2) approval of the rates and general conditions of service pursuant to which power and/or energy are sold by any municipal or cooperative customer of the authority; and

(3) adoption, amendment, suspension or repeal of any rule or regulation of the authority, other than those relating to internal management, which do not directly and significantly affect the rights of, or procedures or practices available to, the public.

(b) At least 45 days prior to the adoption of any action included in subdivision (a) of this section, or prior to any hearing thereon, the secretary shall:

(1) caused to have published notice of the proposed action or hearing in the State Register in accordance with subdivision (c) of this section and, when appropriate in the judgment of the authority, publish notice of the proposed action in such newspaper or newspapers of general circulation as the authority may select;

(2) provide notification to any person or agency which has filed a written request, such request to be renewed yearly in December, for notice of proposed action or hearing which may affect that person or agency, by mail to the last address specified by the person or agency; and

(3) make available to the public a copy of the complete text of the proposed action, of the regulatory impact statement, and where applicable, the regulatory flexibility analysis.

(c) Notice to be published in the State Register shall:

(1) cite the statutory authority under which the authority proposes to take action;

(2) give the date, time and place of any public hearing and state whether such place is reasonably accessible to persons with a mobility impairment;

(3) include a statement that interpreter services shall be made available to deaf persons, at no charge, upon written request;

(4) either state the express terms of the proposed action, or describe the subject, purpose and substance of the proposed action;

(5) include a regulatory impact statement, and where applicable, a regulatory flexibility analysis or a summary thereof;

(6) give the name, public office address and telephone number of the secretary from whom the express terms of the proposed action and information about any public hearing may be obtained and to whom written data, views and arguments may be submitted; and

(7) include any additional matter required by statute.

(d) Subdivisions (b) and (c) of this section shall not apply to any action taken in conformance with subdivision 7 of section 1010 of the Power Authority Act.

(e) If the authority finds that immediate adoption of an action is necessary for the preservation of the public health, safety or general welfare, it may adopt the action on an emergency basis. As soon as practicable thereafter, the secretary shall file with the Secretary of State notice of emergency adoption which shall state whether such notice also constitutes notice of proposed action and which includes all of the matters required by the statute. Not more than 60 days after such filing, the authority may either reconsider the action in accordance with subdivisions (b) and (c) of this section and file notice of adoption in accordance with section 455.2 of this Part or readopt such action on an emergency basis.

 


§ 455.2  Notice of adoption

   Upon completion of any action listed in subdivision (a) of section 455.1 of this Part, the secretary shall file a copy of such action with the Secretary of State, together with an appropriate certificate, and submit a notice of adoption to be published in the State Register. The secretary shall at the same time transmit a copy of the notice of adoption, including the complete text of the action to the Governor, the Temporary President of the Senate, the Speaker of the Assembly, the Administrative Regulations Review Commission, and the Office of Business Permits and Regulatory Assistance. Such notice shall:

(a) cite the statutory authority under which the action was taken;

(b) state the express terms or describe the subject, purpose and substance of such action;

(c) state whether there have been any substantive changes reflected by the final action in comparison with the proposed action and identify such changes;

(d) give the anticipated effective date of the action;

(e) include an assessment of public comment;

(f) give the name, public office address and telephone number of the secretary from whom the express terms of the final action and any revised regulatory impact statement or regulatory flexibility analysis may be obtained; and

(g) include any additional matter required by statute.


 

 

CHAPTER X. POWER AUTHORITY OF THE STATE OF NEW YORK  


PART 456.

 

DECLARATORY RULINGS

 

 

456.1      Declaratory rulings

456.2      Procedures